Special Economic Zones (Fourth Amendment) Rules, 2024 Implementation

The Ministry of Commerce and Industry, Department of Commerce, through Notification (G.S.R. 338(E)) dated June 20, 2024, has announced the implementation of the Special Economic Zones (Fourth Amendment) Rules, 2024. These revised rules, effective immediately, amend the SEZ Rules, 2006, to permit activities such as reconditioning, repair, and re-engineering within Special Economic Zones (SEZs). However, these activities are subject to the requirement that exports must correspond in value to imports.

Under these amended rules, non-hazardous metal and metal-alloy wastes resulting from reconditioning, repair, or re-engineering processes can be sold domestically. This sale is allowed upon payment of customs duty, adhering to specific restrictions outlined in the Hazardous and Other Wastes (Management and Transboundary Movement) Rules, 2016. This regulatory amendment, enacted under the authority of section 55 of the Special Economic Zones Act, 2005 (28 of 2005), aims to manage and facilitate these operations while ensuring compliance with environmental regulations and maintaining import-export balance.