Previous Year Question

Kandla is located in the Kutch district of Gujarat. The Kandla Export Processing Zone (KEPZ) was established there in 1965. It was the first Export Processing Zone in India as well as in Asia.

The purpose of an Export Processing Zone was to create a special industrial area where export-oriented units could receive customs and procedural facilities in order to promote exports, attract foreign investment and encourage employment and industrial activity.

Therefore, Kandla is not principally identified with the ship-breaking industry; India's major ship-breaking cluster is associated with Alang in Gujarat. Similarly, the major centre of diamond cutting and polishing is associated with Surat.

Current Status (2026): The Kandla Export Processing Zone was upgraded to a Special Economic Zone in November 2000 and is now known as the Kandla Special Economic Zone (KASEZ). According to the official KASEZ website, it is a multi-product SEZ spread over about 1,000 acres. The former Kandla Port is now known as Deendayal Port.