Larsen and Toubro (L&T) and Videocon Realty and Infrastructure have approached the Ministry of Commerce, seeking to withdraw from developing the special economic zone projects in Tamil Nadu and West Bengal, respectively.
Commerce Ministry Officials said L&T had approached the Board of Approval (BoA) seeking to surrender its IT/ITeS SEZ, which was to come up at Coimbatore in Tamil Nadu, citing ‘economic unviability' of the project. The developer had requested for de-notification of the SEZ in the changed economic scenario, officials said. Videocon Realty and Infrastructure has approached the BoA that it would like to withdraw its IT/ITeS SEZ project proposal at Jalpaiguri due to the latest business outlook in the northern region of West Bengal. “The developer has requested withdrawal of formal approval, stating that the company is not able to implement the project owing to the latest business outlook of the region,'' officials said.
An inter-ministerial Board of Approval, chaired by Commerce Secretary Rahul Khullar, will consider these two requests on January 24.
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The project was to be implemented by Videocon Realty and Infrastructure, which had been granted a formal approval for setting up ten-hectare Special Economic Zone (SEZ). The preliminary approval was given in May 2009.
The development on West Began front comes close on the heels of the conclave held by Chief Minister Mamata Banerjee recently in Kolkata with industrialists to discuss the various problems faced by them and to seek more investment for her state.
Besides, 11 developers have sought extension of time for execution of their projects. However, India's largest software firm, TCS remains bullish on the sector and has sought approval for its new SEZ project at Indore in Madhya Pradesh.
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