Centre approves Wipro SEZ in Vizag

Visakhapatnam: The board of approval (BoA) under the Union ministry of commerce and industry has given its seal of approved to IT giant Wipro Ltd's plan of setting up a special economic zone (SEZ) in the city.

Wipro plans to set up the SEZ over three acres at Resapuvanipalem besides its existing facility in the heart of the city. While Wipro already has a total area of around seven acres in the city, it has utilised only four acres where it has put up a 2 lakh sft campus. The new SEZ will be located adjacent to the existing facility, sources said.

The state government had earlier recommended the proposal to the BoA following Wipro's promise of providing employment to around 6,400 people at the SEZ.

Confirming the development to TOI, Visakhapatnam SEZ development commissioner S Kishore said, "Yes, the BoA has approved the plan for Wipro to set up its SEZ in Vizag."

According to state government sources, the approval is a shot in the arm for the AP government, which is aiming to turn Vizag into an IT and electronics hub post bifurcation. Sources said that following the BoA approval, Wipro can undertake construction activity for their SEZ facility.

The development comes close on the heels of Wipro chairman Azim Premji's meeting with chief minister N Chandrababu Naidu in Hyderabad in the last week of July.

Speaking to TOI, Vizag IT Association (VITA) president Deepak Madala said, "It is heartening to finally see IT expanding in Vizag. The move is a reiteration of Vizag as an IT destination in AP. Wipro already has an existing facility and obviously big IT names are needed to develop the city and attract more investments."

However, former secretary to the central government, EAS Sarma, said the state government should ensure that Wipro fulfills its earlier promise of providing more jobs at its existing facility. He pointed out that though the state government had provided land in the heart of the city, Wipro was yet to fulfill its promise of providing employment to around 2,000 people. He said that the government should ensure that Wipro satisfies this requirement too.

Meanwhile, an industry source said that while the move to approve Wipro's SEZ was welcome, the government should also reserve space for the small and medium sector in the city. He said that while it might be better if space for IT majors was earmarked on the outskirts of the city, it would be advantageous if space was provided for start-ups within the city as their operating costs would be lower.

Your 2 hours a day, thrice a week for 100 days can change many lives. Apply now to volunteer with Teach India at www.teachindia.net for Delhi/NCR & Mumbai region only.

Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.