SEZs in Maharashtra

The debate over SEZs in the state of Maharashtra (India) is heating up. With 205 SEZs likely to be set up in the state and most of them coming up in the already developed areas, it necessary to have a close look at what exactly are the provisions of the Act which supports this move. To grant complete freedom to these SEZs from all the laws applicable to other industries of the state and that too for a period of 25 years is a move that is being questioned by people. Even the SEZs approved by Central Government are exempted from taxes for a period of 5 years. Such a move by state government can therefore be disastrous. To compensate for the tax holidays offered to these SEZs, the state may impose heavy taxes on the common people of this state. Moreover, the problem of power and water supply (for common people) would aggravate further.

There is need to maintain transparency in the matters associated with the proposed SEZs. A democratic process which takes into account the welfare of common people (farmers and laborers) and also the industries should be undertaken. It would otherwise, lead to many complications in a state which is struggling to fulfill the basic infrastructural needs of people.