Lok Sabha Question No. 1352 (UNSTARRED), answered on 2016-07-25
Subject: Special Economic Zones
Ministry: COMMERCE AND INDUSTRY
Asked by: LAXMAN GILUWA, KRUPAL BALAJI TUMANE, MANSUKHBHAI DHANJIBHAI VASAVA

## GOVERNMENT OF INDIA MINISTRY OF COMMERCE & INDUSTRY (DEPARTMENT OF COMMERCE)

## LOK SABHA UNSTARRED QUESTION NO. 1352(H) TO BE ANSWERED ON 25 TH  JULY, 2016

## SPECIAL ECONOMIC ZONES

## 1352(H). SHRI LAXMAN GILUWA: SHRI KRUPAL BALAJI TUMANE: SHRI MANSUKHBHAI DHANJIBHAI VASAVA:

Will the Minister of COMMERCE & INDUSTRY ( वािणÏय एवं उɮयोग मंत्री ) be pleased to state:

- (a) the details and total number of Special Economic Zones (SEZs) which are functional in the country at present, State/ UT and location-wise;
- (b) whether it has come to the notice of the Government that some SEZs are not functioning as per the rules;
- (c) if  so,  the  details  of  such  SEZs  along  with  the  action  taken  by  the  Government  in  this regard;
- (d) whether the contribution of SEZ companies/units to the total exports from the country is declining year by year and if so, the reasons therefor; and
- (e) whether any SEZ companies/units have been accused of fraud under the Foreign Trade Rules during the said period and if so, the names of such SEZs along with the action taken by the Government against these SEZs?

## ANSWER

okf.kT; ,oa m|ksx jkT; ea=h ¼Jherh fueZyk lhrkje.k½ ¼Lora= izHkkj½

## THE MINISTER OF STATE IN THE MINISTRY OF COMMERCE AND INDUSTRY (INDEPENDENT CHARGE) (SMT. NIRMALA SITHARAMAN)

(a) to (c): In  addition to 7 Central Government Special Economic Zones (SEZs) and  11  State/Private  Sector  SEZs  set-up  prior  to  the  enactment  of  the  SEZ  Act, 2005,  approval  has  been  accorded  to  412  SEZs,  out  of  which  204  SEZs  are functional and remaining 226 SEZs are non-functional as on date.  States/UTs-wise details of functional/non-functional SEZs is at Annex-I.

Review of  functioning  of  SEZs  is  an  on-going  process  and  on  the  basis  of inputs/suggestions received from stakeholders on the policy and operational framework  of  the  SEZ  Scheme,  Government  takes  necessary  measures  so  as  to facilitate speedy and effective implementation of the SEZ Scheme, including, interalia,  review  meetings  with  the  Development  Commissioners  of  the  SEZs,  open house meetings with SEZ stakeholders, Road Shows in various States to give wide publicity of SEZs, etc.

(d): Exports from the Special Economic Zones (SEZs) during the last three years show a mixed trend, as under:

| Years     | Exports (Rs. in Crore)   | Growth/decline over previous year   |
|-----------|--------------------------|-------------------------------------|
| 2013-2014 | 4,94,077                 | 4%                                  |
| 2014-2015 | 4,63,770                 | -6.13%                              |
| 2015-2016 | 4,67,337                 | 0.77%                               |

The slowdown in SEZs exports is due to a number of reasons including, inter- alia,  withdrawal  of  exemption  of  Minimum  Alternate  Tax  (MAT)  and  Dividend Distribution  Tax  (DDT) provisions, uncertain fiscal regime for SEZs, global factors, etc. As on date, 29 cases have been reported as fraud in the Special Economic ,  on which appropriate action has been

(e): Zones in the country as per list at Annex-II initiated/taken by the concerned authorities.

*****

## Annex-I to the Lok Sabha Unstarred Question No. 1352 for 25 th July, 2016

| States/UTs-wise details of functional/non-functional SEZs   | States/UTs-wise details of functional/non-functional SEZs                                       | States/UTs-wise details of functional/non-functional SEZs   |
|-------------------------------------------------------------|-------------------------------------------------------------------------------------------------|-------------------------------------------------------------|
| States/UTs                                                  | Functional SEZs (Central Govt. + State Govt./Pvt. SEZs + notified SEZs under the SEZ Act, 2005) | Non-functional SEZs                                         |
| Andhra Pradesh                                              | 19                                                                                              | 11                                                          |
| Chandigarh                                                  | 2                                                                                               | 0                                                           |
| Chhattisgarh                                                | 1                                                                                               | 1                                                           |
| Delhi                                                       | 0                                                                                               | 2                                                           |
| Goa                                                         | 0                                                                                               | 7                                                           |
| Gujarat                                                     | 18                                                                                              | 16                                                          |
| Haryana                                                     | 7                                                                                               | 16                                                          |
| Jharkhand                                                   | 0                                                                                               | 1                                                           |
| Karnataka                                                   | 25                                                                                              | 36                                                          |
| Kerala                                                      | 16                                                                                              | 14                                                          |
| Madhya Pradesh                                              | 2                                                                                               | 8                                                           |
| Maharashtra                                                 | 25                                                                                              | 35                                                          |
| Manipur                                                     | 0                                                                                               | 1                                                           |
| Nagaland                                                    | 0                                                                                               | 2                                                           |
| Odisha                                                      | 3                                                                                               | 4                                                           |
| Puducherry                                                  | 0                                                                                               | 1                                                           |
| Punjab                                                      | 2                                                                                               | 3                                                           |
| Rajasthan                                                   | 4                                                                                               | 6                                                           |
| Tamil Nadu                                                  | 36                                                                                              | 17                                                          |
| Telangana                                                   | 26                                                                                              | 27                                                          |
| Uttar Pradesh                                               | 11                                                                                              | 15                                                          |
| West Bengal                                                 | 7                                                                                               | 3                                                           |
| GRAND TOTAL                                                 | 204                                                                                             | 226                                                         |

*****

## Annex-II to the Lok Sabha Unstarred Question No. 1352 for 25 th July, 2016

|   Sl. No. | Name of Companies/Units                    | Name of Zone       |
|-----------|--------------------------------------------|--------------------|
|         1 | M/s. S.N. Metal Casting Exports            | Noida SEZ          |
|         2 | M/s. Pacific Industries                    | Noida SEZ          |
|         3 | M/s. Morgan Tectronics Ltd.                | Noida SEZ          |
|         4 | M/s. Rajesh Exports                        | Cochin SEZ         |
|         5 | M/s. Ashwin Gold (P) Ltd.                  | Cochin SEZ         |
|         6 | M/s. Pearl Global Industries Ltd.          | MEPZ SEZ           |
|         7 | M/s. Jewels Magnum                         | MEPZ SEZ           |
|         8 | M/s. Aalaya Jewel Industry P. Ltd.         | MEPZ SEZ           |
|         9 | M/s. Syrma Technology Pvt. Ltd.            | MEPZ SEZ           |
|        10 | M/s. HTC Global Services (India) Pvt. Ltd. | MEPZ SEZ           |
|        11 | M/s. Mainetti (India) Pvt. Ltd.            | MEPZ SEZ           |
|        12 | M/s. Tata International Ltd.               | MEPZ SEZ           |
|        13 | M/s. Vijay Garments                        | MEPZ SEZ           |
|        14 | M/s. Locktite Industries P. Ltd.           | MEPZ SEZ           |
|        15 | M/s. Amedha Info Systems Pvt. Ltd.         | Vishakhapatnam SEZ |
|        16 | M/s. Bartronics India Ltd.                 | Vishakhapatnam SEZ |
|        17 | M/s. 3 K. Technologies Ltd.                | Vishakhapatnam SEZ |
|        18 | M/s ManagIT                                | Vishakhapatnam SEZ |
|        19 | M/s Taksheel Solutions Limited             | Vishakhapatnam SEZ |
|        20 | M/s Xtra Cleancities Limited               | Vishakhapatnam SEZ |

|   21. | M/s Okay Impex                                                                                          | Kandla SEZ   |
|-------|---------------------------------------------------------------------------------------------------------|--------------|
|    22 | M/s Firestar Diamond International Pvt Ltd                                                              | Kandla SEZ   |
|    23 | M/s Firestar International Pvt. Ltd.                                                                    | Kandla SEZ   |
|    24 | M/s Radashir Jewelry Company Pvt. Ltd                                                                   | Kandla SEZ   |
|    25 | M/s. Veyron Overseas                                                                                    | Kandla SEZ   |
|    26 | M/s Sun Solution                                                                                        | Kandla SEZ   |
|    27 | M/s Sarthak Creation Pvt. Ltd.                                                                          | Kandla SEZ   |
|    28 | M/s Safari Fine Clothing Pvt. Ltd.                                                                      | Kandla SEZ   |
|    29 | M/s Sunny Vista Realtors Pvt.Ltd. (Now taken over by M/s Perspina Developers Pvt. Ltd., Panvel, Raigad) | SEEPZ SEZ    |

*****