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Now, One More Sez Wants to Withdraw from Gujarat 0 e-Paper Indian Premier League 2016 T RENDING# VVIP chopper scam Vijay Mallya IPL 2016 Uttarakhand West Bengal elections 2016 NOW, ONE MORE SEZ WANTS TO WITHDRAW FROM GUJARAT 0 0 0 0 JIT ENDRA DAVE | HIMANSH DHOMSE | Fri, 15 Jul 2011-02:55pm , Ahmedabad , dna After struggling for four years to develop an engineering special economic zone (SEZ) at Rajoda near Changodar in Ahmedabad district, city-based developer NG Realty has now finally decided to abandon the plan and de-notify its Gallpos SEZ. The SEZ had got formal approval in May 2007. Four years on, the company wants to de-notify it and is now planning to convert it into an industrial park. With this, Gallops becomes sixth SEZ to be withdrawn in Gujarat. After investing Rs350 crore in this project, including Rs100 crore in development and Rs250 crore in acquiring land, NG Realty has sent a request to Board of Approval of SEZs for de-notification of its SEZ at Rajoda. In the request, the firm has cited unstable SEZ policy and imposition of minimum alternate tax (MAT) as reasons for shelving the project. The SEZ, spread in around 230 hectares, got notified over an area of 217.14 hectares. With many ups and downs, the developer was left with no other choice but to de-notify it. NG Patel, chairman of NG Realty, confirmed that they are mulling to de-notify their engineering SEZ and said that the SEZs are not viable anymore due to change in the government policy. "The government has withdrawn majority of the benefits and only certain benefits like relaxations in income tax are available. The central government decision of imposing MAT has been a fatal blow to the SEZ," he said. Now, the group will set up an industrial park on demarcated land. "We will not have to bear major loss as land price appreciation will compensate it," Patel said. Before applying for the de-notification, NG Realty had tried to bring in partners but in vain. First it tried to rope in a Delhi-based company. However, things did not work out so it tied up with Mumbai-based Kalpataru Power Ltd. Both the times, it was said to be 50:50 joint venture but the deal was not struck. Lately, local company Electrotherm Ltd had shown interest in taking over the project but negotiations failed. Minister of state for industries, Gujarat government, Saurabh Patel believes that the change in policy by the Centre is unfortunate for Gujarat. "Because of the tax on SEZs, the investors have lost confidence in government and started withdrawing SEZs. Not only the state governments but even central government stand to lose revenue under this policy," he said. Before Gallops SEZ, five more developers had either de-notified or withdrawn from such projects. Earlier, the proposed SEZs of DLF and Essar had been de-notified and the withdrawal request of Strength Real Estate Private Limited for an IT or ITeS SEZ in Vadodara had been granted. Three months back, two companies whose withdrawal requests were also granted were Gujarat Hydrocarbons & Power SEZ Limited, and Mexus Corporation. FROM AROUND THE WEB Economist Proclaims: "Get Out Want t o See How Celebrit ies 10 Cheapest and Amazing of St ocks Now!" Really Live? See Inside T hese Gadget s You Can Get in 2016 The Sovereign Investor Homes T hat Are Current ly on World List Mt haens Miona rGkloebtal by Dow Jones Where t he World's Billionaires T he most addict ive game of 10 Baffling BS Myt hs About Live t he year! Play wit h 15 million Being Rich You Shouldn't Mansion Global by Dow Jones Players now! 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Watch: Obama literally drops the mic at White House Correspondents Dinner, takes shot at Trump VIEW ALL TAGS Gujarat Special Eco no mic Zo ne (SEZ) AHMEDABAD Saurabh Pat el Vado dara Gallpo s SEZ Essar Kalpat aru Po wer Lt d. Rajo da NG Realt y Est at e Privat e Limit ed Elect ro t herm Lt d Mexus Co rpo rat io n Po wer SEZ Limit ed Gallo ps SEZ Chango dar DLF NG Pat el IT ES SEZ Gujarat Hydro carbo ns & Po wer SEZ Limit ed About DNA Contact us Advertise Reprint Rights NEWS Why don't you challan vehicles over 15 years: NGT to Delhi govt Tamil Nadu: Man burns his mother to death for not getting him married Mayawati shrugs off Rahul or Priyanka Gandhi as challenges for UP CM post UN arbitration court rules India should release Italian marine, says Italian foreign ministry West Bengal: 3 CID officers injured while diffusing crude bombs at Malda SPORT IPL 2016: Pune Supergiants bring in George Bailey as Faf du Plessis' replacement IPL 2016: Despite a robust batting performance, Hitman Rohit Sharma credits Mumbai bowlers for emphatic win For Wayne Rooney, Manchester United's top four finish is now an uphill task Madrid Open: Top seeds Radwanska, Kerber crash out; Azarenka extends winning streak IPL 2016: Shivil Kaushik- The spinner who spins the ball, the hand and the head! 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