An all party meeting called by Chief Minister at Palakkad reached consensus to acquire land for the coach factory at Kanjikode in Palakkad without delay. 900 acres identified by the Railways at Kanjikode will be acquired. A rehabilitation package proposed by the Chief Minister was accepted by all parties Those persons whose houses are acquired will be provided with houses having necessary infrastructure. Reasonable price will be given to acquired agricultural land.

A special team of fifty officials headed by a tahsildar had been appointed for the acquisition of land. Kerala State Electricity Board had initiated steps to construct a 440 KV substation at the cost of Rs. 115 crore to provide power for the factory. It is intended to complete the acquisition of land in three months. The State Government is giving land free of cost to the Railways. As the Planning Commission has given sanction the project will become a reality in the near future.