Acquisition of land is the biggest problem for setting up SEZs

Acquisition of land is the biggest problem for setting up SEZs

FPJ BureauUpdated: Saturday, June 01, 2019, 12:49 AM IST
article-image

Indore : Madhya Pradesh can attract large-scale investments in the new SEZs by improving civic amenities thgre. Giving sops and other facilities won’t help in luring investors as they are same all over the country, said new SEZ Commissioner, MP Ishwar Singh, in an exclusive interview.

Some excerpts:

How the SEZs of Indore are different from SEZs of other states?

SEZs are managed under the same set of rules of the Union Government and in the eyes of the Centre there is no difference between or among the SEZs.

As per business potential of MP, don’t you think there are a few number of SEZs in the state in comparison to other states?

Availability of land is a nationwide problem. If land is there, they are found to be fertile, and barren lands are required for SEZs. Now, because of new legislation in land acquisition, resettlement of project-affected persons (PAP) is very difficult.

What benefit SEZs are enjoying in MP?

They get benefit under some schemes. They are exempted from the Commercial Tax, Income Tax, and Service Tax. These exemptions are given to the units working under the SEZ policy. From the trade policy 2012, they have been provided incentive under Section 3 of Foreign Trade Policy, SCRIPS. Earlier, this was not available to them.

What are the key areas as per your study where MP can have SEZs?

MP is having sufficient hand. They can provide land because they have vast barren and waste land. The state can attract investors by providing civic amenities like water, drainage system.

How can MP attract investments in the new SEZs?

Investors may invest in the state only when they get benefits. It depends on so many things— available of raw material, proper set of govt mechanism and protection to the investors etc. All these things counted as key areas.

At present, the SEZs are established in and around Indore. Are you planning to develop new SEZs in other areas?

You see 92% SEZs of the country are under urban administration. Because, acquisition of land from farmers in rural areas is difficult. The cost of providing amenities like roads, water, and connectivity to railways, ports, and airports are very high. This is why the State Government scraps the proposal of setting of an SEZ in Gwalior because of absence of business opportunity there.

What are the major challenges before setting of new SEZs?

The first and foremost problem is availability of land. Other problem areas are imposition of MAT (Minimum Alternative Tax) and DDT (Dividend Distribution Tax). Due to these two, the units are losing revenue. But the Union Ministry of Commerce has raised the matter with the Ministry of Finance. Since four years, we (Ministry of Commerce) are trying but yet to get desired result.

RECENT STORIES

MP: Muslim Boy Pours Boiling Water On Hindu Girl Playing Holi In Dhar; Visuals Surface

MP: Muslim Boy Pours Boiling Water On Hindu Girl Playing Holi In Dhar; Visuals Surface

Lok Sabha Elections 2024: MP & Maharashtra Police Meet To Tighten Up Security Ahead Of

Lok Sabha Elections 2024: MP & Maharashtra Police Meet To Tighten Up Security Ahead Of

MP: Neemuch Collector, SP Meet To Review Permit Cancellation Of Pandit Pradeep Mishra's Shivpuran...

MP: Neemuch Collector, SP Meet To Review Permit Cancellation Of Pandit Pradeep Mishra's Shivpuran...

Lok Sabha Elections: Digvijaya & Son Jaivardhan In Congress’ Star Campaigners List From MP; Nakul...

Lok Sabha Elections: Digvijaya & Son Jaivardhan In Congress’ Star Campaigners List From MP; Nakul...

Bhopal: CM Mohan Yadav Should Apologise To People Of Chhindwara, Says Kamal Nath

Bhopal: CM Mohan Yadav Should Apologise To People Of Chhindwara, Says Kamal Nath