The Karnataka government is considering a proposal to reserve 4 per cent of public contracts in civil works for Muslim contractors. This would be under Category-2B, which would increase total reserved contracts to 47 per cent.
At present, there is 43 per cent reservation for SC, ST and OBC contractors.
This measure aligns with Chief Minister Siddaramaiah’s efforts to support the Ahinda communities. While the move faces opposition from Vokkaliga and Lingayat contractors, it’s seen as a push to diversify representation in public works.
The Karnataka State SC/ST Contractors Association has also requested higher contract limits.
The Karnataka government is considering a proposal to reserve public contracts in civil works specifically for Muslim contractors, capping contract values at up to ₹1 crore.
If implemented, this would bring the state’s overall reservation in government tenders to 47 per cent, extending beyond the current 43 per cent for Scheduled Castes (SC), Scheduled Tribes (ST), and Other Backward Classes (OBC) in Categories 1 and 2A.
Presently, reservations include 24 per cent for SC/ST contractors and 19 per cent for OBCs. This plan is part of Chief Minister Siddaramaiah’s wider initiative to support underrepresented and minority communities, specifically aiming to include Muslims in government opportunities and foster what he calls the Ahinda (minorities, backward classes, and Dalits) bloc.
According to a source familiar with the discussions, the government has yet to finalise this policy. They are still evaluating the impact of extending such a reservation for Muslim contractors under Category-2B, with an estimated 4 per cent allocation in works contracts.
“It’s true that there is a demand to provide reservation for Muslims in govt contracts but there is no proposal before the government right now," the Chief minister office said.
The Siddaramaiah government is likely to table a bill in the winter session of the Assembly in this regard, they had added.
Siddaramaiah’s administration previously introduced reservations in civil work contracts for SC/ST groups during his first term and later expanded these opportunities to OBC categories earlier this year.
However, this potential policy change has stirred concerns among other contractors, particularly within the prominent Vokkaliga and Lingayat communities, who feel their representation in public tenders might be affected.
These groups are reportedly lobbying the Karnataka State Contractors Association to push back against the proposal, calling for the state to reconsider or modify the policy.
They argue that the reservation system, especially with an additional inclusion, might limit opportunities for contractors outside the reserved categories.
The allocation process for the contracts is designed to follow a roster-based randomisation system. The Karnataka government order specifies that randomisation will apply within each engineering division or tender-inviting authority. In instances where more than four projects are available, each project would be assigned randomly to one of the reserved groups, distributing them evenly across SC, ST, Category-1, and Category-2A contractors.
Additionally, the Karnataka State SC/ST Contractors Association has asked the Chief Minister to raise the maximum reservation contract value from ₹1 crore to ₹2 crore. Both the social welfare and public works departments have reportedly shown support for this request, although this increase is also still under review by the finance department.
Siddaramaiah’s plan, if approved, is likely to prompt a re-evaluation of how the state manages reservations within public contracts.
While seen as a progressive step towards social inclusion, the move also raises questions about the balance of representation within Karnataka’s competitive contracting environment. The decision will be significant, potentially shaping the relationship between the state and its contractors, and testing the inclusivity measures of Karnataka’s governance.
BJP's reaction
BJP IT cell chief Amit Malviya criticised the Siddaramaiah government, framing the move as a violation of constitutional principles.
“Siddaramaiah administration in Karnataka is evaluating a proposal to provide reservations to Muslims in public contracts for construction (civil) works. If Muslims are given this quota in Karnataka then whose share will be cut — SC, ST or OBCs?” Malviya questioned in a post on X.
Malviya further noted, “In Telangana, Muslims have been given 4% reservations, eating into the share meant for the socially backward communities. In Maharashtra, the Congress-led MVA has accepted Jinnah-like demands of the All India Ulema Board. It is all about Muslim votes for the Congress, in gross contempt of the Constitution, which precludes any religion-based reservation.”