can sez's will improve the enonomy of india? will it work for India like developing countries?

Answer 1

Special Export Processing zones are created to bifurcate the higher tariff rates of imports to one country and to make the exports more competitive with other countries. SEZ's can import tariff free materials, process them and export at lower costs than normal import and processing. This helps low trading countries since it gives employment and improves the reserve position in foreign exchange to the country who adorns this route. This inturn can reduce unemployment and better GDP in the long run. For low tariff countries it may not be needed in the first place. But there are very few low tariff countries at present.

Answer 2

SEZ in itself is a very good idea for a country like India, but only problem is that our developers are like leachers, needing 10,000 or so acres for one SEZ unit? Why and what for?

Presently there is a rush from large corporate house to build SEZ Units, how many does India need, who will pay all the local taxes, where will all this land come from.

SEZ also brings in the worst dragon in, the corrupt people, officials as well as operators in these units.