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  PANOS SOUTH ASIA-KALPAVRIKSH MEDIA DIALOGUES
   
  Missing the Wood for the Trees: 
  Covering the environment in the era of economic reforms.

   
  SEZs: Oasis or Mirage?
                                                                         
  Date: 26th February 2008 (Tues)
  Time: 10:30 am to 5:00 pm
  Venue: YMCA, New Delhi
     

   
  Since the promulgation of the Special Economic Zone Act in 2005, the Union 
Ministry of Commerce has approved 404 SEZs across the country, of which 172 
have been notified, while more than 150 are awaiting formal approval. The 
speedy development of SEZs, as a means to rev up economic growth, has raked up 
a great deal of controversy, with several planners, elected representatives and 
citizens expressing doubts over their stated objectives and the possibility of 
their fulfillment.
   
  Economists have repeatedly pointed out that the tax holidays awarded to SEZ 
units will eventually lead to a significant loss of revenue. Initially, even 
the Ministries of Commerce and Finance did not see eye to eye over the economic 
feasibility of SEZs. Finance Minister P. Chidambaram had said that the economic 
gains from SEZs will not be commensurate with the fiscal benefits being 
promised to them, and the net profit will be much lower than what is being 
claimed by the Commerce Ministry.
   
  Economists have also questioned the extent to which SEZs will boost exports 
and employment, considering the dollar has been falling and that most of the 
notified SEZs are in the Information Technology sector. Critics also cite the 
Chinese experience with SEZs to underscore the problem of regional imbalances 
in infrastructure development. China’s flirtation with SEZs also illustrates 
the folly of subsidizing resources such as energy and water, which have grave 
implications for the environment. Nevertheless, the Ministry of Commerce is 
confident that all the approved SEZs, if notified, will generate 4 million jobs 
and boost exports by 200 per cent.
   
  While economists joust with each other over the economic logic of SEZs, the 
biggest worry about and the greatest threat to SEZs is the large scale 
acquisition of arable land, often by violence or deceit, As per the Ministry’s 
figures, more than 200,000 hectares of land will be required for all the 
proposed SEZs. Fuelling this concern is the knowledge that many developers, 
like Reliance, the Rahejas, the Hiranandanis and DLF are looking at SEZs to 
expand their real estate business.
   
  The acquisition of land for SEZs has been vehemently opposed by farmers, 
fishing communities along the coast, and other rural communities from 
Maharashtra to West Bengal and from Himachal Pradesh to Karnataka. The 
fisherfolk are especially vulnerable as they do not have land rights. Following 
popular protests and their violent repression in Nandigram and other places 
early last year, the central government had frozen the approval of SEZs till 
the problem of land acquisition had been resolved. This decision had displeased 
some state governments, such as Gujarat, Tamil Nadu, Andhra Pradesh and 
Karnataka, who had alleged that the freeze had sent a negative signal to 
investors. 
   
  The government lifted the freeze in April last year. It announced that there 
will be no forced acquisition of land for SEZs under the Land acquisition Act 
of 1894. Undoubtedly the question of land has become the prickliest thorn in 
the flesh of SEZ proponents. The government is now attempting a balancing act 
by finally pushing for a law on rehabilitation and resettlement and amendments 
to the Land Acquisition Act. Critics however are apprehensive about whether the 
new policy changes would restrain the transfer of agriculture land to industry 
and the subsequent loss of agricultural and other allied landbased livelihoods? 
Will those who lose their livelihoods be absorbed by the industrial enclaves 
including SEZs? And how will it affect the food security of the country?
   
  Environmental groups have also raised concerns about the proliferation of 
SEZs in environmentally sensitive regions such as coastal areas and highly 
polluted zones. Procedures for environmental decision making have been diluted 
for SEZs. The proposals for the location, size, and the nature of operations of 
units or whole SEZs are not put through detailed environmental assessments to 
minimize potential impacts. 
   
   
  To understand the intricacies of the SEZ debate, we invite you to the fourth 
edition of the Panos-Kalpavriksh media dialogue series. This media dialogue is 
an effort to facilitate participants to take a closer and nuanced look at the 
debate so far.. We hope to bring together representatives of the bureaucracy, 
political parties, peoples’ movements and academics to this discussion. 
   
  PROGRAMME SCHEDULE
   
   
  10:30- 11:00:  Registration and Tea
   
  10:30- 10:40: Introduction to the series and the session- Rakesh Kalshian
   
  Facilitator: Darryl D’Monte, Chairperson, Forum of Environmental Journalists 
of India
   
  10:40- 11:20: Session One: Describing the Beast
   
  Ø      SEZs  in India: A Report Card- Manshi Asher, Independent Researcher
  Ø     The Great Transformation: Is Industrialisation Inevitable? - Jayati 
Ghosh, Economist and Professor JNU
   
  Discussion
   
  11: 20- 12:20: Session Two: Can the Leopard Change its Spots?
   
  Ø      Repeating History: SEZs as 21st Century Enclosures- Aseem Shrivastava, 
Independent Writer 
   
  Ø      Lay of the Land: Can we accommodate SEZs?- Jairam Ramesh, Minister of 
State for Commerce and Industry
   
   
  12:20- 1:30: Session Three: SEZ Who? 
   
  Ø      Special Effects: SEZs as instruments of economic progress- 
Gopalakrishna Pillai, Secretary Ministry of Commerce
  Ø      The Devil “lies” in the Details: Interrogating SEZs on its promises- 
Arun Kumar, Economist 
  Ø      View from Below: The impact of SEZ on the working classes- Gautam Modi 
, Member NTUI
   
   
  1:30-2:15: Lunch
   
  2:15-3:15 Session Four: Beating Ploughshares into Swords?
   
  Ø      The emerging politics of Resistance: Peoples Movements against SEZs - 
Sumit Choudhury , Independent Filmmaker, Writer and Social activist
  Ø      Smoke and Mirrors: Raigad Farmers reject SEZs- Ulka Mahajan, Activist 
Sarvahara Jan Andolan
   
   
  Discussion
   
  3:15 -3:30 Tea
   
  3:30 – 4:15: Session Five: Precautionary Tales
   
  Ø      Elephant in the Room: Can environment regulations restrict impacts by 
SEZs: Lessons from China’s experience -Shankar Gopalakrishnan, Campaign for 
Survival and Dignity 
  Ø      Ecological impacts of SEZs: Case study from the Gujarat coast- Bharat 
Patel, SETU
   
  Discussion
   
  Closing Remarks by facilitator
   


Peace is doable.


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