Vol. 2, Issue 5 (2017)
SEZ (Special Economic Zone) in India
Author(s): Neetu Rani
Abstract: This study aims at examining the Special Conomic Zone (SEZ) in India. When the India’s ex- commerce Minister Mr. Murasoli Maran returned from a trip to China in late 902 s,he had witnessed something which would lead to revolutionary changes in the India’s EXIM(Export-Import) policy and then the SEZ’s were born. India over the past decade has progressively opened up its economy to effectively face new challenges and opportunities of the 21st Century. To compete in the global market, the Government of India (GoI) has liberalized export policies & licensing of technology and implemented tax reforms providing various incentives. Special Economic Zone (SEZ) policy is also one of the steps India has taken to boost economic growth through outward looking approach. Special economic zone is a specifically duty fee enclave and shall be deemed to be foreign territory for the purpose of trade operations and duties and tariffs. When SEZ policy was introduced in the country, it made headlines and people started considering it as a policy to create a hassle free and investment friendly environment. The Special Economic Zones Act, 2005, was passed by Parliament in May, 2005 which received Presidential assent on the 23rd of June, 2005. SEZs in India functioned from 1.11.2000 to 09.02.2006 under the provisions of the Foreign Trade Policy. The EXIM Policy Statement of 2004-2009 had stated that SEZs could be established under private sector, joint sector or “public sector at the initiative of state governments to provide an internationally competitive and hassle free climate for export promotion.