New Delhi: Delhi Lieutenant Governor VK Saxena, on Friday, approved the plan to set up a Special Economic Zone and Free Trade Zone at the Indira Gandhi International Airport. This new area, set to be spread over five acres, will “create economic activities through exports, warehousing, trading and provisions for related services at the airport complex,” a statement from the LG's office said. The move will reduce procedural complexities in terms of applications, licensing, clearances and other regulations, as well as provide tax benefits to entrepreneurs, the statement said. 

Furthermore, the notification said that this move would boost the logistics sector and catalyse economic growth apart from generating employment.

"The Ministry of Civil Aviation, GoI has identified Delhi as a Pilot Air Cargo Hub which requires Tier 1, 2 and 3 level infrastructure while DIAL already has developed Tier 1 and 2 infrastructure by way of developing two cargo terminals and logistics centres at the Airport, it will achieve Tier 3 once an SEZ / FTZ comes up at the Airport complex," the statement from LG office read. 

With inputs from PTI.