Bidders Pull Out Of SEZ Project .

The ‘quiet' withdrawal of bidders for global tenders and the last-minute pulling out of the Infrastructure Leasing and Financial Services (ILFS) Limited, a Mumbai-based government undertaking, from the project of promoting the Special Economic Zone (SEZ) for downstream industries on the premises of Salem Steel Plant (SSP), have prompted a team of industrialists from Salem to urge the SSP to promote an industrial estate instead of the SEZ.

Expressing concern over the inordinate delay in executing the SEZ project, proposed on 306 acres under Phase I by Steel Authority of India Limited (SAIL), the industrialists point out that the SSP management could think of promoting the industrial park on 100 acres involving the Ministry of Medium and Small Enterprises of the Government of India to benefit the micro and small scale industries exclusively.

The Salem District Small Scale and Tiny Industries Association president K. Mariappan said that the vast stretches of vacant land available on the SSP premises could be utilised for the promotion of an industrial park since a favourable climate existed for industries in Tamil Nadu. “Though two global tenders had been floated for promoting the SEZ to develop industrial plots after providing infrastructure facilities, there was no response. The two bidders who expressed interest initially also withdrew. The ILFS, which was about to sign a MoU with SAIL also turned down the offer at the eleventh hour,” he said. “The central government has a scheme for infrastructure development for new sites at a project cost of up to Rs.10 crore in which the centre-state contribution ratio would be 60:30. The balance in investment would be that of the stakeholders,” Mariappan pointed out.

The project was discussed with N.S. Palaniappan, CMD, Tamil Nadu Small Industries Development Corporation Limited and M. Kutralingam, Secretary, Small Industries Department. A delegation from the association met SSP's Executive Director Pankaj Goutam and discussed the issue. A detailed project report also would be submitted to SAIL authorities shortly, Mariappan said.

Source : hindu.com