Minutes of the 123rd meeting of the Board of Approval for SEZs held on 4th October, 2024 in Bangalore - SEZ - Minutes of the 123rd meeting of the SEZ

Minutes of the 123rd meeting of the Board of Approval for SEZs held on 4 th October, 2024 in Bangalore The One Hundred and Twenty-Third (123rd) meeting of the Board of Approval (BoA) for Special Economic Zones (SEZs) was held on 4th October, 2024 under the chairmanship of Shri Sunil Barthwal, Secretary, Department of Commerce, at Bangalore through hybrid mode. The list of participants is at Annexure-I . The item-wise decisions taken by the Board are as below: Item No. 123.1: Ratification of the minutes of the 122nd meeting of the Board of Approval for Special Economic Zones held on 30th August, 2024. The Board ratified the minutes of the 122 nd meeting of the BoA for SEZs held on 30th August, 2024. Item No. 123.2: Request for extension of LoA of SEZ Unit [2 proposals 123.2(i) and 123.2(ii)] 123.2(i) - Proposal of M/s. Zen Technologies Limited in M/s. TSIIC Ltd. Adibatla SEZ for extension of Letter of Approval (LoA) beyond 02.02.2021 and upto 02.08.2025. The Board, after deliberations, regularised the validity of the LoA for the earlier period and granted extension of validity of LoA for further one year, i.e., upto 02.08.2025. The Board further directed DC, VSEZ to understand the exact reasons for delay by State Government in the instant issue and to apprise BoA during next meeting. It was also directed that all DCs should regularly monitor such pendencies, and the same should be taken up at the appropriate level in the concerned State government for early resolution. Further, where there is inordinate delay in getting approvals from various Departments of State Governments despite such efforts, the same may be apprised to the SEZ Division, DoC from time to time such that it may be taken up with the respective State Governments at higher levels. 123.2(ii) - Proposal of M/s. GAIL Mangalore Petrochemicals Limited, for extension of validity of Letter of Approval dated 16.09.2011. The Board, after deliberations, granted extension of validity of LoA for further one year, i.e., upto 15.09.2025. Item No. 123.3: Request for approval of Restricted/Prohibited items [2 proposals 123.3(i) and 123.3(ii)] 123.3(i) - Proposal of M/s. HCL Technologies Limited, Developer for approval of Restricted item to carry on authorised operations in the IT/ITES SEZ at Plot No. 3A, 3B 2C, Sector-126, Noida (U.P.). The Board, after deliberations, approved the proposal of M/s. HCL Technologies Limited for the following restricted items in terms of proviso to Rule 27(1) of SEZ Rules, 2006 to carry out the authorised operations in the IT/ITES SEZ at Plot No. 3A, 3B 2C, Sector-126, Noida (U.P.): S. No. Authorized Operation / item description Sl. No. at default list of Autho. Opr. as per Inst. No. 50 54 Estimated Cost (Rs. in Crores) i. Air Conditioning of processing area. (i) Refrigerant - R407C (HSN 38276400) (ii) Refrigerant - R410A (HSN 38276300) (iii) Refrigerant - R32 (HSN 29034200) (iv) Refrigerant R134A (HSN 29034500) (v) Refrigerant R404 (HSN 38276100) 21 0.84 Further, the Board directed that the relevant provisions of the SEZ Rules may be examined for suitable amendment to simplify the approval process for such proposals at the level of UAC itself. 123.3(ii) - Proposal of M/s. V.M. Maniyar Exports, Plot No. 103-104-A, 73 74, Surat SEZ for Export of Prohibited Items. The Board, after deliberations, approved the proposal of M/s. V.M. Maniyar Exports, Plot No. 103-104-A, 73 74, Surat SEZ, for export of the following prohibited items subject to the condition that entire products manufactured from imported sandalwood would be exported and would not be diverted to DTA either in raw material or finished form or scrap in terms of Rule 26 of the SEZ Rules, 2006 with a direction to DC ensuring placement of proper checks in consultation with the Customs: - Sr. No. Items Description for manufacturing Annual Capacity (M. Tons) Item Code (ITC HS Code No.) 1. Sandalwood Heartwood Billets 150 44039922 2. Sandalwood Heartwood Roots 50 44039922 3. Sandalwood Heartwood Logs 250 44039922 4. Sandalwood Heartwood Butts 50 44039922 5. Sandalwood Heartwood Artefacts 50 44039922 6. Sandalwood Heartwood Pieces 150 44039922 7. Sandalwood Sapwood Billets 75 44039922 8. Sandalwood Sapwood Roots 25 44039922 9. Sandalwood Sapwood Logs 125 44039922 10. Sandalwood Sapwood Butts 25 44039922 11. Sandalwood Sapwood Artefacts 25 44039922 12. Sandalwood Sapwood Pieces 75 44039922 Item No. 123.4: Request for approval of Partial/full de-notification [1 proposal 123.4(i)] 123.4(i) - Proposal of M/s. Brandix India Apparel City Private Limited for partial de-notification of 25.428 Ha out of 386.806 Ha of their Textile SEZ at Anakapalli District, Andhra Pradesh. The Board, after deliberations, recommended the partial de-notification of 25.428 Ha out of 386.806 Ha in respect of M/s. Brandix India Apparel City Private Limited, Textile SEZ, at Anakapalli District, Andhra Pradesh. Item No. 123.5: Miscellaneous [1 proposal 123.5(i)] 123.5(i) - Proposal in respect of M/s. Digiflex India Limited for Revival of Sick Unit and transfer of assets liabilities to M/S. Knitpro International. The Board observed that M/s. Knitpro International would be required to pay all the outstanding lease rent and other liabilities, if any, with respect to LoA No. 08/43/88-NEPZ dated 05.01.1989 issued to M/s. Digiflex India Ltd., Plot No. 55 58D, NSEZ. However, the status of all the outstanding dues/liabilities was not clear. Further, the present proposal for revival of LoA is in line with the scheme of revival approved by the Hon ble High Court or otherwise is also not clear. The Board, after deliberations, deferred the proposal with a direction to DC, NSEZ to re-examine the matter in relation to the outstanding dues and liabilities, and to ensure that the proposal aligns with the revival scheme approved by the Hon ble High Court. Item No. 123.6: Appeal [2 cases 123.6(i) and 123.6(ii)] 123.6(i) - Appeal filed by M/s. Kutch Polymers against the decision of UAC, KASEZ. The Board approved the appellant s request for withdrawal of the appeal. 123.6(ii) - Appeal filed by M/s. C Tech Corporation under the provision of Section 16(4) of the SEZ Act, 2005 against the Order-in-Original dated 11.06.2024 passed by DC, Surat SEZ. The Board heard the appellant and after deliberations directed DC, Surat SEZ to obtain the details of the business plan, export orders for the next six months and time-frame to start the manufacturing along with specific milestones and timelines for each such milestone. These details will be presented before the Board in the next meeting. Accordingly, the Board deferred the matter to the next meeting. Decision on Supplementary Agenda Item No.123.7: Request for conversion of processing area into non-processing area under Rule 11(B) [1 proposal 123.7(i)] 123.7(i) Proposal of M/s. Mindspace Business Parks Private Limited, for demarcation of SEZ Processing Built-up area (50,946.2 sq.mtr.) as Non-Processing Area in terms of Rule 11 B of SEZ Rules, amended in 2023. The Board, after deliberations, permitted the demarcation of the following processing built-up area as Non-Processing Area in terms of Rule 11B of SEZ Rules, 2006: Sr. No. Building No. No. of floors 1 Bldg. No. 03 4 th 7 th Office floors [5,939.19 sq. mtr.] 2 Bldg. No. 08 1 st 2 nd Office floors [6,491.73 sq. mtr.] 3 Bldg. No. 09 2 nd Office floors [3,253.32 sq. mtr.] 4 Bldg. No. 10 All 8 Office floors [25,178.87 sq. mtr.] 5 Bldg. No. 14 4 th 5 th 7 th Office floors [10,083.09 sq. mtr.] Total area 50,946.20 sq.mtrs. Item No. 123.8: Miscellaneous [1 proposal for cancellation of Formal Approval - 123.8(i)] 123.8(i) - Proposal of M/s. ValueLabs Infra LLP, an IT/ITES SEZ at sy. No. 211-213, Kokapet Village, Rajendra Nagar Mandai, Ranga Reddy District, Telangana for cancellation of their Formal Approval. The Board, after deliberations, allowed surrender of the Formal Approval dated 05.02.2016 subject to No-objection by DoR. DGEP assured that NOC will be provided within a week. Annexure-I List of Participants for the Meeting of the Board of Approval for SEZ held on 04.10.2024 under the Chairmanship of Commerce Secretary, Department of Commerce. 1. Shri Sunil Barthwal, Chairman Commerce Secretary, Department of Commerce 2. Shri L. Satya Srinivas, Additional Secretary, Department of Commerce 3. Shri Vimal Anand, Joint Secretary, DoC 4. Shri Senthil Nathan S, Director, DoC 5. Smt. P. Hemalatha, Development Commissioner, CSEZ 6. Shri Bipin Menon, Development Commissioner, NSEZ 7. Shri Dinesh Singh, Development Commissioner, KASEZ 8. Shri Alex Paul Menon, Development Commissioner, MEPZ-SEZ 9. Shri D.B. Patil, Development Commissioner, SEEPZ-SEZ 10. Shri Srinivas Muppaala, Development Commissioner, VSEZ 11. Smt. Roshni Aparanji Korati, JDC, VSEZ 12. Shri CPS Chauhan, Joint Development Commissioner, SEEPZ-SEZ 13. Shri Kiran M. Mohadikar, DDC, NSEZ List of participants connected with Video Conferencing:- 1. Shri Rajkumar, DG, DGEP 2. Shri D.B Singh, Development Commissioner, FSEZ 3. Dr. Praveen Development Commissioner, Mihan SEZ 4. Shri Abhimaniu Sharma, Development Commissioner, Surat SEZ 5. Shri Lokesh HD, Additional DGI T 6. Shri Rakesh Kumar, Additional DGFE 7. Shri Vikas Singh, Director, ITA-I, CBDT 8. Shri Neeraj Rawat, DLA, D/o Legal Affairs 9. Shri 0m Sharma, Tech. Consultant, Department of Chemicals Petro-Chemicals, Petrochemicals Division 10. Shri Anil Kant Mishra, Research Assistant TCP(), Ministry of Housing Urban Affairs, Vikas Bhawan, I.P. Estate, New Delhi 11. Dr Krishna Kanth P, Scientist E, Department of Science Technology 12. Ms. Renu Sinha (Additional Legislative Counsel) 13. Dr. Sndeep Kumar Raut, TCPO, Ministry of Housing Urban Affairs 14. Shri Noman Hafiz, CPO(DIP), Department of Defence Production, Ministry of Defence, Sena Bhawan