West Bengal seems to have buckled under pressure and agreed to relocate but not abandon plans of the Special Economic Zones (SEZs ) following deadly protests by villagers. The state had set aside land around the village of Nandigram as part of its plans to set up SEZ, modelled on a Chinese program to give foreign companies large tax-free enclaves to spur industrialisation.
But a few villagers were shot dead in a protest that ensued when villagers opposed the compulsory purchase of their farmland on behalf of Indonesia's Salim group. The controversial SEZ scheme, launched in 2005, has met with massive protests from those living on land earmarked for such zones. It has also sparked debate over whether farmland should be used for industry in India. The Central Government has also decided against reversing plans to create SEZs, although it has promised to come up with a compensation package for displaced villagers.
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