Over one-and-a-half years after government announced duty free imports by developers of special economic zones (SEZs) it finally issued the necessary notification and also constituted a commitee to approve such imports.
The six-member committee which would approve such imports would be headed by the chief commissioner of customs/excise under whose jurisdiction the zone falls.The notification issued by the Central Board of Excise and Customs would allow inputs and materials used by SEZ developers to be imported or procured from the domestic tariff area (DTA) or public warehouse duty free, which would be available only to those goods which are required for construction, development and maintenance of the zone.
In addition to this, developers of the SEZs will have to produce the approved construction plan and drawing, proof of ownership of the land, financial solvency of the developer from a leading bank and a list of the machinery required certified by an approved chartered engineer.
The committee will fix a time schedule for the commencement and completion of the construction of the SEZ, the notification said adding that the committee would be allowed to condone any delay in the completion of the project.
It will meet every quarter to monitor the use of goods imported or procured by the developer as also ensure that the duty free goods are actually utilised for the purpose obtained.
