The Salt Department under the Union Ministry of Commerce & Industry has signed an agreement with the Tamil Nadu Government for the transfer of salt lands to Tamil Nadu Industrial Development Corporation (TIDCO) to set up 3,200-acre Ennore SEZ.

The deal with the Department provides for the state government transferring to it the equivalent value of the 2,800 acre of salt lands elsewhere in the state as compensation for the land it is to give to TIDCO for the SEZ project to the north of Chennai in Tiruvallur district. Over 3,300 acre has been identified in Vedaranyam taluk to be handed over to the Department.

Meanwhile, TIDCO had obtained formal approval from the Union Government for setting up the SEZ in July 2007 based on the lands available with it. In mid-April 2010, it has sought extension of the validity of the formal approval.

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