“A Critical analysis of establishing

SEZ in India”

Synopsis

Submitted for Research Project

GLA University, Mathura

Research Supervisor Submitted By

Mr. Rohit SINGH Tomer Sandeep Kumar Verma
(Assistant Professor) MBA-IV sem
GLA UNIVERSITY MATHURA ROLL-NO- 0906370092
Introduction
A Special Economic Zone in short SEZ is a geographically bound zones where the economic laws
in matters related to export and import are more broadminded and liberal as compared to rest
parts of the country. SEZs are projected as duty free area for the purpose of trade, operations,
duty and tariffs. SEZ units are self-contained and integrated having their own infrastructure and
support services.

Within SEZs, a units may be set-up for the manufacture of goods and other activities including
processing, assembling, trading, repairing, reconditioning, making of gold/silver, platinum
jewellery etc.

As per law, SEZ units are deemed to be outside the customs territory of India. Goods and
services coming into SEZs from the domestic tariff area or DTA are treated as exports from India
and goods and services rendered from the SEZ to the DTA are treated as imports into India.

In India, SEZs are the special zones created by the Government and run by Government-Private
or solely Private ownership, to provide special provisions to develop industrial growth in that
particular area. The government of India launched its first SEZ in 1965, in Kandla, Gujarat. The
incentives and facilities offered to the units in SEZs for attracting investments into the SEZs,
including foreign investment include:-

 Duty free import/domestic procurement of goods for development, operation and

maintenance of SEZ units
 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.
 Exemption from minimum alternate tax under section 115JB of the Income Tax Act.
 External Commercial Borrowing by SEZ units up to US $ 12500 billion in a year without
any maturity restriction through recognized banking channels.
 Exemption from Central Sales Tax.
  Exemption from Service Tax.
 Single window clearance for Central and State level approvals.
 Exemption from State sales tax and other levies as extended by the respective State
Governments.

The major incentives and facilities available to SEZ developers include:-

 Exemption from customs/excise duties for development of SEZs for authorized

operations approved by the BOA.
 Income Tax exemption on income derived from the business of development of the SEZ
in a block of 10 years in 15 years under Section 80-IAB of the Income Tax Act.
 Exemption from minimum alternate tax under Section 115 JB of the Income Tax Act.
 Exemption from dividend distribution tax under Section 115O of the Income Tax Act.
 Exemption from Central Sales Tax (CST).
 Exemption from Service Tax (Section 7, 26 and Second Schedule of the SEZ Act).

List of Special Economic Zones in India Currently there are 114(as on Oct 2010) SEZs operating
throughout India in the following states.[5] Karnataka - 18; Kerala - 6; Chandigarh - 1; Gujarat -
8; Haryana - 3; Maharashtra - 14; Rajastan - 1; Orissa - 0 Tamil Nadu - 16; Utter Pradesh - 4;
West Bengal - 2.

Additionally, more than 500 SEZs are formally approved (as on Oct 2010) by the Govt of India
in the following states.[6] Andhra Pradesh - 109; Chandigarh - 2; Chattisgarh - 2; Dadra Nagar
Haveli - 4; Delhi- 3; Goa - 7; Gujarath - 45; Haryana - 45; Jharkand - 1; Karnataka - 56; Kerala -
28; Madhya Pradesh - 14; Mahrashtra - 105; Nagaland - 1; Orissa - 11; Pondicherry - 1; Punjab -
8; Rajasthan - 8; Tamil Nadu - 70; Uttarankhand - 3; Utter Pradesh - 33; West Bengal - 22;
Consumer Preference Definitions

Service Industries Definitions

Shopping Center Definitions

Consumer Preferences

Literature Review

Objective of study

Need of study

1.
Research methodology

The study

The study was exploratory in nature with survey method being used to complete
the study

Sampling Design

Population: Population including consumers of different shopping mall of

Mathura region.

Sampling Element: Individual respondents were the sampling element.

Sampling Technique: convenience sampling technique was used to select

the sample.

Sampling size: 100 proposed

Bibliography