The government of India introduced policy on 1.4.2000 for setting up Special Economic Zone (SEZ) with a view to facilitate Indian Industry an internationally competitive and hassle free environment for exports. SEZ can be used to set up manufacturing operations and rendering of services. SEZ is a specifically defined duty free zone and is deemed to be a foreign territory for the purpose of trade operations and Government duties etc. Today India has 811 units in operation in the 8 functional SEZs. There were some blocks in the smooth implementation of the policy therefore to overcome these roadblocks and to give a long term and stable policy framework with minimum rules and regulations, the SEZ Act, 2005 has been promulgated. The provisions of the Act regulate the legal framework and regulatory aspects of SEZ development as well as for enterprises operating in SEZs.

The Act does not provide any exemptions to the Developer or the units from any labour Law Legislations as was desired by the industry.

• Brief commentary on Special Economic Zone Act

• Introduction

• Terms and conditions an SEZ unit has to comply with

• Salient features and facilities of SEZ

• Approval of new units

• Obligation of the unit under the scheme

• Developing SEZ

• Facilities for domestic suppliers to SEZ