NE NEWS SERVICE
NEW DELHI, DEC 22
The government has amended the minimum land requirement and categorisation of special economic zones. The new rules will now enable co-existence of any SEZ from any sector with others.
From now on all existing and new SEZs would become multi-sector enclaves and help in co-existence of such entities from any other sector. Earlier, the rules were sector specific prohibiting existence of several sectors within one SEZ.
The government has also simplified the provisions governing the minimum land requirement and also simplified the rules.
Now, the minimum land required for setting up a multi-product SEZ has been revised from 500 hectares to 50 hectares. Similarly, the minimum built up area for services have also been significantly reduced.
The amendments which have been notified are expected to be a major step in unlocking the potential of SEZs to attract investments and boost exports.
Faced with sharp slowdown in exports, the government has been planning to unveil measures to boost investments and help accelerate economic growth. There are plans to attract companies that are planning to move their manufacturing bases from China.
The SEZ policy was first introduced in 2000 and the aim was to attract foreign investment by providing companies with globally competitive and special enclave for exports.
