Chennai Real Estate Property: Farmers willingly selling land

Friday, October 13, 2006

Farmers willingly selling land

Tamil Nadu perceives Special Economic Zones (SEZs) as centres to provide employment to skilled and unskilled labour force by utilising uncultivated fallow land. For farmers and land-owners, who are dependent upon rains and often suffer from negative returns, SEZs provide an exciting option for exit.
Irrespective of what is happening in other states, the SEZ development process in Tamil Nadu is going on smoothly. Acquisition of land by the state government or purchase of land by developers has not become a major issue in the state.

One of the reasons for this peaceful development is that most of the SEZs proposed in the state are industry-specific and they do not require land in excess of 330-400 acres. Often the land requirement is much less. This is in contrast to the big SEZs being set up in states like Maharashtra or Haryana.

In Tamil Nadu, the land is being made available to the SEZ promoters through multiple channels.

The principal source of land in Tamil Nadu is the State Industries Promotion Council of Tamil Nadu (SIPCOT) which has already acquired land, mostly ‘low biological potential land’ and dry stretches, to be leased out to industries in the periphery of Chennai and other cities and towns. All the major industries like Sterlite in Tuticorin, Hyundai at Irungattukottai, St.Gobain, Nokia, Flextronics, Motorola etc at Sriperumbudur, are being built on SIPCOT land. Some of them like Nokia are developing SEZs on the land allotted to them.

Source: Financial Express

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