Commercially minded self starter with demonstrated achievement in senior retail management and project management of large multi-site operations with responsibility for profit and loss and a background in residential real estate development and management, project management, marketing, operations and general management. Proactive management style with strong analytical skills, strategic & operational planner with a strong eye for detail in a performance based, and customer focused environment. Accustomed to setting goals, monitoring performance and taking responsibility, with highly developed leadership, motivational, team building, interpersonal and communication skills.

1. Know about SEZ in India By Sunil Kumar N.S. Hyderabad, India Mobile: 09885108839 sunil_ns_nair@yahoo.com © Sunil Kumar N.S.

3. One of the earliest & most famous SEZs were founded by China under Den Xiaoping in the early1980s

4. Today the most prominent SEZs in China are Shenzhen & Pudong, a district of Shanghai

5. However, India’s first EPZ was set up in Kandla (Gujarat) in 1965 followed by Santacruz (Mumbai) in 1973© Sunil Kumar N.S.

7. Importance of the last in faster economic growth, modernization of Industry & Trade and export growth

8. Policy of preferred regions – unequal growth – open-door policies

9. Hong Kong and East Asian factors

10. Overriding approach based on Deng’s Observation: “For us to establish SEZs and adopt open-door policies, we must have a clear guiding ideology: that is, “Not to constrain but to release”© Sunil Kumar N.S.

12. Very limited impact

13. Less than 40% of approvals fructified, rest cancelled or lapsed

14. Employed only 0.01% of labor force

15. FDI was less than 20% of total investment

16. Accounted for less than 4% of exports. Net export much lower as imports were over 60% of exports© Sunil Kumar N.S.

18. Special Economic Zone is one or more areas of a country where the tariffs and quotas are eliminated and bureaucratic requirements are lowered so that more companies are attracted to the area. The companies establishing in the area also get extra incentives for doing business.

19. SEZs are an acknowledgement of the potential of export-led development strategy in accelerating economic growth.

20. Government of India have notified Special Economic Zones (SEZs) Act 2005 and notified Special Economic Zone Rules 2006 with a view to augmenting infrastructure facilities for export production.

21. Setting up of Special Economic Zones are permitted in the public, private, joint sector or by the State Governments. © Sunil Kumar N.S.

23. 100% Income Tax exemption on export income for SEZ units under Section 10AA of the Income Tax Act for first 5 years, 50% for next 5 years thereafter and 50% of the ploughed back export profit for next 5 years.

24. Exemption from minimum alternate tax under section 115JB of the Income Tax Act.

25. External commercial borrowing by SEZ units upto US $ 500 million in a year without any maturity restriction through recognized banking channels.

26. Exemption from Central Sales Tax.

27. Exemption from Service Tax.

28. Single window clearance for Central and State level approvals.

29. Exemption from State sales tax and other levies as extended by the respective State Governments. © Sunil Kumar N.S.

31. Absence of single window facility within the Zone

32. Rigid custom procedure for bonding & bank guarantees

33. Restrictive FDI policy

34. Procedural constraints & severe infrastructural deficiencies

35. During 1991-2000, wide-ranging measures were initiated by the Goal for revamping and restructuring EPZs.

36. This phase was thus marked by progressive liberalisation of policy provisions and relaxation in the severity of controls and simplification of procedures.© Sunil Kumar N.S.

37. Evolution : from EPZs to SEZs Focus had been on delegating powers to zone authorities, providing additional fiscal incentives, simplifying policy provisions and providing greater facilities.The EXIM Policy (1997-2002) introduced a new scheme from April 1, 2000 for establishment of the Special Economic Zones (SEZs) in different parts of the country.From November 1, 2000 the EPZs at Kandla, Santa Cruz (Mumbai), Cochin and Surat have been converted into SEZs.In 2003, other existing EPZs namely, Noida, Falta, Chennai, Vizag were also converted into SEZs.As on June 2005, 53 SEZs have been approved by the Government of India out of which 11 SEZs are functional and the rest 42 SEZs are under establishment. © Sunil Kumar N.S.

39. Cochin (Kerala),

40. Kandla and Surat (Gujarat),

41. Chennai (Tamil Nadu),

42. Visakhapatnam (Andhra Pradesh),

43. Falta (West Bengal) &

44. Nodia (Uttar Pradesh) in India. Further a SEZ at Indore (Madhya Pradesh ) is now ready for operation. © Sunil Kumar N.S.

46. Navi Mumbai and Kopata (Maharashtra),

47. Nanguneri (Tamil Nadu),

48. Kulpi and Salt Lake (West Bengal),

49. Paradeep and Gopalpur (Orissa),

50. Bhadohi, Kanpur, Moradabad and Greater Noida (U.P),

51. Vishakhapatnam and Kakinada (Andhra Pradesh),

52. Vallarpadam/Puthuvypeen (Kerala)

53. Hassan (Karnataka),

54. Jaipur and Jodhpur (Rajasthan)

55. on the basis of proposals received from the State Governments.© Sunil Kumar N.S.

57. 60% of which is employed in agriculture and related industries.

58. agricultural crops include rice, wheat, oilseed, cotton, jute, tea, sugarcane, and potatoes.

59. The agricultural sector accounts for 28% of GDP.

60. Service and industrial sectors make up 54% and 18% respectively.

61. Agriculture accounts for 8.56 % of India’s exports. About 43 % of India's geographical area is used for agricultural activity.

62. Agriculture is still the largest economic sector and plays a significant role in the overall socio-economic development of India© Sunil Kumar N.S.

64. Wal-Mart’s role in Indian agriculture would be one such step to make the farmers use modern technology to make them eligible for profit sharing partnership proposal.

65. That depends on the efforts that government of India and its population put in. The SEZ conflict with agriculture as of now seems more like a political war fought with the help of pawns for immediate political mileage.© Sunil Kumar N.S.

67. World class business environment

68. Increased FDI

69. Higher economic growth

70. Infrastructural development

71. Export growth

72. Employment Opportunities

73. Exposure to technology and global markets© Sunil Kumar N.S.

75. Hassle free operating environment

76. Single window clearance

77. Simplified procedure for setting up business, compliance proc with with self certification

78. Duty free import

79. Tax exemption- VAT, CST, ST, other levies

80. External commercial borrowings

81. 100% profit reptriation from export earnings© Sunil Kumar N.S.

83. Employment opportunities

84. Impact on lifestyle and standard of living

85. Business infrastructure combined with social facilities

86. Better work culture , good education, leadership vision© Sunil Kumar N.S.

88. Loss of revenue

89. To Business

90. Land acquisition

91. Single window actually is not

92. No strategic planning for electricity, water

93. To People

94. Grabbing of fertile land

95. Water scarcity- Threat to access

96. Food scarcity

97. Exploitation of labor

98. Landless farmers© Sunil Kumar N.S.

99. Definitions in Special Economic Zones Act,2005 "Unit" means a Unit set up by an entrepreneur in a Special Economic Zone and includes an existing Unit, an Offshore Banking Unit and a Unit in an International Financial Services Centre, whether established before or established after commencement of this Act (Section 2(zc) of Special Economic Zones Act ,2005) “Offshore Banking Unit” means a branch of a bank located in a Special Economic Zone and which has obtained the permission under clause (a) of sub-section (1) of section 23 of the Banking Regulation Act, 1949 (Section 2(u) of Special Economic Zones Act ,2005) “International Financial Services Centre” means an International Financial Services Centre which has been approved by the Central Government under sub-section (1) of section 18 (Section 2(q) of Special Economic Zones Act ,2005) © Sunil Kumar N.S.

100. DEFINITIONS contd.. “entrepreneur” means a person who has been granted a letter of approval by the Development Commissioner under sub-section (9) of section 15 (Section 2(j) of Special Economic Zones Act ,2005) “existing Unit” means every Unit which has been set up on or before the commencement of this Act (Section 2(l) of Special Economic Zones Act ,2005) © Sunil Kumar N.S.

102. Existing Unit An existing Unit shall be deemed to have been set up in accordance with the provisions of SEZ Act,2005 and such Units shall not require approval under the SEZ Act, 2005 . (Section 15(1) of SEZ Act,2005) © Sunil Kumar N.S.

103. Procedure for establishment of Unit ( if proposal not related to Foreign collaboration and FDI) Application to Development Commissioner with a copy to developer Development Commissioner shall scrutinise proposal and place before approval committee Approval Committee approve the proposal Development Commissioner will issue a letter of approval in Form G for setting up the unit © Sunil Kumar N.S.

104. Procedure for establishment of Unit ( if proposal relates to Foreign collaboration and FDI) Application to Development Commissioner with a copy to developer Development Commissioner shall scrutinise proposal and place before Board Board shall approve the proposal Development Commissioner will issue a letter of approval in Form G for setting up the unit © Sunil Kumar N.S.

105. Letter of Approval to a Unit-Rule 19(2) and (3) What is a Letter Validity of a Letter The Letter of Approval shall be valid for one year within which period the Unit shall commence production or service or trading or Free Trade and Warehousing activity .(Rule 19(4) of SEZ Rules ,2006) © Sunil Kumar N.S.

108. Details of Activities proposed

109. Direct and indirect employment likely to be generated

110. Project cost and means of finance

111. Financial/Technical, etc. tie ups

112. Details of Backward and Forward integrations

113. Details of Past experience

114. Infrastructure: About the Land, Factory premises, Equipment, Office premises

115. Risks associated with Project

116. Implementation schedule© Sunil Kumar N.S.

117. Matters that can be included in application- Rule 17(1) (a) Setting up of unit in a SEZ (b) Annual permission for sub-contracting (c) Allotment of Importer-Exporter Code number (d) Allotment of land/industrial sheds in the SEZ (e) Water connection (f) Registration-cum-Membership Certificate (g) Small Scale Industries Registration © Sunil Kumar N.S.

118. Matters that can be included in application Rule 17(1) contd.. (h) Registration with Central Pollution Control Board (i) Power connection (j) Building approval plan (k) Sales tax registration (l) Approval from inspectorate of factories (m) Pollution control clearance, wherever required; (n) Any other approval as may be required from the State Government © Sunil Kumar N.S.

119. Guidelines for Central Government for notifying special Economic Zone –sec 5 a) generation of additional economic activity b) promotion of exports of goods and services; c) promotion of investment from domestic and foreign sources; d) creation of employment opportunities; e) development of infrastructure facilities; and f) maintenance of sovereignty and integrity of India, the security of the State and friendly relations with foreign States. © Sunil Kumar N.S.

120. Specific requirements for SEZ-Rule 5(5) Before recommending any proposal for setting up of a SEZ, the State Government endeavor that following are made available in the State to the proposed SEZ and Developer exemption from the State and local taxes, levies and duties exemption from electricity duty or taxes on sale, of self generated or purchased electric power allow generation, transmission and distribution of power within a SEZ © Sunil Kumar N.S.

121. Specific requirements for SEZ – Rule 5(5) …. providing water, electricity and such other services, Delegation of power to the Development Commissioner under the Industrial Disputes Act, 1947 and other related Acts in relation to the Unit Declaration of the Special Economic Zone as a Public Utility Service under the Industrial Disputes Act, 1947 Providing single point clearance system to the Developer and unit under the State Acts and rules © Sunil Kumar N.S.

122. Forms used © Sunil Kumar N.S.

123. Forms used Contd.. © Sunil Kumar N.S.

124. Check list for the proposals to be taken up by BOA Name of the Developer. Proposed area of the location of the SEZ. Status of recommendation of the proposal by the State Government (if available). Whether proposal is for formal or in-principle approval? (In case land is in possession of the promoter, it is considered for formal approval) Is it a multi-product SEZ? If it is a sector specific SEZ, the sector is. Whether it meets the area requirements. Area of the SEZ (in hectares) © Sunil Kumar N.S.

125. Check list for the proposals to be taken up by BOA… Whether Form- A has been filed? Whether undertaking and affidavit has been submitted? Whether project report has been submitted? Whether land is owned/leased and is in possession of the Developer? Does the proposal meet the area requirements of the Rules? Whether the land has existing structures or is vacant? Whether the land is contiguous? Projected investment in the project. © Sunil Kumar N.S.

126. Check list for the proposals to be taken up by BOA…. Projected exports from the project. Projected employment from the project. Share capital and Reserves of the Developer Company. Source of funds for the project. Audited Accounts of the Developer for last 3 years (for all the constituents in case the Developer is a SPV). Extent of FDI Source of FDI Whether provisions contained in the Press Note No. 5 (2005 Series), issued by the Ministry of Commerce and Industry have been followed in respect of Telecom/IT SEZ development? © Sunil Kumar N.S.

129. The lease period shall be co-terminus with the validity of the Letter of Approval.(Rule 11(5))

130. Developer may grant on lease land or built up space, for creating facilities such as canteen, public telephone booths, first aid centres, creche and such other facilities as may be required for the exclusive use of the Unit. .( Proviso to Rule 11(5))© Sunil Kumar N.S.

132. The Developer shall not sell the land in a Special Economic Zone. (Rule 11(9))© Sunil Kumar N.S.

133. New Rule11(10) No vacant land in the non-processing area shall be leased for business and social purposes such as educational institutions, hospitals, hotels, recreation and entertainment facilities, residential and business complexes, to any person except a co-developer approved by the Board : Provided that the developer or co-developer may lease the completed infrastructure along with the vacant land appurtenant thereto for such purposes Provided further that infrastructure for business or social purposes in the Special Economic Zone, as may be approved by the Board, shall be eligible for exemptions, concessions and drawback.”. © Sunil Kumar N.S.

134. Procedure for setting up SEZ-Sec 15 Any person, who intends to set up a Special Economic Zone, may, after identifying the area make a proposal in Form A to either of the following a)State Government concerned b) Board of Approval 25 Copies of Form A are to be given along with Project report outlining the economic and commercial viability of the project No application fees © Sunil Kumar N.S.

135. Suomoto set up of SEZ Central Government may:- (a) after consulting the State Government concerned; (b) without referring the proposal for setting up the Special Economic Zone to the Board; and (c) after identifying the area; suomotoset up and notify the Special Economic Zone (Proviso to sub section 4 of section 3 of SEZ Act ,2005) © Sunil Kumar N.S.

136. Flow Chart for Setting up SEZ SEZ can be formed in two ways By Applying to SG By applying to Board of Approval Obtain the concurrence of SG SG forward the Proposal to BOA SG=Sate Government BOA approves the proposal © Sunil Kumar N.S.

137. Flow Chart for Setting up SEZ contd.. Central Government shall issue letter of Approval to developer Developer shall furnish to Central Government information about area Central Government will notify the area as SEZ © Sunil Kumar N.S.

138. Kinds of SEZ Kinds of SEZ SEZ for multi-product SEZ for specific sector SEZ in a port or airport © Sunil Kumar N.S.

139. Minimum Contiguous Area Requirement © Sunil Kumar N.S.

140. Minimum Contiguous Area Requirement © Sunil Kumar N.S.

141. Minimum Contiguous Area Requirement © Sunil Kumar N.S.

143. a cess is levied at such rate not exceeding five per cent, on all payments made towards the import of technology (Sec 3)

144. The proceeds of the cess levied and collected shall first be credited to the Consolidated Fund of India and the Central Government may pay to the Technology Development Board constituted under the Technology Development Board Act, 1995 for the purposes of the Board(Sec 4)© Sunil Kumar N.S.

145. Terms and conditions for availing exemptions, drawbacks and concessions (Rule 22(1) ) (i)The Unit shall execute a Bond-cum-Legal Undertaking in Form H, with regard to its obligations regarding proper utilization and accountable of goods and regarding achievement of positive net foreign exchange earning; (ii) The Developer and Co-Developer shall execute the Bond-cum- Legal Undertaking in Form D with regard to their obligations regarding proper utilization andaccountable of goods (iii) The Bond-cum-Legal Undertaking shall be jointly accepted by Development Commissioner and by the Specified Officer: © Sunil Kumar N.S.

146. Activities covered in Bond-cum-Legal Undertaking (Rule 22(1)(iii) ) the movement of goods between port of import or export and the Special Economic Zone; the authorized operations, as applicable to Unit or Developer; temporary removal of goods or goods manufactured in Unit for the purposes of repairs or testing or calibration or display or processing or sub-contracting of production process or production or other temporary removals into Domestic Tariff Area without payment of duty re-import of exported goods. © Sunil Kumar N.S.

147. Responsibility for Execution of Bond cum-Legal Undertaking (Rule 22(1)(iv)) © Sunil Kumar N.S.

149. The Bond-cum-Legal Undertaking amount shall be monitored quarterly or yearly on the basis of Quarterly Progress Report or Annual Progress Report © Sunil Kumar N.S.

150. An Exception- Rule 27(3) Any goods for the personal use of or consumption by officials, workmen, staff, owners or any other person in relation to a Unit or Developer, shall not be eligible for exemptions, drawbacks and concessions or any other benefit © Sunil Kumar N.S.

151. Income Tax Benefits © Sunil Kumar N.S.

152. Relevant Sections in Income Tax Act,1961 © Sunil Kumar N.S.

153. Relevant Sections in Income Tax Act,1961 Changes in the Income Tax Act 1961 relating to SEZ made by Special Economic Zones Act 2005 w.e.f 10/02/2006 © Sunil Kumar N.S.

154. Exemption to newly established Units in SEZ - Section 10AA © Sunil Kumar N.S.

156. Deduction – Total 15 Years

158. Absence of restrictive proviso in new Sec. 10AA dealing with Reconstruction, reconstitution of business in existence © Sunil Kumar N.S.

160. Until the acquisition of the machinery or plant for the purposes of the business of the undertaking other than

161. for distribution by way of dividends or profits or

162. for remittance outside India as profits or

163. for the creation of any asset outside India;© Sunil Kumar N.S.

165. If the Special Reserve Account is not utilised for acquiring new plant and machinery within three years as stated above then the deduction would be taken back in the year immediately following the period of three years. © Sunil Kumar N.S.

167. However, no deduction shall be admissible under this section to the amalgamating company or the demerged company for the previous year in which amalgamation or demerger takes place. © Sunil Kumar N.S.

168. Exemption of Capital Gain on Shifting to SEZ -Sec 54GA © Sunil Kumar N.S.

170. The Asset transferred should be machinery or plant or building or land or any rights in building or land

171. The capital gain should be utilized within one year before or three years after the date of transfer for the specified purpose.© Sunil Kumar N.S.

173. Quantum Of Deduction-Sec 54GA contd.. © Sunil Kumar N.S.

175. Deduction in respect of profits by SEZ Developer -Sec 80 IAB © Sunil Kumar N.S.

177. Available to an assessee , being a Developer whose gross total income, includes any profit and gains derived by an undertaking or an enterprise from any business of developing a special Economic Zone , notified on or after 1.4.2005 under Special Economic Zones Act,2005© Sunil Kumar N.S.

179. The assessee has the option of claiming the said deduction for any 10 consecutive assessment years out of 15 years beginning from the year in which a SEZ has been notified by the Central Government© Sunil Kumar N.S.

181. Similar rule will be applicable in the case of amalgamation of an Indian company which has developed a special economic zone with another Indian company. © Sunil Kumar N.S.

182. No Tax on Distributed Profits -Sec 115O(6) © Sunil Kumar N.S.

184. No tax either in the hands of the Developer or enterprise or person receiving such dividend © Sunil Kumar N.S.

185. OTHER RELATED INCOME TAX PROVISIONS © Sunil Kumar N.S.

187. scheme was applicable for any undertaking which develops, develops and operates or maintains and operates an Industrial Park for the period beginning on the 1st day of April, 1997 and ending on the 31st day of March, 2006

188. this has been extended up to 31.03.2009 by the Finance Act,2006

189. Eligibility- deduction of 100 % profits derived from such business for ten consecutive years.

190. Assessee can claim deduction for any ten consecutive years out of fifteen years beginning from the year in which the undertaking develops/operates/maintains the Industrial park.© Sunil Kumar N.S.

193. Deduction: For projects approved before the 31st day of March, 2007 by a local authority shall be hundred per cent of the profits derived in the previous year relevant to any assessment year from such housing project

194. Conditions:(a) Such undertaking has commenced or commences development and construction of the housing project on or after the 1st day of October, 1998 and completes such construction, (i) In a case where a housing project has been approved by the local authority before the 1st day of April, 2004, on or before the 31st day of March, 2008; © Sunil Kumar N.S.

195. (ii) in a case where a housing project has been, or, is approved by the local authority on or after the 1st day of April, 2004, within four years from the end of the financial year in which the housing project is approved by the local authority. (b) The project is on the size of a plot of land which has a minimum area of one acre: (c) the residential unit has a maximum built-up area of one thousand square feet where such residential unit is situated within the city of Delhi or Mumbai or within twenty-five kilometers from the municipal limits of these cities and one thousand and five hundred square feet at any other place; and (d) The built-up area of the shops and other commercial establishments included in the housing project does not exceed five per cent of the aggregate built-up area of the housing project or two thousand square feet, whichever is less.] © Sunil Kumar N.S.

196. Benefits to OBU Interest Income from OBU is exempt In computing the total income of previous year of any person any income by way of interest received by Non resident or a person who is not ordinarily resident in India on a deposit made on or after the 1st day of April, 2005, in an Offshore Banking Unit shall not be included (Section 10(15)(viii)) © Sunil Kumar N.S.

197. Deductions in respect of certain incomes of Offshore Banking Units and International Financial Services Centre 80LA Assesses covered Scheduled bank, or, any bank incorporated by or under the laws of a country outside India; and having an Offshore Banking Unit in a Special Economic Zone; or (ii) Unit of an International Financial Services Centre, © Sunil Kumar N.S.

199. permission or registration under the Securities and Exchange Board of India Act, 1992 (15 of 1992) or

200. any other relevant law was obtained, and thereafter;(b) 50% of such income for next 5 consecutive assessment years. © Sunil Kumar N.S.

201. Income Exempted-Sec 80LA(2) Income refers to income : (a) from an Offshore Banking Unit in a Special Economic Zone; or (b) from the business referred to in Section 6(1) the Banking Regulation Act, 1949 with an undertaking located in a Special Economic Zone or any other undertaking which develops, develops and operates or develops, operates and maintains a Special Economic Zone; or (c) from any Unit of the International Financial Services Centre from its business for which it has been approved for setting up in such a Centre in a Special Economic Zone. © Sunil Kumar N.S.

203. A copy of permission obtained under section 23(1)(a) of Banking Regulation Act should be submitted along with the return of income. © Sunil Kumar N.S.

204. Case Laws Courts and Tribunals have held that the requirement to file the report along with the return of Income is directory and not mandatory Citation: 251 ITR 693- Commissioner of Income-tax vs. Hemsons Industries (Andhra Pradesh High Court) “ The mere fact that the assessee failed to enclose the audit report along with the return itself would not disentitle him to claim the benefit, and, on the other hand, if he files the audit report before the assessment order is passed, he will be entitled to the deduction “ © Sunil Kumar N.S.

205. No deduction of Tax –197A(1C) No deduction of tax shall be made by the Offshore Banking Unit from the interest paid (a) on deposit made on or after the 1st day of April, 2005, by a non-resident or a person not ordinarily resident in India; or (b) on borrowing, on or after the 1st day of April, 2005, from a non-resident or a person not ordinarily resident in India. © Sunil Kumar N.S.

207. shall be available for the authorized operations in a Special Economic Zone. – Section 26(1)(e) and rule 31© Sunil Kumar N.S.

209. This is subject to the condition that the dealer selling goods in the course of inter state trade or commerce to a registered dealer under the Central Sale Tax Act, 1956 shall furnish a declaration in Form – I prescribed under the Central Sales Tax (Registration and Turnover) Rules, 1957.- Proviso to Rule 32 © Sunil Kumar N.S.

211. in the course of inter-State trade or commerce,

212. to a registered dealer( developer of SEZ or SEZ Unit as the case may be)

213. for the purpose of manufacture, production, processing, assembling, repairing, reconditioning, re-engineering, packaging or for use as trading or packing material or packing accessories in an unit located in any special economic zone,

214. if such registered dealer has been authorised to establish such unit by the authority specified by the Central Government in this behalf. (Development Commissioner is of SEZ is authorized to permit a person to set up unit in SEZ)(Section 8(6) of Central Sales Tax Act, 1956)© Sunil Kumar N.S.

217. Effected by Change in Indian Stamp Act,1899 by Special Economic Zones Act ,2005 Third Schedule ,Part III© Sunil Kumar N.S.

218. FEMA Provisions relating to SEZ © Sunil Kumar N.S.

221. SEZ Unit can manufacture articles reserved for SSI even if foreign equity exceeds 24%.No License is required (Department of Industrial License Press Note No 5 dated 29-03-2000 Notification 7(11)/2000-IP dated 04-12-2000)© Sunil Kumar N.S.

223. Branch office may be set up in SEZ to undertake manufacturing and service activities without permission of RBI in those sectors where 100% FDI is permitted (Foreign Exchange Management (Establishment in India of Branch or other place of businesses) Regulation 2000) © Sunil Kumar N.S.

225. A Unit Located in SEZ can open ,hold and maintain Foreign currency account with authorized dealer in India (Foreign Exchange Management (Foreign currency accounts by a person resident in India),Regulations, 2000© Sunil Kumar N.S.

227. SEZ can raise ECB for its own requirements and borrowed funds shall not be transferred to its sister concern or any other Unit in DTA (RBI Circular 2/2005-06 dated 01/07/2005)© Sunil Kumar N.S.

229. These need not be routed through authorized dealer

230. Remittance should be obtained and GR/SDF form should be submitted to authorized dealer with in 21 days for monitoring RBI Circular 8/2005-06 dated 01/07/2005© Sunil Kumar N.S.

232. Exporter has to make satisfactory arrangement for realisation of full exports proceeds (RBI Circular 8/2005-06 dated 01/07/2005) © Sunil Kumar N.S.

234. Multilateral ‘equal-opportunity’ MFN trade

235. All countries are lowering barriers to compete for foreign trade and investment

236. Regions are forming closed economic groups

237. Policy: national treatment of free zone goods

238. Concept ofVi.e facilitation- Velocity Volume and therefore Value

239. Capital: private ownership (service standards)zone vs. zone not nation vs. nation © Sunil Kumar N.S.

241. Multi-Purpose Terminals

242. Cross Docking & Consolidation Centres

243. Central Distribution Centres

244. Distriparks

245. Cold Storage

246. Leasing of Warehouses & Yard Space

248. Transport & Distribution

249. Bar Coding, Fumigation, Quality Assurance & Control

250. Inspection & Surveying

251. Pick & Pack and repackaging

252. Inventory Management

254. Computer Integrated Terminal Operations System

255. Track & Trace Systems

256. Vehicle Scheduling & Transportation Systems

258. 3PL Providers

259. Freight Forwarders

260. Consignees

261. Trade custom agencies

262. Hauliers © Sunil Kumar N.S.

263. What is Special Economic Zone? Cluster of EOUs & Bonded Area + + EOU ICD Dry Port & Duty Free Enclave Trading Model Industrial Township FTZ EPZ Free Port + Excellent Infrastructure Integrated Infrastructure + + Superior Governance + Facilitative Environment Special Economic Zone “Specifically delineated, duty-free enclave and shall be deemed to be foreign territory for the purposes of trade operations and duties & tariffs” © Sunil Kumar N.S.

264. Warehousing Hub Special Economic Zone ICD Trading HUB Trading HUB Model Industrial Township + Strategic Location and Connectivity Excellent Infrastructure + Superior Governance + Cross-docking & Consolidation Centers Facilitative Environment Real Time Bar coding Inventory Manage-ment Value-Added Services Material Handling Facility Management © Sunil Kumar N.S.

265. SEZ offer…….. The various components of the Hub, seamlessly integrate the different elements of the supply chain Raw Material Suppliers Inbound Transportation Manu- facturing Inventory Deployment Outbound Transportation Customer’s Customers Integrated Information Systems © Sunil Kumar N.S.

267. Navu Mumbai ( 30 sq km)

268. Bhadoi

269. Kupri

270. Paradeep

271. Kakinada

272. Nanguneri (1,012 hectare)© Sunil Kumar N.S.

274. 85 are in for IT and ITES

275. 14 for pharma and Biotechnology

276. 9 for textile and apparels

277. 10 for multi product SEZ’s© Sunil Kumar N.S.

278. Union commerce ministry claims that their an additional investment 100000 Crore mainly through FDI. 500000 additional jobs will be created through SEZ © Sunil Kumar N.S.

279. Area conversion factors 1 Acre = 0.404686 Hectare 1 Hectare = 2.47109 Acres 1 Sq. Km. = 0.38610 Sq. Mile 1 Sq. Km. = 100 Hectares 1 Sq. Mile = 2.58999 Sq. Kms © Sunil Kumar N.S.

280. Large Multi –product SEZ’s © Sunil Kumar N.S.

281. Large Scale Specific SEZS © Sunil Kumar N.S.

283. Render one or more services in a particular sector

284. SEZ in an existing port or airport for manufacture of goods falling in two or more sectors or for trading and warehousing or rendering of services

285. Manufacture multiple goods in one sector or across multiple sectors

286. Trading and warehousing

288. Minimum processing area has been uniformly fixed at

289. x% for Multiproduct SEZs

290. y% for product specific SEZs

291. Non-processing area is intended to provide support facilities to SEZ processing area and may include:

292. Educational institutions

293. Hospitals

294. Hotels

295. Recreation and entertainment facilities

296. Residential and business complexes© Sunil Kumar N.S

297. THANK YOU © Sunil Kumar N.S.