India to Develop Coastal Economic Zones
In its move to boost the ruling party's flagship Sagarmala (string of ports) project, the government of India is developing Coastal Economic Zones (CEZs).
The National Perspective plan of the Sagarmala Programme has identified two maritime clusters for development, one in Tamil Nadu and other in Gujarat.
Fourteen Coastal Economic Zones(CEZ) have been identified along the coastline of the country in the National Perspective Plan of the Sagarmala Programme.
These CEZs are aimed at promoting development of port-proximate industrial clusters, encourage port-led development, reduction of logistics cost and time for movement of EXIM and domestic cargo and enhance the global competitiveness of Indian manufacturing sector.
Meanwhile, NITI Aayog, a policy think-tank of the government, is pushing for a 10-year corporation tax holiday for proposed coastal economic zones (CEZs) provided these generate a threshold of employment.
An informal proposal to this effect came at a time when the finance ministry is looking at phasing out exemptions given on corporation tax and reducing the levy to 25 per cent from the current 30 per cent at present.
Officials said the first two CEZs are expected to come up in Gujarat and Andhra Pradesh, and land is being sought for them.
If things move swiftly, the country's first Coastal Economic Zone (CEZ) will come up in Andhra Pradesh. Visakhapatnam, Machilipatnam, Donakonda, Krishnapatnam or Srikalahasti-Yerpedu are among the places that the state government is scouting for to locate the zone.
