For the Degree of Vidyavachaspati (Ph.D) in Economics Under the Faculty of Social Sciences By: Shri. P. MURUGESAN Under the Gu
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“A STUDY OF RURAL RESISTANCE AGAINST LAND ACQUISITION FOR SEZs IN THE RAIGAD DISTRICT OF MAHARASHTRA” A thesis submitted to TILAK MAHARASHTRA VIDYAPEETH, PUNE For The Degree of Vidyavachaspati (Ph.D) in Economics Under the Faculty of Social Sciences By: Shri. P. MURUGESAN Under the Guidance of Dr. P.K. BANDGAR Nehru Institute of Social Sciences, Pune May, 2011 i ii iii ACKNOWLEDGEMENT It is my pleasure to register my profound appreciation and gratitude to my Guide Dr. P.K. Bandgar for his valuable and inspiring guidance in my dissertation. His keenness of perception, range of vision, enriched and enlightened academic experiences have added a qualitative note to the topic of my research. A rare quality in him is the unparalleled simplicity and impartiality, which would resonate in my memory for ever. Dr. Jayshree Phadnis, Principal of Vivekanand Education Society’s (VES) College of Arts, Science and Commerce deserves a niche place in my acknowledgement note as she wholeheartedly responded positively and spontaneously to issue me NOC and encourage to register for Ph.D in Tilak Maharashtra Vidyapeeth, Pune. This positive gesture will linger in my ears infinitively. Words won’t suffice to thank Dr. J.K. Sachadeva for the immense help rendered in the journey of my research. My thanks are due to Dr. Suniti Nagpurkar, HOD Economics for her constant and constructive comments in my research endeavour. Mrs. Meghna Sanjeeva, Librarian of VES College of Arts, Science and Commerce needs special mention for her timely help and co-operation in placing orders with publishers for reference materials relating to my topic of research. The library staff of the college Mr. Anand Jadav, Mrs. Uma, Mr. Dinesh Jadav, Mr. Bellapa Jamkhandi, Mr. Vishal Pimple, Mr. Anand Mohite and Mr. Prakash Mohite has, indeed, iv volunteered to render prompt and cheerful services in hastening my research work without any impediments. I am greatly indebted to the team of investigators comprising Mr. Dinesh Jhadav, Mr. Prakash Patkare and Mr. Prakash Mohite who accompanied me to Raigad and shared the responsibility of data collection with immaculate sense of commitment and integrity. Words would not suffice to express my heart-felt thanks to Miss. Namratha Surve- M.Com Part-1 student of the college for her infallible machine-print like Marathi hand writing and also the splendid work of translation of English version of Interview Schedule into Marathi version to facilitate and expedite the field work and processing of data. I express my deep gratitude to the village heads and assistants, farmer-respondents and Government Departments for their co-operation and valuable direction to obtain relevant information in this endeavour. Last but not the least, I owe a lot to Miss. Minakshi and Mr. R. Vignesh, VES Degree college students for their relentless engagement in undertaking computer typing without which the thesis would not have seen the light of the day. It is my honour and pride to submit my Ph.D thesis in Economics in Tilak Maharashtra Vidyapeeth, Pune. P. Murugesan v TABLE OF CONTENTS PAGE NO FROM TO PRELIMINARY PAGES i xiv CHAPTER NO NAME OF CHAPTER 1. INTRODUCTION AND RESEARCH METHODOLOGY 1 81 2. SPECIAL ECONOMIC ZONES – CONCEPT, GROWTH AND PERFORMANCE IN INDIA 82 165 3. SEZs IN RAIGAD 166 218 4. DATA ANALYSIS 219 274 5. CONCLUSIONS AND SUGGESTIONS 275 305 6. BIBLIOGRAPHY 306 315 7. ANNEXURES 316 337 vii LIST OF TABLES SR.NO TABLE NO. TITLE OF TABLE PAGE NO. 1. 2.1 State-wise Distribution of SEZs 90 2. 2.2 Information regarding seven Central government SEZs in India 91 3. 2.3 Export performance of SEZs developed by the Central government since 2001 to 2007-08 92 4. 2.4 Export Performance of other SEZs (excluding Central government SEZs) set up before 2006 93 5. 2.5 SEZs’ Share in India’s Export, 1986-87 to 2007-08 94 6. 2.6 Approved-De-notified* SEZs in India 95 7. 2.7 Ground Realities of SEZs in India 96 8. 2.8 The SEZs story so far 96 9. 2.9 List of De-notified SEZs 97 viii 10. 2.10 Impact of Green shoots of economic recovery on SEZs 101 11. 2.11 Trend in Indian exports of SEZs 102 12. 2.12 Value And growth rate of Exports from SEZs 103 13. 2.13 Performance of SEZs in terms of Macro Economic Indicators 103 14. 2.14 The benefits from SEZs far outweighing fiscal concessions 104 15. 2.15 GDP Growth: Exports from India (general and SEZs) (Rs. In crores) 107 16. 2.16 Year- wise progress in exports from SEZs Units in India 108 17. 2.17 Year-wise Share of SEZs Units in total Exports from India 109 18. 2.18 Export value from China’s SEZ (1979-2004) (Million US$) 110 19. 2.19 District wise SEZ status 118 20. 2.20 SEZs in Maharashtra: Types of SEZ, Land Requirement and Investment 119 ix 21. 2.21 Estimates of revenue foregone in SEZs, 2005-2010 150 22. 3.1 Raigad district: Geographic and socio-economic profile 169 23. 3.2 Details about NMSEZ 205 24. 3.3 NMSEZ- location and area 206 25. 4.1 Selection of samples 221 26. 4.2 Sex – Wise Distribution of samples 222 27. 4.3 Age-wise classification of samples 222 28. 4.4 Marital Status of samples 223 29. 4.5 Number of children family- wise 224 30. 4.6 Education level of samples 225 31. 4.7 Occupational pattern of samples 226 32. 4.8 Annual income (in Rs.) of samples 227 33. 4.9 Nature of land ownership of samples 228 34. 4.10 Mode of cultivation 228 35. 4.11 Proximity to coastal line 229 x 36. 4.12 Land Environment 230 37. 4.13 Details of farm employment of samples 231 38. 4.14 Sources of irrigation 232 39. 4.15 Annual cultivation of crops 233 40. 4.16 Cultivation of prime food crop 234 41. 4.17 Land allotted for paddy crop 235 42. 4.18 Method of acquisition of land 236 43. 4.19 Other reasons for sale of land to SEZ 237 44. 4.20 Pattern of land ownership 238 45. 4.21 Percentage of land sold to SEZ 240 46. 4.22 Quality of land sold to SEZ 241 47. 4.23 Monetary compensation offered for land sale to SEZ 242 48. 4.24 Vashi Gaon 245 49. 4.25 Div Gaon 249 50. 4.26 Kana Gaon 251 51. 4.27 Bhel Gaon 255 52. 4.28 Vadav Gaon 258 xi 53. 4.29 Borja Gaon 260 54. 4.30 Dave Gaon 263 55. 4.31 Dadar Gaon 266 56. 4.32 Total (200 Responses) 269 xii LIST OF ABBREVIATIONS ALAASC Anti-Land Acquisition and Anti-SEZ Committee ASEAN Association of South-East Asian Nations BEPZA Bangladesh Export Processing Authority CAGR Compounded Annual Growth Rate CIDCO City Industrial Development Corporation CSEZ Cochin Special Economic Zone DEPB Duty Entitlement Pass Book DFCEC Duty Free Credit Entitlement Certificate DFIA Duty Free Import Authorisation DFRC Duty Free Replenishment Certificate Scheme DGCIS Directorate General of Commercial Intelligence and Statistics DTC Direct Tax Code EOU Export-Oriented Unit EPCG Export Promotion Capital Goods Scheme EPZ Export Processing Zone EXIM Export and Import Policy FDI Foreign Direct Investment FSEZ Falta Special Economic Zone xiii FTWZ Free Trade Ware Housing Zone FTZ Free Trade Zone GAFTA Great Arab Free Trade Area GDP Gross Domestic Product GOI Government Of India GSDP Gross State Domestic Product ILO International Labour Organisation ISI Import Substitution Industry JNPT Jawaharlal Nehru Port Trust KAFTZ Kandla Free Trade Zone KASEZ Kandla Special Economic Zone LA Land Acquisition LAA Land Acquisition Act LDCs Less Developed Countries MAT Minimum Alternate Tax MIDC Maharashtra Industrial Development Corporation MMSEZ Maha Mumbai Special Economic Zone MNCs Multi-National Companies MSEZ Mumbai Special Economic Zone NCAS National Centre for Advocacy Studies NEP New Economic Policy xiv NMMC Navi Mumbai Municipal Corporation NMSEZ Navi Special Economic Zone NPRR National Policy on Resettlement and Rehabilitation NSEZ Noida Special Economic Zone PPF People’s Political Front R&R Rehabilitation & Resettlement RIL Reliance Industries Limited RPL Reliance Petroleum Limited SAZ Special Agriculture Zone SEEP-SEZ Special Economic Zone SEZ Special Economic Zone SGDP State Gross Domestic Product STPI Software Technology Parks of India STPs Software Technology Parks VSEZ Vishakhapatnam Special Economic Zone WEPZA World Economic Processing Zone Association xv “A STUDY OF RURAL RESISTANCE AGAINST LAND ACQUISITION FOR SEZs IN THE RAIGAD DISTRICT OF MAHARASHTRA” CHAPTER І INTRODUCTION AND RESEARCH METHODOLOGY CONTENTS 1.1 GENESIS AND RELATED CONCEPTS OF SEZ 1.2 SEZs IN INDIA AND CHINA: COMPARATIVE PERSPECTIVE 1.3 OVERVIEW OF THE STATE 1.4 MAHARASHTRA: SOCIO-ECONOMIC PROFILE 1.5 SEZs IN MAHARASHTRA 2.0 REVIEW OF LITERATURE 3.0 THE PROBLEM TO BE STUDIED 4.0 THEORETICAL FRAME WORK 5.0 IMPORTANCE OF THE STUDY 6.0 OBJECTIVES OF THE STUDY 7.0 HYPOTHESES 8.0 METHODOLOGY 9.0 NOTES 1 CHAPTER І INTRODUCTION AND RESEARCH METHODOLOGY 1.1 GENESIS AND RELATED CONCEPTS OF SEZ Free Zones as a concept are at least as old as western civilizations, having existed in the Phoenician city of Tyre, Roman Empire and at 300 BC in the Greek Island of Delos, which as a result became one of the wealthiest islands in the world for nearly a century. With operational success the role of the Free trade Zones (FTZs) expanded beyond trade to investment, technology, research and development, services, training and free zones have become centre of activities in the modern economy. [Das Geeta (2009), Special Economic Zones in India “Lessons from China,” p 13, New Century Publications, New Delhi, India] The concept of special areas indulged in vigorous external trade is not new and since the beginning of the civilization, special areas characterized by high trading activities between nations did develop all over the world based on its location advantage, richness of the natural endowment and special economic activities of the region.