Friday, January 5, 2007

Creation Of Agri Export Zones Faces Impediment

New Delhi: The Centre will be putting restrictions on creation of new Agriculture Export Zones and has urged the states to reconsider the proposals pending with them. The Centre had received 34 proposals for setting up of AEZs but it was decided that instead of sanctioning more AEZs, efforts should be made to strengthen the existing zones. AEZs, as opposed to Special Economic Zones, are agro climatic zones specializing in particular product spread over an area of a district. The decision to put a break on creating of new AEZs was taken after a "peer" evaluation of existing ones. Till today, the government has cleared 60 AEZs since the policy was formulated in 2001. However, they have failed to take off in a significant way even after five years of their existence. While the government has decided to put an embargo on sanctioning any more agri zones, it is not willing to put a cap on number of SEZs despite strong opposition, particularly from the Left. While the total agri exports from India aggregate to almost nine billion dollars, the contribution from AEZs remains much below expectations. The main agriculture products exported from India are foodgrains, nuts and seeds, meat, poultry and dairy products, processed foods, tobacco, tea and coffee.

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