200 SEZs may get clearance in Oct
The Board of Approval (BoA) for special economic zones (SEZs) will hold a series of meetings next month to take up all the pending proposals which were held in suspension prior to the lifting of the cap on numbers.
By Amiti Sen, TNN |
NEW DELHI: The Board of Approval (BoA) for special economic zones (SEZs) will hold a series of meetings next month to take up all the pending proposals which were held in suspension prior to the lifting of the cap on numbers.
The proposals will be taken up state-wise over four meetings, all scheduled in October. The 200 applicants, who were made to wait in the wings, include big names like South Korean steel company Posco, the Indonesian Salim group, the Chatterjee Group, Moja Shoes and Sterling.
The ceiling of 150 placed on the number of approvals was removed by the empowered group of ministers (eGOM) on SEZs in a meeting last month. Speaking to ET, official sources said that the decision to take up proposals state-wise was to ensure that proposals from all states were given a fair scrutiny. “Since we are doing it state-wise now, it will keep all states happy and there will be no reason to complain,” the sources said.
Close to two-thirds of special economic zones (SEZs) approved so far after the notification of SEZ rules earlier this year are spread in just four states. As many as 92 of the 150 SEZs formally approved by the board of approval are located in Andhra Pradesh, Maharashtra, Tamil Nadu and Karnataka.
In case of in-principal approvals, Haryana, Maharashtra and Karnataka lead the pack accounting for 57 of the 117 projects given the nod. While the BoA had decided to give preference to least-represented states, the lifting of the cap has made such a move unnecessary. “Since there is no restriction on numbers now, we can clear all proposals which meet the stated criteria irrespective of where they are to be located,“ the sources said.
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The eGOM on SEZs was persuaded to lift the cap on the number of approvals by the commerce ministry and a number of states like Haryana, Andhra Pradesh, Maharashtra, Tamil Nadu and Orissa who had argued that a cap on numbers would adversely affect economic activity and growth. Although the eGOM removed the cap on numbers, it decided to hold a review meeting after a total of 70 SEZs is notified. Download
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