New Delhi: In a significant pro-industry move, the Federation of Indian Chambers of Commerce and Industry (FICCI) has suggested that the proposed Land Acquisition Act should apply to the private companies only if they buy 500 acres of land or more, instead of the 100 acres as suggested in the draft law.

According to the Draft National Land Acquisition and Rehabilitation and Resettlement (R&R) Bill, 2011, its provisions will apply when private companies buy 100 acres of land or more on their own.

The Chamber also termed the need of consent of 80 percent of the project-affected families for acquiring the land in the villages.

FICCI requested the Government to extend the ambit of public interests. The Chamber said if the present provisions of the Bill are implemented, it will make an adverse affect on the investment into the country.

For instance many of the investors in Special Economic Zones are considering withdrawing their investments, as the Government has decided to scrap tax relaxation.