Wipro To Rethink Business Expansion In West Bengal If Not Given SEZ Tag
Tech giant Wipro would have a rethink on expanding its business in West Bengal if its project at Rajarhat was not given the special economic zone status
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Tech giant Wipro would have a rethink on expanding its business in West Bengal if its project at Rajarhat was not given the special economic zone (SEZ) status, a senior officer of the company on Friday (17 June) said.
"We are not sure whether we will get the SEZ status for our projects. But if we are not given the SEZ status then the future is quite uncertain. It's quite clear that if SEZ status is not granted it will be very difficult for us to do business," Wipro general manager Bhaswata Sinharoy told PTI in Kolkata on Friday.
The Wipro official, however, is hopeful of getting the SEZ status with the state government showing a "soft" attitude this time (second term of the Trinamool Congress government).
"We have heard that the state government is thinking something different this time and if that happens then we are hopeful," Sinharoy said while speaking on the sidelines of the Business-IT Conclave organised by the Bengal Chamber of Commerce & Industry (BCC&I) here today.
Asked about the company's strategy if the state government grants benefits equivalent to the SEZ status for its projects, the Wipro official said, "We need to look into them. What benefits will be earned from them. Because in the current scenario our profit margin is constantly eroding as per as the IT sector is concerned while the competition is constantly growing."
"Then there are issues on pollution norms and others and all this is possible only if you get the SEZ tag... But if it does not work out like in the past, we need to think over it this time too."
In fact, the company was also trying to get SEZ status for projects in Odisha's Bhubaneswar and Coimbatore.
"We have not been granted SEZ status for a huge chunk of land we have acquired in Bhubaneswar and Coimbatore. Once that is done, then we will look for a new SEZ. And in between if the problems (related to getting SEZ in West Bengal) get resolved then we will definitely continue here," he said.
Wipro has sought the government's nod to set up an IT SEZ in Kolkata.
The company's application will be considered by the inter-ministerial body, Board of Approval (BoA), headed by Commerce Secretary Rita Teaotia, in its meeting on June 22.
Wipro has proposed to set up IT/ITeS (IT/Information technology-enabled service SEZ over an area of 19.76 hectares in Kolkata.