All is not well with Chandigarh IT Park

R.K. Mehta

CHANDIGARH: Not all seems to be going well for the Information Technology park here.

First, the IT Park faced protests from farmers against the acquisition of farmland and now, companies refuse to have the benefits of SEZ status.

According to reliable information, at least a dozen IT companies coming up in the Phase II of IT Park have requested the UT Administration to keep them outside the SEZ purview of the park.

"This is unfortunately true that few of the IT companies have approached the Administration regarding the SEZ issues in IT Park,” says Manjit Brar, IT director, UT. “Prominent among them are Bharti Airtel Ltd. and e-Sys Technologies Ltd., as their business plans do not coincide with SEZ objectives."

He adds, "They have cited a strong reason for this. They are finding difficulties in securing sanctions at different levels due to SEZ tag, including inordinate delay in permission from the Union Commerce and Industries Ministries. These companies have made it clear that they would not set up their shop here, if the Administration does not oblige them."

However, others, namely Wipro and Tech Mahindra, have opted to remain within the SEZ purview.

Those companies who have been opting out, say the SEZ benefits suit only those IT companies which are totally into exports business. At present, only Infosys, the anchor company of Phase I of IT Park, is working within the SEZ purview because it exports its software. Infosys has been allotted 30 acres of land.

Earlier, the main SEZ attractions were substantial reduction in taxes and congenial atmosphere. But the ongoing dispute over the SEZ and inordinate delays in getting various sanctions are driving IT companies' away form IT Park.

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