< A SpeciaI Economic Zone (SEZ) is a geographical
region that has economic laws that are more liberal
than a country's typical economic laws.
< %he category 'SEZ' covers a broad range of more
specific zone types, including Free %rade Zones
(F%Z), Export Processing Zones (EPZ), Free Zones
(FZ), Ìndustrial Estates (ÌE), Free Ports, Urban
Enterprise Zones and others.
< %he objectives of setting SEZs are aimed at boosting
exports and attracting investments in various export-
oriented manufacturing and service sectors.
< Several fiscal incentives are offered to units setting up
operations in SEZs which coupled with a business
friendly operating environment, would result in
increasing levels of productivity, with a resultant
growth in investments & exports.
< %he zones offer numerous benefits such as:
1. %ax incentives.
2. Ìnfrastructure and Utilities.
3. Simplified procedures.
4. Provisions better suited for foreign investors than
domestic economy.
< !SITIVE IM!T SEZs
1. Setting up SEZs in such areas can have many
positive effects on these situations as listed below:
2. Changing the current occupation pattern
3. New employment opportunities (local recruitment)
4. Self-employment with the compensation money
5. Better infrastructure and living conditions
6. Contract opportunities for local population
7. Further self employment opportunities through
training
8. Bringing the rural society in the mainstream
< EGTIVE IM!T SEZs
Ìmplementation of such a large scale venture will
most definitely have negative effects as well.
%hese negative impacts are of economic as well
as social nature. We now list the possible negative
effects that they can have:
1. Financial losses to government
2. Land grabbing
3. Environmental impact
4. Clusters of development
5. Employee working conditions
< -ective of the study:
%o study the impact of SEZ on various socio-
economic dimensions of globalization in Ìndia.
< #esearch method:
We have used descriptive research method for our
study.
< SampIe size:
We have taken the data of only operational SEZ of
Ìndia and have not included the expected data of
the upcoming SEZ.
< ata coIIection:
We have used the secondary data available on
the site of "Ministry of Commerce & Ìndustry¨.
< imitations of the study:
1. As it is based on secondary data, so the result
may not be completely true.
2. %here are also various other factor affecting the
socio-economic dimensions of globalization.
3. We have considered only the impact of SEZ on
socio-economic dimension.
?ear lnvesLmenL(C8C8LS) C8CW1P 8A1L
2003?2004 30076 ??????????
2004?2003 33629 18?46
2003?2006 40337 13?27
2006?2007 38637 43?33
2007?2008 67347 14?82
2008?2009 98498 31?63
2009?2010 124000 23?9
WFrom the above data we
can see that prior to SEZ
act of 2005 the
investment was very less
before 2005 &
immediately the next
year the investment
increase by 45%.
WBecause of the
recessionary effect the
FDÌ Ìnflows was less
which lead to the decline
in the investment in the
SEZ.
IVESTMET I SEZ
ear emplomenL growLh raLe
2003?2004 93407
2004?2003 1?00?630 3?3
2003?2006 1?780?00 76?9
2006?2007 200439 12?6
2007?2008 2?80?832 40?1
2008?2009 3?87?439 38
2009?2010 490000 26?3
0
100000
200000
300000
400000
300000
600000
emploemenL
2003
2004
2003
2006
2007
2008
2009
WSEZ has generated
lot of employment
opportunities. %he
figures given above
include only direct
employment.
W%he data shows that
employment
generation growth
rate was much
higher in the year
2005-06.
EM!EMET I
SEZ
ear women emplomenL growLh raLe
2003?2004 28672 18?47
2004?2003 33230 22?9
2003?2006 36960 61?7
2006?2007 70161 23?2
2007?2008 98290 40?1
2008?2009 134973 37?67
2009?2010 186200 20?13
WFrom the figure we
can say that because
of the SEZ women
employment got
drastic increase.
WÌn the year 2005-
2006 there was major
increase in women
employment
Wigh pay-scale, easy
transportation facility
are major factors for
that.
ME EM!MET I
SEZ
#egression Statistics
Multiple # 0.90336691
# Square 0.816071773
Adjusted #
Square 0.540179433
Standard Error 11.68792632
Observations 6
coefflcleots
lnLercepL 34?61660642
lnvesLmenL ?0?270113437
lnflaLlon ?14?6393317
LxporL of SLZ 31?37393177
Were, we have seen the impact
of economic factors of SEZ on
the GDP of Ìndia.
WFrom, the regression analysis
the impact on GDP is given by
the following regression
equation
G! = 54.62 - 0.27*
Investment - 14.66* InfIation
+ 51.37 * Export
eqtessloo 5totlstlcs
,lLlple 8 0?722949427
8 Sqare 0?322633873
Ad[sLed 8
Sqare ?0?193360314
SLandard Lrror 18?82907843
CbservaLlons 6
coefflcleots
lnLercepL 119?6686803
Women
emplomenL ?0?930309373
ulrecL
emplomenL ?66?68293311
ÞoplaLlon 0?482121712
Were, we have calculated the socio
impact of SEZ on Ìndian GDP.
WFrom, the regression analysis the impact
on GDP is given by the following
regression equation
G! = 119.67 - 0.93* omen
empIoyment - 66.68* irect
empIoyment + 0.48 * popuIation
< The regression equations say that Ior every 1° increase or decrease oI the
independent variable shows the increase or decrease oI dependent variable.
For e.g.
GDP ÷ 54.62 - 0.27` Investment - 14.66` Inflation + 51.37 ` Export
This equation shows that even though the Investment and InIlation are
showing negative eIIect on the GDP growth but it is over-powered with the
positive eIIect oI the export volume growth. This shows that the export
Irom SEZ has great impact on the economy oI the country.
< Similarly, another regression analysis to study the impact oI social Iactors
on an economy was carried
GDP ÷ 119.67 - 0.93` Women employment - 66.68` Direct
employment + 0.48 ` population.
This equation shows that no doubt the employment generated by this SEZ
has a great impact on the welIare oI the society and the growth oI the
economy, but as compared to the increase in the population oI the country
the eIIect is not Ielt overall. So necessary steps must be taken to increase
the SEZ zones to create more employment opportunities.
doc_656357292.pptx
region that has economic laws that are more liberal
than a country's typical economic laws.
< %he category 'SEZ' covers a broad range of more
specific zone types, including Free %rade Zones
(F%Z), Export Processing Zones (EPZ), Free Zones
(FZ), Ìndustrial Estates (ÌE), Free Ports, Urban
Enterprise Zones and others.
< %he objectives of setting SEZs are aimed at boosting
exports and attracting investments in various export-
oriented manufacturing and service sectors.
< Several fiscal incentives are offered to units setting up
operations in SEZs which coupled with a business
friendly operating environment, would result in
increasing levels of productivity, with a resultant
growth in investments & exports.
< %he zones offer numerous benefits such as:
1. %ax incentives.
2. Ìnfrastructure and Utilities.
3. Simplified procedures.
4. Provisions better suited for foreign investors than
domestic economy.
< !SITIVE IM!T SEZs
1. Setting up SEZs in such areas can have many
positive effects on these situations as listed below:
2. Changing the current occupation pattern
3. New employment opportunities (local recruitment)
4. Self-employment with the compensation money
5. Better infrastructure and living conditions
6. Contract opportunities for local population
7. Further self employment opportunities through
training
8. Bringing the rural society in the mainstream
< EGTIVE IM!T SEZs
Ìmplementation of such a large scale venture will
most definitely have negative effects as well.
%hese negative impacts are of economic as well
as social nature. We now list the possible negative
effects that they can have:
1. Financial losses to government
2. Land grabbing
3. Environmental impact
4. Clusters of development
5. Employee working conditions
< -ective of the study:
%o study the impact of SEZ on various socio-
economic dimensions of globalization in Ìndia.
< #esearch method:
We have used descriptive research method for our
study.
< SampIe size:
We have taken the data of only operational SEZ of
Ìndia and have not included the expected data of
the upcoming SEZ.
< ata coIIection:
We have used the secondary data available on
the site of "Ministry of Commerce & Ìndustry¨.
< imitations of the study:
1. As it is based on secondary data, so the result
may not be completely true.
2. %here are also various other factor affecting the
socio-economic dimensions of globalization.
3. We have considered only the impact of SEZ on
socio-economic dimension.
?ear lnvesLmenL(C8C8LS) C8CW1P 8A1L
2003?2004 30076 ??????????
2004?2003 33629 18?46
2003?2006 40337 13?27
2006?2007 38637 43?33
2007?2008 67347 14?82
2008?2009 98498 31?63
2009?2010 124000 23?9
WFrom the above data we
can see that prior to SEZ
act of 2005 the
investment was very less
before 2005 &
immediately the next
year the investment
increase by 45%.
WBecause of the
recessionary effect the
FDÌ Ìnflows was less
which lead to the decline
in the investment in the
SEZ.
IVESTMET I SEZ
ear emplomenL growLh raLe
2003?2004 93407
2004?2003 1?00?630 3?3
2003?2006 1?780?00 76?9
2006?2007 200439 12?6
2007?2008 2?80?832 40?1
2008?2009 3?87?439 38
2009?2010 490000 26?3
0
100000
200000
300000
400000
300000
600000
emploemenL
2003
2004
2003
2006
2007
2008
2009
WSEZ has generated
lot of employment
opportunities. %he
figures given above
include only direct
employment.
W%he data shows that
employment
generation growth
rate was much
higher in the year
2005-06.
EM!EMET I
SEZ
ear women emplomenL growLh raLe
2003?2004 28672 18?47
2004?2003 33230 22?9
2003?2006 36960 61?7
2006?2007 70161 23?2
2007?2008 98290 40?1
2008?2009 134973 37?67
2009?2010 186200 20?13
WFrom the figure we
can say that because
of the SEZ women
employment got
drastic increase.
WÌn the year 2005-
2006 there was major
increase in women
employment
Wigh pay-scale, easy
transportation facility
are major factors for
that.
ME EM!MET I
SEZ
#egression Statistics
Multiple # 0.90336691
# Square 0.816071773
Adjusted #
Square 0.540179433
Standard Error 11.68792632
Observations 6
coefflcleots
lnLercepL 34?61660642
lnvesLmenL ?0?270113437
lnflaLlon ?14?6393317
LxporL of SLZ 31?37393177
Were, we have seen the impact
of economic factors of SEZ on
the GDP of Ìndia.
WFrom, the regression analysis
the impact on GDP is given by
the following regression
equation
G! = 54.62 - 0.27*
Investment - 14.66* InfIation
+ 51.37 * Export
eqtessloo 5totlstlcs
,lLlple 8 0?722949427
8 Sqare 0?322633873
Ad[sLed 8
Sqare ?0?193360314
SLandard Lrror 18?82907843
CbservaLlons 6
coefflcleots
lnLercepL 119?6686803
Women
emplomenL ?0?930309373
ulrecL
emplomenL ?66?68293311
ÞoplaLlon 0?482121712
Were, we have calculated the socio
impact of SEZ on Ìndian GDP.
WFrom, the regression analysis the impact
on GDP is given by the following
regression equation
G! = 119.67 - 0.93* omen
empIoyment - 66.68* irect
empIoyment + 0.48 * popuIation
< The regression equations say that Ior every 1° increase or decrease oI the
independent variable shows the increase or decrease oI dependent variable.
For e.g.
GDP ÷ 54.62 - 0.27` Investment - 14.66` Inflation + 51.37 ` Export
This equation shows that even though the Investment and InIlation are
showing negative eIIect on the GDP growth but it is over-powered with the
positive eIIect oI the export volume growth. This shows that the export
Irom SEZ has great impact on the economy oI the country.
< Similarly, another regression analysis to study the impact oI social Iactors
on an economy was carried
GDP ÷ 119.67 - 0.93` Women employment - 66.68` Direct
employment + 0.48 ` population.
This equation shows that no doubt the employment generated by this SEZ
has a great impact on the welIare oI the society and the growth oI the
economy, but as compared to the increase in the population oI the country
the eIIect is not Ielt overall. So necessary steps must be taken to increase
the SEZ zones to create more employment opportunities.
doc_656357292.pptx