New Delhi, January 10, 2008: The Centre has received a formal communication from the Goa government seeking de-notification of 3 special economic zones (SEZs) as well as the latter’s decision to withdraw recommendation for 4 other SEZs, which had received the board of approval’s (BoA) formal nod.
The Goa government had, on December 31, 2007, decided to scrap all SEZs in the state following widespread violent anti-SEZ agitations against such tax-free enclaves.
Confirming that the Centre has received the state’s letter in this regard on Tuesday, commerce and industry minister Kamal Nath said on Wednesday night that the matter is being looked into.
On December 31, 2007, the Goa government had informed the Centre that three notified SEZs in the state should be de-notified. Nath had recently said it was up to the state governments to decide whether or not they needed SEZs in their respective territories.
Goa chief minister Digambar Kamat had met Nath last week to seek cancellation of the SEZs in the state citing several representations against SEZs noting that such zones would adversely affect tourism and environment. There was also criticism on SEZs taking away scarce land in the state. Official sources said that the state also informed the Centre that it does not have adequate water and electricity for such massive industrial activities.
The notified SEZs in the state are the 123.2 hectare pharmaceutical SEZ by Meditab Specialities (notified in April, 2007), 20.36 hectare bio-tech SEZ by Penisula Pharma Research at Sancoale Tal-Mormugao (notified in July 2007) and 105.91 hectare IT/ITeS SEZ by K Raheja Corp at Verna Industrial Area (notified in November 2007). Out of these, Meditab SEZ, planned by pharma major Cipla, had already invested about Rs 500 crore in the SEZ.
Commerce secretary GK Pillai had earlier said the notified SEZs cannot be de-notified as per the law of the land and that if the state decides to scrap the notified SEZs, the state itself and not the Centre should deal with the issue of granting compensation to the developers for an amicable settlement.
The SEZs, which had received formal approval after procuring the required land are — 40.25-hectare IT/ITeS SEZ by Paradigm Logistics and Distribution, 13.28-hectare gems and jewellery SEZ by Planetview Mercantile Company, 48.48-hectare biotech SEZ by Inox Mercantile Company and 18.5-hectare IT SEZ by Panchbhoomi Infrastructure.
Source: Financial Express
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