Left to seek changes in SEZ Act in winter session
The Left parties will push for amendments in the Special Economic Zones Act during the winter session of Parliament.india Updated: Nov 05, 2006 20:27 IST
The Left parties will push for amendments in the Special Economic Zones Act during the winter session of Parliament, to put a ban on acquisition of farm land and revise the criteria for processing area and tax benefits for the developers.
"We have suggested some changes in the SEZ Act to the government. Hopefully, we will have enough support to amend the Act in the winter session of Parliament," CPI(M) General Secretary Prakash Karat told in an interaction in New Delhi.
The winter session begins on November 22.
Karat said Left parties, in a note last month, had asked the UPA government to review the SEZ Act and amend it in line with their suggestions.
"We have identified three main areas—restriction on acquisition of farm land, change in processing area within the zones and a relook at tax exemptions," he said.
Left parties have suggested following the West Bengal model for processing and non-processing area within SEZs.
In West Bengal, SEZ developers are required to utilise 50 per cent of the total area for manufacturing activities and the remaining for non-processing activities such as houses, roads, parks and restaurants.
However, as per the SEZ Rules framed by the Centre, only 35 per cent of the area must be used for processing activities. The remaining 65 per cent area can be used for non-processing functions.
First Published: Nov 05, 2006 20:27 IST