Wipro, Infy investment proposals may happen as Mamata mulls reversing stance on IT-SEZ status

With Mamata Banerjee slated to take oath for her second term on May 27, rumours are flying about the possible ministerial berths, their portfolios and priority agendas of the new government.

According to industry sources, emboldened by her party’s improved showing in 2016 election, Banerjee is considering reversing her stance on the IT-SEZ (special economic zone) status to long-pending investment proposals from Wipro and Infosys.

IT-SEZ is distinctly different from the manufacturing SEZs spreading over hectares of land and helps IT companies primarily get tax-relief to be competitive in the export market.

Wipro and Infosys purchased 50 acres each, in the satellite township of Rajarhat, in Kolkata at an estimated ₹75 crore each in 2008, on the promise of IT-SEZ status.

However, Banerjee, who came to power through an anti-land grab movement, was sensitive to the SEZ nomenclature in her first term. The land is now lying vacant.

To bypass the logjam, Wipro recently began building its second campus on the spare land available with the first campus, in Sector V at Salt Lake, having pre-existing SEZ status. Infosys doesn’t have a campus in the city.

Asked about possible status of their Rajarhat land, Wipro said it “has taken possession of the (Rajarhat) plot”.

Infosys refused to comment. But, according to sources, the IT-behemoth has currently kept the project on hold.

Focus industry Meanwhile, sources say Banerjee is yet to make-up her mind on the industry portfolio that was with finance minister Amit Mitra, in the last government.

“Things are undecided yet but, Didi may keep industry portfolio with herself while Mitra will retain finance,” said an industrialist close to the Trinamool Congress camp.

The indication is Banerjee may attach maximum priority in attracting investment in the second term. This is to address the weaknesses on the industry front in the first term and help ensure increased tax revenue to finance the huge subsidy schemes that her government launched in its previous term.

Ministerial berths Sources close to Banerjee also suggest heavyweight ministers of the previous government — including the Narada sting operation-accused Subrata Mukherjee and Firhad (Bobby) Hakim – to get berths in the new government.

Suvendu Adhikary, a party MP who has won this Assembly election from Nandigram in Purba Medinipur is likely to get a Cabinet berth. Adhikary is also accused in Narada sting operations.

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