NEW DELHI: Aiming to strengthen India’s export potential and generate jobs, the Niti Aayog is finalising norms for setting up of Shenzhen-style coastal economic zones (CEZs). A top government source said the plan is to set up two CEZs on area not less than 400km-500 km.
These zones, each on the eastern and western coasts, would be very large economic enclaves with a business-friendly environment, he added. An official said Gujarat and Andhra Pradesh have expressed willingness to set up CEZ. As per the norms under discussions, states which will provide connectivity, housing facilities and world-class infrastructure would be given preference while setting up of CEZs.
The area identified must have deep-draft ports capable of accommodating very large and heavily loaded ships. The government’s think tank is also arguing for a 10-year corporation tax holiday for the proposed CEZs provided these generate a threshold of employment.
The Niti Aayog is of the view that state governments should undertake reforms in land and labour laws in these economic conclaves which are difficult to be implemented in other parts of the country.