Special Economic Zones and Economic Corridors

Various reports show that special economic zones (SEZ) have become a prime catalyst for regional development in developing countries such as China and the ASEAN countries. The SEZ can be defined as a specific geographical region with economic laws that are more liberal than a country's typical economic laws. Many SEZs have characteristics of bonded zones, export processing zone (EPZ) or free trade zones and provide special incentives, including tax exemption or reduction to investors. The purpose of the paper is to enumerate the candidates for SEZ in Cambodia, Laos, Myanmar, and Vietnam (CLMV countries) according to four types: "metropolitan areas," "ports and harbors," "border areas" and "junctions or intersections." The first two types are based on the experience of forerunning ASEAN countries and the latter two are based on the economic corridors of the Greater Mekong Sub region Economic Cooperation Program. The paper concludes by identifying locations for the questionnaire and flowchart approach-based surveys, and presenting country-specific strategies.ASEAN, SEZ, Port, Harbor, Junction, Economic Corridor, CLMV, GMS.

Special Economic Zones: What Have We Learned?

It has been more than 50 years since the establishment of the first modern special economic zones. During this time, SEZs have been credited with underpinning the dramatic export-oriented growth of China and other East Asian countries. While they remain a controversial instrument, policy makers appear to be increasingly attracted to economic zones. Since the mid 1980s, the number of new zones has grown rapidly, with significant expansion in developing countries. But in this postcrisis environment, the context in which zones operate is changing. Increasingly, the effectiveness with which they are designed, implemented, and managed will determine their success. This note outlines key lessons that have emerged from the experiences of zone programs in developing countries over recent decades.SEZ, special economic zone, shenzhen, singapore, economic development, industrialization, employment, exports, exprot-led growth, trade

Special Economic Zones and Agriculture with Increasing Returns

This paper has made an attempt to show that in a developing economy, agriculture and Special Economic Zones (SEZ) can go simultaneously without affecting one another if appropriate subsidy policy is designed by the government. We have considered increasing returns brought about by external economies of scale in the SEZ-led industrial sector with the help of Dixit-Stiglitz (1977) type of production function where resource used to produce each variety of the SEZ-good is itself produced using constant returns to scale (CRS) technology and CRS is also present in the agricultural sector.Special Economic Zones; Increasing Returns; External Economies of Scale; Constant Returns to Scale; Dixit-Stiglitz type Production Function

Comparative analysis of taxation for special economic zones in Russia and APEC economies

The article is devoted to the analysis of taxation of special economic zones, since special economic zones have become a center of attention in Russia over the latest decades. As objects for the study, the authors selected special economic zones in Russia and the countries participating in the Forum of the Asia-Pacific Economic Cooperation (APEC Forum). In the article the authors consider history, modern conditions and prospects for the development of special economic zones. The peculiarities of taxations on profits, organizations' property, transport, land, insurance contributions into the non-budget funds, as well as value-added taxation for the residents of the RF special economic zones are analyzed with regard to their types. The authors assess tax privileges and preferences for some taxes in the special economic zones in Russia and APEC member-countries are evaluated. The main problems of the taxation of the RF special economic zones are articulated together with the possible ways to solve them regarding the experience of APEC economies. As a result of the study, the authors concluded that to increase the effectiveness of special economic zones in Russia, it is necessary to expand the list of tax benefits to introduce a progressive scale of tax incentives, following the example of APEC countries and to improve legislation in the regulation of special economic zones.peer-reviewe

INTEGRATION OF THE SPECIAL ECONOMIC ZONES IN THE LOCAL ECONOMY:THE CASE OF SPECIAL ECONOMIC ZONES IN CAVITEPROVINCE

The main objective of this study was to examine and analyze the status of integration of the Cavite Special Economic Zones in the local economy. In order to determine the status of integration of the Cavite Special Economic Zones, it is important to note if these SEZs were able to generate employment opportunities to the locals. Moreover, the different types of local businesses that emerged in the area after the establishment of the special economic zones in the different municipalities in Cavite where these SEZs are located were also considered. Likewise an in-depth analysis of the role of the local government in local economic development was also considered since the local government unit plays an important role in achieving the goal of this export-led strategy, establishing SEZs in the area. Lastly, the factors considered by the Locators when they decided to establish their businesses inside the SEZs in the province of Cavite were also included in the analysis.The researcher used the descriptive method and a multi-stage sampling. The researcher had to select a sample which can represent the pulse of the entire population of the SEZ Locators. The researcher used the survey questionnaire. Aside from the survey questionnaire, the researcher also used the interview method wherein a combination of formal and informal styles or the semi-standardized formats were used. Lastly, the researcher also used the focus group discussion and actual observation of the area as tools in gathering data. Thirty-five (35) locators or (6.61%) of the total number of locators out of the five hundred thirty (530) locators declined to give information/details about their businesses due to confidential reasons. Therefore, there were four hundred ninety-five (495) or (93.39%) locators subjected to interviews and survey. Results showed that the Special Economic Zones in the province of Cavite are highly integrated with the local economy.&nbsp

中国の経済開発における経済特区の意義と開発の現状(上)

まえがき　Ⅰ 開発政策の転換と経済特区構想の浮上　Ⅱ 輸出加工区，経済特区開設の広がりとその背景　1. アジア地域の輸出加工区開設の広がり　2. 中国の世界経済に対する認識上の変化　Ⅲ 特定対外経済地域の諸形態とその特質　保税倉庫　自由港　輸出加工区　中国の経済特区　(以上本号〉　Ⅳ 経済特区の枠組みとその展開(以下次号〉　1. 経済特区の枠組み　2. 各経済特区の開発の進展　Ⅴ 若子の理論問題

LEGAL INSTITUTIONAL FRAMEWORK FOR SPECIAL ECONOMIC ZONES IN LATVIA

The regulatory framework of the freeports and special economic zones of Latvia are analysed in the paper providing as well an insight into the changes related to granting aid that have taken place. There are five freeports and special economic zones in Latvia, though, while the conditions for granting the aid are the same, the way they operate varies. The research aims to describe the institutional framework of special economic zones in Latvia. The author (1) has carried out a study on scope and conditions for granting the aid in the freeports and special economic zones of Latvia; (2) has described the restrictions on granting the aid. The monographic research and comparative analyses methods are used in the research

Economic Development Strategies in the Dominican Republic

The paper documents the economic development strategies pursued by the Dominican Republic. The study argues that the country’s success results from the implementation of a three-pronged economic development strategy. The first prong relates to diversifying production and the second to developing special economic zones. These zones operate in parallel fashion to the rest of the economy but with protections from domestic impediments to growth and progress. The third item in the recipe involves maintaining ample economic and social engagement with the rest of the world. The paper also highlights challenges that the country faces going forward.economic development strategies, primary commodities, special economic zones, economic openness, Dominican Republic

Impact of Special Economic Zones on Employment, Poverty and Human Development

This study aims at examining the impact of Special Economic Zones (SEZs) on human development and poverty reduction in India. It identifies three channels through which SEZs address these issues: employment generation, skill formation (human capital development), and technology and knowledge upgradation. It examines how the impact of SEZs is passed through each of these channels. The study finds that the modality differs significantly according to the characteristics of the SEZs, in particular, the level of their development as reflected in the composition of economic activities. Within this framework, the study examines the sectoral and economic composition of SEZ activities in India. It finds that labour intensive, skill intensive and technology intensive firms co exist in India's zones and, therefore argues that all the three effects described above are likely to be important in the Indian context. Empirical findings reported in the study are based on the data collected from both secondary sources and primary surveys. The primary survey based data was generated through extensive interviews of entrepreneurs and workers across the three largest SEZs (in terms of their contribution to exports and employment) : SEEPZ, Madras and Noida. The analysis reveals that `employment generation' has been the most important channel through which SEZs lend themselves to human development concerns, in India. Employment generated by zones is remunerative. Wage rates are not lower than those prevailing outside the zones. Besides, working conditions, non monetary benefits (such as transport, health and food facilities), incentive packages and social security systems are better than those prevailing outside the zones, in particular, in the small/informal sector. The role of SEZs in human capital formation and technology upgradation is found to be rather limited. The study argues that the zones' potential could not be exploited fully in India. This could primarily be attributed to the limited success of SEZs in attracting investment and promoting exports. The new SEZ policy gives a major thrust to SEZs. However the creation of SEZs alone does not ensure the realization of their potential. The government will need to play a more proactive role for effective realization of the full range of benefits from SEZs.Special Economic Zones, Human Development, Employment, Poverty, Skill Formation, Technology Transfers, Local R&D

China’s Investment in African Special Economic Zones: Prospects, Challenges, and Opportunities

China’s recent moves to establish special economic zones (SEZs) in several African countries can make a significant contribution to industrialization in Africa. But the success of these projects is by no means guaranteed. Meeting the objectives of both China and African countries will require an active partnership and a framework for collaboration that includes engagement from host governments, processes for phasing-in local control, communication and enforcement of standards, and support for integration with local economies.China, investment, Africa, special economic zone, SEZ, industrialization, partnership, development, World Bank, foreign direct investment