Unique USP's turn Mangalore SEZ into an ideal destination

03 Dec '11

4 min read

“Fiscal benefits for SEZ units include Income tax benefits at specified levels over 15 years, nil customs duty, VAT exemption (by way of refund) & service tax exemption, 50% exemption of Stamp duty and registration fees, exemption from State levies such as Entry Tax, local body taxes payable on goods (excluding petroleum products covered under KST Act) etc.

“The SEZ has also already received its Environmental clearance from Ministry of Environment & Forests. While individual units would need to apply for their respective Environmental Clearances at the appropriate level (typically at State level) for the products that they plan to manufacture, the SEZ clearance helps put the project on a fast track”.

Explaining the other benefits of the SEZ he said, “One needs to meet the NFE positive criteria over a five year period, which means quantum of exports should exceed imports over a five-year period. If the value of exports exceeds the value of imports, the balance can be sold in the domestic markets, upon payment of requisite duties. Secondly if the company supplies the goods to within the SEZ or other SEZ's in India, it will qualify as “deemed exports”,

“All in all, in terms of infrastructure and locational advantages, Mangalore SEZ, along with the opportunity of lower investment and working capital costs, has all that a potential investor looks for”, he concluded.

Mangalore SEZ seeks to cater to investors in specialty chemicals, petrochemical and manmade fibre textile value-chain. Investors have already committed investments of around Rs 100 billion in the Mangalore SEZ.

Fibre2fashion News Desk - India

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