Modi government drops handicrafts, artisan SEZ in Kutch, Gujarat, says state developers "not interested"

By A Representative
Handicrafts and artisans of Kutch are said to be a major identity of Gujarat's culture, both in the rest of India and abroad. Taking advantage of this, a state-sponsored proposal was floated in June 2007 to develop a Handicrafts and Artisans Special Economic Zone (SEZ) on 132 hectares (ha) land in village village Moti Chiral, near Bhachau town in Kutch district, Gujarat. Eight years after it was "formalized", the Narendra Modi government has dropped it like a hot potato.

The Board of Approvals (BoA), operating under the Government of India's Ministry of Commerce and Industry, has noted that "the progress made by the developers" for setting up the Handicrafts and Artisan SEZ "is not satisfactory", hence the the "Board, after deliberations, decided to cancel the formal approval/notification."
The BoA has, meanwhile, directed the developers -- Gujarat Growth Centres Development Corporation Ltd, with its office in Udyog Bhawan in Gujarat capital Gandhinagar -- to furnish the certificate in a prescribed format certifying that the developer "has not availed any tax/duty benefits including service tax exemptions, if any, under SEZ Act/Rules, or has refunded any such benefits."

Reacting to the development, Gujarat's former BJP chief minister Suresh Mehta, who worked as industries minister under Narendra Modi's chief ministership in 2002, said the development suggests "the Government of India is least interested in small-scale and cottage industries" and is "working for the interests of the big business." Mehta, who belongs to Kutch, quit from the BJP in 2007 protesting against the "authoritarian style" of Modi in Gujarat.

Suresh Mehta

A formal approval for the Handicraft and Artisan SEZ was granted on June 25, 2007. The formal approval was granted to the developer on June 25, 2007, which was last extended up to June 24, 2011. An official Commerce Ministry note says, "the matter with the developer" was taken up "several times" but "no communication" was received." And since the developer failed to initiate "any development activity", it was recommended to cancel its "formal approval."
Interestingly, the Gujarat Growth Centres Development Corporation Ltd was floated as a public company, incorporated in December 1992, and was registered at registrar of companies, Ahmedabad with an authorized share capital is Rs 1,000,000,000 and its paid up capital is Rs 363,500,064. Its last annual general meeting was held on August 29, 2013 "and as per records from Ministry of Corporate Affairs (MCA), its balance sheet was last filed on 31 March 2013", the official government note said.

Among half-a-dozen directors two were senior IAS officials, BB Swain, who is currently managing-director, Gujarat Industries Development Corporation (GIDC), and S Jagadeesan, former energy secretary, who retired two years ago.
Sources say, even earlier, the Gujarat government was not quite keen in developing the SEZ. In 2010, the GIDC recommended to reduce its size from 132 ha to 15 ha. In addition to this, the GIDC asked for a change in sector of the SEZ from ‘Handicrafts and Artisan’ to just ‘Handicraft’.

Comments

From Kerala to Bangladesh: Lynching highlights deep social faultlines

By A Representative The recent incidents of mob lynching—one in Bangladesh involving a Hindu citizen and another in Kerala where a man was killed after being mistaken for a “Bangladeshi”—have sparked outrage and calls for accountability.

What Sister Nivedita understood about India that we have forgotten

By Harasankar Adhikari In the idea of a “Vikshit Bharat,” many real problems—hunger, poverty, ill health, unemployment, and joblessness—are increasingly overshadowed by the religious contest between Hindu and Muslim fundamentalisms. This contest is often sponsored and patronised by political parties across the spectrum, whether openly Hindutva-oriented, Islamist, partisan, or self-proclaimed secular.

When a city rebuilt forgets its builders: Migrant workers’ struggle for sanitation in Bhuj

Khasra Ground site By Aseem Mishra* Access to safe drinking water and sanitation is not a privilege—it is a fundamental human right. This principle has been unequivocally recognised by the United Nations and repeatedly affirmed by the Supreme Court of India as intrinsic to the right to life and dignity under Article 21 of the Constitution. Yet, for thousands of migrant workers living in Bhuj, this right remains elusive, exposing a troubling disconnect between constitutional guarantees, policy declarations, and lived reality.

Aravalli at the crossroads: Environment, democracy, and the crisis of justice

By Rajendra Singh* The functioning of the Ministry of Environment, Forests and Climate Change has undergone a troubling shift. Once mandated to safeguard forests and ecosystems, the Ministry now appears increasingly aligned with industrial interests. Its recent affidavit before the Supreme Court makes this drift unmistakably clear. An institution ostensibly created to protect the environment now seems to have strayed from that very purpose.

'Festive cheer fades': India’s housing market hits 17‑quarter slump, sales drop 16% in Q4 2025

By A Representative Housing sales across India’s nine major real estate markets fell to a 17‑quarter low in the October–December period of 2025, with overall absorption dropping 16% year‑on‑year to 98,019 units, according to NSE‑listed analytics firm PropEquity. This marks the weakest quarter since Q3 2021, despite the festive season that usually drives demand. On a sequential basis, sales slipped 2%, while new launches contracted by 4%.

Safety, pay and job security drive Urban Company gig workers’ protest in Gurugram

By A Representative Gig and platform service workers associated with Urban Company have stepped up their protest against what they describe as exploitative and unsafe working conditions, submitting a detailed Memorandum of Demands at the company’s Udyog Vihar office in Gurugram. The action is being seen as part of a wider and growing wave of dissatisfaction among gig workers across India, many of whom have resorted to demonstrations, app log-outs and strikes in recent months to press for fair pay, job security and basic labour protections.

India’s universities lag global standards, pushing students overseas: NITI Aayog study

By Rajiv Shah A new Government of India study, Internationalisation of Higher Education in India: Prospects, Potential, and Policy Recommendations , prepared by NITI Aayog , regrets that India’s lag in this sector is the direct result of “several systemic challenges such as inadequate infrastructure to provide quality education and deliver world-class research, weak industry–academia collaboration, and outdated curricula.”

The rise of the civilizational state: Prof. Pratap Bhanu Mehta warns of new authoritarianism

By A Representative Noted political theorist and public intellectual Professor Pratap Bhanu Mehta delivered a poignant reflection on the changing nature of the Indian state today, warning that the rise of a "civilizational state" poses a significant threat to the foundations of modern democracy and individual freedom. Delivering the Achyut Yagnik Memorial Lecture titled "The Idea of Civilization: Poison or Cure?" at the Ahmedabad Management Association, Mehta argued that India is currently witnessing a self-conscious political project that seeks to redefine the state not as a product of a modern constitution, but as an instrument of an ancient, authentic civilization.

Why experts say replacing MGNREGA could undo two decades of rural empowerment

By A Representative A group of scientists, academics, civil society organisations and field practitioners from India and abroad has issued an open letter urging the Union government to reconsider the repeal of the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) and to withdraw the newly enacted Viksit Bharat–Guarantee for Rozgar and Ajeevika Mission (Gramin) Act, 2025. The letter, dated December 27, 2025, comes days after the VB–G RAM G Bill was introduced in the Lok Sabha on December 16 and subsequently approved by both Houses of Parliament, formally replacing the two-decade-old employment guarantee law.

Search This Blog