Copyright with PHI Learning Globalization, Crony Capitalism and The Indian Context of SEZ ABSTRACT This article tries to probe into the trade off between achieving development goals through SEZ and balancing the sustainability of the development process. Today, there are approximately 3,000 SEZ’s operating in 120 countries, which account for over US$ 600 billion in exports and about 50 million jobs. By offering privileged terms, SEZ’s attract investment and foreign exchange, spur employment and boost the development of improved technologies and infrastructure. The Indian government has approved proposals for 180 special economic zones (SEZs) with an idea that it would invite foreign direct investment, provide jobs and promote the development of secondary industries to service firms. However, the emergence of SEZs in India, instead of its stated purposes, is highlighted by huge protest, spiraling many a times to socio-political unrests with mass participation. The paper will try to suggest ways as to how the present form of SEZ formation can be better planned and formulated with minimum negative impact on a particular place or region. THE CONTEMPORARY PROCESS OF GLOBALIZATION This is undoubtedly an era of globalization with integration of world economies, proliferation of uninhibited trade and financial flows and mutual exchange of technology and knowledge among nations. The wave of globalization has touched even the common person and his ordinary existence. The socio, economic and even political fabric of a country is 71 Chapter