Mumbai:Investment in Special Economic Zones is expected to reach the Rs 2 trillion mark by the end of next year and the tax-free enclaves are expected to generate around eight million jobs, a senior government official said.

"The investment in 250 SEZs will reach Rs 2 trillion by December 2009 and they are expected to generate around eight million direct jobs," Union Commerce Secretary G K Pillai said at a seminar on Special Economic Zones held here today.

Formal approval has been given to 513 SEZs while another 138 have been granted in-principle approval till date, Pillai said.

The present investment in SEZ amounts to Rs 77,000 crore. "About 250 SEZs have already been notified," he said.

A few industries, which did not attract investments earlier, such as leather, are now attracting investments, he said.

"To encourage the handicrafts sector, SEZs of 10 hectares have been approved instead of the earlier 100 hectares," he said.

Maharashtra Chief Minister, Vilasrao Deshmukh, who also spoke at the seminar, said the state would soon implement the Maharashtra SEZ and Notified Areas Bill.

He asked investors to set up SEZs in backward regions of the state such as Marathwada and Vidarbha.

"We would welcome investors with a red carpet and not red tape," Deshmukh said.

The Chief Minister said farmers should be made stakeholders in such projects.

Pillai also released SEZ in India--Major Leap Forward , a joint publication by the Maharashtra Economic Development Council (MEDC) and PriceWaterhouseCoopers, on the occasion.
Source : PTI