India plans to set up “Reverse Special Economic Zone” in Mozambique

17 June 2016

The Indian government plans to create a “Reverse Special Economic Zone” in Mozambique to install fertiliser and petrochemical companies, the Chemical Products and Fertiliser Minister said in Mumbai.

Ananth Kumar told the Press Trust of India that the government planned to set up “Reverse Special Economic Zones” in countries with large oil and gas resources to produce goods exclusively for India.

“After Iran, with which we are already in talks, we plan to set up a similar structure in Mozambique,” said Kumar at the session to launch the 2016 Chemical and Petrochemical Conference, known as India Chem.

India Chem 2016 runs from 1 to 3 September in the Mumbai Exhibition Centre.

A “Reverse Special Economic Zone” is, from India’s point of view, an area organised in another country to supply Indian commodity industries at a low cost and exempt from import taxes. The process establishes a “piece of India” in a country where there is easy access to raw materials.

The Chemical Products and Fertilser Minister also said that negotiations with Mozambique are in the early stages, and said additional details would come at a later date. (macauhub/MZ)