United Infrastructure proposes Rs 1,200 cr SEZ in Indore

United Infrastructure Private Ltd, headquartered in Mumbai, has proposed to set up a special economic zone (SEZ) in Indore with an investment of Rs 1,200 crore.

"The MP Project Clearance and Implementation Board (PCIB) has recommended the SEZ to the Board of Approval," a senior official in the department of industries told Business Standard.

Although much is disclosed about the SEZ, the government official said, "This will be a soya-based product-specific SEZ."

The Board of Approval's nod is awaited. However, the PCIB has given in-principle approval for acquisition of land, etc. subject to the clearance from the Inter-Ministerial Committee.

"They have sought support on the acquisition of 550 acres and other policy-related subjects," said the official adding, "the proposed SEZ is expected to generate 1,000 jobs."

This will be the second agro-based SEZ in the state. Madhya Pradesh, despite being the first state to have an operational SEZ, has failed to attract developers for its SEZ in Indore.

The Madhya Pradesh government, through its arm the Madhya Pradesh State Industrial Development Corporation, is developing and facilitating one multi-product SEZ and three IT-based SEZs in Indore, Bhopal and Gwalior.

However, private partners have given a lukewarm response to develop these SEZs. Another firm, Gwalior Sugar Company Ltd, has proposed to develop an agri-based SEZ in Dabra near Gwalior.

The MP government also failed to market its soyabean, and the product's contribution to the Rs 15,000 crore soya byproduct industry.

Even after the creation of agri-export zones in nine commodities, state-owned Madhya Pradesh Agro Industries Development Corporation's role hasn't been encouraging in promoting agri products of the state.

The state not only produces soya but also high-protein varieties like Sharbati and Durum wheat, lentils, and legumes and is ranked among top three foodgrain-producing states in India.

The sinking corporation has floated SEZs for non-important and non-producing commodities like coriander, seed spice, garlic, onion, and orange.

The proposals of two huge agro-based SEZs show that the state has a vast potential for agri-exports. Surprisingly, the government schemes are all about creating rural godowns and warehousing foodgrains.

"Marketing, grading and processing with the participation of private corporate houses and local people are necessary to meet the global competition in agri business," Ashok Mathur, chief general manager of Nabard, Bhopal, said.