GMR plans SEZ in Hyderabad

November 8, 2006	(1 votes, average: 3 out of 5)  Loading ...
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The Hyderabad-based GMR group — which has won the contract to modernise Delhi airport — is joining the bandwagon of Indian enterprises setting up special economic zones (SEZ).

Unlike other corporates who are on a land acquisition spree to cash in on the boom in the tax free enclaves, GMR is planning to invest Rs 1,500 crore to set up a multi-product SEZ with special focus on aviation-related activities in the area adjoining Hyderabad’s greenfield airport.

Sources said the company had approached the board of approvals, which clears SEZ proposals, to move ahead with the project, which wil be spread over 250 acres.

“GMR owns around 700-750 acres of land in Shamsabad, where the new Hyderabad airport is being built. A part of this land, around 250 acres, has been earmarked for this SEZ project,” a source said.

Andhra Pradesh has already given its go-ahead to setting up the SEZ. “It will be a multi-product SEZ, which will focus on avionics and aviation components, aircraft maintenance, besides consumer electronics,” the source said.

While the grant of SEZ status will help the promoter save on taxes, the proposal is expected to go through some heavy scrutiny by the home ministry, which wants a closer look at all project near strategic locations including ports and airports.

No date has been fixed for BoA’s next meeting, which is expected to consider over 60 fresh proposals — including GMR’s — in addition to the 170-odd projects which have been approved in-principle but are awaiting a final go ahead after the land acquisition and security mapping have been carried out. To ensure that the security agencies get enough vetting time, BoA has decided to double the scrutiny period to 30 days.

The GMR project, officials said, is part of GMR’s development plan for the new airport in Hyderabad under which the firm also plans to establish two hotels in the airport area. In the first stage, it plans to have a mid-market hotel close to the airport.

Source from Timesofindia.com

News Published Under:   Hyderabad, Special Economic Zones |