Commerce ministry may relax SEZ norms

The ministry of commerce and industry is planning a review of policies and procedures for setting up Special Economic Zone (SEZ) in the country.

The review is expected to be complete by the April and the ministry is expected to come up with new, simplified policies and procedures, which would be more helpful in reducing the transaction cost required for setting up SEZs.

The assurance was given on Thursday by GK Pillai, additional secretary, ministry of commerce and industry and head of trade policy division, while speaking at an open house discussion, organized by Export Promotional Council for Export oriented Units (EOUs) and SEZs.

Pillai said, that the intention of the central government is to promote SEZs throughout the country and the department of commerce and industry invited suggestions from the industry.

"To reduce transaction costs of setting up an SEZ and EOU and also to make the procedure simple and hassle-free, the department of commerce and industries has decided to review the existing policies and procedure," he explained.

Pillai added, "Currently we are working on making systematic changes in policies and procedures. The new set of policies will allow delegation of decision-making downwards and will see all procedures streamlined."

Participating in the discussion, P C Nambiar, chairman of Export Promotional Council suggested that industries working out of SEZs interact with the government at various levels like spices producers are finding it very hard to work in SEZs and must take up the matter with the government.