Maharashtra has been at the forefront in attracting corporates to set up base in special economic zones (SEZs) by offering them a number of concessions.
At present, there are 131 proposed SEZs in Maharashtra, the highest in the country. The state continues to be undeterred in its resolve to promote SEZs despite widespread protests against land acquisition by various farmer groups, the latest being against the Reliance-promoted Mahamumbai Special Economic Zone in Raigad.
Having made it clear that the state will not withdraw any of the proposed SEZs, the Vilasrao Deshmukh government did introduce corrections in its pro-industry policy to pacify project affected people by offering them special packages which include monetary compensation but do not necessarily guarantee employment.
While Deshmukh believes that SEZS will not only accelerate Maharashtra’s economic growth but will also establish its status as the global leader in the industrial sector, farmer activists are miffed with the DF government’s ‘anti-farmer’ policies. “What economic development are we talking about when thousands of farmers are being robbed of their basic livelihood,” asked ND Patil, leader of the Shetkari Sangharsha Sanghatana that has been opposing the Realiance SEZ at Raigad. “Farmers are being coerced to give away their lands at throw away prices, but the government continues to remain a silent spectator.”
Several non-government organizations have come out in support of the farmers and joined hands to arrest the acquisition of agriculture land by the private sector.
“The SEZs will see Rs1,35,000 crore being invested in the state, besides creating employment opportunities for 60 lakh workers,” said an official of the commerce ministry defending the government’s decision to support SEZs.
While SEZs being developed by private firms are concentrated in Greater Mumbai, Thane, Raigad and Pune, those being promoted by the Maharashtra Industrial Development Corporation (MIDC) are spread across the state. The MIDC-promoted SEZs are expected to pave way for investment worth Rs10,000 crore and generate employment for more than 5.5 lakh workers in the state.
It all began with Seepz The history of SEZs in the state dates back to 1970s when the government set up the Santa Cruz Electronics Export Processing Zone (Seepz). Dedicated to electronic products, gems and jewellery, it has since been a trailblazer in exports. Today, besides housing many IT firms, Seepz has more than 130 jewellery companies that account for 38 percent of Indian jewellery exports. The overall export from Seepz doubled from Rs5190 crore in 2000-01 to over Rs11,250 crore in 2007-08.