Of course - if Bombay disallowed the free movement of people into it, it too would be far easier to develop along the lines of Shanghai - how difficult is it to get the idea that authoritarian regimes can't be compared to democracies. China has a long way to catch up with India. Till then, we will continue to give refugee status to Chinese citizens.
You have come up with a very convenient excuse that China developed because it is authoritarian, and India cannot because it is the cradle of democracy.