Aug. 30 - Special economic zone incentives will be exempted from the new direct tax code (DTC) until 2014 although there is a proposed 20 percent minimum alternative tax based on a version approved by the Cabinet last Thursday.
Despite the assurance, investors are still nervous about the changes and developers are unsure whether zones will attract enough investors despite the changes made to the DTC. The bill may still undergo revisions when it reaches Parliament for approval.
Aug. 6 – Japanese conglomerate Mitsui and Co. Ltd. and Indian industrial conglomerate Ruchi Group have announced plans to establish a special economic zone that will include a US$1 billion steel complex in western India’s Tagdi village in Kutch, Gujarat.
The joint venture, Indian Steel Corp. Ltd. (ISC), aims to expand steel service centers around the country. ISC already has 50 hectares of land for the project in Kutch and is waiting for the local government to make 950 hectares available for development. Read the rest of this entry »
Jul. 20 - Special economic zone exports in India increased by 67 percent to Rs. 587.5 billion for the first quarter of the financial year compared to the same period last year.
Top special economic zone exports included information technology, IT hardware, petroleum, engineering, leather and garments. Exports from the zones have continued to show strong growth. From 2009 to 2010, SEZ exports increased by more than 122 percent. Read the rest of this entry »
Jun. 25 – India will exempt tax on services that deal with low-cost housing construction, power distribution, services within ports and airports, selected tournaments and championships, foreign travelers in transit and those flying to and from the northeast starting July 1.
“Repair of ships or boats or vessels belonging to the Government of India, including the Navy or the Coast Guard or the Customs, but does not include government owned public sector undertakings,” the Central Board of Excise and Customs (CBEC) said as to the services exempted from tax. Read the rest of this entry »
Jun. 24 - India and Europe are set to finalize a free trade deal by the end of this year that aims to boost bilateral trade to US$66 billion in the next five years.
Negotiations begun as early as 2007 but have proceeded slowly due to trade issues presented by both countries. An “in principle” agreement between India and the EU on the FTA was likely to be had by the end of this year said 
India’s Commerce and Industry Anand Sharma during a Global India Business Meeting held in Madrid. Read the rest of this entry »
Jun. 23 - India is considering lifting its foreign direct investment cap on the insurance sector from 26 percent to 49 percent according to Finance Minister Pranab Mukherjee.
“We have committed to allow 49 percent and the necessary legislation is pending before the House, as the leg process will be completed it will be done…in a year or so.” Pranab Mukherjee told NDTV during an Indo-U.S. CEO forum in Washington. Read the rest of this entry »
Apr. 12 - As the Indian economy develops, the need for massive improvements in its transportation network also increases.
With Mumbai’s first monorail service about to be launched and those familiar street level cantilevered rail lines now weaving their way above the city’s roads, other places in the country have already started taking notice. All three major monorail companies – Bombardier, Scomi and Hitachi - are setting up operations in India because of anticipated demand. Read the rest of this entry »
Mar. 24 - India said it will soon offer duty-free and quota-free market access to the least developed countries during a World Trade Organization presentation last week.
India will allow 14 least developed countries including Bangladesh, Nepal, Bhutan, Cambodia, and some African nations easy access to the Indian market without imposing a tax or quota. Items such as cotton, cocoa, cane sugar and garments will be included in the list of duty-free goods. Read the rest of this entry »
Mar. 23 – India is opening nine road projects worth more than US$1 billion each for bidding in the coming months in an effort to improve its underdeveloped infrastructure sector.
India is one of the major emerging economies in the region with various untapped business opportunities for foreign investors. The upcoming road projects are expected to garner interest from companies in Europe, the United States and East Asia. Read the rest of this entry »
Mar. 17 - The list of operations that can be carried out independently by special economic zone authorities has been expanded to include establishing space for banking and warehousing services.
Previously SEZ developers were required to get approval for the latter. “It has been decided to further expand the list of default authorized operations…the development commissioners /unit approval committees may allow the developer/approved co-developers duty-free goods and services for these default authorized operations,” said the commerce ministry in statement. Read the rest of this entry »
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