Indore SEZ scouts for pvt party for injecting $100 m

CHANDIGARH: The greenfield Special Economic Zone (SEZ) in Indore, Madhya Pradesh, which has already witnessed infrastructure development in an area of 350 acres of the total 2,700 acres of land proposed to be developed, is expecting an investment of nearly Rs 1,000 crore during 2003-04.
Twenty-two applicants have sought space in the upcoming zone. Talks with two other parties to set up units involving an investment of another Rs 500 crore are under active consideration of the MP Audyogik Kendra Vikas Nigam, Indore (MPAKVN) which is spearheading the development of the zone.
A Special Purpose Vehicle, SEZ Indore Limited with an equity of Rs 75 crore, has been floated to undertake development work of the SEZ. Hunt is on for a joint venture partner who could develop and maintain the project.
The new partner would need to pump in an additional $100 million for development of the SEZ in phases.
According to MPAKVN Indore managing director Vivek Aggarwal the Indore SEZ expects Rs 10,000-crore investment over the next 3-4 years. He said the kind of infrastructure being developed was commensurate with the best available in the world and the state government’s investor-friendly policies makes this project different.
He indicated that of the Rs 75 crore equity in SEZ Indore Ltd, Rs 50 crore was in the form of land in the SEZ while Central government contributed Rs 10 crore and MPAKVN (Indore) the rest.
Already, SEZ Indore has doled out sops in the form of liberalised labour laws and permission to install captive power plants to woo entrepreneurs.
Mr Aggarwal was in Chandigarh recently to attend a business meet organised by PHDCCI on SEZ, Indore: Exposition and Land Allotment Camp.
MP State Industrial Development Corporation MD S R Mohanty said the state government would shortly notify a single reporting format for all SEZ units which would cover all labour laws.
Further, all SEZ units and their developers would be exempted from payment of commercial tax, turnover tax, VAT, octroi, mandi tax, purchase tax, electricity cess, stamp duty or any other kind of cess or levy of the state government for any transaction between them.
With close proximity to the Agra-Mumbai highway, Indore was well connected to the ports, Mr Aggarwal said.
The fully operational inland container depot had a direct connection to the SEZ Indore to take care of the warehousing requirements of the units.