EconPapers    
Economics at your fingertips  
 

Locational Strategy of Special Economic Zones in India

Tamali Chakraborty

Studies in Microeconomics, 2025, vol. 13, issue 2, 151-172

Abstract: The establishment of special economic zones (SEZs) in Indian districts is intended to bring rapid economic growth to India. However, the data on SEZs show that SEZs are concentrated in only a few Indian districts and thus aggravate the problem of regional inequality. In this paper, the strategy of concentration of SEZs is analysed with a backdrop of the new economic geography theory. The data of the variables are extracted from Census 2011 and other sources for all 640 districts. The Tobit model is used to determine the locational factors behind the establishment of the SEZs in a district of India. The results show that the variables such as urbanization, distance from megacity, districts with a seaport and districts with airports have a significant impact on the number of SEZ approvals as well as SEZ notifications. The concentration of SEZs is mainly due to favourable market and infrastructural conditions. JEL Classifications: O10, C24, D63

Keywords: SEZ; Tobit model; NEG theory; concentration; regional inequality; industrial cluster (search for similar items in EconPapers)
Date: 2025
References: Add references at CitEc
Citations:

Downloads: (external link)
https://journals.sagepub.com/doi/10.1177/23210222221111651 (text/html)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:sae:miceco:v:13:y:2025:i:2:p:151-172

DOI: 10.1177/23210222221111651

Access Statistics for this article

More articles in Studies in Microeconomics
Bibliographic data for series maintained by SAGE Publications ().

 
Page updated 2025-08-04
Handle: RePEc:sae:miceco:v:13:y:2025:i:2:p:151-172