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India to see new economic zones | India to see new economic zones |
(4 days later) | |
India's government has lifted a freeze on the acquisition of land to set up Special Economic Zones (SEZ). | India's government has lifted a freeze on the acquisition of land to set up Special Economic Zones (SEZ). |
A temporary ban was imposed in January after widespread protests by farmers who said they were not being properly compensated for lost farmland. | |
Commerce Minister Kamal Nath, announcing the new plan, said land would no longer be acquired by state governments, but by developers. | Commerce Minister Kamal Nath, announcing the new plan, said land would no longer be acquired by state governments, but by developers. |
The idea of tax-free zones stems from China, as a way to promote trade. | The idea of tax-free zones stems from China, as a way to promote trade. |
There will now be a limit of 5,000 hectares for each zone. | There will now be a limit of 5,000 hectares for each zone. |
The initiative has inspired huge interest among would-be developers but has also prompted resistance from rural communities. | The initiative has inspired huge interest among would-be developers but has also prompted resistance from rural communities. |
Recent government moves to clear land for a petrochemical centre in West Bengal led to conflicts killing 14. Other regions also saw protests. | Recent government moves to clear land for a petrochemical centre in West Bengal led to conflicts killing 14. Other regions also saw protests. |
Farming in India is the mainstay of some two thirds of the population. | Farming in India is the mainstay of some two thirds of the population. |
On the other hand, increasing trade is deemed a way to encourage industrialisation and increase India's economic base. | On the other hand, increasing trade is deemed a way to encourage industrialisation and increase India's economic base. |
Venugopal Dhoot, president of the Associated Chambers of Commerce and Industry, said allowing more such economic areas "would accelerate economic activities for increased production and exports". | Venugopal Dhoot, president of the Associated Chambers of Commerce and Industry, said allowing more such economic areas "would accelerate economic activities for increased production and exports". |
The government said permission would be given for 83 SEZs. A further 162 such areas which already have preliminary permission would be looked into. | The government said permission would be given for 83 SEZs. A further 162 such areas which already have preliminary permission would be looked into. |
Another potential 140 new zones would also be examined. | Another potential 140 new zones would also be examined. |
Following the recent protests in the West Bengal's village of Nandigram and elsewhere, Commerce Minister Kamal Nath said no state could oblige farmers to sell their land. | Following the recent protests in the West Bengal's village of Nandigram and elsewhere, Commerce Minister Kamal Nath said no state could oblige farmers to sell their land. |
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