<h1>Guide to Establishing a Unit in a Special Economic Zone (SEZ) Under the Special Economic Zones Act, 2005.</h1> To establish a unit in a Special Economic Zone (SEZ) under the Special Economic Zones Act, 2005, a project proposal in the prescribed format must be submitted to the Development Commissioner (DC). Approval is primarily managed by the DC, with necessary clearances obtained from the Board of Approvals. SEZ units must achieve positive net foreign exchange earnings and submit annual reports. Benefits include duty-free imports, tax exemptions, and no licensing for imports. Units can engage in manufacturing, trading, or services, with 100% FDI allowed in manufacturing. Additional facilities include offshore banking, subcontracting, and in-house customs clearance.