Andhra Pradesh Chief Minister N. Chandrababu Naidu directed district collectors to expedite the removal of lands from Section 22A of the Registration Act, specifically those belonging to the Andhra Pradesh Industrial Infrastructure Corporation (APIIC). This move aims to boost the Micro, Small and Medium Enterprises (MSME) sector by facilitating land transactions and attracting investments.
Section 22A restricts the sale or transfer of lands allotted by APIIC for a specific period, typically five years, to prevent speculation. Naidu wants this restriction lifted on completed projects to allow entrepreneurs to secure loans by mortgaging their land and to enable easier sale of properties.
The government estimates around 40,000 acres of APIIC land currently fall under Section 22A. Collectors have been instructed to prioritize clearing lands where projects are completed and industries are operational. A special drive will be undertaken to identify and remove these restrictions.
This decision follows representations from MSME representatives who highlighted difficulties in obtaining financing and expanding businesses due to the land restrictions. The government believes removing Section 22A will unlock capital for MSMEs, fostering growth and creating employment opportunities.
Naidu emphasized the importance of a streamlined process and instructed officials to ensure transparency and avoid any delays. He also directed them to coordinate with relevant departments, including Registration and Stamps, and Industries, to expedite the land clearance process. The initiative is part of the government’s broader strategy to promote industrial development and position Andhra Pradesh as a favorable investment destination. The focus is on creating a conducive environment for MSMEs, which are considered crucial for economic growth and job creation in the state.
