Development Of Special Economic Zones In India Impact And Implications

Papers presented at a national seminar on Development of special economic zones in India.

This book systematically evaluates the trajectories of Special Economic Zones (SEZs) policymaking in India and its performance. The findings of the study are the result of detailed fieldwork conducted by the author in India and China at different points in time. Exploring China's SEZs policy and performance, the book discusses whether Indian policymakers were aware of the nuances of China's SEZs policy and the various facets of performance before replicating it for India. Performance analyses of Indian SEZs are carried out using both a conventional set of performance indicators and new frameworks, such as the zone trade performance index, the resource cost framework and efficiency analysis. Offering a balanced view to rate the performance of Indian SEZs, the significance of this study lies in its quest to provide an holistic appraisal of the various unexplored issues in the literature pertaining to SEZs in India.

This book provides a comprehensive review of the evolution and performance of SEZs from a historical and comparative perspective by tracing the experiences of SEZs in 23 developing countries, including Korea, Taiwan, and China. Using a framework that integrates the basic tenets of the industrial cluster approach with existing theories, it proposes a set of evaluation criteria for SEZs. Analysing quantitative data provided by the Ministry of Commerce and qualitative evidence based on field surveys conducted during 2004–9, the book assesses the economic contribution in the pre- and post-SEZ Act periods in India. Exploring the impact of SEZs on employment, trade, foreign exchange earnings, government revenue, and technology transfers, it also examines evidence of social effects vis-à-vis land acquisition, human development, regional inequities, and environmental protection. Discussing the impact of internal dynamics and external forces on future prospects of SEZs, it offers constructive suggestions to make policy investor-friendly and successful.

This book examines India’s ten years of experience developing Special Economic Zones (SEZs) and the performance of SEZs in the context of India’s growing international engagement, its endeavours to attract domestic and foreign investment in manufacturing and services and its aim to increase and diversify exports of goods and services. SEZs are industrial enclaves/clusters within a country that receive certain incentives and business facilitation benefits that are not generally available to the rest of the country. To facilitate private and foreign investment in SEZs, India introduced the SEZ policy in 2000, which was followed by the SEZ Act in 2005. After ten years under the Act, India now has one of the largest number of approved SEZs in the world and its SEZ policy remains heatedly debated, with a number of studies arguing both for and against it. Given this background, the book also identifies the challenges faced by SEZs in India and offers policy recommendations on how to make the SEZs an engine for India’s economic growth and development that can more effectively link the country’s manufacturing and services sectors to global value chains.

For countries as diverse as China and Mauritius, Special Economic Zones (SEZs) have been a powerful tool to attract foreign investment, promote export-oriented growth, and generate employment; for many others, the results have been less than encouraging. While the benefits and limitations of zones will no doubt continue to be debated, what is clear is that policymakers are increasingly attracted to them as an instrument of trade, investment, industrial, and spatial policy. Since the mid 1980s, the number of newly-established zones has grown rapidly in almost all regions, with dramatic growth in developing countries. In parallel with this growth and in the evolving context of global trade and investment, zones are also undergoing significant change in both their form and function, with traditional export processing zones (EPZs) increasingly giving way to larger and more flexible SEZ models. This new context will bring significant opportunities for developing countries to take advantage of SEZs, but will also raise new challenges to their successful design and implementation. This volume aims to contribute to a better understanding of the role and practice of SEZs in developing countries, in order to better equip policymakers in making effective decisions in planning and implementing SEZ programs. It covers some of the emerging issues and challenges in SEZs – including upgrading, regional integration, WTO compliance, innovation, the environment, and gender issues – with practical case examples from SEZ programs in developing countries.

Papers presented at a national seminar on Development of special economic zones in India.

This study examines the contribution of Gujarat Special Economic Zones (SEZs) in socioeconomic development.

Special Economic Zones Are Specially Delineated Duty-Free Enclaves Deemed To Be Foreign Territories For The Purposes Of Trade Operations, Duties And Tariffs. Sezs Include Development Of Roads, Airports, Ports, Telecom, Generation And Distribution Of Power, Construction Of Industrial/Commercial/Residential Complexes, Etc.Encouraged By The Phenomenal Success Of Sezs Of People S Republic Of China Which First Used This Model As A Measure To Attract Foreign Capital, Technology And Managerial Expertise The Indian Government Announced In The Exim Policy Of March 2000, A Scheme For Setting Up Sezs In The Country. The Special Economic Zones Act, Which Was Enacted Subsequently In The Year 2005, Has Been Subject To Much Debate And Discussion. From Politicians To Businessmen, From Journalists To Social Activists All Have Expressed Different Views Thereon. While Some Have Hailed It As A New Mantra For Export-Oriented Economic Activity, Others Have Criticized It For Giving Excessive Tax And Tariff Concessions To Sez Developers. The Government Is Keen To Promote The Establishment Of These Large, Self-Contained Areas, Supported By World-Class Infrastructure, Oriented Towards Export Promotion.The Present Book Special Economic Zones: Issues, Laws And Procedures, In Two Volumes, Studies In Detail The Various Aspects Of Policy Relating To Sezs. Different Problems Relating To People S Apprehensions About These Models Of Growth Displacement Of A Large Number Of Landowners, Environmental Pollution Likely To Be Caused By Huge Industrial Units Being Set Up In The Sezs, The Inter-Ministerial Differences Over The Issue Of Unprecedented Concessions, Incentives And Sops Being Given To The Developers, Etc. Have Been Discussed In The Four Analytical Articles Written By Economic Experts, Making Valuable Suggestions. Besides Articles By Erudite Experts, The Book Contains Documents Relating To Sezs In Matters Like Foreign Trade Policy; Income Tax, Central Sales Tax, Customs Duty; Circulars And Orders Of Related Ministries, Government Departments And Reserve Bank Of India; And Laws And Subsequent Amendments Concerning Sez Policy Of The Government. The Book Includes The Land Acquisition Act, 1894; National Policy For Resettlement And Rehabilitation Of Project Affected Families, 2003; National Rehabilitation Policy, 2006 And Resettlement & Rehabilitation Policy (Nhpc), 2007. Also Given In This Book Are Documents Containing The Policy Framework Of States.Such Wide Coverage Makes This Book A Unique Treatise On Special Economic Zones. It Will Prove Highly Useful For Mncs, Sez Developers, Policymakers, Lawyers, Businessmen And Students. The General Readers Will Also Find It Interesting And Informative.