DDP 731. Nirupam Bajpai and Vanita Shastri. "Port Development in Tamil Nadu: Lessons from Chinese Provinces." November 1999. 61 pp.

This paper examines the infrastructure needs for the state of Tamil Nadu in the area of ports, and its development. It undertakes a case study of China and its provinces with the objective of analyzing the development of port infrastructure in China and to draw lessons for Tamil Nadu. The paper looks at the steps China undertook to modernize and develop its ports. We found that the three most significant aspects of the reform included: the decentralization of policy initiatives to its provinces, an open door policy and attitude to foreign investment, and a maritime policy that is at par with international standards, all of which helped in the overall growth of China.

The paper undertakes a detailed and historical analysis of the development of ports in China. This includes a close examination of its maritime policy, shipbuilding and its open door policy which introduced a competitive spirit of economic development between its provinces. We also undertake a comparative analysis of China SEZs and India’s EPZs to understand what were the reasons for the former doing so well. A comparative analysis of ports in the Chinese provinces is also included to highlight the competitive development of different regions of China. In sum, the paper charts out what China has done to boost the development of its ports. A brief section on the privatization of ports in Malaysia is also included to get a further comparative perspective.

JEL Code: L92, L98, R41, R58

Keywords: Port Development, Chinese Ports, Tamil Nadu.

Nirupam Bajpai is an Associate at the Harvard Institute for International Development, and the Director of the Indian Program at Harvard.

Vanita Shastri is a Consultant at the Harvard Institute for International Development.