Executive Summary:
This notification concerns the denotification of a sector-specific Special Economic Zone (SEZ) for food processing and related services at Hassan, Karnataka. The initial notification for the SEZ was issued on April 12, 2007, covering an area of 159.733 hectares. The Central Government rescinds the original notification, except for actions already taken or omitted.
Key Points / Main Content:
* **Background:**
* Karnataka Industrial Area Development Board proposed to set up a Special Economic Zone (SEZ) for food processing at Hassan, Karnataka, under the Special Economic Zones Act, 2005.
* The Central Government initially notified an area of 159.733 hectares for the SEZ via Notification S.O. 573E, dated April 12, 2007.
* A reduction in area to 115.33 ha was proposed in 2008 but later the board proposed full denotification of the original 159.733 hectares.
* **Denotification:**
* The State Government of Karnataka provided a No Objection to the full denotification proposal on July 13, 2015.
* The Development Commissioner, Cochin Special Economic Zone, recommended the full denotification.
* The Central Government rescinds Notification S.O. 573E, dated April 12, 2007, effectively denotifying the SEZ.
Impact Analysis:
* Karnataka Industrial Area Development Board:
* Impact: The initial plan to set up a sector-specific Special Economic Zone for food processing and related services at Hassan, Karnataka, is rescinded.
* Action Required: Acknowledge the rescission of the notification and adjust any plans, projects, or activities based on the initial SEZ notification.
* Central Government:
* Impact: Responsible for rescinding the original notification and ensuring compliance with the Special Economic Zones Act and Rules.
* Action Required: Ensure the rescission is properly recorded and communicated to relevant departments and stakeholders.
* State Government of Karnataka:
* Impact: The State Government agreed to the denotification.
* Action Required: Update records and plans to reflect the denotification.
* Development Commissioner, Cochin Special Economic Zone:
* Impact: Recommended the proposal for full denotification of the Special Economic Zone
* Action Required: Update records and plans to reflect the denotification.
Key Entities Referenced
Special Economic Zones Act, 2005: Indian legislation governing the establishment, development, and management of Special Economic Zones in India.
Special Economic Zones Rules 2006: Rules framed under the Special Economic Zones Act, 2005, providing detailed procedures and regulations for SEZs.
Ministry of Commerce and Industry: The Indian government ministry responsible for international trade, industrial policy and promotion.
Department of Commerce: A department within the Ministry of Commerce and Industry, Government of India.
Karnataka Industrial Area Development Board: A State Industrial Promotion Organization in the State of Karnataka.
Hassan, Karnataka: A city in the State of Karnataka, India, where a sector-specific Special Economic Zone for food processing was proposed.
Board of Approval: An inter-ministerial body that approves proposals for setting up Special Economic Zones in India.
Cochin Special Economic Zone: A Special Economic Zone in Kochi, Kerala, whose Development Commissioner recommended the denotification proposal.
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[फा. सं. एफ. 2/387/2006-एस.ई.जेड]
डॉ. गु‘.साद महापा2,,,, संयRु त सिचव
MINISTRY OF COMMERCE AND INDUSTRY
(Department of Commerce)
NOTIFICATION
New Delhi, the 21st March, 2016
S.O. 1217(E).—WHEREAS, M/s. Karnataka Industrial Area Development Board, a fully owned State
Industrial Promotion Organization in the State of Karnataka, had proposed under section 3 of the Special Economic
Zones Act, 2005 (28 of 2005), (hereinafter referred to as the said Act) to set up a sector specific Special Economic Zone
for food processing and related services at Hassan in the State of Karnataka;
AND, WHEREAS, the Central Government, in exercise of the powers conferred by sub-section (1) of section 4
of the said Act read with rule 8 of the Special Economic Zones Rules 2006, had notified an area of 159.733 hectares at
above Special Economic Zone vide Ministry of Commerce and Industry Notification Number S.O. 573(E) dated 12th
April, 2007;
AND, WHEREAS, M/s. Karnataka Industrial Area Development Board vide their letter dated 3rd January, 2008
has proposed for reduction of the area from 159.733 to 115.33 ha at the above Special Economic Zone;
AND, WHEREAS, the Board of Approval (BoA) in its 22nd Meeting held on 25th February, 2008 has approved
the above reduction in area subject to the condition that no tax benefits have been availed by the developer for the area to
be deleted.
AND, WHEREAS, M/s. Karnataka Industrial Area Development Board has now proposed for full de-
notification of 159.733 hectares area at the above Special Economic Zone;
AND, WHEREAS, the State Government of Karnataka has given its “No Objection” to the proposal vide letter
No. VTPC/SEZ/KIADB-NOC/DD/2014-15, dated 13th July, 2015;
AND, WHEREAS, the Development Commissioner, Cochin Special Economic Zone has recommended the
proposal for full de-notification of the Special Economic Zone;
NOW, THEREFORE, in exercise of the powers conferred by first proviso to rule 8 of the Special Economic
Zones Rules 2006, the Central Government hereby rescinds the above notification except as respects things done or
omitted to be done before such rescission.
[F. No. F. 2/387/2006-SEZ]
DR. GURUPRASAD MOHAPATRA, Jt. Secy.
Uploaded by Dte. of Printing at Government of India Press, Ring Road, Mayapuri, New Delhi-110064
and Published by the Controller of Publications, Delhi-110054.