Land Acquisition Crucial for SEZs

Regions have greeted with euphoria the government’s policy to ease investment with promises of various incentives in the proposed development of special economic zone, but land acquisition remains a crucial issue.

KOMPAS/ADITYA PUTRA PERDANA

Vehicles pass at the gate of the Kendal Industrial Estate with the status of a Special Economic Zone (KEK), in Kendal Regency, Central Java, Friday (3/9/2021). The main business fields in the Kendal SEZ are the textile and clothing industry, furniture and game equipment, food and beverage, automotive, electronics, and logistics.

JAKARTA, KOMPAS – Smooth progress in land acquisition is one of the crucial challenges that will also help contribute to the success of in Special Economic Zones (SEZs) development.

The SEZ National Council’s 2020 annual report identifies land acquisition as an obstacle to investment, along with infrastructure and utilities provision, as well as regulatory overlap.