1. The Special Economic Zones [SEZs] Policy was announced in April 2000.
2. The Special Economic Zones Act of 2005, the government has so far notified about 400 such zones in the country
1. Major objectives of SEZs:
- To enhance foreign investment, especially to attract foreign direct investment [FDI] and thereby increasing GDP.
- To increase shares in Global Export (International Business).
- To generate additional economic activity.
- To create employment opportunities.
- To develop infrastructure facilities.
- To exchange technology in the global market.
2. Main Characteristics of SEZ:
- Geographically demarked area with physical security.
- Administrated by single body authority.
- Streamlined procedures.
- Having separate custom area
- Governed by more liberal economic laws..
- Greater freedom to the firms located in SEZs.
