Special Economic Zone or SEZ was cleared by Indian Parliament on 2005 and came into effect on 10th February 2006. SEZ emphasized on the direct investment of products.
Various sectors that will be benefited by SEZ are:
Textiles, Handicrafts, Telecom, Gems, Jewellery, Engineering goods, Pharmaceuticals, IT and ITES, Bitechnology and petroleaum sector.
Till date 16 states and one UT has granted approval for SEZ’s and the total investment made in Rs.43,123 crore and employment has been provided to 35,053 youths.
Objective of Special Economic Zone:
To promote employment
To promote export of goods
To promote investment from both domestic and foreign sources
To promote the development of infrastructure
SEZ is divided into non processing and processing area both contributing 50 percent.
Benefits of Special Economic Zones:
SEZ has succeeded in providing employment to 1.8 lakh individuals and out of them 40 percent are females.
It has increased Forein Direct Investment (FDI)
After the implementation of SEZ, there has been an exponential rise seen in export of 151 percent.
Companies are greatly benefited from SEZ as they have been exempted from tax under section 115JB.
States implementing SEZ:
Quark city SEZ in chandigarh
Nokia SEZ in Tamil Nadu
Apache SEZ in Andhra Pradesh
Wipro in Karnataka
MAharashtra Airport Development Company Limited
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