Much of the public criticism of SEZs has been centered on the land acquisition processes. The central issue here is not the quantum of compensation or rehabilitation and resettlement. The real issue is whether state power should be used to promote private profit. But in all fairness some of the big players are relying on commercial acquisition, giving the land holders an equity stake in the project and ensuring jobs for the displaced persons.
SEZs begin to look exclusively like a land acquisition issue, a wider discussion about jobs, infrastructure and growth multipliers has been reduced to a sterile farmer-versus-industry debate. SEZs, sadly, have been projected by some politicians as some kind of land grab. This is an irresponsible accusation in a country where almost two-thirds of the population still works on land. Ruthless CPM politics that resulted in the Nandigram tragedy has had its effect; demonstration effect seems to be hurting the case for SEZs elsewhere too. There is now talk of halving the size of the SEZ near Mumbai. If good infrastructure is integral to SEZs, then there is no point in reducing their size to a few hundred hectares. India needs large SEZs that rejuvenate the landmass around them and have far-reaching impact.
With Rs 60,000 crore of investment planned, the importance of SEZs cannot be overstated. So, what should the Indian government do to repackage and resell the SEZ concept as a credible instrument for raising output and growth? The first step should be to publicize SEZs where land has been acquired without a hitch. Some good publicity is urgently required. Second, SEZ developers should be encouraged to acquire land though direct negotiations with landholders. Developers can and should incorporate innovative strategies to answer questions of small landholders especially. Corporates should also be encouraged to set up commercial ‘collectives’ of displaced persons, as has been creatively done by the Tatas at Singrur, to supply labour and resources for construction work at the project site. That would ensure the displaced have a stake in the new venture. But it is also true that investors won’t wait endlessly for this positive process to begin. The push has to come from the government.
Everyone is just stressing on the success of China and debating why it can’t be replicated in India. Today China (and to similar extent other SE Asian countries like Thailand, Malaysia, Singapore) are really big in manufacturing. India so far has been competitive only in service sector; it is nowhere in picture in manufacturing scene. For India to truly become a developed nation India needs to create a ton of jobs in manufacturing and without setting up SEZ’s its going to be very difficult, especially with the kind of bureaucracy and red-tapism.
For more information on Real Estate Agents, MLS visit Propertiesmls.com
No Comments »
Filed under: Politics, Philosophy & Religion
