Goa Cabinet withdraws SEZ policy

Goa government today justified their decision to withdraw the Special Economic Zone (SEZ) policy stating that such enclaves would have "put strain on state's resources".        

On June, 15, 2009, Goa Cabinet had withdrawn the three-year-old SEZ policy ceasing all the possibility of having these industrial enclaves in the state. 

"The Goa government is taking into consideration the fact that setting up of SEZs shall put undue strain on state's resources," Chief Minister Digamber Kamat told the state Legislative Assembly today.        

Kamat said that these zones shall put strain on the state's resources such as water and power and on the infrastructure without commensurate benefits.        

Goa government is also wary that these zones would trigger large scale migration of people.        

Kamat said that the decision to withdraw the policy was taken keeping in mind that Goa being a small state, making huge land available for SEZ would adversely affect the future development plan of the state.        

Goa had scrapped 12 SEZs while three enclaves which were notified are pending de-notification.        

The Union Commerce Ministry's Board of Approval is expected to take decision on this matter.