Confusion over Gucci-Bengal government tie-up

Wednesday, 02 July 2003, 19:30 IST
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KOLKATA: Gucci, the famed Italian leather and fashion accessory company, has put the West Bengal government in a spot with contradictory reports on the firm's investment plans in the state. Chief Minister Buddhadeb Bhattacharya returned from a four-day business trip to Italy last month and announced that Gucci would send its representatives here to assess the facilities and make a decision on setting up a plant. He claimed that a few more Italian firms had also shown interest in setting up chemical, jewellery and leather ventures here. But Gucci, in an apparent volte-face, has said they neither discussed business with Bhattacharya during his trip nor promised to send anyone to West Bengal to inspect facilities at an upcoming leather complex. However, outgoing Italian consul general Benin Casa said Monday that Gucci representatives were coming here this month as scheduled. He also reiterated Bhattacharya's claim that several Italian firms were interested in setting up shop here. Gucci's repudiation of the chief minister's claim and Casa's statement has created an atmosphere of uncertainty that the government can ill afford, particularly when it is trying to attract private investments. A Gucci official was quoted as saying from Milan: "We are not considering setting up any production in Bantala (leather complex here)." The unidentified official was further quoted as saying that there had been a "misunderstanding" about Bhattacharya's visit. The official said Bhattacharya had visited their facility but there had been no business talks. "Out of courtesy, we had arranged for the tour." The report further said Gucci's worldwide human resources director Renato Ricci had written to Bhattacharya saying: "It was never our intention to discuss Bengal as a potential business destination." He also reportedly said they had "no intention to send any Gucci representative to India." "We are not interested in tanning, manufacturing, training, designing and packaging in India," the faxed message from Ricci reportedly said. Gucci outsources its material from Italy and Switzerland. There has been no reaction from the government yet.
Source: IANS
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