Devil's Advocate: Kamal Nath

STRONG VOICE: Kamal Nath says Nandigram issue has nothing to do with the SEZs.

        

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Karan Thapar: Hello and welcome to Devil’s Advocate. After Nandigram, is the Government still committed to SEZs and does it believe that time has come to permit large corporate houses in FDI into the retail sector - those are the two issues I shall raise today in an exclusive interview with the Minister of Industry and Commerce Kamal Nath.

Minister, lets start with SEZs. It is reported that the Empowered Group of Ministers (E-GoM) could be considering giving permission to those SEZs where there is no land acquisition issue to go ahead. Do you believe after Wednesday’s events in Nandigram, that could still be the case?

Kamal Nath: You said it Karan, where there are no land issues. Nandigram was a land acquisition issue and its nothing to do with an SEZ. So, where there is no land issue, there is no issue of land acquisition, the Group of Ministers would consider such cases.

Karan Thapar: And you are hopeful that this will be the case, they will consider it and they won’t get put off for political reasons?

Kamal Nath: Well of course there is a fear now where land acquisition is concerned, where land is in dispute. But where there is no land in dispute why should one be worried about it?

Karan Thapar: So you remain an optimist on this?

Kamal Nath: I am an optimist of course.

Karan Thapar: The Indian Express has already reported that so far, because of delays in giving clearance, up to Rs 1,000 crore of investment has been lost to India because foreign partners have pulled out of proposed SEZs. Are you worried that if for political reasons or for fear, the Empowered Group of Ministers don’t give clearance - as you are hoping - that figure of Rs 1,000 crore could grow sharply?

Kamal Nath:Of course I’m worried because there is the investment competitiveness from Thailand, Philippines and Indonesia. If FDIs are coming into our Special Economic Zones, they can jolly well go to Thailand or Philippines or Indonesia. Investment has to be attracted it cannot be demanded.

Karan Thapar: And the attraction would be if it is done quickly, if there is a delay, they will go because their money will take them.

Kamal Nath: Of course they will feel the instability. At the end of the day they are here because they look at India as a credible country.

Karan Thapar: Minister, the problem is that the very concept of SEZs as a vehicle for attracting investments and for creating employment has come to be deeply controversial and deeply criticised. Let me ask you bluntly, after Wednesday’s killings in Nandigram, does the Government remain committed to SEZs or might you use this freeze as a way of politically wriggling out.