Special Economic Zones (SEZs) have been a significant contributor to the exports from India over the past years, contributing approximately 18% of India’s total exports. During the current financial year 2019-20, the exports from SEZs have already crossed USD 110 Billion. In the present scenario of complete lockdown in the country to curb the spread of COVI-19, SEZs units engaged in manufacturing of essential items like drugs, pharmaceuticals or hospital equipment are operational to ensure these critical supplies are not disrupted.

More than 280 units, engaged in manufacturing of essential items like pharmaceuticals and hospital devices, are operational. Besides, more than 1900 IT/ITES Units have been facilitated to enable their employees to work from home.

Development Commissioners of SEZs have been requested to ensure that there is no hardship to Developer/Co-Developer/Units and no punitive action is taken in cases where compliances like filing of QPR, APR, SOFTEX in case of IT/ITES Units etc, required to be filed by 31st March, 2020 are not completed. Further,  It has also been requested that all extensions of LoAs and other compliances are facilitated through electronic mode in a time-bound manner and where it is not possible to grant extension through electronic mode or in cases where a physical meeting is required, It may be ensure that the Developer / Co-developer / Units do not face any hardship due to such expiry of validity during this period of disruption, and ad-hoc interim extension / deferment of the expiry date may be granted without prejudice till 30.06.2020 or further instructions of the Department on the matter, whichever is earlier.

All Development Commissioners are closely coordinating with the units in their jurisdiction for their smooth functioning while ensuring that all necessary precautions of work-place safety, including social distancing are scrupulously adhered.

SEZ compliance relief ensures operational continuity for units producing essential medical supplies while waiving punitive actions. Units in Special Economic Zones producing essential medical and pharmaceutical goods are to remain operational with facilitation for IT/ITES remote work. Development Commissioners are instructed to refrain from punitive action for missed filings during the disruption, grant electronic extensions of letters of approval and other compliances in a time bound manner, and provide ad hoc interim deferments where electronic processing is not possible, ensuring units face no hardship while maintaining workplace safety measures.