SEZ policy needs amendment: D. Raja

By IANS

New Delhi : The Special Economic Zone (SEZ) policy that was formulated in 2006 needs urgent amendment as it is ambiguous and does not clearly mention the remedies for those displaced, senior Communist Party of India (CPI) leader D. Raja said here Friday.


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"When the SEZ policy was passed by the parliament in 2005 the issue was not controversial. But in 2006, when finally the rules were framed everything became clear and we started questioning the policy. We found it was not in favour of the people at all," Raja told a seminar organised by the Associated Chamber of Commerce and Industry.

"It is in the interest of the people that the government should agree to amend the SEZ rules and get rid of land acquisition," he said.

Raja added that a lot of myths regarding SEZs have been created among masses by referring to them as the most important prerequisite for India's economic development.

"We have to understand that India's economic development was not based on SEZs. Our real strength lies in our PSUs (public sector undertakings). It is because of these PSUs that India never passed through any crisis," Raja said, adding that the private sector should also coexist with the public sector.

Stressing the need for evolving a knowledge-based economy, Raja said: "Today not even three percent of the GDP is spent on education. Almost 80 percent of the rural schools are still devoid of blackboards."

On the issue of SEZ developers grabbing fertile lands, he said: "These zones must be set up in wastelands and not on fertile lands displacing the farmers. Also, the SEZs cannot be independent islands where the laws of land cannot operate. This would be like creating zamindars in an independent country."

Raja also asked for an urgent rehabilitation package for the displaced people to avoid any violent incidents, referring to the rise of violence in Nandigram in West Bengal.

"People are resisting and that cannot be undermined nor ignored."

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