Singapore proposes SEZs in TN, Maharashtra

Singapore proposes SEZs in TN, Maharashtra


New Delhi: Singapore has proposed to set up special economic zones in Tamil Nadu and Maharashtra through property developer Ascendas, bringing FDI from the south east Asian economic powerhouse into India.

The two countries have already formed a Steering Committee to carry forward the proposals, one of which relate to setting up a 2,500-acre multi-product SEZ in the south.

“The proposals were discussed at the first meeting of the Steering Committee, which will take them further with state governments and other authorities," a senior Commerce Ministry official told PTI.

Singapore government-linked Ascendas has developed many industrial and IT parks in India, in addition to Singapore and China.

India and Singapore have operationalized a Comprehensive Economic Cooperation Agreement, under which trade and investment have been significantly liberalized.

As a result of CECA, FDI inflow from Singapore has increased in the last two years. India has attracted FDIs of $578 million from Singapore in 2006-07, compared to $275 million in the previous year.

“Many Singapore-based MNCs are keen to come here in our SEZs. This will bring us more FDI," the official said.