Chavan defends 'path-breaking' industrial policy, says critics motivated

A day after Opposition parties and activists severely criticized Maharashtra’s new industrial policy for favouring realty developers  at the cost of farmers and villagers, the state’s chief minister Prithviraj Chavan termed the policy as  ‘path breaking’ and defended the policy that introduced Integrated Industrial Areas (IIAs). Anti-SEZ activists  have alleged that the policy would ensure windfall gains to the real estate lobby, while Shiv Sena has criticised the new industrial policy saying it “aims to benefit industrialists, builders and developers" since 40 percent of the land made available from denotifying SEZs will be used for residential and commercial purposes. Chavan, however, denied the charge and termed the criticism as ‘motivated’. According to an Indian Express report, Congress ally Nationalist Congress Party has  decided to use the new industrial policy as a weapon against  Chavan, known for his clean image, and have reportedly decided to expose what they said was double standards of the Congress. On Thursday  Chavan  clarified that in the original SEZ policy of the Centre (which has now been scrapped), only 50 percent of the area was mandatory for industrial development. In the new policy however, the number has increased to 60 percent, while the rest would be for other development like residential colonies and commercial buildings. “We intend to lead the country in terms of IIAs. Out of the total area earmarked for support activities, 10 percent will be for commercial and 30 percent for residential, educational, health, recreational infrastructure,” he said. Chavan however did not comment on questions whether the housing in the IIAs would be meant only for employees in the industrial projects or would be sold in open mark. A Hindu Business Line report quotes him as saying that such things were a matter of ‘rules’ and not ‘policy.’ About 124 SEZs in the state have not  taken off. There are about 29,000 hectares of land.  Chavan said no public lands are covered under the IIA policy. Of the 29,000 hectares of land set aside under the policy, 16,000 hectares have been acquired by private persons through negotiations with villagers and farmers for 124 SEZs which stand denotified. Meanwhile, the policy mentions development of Mumbai-Pune-Solapur, Mumbai-Nashik- Aurangabad-Amravati-Nagpur, Mumbai-Ratnagiri-Sindhudurg corridors in addition to the Delhi-Mumbai Industrial corridor, which is likely to address the connectivity and growth issues of the state. [caption id=“attachment_578048” align=“alignleft” width=“380”]  Maharashtra chief minister Prithviraj Chavan informed that the government aims to attract new investment of 5 lakh crore by 2022, which will also generate 20 lakh new jobs.[/caption] Even industry body CCI welcomed the industrial policy as unlike the previous SEZ policy that aimed to attract investment from big industrial houses, the new policy targets micro, small and medium enterprises (MSMEs) and aims at an investment of Rs. 5 lakh crore and employment generation for 20 lakh people. Pradeep Bhargava, chairman, CII WR and director, Cummins Generator Technologies India, in a statement said that the policy addresses one of the most crucial issues of land availability for industry. “And we are happy that the Chief Minister has stuck to his commitment that he had made at a recent interaction with CII Members on creation of new economic hubs and special township projects,” he said.