INSIGHTS CURRENT AFFAIRS ( 4 January 2021)

REVISION THROUGH MCQS

insightsonindia.com/2021/01/05/insights-current-affairs-4-january-2021-revision-through-mcqs

Insights Editor January 5, 2021

INSIGHTS CURRENT Affairs RTM - 2020

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New Initiative: Revision Through MCQs (RTM) – Revision of Current

Affairs Made Interesting

As revision is the key to success in this exam, we are starting a new initiative where
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Pos. Name Entered on Points Result

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1 M.Gnapika 2021/01/05 10:14 PM 10 100 %

2 Rajan dautania 2021/01/05 10:28 PM 10 100 %

3 Anuj dubey 2021/01/05 10:58 PM 10 100 %

4 Pallavi 2021/01/05 11:44 PM 10 100 %

5 Insights Editor 2021/01/05 5:52 PM 10 100 %

6 Pratishtha 2021/01/05 7:42 PM 10 100 %

7 Sunil 2021/01/05 10:19 PM 8 80 %

8 Swarnika 2021/01/05 6:22 PM 8 80 %

9 Dr SP 2021/01/05 11:42 PM 7 70 %

10 Divyangana 2021/01/05 9:10 PM 7 70 %

11 Amrita 2021/01/05 6:37 PM 6 60 %

12 Kshitij 2021/01/05 6:44 PM 6 60 %

13 Shubham Maheshw 2021/01/05 7:13 PM 6 60 %

14 Ujjwal Rastogi 2021/01/05 7:25 PM 6 60 %

15 Swetha 2021/01/05 7:34 PM 6 60 %

16 Shambhu 2021/01/05 7:40 PM 6 60 %

17 navneet 2021/01/05 8:14 PM 6 60 %

18 Praveen 2021/01/05 8:44 PM 6 60 %

19 avinash 2021/01/05 8:56 PM 6 60 %

20 Mansi 2021/01/05 9:13 PM 6 60 %

21 Vikash kumar 2021/01/05 11:11 PM 5 50 %

22 jigmet zasay 2021/01/05 11:16 PM 5 50 %

23 Faith 2021/01/05 11:17 PM 5 50 %

24 Bhagirathi 2021/01/05 7:32 PM 5 50 %

25 ankit 2021/01/05 8:32 PM 5 50 %

3/20
Pos. Name Entered on Points Result

26 Hrishu Pandey 2021/01/05 9:10 PM 5 50 %

27 NITISH SRIVASTA 2021/01/05 9:32 PM 5 50 %

28 NIKHIL 2021/01/05 9:47 PM 4 40 %

29 Akash 2021/01/05 9:50 PM 4 40 %

30 SURAj 2021/01/05 10:47 PM 4 40 %

31 simba 2021/01/05 10:52 PM 4 40 %

32 Raghav 2021/01/05 7:06 PM 4 40 %

33 Vedanti Dongre 2021/01/05 7:28 PM 4 40 %

34 Naeem 2021/01/05 7:34 PM 4 40 %

35 harshal p 2021/01/05 6:44 PM 3 30 %

36 Rutuja 2021/01/05 7:06 PM 3 30 %

37 S M Raashid 2021/01/05 7:15 PM 3 30 %

38 Sarika 2021/01/05 7:17 PM 3 30 %

39 AJAY PARMAR 2021/01/05 7:19 PM 3 30 %

40 AZIZ ANSARI 2021/01/05 7:29 PM 3 30 %

41 Bappy Rishi 2021/01/05 7:58 PM 3 30 %

42 Soni 2021/01/05 8:32 PM 3 30 %

43 Aira 2021/01/05 10:55 PM 2 20 %

44 AC 2021/01/05 6:29 PM 2 20 %

45 sunil mishra 2021/01/05 7:05 PM 2 20 %

46 Vinay 2021/01/05 8:37 PM 2 20 %

47 Manav 2021/01/05 6:57 PM 1 10 %

48 Shashi shekher 2021/01/05 9:15 PM 1 10 %

maximum of 10 points

1. 1
2. 2
3. 3
4. 4
5. 5

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 6. 6
7. 7
8. 8
9. 9
10. 10

1. Answered
2. Review

5/20
1. Question 1 of 10
1. Question
1 points
Consider the following statements about Trans-fats.

1.
1. Trans-fat is a type of unsaturated fat.
2. Trans fats also occur naturally.
3. Trans fats give food a desirable taste and texture.
Which of the above statements is/are correct?

Correct
Ans: (d)

Explanation:

Context:
The Food Safety and Standards Authority of India (FSSAI) has capped
the amount of trans fatty acids (TFA) in oils and fats to 3% for
2021 and 2% by 2022 from the current permissible limit of 5%
through an amendment to the Food Safety and Standards
(Prohibition and Restriction on Sales) Regulations.
Background:
The revised regulation applies to edible refined oils, vanaspati (partially
hydrogenated oils), margarine, bakery shortenings and other mediums
of cooking such as vegetable fat spreads and mixed fat spreads.
What are Trans fats?
Trans fatty acids (TFAs) or Trans fats are the most harmful type of fats
which can have much more adverse effects on our body than any other
dietary constituent.
These fats are largely produced artificially but a small amount also
occurs naturally. Thus in our diet, these may be present as Artificial
TFAs and/ or Natural TFAs.
Artificial TFAs are formed when hydrogen is made to react with the oil to
produce fats resembling pure ghee/butter.
In our diet the major sources of artificial TFAs are the partially
hydrogenated vegetable oils (PHVO)/vanaspati/ margarine while the
natural TFAs are present in meats and dairy products, though in small
amounts.
Refer: https://www.insightsonindia.com/2021/01/04/fssai-slashes-limit-for-
transfat-levels-in-foods/

Incorrect
Ans: (d)

Explanation:

6/20
 Context:
The Food Safety and Standards Authority of India (FSSAI) has capped
the amount of trans fatty acids (TFA) in oils and fats to 3% for
2021 and 2% by 2022 from the current permissible limit of 5%
through an amendment to the Food Safety and Standards
(Prohibition and Restriction on Sales) Regulations.
Background:
The revised regulation applies to edible refined oils, vanaspati (partially
hydrogenated oils), margarine, bakery shortenings and other mediums
of cooking such as vegetable fat spreads and mixed fat spreads.
What are Trans fats?
Trans fatty acids (TFAs) or Trans fats are the most harmful type of fats
which can have much more adverse effects on our body than any other
dietary constituent.
These fats are largely produced artificially but a small amount also
occurs naturally. Thus in our diet, these may be present as Artificial
TFAs and/ or Natural TFAs.
Artificial TFAs are formed when hydrogen is made to react with the oil to
produce fats resembling pure ghee/butter.
In our diet the major sources of artificial TFAs are the partially
hydrogenated vegetable oils (PHVO)/vanaspati/ margarine while the
natural TFAs are present in meats and dairy products, though in small
amounts.
Refer: https://www.insightsonindia.com/2021/01/04/fssai-slashes-limit-for-
transfat-levels-in-foods/

7/20
2. Question 2 of 10
2. Question
1 points
Consider the following statements:

1.
1. The Food Safety and Standards Act, 2006 replaced the Prevention of
Food Adulteration Act, 1954.
2. The Food Safety and Standards Authority of India (FSSAI) is under the
charge of Director General of Health Services in the Union Ministry of
Health and Family Welfare.
Which of the statements given above is/are correct?

Correct
Ans: (a)

Explanation:

S1: The FSSAI Act took 8 older acts into one umbrella including Prevention
of Food Adulteration Act, 1954 Ministry of Health & Family
Welfare, Government of India is the Administrative Ministry for the
implementation of FSSAI
S2: The Chairperson and Chief Executive Officer of Food Safety and
Standards Authority of India (FSSAI) is appointed by Government
of India. The Chairperson is in the rank of Secretary to Government of India.
It is not under the charge of Director General of Health services.
Refer: https://www.insightsonindia.com/2021/01/04/fssai-slashes-limit-for-
transfat-levels-in-foods/

Incorrect
Ans: (a)

Explanation:

S1: The FSSAI Act took 8 older acts into one umbrella including Prevention
of Food Adulteration Act, 1954 Ministry of Health & Family
Welfare, Government of India is the Administrative Ministry for the
implementation of FSSAI
S2: The Chairperson and Chief Executive Officer of Food Safety and
Standards Authority of India (FSSAI) is appointed by Government
of India. The Chairperson is in the rank of Secretary to Government of India.
It is not under the charge of Director General of Health services.
Refer: https://www.insightsonindia.com/2021/01/04/fssai-slashes-limit-for-
transfat-levels-in-foods/

8/20
3. Question 3 of 10
3. Question
1 points
Consider the following statements regarding the Financial Stability Board (FSB):

1.
1. It is hosted and funded by International Monetary Fund (IMF).
2. It monitors and makes recommendations about the global financial
system.
Which of the given above statements is/are correct?

Correct
Ans: (b)

Explanation:

S2: The Financial Stability Board (FSB) is an international body that monitors
and makes recommendations about the global financial system.
S1: It was established after the G20 London summit in April 2009 as
a successor to the Financial Stability Forum (FSF). The Board includes all G20
major economies, FSF members, and the European Commission. Hosted
and funded by the Bank for International Settlements, the board is
based in Basel, Switzerland.
Context:
The International Financial Services Centres Authority (IFSCA) has
become an Associate Member of the International Organization of Securities
Commissions (IOSCO).
IFSC in India:
The first International Financial Services Centre (IFSC) in the country
has been set up at the Gujarat International Finance Tec-City (GIFT) in
Gandhinagar.
To regulate such institutions, the government established IFSCA on
April 27 last year with its head office in Gandhinagar.
In December 2019, Parliament passed a bill to set up a unified authority
for regulating all financial activities at IFSCs in the country.
About IOSCO:
It is the international body that brings together the world’s
securities regulators and is recognized as the global standard setter
for the securities sector.
IOSCO develops, implements and promotes adherence to internationally
recognized standards for securities regulation.
It works intensively with the G20 and the Financial Stability
Board (FSB) on the global regulatory reform agenda.
Refer: https://www.insightsonindia.com/2021/01/04/international-organization-
of-securities-commissions-iosco/

Incorrect

9/20
Ans: (b)

Explanation:

S2: The Financial Stability Board (FSB) is an international body that monitors
and makes recommendations about the global financial system.
S1: It was established after the G20 London summit in April 2009 as
a successor to the Financial Stability Forum (FSF). The Board includes all G20
major economies, FSF members, and the European Commission. Hosted
and funded by the Bank for International Settlements, the board is
based in Basel, Switzerland.
Context:
The International Financial Services Centres Authority (IFSCA) has
become an Associate Member of the International Organization of Securities
Commissions (IOSCO).
IFSC in India:
The first International Financial Services Centre (IFSC) in the country
has been set up at the Gujarat International Finance Tec-City (GIFT) in
Gandhinagar.
To regulate such institutions, the government established IFSCA on
April 27 last year with its head office in Gandhinagar.
In December 2019, Parliament passed a bill to set up a unified authority
for regulating all financial activities at IFSCs in the country.
About IOSCO:
It is the international body that brings together the world’s
securities regulators and is recognized as the global standard setter
for the securities sector.
IOSCO develops, implements and promotes adherence to internationally
recognized standards for securities regulation.
It works intensively with the G20 and the Financial Stability
Board (FSB) on the global regulatory reform agenda.
Refer: https://www.insightsonindia.com/2021/01/04/international-organization-
of-securities-commissions-iosco/

10/20
4. Question 4 of 10
4. Question
1 points
“Drugs Controller General of India (DCGI)” works under the administrative control
of:

Correct
Ans: (b)

Explanation:

Context:
In a significant development, the Drug Controller General of India
(DCGI) has formally approved Serum Institute and Bharat Biotech
vaccines for restricted emergency use against COVID-19 in India.
Drugs Controller General of India (DCGI) is a department of the
Central Drugs Standard Control Organization of the Government of India
responsible for approval of licences of specified categories of drugs
such as blood and blood products, IV fluids, vaccines, and sera in
India.
Drugs Controller General of India, comes under the Ministry of
Health & Family Welfare.
DCGI also sets standards for manufacturing, sales, import, and
distribution of drugs in India.
Refer: https://www.insightsonindia.com/2021/01/04/serum-institutes-covishield-
vs-bharat-biotechs-covaxin/

Incorrect
Ans: (b)

Explanation:

Context:
In a significant development, the Drug Controller General of India
(DCGI) has formally approved Serum Institute and Bharat Biotech
vaccines for restricted emergency use against COVID-19 in India.
Drugs Controller General of India (DCGI) is a department of the
Central Drugs Standard Control Organization of the Government of India
responsible for approval of licences of specified categories of drugs
such as blood and blood products, IV fluids, vaccines, and sera in
India.
Drugs Controller General of India, comes under the Ministry of
Health & Family Welfare.
DCGI also sets standards for manufacturing, sales, import, and
distribution of drugs in India.
Refer: https://www.insightsonindia.com/2021/01/04/serum-institutes-covishield-
vs-bharat-biotechs-covaxin/

11/20
5. Question 5 of 10
5. Question
1 points
Consider the following statements:

1.
1. Within the Central Drugs Standard Control Organisation (CDSCO),
National Pharmaceutical Pricing Authority (NPPA) regulates
pharmaceutical and medical devices, under the gamut of Ministry of
Health and Family Welfare.
2. The Drugs Prices Control Order (DPCO) issued by the Government of
India under the Essential Commodities Act, 1955 to regulate the prices of
drugs.
Which of the given above statements is/are correct?

Correct
Ans: (b)

Explanation:

S1: In India, the Central Drugs Standard Control Organisation

(CDSCO) is the national regulatory body for Indian pharmaceuticals and
medical devices.
Within the CDSCO, the Drug Controller General of India (DCGI)
regulates pharmaceutical and medical devices, under the gamut of
Ministry of Health and Family Welfare. The DCGI is advised by
the Drug Technical Advisory Board (DTAB) and the Drug Consultative
Committee (DCC).
What is National Pharmaceutical Pricing Authority and its role ?
https://www.insightsonindia.com/2019/05/20/nppa-caps-prices-
of-9-non-scheduled-drugs/
S2: What is the “Drugs (Prices Control) Order (DPCO)”?
The Drugs Prices Control Order is an order issued by the Government of
India under 3 of Essential Commodities Act, 1955to regulate the
prices of drugs.
The Order interalia provides the list of price controlled drugs,
procedures for fixation of prices of drugs, method of
implementation of prices fixed by Govt., penalties for
contravention of provisions etc.
For the purpose of implementing provisions of DPCO, powers of Govt.
have been vested in NPPA.
Refer: https://www.insightsonindia.com/2021/01/04/serum-institutes-covishield-
vs-bharat-biotechs-covaxin/

Incorrect
Ans: (b)

12/20
Explanation:

S1: In India, the Central Drugs Standard Control Organisation

(CDSCO) is the national regulatory body for Indian pharmaceuticals and
medical devices.
Within the CDSCO, the Drug Controller General of India (DCGI)
regulates pharmaceutical and medical devices, under the gamut of
Ministry of Health and Family Welfare. The DCGI is advised by
the Drug Technical Advisory Board (DTAB) and the Drug Consultative
Committee (DCC).
What is National Pharmaceutical Pricing Authority and its role ?
https://www.insightsonindia.com/2019/05/20/nppa-caps-prices-
of-9-non-scheduled-drugs/
S2: What is the “Drugs (Prices Control) Order (DPCO)”?
The Drugs Prices Control Order is an order issued by the Government of
India under 3 of Essential Commodities Act, 1955to regulate the
prices of drugs.
The Order interalia provides the list of price controlled drugs,
procedures for fixation of prices of drugs, method of
implementation of prices fixed by Govt., penalties for
contravention of provisions etc.
For the purpose of implementing provisions of DPCO, powers of Govt.
have been vested in NPPA.
Refer: https://www.insightsonindia.com/2021/01/04/serum-institutes-covishield-
vs-bharat-biotechs-covaxin/

13/20
6. Question 6 of 10
6. Question
1 points
Which one of the following is/are correctly describe/describes the objective
ACROSS Scheme?

Correct
Ans: (a)

Explanation:

Context:
The scheme was recently reviewed by the Ministry of Earth
Sciences.
ACROSS Scheme: provide a reliable weather and climate forecast for
betterment of society, the scheme will aim at improving skill of weather and
climate forecast through sustained observations, intensive R & D.
Option ‘b’ : O-SMART Scheme: Develop High-resolution models for the ocean
forecast and reanalysis systems
Option ‘c’: Monsoon Mission of India: To improve Seasonal and Intra-seasonal
Monsoon Forecast.
Refer: https://www.insightsonindia.com/2021/01/04/atmosphere-climate-
research-modelling-observing-systems-services-across-scheme-2/

Incorrect
Ans: (a)

Explanation:

Context:
The scheme was recently reviewed by the Ministry of Earth
Sciences.
ACROSS Scheme: provide a reliable weather and climate forecast for
betterment of society, the scheme will aim at improving skill of weather and
climate forecast through sustained observations, intensive R & D.
Option ‘b’ : O-SMART Scheme: Develop High-resolution models for the ocean
forecast and reanalysis systems
Option ‘c’: Monsoon Mission of India: To improve Seasonal and Intra-seasonal
Monsoon Forecast.
Refer: https://www.insightsonindia.com/2021/01/04/atmosphere-climate-
research-modelling-observing-systems-services-across-scheme-2/

14/20
7. Question 7 of 10
7. Question
1 points
With reference to Political Life and Social Service of Mannathu Padmanabhan,
consider the following statements:

1.
1. He took part in the agitation against Sir C. P. Ramaswamy Iyer’s
administration in Travancore (Kerala).
2. He opened his family temple for everyone, irrespective of caste
distinction.
3. He was instrumental in the formation of Kerala Congress, the first
regional party in India.
Which of the given above statements is/are correct?

Correct
Ans: (d)

Explanation: Mannathu Padmanabhan:

He was an Indian social reformer and freedom fighter from Kerala.

He lived from January 2, 1878 – February 25, 1970.
He took part in anti-untouchability agitations and advocated opening temples
for people of all castes.
He also participated in the Vaikom Satyagraha.
He is also known for his founding of the Nair Service Society (NSS).
S1: He became a member of the Indian National Congress in 1946 and took
part in the agitation against Sir C. P. Ramaswamy Iyer’s administration in
Travancore. As the first president of Travancore Devaswom Board he
revitalised many temples which had almost ceased to function.
S2: He fought for social equality, the first phase being the Vaikom Satyagraha,
demanding the public roads near the temple at Vaikom be opened to low caste
Hindus. He took part in the Vaikom(1924) and Guruvayoor(1931) temple-
entry Satyagrahas; the anti-untouchability agitations. He opened his family
temple for everyone, irrespective of caste distinction.
S3: In 1964 he was instrumental in the formation of Kerala Congress, the first
regional party in India.
Refer: facts for Prelims: https://www.insightsonindia.com/2021/01/04/insights-
daily-current-affairs-pib-summary-4-january-2021/

Incorrect
Ans: (d)

Explanation: Mannathu Padmanabhan:

He was an Indian social reformer and freedom fighter from Kerala.

He lived from January 2, 1878 – February 25, 1970.

15/20
 He took part in anti-untouchability agitations and advocated opening temples
for people of all castes.
He also participated in the Vaikom Satyagraha.
He is also known for his founding of the Nair Service Society (NSS).
S1: He became a member of the Indian National Congress in 1946 and took
part in the agitation against Sir C. P. Ramaswamy Iyer’s administration in
Travancore. As the first president of Travancore Devaswom Board he
revitalised many temples which had almost ceased to function.
S2: He fought for social equality, the first phase being the Vaikom Satyagraha,
demanding the public roads near the temple at Vaikom be opened to low caste
Hindus. He took part in the Vaikom(1924) and Guruvayoor(1931) temple-
entry Satyagrahas; the anti-untouchability agitations. He opened his family
temple for everyone, irrespective of caste distinction.
S3: In 1964 he was instrumental in the formation of Kerala Congress, the first
regional party in India.
Refer: facts for Prelims: https://www.insightsonindia.com/2021/01/04/insights-
daily-current-affairs-pib-summary-4-january-2021/

8. Question 8 of 10
8. Question
1 points
WHO’s REPLACE campaign is related to

Correct
Ans: (d)

Explanation:

WHO released REPLACE, a step-by-step guide for the elimination of

industrially-produced trans-fatty acids from the global food supply.
Refer: https://www.insightsonindia.com/2021/01/04/fssai-slashes-limit-for-
transfat-levels-in-foods/

Incorrect
Ans: (d)

Explanation:

WHO released REPLACE, a step-by-step guide for the elimination of

industrially-produced trans-fatty acids from the global food supply.
Refer: https://www.insightsonindia.com/2021/01/04/fssai-slashes-limit-for-
transfat-levels-in-foods/

16/20
9. Question 9 of 10
9. Question
1 points
Consider the following statements regarding International Financial Services
Centres Authority.

1.
1. International Financial Services Centres Authority is a statutory
regulatory body under the Department of Economic Affairs to regulate
all financial services in International Financial Services Centres (IFSCs)
in the country.
2. The authority exercise the powers of RBI in respect of financial services
performed in the international financial services centres in the country.
3. IFSCA has members each nominated from RBI, IRDAI, SEBI and
PFRDA.
Which of the above statements is/are correct?

Correct
Ans: (d)

Explanation: About the International Financial Services Centres Authority:

It is a statutory body established in 2020.

It works under the Department of Economic Affairs, Ministry of
Finance.
Headquartered in Gandhinagar, Gujarat.
The Authority will function as a unified regulator and is empowered to
exercise the powers of RBI, SEBI, IRDAI and PFRDA in respect of financial
services, financial products and financial institutions performed/located in the
international financial services centres in the country.
Besides the Chairman, IFSCA has a member each nominated from
RBI, IRDAI, SEBI and PFRDA. There are also two members from the
Central Government and full-time or part time members in the Authority.
Refer: https://www.insightsonindia.com/2021/01/04/international-organization-
of-securities-commissions-iosco/

Incorrect
Ans: (d)

Explanation: About the International Financial Services Centres Authority:

It is a statutory body established in 2020.

It works under the Department of Economic Affairs, Ministry of
Finance.
Headquartered in Gandhinagar, Gujarat.

17/20
 The Authority will function as a unified regulator and is empowered to
exercise the powers of RBI, SEBI, IRDAI and PFRDA in respect of financial
services, financial products and financial institutions performed/located in the
international financial services centres in the country.
Besides the Chairman, IFSCA has a member each nominated from
RBI, IRDAI, SEBI and PFRDA. There are also two members from the
Central Government and full-time or part time members in the Authority.
Refer: https://www.insightsonindia.com/2021/01/04/international-organization-
of-securities-commissions-iosco/

18/20
10. Question 10 of 10
10. Question
1 points
Consider the following statements regarding Special economic zones (SEZs) in
India.

1.
1. The SEZ Act 2005 envisages key role for the State Governments in
Export Promotion and creation of related infrastructure in SEZs.
2. All laws of India are applicable in SEZs unless specifically exempted as
per the SEZ Act/ Rules.
3. SEZs are exempted from Minimum Alternate tax (MAT).
Which of the above statements is/are correct?

Correct
Ans: (c)

Explanation:

A special economic zone (SEZ) is an area in which the business and trade laws
are different from the rest of the country. SEZs are located within a country’s
national borders, and their aims include increased trade balance, employment,
increased investment, job creation and effective administration.
The main objectives of the SEZ Scheme is generation of additional economic
activity, promotion of exports of goods and services, promotion of investment
from domestic and foreign sources, creation of employment opportunities
along with the development of infrastructure facilities. All laws of India are
applicable in SEZs unless specifically exempted as per the SEZ Act/
Rules.Sales in the Domestic Tariff Area from the SEZ units are treated as if
the goods are being imported and are subject to payment of applicable
customs duties.
SEZs were introduced to India in 2000, following the already successful SEZ
model used in China. Prior to their introduction, India relied on export
processing zones (EPZs) which failed to make an impact on foreign investors.
By 2005, all EPZs had been converted to SEZs.
The SEZ Act 2005 envisages key role for the State Governments in Export
Promotion and creation of related infrastructure.
S3: Exemption from Minimum Alternate tax (MAT) was withdrawn
w.e.f. 1.4.2012.
Govt plans to remove minimum alternate tax on SEZs, boost
exports: https://www.business-standard.com/article/economy-
policy/govt-plans-to-remove-minimum-alternate-tax-on-sezs-boost-
exports-119102501495_1.html
Refer: https://www.insightsonindia.com/2021/01/04/international-organization-
of-securities-commissions-iosco/

Incorrect

19/20
Ans: (c)

Explanation:

A special economic zone (SEZ) is an area in which the business and trade laws
are different from the rest of the country. SEZs are located within a country’s
national borders, and their aims include increased trade balance, employment,
increased investment, job creation and effective administration.
The main objectives of the SEZ Scheme is generation of additional economic
activity, promotion of exports of goods and services, promotion of investment
from domestic and foreign sources, creation of employment opportunities
along with the development of infrastructure facilities. All laws of India are
applicable in SEZs unless specifically exempted as per the SEZ Act/
Rules.Sales in the Domestic Tariff Area from the SEZ units are treated as if
the goods are being imported and are subject to payment of applicable
customs duties.
SEZs were introduced to India in 2000, following the already successful SEZ
model used in China. Prior to their introduction, India relied on export
processing zones (EPZs) which failed to make an impact on foreign investors.
By 2005, all EPZs had been converted to SEZs.
The SEZ Act 2005 envisages key role for the State Governments in Export
Promotion and creation of related infrastructure.
S3: Exemption from Minimum Alternate tax (MAT) was withdrawn
w.e.f. 1.4.2012.
Govt plans to remove minimum alternate tax on SEZs, boost
exports: https://www.business-standard.com/article/economy-
policy/govt-plans-to-remove-minimum-alternate-tax-on-sezs-boost-
exports-119102501495_1.html
Refer: https://www.insightsonindia.com/2021/01/04/international-organization-
of-securities-commissions-iosco/

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