Some of the rules and guidelines have to be reframed

Rajiv Arora, Joint Secretary, Union Ministry of Commerce & Industry, talking to Janaki Krishnamoorthi, reveals the ministry’s stand on the FTZ/FTWZ policy guidelines.

Industry professionals opine that FTZ/FTWZ policy needs clarity. What is your comment?
I cannot say much on this as of now, as certain issues have yet to be streamlined. Today, FTZs/FTWZs are functioning under the SEZ Act and rules. However, we realise that the activities of FTWZs are of different nature and their requirements are also different. Hence, some of the rules and guidelines have to be reframed. The process is on.

Do you agree that many Indian FTZs have not been successful for want of clear policy framework and guidelines?
Lack of clarity in policy is one of the reasons behind our FTZs not being as successful as in other countries. There are some grey areas that need to be looked into. We have sent in our suggestions to the Revenue Department and have since held several discussions with the department officials. The exact policy frame work is yet to be agreed upon.

What will be the major emphasis of the revised policy guidelines?
The emphasis will be on manufacturing FTZs as it is now, since that is considered very important for the country.

When will the new policy framework be in place?
We are following up rigorously and trying our best to get it finalised as early as possible but much will depend on the response from the revenue department.