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New regulations and laws pertaining to Special Economic Zones (SEZ) in India having been taking place for quite some time now. The focus is to regenerate SEZ despite its unspectacular start that did not have much scope to experiment, flexible labor laws other prerequisites to reform measures. The key to success here comes from administrative support and political backing.

Let us have a look at some of the strengths and opportunities of special economic zones in India:-


  • There is a familiarity with Western concepts of business practices
  • There is a well established legal redress system
  • Offers relatively low labor prices
  • Comprises of India's large English speaking workforce
  • Has a huge, evolving large and growing domestic market


  • To use SEZs in order to catalyze infrastructure development
  • Establish realistically a competitive edge for SEZs
  • A huge NRI base who have invested less in Indian Greenfield development
  • Tapping the benefits of WTO and increase India's small share of global trade
  • To maximize investments in core strength areas such as IT and software products and services

There has been numerous engineering services company that has contributed to the growth of special economic zones in India.

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To mention one would be the Precision Engineering and Manufacturing SEZ unit in Belgaum. This acts as a foundation for foundry operations for various industrial and automotive facilities. More than 100 foundries are present here along with 150 machine shops. Simultaneously, there is the availability to skilled labor at a competitive price range and adds to its credibility. This particular engineering SEZ provides an organic, sustainable and environment friendly industrial development. Selected SEZ benefits and incentives are:-

  • There is international standard landscaping with approximately 15,000 trees
  • There are bicycles for intra-zone mobility
  • A proper landscape with a huge amphitheatre visible and available from total campus
  • Has rain water harvesting
  • Provides a water treatment plant
  • Provides a sewage treatment plant
  • An existing small stream is being converted to a natural water body

Therefore, with the above mentioned facts in mind one can say that the major SEZ benefit lies in economic growth and industrial promotion through sustainable development. In addition to that, the initial policy states that Indian SEZ units will be allotted tax rebates, fiscal incentives and lands and subsidized rates. Today various works are being carried on in line with these policies and clauses.

Please send your feedback at debarati@sezindiainvest.com

Thanks and regards,
Debarati Chakraborty
SEZ Horizon