FEZ: negative and positive sides

Special economic zones (FEZ) or, as they are often called in Soviet literature, joint venture zones, is a progressive form of international cooperation that has recently become widespread in many countries. Featuring special preferential conditions for the importation and exportation of goods and capital, these territories provide more lucrative opportunities for foreign relations, attracting foreign capital and technology, and expanding the export of goods and services.


Eastern European countries are devoid of many features of China. The SEZs in these countries are, as a rule, micro-zones, which are closely associated with international transit cargo traffic. Promising may be the focus of the SEZ on modern technology, the creation of technopolises, etc.


Formed in 1980, the Xiamen Xia zone in China initially occupied an area of ​​2.5 km2.


Now it covers an area of ​​131 km2 and has become a major industrial and commercial center of the country. The port of the Dongdu zone accepts ships up to 50 thousand tons, has a modern container terminal, is connected by regulatory lines to Shanghai, Guangzhou, Hong Kong and Singapore.


The experience of the FEZ has negative sides. First of all, the hopes for attracting foreign investments and the latest technologies that were completely pinned on the FEZ almost never came true. Practice has shown that the expansion of the inflow of foreign capital requires huge state investments in the FEZ. The concepts and goals of the FEZ were not always thought out, and the latter often did not coincide with the interests of foreign partners. Social problems arose associated with higher wages in the FEZ, the flow of skilled labor there, the rejection of the zones (in China) from the rest of the country, etc. All these consequences should be taken into account when developing joint business zones in the USSR.


The positive results of the activities of the FEZ for the expansion of foreign economic relations are obvious. In Eastern European countries, the FEZs are of interest and certain expectations, since they represent territories that differ fundamentally according to business principles, are not related to the central planning system, and are “testing grounds” for developing new forms and conditions of management. The role of the FEZ to enhance regional development is sufficiently clear: in the USSR more than 30 regions and districts expressed their interest in creating joint business zones.


It must be borne in mind that the free economic zones are one of the elements of a set of measures to create an open economy integrated into the world economy, and make sense in combination with other steps in this direction. In isolation from measures to regulate and liberalize external relations, to put in order the financial system, legal support for the activities of participants in foreign economic relations, etc. The free economic zones are likely to show their negative consequences. A major role is played by the creation of conditions of stability for all participants in the functioning of the zones, their confidence that the rules governing activities in the FEZ will not change. On the other hand, strict compliance with the country's laws, including labor laws, should be an indispensable condition. You can free download movie ringtones for your mobile phone based on adroid or iphone.