West Bengal's government and opposition were yesterday inching towards a solution to a conflict over farmers' land that is threatening to scupper the state's flagship industrial project, the Tata Nano, Joe Leahy reports from Mumbai.

The two sides were locked in talks for the third consecutive day last night in a marathon effort to save the project, in which Tata Motors has agreed to make the world's cheapest car in the state in return for tax breaks and other subsidies.