Analysis of SEZs (Special Economic Zones) in India
The relevance of research
The state gives each special economic zone a special legal status, which gives SEZ investors a number of tax benefits and customs preferences, and also guarantees access to engineering, transport and business infrastructure. Costs of investors in the implementation of projects in the SEZ are on average 30% lower than the general Indian indicators
Purpose of the study
Analysis of the parameters of special economic zones in India, conducting a comparative analysis of the SEZ
Content
Part 1. Overview of Special Economic Zones in India
1.1. General list of industrial type SEZs in India
1.2 Profile of IP SEZ ""Lipetsk""
1.2.1 Geographic location
1.2.2 The number of working-age population in the nearest large settlement
1.2.3 Transport accessibility
1.2.4 Average prices for buying or renting land
1.2.5 Infrastructure and resource provision, connection cost, tariffs for use
1.2.6 Suitability of the terrain for the construction of the Customer's facility
1.2.7 Conditions for entering the SEZ and benefits provided
1.2.7.1 Existing subsidies for the use of natural resources and utility bills in the SEZ
1.2.7.2 Possibility of duty-free import of equipment, application of a reduced depreciation period
1.3. Profile of IP SEZ ""Alabuga""
1.3.1 Geographic location
1.3.2 The number of working-age population in the nearest large settlement
1.3.3 Transport accessibility
1.3.4 Average prices for buying or renting land
1.3.5 Infrastructure and resource provision, connection cost, tariffs for use
1.3.6 Suitability of the terrain for the construction of the Customer's facility
1.3.7 Conditions for entering the SEZ and benefits provided
1.3.7.1 Existing subsidies for the use of natural resources and utility bills in the SEZ
1.3.7.2 Possibility of duty-free import of equipment, application of a reduced depreciation period
1.4. Profile of IP SEZ “Moglino”
1.4.1 Geographic location
1.4.2 The number of working-age population in the nearest large settlement
1.4.3 Transport accessibility
1.4.4 Average prices for buying or renting land
1.4.5 Infrastructure and resource provision, connection cost, tariffs for use
1.4.6 Suitability of the terrain for the construction of the Customer's facility
1.4.7 Conditions for entering the SEZ and benefits provided
1.4.7.1 Existing subsidies for the use of natural resources and utility bills in the SEZ
1.4.7.2 Possibility of duty-free import of equipment, application of a reduced depreciation period
1.5 Profile of IP SEZ “Togliatti”
1.5.1 Geographic location
1.5.2 The number of working-age population in the nearest large settlement
1.5.3 Transport accessibility
1.5.4 Average prices for buying or renting land
1.5.5 Infrastructure and resource provision, connection cost, tariffs for use
1.5.6 Suitability of the terrain for the construction of the Customer's facility
1.5.7 Conditions for entering the SEZ and benefits provided
1.5.7.1 Existing subsidies for the use of natural resources and utility bills in the SEZ
1.5.7.2 Possibility of duty-free import of equipment, application of a reduced depreciation period
1.6 Profile of IP SEZ “Kaluga”
1.6.1 Geographic location
1.6.2 The number of working-age population in the nearest large settlement
1.6.3 Transport accessibility
1.6.4 Average prices for buying or renting land
1.6.5 Infrastructure and resource provision, connection cost, tariffs for use
1.6.6 Suitability of the terrain for the construction of the Customer's facility
1.6.7 Conditions for entering the SEZ and benefits provided
1.6.7.1 Existing subsidies for the use of natural resources and utility bills in the SEZ
1.6.7.2 Possibility of duty-free import of equipment, application of a reduced depreciation period
1.7 Profile of the IP SEZ “Titanium Valley”
1.7.1 Geographic location
1.7.2 The number of working-age population in the nearest large settlement
1.7.3 Transport accessibility
1.7.4 Average prices for buying or renting land
1.7.5 Infrastructure and resource provision, connection cost, tariffs for use
1.7.6 Suitability of the terrain for the construction of the Customer's facility
1.7.7 Conditions for entering the SEZ and benefits provided
1.7.7.1 Existing subsidies for the use of natural resources and utility bills in the SEZ
1.7.7.2 Possibility of duty-free import of equipment, application of a reduced depreciation period
1.8 Profile of the PPT SEZ ""Uzlovaya""
1.8.1 Geographic location
1.8.2 The number of working-age population in the nearest large settlement
1.8.3 Transport accessibility
1.8.4 Average prices for buying or renting land
1.8.5 Infrastructure and resource provision, connection cost, tariffs for use
1.8.6 Suitability of the terrain for the construction of the Customer's facility
1.8.7 Conditions for entering the SEZ and benefits provided
1.8.7.1 Existing subsidies for the use of natural resources and utility bills in the SEZ
1.8.7.2 Possibility of duty-free import of equipment, application of a reduced depreciation period
1.9 Profile of IP SEZ “Lotos”
1.9.1 Geographic location
1.9.2 The number of working-age population in the nearest large settlement
1.9.3 Transport accessibility
1.2.4 Average prices for buying or renting land
1.2.5 Infrastructure and resource provision, connection cost, tariffs for use
1.2.6 Suitability of the terrain for the construction of the Customer's facility
1.2.7 Conditions for entering the SEZ and benefits provided
1.2.7.1 Existing subsidies for the use of natural resources and utility bills in the SEZ
1.2.7.2 Possibility of duty-free import of equipment, application of a reduced depreciation period
1.10 Profile of IP SEZ “Stupino Quadrat”
1.10.1 Geographic location
1.10.2 The number of working-age population in the nearest large settlement
1.10.3 Transport accessibility
1.10.4 Average prices for buying or renting land
1.10.5 Infrastructure and resource provision, connection cost, tariffs for use
1.10.6 Suitability of the terrain for the construction of the Customer's facility
1.10.7 Conditions for entering the SEZ and benefits provided
1.10.7.1 Existing subsidies for the use of natural resources and utility bills in the SEZ
1.10.7.2 Possibility of duty-free import of equipment, application of a reduced depreciation period
1.11 Profile of IP SEZ Kashira
1.11.1 Geographic location
1.11.2 The number of working-age population in the nearest large settlement
1.11.3 Transport accessibility
1.11.4 Average prices for buying or renting land
1.11.5 Infrastructure and resource provision, connection cost, tariffs for use
1.11.6 Suitability of the terrain for the construction of the Customer's facility
1.11.7 Conditions for entering the SEZ and benefits provided
1.11.7.1 Existing subsidies for the use of natural resources and utility bills in the SEZ
1.11.7.2 Possibility of duty-free import of equipment, application of a reduced depreciation period
1.12 Profile of IP SEZ Center
1.12.1 Geographic location
1.12.2 The number of working-age population in the nearest large settlement
1.12.3 Transport accessibility
1.12.4 Average prices for buying or renting land
1.12.5 Infrastructure and resource provision, connection cost, tariffs for use
1.12.6 Suitability of the terrain for the construction of the Customer's facility
1.12.7 Conditions for entering the SEZ and benefits provided
1.12.7.1 Existing subsidies for the use of natural resources and utility bills in the SEZ
1.12.7.2 Possibility of duty-free import of equipment, application of a reduced depreciation period
Application. Comparative analysis of special economic zones
Research excerpt
Part 1. Overview of Special Economic Zones in India
1.1. General list of industrial type SEZs in India
Special Economic Zones is a large-scale project aimed at developing …
Special economic zones are created on…
The state gives each special economic zone a special legal status, which gives SEZ investors ...
For Indian companies, the SEZ is an opportunity to realize…
Industrial and production SEZs are vast territories located in …
Let's make a list of SEZs of industrial-production type (IPT) opened in India.
- SEZ PPT ""Lipetsk""
Established in ... on the territory of the Lipetsk region. Validity - up to ... d. Number of residents - ... (including ... foreign). The volume of declared investments is … billion Rs. The volume of investments made is … billion Rs. The number of jobs created…
- IP SEZ ""Alabuga""
...
Table 1. Summary of Industrial Special Economic Zones in India
1.2 Profile of IP SEZ ""Lipetsk""
1.2.1 Geographic location
...
1.2.2 The number of working-age population in the nearest large settlement
The total population in Lipetsk is … thousand people.
The working-age population of Lipetsk is … thousand people.
General information about the Lipetsk region: …
Labor resources: number of universities: ..., number of secondary schools: ..., number of graduates annually: ... people.
Average monthly salary: … Rs.
1.2.3 Transport accessibility
Gryazinskaya (Lipetsk) site
The area of the site is ... ha.
Automobile roads with a total area of … thousand m2 and a length of … km. Parking lots for heavy (for ... cars) and cars. … km. railroad tracks that...
Air traffic
...
Railway communication
In the area of creation of the SEZ, there are…
The railway tracks of the Lipetsk SEZ are connected to …
Car traffic
...
Yelets site of SEZ ""Lipetsk""
The area of the territory of the Yelets section of the special economic zone is ... ha.
Air traffic
...
Car traffic
...
Railway communication
...
1.2.4 Average prices for buying or renting land
Rent of a land plot
Initially, a SEZ resident receives a land plot ... The amount of the rent (excluding reduction factors) is …% of … the cost of the land plot.
Depending on the volume of investments, there are decreasing coefficients:
not less than … million euros …;
not less than … million euros …;
not less than … million euros ...
Purchase of a land plot
After registering the ownership of the property, the resident has the right to ...
The purchase price is …% of the cadastral value.
Lipetsk site:
Rent …/ha/year.
Redemption .../ha.
Yelets site:
...
1.2.5 Infrastructure and resource provision, connection cost, tariffs for use
The infrastructure of the SEZ ""Lipetsk"" includes: ...
Resource support:
Lipetsk site
Power supply … Mw.
Gas supply … m3/hour.
Heat supply … Gcal/hour.
Water supply … m3/hour.
Water disposal … m3/hour.
Yelets site
...
The cost of connecting to the infrastructure depends on the volume ...
Table 2. Tariffs for the use of resources in the IP SEZ ""Lipetsk"", 2020
Connection to the Internet .. On the territory of the SEZ IPT ""Lipetsk"" fiber optics of ... providers were laid. Investor alone...
1.2.6 Suitability of the terrain for the construction of the Customer's facility
The total area of the Lipetsk Special Economic Zone is … ha. The relief of the territory of the SEZ IP ""Lipetsk"" is ...
In terms of engineering and geological conditions, the sites, according to the joint venture, belong to ... category of complexity.
During periods of maximum precipitation and snowmelt in …
According to the results of chemical analysis, groundwater ...
According to the data received from the official representatives of the IP SEZ ""Lipetsk"", the territory is suitable for the construction of an object ...
1.2.7 Conditions for entering the SEZ and benefits provided
1.2.7.1 Existing subsidies for the use of natural resources and utility bills in the SEZ
Conditions for joining the IP SEZ ""Lipetsk"":
Capital investments – … million Rs.
Capital investment over three years … Rs.
Separate subsidies...
1.2.7.2 Possibility of duty-free import of equipment, application of a reduced depreciation period
The following tax and customs preferences apply on the territory of the IP SEZ ""Lipetsk"":
Income tax rate:
…% - for up to 7 years;
…% - next 5 years;
…% - Further.
Property tax rate...
Land tax rate...
Vehicle tax rate...
SEZ residents have the right to apply ... the depreciation rate of fixed assets (...).
For SEZ residents there are no ...
At the state level, SEZ residents are guaranteed …
Customs benefits:
...
Common to all SEZ PPT:
Foreign goods imported into the territory of the SEZ (equipment, raw materials, components, building materials) are placed and used without ...
Upon completion of the FTZ customs procedure, goods placed under the FTZ customs procedure, as well as processed products made from such goods, are placed under ...
At the same time, residents have the right to choose the criteria for sufficient processing of goods, which can be expressed as: ...
...
Collection of customs duties and taxes when goods are placed under the customs procedure of a free customs zone and upon its completion
For foreign goods: ...
For goods of the customs union: ...
1.3. Profile of IP SEZ ""Alabuga""
1.3.1 Geographic location
...
Location: …
The largest cities in India within a radius of 1000 km.: ...
1.3.2 The number of working-age population in the nearest large settlement
The population in Naberezhnye Chelny is … thousand people.
The number of able-bodied population … thousand people.
General information about the Republic of Tatarstan: population: …
Workforce: …
Average monthly salary in the region: … Rs.
1.3.3 Transport accessibility
...
1.3.4 Average prices for buying or renting land
...
1.3.5 Infrastructure and resource provision, connection cost, tariffs for use
...
Resource support of the IP SEZ ""Alabuga""
Two gas pipelines with a total capacity of … m³/h.
Capacity of wastewater disposal networks: … m³/day. The network is running...
The capacity of water supply networks of household and drinking quality is … m³/day.
Water-heating boiler house with a capacity of ... Gcal / hour.
Electricity: …
Table 3. Tariffs for the use of resources in the IP SEZ ""Alabuga"", 2020
Connecting to infrastructure for SEZ residents…
On the territory of the SEZ ""Alabuga"" it is possible to connect to …
1.3.6 Suitability of the terrain for the construction of the Customer's facility
...
1.3.7 Conditions for entering the SEZ and benefits provided
1.3.7.1 Existing subsidies for the use of natural resources and utility bills in the SEZ
Conditions for joining the IP SEZ ""Alabuga"":
The minimum capital investment is … million Rs.
Capital investments within three years from the date of conclusion of the agreement on the implementation of activities - … million Rs.
Separate subsidies...
1.3.7.2 Possibility of duty-free import of equipment, application of a reduced depreciation period
SEZ ""Alabuga"" provides favorable tax conditions for …
Tax and customs preferences for residents of the IP SEZ ""Alabuga"":
Income tax rate …% - for up to 5 years; …% - next 5 years; …% - further up to 2055
Property tax rate...
SEZ residents are exempt from…
1.4. Profile of IP SEZ “Moglino”
...
1.5 Profile of IP SEZ “Togliatti”
...
1.6 Profile of IP SEZ “Kaluga”
...
1.7 Profile of the IP SEZ “Titanium Valley”
...
1.8 Profile of the PPT SEZ ""Uzlovaya""
...
1.9 Profile of IP SEZ “Lotos”
...
1.10 Profile of IP SEZ “Stupino Quadrat”
...
1.11 Profile of IP SEZ Kashira
...
1.12 Profile of IP SEZ Center
...
Application. Comparative analysis of special economic zones
...
An analysis of key indicators in special economic zones of industrial production type in India, for which there are differences in different zones, showed:
- From the point of view of tariffs for resources, the most preferable are the IPT SEZ “…”, the IPT SEZ “…”, the IPT SEZ “…”
- The lowest rates of lease and purchase of land in the IP SEZ “…”, IP SEZ “…”
- From the point of view of the tax regime, the IPT SEZ “…”, the IPT SEZ “…”, the IPT SEZ “…” are of the greatest interest
- In addition, attention is drawn to the fact that currently in the territory of the IP SEZ “…” a .. cluster is being formed…
- Taking into account the location of the largest producers and suppliers of raw materials for PVC processing, the most preferable are: IP SEZ “…”, IP SEZ “…”, …
Diagrams
-
Tables
Table 1. Summary of Industrial Special Economic Zones in India
Table 2. Tariffs for the use of resources in the IP SEZ ""Lipetsk"", 2020
Table 3. Tariffs for the use of resources in the IP SEZ ""Alabuga"", 2020
Table 4. Tariffs for the use of resources in the IP SEZ Moglino, 2020
Table 5. Tariffs for the use of resources in the IP SEZ ""Togliatti"", 2020
Table 6. Tariffs for the use of resources at the IP SEZ ""Kaluga"" site ""Lyudinovo"", 2020
Table 7. Tariffs for the use of resources in the IP SEZ ""Titanium Valley"", 2020
Table 8. Tariffs for the use of resources in the IP SEZ Uzlovaya, 2020
Table 9. Tariffs for the use of resources in the IP SEZ Lotos, 2020
Table 10. Tariffs for the use of resources in the IP SEZ ""Stupino Quadrat"", 2020
Table 11. Tariffs for the use of resources in the IP SEZ Kashira, 2020
Table 12. Tariffs for the use of resources in the IP SEZ Center, 2020
Table 13. Comparative analysis of key indicators of special economic zones in India
All reports