No Crisis For Either GOI or the Zionist Hindu Ruling Comradors of US Imperialism
Barking dogs bite not! It is proved once aghain!
Palash Biswas
Contact: Palash C Biswas, C/O Mrs Arati Roy, Gosto Kanan, Sodepur, Kolkata- 700110, India. Phone: 91-033-25659551
Email: alashbiswaskl@gmail.com">palashbiswaskl@gmail.com
No crisis is there for the Ruling Zionist Brahminical Comradors as US Imperialism backs strongly thes most hated anti national people who has translated this divided Geopolitics into a colony of the Galaxy Manusmriti Order ruled from Washington DC. Whatever may com in the winter or the Spring, power equation does not herald any fundamental change to liberate the Enslaved people accross the political borders!
Musharraf is safe.
Safe is World Bank slave Dr manmohan singh.
Barking dogs bite not! It is proved once aghain!
Brahmins in this part of the world have always been habitual to adjust in accordance with changing scenerio. Bengali brand of brahmins are more scientific and smarter than Rest of India!
Military cooperation with India improving steadily: US Admiral
Zee News - 36 minutes ago
New Delhi, Aug 24: A joint naval exercise by India, the United States, Singapore, Australia and Japan in the Bay of Bengal next month is not aimed at isolating China, a top US admiral said Thursday.
Bengal warm to UPA, but Kerala begs to differ
24 Aug, 2007, 0345 hrs IST, TNN
NEW DELHI: The CPM central committee may have been unanimous in serving an ultimatum to the Manmohan Singh government, but members from its two Left bastions — West Bengal and Kerala — are sharply divided when it comes to the Manmohan Singh government’s performance. While the West Bengal comrades made it a point to assert that the government in Delhi is “mindful of the state’s interests”, those from faction-ridden Kerala were critical that they had been getting a raw deal all through.
But leaders from both the states stood united in backing the politburo’s stand to go for the extreme step in case the Centre does not abandon the nuclear deal. There is acceptance in the party rank and file that a support for the government which signs the nuclear deal with the US will take away its only differentiating plank — “anti-US imperialism”. It’s an irony of sorts though that the same Left government in West Bengal has been faithfully pressing ahead with reforms.
The members from West Bengal are echoing the line taken by chief minister Buddhadeb Bhattacharjee, who could not make it to the central committee meeting in view of Japanese Prime Minister Shinzo Abe’s visit to Kolkata. Mr Bhattacharjee, who had a dinner meeting with Prime Minister Manmohan Singh last week, had told senior ministers of the Left Front on Wednesday that a change of guard at the Centre could hit the state’s industrialisation drive.
However, such concerns were not reflected by members from Kerala. In fact, there is a feeling that elections at this juncture may help them tide over the image deficit because of the murky factionalism in the state. With the campaign slogan “the Congress is a US agent” already on their mind, the Kerala Marxists are hoping to score over their rivals.
In the last Assembly election, the Marxists had used the anti-US theme in Kerala to the hilt. The party got impressive electoral dividends. With hardline leaders like Abdul Nassar Madani by its side, the CPM can be expected to carry out a high-voltage campaign against the Congress over New Delhi’s tilt towards the US.
http://economictimes.indiatimes.com/News/PoliticsNation/Bengal_warm_to_UPA_but_Kerala_begs_to_differ/articleshow/2305921.cms
The typecasting of the Indian mindset as being timid, insular and lacking self-confidence has to be discarded in light of Indian corporate raiders eating up foreign companies much larger in size. Indian companies struck more than 500 deals worth US$55 billion in the first half of 2007, and are on track for more than $100 billion by year's end.
Left parties are in a state of uncertainty over the Indo-US civil nuclear agreement. The Union government has maintained its earlier stand on the deal.
West Bengal Left Front Committee Chairman Biman Basu today warned that the Left parties would take the 'extreme path' if the UPA Government at the Centre did not budge from its stand on the Indo-US nuclear deal. Contrarily,
the Communist Party of India-Marxist (CPI-M) Friday stated there was "no crisis" for Prime Minister Manmohan Singh's government but insisted that the Left only wanted the government to "pause" the contentious Indo-US civil nuclear deal and not to press on the "eject or stop buttons".The CPI-M, which has reiterated that the Indo-US nuclear deal would do no good for the nation, also took strong exception to a "scurrilous campaign" that it was opposing the deal at "China's behest".In what is seen as a softening of its stance towards the government, CPI-M politburo member Sitaram Yechurty told reporters in parliament building: "I don't see a crisis. Where was it, and where has it gone?Opposing the Indo-US nuclear deal, the West Bengal BJP today said the party would support it if the country could be benefitted from the deal.Talking to newspersons, state BJP general secretary Rahul Sinha said, '' Our protest against the Indo-US nuclear deal is positive and we would support the deal if the country could be benefitted. We are opposing some clauses of the 123 agreements. '' But the CPI(M)'s opposition against the deal was negative and aimed at targetting the US.
The CPI(M) was playing double game, he alleged.
While on one hand they were opposing the deal, on the other they were pressing the Congress-led UPA government at the Centre for more fund for the SEZ in the state, he said.
On the other hand, with former prime minister Nawaz Sharif being allowed to return to Pakistan after seven years in exile, many see a renewed threat to the military rule of President General Pervez Musharraf. It's not that simple, as the general has friends in high places - in the United States.Exploratory talks between the Taliban and Afghan and Pakistani officials over a peace agreement are inching forward. It is proposed that small jirgas (councils) are staged with the Taliban and related parties, such as tribal elders, at various sites in Pakistan and Afghanistan. The administration of President Hamid Karzai in Kabul and the Western coalition have agreed. All that is needed now is the Taliban's approval.
Government forces have driven Tamil rebels from Sri Lanka's Eastern Province and are now marshaling their efforts to drive the Tigers from their northern stronghold, where they are heavily entrenched. It promises to be a campaign of attrition, with only broader bloodshed to come
Buddha proposes, Mamata disposes. The fate of a proposed chemical hub in West Bengal continued to remain caught in a political slugfest with Trinamool Congress chief Mamata Banerjee Friday saying she would not allow any chemical hub in West Bengal till Chief Minister Buddhadeb Bhattacharya meted out justice to the Nandigram victims.
The governmnent today said 25,000 hectares of land would be needed for the setting up of a Petroleum, Chemical and Petrochemical Investment Region (PCPIR) in Andhra Pradesh's Visakhapatnam-Rajahmundry-Kakinada region, aimed at encouraging global investments in the sector to accelerate economic growth. Andhra Pradesh Chief Minister Y S Rajasekhara Reddy today stressed the need to provide industrial training to the unemployed youth for getting better jobs.
The Haryana government has suspended the insecticide manufacturing licence of Maharashtra Agro Chem Private Ltd, Bahadurgarh in Jhajjar district with immediate effect for manufacturing and selling 'misbranded' insecticides.
In the backdrop of Reserve Bank of India's observation in its report of 2006-07 that Maharashtra stands at number three position in attracting investments while Gujarat was first, Maharashtra Chief Minister Vilasrao Deshmukh today claimed that the state has more investors than the neighbouring state and has more projects. The World Bank today assured the Maharashtra government that it would provide full assistance to the state in fulfilling its project 'Vision Mumbai' for which more than 50 billion US Dollars expenditure is expected.
Kerala's ruling Left is to decide on Aug 30 the fate of "tainted" Public Works Minister T.U. Kuruvilla, putting at rest media speculation that the minister would be asked to step down Friday following allegations that he had cheated a Kuwait-based businessman in a land deal. Leader of the Opposition in the Kerala Assembly Oomen Chandy today alleged that the land received by farmers under land reforms in his State were being grabbed by others.
The Kerala High Court today reserved orders on the petition filed by Sabarimala Chief Priest Kandararu Maheswaru challenging the Travancore Devaswom Board order barring his son, 'Tantri' Kandararu Mohanararu from performing pooja in the temple.
leader Mata Amritanandamayi Friday said that all believers should be allowed to enter temples, but desisted from commenting on the entry of women into the famed Sabarimala temple where it is restricted.
"With regard to entry of women of all age groups to Sabarimala, I would like to reserve my comments because if I make any statement then I would be branded a feminist," Amma, as she is popularly known, told reporters here at her ashram.
Women in the age group 10-50 are not allowed to enter Sabarimala.
Recent discussion about allowing non-Hindus to enter the famed Sri Krishna Temple at Guruvayoor had also kicked up a furore in the state.
Amma had invited the media to her ashram for the launch of two new projects that would help the children of farmers from Maharashtra's Vidarbha region, Kerala and Andhra Pradesh who had committed suicide as well as their families.
Farmers had ended their lives due to the failure of crops and the burden of debt.
"It would provide free education to 30,000 children all over India. The children of poor farmers or those who were forced to discontinue their education due to the lack of funds will receive priority. Children who lost their parents or were abandoned by them will also be considered for this project. Children of all castes between the ages of 10 and 15 who are studying in government schools will be eligible to apply for this project," said Amma.
The children would receive a stipend every month, subject to their performance in studies, until they complete their education.
She also said the ashram has decided to impart training in skills required for cottage industries to 5,000 women from farmers' families.
On the other hand, Prime Minister's Scientific Advisory Council Chairman and renowned scientist C N R Rao today expressed concern over the dwindling contribution of India to the world of science, during the last three decades, due to the curtailment of investment in universities and higher education sector. Policy limitations are acting as stumbling blocks in India making rapid strides in the field of aeronautics, renowned aeronautical scientist Dr Roddam Narasimha said today.
Aiming to meet the fuel requirements of India's nuclear energy programme, a cabinet panel Thursday approved a Rs.11.06 billion ($270 million) project for setting up a uranium mine and a processing plant in Andhra Pradesh.
CBI books its own for corruption
The Central Bureau of Investigation (CBI) Thursday registered a corruption case against one of its own officers for allegedly demanding bribes and warning people of dire consequences if they didn't pay up.
"We have registered a case against Superintendent of Police A.K. Sahay on the charges of allegedly misusing his position in collusion with private people by threatening accused or suspects in CBI cases and obtaining bribes from them with a motive to show favours in investigations," a CBI official said here.
Sahay is posted in the CBI Special Crime Branch in Kolkata.
The investigating agency had carried out searches at 11 locations in Kolkata and Dhanbad, including the office and residential premises of Sahay.
Comptroller and Auditor General tables report in Parliament
The report of the Comptroller and Auditor General of India on the performance audit of Union Government (Civil) Educational Development of Scheduled Castes and Scheduled Tribes for year ended March 31, 2006 was tabled in Parliament today.The report contains results of performance audit of Educational Development of Scheduled Castes and Scheduled Tribe, Ministry of Social Justice and Empowerment and Ministry of Tribal affairs.
Educational schemes are implemented by the Union Government with the objectives of enabling the Scheduled Castes and Scheduled Tribes to upgrade their educational levels, increasing enrolment and retention, reducing drop out rates etc.
Deficiencies such as poor utilization of funds, non-availing of the benefits of schemes by different states, imbalances in the release of funds, unspent balances, delays in the release of funds and diversions of funds etc. were observed across most of the schemes.In respects of the 'Scheme for grants-in-aid to voluntary organisations working for the welfare of Scheduled Castes and Scheduled Tribes', it was observed that funds given to the blacklisted NGOs were not recovered.
In the case of the scholarship schemes and the 'Book bank scheme', monitoring mechanisms were not institutionalised and in the case of the other scheme, the relevant provisions were not followed. Inspection was not conducted in a systematic manner and no independent evaluation was conducted at the Union level or in most of the state. Internal audit of the schemes was also not conducted at the Union level and also in many states.
The SCs and STs constitute 16.23 and 8.2 per cent respectively of the country's population as per the 2001 census. The literacy rate of the scheduled castes and scheduled Tribes was 55 and 47 per cent according to the same census against the national literary rate of 65 per cent.
The zonal conference of the National Democratic Dalit Movement to be held tomorrow in Chennai, would highlight the plight of Dalits and chalk out programmes to protect their rights.TNCC General Secretary and Congress Legislator Polur Varadan said even after 60 years of independence, the plight of Dalits continued unabated in Tamil Nadu and other parts of the country.He said untouchability in the form of ''double tumbler'' system, was still prevalent in several parts of the southern districts of the state and the conference would come out with measures to eradicate the menace.Alleging irregularities in the distribution of free bi-cycles to Dalit students and in the building of group houses for the Dalits, he urged the Centre and state government to take immediate steps to ensure transparency.
Mr Varadan said the conference would adopt a resolution, urging the state government to give details of panchami lands with survey numbers.
Union Minister and Dalit leader Sushil Kumar Shinde would deliver the special address at the conference, to be chaired by AICC member Veerappa Moily, in charge of party affairs in Tamil Nadu.
Union Ministers G V Vasan, E V K S Elangovan, state Ministers Arcot N Veerasamy, M K Stalin, Congress leaders M Krishnasamy and D Sudharsanam were expected to address the conference, Mr Varadan added.
Backward Class United Front (BC Ikya Vedika) leaders today attacked Congress leader and Former Andhra Pradesh Road Transport Corporation (APSRTC) Chairman G Prakash Rao while he was addressing a press conference at Fatemaidan Club in Lal Bahadur Stadium.
Police said three leaders of the BC United Front entered the hall and pushed Prakash Rao down from the dais. Shouting slogans of ''Jai Telangana and BCs zindabad,'' they poured water and sprinkled gulal on Mr Rao.
The Congress leader sustained minor injuries in the attack.
Police arrested BC United Front Secretary Sridhra, General Secretary Rama Rao and Nagaraju from the scene. Cases were booked against the trio under section 324 and 141 for attacking and obstructing the meeting.
Meanwhile, in an editorial in the CPI-M party mouthpiece 'People's Democracy', the party argued that power generation - cited as an advantage by supporters of the nuclear deal - from the deal would be only seven percent of India's projected capacity generation by 2015. The current nuclear power generation is 3,310 MW, that is just 2.5 percent of the total generation capacity.
According to the CPI-M, nuclear power generation will be very expensive too, compared to coal and hydroelectric projects. It argued that India has at least 50,000 MW untapped hydroelectricity potential and neighbouring Nepal has 83,000 MW, which New Delhi could tap through international agreements.
It said such moves would "augment our energy capacities at half the cost of nuclear energy, but will also tame the rivers which regularly consume the lives of hundreds of people through torrential floods".
Pointing out that arguments that the Indo-US nuclear deal would augment energy resources and provide electricity to farmers and poor as "hollow", the editorial said: "It appears that as a consequences of this deal, huge commercial orders running into thousands of crores of rupees for the purchase of nuclear reactors would be placed on US and other advanced countries' corporations."
Criticising the allegations that the CPI-M's objections were at the behest of China, the article questioned the main opposition Bharatiya Janata Party (BJP)'s opposition to the nuclear deal.
Tread nuclear ground with caution, say former Indian diplomats
Former Indian diplomats on Friday cautioned the government to tread carefully on the Indo-US bilateral civilian nuclear cooperation deal, which will allow India to access nuclear fuel and reactors from the US.
Arundhati Ghosh, India's former envoy to the United Nations, said the deal would bind India with US' foreign policies, which she called 'hegemonic.'
"The US is so powerful- technologically, militarily, economically or whichever way you look at it- that it needs to be constrained. It is a hegemon, a politically dominant power- and it is going to be for the foreseeable future. But if the sense of powers goes to their heads... we have seen in Iraq... they act in ways which impact on us," she said at a panel discussion on the deal in New Delhi.
Reacting to the concerns expressed by the Left parties over the Hyde Act, another former Indian diplomat, M.K. Bhadrakumar, disagreed with the Communists leaders, saying the Act was rather binding in nature.
"There are areas in the Hyde Act where the American side will be bound by, and when you say that you are not guided by the Hyde Act it belies logic. The performance on the other side is going to be completely guided by the letter and spirit of the Hyde Act," said Bhadrakumar, India's former envoy to Uzbekistan and Turkey.
"As it is this is a ... unequal relationship. As it is, we are the recipient country and the United States is the supplier country, and like any such transaction, there is a certain advantage which accrues to the supplier," Bhadrakumar added.
Meanwhile, Bharatiya Janata Party (BJP) called for an early discussion on the deal in Parliament to end political uncertainty in the country, which the party feels is affecting other issues of national interest.
"An uncertainty has shrouded the nuclear deal, as it is taking longer to discuss the matter in Parliament. A number of things arise due to this sometimes the Sensex falls. The uncertainty is affecting other things as well. We want a discussion in this matter. The Prime Minister (Manmohan Singh) should resolve this matter with the communists at the earliest," BJP spokesperson V.K. Malhotra told reporters.
If the deal is through, for India, it will help meet its soaring energy needs.
For US nuclear firms, it opens up the Indian market, estimated to be worth 100 billion dollars, as New Delhi aims to boost its nuclear power capacity to 30,000 MW over the next 20 years from around 3,500 MW now.
What are friends for ... ?
By Sudha Ramachandran
BANGALORE - While Japanese Prime Minister Shinzo Abe preferred to remain noncommittal during his just concluded three-day trip to India regarding his country's support for India in the Nuclear Suppliers' Group (NSG), Japanese business has indicated its yen for engaging with India's nuclear-energy sector.
Kazuo Furukawa, president and chief executive officer of Hitachi, Japan's third-largest builder of nuclear reactors, said on Wednesday that his company will consider investing up to US$1
billion for nuclear power generation in India. "Japanese companies in nuclear-power generation are waiting for the outcome of the India-US nuclear deal, and once there is international consensus over the issue, the Hitachi Group may invest in the nuclear-power sector," he said.
The Japanese premier was more circumspect on the matter. In his speech to Parliament, Abe avoided any reference to the India-US nuclear deal or Japanese support for relaxing NSG rules to allow nuclear trade with India once the deal has finally been ratified by India and the United States.
At a subsequent press conference, Abe said Japan will decide its position in the NSG only after studying the still-to-be-negotiated safeguards agreement with the International Atomic Energy Agency (IAEA). Japanese officials said Japan will closely watch the "trend" at the NSG and make its decision accordingly. It will not stand in the way of India seeking a change in the NSG rules, Japanese officials told the media.
Abe's visit came even as the Indian government is battling opposition to the nuclear deal it finalized with the US recently. India's left-wing parties - bitter opponents of the deal and of the government's warming to the US - have threatened to pull support out of the coalition government if it goes ahead with talks with the IAEA, the next step in the process to have restrictions on nuclear trade with India lifted.
Indian Prime Minister Manmohan Singh has said that his government will press ahead with taking the deal further. On Wednesday, Manmohan reiterated India's request for Japan's support for the nuclear deal in the NSG.
Japan is an influential member of the NSG. Securing Tokyo's support in the 45-member body is vital for India, not only because it needs unanimous support to get NSG rules changed but also because Japan is the only country against which a nuclear bomb has been used. Japan's backing could get India the support of some fence-sitters. Besides, Japan has cutting-edge technology to offer India's nuclear power plants.
Indeed, Japan is well placed to benefit from nuclear trade with India. "The US has lost the technological edge for nuclear power plants. The world leaders in this technology now are Japan and France," a senior Japanese official said on the eve of Abe's visit. Unlike the US, which hasn't built nuclear reactors over the past three decades, Japan has the technology to install the next generation of nuclear plants and is among the few countries where new nuclear plants have been built recently, he said.
Among those in the huge business delegation that accompanied Abe to India were representatives of Japan's top nuclear companies - Toshiba (which owns the US company Westinghouse Electric), Hitachi and Mitsubishi.
http://www.atimes.com/atimes/Japan/IH25Dh03.html
Handling of land acquisition is the litmus test of India’s SEZ policy
D. Murali & V.R. Vinod Kumar
http://www.hindu.com/thehindu/holnus/006200708242180.htm
Can Nandigram-type episodes upset the ongoing or future SEZ projects? “SEZs (Special Economic Zones) are a constantly unfolding saga,” says Mr Yogesh Ashar, who has recently co-authored with Mr Kanu Doshi ‘Treatise on Special Economic Zones’ (www.swpindia.com).
“While farmers at Nandigram and at many other places have opposed SEZs, a news report says that at about 40 kilometres from Pune, in Avasari Khurd village, it is a different story,” he narrates. “Around 1,500 farmers from the village passed an unanimous resolution on July 5, seeking SEZ status for their village which is located 20 kilometres from the proposed international airport at Rajgurunagar. The agriculturists from the village have decided to form a company: Avasari Khurd Industrial Development Pvt. Ltd, using 3,550 acres of land out of 6,250 acres of their total land.”
Mr Ashar and Mr Doshi, both chartered accountants, are associated with Welingkar Institute of Management, Mumbai as faculty. Business Line interacted with the authors for their views on some of the current issues relating to SEZ. Here are excerpts from an email interview.
While China has only 5 SEZs does India need 300? (341 SEZs were granted formal approval of which 130 have been notified and 200 proposals are pending with the State Governments.)
Kanu Doshi: China and India have different SEZ models. The geographical spread of SEZs and the difference in number of SEZs in the two countries may be attributed to distinct local conditions and the nature of their respective polity.
Having said that, the small number of SEZs in Chinese model goes with the large size of their SEZs. The area under each one of the five SEZs in China is large enough to form a mid-sized city. Whereas the area under SEZ in India for 132 formally approved SEZs (up to July 23, 2007) is a mere 17,800 hectares. India’s industrial growth is committed to balanced regional spread. So the geographical dispersal is obvious. In Indian model, land acquisition is virtually without Government’s patronage. Hence in India, very large sized SEZs are ruled out for all practical purposes.
In India, if you see the state-wise spread of SEZs, the coastal regions (which are also perceived as investor friendly states) such as Maharashtra, Gujarat, Andhra Pradesh, Tamil Nadu and Karnataka have got 92 per cent of formal approvals, and the other States get the remaining.
Huge but fewer SEZs, or smaller and numerous SEZs: which do you think suits India more?
Yogesh Ashar: Numbers versus size may not be as relevant after all. What is more crucial is the ability of the SEZ Policy to deliver in terms of setting up better infrastructure, attracting more investments within the country, making India the manufacturing/ service hub, generating employment and generally benefiting from the forces of globalisation. This is what China has also done. But it must also be conceded that in case of too small SEZs, they may do more for their promoters than for India.
Should the SEZ projects in India be driven by Government or private sector, or be joint ventures?
KD: The SEZ Policy is an initiative of Government of India. The policy is meant to work in public-private partnership. The Central Government or the State Governments may set up the SEZ on its own or jointly with any private party. So far as development of SEZs by private sector is concerned, the monitoring mechanism under the SEZ Law is robust enough to prevent misuse of the policy. And if along the way, any leakages are noticed, and most certainly there will be some, they shall have to be plugged with open mind. On the whole, the scheme is pragmatic and free of isms.
Do the current land acquisition laws provide scope for exploitation of farmers?
YA: The litmus test of India’s SEZ policy would be its handling of land acquisition process. It is a matter between the SEZ developer and the owner of the land to strike the deal at the market price of the land. The real issue is: giving fair deal to the farmers.
In practical terms, the decision to give one’s land for SEZ development would largely be a collective or community-based decision. The dynamics of this process are just unfolding in India. If farmers do not want SEZ on their land, they would certainly refuse. Getting viable price for their land may largely be ensured by collective bargaining and weighing of all the issues involved.
The need is for the law to institutionalise transparent mechanism for transfer of land for SEZ. It shall include organising the body of land owners to ensure speedy determination of the will of the land owners to give their land for SEZ development, negotiations for better deal for farmers, obtaining consent of the farmers without coercion, individually or collectively leading to fixing up the land prices and final payment to the land owners.
The process may also include giving choice to farmers to receive compensation upfront or in deferred manner, protection of land of the owners who opt not to sell their holding etc. The entire process shall also be entitled to adequate publicity. All this can go to ensure against exploitation of farmers.
Would the benefits outweigh the revenue loss (estimated to be Rs one lakh crore in next five years due to setting up of SEZ)?
KD: Revenue loss is a legitimate concern but equally eminent concerns are of job creation, having world-class infrastructure and sustaining export thrust. The trade off is simple. In our view, the proponents of revenue loss theory have come to see the benefits of alternate view and conceded that the existing resources of the Government would not be in a position to bring forth what the SEZ policy promises. For now, it appears that this issue is on the back burners.
Your thoughts on the argument that “the SEZ policy will make industrialists rich as 75 per cent of land acquired under SEZ will be used for construction of houses, airport, trading and business houses, hospitals under which they would exploit the people for earning huge profits”.
YA: A developer of SEZ with the mindset of a real estate developer is destined to fail. The system as created by Special Economic Zones Act, 2005 is bound to strike back at such attempts. Your concern is very legitimate. Many developers of SEZs are afflicted with real estate syndrome. But SEZ under the present regime shall have to be a business venture in infrastructure development (as against real estate venture) with its own dynamics, if it is to succeed.
If you conspire to profit by converting the world-class infrastructure within non-processing area of SEZ in to a real estate scam, the whole exercise is bound to collapse under its own weight. The non-processing area by default is meant to serve the legitimate needs of the processing area of the SEZ. If this does not happen, the viability of the SEZ shall be defeated. And the first hit shall have to be taken by the developer himself. The checks and balances under the law are bound to defeat such attempts and deny the benefit of concessions and tax exemptions to clever developers.
How far is it equitable to have tax incentives and concessions, with no implementation of labour laws in SEZ?
YA: Some clarity is needed in this respect. The law of Special Economic Zones Act, 2005 unequivocally prevents the Central Government from modifying any law relating to trade unions, industrial and labour disputes, welfare of labour, conditions of work, provident funds, employers’ liability, workmen’s compensation, invalidity and old age pensions, maternity benefits etc. as applicable to workers in any Special Economic Zones.
Only the powers normally vested in Labour Commissioner are vested in the Development Commissioner of the SEZ so far as they pertain to activities within SEZs. All legitimate rights of workers must be protected.
Your comment on the proposal that “SEZ policy should allow industrialists to get tax benefits even after 2009 when they will not be allowed to get any kind of tax concessions for setting up of industrial units in industrial estates”.
KD: SEZ policy has aimed to get substantial FDI, to build up better infrastructure, and have export thrust. As an incentive for this, tax concessions are given to industries. For the industries outside SEZs, this is not the case. Moreover, the facilities within SEZs have to be all new and shall not be put in place by transfer or shifting of existing facilities. Hence the tax concessions. SEZ rules do not provide any scope for relocation of existing firms to claim tax benefits.
While the Chinese SEZs are located more towards the coastline, in India they are located in major cities. Will the demographic issues like these have an impact on the outcome of the projects?
KD: Urbanisation (at least provision of urban infrastructure and facilities) is taken as important manifestation of national growth. With coming up of SEZs near tier II and tier III cities, the pressure on major metros should at least ease for the reason that employment opportunities would increase near smalle
