New Delhi: Government has approved setting up of five sector specific special economic zones (SEZ) for automobiles and automobile component manufacturing, envisaging an investment of Rs 3,593.95 crore, Lok Sabha was informed on 8 May.
In a written reply to the House, Minister of State for Commerce and Industry Jairam Ramesh said the government has given formal approvals for two auto SEZs, one each in Jharkhand and Maharashtra, while it has granted in principle approvals for setting up another three SEZs in Haryana, Maharashtra and West Bengal.
The formally approved SEZ projects include one by two-wheeler major Bajaj Auto Ltd in Aurangabad, Maharashtra, entailing an investment of Rs 200 crore while the other approved auto SEZ would be set up Adityapur Industrial Area Development Authority in Adityapur, Jharkhand, at an investment of Rs 30.58 crore, he said.
He said the government has also given its in-principle approval for Rs 447 crore auto SEZ by Shreeaumji Developers Ltd, Rs 119.17 crore auto SEZ by Parsvnath Developers Ltd and Rs 2,797.2 crore auto SEZ being set up by Bengal SREI Infrastructure Development Ltd.
The biggest auto SEZ, being developed by Srei, would come in an area of 200 hectares in Kharagpur, West Bengal.
For two more auto SEZs by Nashik Industrial Park Pvt Ltd and Tamil Nadu Industrial Development Corporation Ltd, envisaging an investment of Rs 1,541.53 crore.
Ramesh said as per the provisions of SEZ rules, the letter of approval issued to various developers is valid for three years, within which effective steps towards implementation of the project must be undertaken.
“This validity can be further extended for a period of two years by the Board of Approval. In case of in principle approval, the letter of approval issued is valid for a period of one year, within which the developer is required to submit suitable proposal for formal approval,” he informed the House.
The validity period in case of in principle approval can also be further extended for a period of two years by the Board of Approval, he added.