Special Economic Zone (SEZ) for Information Technology at Rishikonda in Visakhapatnam aimed at developing as another Cyberabad like in Hyderabad is getting de-notified now which may attract more IT Companies to spring up there.
A land of 100 acres was developed and gave away to IT Companies at a rate of Rs.18 lakh per acre in the year 2009. But in order to get the Government incentives the ownership of the land had to be lost to become lessees. They could get Tax holiday and other benefits alright but as a result of which they could not get bank finance. The lease was not even for 99 years to avail bank loans.
As per the agreement the units established there in SEZ are to provide employment to 100 per one acre of land allotted. Now as per the sources the units that failed in that aspect can repay the incentive received by them and convert the land to free hold from lease hold.
IT units are hoping that the de-notification will enable them to lease out or sell the part of the land unutilized by them. De-notification will also attract other IT companies to establish at Visakhapatnam. The IT SEZ at Vizag has already made a business of Rs.1200 crore last year is expected to rise to Rs.1500 this financial year.
Zonal Manager of APIIC Nagabushana Reddy has confirmed that the process is going on for de-notification of the land in SEZ. The present Companies at Visakhapatnam Rishikonda -2 are, Symbiosys Technologies, Mahati Software, Sankhya Technologies, Color Chips, Nu Net Technologies, Clove Technologies and others.
The Visakhapatnam IT Center which is second to Hyderabad is expected to develop to No.1 once the de-notification becomes a reality. As the hill is overlooking sea is very attractive it will prove to be a loved place by the IT Companies to establish with an ambience of natural beauty.