Mangaluru Plastic Park Project Delayed by Land Dispute Affecting 4000 Jobs

The Mangaluru Plastic Park project is only 61% complete, a big delay from its planned completion. This could affect job creation for thousands.
By Newsroom | Industry, Karnataka |

Progress Stalls as Land Acquisition Issues Persist

The development of the Mangaluru Plastic Park in Ganjimutt, a project intended to boost the region's plastic manufacturing industry and create employment, is encountering significant delays. While the project was approved in January 2022 with an estimated cost of ₹62.77 crore, a dispute over the acquisition of 9.33 acres of land has brought crucial parts of the development to a standstill. Officials and local representatives are seeking solutions to overcome these hurdles and move the project forward.

Mangaluru Plastic Park project likely to be inaugurated before monsoon, says Capt. Chowta - 1

Project Timeline and Funding

The Mangaluru Plastic Park, an initiative jointly undertaken by the Union Ministry of Chemicals and Fertilizers and the Karnataka Industrial Areas Development Board (KIADB), was approved in January 2022. The total project cost is ₹62.77 crore, with the Union government's approved share amounting to ₹31.38 crore. The project was initially slated for completion within five years of its final approval. Upon completion, it is expected to generate direct employment for approximately 4,000 people and indirect employment for about 12,000.

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Mangaluru Plastic Park project likely to be inaugurated before monsoon, says Capt. Chowta - 2

Land Acquisition Dispute Hinders Progress

A central issue impacting the project's timeline is the ongoing dispute over 9.33 acres of land designated for the park. This litigation has led to a lack of progress in the acquisition and development of this specific parcel.

Mangaluru Plastic Park project likely to be inaugurated before monsoon, says Capt. Chowta - 3

  • January 24, 2025: Dakshina Kannada MP Capt. Brijesh Chowta wrote to the Chief Engineer of KIADB, expressing dissatisfaction with the project's lack of progress due to the land dispute. He advised KIADB to proceed with the project by excluding the disputed 9.33 acres.

  • January 25, 2025: Capt. Brijesh Chowta reiterated his request to KIADB, urging them to complete the project using the available land and excluding the nine acres under litigation, to prevent further adverse impact on regional industrial growth.

  • August 9, 2024 / August 10, 2024: Minister of State for Chemicals and Fertilizers Anupriya Patel stated in Lok Sabha that approximately 55% of the work was completed. She acknowledged that delays in some activities were due to litigation concerning 9.33 acres of land, but noted that the project was within its approved timeline and had no cost escalation.

Varying Progress Reports

Official statements on the project's progress have provided different figures at different times.

  • July 29, 2025: Minister of State for Chemicals and Fertilizers Anupriya Patel reported that the project had achieved only 61% progress.

  • August 9, 2024 / August 10, 2024: Anupriya Patel also stated that 55% of the work had been completed, attributing delays to land litigation but maintaining the project was within its timeline and budget.

Calls for Expedited Development

Concerns over the project's delay have prompted calls for urgent action from various groups.

  • February 7, 2025: The CPM's Gurupura Area Committee announced plans for a protest to demand the expedited implementation of the Plastic Park project and the start of industries on vacant plots in the Ganjimutt industrial area, highlighting the issue of youth unemployment.

Stakeholder Perspectives

Stakeholders are focused on finding a resolution to the land acquisition issues to enable the project's completion.

  • Local Representatives: MP Capt. Brijesh Chowta has actively engaged with KIADB, suggesting a pragmatic approach to move forward by excluding the contested land.

  • Government Officials: Ministers have provided updates on progress and acknowledged the challenges posed by land disputes, while also assuring that the project remains within its financial and temporal frameworks.

  • Political Parties: Groups like the CPM are voicing concerns about unemployment and are pushing for faster project execution.

Expert Analysis

  • The land acquisition process for large industrial projects can often involve complex legal challenges that may not be immediately apparent during the initial planning stages. The existence of litigation, even over a relatively small portion of land, can have a cascading effect on the entire project's schedule and execution. — Observation based on provided context.

  • The differing progress reports (55% vs. 61%) could indicate a need for more standardized and frequent progress tracking mechanisms between the implementing agencies and the reporting ministries to ensure consistent data. — Observation based on provided context.

Conclusion and Next Steps

The Mangaluru Plastic Park project is at a critical juncture, with a persistent land dispute hindering its full realization. While progress has been made, the current situation requires a decisive approach to overcome the legal challenges.

  • Findings:

  • A significant portion of the Mangaluru Plastic Park project is complete, with progress reported between 55% and 61% as of July 2025.

  • The primary obstacle remains the litigation surrounding 9.33 acres of land.

  • Despite delays, the project has reportedly not experienced cost escalation and is, according to some ministerial statements, within its approved timeline.

  • There are active efforts by local parliamentary representatives to find a resolution, including the suggestion to bypass the disputed land.

  • Local political groups are highlighting the project's delay as a factor in local unemployment.

  • Implications: Continued delays could impact investor confidence and the projected economic benefits for the region. Resolving the land dispute is paramount for the project's successful and timely completion.

  • Next Steps: The focus should be on the legal resolution of the 9.33-acre land dispute or the effective implementation of alternative plans proposed by MP Capt. Brijesh Chowta to proceed with the project on the available land. Continued transparent reporting on progress and challenges will be crucial for all stakeholders.

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Frequently Asked Questions

Q: Why is the Mangaluru Plastic Park project delayed?
The project is delayed because of a legal fight over 9.33 acres of land needed for it. This land issue has stopped some important work from being done.
Q: How much of the Mangaluru Plastic Park project is finished?
As of July 2025, about 61% of the project was finished. Some reports from August 2024 said it was 55% done.
Q: Who is affected by the delay in the Mangaluru Plastic Park project?
The delay affects people who hoped to get jobs at the park. It was expected to create about 4,000 direct jobs and 12,000 indirect jobs.
Q: What is being done to fix the land problem for the Mangaluru Plastic Park?
The local Member of Parliament has asked the project managers to continue building the park on the land they already have, without the disputed 9.33 acres.
Q: When was the Mangaluru Plastic Park project approved and how much does it cost?
The project was approved in January 2022 and is planned to cost ₹62.77 crore. The government is providing ₹31.38 crore.
Q: What happens if the land dispute is not solved for the Mangaluru Plastic Park?
If the land dispute is not solved soon, it could take longer for the park to open. This might make investors less interested and delay the jobs and money it was supposed to bring to the area.