Overview of special economic zones special economic zones sezs are generally defined as geographically delimited areas administered by a single body, offering certain incentives dutyfree importing and streamlined customs procedures, for instance to businesses that physically locate within the zone. Processing zones epzs, are geographic areas within a country where specific economic. The aim of these special economic zones is to promote. A special economic zone or sez is a geographically limited area located in a place with logistic and natural advantages to be transformed into a highly productive zone. The basic concept of a special economic zone includes several specific characteristics. Zone reliance jamnagar developers name infrastructure ltd. The political economy of special economic zones journal. Others include freetrade areas, industry parks, technical innovation parks and bonded zones that facilitate experimentation and innovation over a wide range of industries. Edited by thomas farole gokhan akinci international trade department investment climate department. There proceedings of the international multiconference of engineers and computer scientists 2014 vol ii, imecs 2014, march 12 14, 2014, hong kong isbn. From free zones to special economic zones the uae case study presented by.
The special economic zones regime part i tax concessions the special economic zones sez act, 2016 came into effect on august 1, 2016 developers and occupants of sez to pay income tax at 12. Pdf a study on special economic zones sez in tamilnadu. The category sez covers a broad range of more specific zone types, including freetrade zones ftz, export processing zones epz, free zones fz, industrial. In some countries, such a region is even treated as a deemed foreign. Parameters reliance sez mundra port sez essar hazira.
Some are designated geographical spaces where special policies and measures support specific economic functions. Part ii zimbabwe special economic zol special economic zones authority there is hereby established a body, to be known as the zimbabwe special. Usually the goal is to increase foreign investments. This is a very important topic that features in the indian economy section of the upsc syllabus. Chinas economic growth is inextricably linked to the use of special economic zones sezs. Upsc questions related to special economic zones sezs what is special economic zone in india. Special economic zones open knowledge repository world. An act to provide for the establishment of the zimbabwe special economic zone.
View special economic zones research papers on academia. Special economic zone welcome to the jamaica special. Special economic zones international growth centre. The special economic zones act, 2005 ministry of commerce. Governance and management of special economic zone 26. Welcome to special economic zone sez india was one of the first in asia to recognize the effectiveness of the export processing zone epz model in promoting exports, with asias first epz set up in kandla in 1965. Methods of study in terms of objective is practical and in terms of data collection is descriptive and the type. Special economic zones sezs geographically delimited areas within which governments facilitate industrial activity through fiscal and regulatory incentives. The political economy of special economic zones journal of. The current paper explores the role of fdi in special economic zone, with reference to madras export.
In order words, sez is a geographical region that has economic laws different from a countrys typical economic laws. Progress, emerging challenges, and future directions. One example of this is the growth of regional trade agreements and of regional integration more broadly. The political economy of special economic zones volume 11 issue 1 lotta moberg. The jamaica special economic zones authority jseza is the agency of the government of jamaica responsible for facilitating the development of and promotion investments in special economic zones sezs in jamaica. Historical development of free zones in honduras 48 performance 49 key success factors 54 challenges for the future 61 conclusion 65 notes 67 references 68. Given longer term funding constraints, the sez act and the sez draft strategy encourages the private sector to play an active role in the south african special economic zones programme. Welcome to the jamaica special economic zone authority. Chinas special economic zones and industrial clusters. The jseza was established in 2016 under the special economic zones act. If a zonebased firm is prohibited from selling to the domestic market, but suddenly the regional trade agreement makes its neighboring countries domestic from a customs perspec. The liberian social enterprise special economic zone sesez is a publicprivate endeavor to jumpstart economic recovery in the wake the devastating ebola epidemic. Know more about sezs in india through this article. The president assented to the special economic zone act, 2015.
The lineage of the country runs back to protosezs, created when old world governments sold entrepreneurs charters to build forprofit colonies in the new world, such as jamestown and new amsterdam. This chapter argues that this is largely due to flaws in the political economy of sez schemes, which prevent replication of. The role of special economic zones in improving effectiveness of greater mekong subregion economic corridors although this risks identifying each special zone as different and obscuring the common features of successful sezsabonyi et al. The impacts of special economic zones evans school of. With a view to overcome the shortcomings experienced on account of the multiplicity of controls and clearances. Chapter5 special economic zones sezs and export oriented. Despite decades of international experience, there is still no blueprint for successful sez policies, and the majority of sezs fall well below expectations. Special economic zone sez, any of several localities in which foreign and domestic trade and investment are conducted without the authorization of the chinese central government in beijing. A special economic zone sez is an area in which the business and trade laws are different from the rest of the country. A study on special economic zones sez in tamilnadu state. The special economic zones vi1 legal frame for the special economic zone sez scheme the examination of introducing the concept of economically promoted zonearea into cambodia was originally started back in 1960s, and the sez scheme has been nally introduced to cambodia for the rst time in december 2005. Special economic zone sez is a specifically delineated duty free enclave, which shall be deemed to be a foreign territory for the purposes of trade operations. Zone means the date on which the special economic zone is notified by the central government under subsection 1 of section 4 b approval committee.
From free zones to special economic zones the uae case study. Sezs are spreading rapidly around the world special economic zones sezs are widely used in most developing and many developed economies. A special economic zone sez is a specified, delineated and dutyfree geographical region that has different economic laws from those of the country in which it is situated. Finally, the results of fuzzy vikor analysis considering environmental sustainability reveals that faisalabad. There are some 5,400 zones across 147 economies today, up from about 4,000 five years ago, and. Chapter 4 chinas investment in special economic zones in africa 69. African countries have sought to replicate the success of east asia by implementing special economic zones sezs. Although the performance of many zones remains below expectations, failing either to. Economic zones also face changing regulatory environments. Special economic zone, industrial park, industrial development, industrialization. Special economic zones sezs have a long and complicated relationship with the united states. Special economic zones world bank documents world bank group. Sezs are located within a countrys national borders, and their aims include increased trade balance, employment, increased investment, job creation and effective administration.
An act to provide for the establishment of the zimbabwe special economic zones authority and to provide for the functions thereof. Special economic zones in africa comparing performance and learning from global experience. Special economic zone chinese economics britannica. The economic impact is as much a tragedy and disaster as the disease, president ellen johnson sirleaf. Special economic zones sezs and export oriented units eous special economic zones sezs the special economic zones policy was announced in april 2000 with the objective of making the special economic zones an engine for economic growth, supported by quality infrastructure and an attractive fiscal package both at the central. Withdrawal of designation 4 5 10 15 20 25 30 35 40.
One of the key initiatives is the promotion of special economic zones, a recognition that export processing zones have not had the expected impact on the economy. Over the decades, the universe of special economic zones sezs has become. Pdf the aim of the project is to assess the impact of the sezs on development and competitiveness, and to identify their tax attractiveness. The transformation of shenzhen, a small fishing vil. World investment report chapter 4 special economic zones. Trends in zone development while special economic zones are often treated as an innovative topic in development economics, citywide free zones with goals and methods not too different from those employed in modern zones were in place in gibraltar and singapore as early as 1704 and 1819, respectively. A robust political economy is one that channels the actions of selfinterested individuals with limited information to promote economic progress. A special economic zone sez is a specifically defined area, which has special economic laws targeted towards promotion of economic activity, within the given geographical region. Invest in zimbabwe through our special economic zones that are overseen by zimbabwe special economic zones authority zimseza. Leigh anderson prepared for the agricultural policy and statistics division of the bill and melinda gates foundation evans school policy analysis and research epar professor leigh anderson, pi and lead faculty. Comparing performance and learning from global experiences. A special economic zone or sez is a specially marked territory or enclave within the national borders of a country that has more liberal economic laws than the rest of the country. Special economic zones sezs, previously also known as export. Sustainable and special economic zone selection under fuzzy.
This paper is a first attempt to apply a robust political economy framework to explain when special economic zones sezs can contribute to economic development. A sez works by granting different types of incentives to investors such as. Pdf a study on special economic zones sez in tamilnadu state. In these geographically delimited areas, governments facilitate industrial activity through fiscal and regulatory incentives and infrastructure support. Special economic zones sezs or industrial parks can be an effective instrument to promote industrialization if implemented properly in the right context, as shown in some of the emerging countries, particularly those in east asia. This study aimed to investigate the influences of the formation of pars special economic energy zone on kangan city development process.
Special economic zones sezs or industrial parks can be an effective. Amending annexureii of special economic zone rules, 2006 to substitute the term apparel mentioned is column 3 against. Taking over administration of special economic zones 30. A special economic zone sez is a geographical region that has economic laws that are more liberal than a countrys domestic economic laws.
Special economic zones are intended to function as zones of rapid economic growth by using tax and business. Special economic zone sez is a specifically delineated dutyfree enclave and shall be deemed to be foreign territory for the purposes of trade operations and duties and tariffs. Special economic zones sezs geographically delimited areas within which governments facilitate industrial activity through fiscal and regulatory incentives and infrastructure support are widely used across most developing and many developed economies. Special economic zones sezs have become an increasingly popular instrument to. Pdf study on special economic zones sezs in the western. Experience gained in the development of chinas special economic zones, china development bank continued from page 1 existing sezs in china in 2014, there were 6 sezs, 14 open coastal cities, 4 pilot free trade areas and five financial reform pilot areas. The sez act envisages public private partnerships in the development and operation of special economic zones.
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