Special Economic Zone (SEZ) is a specifically delineated duty-free enclave and shall be deemed to be foreign territory for the purposes of trade operations, duties and tariffs.
Domestic Tariff Area means the whole of India (including the territorial waters and continental shelf) but does not include the areas of the Special Economic Zones.
EOU or export-oriented units are business units established under special schemes to export entire production of goods and services (some sales are permissible under ‘Domestic Tariff Area’).