Assocham for new GoM for SEZs with state representatives

New Delhi, Jan 21 (UNI) Aiming to evolve new comprehensive policies and packages, industry body Assocham today urged the Prime Minister to reconstitute a new Group of Ministers (GoM) with state representatives to formulate land acquisition and rehabilitation policies for SEZs in three months.

The body also suggested that IT Special Economic Zone (SEZ) could be developed and made operational within a period of six months from the date of notification.

With this 130 approved IT sector SEZs would immediately bring an investment of 9-12 billion dollars, resulting into massive employment generation and accelerate India's GDP.

''SEZ's are must to achieve 10 per cent GDP growth, 25 per cent export acceleration for consecutive 10 years and also create additional job opportunities in the range of 15-17 lakh in next five years with unlimited investment opportunities,'' Assocham President Venugopal N Dhoot said in a note submitted to the Prime Minister Office (PMO).

Mr Dhoot added that the current mandate of GoM for SEZ's is not as wide, comprehensive and diversified as it should have been and does not sufficiently address the issue of relief and rehabilitation.

''Till the reconstitution of new GoM takes place, the pending proposals for SEZ's creation should not be cleared in the absence of suitable and adequate relief and rehabilitation package so that the issue is unnecessarily not politicised for ulterior gains for vested interests,'' Mr Dhoot said.

The chamber has also established SEZ's Promotion Council to address contentious issues in consultation with concerned ministry, whose recommendations have also been submitted to government and the PMO.

According to Assocham, 250 proposals to put up SEZs in 21 states are awaiting approvals because of disputes on compensation package and acquisition of agriculture land.

The number of proposals -- to be cleared latest by 2006 -- continue to linger on for proper sanctions as dispute on agriculture land acquisition was not resolved.

The 250 proposals will require about 25,000 hectares of land with over Rs 3,000 crore of investments in 21 states, leading among them include Andhra Pradesh, Maharashtra, Tamil Nadu, Karnataka and West Bengal.

UNI