Policy and operational issues relating to IT SEZs - DOC Instructions
THE Department of Commerce (SEZ Division) has issued instructions regarding various issues relating to IT SEZs.
++ Shifting of units to SEZ : The spirit of the SEZ Act & Rules is that the investment for infrastructure development in the SEZ has to be new. The transfer of used goods/business is only with respect to the SEZ Units.
++ DTA sale by IT SEZ Unit : In the SEZ scheme, there is neither an export obligation on a unit nor there is ban on DTA sale. However, they must achieve NFE positive earnings within five years of the commencement of the commercial operations failing which action may be taken as per the provisions of relevant rules and instructions.
++ Shifting of Unit from one SEZ to another : there is no objection in-principle to the shifting the unit from one SEZ to another. However, all such proposals are required to be placed before the Board of Approval for its consideration.
++ Broad banding of IT/ITES SEZs to include Hardware also: While the Letter of Approval being issued to IT/ITES SEZs has been broad' banded to include electronic hardware also and further manufacturing/ assembling of, electronic equipments must also be allowed in such SEZs. Further Hardware units may require production of components and the same must be allowed.
++ Testing laboratory for tyres in IT SEZ set up by L&T: It was decided that setting up of a unit for testing of tyres in an IT SEZs may not be allowed as the process may involve setting up separate facility totally unrelated to IT and would require measures to check pollution also. Therefore, they may be asked to undertake the physical testing activity outside the SEZ while the test data can be processed in the SEZ unit.
++ SEZ online project : About the SEZ online software being developed by M/s. NSDL, it was stated that the agency has agreed to post one executive each to work with all the seven Zonal DCs. Services of these executives can be utilised by all DCs including STPI Directors to address the day to day problems faced in operating the software developed by M/s. NSDL. The suggestion of STPI Directors to arrange hand holding for customs staff of the zone was also accepted.