A fresh political debate has erupted over whether Tamil Nadu’s industrial growth is genuine or overstated, with leaders from the BJP and the ruling DMK presenting sharply different narratives.
Auditor S. Sundararaman, head of the BJP’s Tamil Nadu industrial experts wing, alleged that the state government shows more interest in borrowing than in education and rural development, calling it an administrative failure. He claimed that a South Korean footwear company’s proposed investment of Rs 1,720 crore, earlier announced by Industries Minister Raja, ultimately went to Kuppam in Andhra Pradesh.
Sundararaman also said a proposed Rs 15,000 crore investment attributed to Foxconn was denied by the company, and criticised the minister’s explanation when Google’s data-centre investment moved to Visakhapatnam in Andhra Pradesh. He further alleged that MSMEs are being hurt, citing a 450% rise in electricity fixed charges since 2022, and argued that Tamil Nadu’s long-held “Detroit of India” image is being weakened by “collection politics”.
Countering these claims, DMK MLA Ezhilan, also a member of the State Planning Commission, said the DMK government has attracted investments worth Rs 12.37 lakh crore and created 35 lakh jobs. He said the state recorded 11.19% economic growth—described as a double-digit rate—and highlighted support for entrepreneurs through StartupTN, including conferences in Chennai and Coimbatore.
Ezhilan said the number of startups has risen from 2,300 in 2021 to 12,500, and argued that higher business activity is reflected in GST collections. He also claimed Tamil Nadu leads in manufacturing segments such as non-leather footwear and has improved its export ranking from 14th to third, citing central government and NITI Aayog reports.
