SEZs to take centrestage at UPA-Left meet

The UPA government's economic policies and special economic zones (SEZs) will top the agenda of the UPA-Left coordination committee meeting on October 4.

While the Left parties want the Centre to adopt the West Bengal model on SEZs and amend the SEZ Act and Rules in the next session of Parliament, the focus will be on their note on two years of the UPA rule that they submitted to the government on June 15.

The Left wants a cap on maximum area of an SEZ, review of tax exemptions, and proper compensation to farmers as well as agricultural workers.

Emboldened by a "positive response" to their agitations on different issues, which CPI(M) General Secretary Prakash Karat says have led to a 9 per cent rise in the number of party members, the Left parties are set to step up pressure on the UPA government to reverse its economic policy.

The note had several proposals for mobilisation of resources like re-introduction of long-term capital gains tax, raising of securities transaction tax, rationalising tax exemptions and incentives to corporates, especially exporters, increasing wealth tax and introduction of inheritance tax.

The Left parties are also likely to re-iterate their opposition to opening up sensitive sectors of the economy to FDI. They will also pressure the government to regulate and tax FIIs.

"There are a host of issues including agriculture policy and financial sector liberalisation that we have dealt with in our note. Then there is forward trading in essential commodities and weakening of the public distribution system. We would like to discuss all of them," said a senior Left leader.