"Andhra Pradesh Industrial Infrastructure Corporation (APIIC) had alloted valuable tracts of land to various companies in SEZs during the previous government, but majority of entrepreneurs have not utilised it for the purpose," Rao said addressing reporters here.
He said the state government will soon take a decision on the issue of taking back the land.
He cited examples of a couple of companies from pharma, IT and apparel sectors to whom allotment was made but the promise of generating enough employment opportunities is not met by them.
Rao said chief minister N Chandrababu Naidu will inaugurate a IT incubation centre at Rushikonda IT SEZ here on September 29 and also launch a "start-up village" for IT companies on the lines of the one set up in Kochi.
"Naidu will also participate in a key conference on IT sector with experts in the field of IT from various parts in the country and abroad," Rao said.