Talks of Congress-TVK tie-up stop after Bihar defeat | Powertrip #127

Welcome to this week’s Powertrip, a political newsletter exclusively curated for TNM and NL subscribers by Dhanya Rajendran, Shabbir Ahmed, and Pooja Prasanna.In this edition, read how the Congress party’s drubbing in Bihar has had a ripple effect in Tamil Nadu politics.Meanwhile, many Congress leaders are unhappy with the high command’s instructions to attribute the Bihar defeat to vote chori.In the third story, we found out the backstory about South Korean footwear company Hwaseung pivoting to Andhra in spite of initially signing an MoU with Tamil Nadu to set up a plant..Inside TrackExclusive stories, for your eyes only.Congress rout in Bihar, ripples felt in Tamil NaduThe Congress party’s dismal performance in the Bihar election has almost effectively ended the speculation of a possible alliance between the Congress and the TVK. As we reported earlier in Powertrip, a section of Congress leaders had been pushing the high command to consider joining hands with TVK ahead of the 2026 Tamil Nadu Assembly elections.For months, political circles in Tamil Nadu were buzzing with talk that some prominent leaders of the Congress party were in touch with the second-rung leadership of the TVK. Adding to that, some Congress leaders openly talking about the idea of a tie-up had forced the party high command to issue a gag order.Many believed that the picture would become clearer after the Bihar results. But Congress’ rout has drained all momentum and a sense of disappointment prevails. State Congress chief Selvaperunthagai, who has opposed any alliance with TVK, made it clear that the DMK-Congress relationship remains intact and there is no second thought about it. A section of Congress leaders who were trying for a TVK tie-up are now slowly recovering from the blow..Vote chori or not?According to several Congress leaders we spoke to, the instructions after the Bihar drubbing were clear – the loss would be attributed to vote chori.Though most Congress leaders have gone along with this line and raised questions with the Election Commission and the BJP about the electoral rolls in Bihar, many within the party are unhappy with this approach. Some believe that blaming the defeat solely on electoral rolls is an untruthful assessment of what happened, while others have been grumbling that this has become an easy excuse for anyone who loses.One leader told us they are particularly unhappy that candidates who did not win because they did not work hard enough will now avoid any consequences, as everything is being portrayed as a loss due to vote chori.In fact, a few leaders are upset that Mansoor Ali Khan, who lost Mahadevapura, has become a sort of a hero despite the loss. Rahul Gandhi’s first press meet on vote chori was regarding this constituency in Bengaluru..Footwear giant moves to Andhra, but Tamil Nadu might still have a winSouth Korea’s Hwaseung Footwear, the company that once signed an MoU with Tamil Nadu to set up a Rs 1,720 crore non-leather shoe plant, has taken a surprising detour. The investment has now shifted to Andhra Pradesh.Hwaseung is putting Rs 898 crore into a massive 100-acre greenfield factory in Chittoor district’s Kuppam. The project will roll out in three phases and is expected to generate 17,645 direct jobs.But the backstory is where things get interesting.Tamil Nadu reportedly offered the company land in three districts: Thoothukudi, Thanjavur, and Theni. Talks progressed so far that Thanjavur was almost finalised. Yet, even with state subsidies, the land price in Tamil Nadu hovered around Rs 30 lakh per acre. Andhra Pradesh, meanwhile, placed a far more tempting offer on the table by providing land for free, along with additional incentives. Faced with this disparity, Tamil Nadu had little choice but to let the project go despite the MoU.The Andhra government, faced with the uphill task of creating jobs in the state, has been wooing investors from other countries with incentives like free land, water, and electricity.Tamil Nadu has spent the last decade and a half meticulously building a world-class footwear manufacturing ecosystem, especially for non-leather products. It is now one of India’s biggest hubs, supplying global brands and attracting international players.And Andhra currently lacks the same ecosystem needed for a mega footwear unit of this scale.Kuppam is located very close to the Tamil Nadu border. This means that when the factory begins hiring, a large number of skilled workers are likely to come from Tamil Nadu, where the talent base already exists.So even though Andhra pockets the investment, Tamil Nadu’s workers and indirectly its ecosystem stand to benefit.In the end, it is shaping up to be an unlikely win-win for both states..Zero HourA political story of public importance.In Bengal, BJP faces growing anger of Hindu migrants over SIR.Party leaders are trying to convince Matuas to apply for citizenship under CAA if they do not make it to the voter list. Not many are convinced..PowermovesTop 5 political storiesTamil Nadu: How Election Commission’s SIR has left citizens confused and anxiousPoorly informed criticism undermines Kerala’s drive against ‘extreme poverty’A nation on alert: How hoax bomb calls are wearing out India’s copsCost of health: How Karnataka's PPP hospitals can shut out the poor from free treatmentIn Andhra, dismantling village volunteers makes governance invisible in Adivasi areas

Talks of Congress-TVK tie-up stop after Bihar defeat | Powertrip #127

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