{"id":25499625,"date":"2021-11-29T18:38:32","date_gmt":"2021-11-29T13:08:32","guid":{"rendered":"https:\/\/entri.app\/blog\/?p=25499625"},"modified":"2021-11-29T18:38:32","modified_gmt":"2021-11-29T13:08:32","slug":"special-economic-zone-sez-definition","status":"publish","type":"post","link":"https:\/\/entri.app\/blog\/special-economic-zone-sez-definition\/","title":{"rendered":"Special Economic Zone (SEZ) &#8211; Definition"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_79_2 counter-hierarchy ez-toc-counter ez-toc-custom ez-toc-container-direction\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-69e6f8a14259e\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-69e6f8a14259e\"  aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/entri.app\/blog\/special-economic-zone-sez-definition\/#Definition\" >Definition<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/entri.app\/blog\/special-economic-zone-sez-definition\/#History\" >History\u00a0<\/a><\/li><\/ul><\/nav><\/div>\n<p><span data-preserver-spaces=\"true\">A special economic zone (SEZ) is an area in which the business and trade laws are different from the rest of the country or the place. The SEZs are located within a country&#8217;s national borders. The main goal of SEZ is to have an increased trade balance, employment, increased investment, job creation, and effective administration. In order to encourage businesses to set up in the zone, financial policies were made and implemented. These kinds of policies typically focus on investing, taxation, trading, quotas, customs, and labour regulations.<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">In addition to this, companies may be offered tax holidays, where upon establishing themselves in a zone, they are granted a period of lower taxation. The benefits a company gains by being in a special economic zone may mean that it can produce and trade goods at a lower price, aimed at being globally competitive.<\/span><\/p>\n<p style=\"text-align: center\"><a class=\"editor-rtfLink\" href=\"https:\/\/entri.sng.link\/Bcofz\/yv45\/8wer\" target=\"_blank\" rel=\"noopener\"><strong><span data-preserver-spaces=\"true\">Take the free online mock test on Entri App today.<\/span><\/strong><\/a><\/p>\n<h2><span class=\"ez-toc-section\" id=\"Definition\"><\/span><strong><span data-preserver-spaces=\"true\">Definition<\/span><\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<ul>\n<li><span data-preserver-spaces=\"true\">The special economic zone (SEZ) refers to the area in which the business and trade laws are different from the rest of the country or the place.<\/span><\/li>\n<li><span data-preserver-spaces=\"true\">The SEZs are located within a country&#8217;s national borders.<\/span><\/li>\n<li><span data-preserver-spaces=\"true\">The Special Economic Zone (SEZ) Policy was announced in April 2000.<\/span><\/li>\n<li><span data-preserver-spaces=\"true\">It resulted in the formation of a much larger and more efficient form of their predecessors with a world-class infrastructural facility.<\/span><\/li>\n<li><span data-preserver-spaces=\"true\">The SEZ Act, 2005 and SEZ Rules became effective on and from 10th February 2006.<\/span><\/li>\n<\/ul>\n<p style=\"text-align: center\"><a class=\"editor-rtfLink\" href=\"https:\/\/entri.sng.link\/Bcofz\/yv45\/8wer\" target=\"_blank\" rel=\"noopener\"><strong><span data-preserver-spaces=\"true\">Download Entri app for faqs and practice papers on GK.<\/span><\/strong><\/a><\/p>\n<h2><span class=\"ez-toc-section\" id=\"History\"><\/span><strong><span data-preserver-spaces=\"true\">History\u00a0<\/span><\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<ul>\n<li><span data-preserver-spaces=\"true\">The Indian Special Economic Zone was formed with the establishment of the first Export Processing Zone (EPZ) at Kandla in the year 1965.<\/span><\/li>\n<li><span data-preserver-spaces=\"true\">The Special Economic Zone came into existence because the economic reforms incorporated in the early 1990s did not promise the overall growth of the Indian economy.<\/span><\/li>\n<li><span data-preserver-spaces=\"true\">The economic reforms incorporated during the 1990s did not produce the expected results.<\/span><\/li>\n<li><span data-preserver-spaces=\"true\">The Indian manufacturing sector witnessed a sudden drop in the overall growth of the industry, during the second half of the 1990s.<\/span><\/li>\n<li><span data-preserver-spaces=\"true\">The History of SEZs in India suggests that red tape, lengthy administrative procedures, rigid labour laws and poor physical infrastructural facilities were the main factors of deterioration of Foreign Direct Investments(FDI) inflow into India.<\/span><\/li>\n<li><span data-preserver-spaces=\"true\">The Indian markets were not resilient enough to facilitate easy entry of Foreign Institutional Investors (FIIs) into the Indian economic system.<\/span><\/li>\n<li><span data-preserver-spaces=\"true\">The legal framework of the Indian economy was notwithstanding enough to prevent the misuse of Indian markets by foreign investors.<\/span><\/li>\n<li><span data-preserver-spaces=\"true\">The lack of an investor-friendly environment in India prevented the growth of Indian industry, in spite of the implementation of liberal economic policy by the central government.<\/span><\/li>\n<li><span data-preserver-spaces=\"true\">Finally, it resulted in the formation of a much larger and more efficient form of their predecessors with a world-class infrastructural facility.<\/span><\/li>\n<\/ul>\n<p style=\"text-align: center\"><a class=\"editor-rtfLink\" href=\"https:\/\/entri.sng.link\/Bcofz\/yv45\/8wer\" target=\"_blank\" rel=\"noopener\"><strong><span data-preserver-spaces=\"true\">Subscribe for topic wise quizzes and practice sessions on General Knowledge.<\/span><\/strong><\/a><\/p>\n<p><span data-preserver-spaces=\"true\">I hope this article was helpful. If you are a candidate who wants to pursue a career in the banking sector and looking for a good start, our\u00a0\u00a0<\/span><a class=\"editor-rtfLink\" href=\"https:\/\/entri.sng.link\/Bcofz\/od54\/6blp\" target=\"_blank\" rel=\"noopener\"><strong><span data-preserver-spaces=\"true\">Entri app<\/span><\/strong><\/a><span data-preserver-spaces=\"true\">\u00a0has got it covered for you. Our team will help you with content and insights related to the examination. Feel free to post any queries and doubts in the comment section. We will try our best to reach out. Push away all those self-doubts and negative thoughts. Try to have a clear vision. Ask yourself why you want this. Focus on the good and work hard. There is a saying that goes like this, Get up and set your shoulders to the wheel-how long is life for you? as you have come to this world leave some mark behind or where is the difference between your trees and stones they too come into existence decay and die. Today is the day, hope for the best. Good luck<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>A special economic zone (SEZ) is an area in which the business and trade laws are different from the rest of the country or the place. The SEZs are located within a country&#8217;s national borders. The main goal of SEZ is to have an increased trade balance, employment, increased investment, job creation, and effective administration. [&hellip;]<\/p>\n","protected":false},"author":82,"featured_media":25499959,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[802,558],"tags":[],"class_list":["post-25499625","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-articles","category-general-knowledge"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v26.6 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Special Economic Zone (SEZ) - Definition - Entri Blog<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/entri.app\/blog\/special-economic-zone-sez-definition\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Special Economic Zone (SEZ) - Definition - Entri Blog\" \/>\n<meta property=\"og:description\" content=\"A special economic zone (SEZ) is an area in which the business and trade laws are different from the rest of the country or the place. 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