Uttar Pradesh? Why invest in - A presentation by Government of Uttar Pradesh - High Commission of India ...
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Advantage Uttar Pradesh Largest consumer base of India with 240mn population and another 200mn in neighboring states Hosts seven cities with 1 mn plus and seven others with over 0.5 mn plus population. Ranks 2nd in India in Ease of doing business reforms 2 international airports, 5 domestic airports and 15 upcoming regional airports Upcoming world class international airport city at Jewar about 1.50hrs drive from the capital Around 1120 miles of 8-lane expressways and 10,000 miles of railway network 1,000 miles of inland waterways opening up South east Asian market Youngest & largest labour force with 56% of total population in working age group 75 Universities, 4000+ Colleges, 125,000+ ITI seats & world class institutes like IIT-K, IIT_BHU, IIM-L, etc. Page 2 23 January 2021
Overall Policy Framework Industrial Investments & Employment Promotion Policy 2017 Umbrella Policy providing attractive incentives to all industries irrespective of sector (UP IIEPP 2017) Attractive incentives- ► Land Rebate 20+ Sector specific policies ► Capital Subsidy Food Processing & Milk Policy Start Up Policy ► SGST Refund ► Capital Interest Subsidy Defence & Aerospace Mftg Policy EV Mftg Policy ► Infrastructure Interest Subsidy Electronics Manufacturing Policy Solar Policy ► Stamp Duty exemption Pharmaceutical Policy Tourism Policy ► Electricity Duty Exemption ► Provident Fund reimbursement Textile Policy Pvt Industrial Park Scheme ► Transportation subsidy Warehousing & Logistics Policy MSME Policy ► R&D incentives Civil Aviation Policy Biofuel Policy Information Technology Policy Export Policy Page 4 23 January 2021
“Manufacturing sector” UP is amongst the top 5 manufacturing states of India with more than 9 million MSMEs (highest in India) Industrial Investment & Employment Promotion Policy 2017 (IIEPP) Salient features • Stamp Duty : 100% in Bundelkhand & Poorvanchal, 75% in Madhyanchal & Paschimanchal (except GBNagar & Ghaziabad) & 50% in GBNagar & Ghaziabad Stamp Duty • SGST Reimbursement : Net SGST reimbursement @90% for Small Industries for 5 Reimbursement Interest Subsidies years, @60% for Medium Industries for 5 years, @60% for Large Industries other than Mega Industries for 5 years, and @70% for Mega category Industries for 10 years. • Interest Subsidies: 5% per annum for 5 years each for Capital, Infrastructure & State Goods & Incentives for Services Tax entrepreneurs from Industrial Quality Reimbursement marginalized sections • Electricity Duty : 100% exemption to all new industrial units set up in the state for 10 years. Also, 100% exemption to all new industrial units producing electricity from captive power plants for self-use for 10 years Employment Customized Generation incentives for Mega Incentives Projects • EPF Reimbursement : Facility to the extent of 50% of employer’s contribution to the units providing direct employment to 100 or more unskilled workers Page 5 23 January 2021
“Renewable Energy Sector” Key strengths ► The state receives high solar irradiation levels ranging between 5 – 5.5 kwh/sqm for 300 – 330 days a year ► The state government is coming up with a “Green Corridor” and ensuring transmission infrastructure along hot spots for solar park/plants Uttar Pradesh Solar Power Policy 2017 • Electricity Duty@100% exemption from electricity duty for 10 years • Stamp Duty@100% exemption on chargeable stamp duty • Solar Park : State offer to purchase 100% power generated from solar park • Exemptions for Large Scale Stand – alone solar projects: • @ 50% exemption on wheeling charges/transmission charges on intrastate sale of power to third party or in case of captive use • @ 100% exemption from cross subsidy surcharge and wheeling charges /transmission charges on interstate sale of solar power • Subsidy for Grid Connected Rooftop Solar PV Plants@ Rs. 15000/KW to the maximum limit of subsidy or Rs. 30000/KW per consumer on first come first serve basis for the first 100 MW applications submitted online to UPNEDA • Subsidy for Mini Grid@ 30% subsidy for the project to be installed in villages/Majras identified by UPNEDA/State Govt Page 6 23 January 2021
“Food Processing Sector” Key strengths ► Lying along fertile Indo-Gangetic plains, UP has nine agro-climatic zones suits food processing industry ► Highest share in national output of sugarcane, food grains, potato, wheat, milk, mango etc. Food Processing Policy 2017 • Capital Investment Subsidy @25% upto Rs 50 lakhs • Additional Grants-in-aid to Mega Food Parks upto Rs 50 Cr under SAMPADA scheme • Additional Grants-in-aid @10% under SAMPADA scheme for fruits & vegetables processing industries • Interest Subsidy @100% for 5 years to micro and small food processing industries,, and @7% for 5 years for establishments other than micro and small food processing industries. • Interest Subsidy for purchase of reefer vehicle/ mobile cooling van @7% for 5 years • Export promotion incentive @50% reimbursement of expenses incurred on exporting processed food samples for test marketing; and reimbursement of 25% of transportation cost up to INR 10 lakhs p.a. for 3 years. Also 20% refund of Free On Board value up to Rs 20 lakhs per beneficiary p.a. for 3 years. • Patent registration fee reimbursement @75% and Quality certification fee reimbursement @50% for internationally accepted quality certification Page 7 23 January 2021
“Pharmaceuticals Sector” Key strengths ► UP has more than 17% market share of national pharma sales with vibrant R&D ecosystem in pharma ► State coming up with Medical Device Parks in GBNagar and plans to set up Bulk Drug Park in Lalitpur Pharma Industry Policy 2018 • Patent Filing Fee refund on actual costs @100% on domestic & @50% on international patents • Quality Certification Subsidy @75% of cost incurred for ISO & 50% of cost incurred for BIS certification • Support for setting up R&D institutes @60% of annual interest on loan taken reimbursement • Support for Clinical Trials @ 75% of total expenditure reimbursement • Support for Contract / sponsored research in form of @50% subsidy on eligible project cost to research institutes situated within UP • SGST Reimbursement, Stamp duty exemption, Capital Interest Subsidy, Infrastructure Interest Subsidy, Industrial Research Subsidy, Electricity Duty & Mandi Fee exemption as per under IIEPP 2017 • Incentives to Private Pharma Parks: Horizontal Pharma Park developed over min 10acres of land and Vertical Pharma Park developed over min 3 acres of land will be provided same incentives as provided to Private Industrial Parks under IIEPP 2017 Page 8 23 January 2021
“Defence & Aerospace Sector” Key strengths ► Upcoming UP Defence Industrial Corridor spread over 5000 hectares of land along 6-nodes viz. Agra, Aligarh, Jhansi & Chitrakoot, Lucknow & Kanpur. Rs 50,000 Crores investment expected. ► Wide possibilities in aerospace sector with the upcoming Jewar International Airport Defence & Aerospace Manufacturing Policy 2019 • Capital Subsidy • @10% of FCI (except land cost) upto Rs. 10 Cr & @15% upto max Rs. 15 Cr in Bundelkhand for Mega & Anchor D&A Unit • @5% of FCI (except land cost) upto max Rs. 5 Cr & @7.5% upto max Rs 7.5 Cr in Bundelkhand for MSME & Vendor Unit; • @10% of FCI up to Rs. 10 Cr and @15% of FCI up to a limit of INR 15 Cr in Bundelkhand for Private Defence & Aerospace Parks • @20% up to Rs. 1 Cr for setting up ETP (Mega Anchor & Anchor units) • Grant for setting up of Common Facility Centres @ 25% wherein 75% grant has been provided by GoI • Stamp Duty @100% exemption • Transport subsidy (Mega Anchor & Anchor units) • @50% subsidy upto consolidated maximum Rs. 2 Cr for transporting imported plant and machinery from logistic park/ transport hub/ port/ harbour to the production unit; • @30% subsidy up to Rs. 1 Cr (per annum for 5 years) for transporting finished goods to logistic park/ transport hub/ port/ harbour from the production unit • Technology transfer (Mega & Anchor units) @75% for the 1st 5 units & @50% towards next 5 units up to Rs. 50 lac per unit Page 9 23 January 2021
Ease of Doing Business 12 positions 2nd RANK Implementation of BRAP action points under EODB exercise in Uttar Pradesh jump in “Achiever State” 2years BR A P implementationFY18-19 (DPIIT, 2020) BRAP 17-18 BRAP 18-19 12th Rank 372 Reforms 187 Reforms (FY18) Implemented Implemented 14th Rank Implementation of recommendations at (FY17) District Level through District level EODB NIVESH MITRA Applications only through Nivesh Mitra One of India’s largest digital Single Window clearance platform (No offline applications allowed) To provide NOCs/Clearances/Licenses including Renewals required for Only One Time Query on Applications within setting up (Pre-Establishment) & running (Pre-Operation) a business in UP 07 days of application received SKOCH – Digitally Signed Downloadable NOC / 166 20+ Clearances / Approvals GOLD Award no of Total departments received in have been Timelines included in UP Janhit GuaranteeAct services on governance Nivesh Mitra integrated category Land More than 20,000 acres of ready to move Bank industrial land bank Page 10 23 January 2021
Thank You For more details, log on to http://invest.up.gov.in/ And write to us at info@udyogbandhu.com
Government of Maharashtra Maharashtra’s Industrial and Investment Ecosystem Fast-tracked Investments, Strengthened Coordination & Eased approvals
Maharashtra: The economic and socio-economic powerhouse Maharashtra’s GDP size Attracted $140 Maharashtra is $480 billion; billion FDI in 2000- contributes to 15% of accounting for 16% of 2020; accounting the Industrial output India’s GDP. for 30% of India’s in India. share. Largest GDP in India Largest share in FDI Leader in Manufacturing Maharashtra has the Maharashtra has the Maharashtra has the highest Per Capita highest value of highest employable Income in India at exports; accounting talent in India at $3,190 in 2019-20 for 21% of India’s 68%. exports High Per capita Income State Leader in Exports Best Quality Workforce Leading with highest One of the leading 5 International & 13 number (317) charging state with 239 domestic airports, 2 stations to be allocated Engineering and major & 53 minor ports, under FAME II* Technology Colleges and largest power Highest Number of Charging capacity. Best Colleges in India Mature Infrastructure Stations Source: RBI Handbook of Statistics 2020; NITI Aayog State Statistics; DGCIS Database; IBEF; India Energy Portal; India Skills Report 2020, AISHE 2019; *Faster Adoption and Manufacturing of Electric Vehicles in India Program
Attracting consistent flow of FDI Maharashtra FDI flows in Rs. Crore (USD Million) Maharashtra is an all- ₹ 132,065.7 ( $19,654 ) weather undisputed leader of investments inflow, ₹ 87,412.7 driven by two indispensable ₹ 53,986.5 ( $13,423 ₹) 77,847.7 factors – Consistency & ( $12,409 ) ₹ 76,617.3 ₹ 42,010.9 ( $11,383 () $10,880 ) Scale and Quality over ₹ 44,584.3 ₹ 61,014.9 ( $10,160 ) ₹ 40,033.9 ₹ 46,575.9 ( $9,553 ) ( $9,511 ) ( $8,271 ) ( $8,716 ) Quantity. ₹ 27,879.0 ₹ 38,820.9 ₹ 18,409.6 ₹ 16,299.2 ( $6,097 ) ₹ 20,040.5 ( $6,361 ) ₹ 26,220.1 • 29% Share in India’s overall ( $3,957 ) ( $3,598 ) ( $3,420 ) ( $3,619 ) FDI during 2000 – 20. ₹ 2,543.7 ( $577 ) • Maharashtra has one of Jan 2000 - 2005-06 2006-07 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13 2013-14 2014-15 2015-16 2016-17 2017-18 2018-19 2019-20 2020-21 the highest rates of Dec 2005 (Jan - Mar) (April - MoU/IEM conversions in Sep) India, despite global declining trend in FDI. Maharashtra FDI inflow% • Attracting substantial 30% 28% 28% greenfield investments in of India’s flows the sectors such as Data Centers, Pharmaceuticals, Logistics, Chemicals, Automobiles, EVs, ESDM and more Source: DPIIT FDI Statitics
Growth led by developed infrastructure Delhi – Mumbai Industrial Corridor Total cost: $90 billion International Financial Services Two Industrial nodes in MH Centre Navi Mumbai International • AURIC (Aurangabad) To be located at BKC, Mumbai Airport • Dighi (Raigad) Pathway to making Mumbai a Total cost: $2.6 Bn. Global Financial Hub Passenger Capacity: 60 Million/Year Maharashtra Prosperity Corridor Total cost: $6.9 Billion Daily Ridership: 11 Million Length: 700 km (435 miles) Mumbai Trans-Harbour Metro Projects in Pune, Mumbai Link and Nagpur Total cost: $2.2 Billion Total cost: $21.8 billion Yearly Ridership: 14 Million Daily Ridership: 9 Million 30+ Number of Mega Projects under development $40 Bn Total Investment in Transport Infrastructure +48 Mn Population Impacted
MIDC: Nodal Agency for all Investors Maharashtra Industrial Development Corporation (MIDC) is the nodal Investment Promotion agency under the Government of Mahara shtra. It provides businesses with infrastructure such as land, roads, water supply, drainage facilities and streetlights etc. ▪ Delhi Mumbai Industrial Corridor (DMIC) ▪ 289 Industrial complexes Key Activities ▪ SUPA – Japanese Industrial ▪ Over 2.5 lakh acres of land Investment Zone Estates Special planning authority Projects ▪ Wine Parks ▪ 13 Chemical Zones Specialised Strong network of local authorities Infrastructure ▪ Silver Parks ▪ 19 CETPs1 ▪ 2 STPs2 ▪ Floriculture Park Link between Govt. and Industry ▪ 4 CHWTSDF3 ▪ Food Parks ▪ Textile parks Acquisition and disposal of land CFCs Electricity ▪ 27 IT Parks, 9 SEZs ▪ Largest water supply Providing support Infrastructure network in Asia Water ▪ 2500 MLD per day One-stop for Investors Relations ▪ Dedicated feeders for industries
Maharashtra: Leading in Developed and Emerging Sectors Chemicals Electronics Leader in Domestic Appliances, Leading states in India with 17% share Electronic components and other in production. items; share at 22% in production. Pharmaceuticals Food Processing Leader with 17% share in pharma and Leader in Processed sugar items, medical devices production; 20% share cereals, fruits and vegetables. in exports. Automobiles IT/ITeS Leader in production; 20% share in Leader in IT Software, Data Centers in overall automobiles and 21% share in India. One of the biggest IT exporters. auto components production. Leather & Footwear Textiles and Apparel One of the leading states for Footwear One of the leading states in textile and and Leather product production and apparel production at 8% share. exports from India. Toys Aerospace and Defense Leader with 45% in overall output and Highest growth in Aircrafts equipment 33% in overall exports in India. manufacturing at 24% in 2017-18. Oil and Gas Gems and Jewellery One of the highest potentials of oil and Leader in manufacturing and exports of gas repositories in the country. gems and jewellery in India.
Magnetic Maharashtra 2.0 – Key Reforms Launched 1. Plug and Play Infrastructure 2. Maha Parwana Allowing an FDI investor to utilize a ready to use infrastructure (Accelerating Permissions) complete with affordable rental sheds, comprehensive utilities, A single window clearance system for FDI investors that meet expat housing, modular spaces in a 100% compliant ecosystem. statutory norms to start operations within 48 hours Almost 40000 Acres. 6 Regions | 250 Acres | 450 Sheds 20+ Departments | 100+ Permissions 3. Maha Jobs 4. Investor First Programme Dedicated industrial employment portal, launched in July 2020, Relationship Manager (RM) and Relationship Executive (RE) will aims to help new and potential investors employ the vast and be assigned investors for overall co- ordination and providing skill rich local talent in Maharashtra on the portal across 17 necessary support to the Investors on continuous basis. sectors and 950+ job roles 2.94 L Applicants | 2,731 Employees | 38,042 Jobs Assigned to 29 MoU Partners | 10 Investment Fellows Championed by a Relationship Manager/ Task Team
MIDC’s expanding land bank Mumbai-Thane-Raigad | 15,000 Acres Engineering | Food Processing | Auto & Components | Chemicals | Pharmaceutical | Pune-Chakan-Talegaon-Satara | 8,000 Acres Data Centre | Gems & Jewelry | Engineering | Food Processing | Auto & Components | ESDM | Logistics Nashik-Malegaon-Ahmednagar | 5,000 Acres Food Processing | Medical Equipment | ESDM | Engineering Aurangabad (AURIC, DMIC)-Jalna | 8,000 Acres Food Processing | Auto & Components | ESDM | Textile Nagpur – Amravati | 4,000 Acres Aerospace & Defence | Engineering | Textiles | Food Processing
Automobiles in Maharashtra Major Auto Clusters in Maharashtra Sector Overview Share in GSDP (%) 7% Nagpur Share in Industrial 15.3% Nashik GSDP (%) Aurangabad 20% (Motor Vehicles NIC291) Share in India’s 21% (Parts and Accessories NIC293) Mumbai Output (%) 24% (Other transport equipment NIC309) Pune 49% (Two and Three Wheelers) Share in India’s 27.4% (Motor Vehicles/Cars) Exports* (%) 22.3% (Auto Components/Parts) 11.6% (Auto tyres and tubes) Auto & Auto Conducive Ecosystem components Pune is the largest auto hub in India with more than 4000 hub manufacturing and ancillary units in Pimpri-Chinchwad region alone. Major Auto Players in Maharashtra 3 major institutes : Automotive Research Institute of India, Pune – R&D, Testing and Certification Organization; Auto Cluster Development and Research Institute, Pune – Development of MSMEs for OEMs; & Horiba India Technical Centre, Pune – Emission measurement systems and advanced analytical instruments. Source: CMIE Database, DGCIS Database, MAITRI, *2017-18 – 2019-20;
Food Processing in Maharashtra Major Food Processing Hubs in Maharashtra Sector Overview Share in GSDP (%) 7% Nagpur Share in Industrial 15% Nashik GSDP (%) Aurangabad 14% (Meat) Ahmednagar 11% (Marine) Share in India’s 19% (Fruits and Vegetables) Nanded Output (%) 13% (Oil) Pune 16% (Dairy) Latur 20% (Processed food items) Osmanabad Share in India’s Major Food Processing hubs 15%* Ratnagiri Exports (%) Major Wine Parks Sangli Cold Chains Product based Clusters Fruits Nashik, Ahmednagar, Pune, Satara, Solapur, Osmanabad Jaggery processed foods Kolhapur, Pune, Satara Major Food Processing Players in Maharashtra Fruits Processing Pune, Aurangabad 2 Dedicated Institutes Pulses Processing Nagpur, Jalgaon • Central Food Technology Prepared Foods Dhule, Beed Research Institute (CFTRI), Bakery Products Mumbai, Jalna, Jalgaon Mumbai Beverages Nashik, Raigad, Solapur Fisheries Thane, Raigarh, Ratnagiri, • Marathwada Agriculture Sindhudurg University, Parbhani Milk Pune, Satara, Sangli, Nashik Source: CMIE Database, DGCIS Database, MAITRI, Invest India, *2017-18 – 2019-20
Chemicals in Maharashtra Major Chemical Clusters in Maharashtra Sector Overview Share in GSDP (%) 6.5%^ Nagpur Share in Industrial Nashik 14.5%^ GSDP (%) Aurangabad 22% (Pesticides, agrochemicals & other chemicals NIC202) Thane Share in India’s 17% (Other Chemicals NIC2008) Output (%) 13% (Basic Chemicals NIC201) Pune Nanded 25% (Fertilizers) Raigad Share in India’s 18% (Organic Chemicals) Exports (%)* 12% (Inorganic Chemicals) Ratnagiri Major Chemical Conducive Ecosystem Kolhapur Hubs The state has 13 Dedicated Institutes for Courses in Chemical zones at Chemicals: Ambernath, • Indian Institute of Technology, Badlapur, Butibori, Bombay Major Chemical Players in Maharashtra Dombivali, Kalyan- • Institute of Chemical Technology, Bhiwandi, Kurkumbh, Mumbai Lote Parshuram, • National Chemical Laboratories, Mahad, Patalganga, Pune Roha, Taloja, Tarapur, • Visvesvaraya National Institute of and TTC. Technology, Nagpur Source: CMIE Database, DGCIS Database, MAITRI, *2017-18 – 2019-20; ^include Chemicals, Pharmaceuticals and
IT/ITeS in Maharashtra Major IT/ITeS Clusters in Maharashtra Sector Overview Nagpur Share in GSDP (%) 25.7% (Average during 2011-12 and 2018-19) Amravati Nashik Growth rate (%) 7% (2018-19) Aurangabad Share in India’s Thane 20%* Ahmednagar Exports (%) Mumbai Developed 37 public IT parks which are functioning in Pune MIDC Presence the State with an investment of about INR 18,000 crore Latur and about 2.68 lakh employment Solhapur Satara • INR 67,872 Crore investments attracted during 2015-20 Sangli • 8.65 Lakh new employment opportunities generated Other(s) during 2015-20. Kolhapur Major IT/ITeS Hubs • SGST Collection of INR 7,643 Crore generated from IT/ITeS during Jul 2017 – Mar 2020. Major IT/ITeS Players in Maharashtra Conducive Ecosystem Centre for Mumbai-Pune Development of 49,630 new Knowledge Advance Computing IT/ITeS units Corridor is fast (C-DAC) and Indian were emerging as the IT Institute of Bombay established hub of the (IIT-B) are the major during 2015- country. dedicated instates in 20. India Source: CMIE Database, DGCIS Database, MAITRI, Directorate of Industries, MH; *2017 -18 – 2019-20
Maharashtra’s dynamic policy ecosystem Industrial Policy, Aerospace and 2019 & Package Defence Scheme of IT/ITeS Policy 2015 Fintech Policy Manufacturing Electronic & Fab Incentives, 2019 2018 Policy 2018 Policy 2018 Maharashtra has designed industry and sector friendly policies by keeping specific sector’s demand in mind. Incentive for Electric Vehicle Development of The state is consistently Integrated and related Food Processing Integrated updating its incentives Logistics Parks Textile Policy 2018 Infrastructure Policy Industrial Area - and offerings in line with Policy 2018 Policy 2018 2018 the changing global economic dynamics and business scenario Few major policies in pipeline: IT/ITeS Promotion Policy 2021, ESDM Policy, Data Center Policy, among others.
Package Scheme of Incentives 2019 Qualification Criteria Policy Highlights Project Minimum Direct • 100% Captive Process Vendor (CPV) investment to be considered as part of Area Classification FCI (INR Cr.) Classification Employment admissible FCI Ultra Mega • CPV and Captive Power Plant won’t be counted for determining qualifying criteria Entire State 4000 4000 Industrial Unit • HPC to recommend customized Package of Incentives on case-to-case basis A&B 1500 2000 • Projects of Special Importance (may or may not be Mega/Ultra-Mega projects) Ultra C 1000 1500 may get customized package of incentives on case-to-case basis via HPC Mega & Mega Industrial D 750 1000 • State government will be equity partner of 9% through MVRPL in projects with Mega Unit D+ 500 750 FCI of more than 500 crores Projects VMRSD# 350 500 • Allocation of MIDC land to on priority basis Scale of Industries NID, NAA, AD 200 350 Area Min FCI (INR Minimum Direct Max as % of Incentive • 100% stamp duty exemption in C,D,D+, Talukas, Aspirational Districts, NID regions Classification crore) Employment FCI period (Yr) and in A, B region only for BT manufacturing and IT parks in Public(100%) and Private A & B (Only (75%) 750 1000 25% 7 LSI) • IPS on Gross SGST paid by units Large C 500 750 40% 7 • LSI units in Food Processing, Green Energy and Industry 4.0 to get additional fiscal Scale D 250 500 60% 7 support Industries D+ 150 400 70% 7 • Thrust sectors to get additional incentives # (LSI) VMRSD 100 300 80% 9 • Incentives to promote quality competitiveness, R&D, technology up-gradation, water NIA, NAA, AD 100 250 100% 9 & energy conservation, cleaner production and credit rating Area Eligibility • In New MIDC industrial estates, 20% area to be reserved for MSMEs; Up to 100% Max FCI Ceiling as % of FCI Classification Period (yrs) stamp duty exemption. A MSME shall - - • Electricity duty exemption for Eligibility period; IPS on Gross SGST paid by the units. B include units as 30% 7 • Power tariff subsidy (except A zone) to an extent of Rs 1 per unit for 3 years. C per the MSMED 40% 7 • MSMEs in Food Processing, Green Energy and Industry 4.0, will get additional fiscal D Act, 2006, as well 50% 10 support MSME D+ as the units with 60% 10 • Interest subsidy @ 5 % p.a. (except A zone), maximum upto electricity bills paid for VMRSD# FCI of upto INR 80% 10 the year; Marketing Assistance scheme NIA, NAA, AD 50 crore 100% 10 • Fiscal assistance to SC/ST/women entrepreneurs
Government of Maharashtra Thank You
CANADA-PUNJAB 2021 21st Jan 2021 WELCOME TO PUNJAB, INDIA COPYRIGHT © 2021-INVEST PUNJAB INDIA ALL RIGHTS RESERVED.
STRATEGICALLY LOCATED VIBRANT ECONOMY With 1.5% of India’s land area, contributes 3% to India’s GDP PUNJAB FOOD BOWL OF INDIA TRACTORS NEW DELHI India’s largest Tractor PUNJAB 25% Rice & 35% Wheat manufacturing State. share in Central Grain Punjab accounts for 29% Pool of India total Tractor production Proximity to National Capital MUMBAI (NEW DELHI) BICYCLE TEXTILE 250 KMs Leading State in Biggest Hosiery- 4 Hrs Bicycle (75%) & Woolen (65%) Bicycle components Manufacturing 55 Min (92%) Manufacturing State COPYRIGHT © 2021-INVEST PUNJAB INDIA ALL RIGHTS RESERVED.
Raw Material Infrastructure Processing & Exports Agri Leader in India ▪ Three Mega Food Parks ▪ 21% contribution to ▪ 1st in per capita milk -Ludhiana, Kapurthala manufacturing GDP of availability (1120 gms/ & Fazilka Punjab day) ▪ 600+ cold storage, 162 ▪ Houses MNCs like HUL, ▪ 2nd in production of warehouses ITC, Nestle, Pepsi, Coca wheat, rice, kinnow ▪ Houses India’s largest Cola, CN IFFCO, Godrej ▪ 3rd in honey production agricultural university Tyson, Cargill, Bunge, ▪ Leading in peach, pear, (PAU) Cremica etc. muskmelon, peas, ▪ 3 COE– Potatoes ▪ 200+ products exported guava, cabbage, carrot, (Netherlands), to 140 countries onion, potato & radish. Vegetables (Israel), Citrus (Israel) Opportunities Investment: Technical tie-ups/ CoEs ▪ Dairy Processing ▪ Beverages and Malt ▪ Precision farming ▪ Fruits & Vegetables ▪ New Packaging Technology ▪ Soil health solutions Processing ▪ Cold chain, Logistics and bulk ▪ Water management ▪ Meat Processing storage solutions COPYRIGHT © 2021-INVEST PUNJAB INDIA ALL RIGHTS RESERVED.
Ecosystem Strengths EV ▪ Presence of leading OEMs in ▪ Contributes 29% to India’s ▪ Home state of India’s Commercial vehicle total Tractor production leading E-2W segment, Tractors and Farm ▪ 2nd in Tractor exports from manufacturing company. Equipment. India with a share of 22% ▪ Presence of players in ▪ Houses suppliers to major ▪ Contributes 92% to India’s production of E-2W, Li- OEMs such as Honda, bicycle components and ion Battery, E-rickshaw, Maruti, BMW, Audi, Tata 75% to India’s bicycle E- Golf carts etc. Motors, Volvo, Hyundai, production. Mahindra & Mahindra, ▪ 1st in bicycle exports from Ashok Leyland etc. India with a share of 80% in the exports. Opportunities Investment: Potential Locations ▪ Agri & Farm Equipment- ▪ High-end bicycles and E-Bikes ▪ Hi Tech Valley, Ludhiana (380 tractors, combine ▪ E-Buses, E-2W, E-3W, Battery acres) harvester etc. ▪ HCV & MCV segment. ▪ IMC, Patiala (1000 acres)* ▪ Technology Transfer COPYRIGHT © 2021-INVEST PUNJAB INDIA ALL RIGHTS RESERVED.
Raw Material Ecosystem Upcoming ▪ Rich supply of Polymers like ▪ Chemicals sector accounts ▪ Planning to set up a Plastic PP, LDPE, HDPE which are for 4% share of GVA (FY Park in Sangrur (115 raw materials for others. 2019-20) acres). ▪ Home to North India’s ▪ Thriving Plastics industry in largest refinery HMEL at Punjab - Frontier, Star Bathinda Polyfab, Diplast, Max o CAD 6 bn investment in the Specialty Films etc. state ▪ Dedicated R&D Institution o Operational Capacity 11.5 like CIPET-CSTS Amritsar, MMTPA & Scalable capacity Indian Institute of Science of 18 MMTPA & Research Mohali, IIT Ropar Opportunities Investment: ▪ Packaging ▪ Construction ▪ Consumer goods ▪ Automotive ▪ Specialty chemicals such as ▪ Agriculture paints, adhesives & surfactants ▪ Electrical & Electronics COPYRIGHT © 2021-INVEST PUNJAB INDIA ALL RIGHTS RESERVED.
Raw Material Ecosystem ▪ 18 mn tonnes of paddy ▪ 17 plants producing bio- straw available per annum fuel, bio-gas, food grade ▪ Top districts in paddy straw ethanol etc. are in various production include Sangrur, stages of implementation. Ludhiana, Patiala, Moga, ▪ 8 more plants will be Ferozepur, Sri Muktsar commissioned by 2023-24. Sahib, Jalandhar, Bathinda ▪ Home to major brands such etc. as Verbio, Reliance Power, Mytrah, IRM Energy, Tata Power, Acme, Sukhbir Agro Energy etc. Opportunities Investment: ▪ Bio-coal ▪ Bio-Fuel ▪ Biomass briquettes ▪ Bio-Gas ▪ Bio-Ethanol COPYRIGHT © 2021-INVEST PUNJAB INDIA ALL RIGHTS RESERVED.
DIGITAL ELECTRICITY WORKFORCE LOGISTICS INFRASTRUCTURE Affordable Peaceful Ranked 2nd Ranked 2nd Quality Power Labour in Ease of Logistics in Tele-Density (%) ▪ CAD 0.088 / unit ▪ No major strike in ▪ 1st in Safety/ Security of ▪ 1st in India (No. of (variable tariff) last 3 decades Cargo Movement Internet subscriber/ ▪ Electricity Surplus ▪ No domicile ▪ 5 Inland Container 100 population) State restriction Depots & 3 multi-modal ▪ In top 5 states in ▪ Low Transmission ▪ 24X7 shifts across logistics park optical fiber net Losses ▪ 2 International & 4 gender connectivity Domestic Airports ▪ Competitive wages @ ▪ 4G connectivity ▪ 2nd Highest rail density ~CAD 172/ month across the State ▪ Connected to dedicated freight corridors COPYRIGHT © 2021-INVEST PUNJAB INDIA ALL RIGHTS RESERVED.
MINIMUM INVESTMENT MINIMUM DIRECT FCI (In CAD) EMPLOYMENT Apparels & Made-ups, Electronics, Food Processing, Footwear & 9 mn 500 Accessories, IT/ITeS Any other Manufacturing or service 35 mn 1000 sector GST Employment Subsidy Reimbursement on Upto ALL INDIA SALES UPTO C$ 837 200% OF FCI Per employee, per year for 5 years OTHER INCENTIVES ❑ 100% Electricity Duty Exemption for 15 years ❑ 100% exemption from external development charges ❑ 100% exemption / reimbursement from duties levied on purchase of land COPYRIGHT © 2021-INVEST PUNJAB INDIA ALL RIGHTS RESERVED.
UNIFIED REGULATOR ONE STOP OFFICE (23 Departments) ADVANCED SINGLE WINDOW SYSTEM INVESTMENT ONE OF ITS KIND IN INDIA PROMOTION AGENCY INVESTMENT FISCAL PROMOTION INCENTIVES DEDICATED RELATIONSHIP OFFICERS REGULATORY INVESTMENT CLEARANCES FACILITATION DIGITAL APPROVALS WWW.INVESTPUNJAB.GOV.IN COPYRIGHT © 2021-INVEST PUNJAB INDIA ALL RIGHTS RESERVED.
THANK YOU info@investpunjab.gov.in WWW.INV ESTPUNJAB.GOV .IN ( +91) 172 2776001 COPYRIGHT © 2021-INVEST PUNJAB INDIA ALL RIGHTS RESERVED.
India-Canada Association: Gujarat’s value proposition
Partnership between Canada and Gujarat • ‘Canadian Trade Consulate’ has been setup in Ahmedabad to boost trade and economic activities • Major Canadian companies that have invested in Gujarat include: North America's largest automotive Rail Manufacturing company with World’s largest producer of French parts supplier inaugurated two its plant in Vadodara and has fries and potato snacks has its plants in 2017 at Sanand. manufactured 1,600+ bogies plant in Mehsana since 2011 • Gujarat University Startup and Entrepreneurship Council (GUSEC) and Canada’s Launch Academy entered into a MoU for the purpose of exchange of knowledge towards enhancing the capacity and quality of startups, entrepreneurs, innovators and mentors Strictly private and confidential September 2020 Pw C Presentation 3
Socioeconomic snapshot of Gujarat Gujarat’s GDP 13% growth (2013-14 to 2018-19) 240% ~17% of India’s industrial output (2018), and ranked Growth of 240% in FDI in 1st in terms of investment FY2019-20 over previous committed (2019) year 2013-14 330% 2018-19 100 Gujarat's GDP (at current prices) stood at US $215 billion in More than 3 times growth in 2018-19, as against US $115 domestic investments in billion in 2013-14 Presence of nearly 100 2019 over previous year Fortune 500 companies in Strictly private and confidential September 2020 Pw C Presentation Gujarat contributes 8% to India’s GDP the state
Several ‘Firsts’ of Gujarat In terms of total FDI inflows to India in HY of 2020-21. Gujarat accounted for 53% of 1st India’s FDI between Apr – Sep 2020 (USD 16 billion), higher than any other state Rank in terms of overall exports. Gujarat exported goods and commodities worth USD 28 1st billion between Apr – Sep 2020, accounting for 23% of India’s exports Rank in NITI Aayog’s Export Preparedness Index of states, demonstrating strong 1st performance across Export Promotion, Infrastructure, Business Ecosystem and Policy pillars Rank in Logistics Ease Across Different States (LEADS) Index, instituted by the Ministry of 1st Commerce, Government of India 1st Rank in terms of Industrial Entrepreneur Memorandum (IEM) filed and investment implemented in the country Strictly private and confidential September 2020 Pw C
Favourable ecosystem supporting economic growth Home to Fortune 500 companies 48 large ports handling 43% of and over 3.5 mn MSMEs India’s cargo movement 19 airports and airstrips with 3 23% India’s exports from Gujarat, international airports gateway to 180+ countries Over 33,000+ ha. industrial land Natural gas, water & power grid available through Special Economic (power surplus since 2006) zones and regions Labour peace and a large talent Multicultural and welcoming pool through world-class institutions, community ITIs, CoEs Strictly private and confidential September 2020 Pw C Presentation 4
A proactive, stable Government committed to EoDB Relaxation in Labour compliances MSME Act 2019 Investor Facilitation Portal (IFP) State Factories Act amended, The Act exempts all MSMEs 600,000+ applications processed. exempting new companies for from obtaining approvals for Provision for online mega approval, a period of 1,000 days from a period of 3 years and start covering 25 approvals (land, utilities, almost all labour laws operations immediately. building approval, etc.) underway Availability of skilled labour Gujarat Land Bank Dedicated Investor Desk One of its kind Indian Institute Fully digitized, GIS based At iNDEXTb to handhold, facilitate of Skills being setup in Gujarat, map providing real time land and assist companies/ investors which will empower 5,000 information from anywhere in pertaining to business opportunities in youth annually the world: Land Bank Portal Gujarat Top exporter in Q1 & Q2 (2020-21) Gujarat is a top performer New Solar Power Policy 2021 Gujarat ranked first in terms of in Water Management since Removed the capacity ceiling for exports among all states in the last two years as per NITI setting up solar project and also 1st and 2nd quarter of 2020-21 Aayog, Government of India allows collective ownership project for Strictly private and confidential self-consumption September 2020 Pw C Presentation 5
Gujarat Industrial Policy 2020 Highlights (post-COVID revival) Substantial reduction in cost of doing business – land lease on long term Government will provide land on long term lease up to 50 years to industrial enterprises @6% of the market rate Capital Subsidy Gujarat is the first state to de-link incentives from SGST. Upto 12% of fixed Capital investment (no upper cap) will be given to large industries for setting up manufacturing operations in the form of capital subsidy Relocation subsidy on a case-to-case basis Tailored incentives for companies willing to relocate from other countries / and or diversifying their supply chains Encouraging Research and Innovation (R&D) Financial support of up to INR 50 million to private companies / institutions for setting up R&D institution / product development centre. Assistance of up to 50% of project cost for Contract / sponsored research Support for Environmental Infrastructure and Sustainable Development Financial support of up to INR 500 million (40% of project cost) for common environmental infrastructure facilities Strictly private and confidential September 2020 Pw C Presentation 17
Focus sectors (1/2) NEW AND RENEWABLE ENERGY CHEMICALS AND PETROCHEMICALS • Gujarat contributes to nearly 13% of the • Gujarat – the global petrochemicals hub: renewable energy production in India o Contributes over 30% of chemical and 60% of • World’s Largest Solar & Wind Hybrid Energy petrochemicals output of India Park with a capacity of 30 GW being developed in o World’s largest grassroots refinery is in Kutchh Jamnagar, Gujarat catering to global • 5 GW of solar projects at Dholera Solar Park requirement of global products • Gujarat recently announced the Solar Power o Dahej (Gujarat) is India’s first chemical port Policy 2021 with a focus on incentivizing with a capacity of 10 million ton per year renewal power o Removed the capacity ceiling for setting up o Gujarat has a total of four refining complexes solar project and capabilities to manufacture 6000+ o Allows collective ownership project for self- chemicals consumption Strictly private and confidential September 2020 Pw C Presentation 17
Focus sectors (2/2) AUTOMOBILE/ AUTOPARTS SECTOR FOOD PROCESSING • Share of automobile sector in Gujarat’s overall • Gujarat ranks 2nd in food processing industrial FDI received is 13% as compared to 5% in India’s output with a share of 11.5% in the national output overall FDI • Gujarat Cooperative Milk Marketing Federation Ltd. • Gujarat is also emerging as a manufacturing and is the leading firm in the ice cream and frozen export hub for EVs and auto components desserts segment in India • Dholera SIR is emerging as a EV and Electric • Processed food worth US $312 million exported Battery manufacturing hub with a provision for EV in 2018-19 to over 145 countries charging stations in 920 sq. km master plan • Gujarat has been the key driver of frozen food • Gujarat provides access to global markets to with the likes of key brands such as McCain, auto manufacturers through its highly modern Cargill, ConAgra Foods, and Iscon Balaji ports at Kandla, Mundra and Pipavav Strictly private and confidential September 2020 Pw C Presentation 17
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