SEZ

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Presentation : 

Presentation SEZ In India & China Presented By : Sandeep Roll no : 04 Class : MBA - Hons. (P)

What is SEZ ??? : 

What is SEZ ??? SEZ can be defined as an industrial zone with special incentives , Set up to attract foreign investors .

History : 

History Barcelona Zone Shannon Zone (Ireland) Chinese Concept

Imagine Chindia 2020 : 

Imagine Chindia 2020 40% of China and 50% of India are below age 25 37% of world population Increasing urbanisation 256mn. to be added in 15-64 age bracket

SEZ in India : 

SEZ in India Export processing zones Initiative from commerce ministry 2005 SEZ act.

Why SEZ in India ??? : 

Why SEZ in India ??? Experience with EPZ For exclusive growth To increase share in world trade WTO regime For employment

Objectives : 

Objectives Foreign exchange To create infrastructure To increase export To create job opportunities Infusion of modern technologies

Why SEZ are special ??? : 

Why SEZ are special ??? 100 % income tax exemption External commercial borrowings Benefits to local supplier Exemption from Central Excise Duty on capital goods 100% FDI investment ‘single-window’ clearance

Activities in SEZ : 

Activities in SEZ Processing area Non-processing area

Life cycle of SEZ : 

Life cycle of SEZ Development phase Ram up Pay back phase Annuity phase

Burning issues of SEZ : 

Burning issues of SEZ Inadequate infrastructure Restrictive policies Lengthy procedures – No Single Window Locational disadvantages Labour exploitation Finance ministry Political interference Land acquisitions Unethical practices

SEZ in China … : 

SEZ in China … Started soon after beginning of reforms in 1978 Four SEZs started in 1979 – three in Guangdong adjacent to Hong Kong and one at Xiamen in Fujian Hainan Island was declared as fifth SEZ in 1988

Why Chinese SEZ are successful : 

Why Chinese SEZ are successful Unique locations Large size Investment-friendly attitude Flexible Labour Laws Powers to Provinces and local authorities Heavy government investment in infrastructure

Comparison between Indian and Chinese SEZ : 

Comparison between Indian and Chinese SEZ Numbers When started Decision making Land legislation Size Ownership Kind of land Exports Overall economic sucess

Conclusion : 

Conclusion SEZ can play a great role to increase India’s export but interest of others must be considered. Trade leads to peace as well as economic growth

Queries ??? : 

Queries ???

THANK YOU : 

THANK YOU SPECIAL THANKS TO Mrs . Saloni P Diwaan Mr. Ashish Saini FOR THEIR KIND SUPPORT AND ASSISTANCE