Move to set up SEZ in Bangalore

By Our Staff Correspondent

TUMKUR, NOV. 24. Mr. Paul Anthony, Development Commissioner, Kochi Export Processing Zone, said here this afternoon that Karnataka had sought the status of a Special Economic Zone (SEZ) for Bangalore. He said he hoped to take the "case" factor further and promote exports from units in the export oriented units (EOU) in Karnataka. He was speaking at an Exporters' Meet.

Mr. Anthony said 200 EOUs in the State had exported Rs. 2200 crores worth of products this year, 10 of which were located in Tumkur. Once the Special Economic Zone (SEZ) was created in Bangalore, minimum export obligations would be removed and monitoring norms would become less stringent. The State would be able set "its best foot forward."

Mr. Anthony said the SEZ would enable him to sanction new units up to equity investments of $ 20 million (Rs. 85 crores) across the table without any hassles. The whole approach would become positive. Transfer of technology up to $ 2 million would be automatically permitted.

In the SEZ, he said, the condition of 1:1.5 proportion of import- export, under DTA (domestic tariff area) would also be waived.

Regretting that some units in Tumkur had their offices in Bangalore due to lack of foreign exchange banking facilities in Tumkur, he asked the State Bank of India and the State Bank of Mysore to set up branches early without waiting for the volume of business to increase as per RBI guidelines. The team from SBM informed him that a counter would be opened in the Hirehalli Industrial Estate soon.

Mr. Anthony said 30 per cent growth in exports was targetted and he put the assessment of economic liberalisation so far at 50 per cent. He wanted it be up to 80 per cent if the export target was to be achieved.

However, he said, the machinery to achieve "anti-dumping" would be strengthened. "The urgent need is to improve data. Over 800 export parks are active in the world. Relevant facts will have to be processed at the micro-level if we want to safeguard our interests."

Mr. Anthony promised to help the vinegar unit in Kunigal taluk to become a direct EOU. He said proceedural norms came in the way and its exports were being treated as "deemed exports" although the unit earned foreign exchange.

Mr. V.C.Gupta, Deputy Commissioner of Customs, said it was not feasible to set up a Customs office in Tumkur. However, he offered to set up an e-mail facility at his office in Tumkur so that the EOUs could transact business with him swiftly.

It was announced that the Kirloskar group would soon set up an EOU in Tumkur. Mr. Uchil, Mr. Surendranath and Mr. T.M.Swami, who were trying set up EOUs in Tumkur, were present. Officials from the Department of Industries and Commerce, SBI and SBM, also atended. Mr. G.Pradip Hegde, General Manager, Karmobiles, proposed a vote of thanks.

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Section  : Southern States
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