Three developers seek to exit SEZs
Three large notified special economic zones or SEZs have requested the government to allow them to abandon their projects, suggesting that the slowdown has taken a toll on the investments in these model enclaves envisaged to give a push to industrial growth.
The government does not yet see this as a worrying sign or set back in attempts to created world-class industrial infrastructure. Essar’s engineering SEZ in Hazira, Royal Palms IT/ITES SEZ in Mumbai and SNP Infrastructure’s IT/ITES SEZ in Tamil Nadu have expressed their inability to go ahead with their projects, citing poor market conditions.
The requests will be considered at the December 15 meeting of the board of approval, government body that approves proposals for setting up of the enclaves that are eligible for substantial tax concessions. All three have sited global slowdown and market conditions as reasons for their wish to exit the projects, a commerce department official, who did not wish to be named, told ET.
More : economictimes.indiatimes.com