Impact and Evaluation of Special Economic Zones : A Study

One of the burning issues that have broken into the headlines during the past one decade is the explosively controversial matter of Special Economic Zones (SEZs). With Government of India approving good numbers of SEZ protects many questions are being raised regarding the relevance of these zones in the long- term economic policy of India It is often argued that SEZs are located in India on agricultural lands which results into destitution of farmers usurping of arable land, which is short in supply in a populated country like India. Further, SEZs lead to concentration of industries rather than disbursal of industrialization. Further it is marked by invnense regional inequality and concentration further aggravates regional inequakty. SEZs are also blamed for eroding governments revenue as they Provide beg tax incentives to industries located there. A lot of dust has been raked up throughout the country on the issue of SEZs on account of unethical trade practices of real estate developers. At the heart of the problem is the fact that the establishment of an SEZ general,/ requires the forced acquisition of land and the eviction of its previous users. This is possible for Indian states under the Land Acquisition Act of 1894 for 'public purposes'. The invocation of 'public purpose' for what are essentrally private commercial ventures has been repeatedly questioned. In particular, the Comptroller and Auditor General (CAG) of India has investigated SEZs and suggested that far from being in the public interest. the net effect is a strong loss of revenue to the state because of foregone tax revenue Resistance to SEZs however has been most strong from the communities that are directly affected and from popular organizations. In state after state, plans for forcible land acquisition have met with concerted opposition from 'below', and in certain cases have been abandoned as a result. /dins level, the controversy centers on the grave inadequacy of packages of compensation, resettlement and rehabilitation. While state authonties are required to compensate previous owners for the value of land and dwellings. such compensation, even if paid in full, is woefully inadequate to the loss of land and non land assets, the loss of livelihood opportunities and the disruption to traditional rural live. Popular resistance to SEZs also contests the whole development model that replaces farming on fertile agncultural land with autonomous. private industrial enclaves that mostly just provide jobs for urban skilled and semi-skied workers. SEZs are charged with being a sop to corporate. rather than popular interests. In fact, the present my Research has been taken up to focus on Impact of SEZs issues and concern problems and policies. Moreover, recently the states also experienced problem on SEZs and A.P. has no exception. The study is extended to look the problem in a comprehensive which, focuses the Agticulture farmers, who lost their lands for the sake of establishment of SF_Zs in Andhra Pradesh. The Output of Research which is done by me is presented in the form of Six chapters in the Book. The First chapter discussed the introduction and Significance of the topic. The Second Chapter attempts to examine the impact of Special Economic Zones on Economic Development of the Economy The Third Chapter Analyses the Evaluation of SEZs problems, prospectus and issues that effect in multidimensional ways on society. The Fourth Chapter analyses the SEZs impact on study areas. The Fifth Chapter deals with the impact of SEZ issues on Agriculture. The Sixth and last Chapter contains the conclusions of SEZ policy and identifies needed suggestions and remedial measures. SEZs can be useful for stimulating development of certain industries or regions of the country. To avoid unintended consequences, the SEZ approach criteria should include land use considerations and avoid involving real estate developers who might be interested in land speculation. This way the whole country may not be propelled into an era of excellence but at least theses zones would surely become centers of excellence them and thus propel economic growth. Let us think and move towards making a 'Prosperous India' as 'Super Power in 2020' without poverty, without un-employment, without disparity between rich and poor and also between rural and urban areas as 'dreamt' by out Former President Dr. A.P.J. Abdul Kale m Finally it is concluded that from the Impact and Evaluation of Special Economic Zones-A Study have both positive as well as negative side. As stated by Madan i (1999) that free zones have certain benefits but we should be cautious while analyzing these gains. For India there are some caveats like, large scale displacement of the people because acquisition of farmland, just compensation to the formers. food security, governance of SEZs and widening gap between rich and poor etc.