Government constitutes 17-member committee for comprehensive SEZ 2.0 reforms

Key facts

• The government has constituted a 17-member committee to recommend broad-based reforms for a new SEZ 2.0 policy.
• The committee will submit a concept paper with a roadmap for harmonising SEZs with export-oriented units (EoUs), MOOWR, Advance Authorisation, EPCG, and Duty Free Import Authorisation (DFIA).
• Members are drawn from the commerce ministry, customs, NITI Aayog, Department for Promotion of Industry and Internal Trade (DPIIT), and Central Board of Indirect Taxes and Customs (CBIC).
• The committee will review the Special Economic Zones (SEZ) Act, 2005, to assess its effectiveness in the current global trade and investment environment.
• It will evaluate recent and proposed reforms covering Domestic Tariff Area (DTA) sales, fiscal and non-fiscal incentives, compliance requirements, and operational flexibilities.
• The panel will assess SEZ performance in attracting domestic and foreign investment, promoting manufacturing and services, technology upgradation, value addition, and employment, including for MSMEs.
• It will identify operational, procedural, and regulatory challenges faced by SEZ developers and units, covering customs, taxation, compliance burden, infrastructure, and stakeholder coordination.