Since Special Economic Zones (SEZs) Act and Rules were notified in February, 2006, formal approvals have been granted for setting up of 11 SEZs for Agro and Food Processing, out of which, 9 SEZs have been notified. A total of 4 SEZs are exporting. The total physical exports from these SEZs in 2013-14, have been to the tune of ₹ 881 crore. In order to encourage agro-based industries in SEZs, a new sector, namely, ‘Agro-based Food Processing’ sector has been introduced vide G.S.R. 540(E) dated 12.08.2013.

The Units engaged in the manufacture of agro and food products are mainly exporting products such as black pepper, ground red pepper, white pepper, betelnut cut, organic soyabeans, chilli powder, yellow split peas, chana dal, masoor dal, turmeric powder, organic onion, vegetable frozen foods, honey, organic cardamom powder, sandalwood powder, frozen sea food, organic cardamom powder and tea, etc. Fiscal concessions and duty benefits are extended to SEZ Developers as well as units as per the provisions of SEZ Act, 2005 and Rules made thereunder.

The information was given by the Minister of State (Independent Charge) in the Ministry of Commerce & Industry Smt. Nirmala Sitharaman in a written reply in Lok Sabha today.

Special Economic Zones designation expands to agro-based food processing, enabling SEZ fiscal concessions for exporters. The government has formalised an Agro-based Food Processing sector within the SEZ framework by G.S.R. 540(E), enabling SEZ developers and units to receive fiscal concessions and duty benefits under the SEZ Act, 2005 and Rules for the export of processed agricultural and food products.