Q.What is SEZ ? Explain their objectives.

A Special Economic Zone (SEZ) is a specifically delineated, duty-free geographical region treated as foreign territory for the purpose of trade, duties and tariffs. It is set up to promote exports, and its objectives include boosting exports and foreign-exchange earnings, attracting investment, creating jobs, building infrastructure and encouraging technology transfer. ## Meaning of SEZ A Special Economic Zone is an area within a country that is specially marked off and treated, for trade and tariff purposes, as if it were outside the customs territory of the country. Goods going into an SEZ from the domestic area are treated like exports, and goods coming out are treated like imports. In India, SEZs are governed by the Special Economic Zones Act, 2005. Units in an SEZ enjoy tax concessions, duty-free import of inputs and simpler procedures. SEZs are studied as an export-promotion measure in the AP Intermediate 2nd-year Commerce International Trade chapter. ## Objectives of SEZ 1. Promotion of exports — to generate additional economic activity and increase the export of goods and services. 2. Attracting investment — to attract investment from domestic as well as foreign sources. 3. Creation of employment — to generate large-scale employment opportunities. 4. Development of infrastructure — to create world-class infrastructure facilities such as roads, power, ports and communication. 5. Foreign-exchange earnings — to increase the inflow of foreign exchange. 6. Transfer of technology — to bring in modern technology and managerial skills. 7. Ease of doing business — to provide a hassle-free environment with simplified procedures and single-window clearance. This gives both the meaning and the objectives that the AP Intermediate 2nd-year Commerce previous-year …