Revamping SEZs: Government Initiates Comprehensive Reforms

The government has established a 17-member committee tasked with overhauling the policy framework for Special Economic Zones (SEZs) in India. An official confirmed that this panel will soon deliver a comprehensive concept paper or roadmap accompanied by suggestions and amendments for broad-based reforms aiming to introduce the SEZ 2.0 policy.

The committee's duties encompass analyzing existing SEZ regulations to determine their efficacy amidst the current global trade and macro-economic climate. It will explore harmonization possibilities with prevalent export promotion schemes to resolve policy distortions, if any. Additionally, the body will review the effects of recent and proposed reforms on SEZ policy, focusing on aspects such as Domestic Tariff Area sales and incentive structures.

This group includes representatives from commerce, customs, Niti Aayog, and several governmental departments and aims to address operational challenges faced by SEZ developers. It will study international best practices, engage with various stakeholders for insights, and recommend reforms at all levels, including potential amendments to the SEZ Act.