Question : CONVERSION OF EPZ INTO SEZ



(a) whether the Government has taken note that several Export Processing Zones (EPZs) have been converted into Special Economic Zones (SEZs) to avail the benefits of tax relaxation;

(b) if so, the details of such conversions during the last three years along with the laid down provision in this regard;

(c) whether the Government justifies it/corroborates the same on account of increase in export, production and employment opportunities in these zones and if so, the details thereof; and

(d) the steps being taken by the Government to ensure that the exports to be made are as per the terms and conditions regarding SEZs ?

Answer given by the minister



THE MINISTER OF STATE IN THE MINISTRY OF COMMERCE AND INDUSTRY (INDEPEN- DENT CHARGE) (SMT. NIRMALA SITHARAMAN)

(a) & (b): Eight Export Processing Zones (EPZs) were converted into Special Economic Zones

(SEZs) with the enactment of SEZ Act 2005 and Rules framed thereunder. However, no EPZ has since been converted into SEZ.

(c): The contribution of SEZ exports, employment generated and investment made in respect of these 8 SEZs during the last three years is as under:

 
Financial Year Exports Employment Investment (Rs. Crore) (Persons) (Rs. Crore)
2011-2012 98381.57 221246 11824.87 2012-2013 119322.87 230737 12266.88 2013-2014 72628 241355 13345.27
Calculated on cumulative basis.

(d): The performance of the Units are regularly monitored by the Development Commissioners of SEZs as per the provisions of SEZ Act, 2005 and Rules framed thereunder to ensure that exports are made in accordance with SEZ laws.