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Minutes of the 44th meeting of the SEZ Board of Approval held on 14th January 2011 to consider proposals for setting up of Special Economic Zones

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..... enerated in the Special Economic Zones. During the financial year 2009-10, total export of Rs. 2,20,711 crores (approx) has been made from SEZs registering a growth of about 121.40% over the exports for the previous financial year. The export in the first half of financial year 2010-11, has been to the tune of Rs.1,39,841 crore (approx), registering a growth of 55.8% over the exports of corresponding period of the previous financial year. Item No. 44.1: Proposals for setting up of SEZs (i) Request for setting up of a sector specific Special Economic Zone for Gems and Jewellery at village Kalwara, Tehsil Sanganer, District Jaipur, Rajasthan by M/s. Mahindra World City (Jaipur) Limited, over an area of 10.1360 hectares The Board noted that the Developer was in possession of the land. The State Government has also recommended the proposal. Accordingly, the Board decided to grant formal approval to the proposal of M/s. Mahindra World City (Jaipur) Limited, for setting up of a sector specific Special Economic Zone for Gems and Jewellery at village Kalwara, Tehsil Sanganer, District Jaipur, Rajasthan, over an area of 10.1360 hectares. (ii) Request for setting up of a secto .....

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..... ea of 23.46 acres (9.5 Ha.) in the above mentioned SEZ. (ii) Request of M/s. Acqview Realty Private Limited for co-developer in the sector specific SEZ for Multi Services at Panvel, District Raigarh, Maharashtra, being developed by M/s. Sunny Vista Realtors Private Limited DC SEEPZ stated that the co-developer agreement provide for sale, lease or transfer by any other format of Service Apartment and/or Star Hotel and/or Iconic Residential Towers. The DC sought deferment of the proposal as the developer is yet to furnish clarification sought by DC in this regard. The Board, therefore, after deliberations, deferred the proposal. (iii) Request of M/s. DLF Utilities Limited for co-developer in the sector specific SEZ for IT/ITES at Rajiv Infotech Park, Plot No. 28, Hinjawadi, Ph. II, Pune, Maharashtra, being developed by M/s. DLF Akruti Info Parks (Pune) Limited After deliberations, the Board decided to grant approval to the request of M/s. DLF Utilities Limited for setting up a co-generation plant to install and commission gas turbine based power generating sets by setting up energy centres to provide electricity at a single source and generate chilled water using vapour abs .....

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..... Toilets Blocks 7 82.36 576.52 g. Corridor 7 162.50 1137.50 Total 7156.8 3. Training Institute a. Class Rooms 96 66.5 6384 b. Activity Room 1 8 85.8 686.4 c. Activity Room 2 8 110 880 d. Staff Room Type 1 8 33.6 268.8 e. Staff Room Type 2 8 26.75 214 f. Toilet Blocks 8 134.4 1075.2 g. Corridor 8 181.45 1451.6 h. Multipurpose Room 1 1370 1370 Total 12330 sqm. (ii) Request of M/s. Calica Construction Impex Private Limited for authorized operations in the sector specific SEZ for IT/ITES at Ahmedabad, Gujarat It was noted by the Board that the area of the SEZ is only 10.43.10 hectares and also that SEZ is not very far away from the city of Ahmedabad. Board also observed as per policy it has been discoura .....

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..... including service tax exemption, which might have been availed under the SEZ Act/Rules, in respect of the land being de-notified. Item No. 44.6: Requests for de-notification (i) Request of M/s. Medicaps IT Park Private Limited for de-notification of the sector specific SEZ for IT/ITES at village Panda, Tehsil Mahu, District Indore, Madhya Pradesh, notified over an area of 11.936 hectares After deliberations, the Board decided to approve the request of M/s. Medicaps IT Park Private Limited for de-notification of the sector specific SEZ for IT/ITES at village Panda, Tehsil Mahu, District Indore, Madhya Pradesh, notified over an area of 11.936 hectares, subject to DC s certificate that the developer has refunded all the tax/duty benefits availed under SEZ Act/Rules. (ii) Request of M/s. Neogen Properties Private Limited for de-notification of the sector specific SEZ for Apparel at Hindupur, District Anantapur, Andhra Pradesh, notified over an area of 141.65 hectares The Board noted that in the BoA meeting held on 8th June 2010, the developer was granted approval for de-notification of 40.80 hectares from the notified area of 141.65 hectares and now it has ap .....

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..... (iii) Request of M/s. Mahindra World City (Jaipur) Limited for extension of the validity period of formal approval, granted for setting up of sector specific SEZ for Handicraft at Jaipur, Rajasthan, beyond 22nd April 2011. (iv) Request of M/s. Mahindra World City (Jaipur) Limited for extension of the validity period of formal approval, granted for setting up of sector specific SEZ for Light Engineering including Automotive/Automotive component at Jaipur, Rajasthan, beyond 22nd April 2011. (v) Request of M/s. Genpact Infrastructure (Jaipur) Private Limited for extension of the validity period of formal approval, granted for setting up of sector specific SEZ for IT/ITES at Village Jamdoli, Jaipur, Rajasthan, beyond 6th January 2011. (vi) Request of M/s. RNB Infrastructure Private Limited for extension of the validity period of formal approval, granted for setting up of sector specific SEZ for Textile at Bikaner, Rajasthan, beyond 17th February 2011. (vii) Request of M/s. Tata Consultancy Services Limited for extension of the validity period of formal approval, granted for setting up of sector specific SEZ for IT/ITES at Adibatla village, Ibrahimpatnam Mandal, Ranga Reddy Dis .....

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..... for setting up of Multi Product SEZ at Nandgaonpeth, District Amravati, Maharashtra, beyond 2nd April 2010 (iv) Request of M/s. G.P. Realtors Private Limited for second extension of the validity period of formal approval, granted for setting up of sector specific SEZ for IT/ITES at village Behrampur, District Gurgaon, Haryana, beyond 13th November 2010 (v) Request of M/s. Ascendant Estates Private Limited for second extension of the validity period of formal approval, granted for setting up of sector specific SEZ for IT/ITES at Bondsi, Tehsil, Sohna, District Gurgaon, Haryana, beyond 5th November 2010 Item No.44.10: Requests for third extension of validity of formal approvals After deliberations, the Board decided to grant third extension of validity of formal approval granted to M/s. Bajaj Holdings Investment Limited for setting up of a sector specific SEZ for Engineering at Waluj, Aurangabad, Maharashtra for a period one year beyond the expiry of the validity period (i.e. beyond 6th April 2011). Item No. 44.11: Requests for grant of second extension of in-principle approval. BOA granted second extension, to the following proposals, for a period of one y .....

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..... berations the Board approved the request of the unit for international trading of pulses, subject to the condition that:- (i) Pulses will be imported from outside India and no procurement shall be made from DTA till prohibition on export of pulses continue in Foreign Trade Policy (FTP) (ii) Mechanism shall be put in place so that DTA procurement of raw-materials by the unit is strictly checked These conditions shall apply to all similar previous proposals approved by the Board of Approval. Item No. 44.16: Request of M/s. Adani Wilmar Limited, for setting up Pulses Processing unit in multi product SEZ at Mundra, Kutch, Gujarat, being developed by M/s. Mundra Port and Special Economic Zone Limited (MPSEZL) After deliberations the Board approved the request of M/s. Adani Wilmar Limited for setting up of pulses processing units, subject to the condition that:- (iii) Pulses will be imported from outside India and no procurement shall be made from DTA till prohibition on export of pulses continue in Foreign Trade Policy (FTP) (iv) Mechanism shall be put in place so that DTA procurement of raw materials by the unit is strictly checked Item No. 44.17: Request of .....

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..... construction of chain linked fencing of 240 cm height, with top 60 cm being barbed wire fencing, around the processing area, measuring 5 KM in the sector specific SEZ for Leather Leather products at Tada Mandal, Nellore District, Andhra Pradesh The Board invited the Developer to make a presentation on the proposal made. The Developer indicated that the SEZ has a natural catchment area which, in turn, drains and irrigates the agricultural lands outside the boundary of the SEZ. In case, a masonary wall is made, the flow of the water for irrigation would be stopped leading to hardships to the farmers who depend on this source of irrigation. The Developer, accordingly, for the portion of that wall which crosses the channel, has proposed sinking piles and eracting wall on the piles so that the water channel is not affected. The Board, after due deliberations, approved the request of the developer subject to their following the plan presented before the Board with due monitoring by the DC. Item No. 44.21: Request of M/s. Larsen Toubro Limited for temporary 2nd gate during construction activities in the sector specific SEZ for IT/ITES at Vadodara, Gujarat The Board after deli .....

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..... present its case. The appellant brought out that initially they were making extra large size tyres which have no demand in the DTA and exporting the same. They have been receiving requests from the overseas markets for complete assembly including tyre, tube, flap and rim. The unit approached DC MEPZ for broadbanding their LOP to include the items other than tyres. DC MEPZ rejected the proposal indicating that assembly of these components did not amount to manufacturing. The Board took the view that manufacturing also included assembly of bought out components which ultimately is converted into a value added product. The Board, after deliberations approved the request of M/s. ATC Tires Private Limited for broad-banding their LOP. (v) Appeal of M/s. Hansen Drives Limited, a unit in Synefra Engineering Construction Limited SEZ, Tamil Nadu, against the order of DC, MEPZ, rejecting its request for broad banding of LoP The appellant brought out that the appeal is for re-imbursement of Service Tax on the Mandap Keeper s Services who takes care of the dedicated guest house for the SEZ. The Board noted that the Guest House is not located within the SEZ and, hence, the reimburse .....

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..... oblem regarding payment of duties on all the plant construction material brought duty free and stored in this part of the SEz. The shifting process is difficult owing to shortage of space in processing zone besides costs involved as the equipment stored there are very heavy. The representative of Department of Revenue brought out that the Developer has constructed the railway line without any approval and, therefore, has presented the Government with a fait-accompli. The most preferred course of action would be to de-notify the entire non-processing area without the developer claiming any benefit on the construction of railway line. The Board, accordingly, decided to approve de-notifying of the entire non processing area along with the railway line. This will be done after the storage of construction material, equipment etc. stored in the non-processing area are physically moved to the processing area and till then no duty free benefits will be available for developing infrastructure in that area. The DC and the local Revenue Authorities will work out a suitable mechanism for the same. (ii) Request of M/s. Navi Mumbai SEZ Private Limited for relaxation of conditions of LoA reg .....

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..... ter deliberations, the Board decided to grant second extension of validity of formal approvals in respect of each of the following 4 (Four) cases for a period one year beyond the expiry of the validity period. (i) Request of M/s. Hetero Infrastructure SEZ Limited for second extension of the validity period of formal approval, granted for setting up of sector specific SEZ for Pharmaceuticals at N. Narasapuram village, Nakkapalli Mandal, Visakhapatnam District, Andhra Pradesh, beyond 25th June 2010 (ii) Request of M/s. Navi Mumbai SEZ Private Limited for second extension of the validity period of formal approval, granted for setting up of multi product at Dronagiri, Navi Mumbai, Maharashtra, beyond 29th July 2011 (iii) Request of M/s. Navi Mumbai SEZ Private Limited for second extension of the validity period of formal approval, granted for setting up of sector specific SEZ for IT/ITES at Kalamboli, Navi Mumbai, Maharashtra, beyond 25th July 2011 (iv) Request of M/s. Navi Mumbai SEZ Private Limited for second extension of the validity period of formal approval, granted for setting up of sector specific SEZ for Multi Services at Kalamboli, Navi Mumbai, Maharashtra, beyond 25t .....

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..... rtment of Revenue, Ministry of Finance 3. Shri Raman Chopra, Director (ITA), CBDT, Department of Revenue, Ministry of Finance 4. Shri Vivek Ranjan, Additional Director, Department of Revenue, Ministry of Finance 5. Shri Gurdeep Singh, Additional Director (Export Promotion), DGEP, Department of Revenue, Ministry of Finance. 6. Dr. L. B. Singhal, Joint DGFT, Director General of Foreign Trade 7. Shri Rajeev Ranjan, Principal Secretary, Industries, Government of Tamil Nadu 8. Shri T. Ramachandran, Principal Secretary, Industries, Government of Orissa, Bhubaneswar 9. Shyamal Misra, Director, Department of Industry and Policy Promotion 10. Shir O.P. Kapoor, Deputy Director General. Export Promotion Council of EOUs and SEZs. 11. Shri S. D. Bhasor, US/Coord, Ministry of Defence 12. Shri A. K. Gupta, General Manager, RIICO. 13. Shri Ashok Manami, General Manager, KIADB, Government of Karnataka, Bangalore 14. Shri B. Bhattacharyee, SIO, DGEP, Department of Revenue, Ministry of Finance. 15. Shri A.K. Agarwal, Joint Industrial Adviser, Department of Chemical Petrochemical, Shastri Bhawan, New Delhi 16. Shri Bhim Singh, Industrial Extens .....

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