EGoM meet on SEZ inconclusive

The meeting of the empowered group of ministers on special economic zones could not reach any firm view on on Monday while the government will take the rehabilitation policy to the Cabinet next month.

After the meeting, Commerce and Industry Minister Kamal Nath told reporters the Board of Approval would not clear any fresh applications till the EGoM reaches a decision.

The Centre has asked the state governments to submit the details of land acquisition for all purposes, including SEZs.

"The EGoM discussed land issues, rehabilitation question and possible misuse of tax concessions," Nath said.

The meeting remained inconclusive because the EGoM chairman and External Affairs Minister Pranab Mukherjee had to go for another meeting, he said.

The EGoM is likely to meet within ten days after Nath returns from the World Economic Forum at Davos. Earlier this month, the board of approval meeting was cancelled twice pending the finalisation of the rehabilitation policy as announced by Prime Minister Manmohan Singh.

So far, the BoA has given final approvals to 237 SEZ and in-principle nod to about 165 zones. Besides, another 300 applications are pending before the BoA.

The SEZ policy has come in under increased pressure following violent protests at Nandigram in West Bengal where Indonesia's Salim Group had proposed an SEZ.