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Infosys & Wipro may withdraw SEZ projects from West Bengal - The Economic Times
NEW DELHI: With the mandate that companies should get the Special Economic Zones (SEZs) notified by March 31, 2012 fast approaching, Infosys and Wipro are in a fix about the status of their SEZs in West Bengal.
West Bengal Chief Minister, Mamata Banerjee is principally opposed to the idea of an SEZ. Both Infosys and Wipro have acquired 50 acres of land in Rajarhat. Infosys purchased the land at a rate of Rs 1.5 crore per acre for the project. The company also made the full payment in October last year.
The campuses of these companies are expected to generate at least 20,000 jobs each in the state of West Bengal.
Talks of an alternate package have been doing the rounds but nothing satisfactory has yet been achieved. According to ET Now sources, another round of talks is likely before the March 31, 2012 deadline. It is being speculated that both Infosys and Wipro may not be left with any choice but to withdraw from West Bengal.
While Infosys is currently under the silent period before their quarterly results' declaration, Wipro has also refused to comment on the matter.
Last week, West Bengal Chief Minister Mamata Banerjee reiterated that Infosys should set up its facility in the state but an SEZ status would not be granted to the IT bellwether by bending the land policy formulated by her government.
"We are creating land banks. We will not do any such thing which goes against the people and the farmers. I want Infosys to come here. But tell me when we have a policy not to set up SEZs, then how can we change the rules for Infosys," Banerjee asked.
"I cannot discriminate. We are ready to give them all help but we cannot allow SEZ. If we allow them then why won't allow others. This discrimination cannot happen. Whosoever it may be, we will not allow SEZ. We will not withdraw the Land Ceiling Act," she said.
Recently, Infosys had written a letter to Housing Infrastructure Development Corporation (HIDCO) seeking clarification on its SEZ status in the state.
After Banerjee earlier ruled out granting SEZ status to its project, the IT major's representatives had met industry minister Partha Chatterjee and sought an appointment with the chief minister.
The company's senior vice-president and global head of commercial and corporate relations Binod Hampapur had then said it was looking for an "alternative solution."
"We are looking forward to a fruitful solution. It will take sometime. Obviously, wherever we operate, that should be financially viable for us. We are looking at that," Hampapur said.
NEW DELHI: With the mandate that companies should get the Special Economic Zones (SEZs) notified by March 31, 2012 fast approaching, Infosys and Wipro are in a fix about the status of their SEZs in West Bengal.
West Bengal Chief Minister, Mamata Banerjee is principally opposed to the idea of an SEZ. Both Infosys and Wipro have acquired 50 acres of land in Rajarhat. Infosys purchased the land at a rate of Rs 1.5 crore per acre for the project. The company also made the full payment in October last year.
The campuses of these companies are expected to generate at least 20,000 jobs each in the state of West Bengal.
Talks of an alternate package have been doing the rounds but nothing satisfactory has yet been achieved. According to ET Now sources, another round of talks is likely before the March 31, 2012 deadline. It is being speculated that both Infosys and Wipro may not be left with any choice but to withdraw from West Bengal.
While Infosys is currently under the silent period before their quarterly results' declaration, Wipro has also refused to comment on the matter.
Last week, West Bengal Chief Minister Mamata Banerjee reiterated that Infosys should set up its facility in the state but an SEZ status would not be granted to the IT bellwether by bending the land policy formulated by her government.
"We are creating land banks. We will not do any such thing which goes against the people and the farmers. I want Infosys to come here. But tell me when we have a policy not to set up SEZs, then how can we change the rules for Infosys," Banerjee asked.
"I cannot discriminate. We are ready to give them all help but we cannot allow SEZ. If we allow them then why won't allow others. This discrimination cannot happen. Whosoever it may be, we will not allow SEZ. We will not withdraw the Land Ceiling Act," she said.
Recently, Infosys had written a letter to Housing Infrastructure Development Corporation (HIDCO) seeking clarification on its SEZ status in the state.
After Banerjee earlier ruled out granting SEZ status to its project, the IT major's representatives had met industry minister Partha Chatterjee and sought an appointment with the chief minister.
The company's senior vice-president and global head of commercial and corporate relations Binod Hampapur had then said it was looking for an "alternative solution."
"We are looking forward to a fruitful solution. It will take sometime. Obviously, wherever we operate, that should be financially viable for us. We are looking at that," Hampapur said.
