Latest Property News on 'Special Economic Zones'

Kerala CM postpones decision on SEZs

Thursday as Chief Minister V.S. Achuthanandan postponed decision on the proposed 21 special economic zone (SEZ) proposals. The chief minister’s statement came barely a week after the Communist Party of India-Marxist (CPI-M), to which he belongs, urged the state government to speed up decisions on SEZs. The Communist Party of India (CPI), the Revolutionary Socialist Party and the Janata Dal, all are part of the ruling LDF, are not very keen to setting up SEZs in the state. Hence, the Kerala Industries Department’s efforts to attract as much as Rs.250 billion ($5.8 billion) fresh investment in different sectors appear to have hit a roadblock. Kerala today has one SEZ in Kochi and 13 more projects have got the final clearance. Besides, eight more SEZs are awaiting the central government’s nod.

‘A decision can be taken only after discussing the issue with the party leadership in Delhi. The Left has its own reservations on SEZs,’ Achuthanandan told reporters here after the weekly cabinet meeting. When reporters pointed out his party’s stand, Achuthanandan said: ‘The state committee of the party can take any decision. But when the Left Democratic Front (LDF) makes a decision, it has to be discussed with all allies.’ ‘See, those who get approvals to build SEZs get a lot of benefits. They get discount on all materials in construction. Once completed, they get so much tax benefits. We have to make sure that this benefit is passed on to the state too,’ the chief minister said. Read More »

ANSAL announces Rs 36 billion investment in SEZ and IT parks

Ansal Properties & Infrastructure Ltd has announced a total investment of about Rs36nm SEZs and Its. Ansal API is one of the first developers in India to obtain notification for setting up of IT/ITES SEZs in the country. The company currently has approval for setting up IT/ITES SEZs in Greater Noida, Gurgaon and Mumbai. While the IT SEZs have been named as ‘The Campus’, the IT Parks have been christened ‘Net City’. Construction, for some of the projects has already commenced and they are expected to be completed in the next five to seven years. The total area to be developed under the scheme would be approximately 270 acres with built-up area of about 17mn sq.ft. Strategically located close to IT companies, expressways and airports, these SEZs will offer immense value to IT/ITES companies in the area besides contributing to its development. Based on the walk-to-work culture, the proposed SEZs will consist of an IT Zone (Processing area), a commercial zone (non-processing), a residential zone and a recreational area. These SEZs will be equipped with all modem amenities like 100% power back-up, professionally managed 24X7 facility services, central air conditioning etc. Special attention has been given to the architecture in order to maximize space utilization. Large and efficient floor plates, lesser columns and high ceiling height and ample car parking space are some of the other features that will be offered to customers. These SEZs / Parks will also endeavour to adhere to energy efficient building practices.

Speaking on the occasion, Pranav Ansal, Vice- Chairman and Managing Director, Ansal API said, “We are extremely delighted to announce our expansion into West India with the launch of IT SEZ ‘The Campus’, Khopoli. These SEZs are aimed at growing IT & ITES companies who are choosing to set up centers in adjoining areas of Tier- 1 cities in view of the global economic pressure to reduce costs and maximize returns. Ansal API SEZs will offer them the best value for money.” Earlier in the year, Ansal API announced Haryana’s first private Integrated Industrial Park - Pioneer - spread over 100 acres at Pathredi in Gurgaon.

ANSAL announces Rs 36 billion investment in SEZ and IT parks

Ansal Properties & Infrastructure Ltd has announced a total investment of about Rs36nm SEZs and Its. Ansal API is one of the first developers in India to obtain notification for setting up of IT/ITES SEZs in the country. The company currently has approval for setting up IT/ITES SEZs in Greater Noida, Gurgaon and Mumbai. While the IT SEZs have been named as ‘The Campus’, the IT Parks have been christened ‘Net City’. Construction, for some of the projects has already commenced and they are expected to be completed in the next five to seven years. The total area to be developed under the scheme would be approximately 270 acres with built-up area of about 17mn sq.ft. Strategically located close to IT companies, expressways and airports, these SEZs will offer immense value to IT/ITES companies in the area besides contributing to its development. Based on the walk-to-work culture, the proposed SEZs will consist of an IT Zone (Processing area), a commercial zone (non-processing), a residential zone and a recreational area. These SEZs will be equipped with all modem amenities like 100% power back-up, professionally managed 24X7 facility services, central air conditioning etc. Special attention has been given to the architecture in order to maximize space utilization. Large and efficient floor plates, lesser columns and high ceiling height and ample car parking space are some of the other features that will be offered to customers. These SEZs / Parks will also endeavour to adhere to energy efficient building practices.

Speaking on the occasion, Pranav Ansal, Vice- Chairman and Managing Director, Ansal API said, “We are extremely delighted to announce our expansion into West India with the launch of IT SEZ ‘The Campus’, Khopoli. These SEZs are aimed at growing IT & ITES companies who are choosing to set up centers in adjoining areas of Tier- 1 cities in view of the global economic pressure to reduce costs and maximize returns. Ansal API SEZs will offer them the best value for money.” Earlier in the year, Ansal API announced Haryana’s first private Integrated Industrial Park - Pioneer - spread over 100 acres at Pathredi in Gurgaon.

ANSAL announces Rs 36 billion investment in SEZ and IT parks

Ansal Properties & Infrastructure Ltd has announced a total investment of about Rs36nm SEZs and Its. Ansal API is one of the first developers in India to obtain notification for setting up of IT/ITES SEZs in the country. The company currently has approval for setting up IT/ITES SEZs in Greater Noida, Gurgaon and Mumbai. While the IT SEZs have been named as ‘The Campus’, the IT Parks have been christened ‘Net City’. Construction, for some of the projects has already commenced and they are expected to be completed in the next five to seven years. The total area to be developed under the scheme would be approximately 270 acres with built-up area of about 17mn sq.ft. Strategically located close to IT companies, expressways and airports, these SEZs will offer immense value to IT/ITES companies in the area besides contributing to its development. Based on the walk-to-work culture, the proposed SEZs will consist of an IT Zone (Processing area), a commercial zone (non-processing), a residential zone and a recreational area. These SEZs will be equipped with all modem amenities like 100% power back-up, professionally managed 24X7 facility services, central air conditioning etc. Special attention has been given to the architecture in order to maximize space utilization. Large and efficient floor plates, lesser columns and high ceiling height and ample car parking space are some of the other features that will be offered to customers. These SEZs / Parks will also endeavour to adhere to energy efficient building practices.

Speaking on the occasion, Pranav Ansal, Vice- Chairman and Managing Director, Ansal API said, “We are extremely delighted to announce our expansion into West India with the launch of IT SEZ ‘The Campus’, Khopoli. These SEZs are aimed at growing IT & ITES companies who are choosing to set up centers in adjoining areas of Tier- 1 cities in view of the global economic pressure to reduce costs and maximize returns. Ansal API SEZs will offer them the best value for money.” Earlier in the year, Ansal API announced Haryana’s first private Integrated Industrial Park - Pioneer - spread over 100 acres at Pathredi in Gurgaon.

Goa forbids land allotment for SEZs

Goa government has recently stated that no lands within the industrial estates owned by Goa Industrial Development Corporation (GIDC) should be allotted or leased for establishing special economic zones (SEZs). In a written reply tabled on the floor of the house, chief minister Digamber Kamat said that if any land has been leased, the lease should be immediately revoked or cancelled. The state-government run GIDC had earlier issued show cause notice to revoke lands to seven SEZ promoters, which were later revoked forcing the state developers to approach the High Court.

The GIDC has issued notices to meditab specialities (pharma), Peninsula Pharma Research Centre Private Limited (Bio-tech), K Raheja Corp Pvt Ltd (service), Paradigm Logistics and distribution pvt ltd (IT), Inox Mercantile co. pvt ltd (Bio-tech), Planetview Mercantile Co Pvt Ltd (Gem and Jewelry) and Maxgrow Finlease Pvt Ltd (IT). The chief minister stated that the six companies have already moved to the high court challenging the show cause notice. The court has granted status quo to the petitioners.

Upcoming SEZ at Nellore

The Nellore district of Andhra Pradesh is experiencing the development of a multi product SEZ (Special Economic Zone) about 55 km from Chennai. The sprawling 5000 acres private city on the National Highway-5, a part of the golden quadrilateral connecting the four major metros with well-demarcated industrial zones and an adjacent domestic tariff area in the bordering district of Andhra Pradesh, is set to have the strategic advantage of sharing a proximate corridor with Sriperumbadur autocomponent cluster - outer of Chennai and manufacturing cluster units near Gummidipoondi and other manufacturing industries - located north of Chennai. The city is also close to 3 sea ports and 2 airports with 2 sea ports having closer access to the Ennore (40 km) and Chennai ports (65 km) and with one international airport (75 km) also in Chennai - all opening a floodgate of opportunities for jobs and businesses between Sri City and Chennai. The new SEZ is envisaged to generate employment for 1.75 lakh people with an overall investment of Rs 17,500 crore, said Chief Minister of Andhra Pradesh, Y S Rajasekhara Reddy in his keynote address.

Explaining India’s rationale in jumping the SEZ bandwagon, L B Singhal, director general of export promotion council for EOUs and SEZ units, ministry of commerce, government of India, said the country’s venture is based on the success of 3,600 SEZs generating 420 lakh jobs around the globe. “SEZs in India have attracted investments to the tune of Rs 73,000 crore and contributed to the export kitty of around Rs 60,000 crore, providing employment to around 3.30 lakh people in the country,” he said. Lauding the government’s role in roping national and international SEZ developers, Bhaskar Subramanian, associate director, PWC (PricewaterhouseCoopers) said the government sops in both direct and indirect taxes in various state governments is encouraging various reputed players both national and international to set up shop in India. Ravindra Sannareddy, chairman, Sri City (P) Ltd said the setting up of 5000 acres SEZ and DTA (Domestic Tariff Area) encompassing a landmass in Nellore and Chitoor districts of Andhra Pradesh in a way is repaying the debt of gratitude he owes to his native region of the state.

SEZs Run into Stamp Duty Wall

Special economic zones (SEZs) could be in for some tax trouble from the states. States have questioned the stamp duty exemption given by the Centre under the SEZ Act.

Some state governments have objected to the Centre’s power to provide such a tax sop, and termed the move to exempt stamp duty under the Indian Stamp Act as ultra vires. The finance ministry is now proposing to elicit law ministry’s views on the issues raised by states, official sources told ET. Read More »

Kudos in line on inflation management

The RBI’s Annual Credit Policy has come and gone and the markets and the economy are reacting to the initiatives of the RBI. It is obvious that the Governor/RBI has been proved correct in his judgment of the inflationary potential in the economy and his measures to raise the CRR before the credit policy were, indeed, well-timed. Hats off to him! I propose to devote this piece to an analysis of the document on macroeconomic and monetary developments for 2007-08 issued by the RBI just before the announcement of the Annual Monetary Policy statement for 2008-09.

The centre piece of the discussion is obviously on various macroeconomic aggregates, including, in particular, the growth of credit and money supply. But there are some details that bear detailed scrutiny. The total growth of bank credit as on January 16, 2007 was 30.1 per cent, while that in February 2008 was 22 per cent. The decrease in credit has not led to a decrease in inflationary potential. In fact, the latter period saw a higher increase in price inflation. Read More »

Finolex to Sell Pune SEZ Land for Rs 400 cr

Finolex Industries, part of the diversified Finolex group, has decided to sell off its special economic zone (SEZ) plot at Chinchwad near Pune. It is close to signing a deal with a US-based developer to sell the land for between Rs 350 crore and Rs 400 crore.

For close to a year, the Rs 950 crore maker of PVC pipes and fittings had been weighing two options for the 78-acre plot — either to develop it as an information technology SEZ or dispose it off completely and unlock the value of the land. A source close to the company said: “We were earlier in talks with companies in the Middle East and the United States to jointly develop an IT SEZ there, but the management has finally decided to dispose it of.” Read More »

Decision on 12 Goa SEZs June 4

The central government will take a decision next month on the 12 approved special economic zones (SEZs) of Goa as the state is up in arms against them. “We will call them (developers) for a hearing at the next meeting June 4 and then will take a decision on those 12 SEZs,” G.K. Pillai, Secretary of the ministry of commerce and industry, told reporters here.

“The Board of Approvals - BOA - (for SEZ) has already issued show-cause notices (to the developers),” Pillai added. So far, three SEZs in Goa have been notified by the government - the Mumbai-based real estate major Raheja’s IT SEZ, pharmaceutical major Cipla’s project, and Peninsula Pharma’s biotech SEZ. Read More »