Bengal plans auto parts SEZ to boost engg exports

Our Bureau

More such SEZs including multi-product ones were being planned in Bengal.

Kolkata , Dec. 18

In a bid to provide a major stimulus to manufacturing sector growth, the
West Bengal Government has decided to set up an exclusive auto
components SEZ, the land for which was now being identified.

Speaking at the Engineering Export Promotion Council (EEPC) awards
presentation ceremony here on Monday, the State Industry Minister, Mr
Nirupam Sen, said the Centre has given an in-principle clearance for the
proposed single-product SEZ project (which required small size land),
which was expected to rev up Bengal's engineering exports sector. He
said more such SEZs including multi-product ones were being planned in
Bengal.

Later, responding to queries from presspersons, Mr Sen said it would
complement the Tata Motors' small car project coming up at Singur. He
said pre-construction work on the Tata Motors project has already begun.

The initiatives

Commenting on the initiatives taken to push exports per se from Bengal,
including engineering exports, the Minister assured the exporting
community that efforts would be mounted soon to revive the Board of
Trade set up by the Government, which had remained non-functional for
some years now.

The board acted as a platform for the exporting community to air its
suggestions for the benefit of the State Government. EEPC has offered to
act as the revised Board's secretariat.

Mr Sen conceded that export of engineering goods from the State would
depend on the quality of infrastructure provided, especially ports,
roads, power etc.

infrastructure

Outlining the steps to beef up infrastructure, he said there was a plan
to directly link Haldia, the fast developing port town in Midnapore
district, through another expressway with the North-North-east region.
He said the Centre's proposal to examine setting up of a deep-sea port
in the Bay of Bengal would give a tremendous boost to exports from
eastern India.

The Minister also assured engineering exporters that he would take up
the vexed issue of delayed VAT refunds to exporters with the State
Commercial Taxes Department.

Exports

Earlier, in his welcome address, Mr Rakesh Shah, Chairman of EEPC, said
engineering exports have already touched $13 billion till October this
year, and that the council was confident of achieving the revised target
(for 2006-07) of $24 billion.

Pointing out that Indian engineering goods exports was now led by
value-added exports, he said during 2005-06, export of capital goods and
transport item constituted 52 per cent of the total exports of
engineering goods. He also sought public utility status for exports, so
that the sector could be effectively protected against frequent bandhs
and strikes.
http://www.thehindubusinessline.com/2006/12/19/stories/2006121902141100.htm