EGoM fails to decide, 340 SEZs still in dark

Tuesday January 23 2007 00:00 IST
NEW DELHI : The Empowered Group of Ministers (EGoM), on Monday, failed
to draw a final conclusion on the issues of land and tax concessions in
Special Economic Zones. Fate of more than 340 SEZs cleared so far
depends on the final decision of the EGoM. Announcing the fact Commerce
and Industry Minister Kamal Nath said, “The EGoM discussed land issues,
rehabilitation question and possible misuse of tax concessions. But it
remained inconclusive.” The EGoM will meet again shortly he added.

The EGoM decision will decide the fate of the 340 SEZs that are approved
but not notified. However, for the 63 SEZs notified till now, EGoM’s
call on SEZ policy will not be applicable. Pending the final view of
EGoM, no fresh SEZ proposals will be taken up by the inter-ministerial
Board of Approvals (BoA). Currently as many as 300 SEZ applications are
pending with BoA.

Nath said as EGoM Chairman and External Affairs Minister Pranab
Mukherjee had to leave for another meeting, final views on various
issues could not be reached. However, sources said as the issues raised
on SEZs were complex and contentious, it was difficult to reach a firm
policy. Besides Mukherjee and Nath, the EGoM includes Finance Minister P
Chidambaram, Agriculture Minister Sharad Pawar, and IT and
Communications Minister Dayanadhi Maran.
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