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

Modi’s Israel visit strengthened Pakistan’s hand in US–Iran truce: Ex-Indian diplomat

By Jag Jivan M. K. Bhadrakumar , a career diplomat with three decades of service in postings across the former Soviet Union, Pakistan, Iran, Afghanistan, South Korea, Sri Lanka, Germany, and Turkey, has warned that the current truce in the US–Iran war is “fragile and ridden with contradictions.” Writing in his blog India Punchline , Bhadrakumar argues that while Pakistan has emerged as a surprising broker of dialogue, the durability of the ceasefire remains uncertain.

Manufacturing, services: India's low-skill, middle-skill labour remains underemployed

By Francis Kuriakose* The Indian economy was in a state of deceleration well before Covid-19 made its impact in early 2020. This can be inferred from the declining trends of four important macroeconomic variables that indicate the health of the economy in the last quarter of 2019.

Why Indo-Pak relations have been on 'knife’s edge' , hostilities may remain for long

By Utkarsh Bajpai* The past few decades have seen strides being made in all aspects of life – from sticks and stones to weaponry. The extreme case of this phenomenon has been nuclear weapons. The menace caused by nuclear weapons in the past is unforgettable. Images of Hiroshima and Nagasaki from 1945 come to mind, after the United States dropped two atomic bombs on the cities.

Incarceration of Prof Saibaba 'revives' the question: What is crime, who is criminal?

By Kunal Pant* In 2016, a Supreme Court Judge asked the state of Maharashtra, “Do you want to extract a pound of flesh?” The statement was directed against the state for contesting the bail plea of Delhi University Professor GN Saibaba. Saibaba was arrested in 2014, a justification for which was to prevent him from committing what the police called “anti-national activities.”

Food security? Gujarat govt puts more than 5 lakh ration cards in the 'silent' category

By Pankti Jog* A new statistical report uploaded by the Gujarat government on the national food security portal shows that ensuring food security for the marginalized community is still not a priority of the state. The statistical report, uploaded on December 24, highlights many weaknesses in implementing the National Food Security Act (NFSA) in state.

The soundtrack of resistance: How 'Sada Sada Ya Nabi' is fueling the Iran war

By Syed Ali Mujtaba* The Persian track “ Sada Sada Ya Nabi ye ” by Hossein Sotoodeh has taken the world by storm. This viral media has cut across linguistic barriers to achieve cult status, reaching over 10 million views. The electrifying music and passionate rendition by the Iranian singer have resonated across the globe, particularly as the high-intensity military conflict involving Iran entered its second month in March 2026.

Civil society flags widespread violations of land acquisition Act before Parliamentary panel

By Jag Jivan Civil society organisations and stakeholders from across India have presented stark evidence before the Parliamentary Standing Committee on Rural Development and Panchayati Raj , alleging systemic violations of the Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement (RFCTLARR) Act, 2013 , particularly in Scheduled Areas and tribal regions.

Beneath the stone: Revisiting the New Jersey mandir controversy

By Rajiv Shah A recent report published in the British media outlet The Guardian , titled “Workers carved the largest modern Hindu temple in the west. Now, some have incurable lung disease,” took me back to my visits to the New Jersey mandir —first in 2022, when it was still under construction, though parts of it were open to visitors, and again in 2024, after its completion.

Ecologist Dr. S. Faizi urges UN intervention to save 35 million Gulf migrants

By A Representative Renowned ecologist and veteran United Nations negotiator Dr. S. Faizi has issued an urgent appeal to UN Secretary-General António Guterres, calling for immediate diplomatic intervention to halt escalating conflict in the Persian Gulf. In a formal letter copied to several UN missions, Faizi warned that the lives and livelihoods of 35 million migrant workers—who comprise the vast majority of the population in many Gulf cities—are facing an unprecedented existential crisis.

Search This Blog