Skip to content
Subscriber Only

Modi’s 72-Hour Tata Coup Shows States Key to India Growth

Minutes after tycoon Ratan Tata abandoned a two-year quest to build the world’s cheapest car in West Bengal over farmer protests, he got a text message from the frontrunner to be India’s next leader: “Welcome to Gujarat.”

Within 72 hours, Narendra Modi arranged land, power, tax exemptions, a four-lane highway and a 95.7 billion-rupee ($1.2 billion) loan for the Nano to be built in the state, according to a former chief minister and a retired bureaucrat in Gujarat who asked not to be named because the details aren’t public. Six years later, the plant employs some 10,000 people, helping per capita income in Gujarat triple since Modi took office in 2001.