Transcript Slide 1

iNDEXTb
Source: World Bank, Deutsche Bank, IMF, IBEF
Vibrant and Sophisticated
financial sector
TRILLION DOLLAR ECONOMY
Robust business and legal
support system
7% ANNUAL GROWTH
during global economic slowdown
53% GDP FROM SERVICES SECTOR
29% from manufacturing sector
8% ANNUAL GROWTH PROJECTION
for the financial year 2010-11
9%
10%
9%
8%
6%
7%
4%
6%
4%
2%
2009
2008
2007
2006
0%
Real GDP Growth Rate
8%
8%
2005
High quality of life
1,400
1,200
1,000
800
600
400
200
-
2004
Versatile, skilled human
capital
Real GDP US$ Billion
Large and growing
domestic market
2003
Sound economic
fundamentals
4th largest economy in the world
Source: World Bank, Deutsche Bank, IMF
FDI Destinations of
the World
FDI DESTINATION OF CHOICE
second most favoured destination for FDI
9% ANNUAL GROWTH IN FDI
during global economic slowdown
US$ 19 BILLION FDI
inflow during April – November 2009
1.
2.
3.
4.
5.
China
India
Unites States
Russia
Brazil
FDI in Manufacturing Sector (2000-2009)
India ranks at the top on
availability of skilled manpower,
access to local and international
markets and strong market
fundamentals
Computer Software and
Hardware
3%
9%
Telecommunication
12%
Real Estate
9%
10%
Construction
Pharmaceuticals and
Chemicals
Source: Industries Commissionerate
CONNECTED TO MAJOR PORTS
of UK, Middle East, Africa, East Asia and Australia
1,600 KM COASTLINE
offers numerous opportunities for port based industries
GATEWAY TO INDIA
connected to landlocked states of India
The Global Business Hub
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Source: Industries Commissionerate
INDIA’S LARGEST PRODUCER
of drugs, chemicals and petrochemicals
Population
WORLD’S LARGEST CENTRE
for polished diamonds
Geographical area
No. of factories
5%
6%
10%
WORLD’S LARGEST PRODUCER
of psyllium husk, fennel seeds and Castor
WORLD’S LARGEST
grass root petroleum refinery
INDIA’S LARGEST PRODUCER
of Salt, Soda ash, and Marine products
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Net Manufacturing value
Value of output
Fixed capital investment
Exports
12%
16%
17%
22%
Gujarat's share in India
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Source: Industries Commissionerate
INDIA’S FIRST STATE
to enter Carbon Trading Agreement
with World Bank
INDIA’S FIRST LNG
TERMINALS
at Hazira and Dahej
INDIA’S FIRST CHEMICAL PORT
at Dahej
INDIA’S ONLY STATE
to have a state wide integrated gas grid
INDIA’S LARGEST
copper smelter
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Source: Industries Commissionerate
GROSS DOMESTIC STATE PRODUCT
US$ 75 billion
Contribution of Gujarat to India
ANNUAL GROWTH RATE
10.4% in last five years
POPULATION
58 million
PER CAPITA INCOME
US$ 1,094
URBANISATION
37.4%
HIGHLY INDUSTRIALISED
STATE
with over 39% of GSDP contributed by
secondary sector
The Global Business Hub
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Deustche Bank Research
Gujarat Ranks 1st in the
“Regional Scoring Tool” among 27
states in India.
“Gujarat offers the most favorable
outlook for the growth of demand for
infrastructure projects” with the
highest score of 28 out of the
maximum possible score of 33.
Deustche Bank Research, Nov 2007
A power sufficient state with
one of the highest per capita
power consumption
The only Indian state
with an integrated
state-wide Gas Grid
Excellent road and rail
network.
High Tele-density and
excellent internet
connectivity
State with the large number of
airports and ports
The Sardar Sarovar Narmada river
linkage project, to create
continuous water supply
throughout the state
The Global Business Hub
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Source: Socio-Economic Review, Gujarat State 2009-10
Pharmace
utical
Engineeri
ng and
Communi
cation
Knowle
dge
An
Education
Hub
Manage
ment
Law
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Chemic
al
Fashion
and
Design
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Source: Socio-Economic Review, Gujarat State 2009-10
More than 30,000
Engineering and 45,000
diploma engineering seats
available
More than 900 higher
education institutions in the
state for quality manpower
More than 500,000 students
enrolled in higher education
The Global Business Hub
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Source: Industries commissionerate
 12 Special Investment Regions of more
than 100 sq km each being planned
 1 Petrochemical and Petroleum
Investment Region, 60 Special
Economic Zones and existing 200
industrial areas, creating opportunities
across sectors
 38% of the planned Delhi Mumbai
Industrial Corridor route is through
Gujarat
 Development of new industrial
Phase 2
areas for agro parks, tourism and
• 257
recreation, and
Phase 1 Industrial
information technology
estates
• 83
product
clusters
The Global Business Hub
Phase 3 - SEZ
Phase 4 - Large scale
developments
• Multi product
• Single product• Delhi Mumbai
Industrial Corridor
• Multi Service
• Special investment
(IT/ITES)
regions
• Logistics parks
• Theme towns
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Mumbai
DELHI-MUMBAI
INDUSTRIAL CORRIDOR
(DMIC)
The Potential & Progress in
Gujarat
Vision for DMIC
A Global Manufacturing and Trading Hub
“ the engine for economic resurgence of the country”
• Supported by world class infrastructure
• And enabling policy framework
Project Goals
• Double the employment potential in five years
(14.87% CAGR)
• Triple industrial output in five years
(24.57% CAGR)
• Quadruple exports from the region in five years
(31.95% CAGR)
Infrastructure will play a major part in this jump…
Alignment of Dedicated Freight Corridor
Punjab
Uttaranchal
Haryana
Dadri
Delhi
Pakistan
Uttar
Pradesh
Rajasthan

Length of western DFC:
1483-km
Distribution
of DFC in six
States
•Uttar Pradesh-22 km (1.5%)
Gujarat
J.N.Port
Madhya Pradesh
•NCR of Delhi- 22 km (1.5%)
•Haryana- 148 km (10%)
•Rajasthan- 578 km (39%)
•Gujarat- 565 km (38%)
•Maharashtra- 148 km (10%)
Maharashtra
Later,
Arabian Sea
End Terminals
DFC Alignment
Andhra
Pradesh
Karnataka
some areas of MP have
also been included
Delhi-Mumbai Industrial Corridor (DMIC)
Haryana
Rajasthan

Uttaranchal
Dadri
Uttar
Pradesh
DMIC: a high impact industrial area
within 150 km distance on both
side of DFC

Area under Influence- 14% &
Population- 17% of the Country
Gujarat
Arabian Sea
J.N.Port
End Terminals
DFC Alignment
Madhya Pradesh

Total Population: 173.4 Million

Total Workers: 68.36 Million

Total 82 Districts of Six States within
the Influence Area
Maharashtra
(excluding
MP)

24 industrial nodes have been
proposed along the DMIC
DMIC Influence Area in Gujarat
Dadri
Mahesana
`
Ahmedabad
Rajkot
Vadodara

DFC- 565 km (38%)

62% of Total Area of Gujarat

18 out of 26 Districts affected

74% of Population of the State
(37.3 Million)

15.7 Million Workers of State

Major Cities Above 1 Million:
Ahmedabad, Surat, Vadodara,
Surat
Diu
Daman

City with 0.5-1 Million: Bhavnagar
J.N.Port
Note: As per Census-2001
End Terminals
DFC Alignment
` Cities/
Urban Agglomerations
DMIC: Proposed Industrial Nodes in Gujarat
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12
13
14
15
16
•Node-11:
•Node-12:
•Node-13:
•Node-14:
•Node-15:
•Node-16:
Palanpur-Mahesana Industrial Area
Ahmedabad-Dholera Investment Region
Vadodara- Bharuch Industrial Area
Bharuch-Dahej Investment Region
Surat-Navsari Industrial Area
Valsad- Umbergaon Industrial Area
Dholera SIR: Planning & Progress…
 Legal frame work enacted- The SIR Act, 2009
 Dholera SIR notified for 22 villages, for total 879 Sq. Kms
area.
 26000 hectares of Government lands reserved within SIR
Area for the purpose
 Pre-feasibility study and master plan for Dholera SIR
completed by Ms Helcrow of UK.
 Regional Development Authority (RDA) constituted
 Budgetary support of Rs. Six crores to RDA
 Seismic Microzonation study for entire area is in advance
stage by Institute of Seismological Research
 Water vulnerability study taken up through GSDMA.
 Environment Impact Study is under way for the SIR
SIR: Major indicators
•
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Land uses well integrated
Polycentric–multi centres
Conservation of villages
Development & Value add in
agricultural lands
Protection of the CRZ
Good access: road & rail
Expressway through road
Separation of industrial & city
traffic
Quality
internal
public
transport - LRT
New water fronts/bodies
Flood protection & fresh
water storage
Flexibility – To provide the
increase in industrial area
DMIC & SIR: The scale of the Vision
No.
Area (In Hectare)
GIDC Estates
(Functional)
180
26,077
SEZs approved
60
25,198
Shenzhen, China
1
32,700
Dholera SIR
1
50,000
Apart from big size, a SIR has to be of Global standards
Dholera SIR: a life time Opportunity
•
•
•
•
•
To build the industrial parks, townships, knowledge cities
In building its infrastructure: road, rail, water, sanitation
To build hospitals, tourism, hospitality and recreation complexes
Set up the industries, metro rail system & international airport
Develop multi-modal transportation & logistics hub
Dholera SIR is just one of many such opportunities…
and we want to do it mostly on the PPP way…
Logistics Parks along the DMIC/DFC
Palanpur
Ahmedabad
Gandhidham
Dahej
Hazira
– For
storage,
handling,
transportation and other
value added services.
– To focus on transportation
of goods by rail.
– Provision
of
rail-linked
freight terminal.
– Consolidation of traffic.
– Warehousing of goods,
packaging, labeling.
– Study completed by the
RITES
– Steps being taken for
making the Logistics parks
To Delhi
Gujarat offers Port Connectivity to DFC
Palanpur
Existing Rail Line
DFC
Mahesana
Ahmedabad
Kandla
Mundra
Bharuch
Dahej
Surat
Hazira
Pipiavav
To Mumbai
Source: Industries Commissionerate
453 SQ. KM
of brownfield area in coastal belt of Gulf of Khambhat
VICINITY
of chemical clusters of Jhagadia, Ankleshwar and Panoli
ONSITE CHEMICAL AND LNG TERMINAL
at Dahej
ANCHOR TENANT
ONGC Petro Additions Limited
DAHEJ SEZ LTD
promoted by GIDC and ONGC to develop SEZ in
PCPIR
Proposed investment USD 20 billion
Proposed employment of almost
0.8 million people
PCPIR is a specifically delineated investment region planned for the establishment of
manufacturing facilities for domestic and export led production of petroleum, chemicals
and petrochemicals
The Global Business Hub
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Source: Industries Commissionerate
• Concentration of Petroleum
,Chemical and Petrochemical
estates around PCPIR
• 1.1 MMTPA multi-feed cracker,
being developed by OPaL
• All infrastructure - road, rail, port,
power, gas, water - in place, with
planned up-gradation
Large chemical &
petrochemical
companies existing
Linking existing
Industrial Growth
Centers
Accessibility to
the Railway
Network & Ports
Accessibility to
Expressway, NH &
SHs and Major
District Roads
Substantial
land acquired
• Chemical Port and Storage Facility
• LNG terminal
• PCPIR specific infrastructure such as
effluent disposal pipelines, solid
waste disposal sites
Investment Already Made &
Committed
USD 13.72 bn
Infrastructure Development
USD 628 mn
The Global Business Hub
Fulfillment of PCPIR Policy
contiguity, minimum area,
port connectivity
Low level of Human
Settlements
Accessibility to
Water Supply &
Effluent Network
Dahej SEZ Limited 1,719
hectare multi-product SEZ,
part of PCPIR, was placed
amongst world’s top 25 SEZs
by Financial times
Source: Industries Commissionerate
ONE STOP DESTINATION
for global financial services and IT industry
500 ACRES
land being developed by Gujarat International
Finance Tec-City Company Limited
50:50 JOINT VENTURE
between Gujarat Urban Development Company
Limited (GUDCL) and Infrastructure Leasing &
Financial Services (IL&FS)
12 KM
from Ahmedabad International Airport
8 KM
from capital city of Gandhinagar
143 MILLION SQ. FT
of built-up area in the master plan
Gujarat International Finance Tec-City (GIFT) project
intends to capture 6-8% of Indian financial market and
create about 500,000 direct and equal number of
indirect jobs
27
The Global Business Hub
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Source: Industries Commissionerate
Multi Product SEZ
Electronics and IT / ITES
Engineering
Pharmaceuticals
Chemicals
Apparel and Textiles
Power
Biotech
Gems and Jewellery
Handicrafts and Artisan
Non Conventional Energy
Ceramic SEZ (GIDC)
Multi Services (GIFT)
FTZW
Port Multi Product SEZ
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17
10
4
4
4
1
1
1
1
1
1
1
1
1
Total area of about 30,000 hectares
under SEZs
Proposed employment of almost
2 million people
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The Global Business Hub
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Source: Industries Commissionerate
Opportunities: Metro Rail System between Gandhinagar and
Ahmedabad
An SPV named ‘Metro link-Express for
Gandhinagar & Ahmedabad (MEGA)
Co. Ltd.’ as a Project Development
Agency incorporated recently
Phase 1 Alignment (approx. 60 km)
Akshardham (Gandhinagar) to APMC
(Vasna) - N-S Corridor (32.65 km)
Kalupur Railway Station (Ahmedabad)
to Thaltej - E-W Corridor (10.90 km)
Ahmedabad Airport – Koba Circle –
GIFT City (approx 17 km)
Phase 2 Alignment
Vasna-Sarkhej-Indroda (via S.G.
Highway)
Sarkhej to Dholera
The Global Business Hub
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Source: Industries Commissionerate
Opportunities: Sabarmati River Front Development
Sabarmati River Front Development Corporation
Limited (SRFDCL) – SPV formed to execute the
project
Work in progress on final phase of development – 11
km on either bank
Total infrastructure investment planned – USD 200
million
Investment opportunities worth USD 3 billion
Private sector investments envisaged in:
(a) Development of commercial and residential
buildings
(b) Development, operation and maintenance of
riverfront parks and promenades
(c) Recreational facilities like boating, water sports
(d) Development of urban neighbourhood
(e) Water transportation modes
(f) Development of hotels, hospitals and institutional
buildings
The Global Business Hub
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30
VARIOUS URBAN DEVELOPMENT INITIATIVES
to ensure high quality living
WASHINGTON SUSTAINABLE TRANSPORT AWARD
to Bus Rapid Transport System of Ahmedabad
SABARMATI RIVER FRONT DEVELOPMENT
to create quality space for cultural and recreational activities
WIDE ARRAY OF CHOICES FOR TOURISTS
heritage monuments, archeological sites , wild life and beaches
The Global Business Hub
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Blueprint for Infrastructure
in Gujarat (BIG 2020)
Gujarat has already envisioned a future
and documented a vision – BIG 2020.
Power - power
generation capacity at
31,000 MW
US $ 45 billion
Gas including coal
gasification
US $ 25 billion
The new vision comprises investments
of US $ 222 billion in various sectors
like –
•Dholera
SIR
industrial
nodes,
and
other
SIRS,
logistics
parks,
industrial parks & SEZs within DMIC
GIFT - to be developed
as an International
Financial Services
Centre
Metro rail transport
and high speed rail
Kalpsar project across
Gulf of Khambat and
Irrigation projects
Urban development Development of new
townships and twin
cities around existing
ones
US $ 19 billion
and outside (US $ 34 billion)
•Roads, ports, railway, airports (US $
45 billion)
•Urban
infrastructure,
urban
transportation, water supply (US $ 29
billion)
•Tourism (US $ 10 billion)
The Global Business Hub
US $ 24 billion
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GIDB
“The most admired State Level PPP Agency in India”
KPMG Award-2008
“Best State in Public Private Partnership” – 2009
Jointly organised by IIFCL, IL&FS, KMPG & Business Standard
“Most Admired Infrastructure Facilitator-State Level”
KPMG-Infrastructure Today-2009
Gujarat leads the PPP way…
• First institutional arrangement in India for PPP
•Front runner State in Privatization of Infrastructure
•Private ports and railway lines, BOT roads, bridges
•Longest coast line in India-1600 km with one
•Major and several Minor Ports in private sector.
•Some air strips being developed in private sector
•Also, PPP moves in social sector
•The DMIC and SIR projects take the lead
•Project Structuring has been started for the SIR
projects
three routes for PPP…
Gujarat Infrastructure Development Act-1999
 In 1999, the Gujarat Infrastructure Development (GID) Act was
enacted which gives legal framework & roadmap for PPP
 GID Act proclaims ‘competitive bids’ as the preferred mode for
developer selection and lays down detailed guidelines
 However, ‘Swiss Challenge Route’ also recognised to take benefits
of innovative ideas and unsolicited projects
 In 2006, project award through Direct Negotiation added.
 A project can thus be awarded to a developer through:



Competitive bidding (section-9 GID Act)
Comparative bids (section-10 GID Act)
Direct negotiation (section-10A GID Act)
PARTNER COUNTRY
Japan
EXHIBITION PARTICIPATION
16 countries,232 exhibitors
SEMINARS
12 sector-specific seminars
PARTICIPANTS
Over 20,000 registered delegates
COUNTRIES PARTICIPATED
47
FOREIGN DELEGATES
Over 600
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• Vibrant Gujarat Summit events will begin from 10th January 2011
• Canada and Japan are partner countries
• To have a series of intellectual discussions through discussion forums and panel discussions on 10th and
11th January 2011
Discussion Forums (10/11th
January 2011)
• Good Governance
• Emerging Geographies
• Environment Technologies and
Green Energy
Panel Discussions (10/11th
January 2011)
• Rurbanisation
• Youth Potential, knowledge and
skill development
• Inclusive Growth
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Networking events
• B2B Meetings
• B2G Meetings
• Export Pavilions
• Catalogue Shows
• Sector specific dinners
• CEO dinner
Conventions and Seminars
• Small and Medium Enterprises
convention
• 7 sector specific seminars during
December 2010
• 7 sector specific seminars on 12th
/13th January 2011
• IIT conclave
• YPO convention
37
Mahatma Mandir
Gandhinagar
Register at
www.vibrantgujarat.com
iNDEXTb
INDUSTRIAL EXTENSION BUREAU
(A GOVT. OF GUJARAT ORGANISATION)
ISO 9001:2008 Certified
Relationship Partner
National Partner
Knowledge Partner
PwC
[email protected]
Source: Commissionerate of Geology and Mines
 Gujarat has got large natural reserves
of oil and gas. It has a reserve of 725
million tonnes of crude oil and 1,055
billion cubic meters of natural gas
 Gujarat produces the largest volume of
crude oil (5.9 million tonnes) in India
 It is the second largest producer of
onshore natural gas (2.6 billion cubic
metres) in India
 A mineral rich state both in terms of
capacity reserves and production
 Has a total mineral reserve of more
than 19,000 Million tonnes
 One of the highest reserves of bauxite,
limestone and clay deposits in India
The Global Business Hub
Limestone
Bauxite
Lignite
Dolomite
Silica Sand
Base metal
Chalk
China clay
Fluorspar
Fireclay
Granite
Manganese
Marble
Quartz
Wollastonite
Bentonite
39
Source: Industries commissionerate
Gujarat has one of the
lowest levels of minimum
wage which is around USD
120/month, making Gujarat
extremely competitive.
2000
1700
1557
1000
358
1014
820
122
70
267
Brazil
Japan
Russia
USA
Gujarat
United Kingdom
Turkey
Malaysia
Germany
Tax implication
60%
50%
40%
30%
20%
10%
Minimum income tax
Maximum income tax
U.S.A.
U.K.
Turkey
Russia
Japan
Gujarat
Germany
France
China
0%
Brazil
Gujarat is home to the
production of the
world’s cheapest,
international quality &
safe EU3 compliant carNano
China
Australia
0
Corporate tax
The Global Business Hub
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363
204
Australia
Taxes in India are broadly
•Value added tax- 12.5 %
•Corporate tax- 33.22 %
(42.23% for foreign
entities)
• Personal income tax•No tax on annual
income below USD
3,200.
•Rate of 10-30 %
based on income
slab.
Competitive wages ( USD/month)
VAT/GST
40
The Global Business Hub
Ports
Transport
Well connected by road, rail and
air ways.
12 domestic airports and 1
international airport
(Ahmedabad)
Extensive railway network 5,309 km.
Road network - 74,038 km
(National Highways - 2,867 km,
State Highways (18,702 km.),
Major District Roads- 20,707
km
1,600 Km coastline
1 Major Port at Kandla and 41
minor ports – Kandla port
handled 72 million MT and
minor ports handled 150 million
MT of cargo in 2008-09.
Cost efficient transportation of
natural gas, crude oil and
petroleum products from
Middle East and Europe
41
Leads all other states in
the country in terms of
gas pipeline for
industrial use, city gas
distribution and LNG
re-gassification
infrastructure
The Global Business Hub
Introduced Solar Power
Policy 2009
Many IT Parks
Installed capacity –
11,636 MW (October
2009)
Gujarat State wide Area
Network being
implemented for the
state government
Excellent internet
connectivity
Electricity
Gas
Only state in the
country to have two
LNG import terminals
High tele-density in
Gujarat
Telecom
Only state to have an
Integrated State- Wide
Gas Grid, network of
over 2,200 km
Electricity generated –
68,962 MU
Per capita consumption
of electricity – 1,446
units
Projected to become a
power surplus state by
2012 assuring high
quality power supply
42
Source: Industries Commissionerate
HIGHLY INDUSTRIALISED STATE
with over 39% of GSDP contributed by secondary sector
SUSTAINED INVESTOR CONFIDENCE
highest number of proposals in India
BEST STATE FOR INVESTMENT
creating value for investors and approved by financial institutions
The Global Business Hub
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