Special Economic Zone status treats admitted goods as outside customs territory, enabling conditional customs duty exemptions and regulated controls. A new Chapter XA designates notified Special Economic Zones where goods admitted are treated as outside the customs territory for customs purposes. The Chapter empowers the Central Government and the Board to prescribe rules on admissible goods, permitted operations, customs control and inspections. Goods admitted to an SEZ are generally exempt from customs duties subject to specified conditions, while removals to the domestic tariff area or misuse may attract relevant duties; drawback applies as if goods were export goods. The Chapter also regulates duration of stay, security, transfer of ownership, removal procedures and obligations on SEZ closure.