A Rs 5,102 crore petroleum refinery project of Hindustan Oman Petroleum Company (a joint venture between HPCL and Oman Oil Company) was shelved following some differences among the co-promoters of the project. The project was also opposed strongly by the local farmers who were not willing to sell their land to the company.

A Rs 1,500 crore passenger car project of Fiat India Automobiles was shelved due to general slowdown in the economy and shrinking demand for automobiles.Another car project with an investment of Rs 1,100 crore by Skoda Auto of Czechoslovakia failed to kick start as the company decided to abandon it and settle for a smaller sixe project worth Rs 200 crore.A Rs 1,000 crore paper project of Sinar Mas Pulp & Paper India cleared by the Sharad Pawar-led Congress government in Indapaur taluka of Pune district was put on hold owing to the stiff opposition from the local environmentalists.In a related story, Sterlite Industries which intended to set up a copper plant in the coastal Ratnagiri district was to shift it to the Tamil Nadu following a fierce opposition from green activists and farmers.

According to the same report, the state government's dilly-dallying approach in giving necessary approvals was also largely responsible in the implementation of various projects in the manufacturing sector in the state. Moreover, the uncertainty loomed over the project due to stringent general policy framework.It must be mentioned here that the share of the infrastructure services has increased from 12 per cent in 1991 to 77 per cent in July 1999.