Cabinet approves SEZ amendment bill to replace ordinance

The Cabinet Wednesday approved introduction of the Special Economic Zones (Amendment) Bill, 2019 in the ensuing session of Parliament.

The bill will replace Special Economic Zones (Amendment) Ordinance, 2019, which was promulgated in March. The ordinance had paved the way for trusts to set up units in special economic zones (SEZs).

"The Union Cabinet has approved to introduce a Bill, namely, the Special Economic Zones (Amendment) Bill, 2019, ... to replace the Special Economic Zones (Amendment) Ordinance, 2019. The Bill will be introduced in ensuing session of Parliament," an official release said.

After the amendment of sub-section (v) of section 2 of the Special Economic Zones Act, 2005, a trust or any entity notified by the central government will be eligible to be considered for grant of permission to set up a unit in SEZs, it added.

The amendment also seeks to provide flexibility to the central government to include 'trusts' in the definition of a 'person', in a bid to facilitate investments in SEZs.