Previously, Engineering Development Board (EDB) had allegedly altered minutes of the Auto Industry Development Committee (AIDC) with a view to giving "special" favor to one of the automakers. The minutes communicated by EDB of the 24th AIDC were quite controversial. Interestingly, with respect to agenda four - Request for Brownfield investment under Automotive Development Policy 2016-21 by M/s Dewan Farooq Motors - it was clearly mentioned that house recommended unanimously, "Their case may be processed without change in policy." It was also recorded that the FBR representative opposed any change in policy. However, the minutes were totally contrary to the recorded decision.
Strangely, the decision stated that "keeping in view the spirit of the existing policy for revival of closed down units, the AIDC unanimously supported the case of M/s Dewan Farooq Motors for suitable amendments in the ADP 2016-21 for availing benefits under the Brownfield category." According to sources, reason for the decision can be traced to another agenda which relates to Al-Haj FAW''s demand for what was not possible in the present policy framework. The AIDC could not and did not support a change in the policy as it was strongly felt that continuity in policy was more important than temporary loss or benefit for some players in the short run.
When policy was announced, all OEMs agitated that it did not allow any benefit to the existing players if they brought in new variants.
According to the minutes of AIDC meeting held on November 29, 2017, M/s Dewan Farooq Motors Ltd (DFML)/M/s Dewan Dachan Motors Ltd (DDML) had approached Ministry of Industries and Production (MoI&P) in its letter July 14, 2016 for reconsideration of their request for grant of Brownfield status under ADP 2016-17.
Ministry of Industries and Production forwarded the request of DDML to Engineering Development Board (EDB) for reconsideration in view of the reservations submitted by the company.
Copyright Business Recorder, 2017