SEZ policy

User Forum Topic
Submitted by WillyMark00 on June 12, 2008 - 8:42pm

Real Estate in Cochin are in the expansion process to meet the demand for homes, offices and retail space as overseas companies are allowed in more industries and faster economic growth boosts middle-class incomes in the country. This has also generated the need for funds for investment into the realty sector creating the need for organized finance. Few land owners or capitalists should not be allowed to occupy and profit their shareholders alone, while dumping the social and environmental concerns of several millions into their favorite political backyards.

Responding to the growing public opinion, the Chief Minister had repeatedly stated that the government would review the SEZ policy. Goa had so far approved seven SEZs, with two having already been notified. Following public outcry and mob violence at the sites of some of these projects, works were suspended recently. SEZs in India have come to be the most bitterly argued economic idea in recent times, reports tehelka.com. They have sent a rift down governments in several states including West Bengal, Goa, etc. Their defenders tell you they are high incentive zones meant to woo big export oriented industries. In fact, they are a thinly disguised ploy for real estate profiteering. As things stand, SEZs are the East India Company all over again. They are constructed to be duty free enclaves within the country that are beyond its jurisdiction. They will have huge tax holidays, no labor laws, no excise duties, and no restrictions on foreign direct investment. They will have unfair advantage over companies operating in domestic tariff areas. They will be governed by independent commissioners with extraordinary powers. They will be built on huge tracts of land, running into thousands of acres, acquired often by force by the government for public purpose. Yet property developers will have to use only 25% of the land for industry. A whopping 75% of the land can be used for other purposes.