Andhra Pradesh
Jerrila
,
Uppada Kothapalli
,
East Godavari
Published :
Sep 2016
|
Updated :
May 14, 2025
Farmers await return of land acquired for Kakinada SEZ in Andhra Pradesh
Reported by
Surabhi Bhandari
Legal Review by
Anmol Gupta
Edited by
Anupa Kujur
1500
Households affected
7200
People affected
2005
Year started
4249
ha.
Land area affected
1500
Households affected
7200
People Affected
2005
Year started
4249
Land area affected
Key Insights
Sector
Infrastructure
Reason/Cause of conflict
Special Economic Zones (SEZ)
Conflict Status
Ongoing
Ended
Legal Status
Region Classification
Rural
Ended
Sector
Infrastructure
Reason/Cause of conflict
Special Economic Zones (SEZ)
Conflict Status
Ongoing
Ended
Legal Status
Region Classification
Rural
Ended
1
Summary

GMR Kakinada Special Economic Zone (SEZ), a subsidiary of GMR Infrastructure Limited, owns 51 percent stake in Kakinada SEZ Ltd, which is developing a multi-product SEZ, spanning over 10,000 acres, near Kakinada. GMR also has a licence to build a multipurpose all-weather, deep-draft port as part of the SEZ, at an investment of Rs 2,123 crore.

The land for the SEZ was acquired in 2005 among widespread protests by farmers. The land was acquired by the state government, through Andhra Pradesh Industrial Infrastructure Corporation (APIIC), and handed over to GMR. The farmers received a compensation of Rs 3 lakh per acre back then, which they were not happy with.

In 2015, the Struggle Committee (a grassroots organisation by farmers created to oppose the project) alleged that while the farmers were paid compensation at the rate of just Rs 3 lakh per acre, the management had borrowed Rs 20 lakh from the bank by pledging each acre of the land acquired from the farmers and had even put the lands for sale at the rate of Rs 70 lakh per acre.

As a response, the state government increased the compensation in August 2015. In October 2018, since the promised development had not taken place even after five years, the farmers were agitated and demanded that their land be returned to them. They started tilling and transplantation on the fields and even filed petitions for the return of land. Further, with the proposal of APIIC to divest its stake in the SEZ to focus on its core airport and energy businesses, it is evident that no further investment will be pumped into the SEZ by the APIIC till the completion of divestment. As a result, the farmers' lands remain acquired without any employment guarantee for them.

In February 2021, the State Cabinet resolved to return the 2,180 acres of land notified for acquisition for the Kakinada Special Economic Zone (KSEZ) to farmers. It further stated that residents of six villages -- Srirampuram, Bandipeta, Mummidivaripodu, Pativaripalem, Ravivaripodu and Ramaraghavapuram -- would not be vacated as proposed by the previous governments. Further, all the burial grounds taken away from these villages would be returned. Moreover, the restrictions imposed on land transactions in these villages under 22A of the Registration Act will be lifted.

The Cabinet also decided to provide Rs 5 lakh more per acre to 657 acres of land notified for the SEZ in addition to the already announced compensation by the government and GMR company, so that the farmers will not be hit. 

In 2021, GMR Infrastructure Limited received first tranche towards the sale of its entire 51 percent stake owned by its subsidiary GMR SEZ and Port Holdings Limited in Kakinada SEZ Limited. The company said that 74 percent equity stake of Kakinada Gateway Port that’s held by Kakinada SEZ has also been transferred to Aurobindo Realty and Infrastructure.

In April 2022, Kakinada District Collector Krithika Shukla directed the Aurobindo group to complete the return of 1,443 acres to individual farmers in the Kakinada Special Economic Zone (KSEZ) on the Kakinada coast. She also told them to speed up the ‘land to land’ exercise wherein more than 700 acres needed to be given to farmers elsewhere, in lieu of the land acquired from them for the KSEZ.

2
Fact Sheet

Demand/Contention of the Affected Community

Demand for compensation

Demand to get back acquired land

Refusal to give up land for the project

Demand for employment

Demand for more compensation than promised

Demand for rehabilitation

Other Demand/Contention of the Affected Community

Region Classification

Rural

Type of Land

Private

What was the action taken by the police?

How many people did the police detain or arrest?

What is the current status of the detained/accused persons?

Did the person face any violence while in police custody?

If any arrests took place, were the accused persons produced before a judge within 24 hours of the arrest?

If the accused was not produced before a magistrate within 24 hours, or not produced at all, what were the reasons?

Legislation under which the accused was charged

Was the accused person informed of their right to legal representation? Did the accused person have access to legal aid?

In cases where the accused person approached the court for bail, was bail granted?

Why was bail granted or rejected? If granted, what were the bail conditions and quantum of bail?

Were there any other notable irregularities that took place, or other significant details?

Details of sources (names of accused, names and numbers of any lawyers, names of any police officers contacted)

Status of Project

Project stalled

Original Project Deadline

Whether the Project has been Delayed

Significance of Land to Land Owners/Users

Agricultural land

Whether the project was stalled due to land conflict

Yes

Source/Reference

<https://www.newindianexpress.com/states/andhra-pradesh/2021/feb/24/farmers-to-get-back-2000acres-notified-for-kakinada-sez-2268171.html>

Total investment involved (in Crores):

40000

Type of investment:

Year of Estimation

2007

Page Number In Investment Document:

Has the Conflict Ended?

When did it end?

Why did the conflict end?

4
Additional Information

Government Departments Involved in the Conflict:

Special Economic Zone, Kakinada Special Economic Zone Struggle Committee, CBI, Government of Andhra Pradesh

PSUs Involved in the Conflict:

Andhra Pradesh Industrial Infrastructure Corporation (APIIC), GMR Kakinada SEZ Limited

Did LCW Approach Government Authorities for Comments?

Name, Designation and Comment of the Government Authorities Approached

Corporate Parties Involved in the Conflict:

Did LCW Approach Corporate Parties for Comments?

Communities/Local Organisations in the Conflict:

Struggle Committee Against the KSEZ, KSEZ Vyatireka Porata Committee

5
Information on the use of criminal law

What was the action taken by the police?

How many people did the police detain or arrest?

What is the current status of the detained/accused persons?

Did the person face any violence while in police custody?

If any arrests took place, were the accused persons produced before a judge within 24 hours of the arrest?

If the accused was not produced before a magistrate within 24 hours, or not produced at all, what were the reasons?

Legislation under which the accused was charged

Was the accused person informed of their right to legal representation? Did the accused person have access to legal aid?

In cases where the accused person approached the court for bail, was bail granted?

Why was bail granted or rejected? If granted, what were the bail conditions and quantum of bail?

Were there any other notable irregularities that took place, or other significant details?

Legal Supporting Documents

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Author
Reported by
Surabhi Bhandari
Show more work
Fact sheet

Demand/Contention of the Affected Community

Demand for compensation

Demand to get back acquired land

Refusal to give up land for the project

Demand for employment

Demand for more compensation than promised

Demand for rehabilitation

If any arrests took place, were the accused persons produced before a judge within 24 hours of the arrest?

Was the accused person informed of their right to legal representation? Did the accused person have access to legal aid?

In cases where the accused person approached the court for bail, was bail granted?

Why was bail granted or rejected? If granted, what were the bail conditions and quantum of bail?

Were there any other notable irregularities that took place, or other significant details?

Status of Project

Project stalled

Original Project Deadline

Whether the Project has been Delayed

Significance of Land to Land Owners/Users

Agricultural land

Whether the project was stalled due to land conflict

Yes

Source/Reference

<https://www.newindianexpress.com/states/andhra-pradesh/2021/feb/24/farmers-to-get-back-2000acres-notified-for-kakinada-sez-2268171.html>

JOIN
THE LCW COMMUNITY
Exclusive monthly policy briefs, stories from the ground, Quarterly Analytics report, Curated Expert talks, merchandise and much more.


Support our work.
Sign Up Today
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