Fresh SEZ proposals to be considered by new govt

The Commerce Ministry has received about 18 proposals for setting up special economic zones (SEZ), which are likely to be considered by an empowered board after the new government assumes office later this month.

The Board of Approval (BoA), Chaired by Commerce Secretary G K Pillai, may meet immediately after the new government is formed to take up the SEZ proposals, a senior official said.

However, it remains to be seen whether the ministry could go ahead clearing the SEZ proposals in terms of the policy framework of the UPA if the same coalition does not return to power.

"The BoA will meet later this month to consider 18-20 SEZ proposals," the official said.

He said that due to the global credit squeeze, only companies that are serious in setting up tax-free enclaves are coming up with proposals.

According to industry sources, India's major real estate players like DLF and Parsvanath have been unable to raise funds for their SEZ projects.

DLF has approached the government on surrendering its four of the nine notified SEZs on IT-ITeS, while Parsvanath had put on hold its 12 IT/ITeS SEZ projects.