Mysuru, Oct. 21 (BLU&BCT)- The State Government’s ambitious plan to develop an industrial area over 404.10 acres at Kochanahalli village in Mysuru taluk has hit a major roadblock, as farmers and land-owners have demanded Rs. 4 crore per acre in compensation while Karnataka Industrial Areas Development Board (KIADB) has offered only Rs. 1.15 crore per acre.
The sharp difference in valuation has led to a deadlock, with farmers rejecting the Government’s offer outright. A mediation meeting convened yesterday by MLC Dr. Yathindra Siddaramaiah at Jaladarshini Guest House ended inconclusively.
Kochanahalli, located near Kadakola, falls under the Varuna Assembly Constituency represented by Chief Minister Siddaramaiah. Following the initiation of land acquisition, KIADB had fixed compensation at Rs. 1.15 crore per acre — a rate the villagers have refused to accept.
Unhappy with the offer, Kochanahalli farmers had earlier met Chief Minister Siddaramaiah and conveyed their unanimous rejection. During a phone call to KIADB Managing Director Mahesh, made in the presence of the farmers, the CM reportedly instructed that the acquisition should not proceed until he personally finalises the compensation rate.
Acting on the CM’s direction, his son Dr. Yathindra held the meeting yesterday, attended by Deputy Commissioner G. Lakshmikanth Reddy and the KIADB officials.
While the Government reiterated its offer of Rs. 1.15 crore per acre, the farmers remained firm. “Our village is close to Mysuru city and the land here is as valuable as gold. We demand Rs. 4 crore per acre,” the farmers asserted.
Shivanna, a farmer who attended the meeting, told Star of Mysore, “They said our demand is not feasible. Dr. Yathindra assured us that he would speak to his father (CM Siddaramaiah) and try to increase the rate to Rs. 1.25 crore per acre.”
“We made it clear that we will not accept even Rs. 1.25 crore. We will not part with our land and have asked the Government to withdraw the acquisition process from our village (Kochanahalli),” he added.
Dr. Yathindra reportedly responded, “I will inform my father about your demands. Let’s see what decision he takes.”
The meeting was attended by several Kochanahalli residents, including K.M. Puttaswamy, Madegowda, Madappa, Chetan, Shivaraj, Swamy, Kumar and Mahesh.



‘Land acquisition nearly complete’

“The land acquisition process for 404.10 acres in Kochanahalli is nearly complete. Once the State Government finalises the compensation rate per acre and releases the funds to KIADB, the amount will be disbursed to farmers and the land will be officially acquired.

KIADB has already issued a preliminary notification under Section 28(1) for the entire 404.10 acres. Notices have been served to all farmers under Section 28(2) and acquisition orders have been issued under Section 28(3). The final notification under Section 28(4) has also been published.

We have submitted a comprehensive report regarding this process to KIADB’s head office. It now remains to be seen what decision the State Government will take on the matter.”
— N.C. Venkataraju
Special Land Acquisition Officer, KIADB Mysuru Zone


‘Financially unviable’

“Back in 2013, nearly 400 industrial entrepreneurs had submitted applications to the KIADB requesting land for setting up industries. In response, KIADB approved land allotments and even collected payments from the applicants. However, the land acquisition process has yet to be completed.

Now, as KIADB moves forward with acquiring land for the proposed industrial township, it has announced a compensation rate of Rs. 1 crore per acre for farmers. This raises a critical question: If farmers are paid Rs. 1 crore per acre, the land price for industrial entrepreneurs is likely to be fixed at a minimum of Rs. 2 crore per acre. Is it financially viable to purchase land at such high rates?”

— Suresh Kumar Jain
General Secretary, Mysuru Industries Association

While many industries have already been set up in Kadakola, a substantial portion of the land remains vacant. Sites originally acquired and allotted for industrial development are now being eyed for commercial or residential ventures, raising concerns over the misuse of public resources.

In the same region, the Government had acquired 250 acres of farmland from farmers to establish a semiconductor park. Kaynes Technology had signed an agreement with Government to set up an Outsourced Semiconductor Assembly and Testing (OSAT) unit and manufacture Printed Circuit Boards (PCBs).

However, instead of proceeding with the project in Kadakola, Kaynes Technology has shifted its plans to Andhra Pradesh. Sources attribute the relocation to the Karnataka Government’s lack of urgency in executing the required land transfer process.

As a result, the proposed semiconductor park in Kadakola has been stalled. Had the project taken off, it could have generated employment for hundreds of people in and around Mysuru.