Karnataka - Hassan   

Traders worried over Centre's `no' to special economic zone in Hassan

Staff Correspondent

`It would have helped in integrated industrial development of the region'

HASSAN: The refusal of the Union Government to clear the proposal for a Special Economic Zone (SEZ) in Hassan has left people in the district, especially the trading community, a disappointed lot.

As part of its exercise to boost foreign direct investment, the Centre recently approved four SEZs. Karnataka Industrial Area Development Board (KIADB) had taken keen interest in developing Hassan Growth Centre in 1662.39 acres of land. An express power line from Hassan city power station to the growth centre was drawn to provide uninterrupted power supply.

Arrangements were made to supply 2.5 million gallons of water a day from Hemavathi river, and land was earmarked for creating infrastructure facilities.

When the State Government was informed that it would not be possible to sanction a SEZ unless it earmarks 2,600 acres of land, the KIADB identified an additional 1,000 acres for acquisition to fulfil the condition, KIADB sources said. The Congress-Janata Dal (Secular) coalition Government had also planned to hold a investors' meet.

P.G.R. Sindhia, former Minister for Industries who visited Hassan last year, had assured the trading community that all efforts would be made to get approval for Hassan SEZ and the former Prime Minister H.D. Deve Gowda had also assurance regarding it.

Chief Executive Officer of Biocon India, Kiran Mazumdar-Shaw, during her visit to Hassan said that setting up of SEZ in Hassan would help her company expand its operations, as it was purely export-oriented.

Minister for Public Works and Energy H.D. Revanna and Deve Gowda, Hassan MP, have made sincere efforts in setting up an airport near Bhuvanahalli in the outskirts of the city, and allocated Rs. 10 crore sought by the Airport Authority of India for primary infrastructure.

In view of the developments, the Union Government had agreed in principle to set up an SEZ in Hassan.

With KIADB inviting global tenders for development of SEZ, few multi-national companies had started showing interest in setting up production units. But the refusal of Board of Approvals (BoA) not to approve Hassan SEZ has shocked the trading community.

Ravikumar, president of Hassan District Chamber of Commerce and Industries, said that the BoA's decision had disappointed entrepreneurs of Hassan, as they were planning to set up ancillaries of major industries.

The sanctioning of SEZ to Hassan would have helped in the integrated industrial development of the region, he said.

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