CII inks pact for textile investment in Kazakh SEZ

New Delhi: The Kazakh Government is eyeing investments from Indian textile players in the Ontusyk Special Economic Zone (SEZ) and has offered a slew of tax incentives for potential investors.

A business delegation from Kazakhstan, in partnership with the Confederation of Indian Industry (CII), organised a presentation highlighting investment opportunities in the SEZ for Indian textile players.

An agreement of co-operation was signed here on Friday between the CII and the Kazakh Government, focusing on investment activity in the SEZ, located in South Kazakhstan, by Indian textile sector players.

Mr Berdibek Saparbayev, Special Envoy of Prime Minister of Kazakhstan and Deputy Head of Kazakhstan's Prime Minister Chancellery, led the delegation. Mr S.P. Oswal, Chairman of the CII textile committee, headed the Indian Textile industry at the meeting held here.

Wooing investors


The incentives announced for potential investors in this zone include long-term tax concessions, customs duty relaxation and cheap inputs. According to Mr Saparbayev, investors would be fully exempted from corporate income-tax, VAT, property and land tax for a period of 10 years. The only basic requirement for investors would be that the textile products should be made from 100 per cent cotton, of which not less than 30 per cent must be Kazakh cotton.

Texprocil pact


Our Mumbai Bureau reports:

Texprocil has signed an MoU with Kazakhstan for enhanced co-operation between the textile industries in the two countries.

In the presence of Mr J.N. Singh, Textile Commissioner, Mr Prem Malik, Deputy Chairman of Texprocil, and Mr Berdibek M. Saparbayev, igned the MoU at an interactive meeting attended by leading manufacturers of textiles.

The MoU highlights the importance of working together in the field of exchange of information pertaining to textile industry, exploring possibilities of participating in fairs and exhibitions in both countries, and encouraging joint ventures and investment proposals so as to strengthen the manufacturing sector in the two countries.

The high-powered delegation led by Mr Saparbayev was in Mumbai seeking the participation of leading Indian textile companies, particularly from the cotton sector, to set up a manufacturing base in the Ontustik SEZ.