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Uttar Pradesh New Vistas for Growth & Partnership FICCI India – Central Europe Business Forum 28 th March, 2014
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Page 1: New Vistas for Growth & Partnershipficci-indiace-businessforum.com/pdf/Uttar Pradesh.pdf · 04.04.2011 · New Vistas for Growth & Partnership ... Tamil Nadu Gujarat Karnataka Uttar

Uttar PradeshNew Vistas for Growth & Partnership

FICCI India – Central Europe Business Forum

28th March, 2014

Page 2: New Vistas for Growth & Partnershipficci-indiace-businessforum.com/pdf/Uttar Pradesh.pdf · 04.04.2011 · New Vistas for Growth & Partnership ... Tamil Nadu Gujarat Karnataka Uttar

Page 2

Uttar Pradesh – Poised to scale new heights

Key Industrial Areas and Parks

Sectoral Opportunities – Unlocking Potential

AG

EN

DAIndustrial Polices and Incentives

Investor Facilitation & Support Systems

Page 3: New Vistas for Growth & Partnershipficci-indiace-businessforum.com/pdf/Uttar Pradesh.pdf · 04.04.2011 · New Vistas for Growth & Partnership ... Tamil Nadu Gujarat Karnataka Uttar

Uttar Pradesh – Poised to scale new heights

Page 4: New Vistas for Growth & Partnershipficci-indiace-businessforum.com/pdf/Uttar Pradesh.pdf · 04.04.2011 · New Vistas for Growth & Partnership ... Tamil Nadu Gujarat Karnataka Uttar

Page 4

Parameters Uttar Pradesh India

Population* (Mn.) 200 1,210

Urban population (%) 22.3 27.8

Area (sq kms) 2,41,041 3,287,240

GSDP (USD billion) 74.1 917.25

Literacy rate (%) 70 74

02468

1012141618

2007-08 2008-09 2009-10 2010-11 2011-12 2012-13

Per capita Income (UP) Per capita Income (India)

Uttar Pradesh – India’s largest state is growing at a robust rate

►Growth rate of service sector GSDP - CAGR of 9.3%►Primary sector contributes 29.1% in UP’s GSDP against 19.7% in India’s GDP ►Percentage of services sector in State GSDP has increased by from 48% to 55%

• Census of India 2011• Conversion – USD 1 = INR 60

Most populous

State (16.5% )

5th Largest State in size

(7.3%)

3rd Largest economy

(8%)

Source: Annual Plan (s) , Planning commission

Growth comparison of GSDP Vs. National GDP (INR billion)

7.3 7.06.6 7.8

6.9

5.4

9.36.7 8.6

9.3

6.2

5.0

1

FY08 FY09 FY10 FY11 FY12 FY13Uttar Pradesh(%) India(%)

6.7%

CAGR - UP

7.1%

CAGR - INDIA

CAGR 13.9%

CAGR 12.6%

Growth comparison(%) of Per capita Income of UP Vs. All India

Page 5: New Vistas for Growth & Partnershipficci-indiace-businessforum.com/pdf/Uttar Pradesh.pdf · 04.04.2011 · New Vistas for Growth & Partnership ... Tamil Nadu Gujarat Karnataka Uttar

Page 5

Source: National Sample Survey Organization (NSSO)

Uttar Pradesh – Growing consuming class

State wise classification of Total consumer expenditure (Food and Non-Food)

14%10%

8% 7% 7% 6% 6% 6% 5% 5% 4% 3% 3%

0%2%4%6%8%

10%12%14%16%

% age contribution to All India Consumption

% age contribution to All India Consumption

Presenter
Presentation Notes
Page 6: New Vistas for Growth & Partnershipficci-indiace-businessforum.com/pdf/Uttar Pradesh.pdf · 04.04.2011 · New Vistas for Growth & Partnership ... Tamil Nadu Gujarat Karnataka Uttar

Page 6

Uttar Pradesh – Promising demand dynamicsSteady Increase in income levels has enhanced buying power

* At constant prices (Base year is 2004-05)Source: Indiastat, Ministry of Road Transport and Highways , Road Transport Year Book

81,5

02

89,6

18

96,7

07

105,

353

114,

951

127,

746

141,

866

7,3447,989 9,086

9,82610,779

11,988

13,287

0

20000

40000

60000

80000

100000

120000

140000

160000

180000

2005 2006 2007 2008 2009 2010 2011(Q)

All India Uttar Pradesh

Cumulative registered vehicles in UP Vs. All India (‘000)

10.4%CAGR - UP

►Market share of UP more than 9% ►CAGR for registered vehicles in UP is 10.4%, higher than that of All India (9.6%)

Presenter
Presentation Notes
Page 7: New Vistas for Growth & Partnershipficci-indiace-businessforum.com/pdf/Uttar Pradesh.pdf · 04.04.2011 · New Vistas for Growth & Partnership ... Tamil Nadu Gujarat Karnataka Uttar

Page 7

0 100 200 300 400 500 600 700 800

HaryanaTamil Nadu

GujaratKarnataka

Uttar PradeshAll India

MaharashtraAndhra pradesh

Madhya pradeshBihar

West BengalOrissa

Mobile phone handset ownership per 1000 rural households in 2009 -10

►One in every two people in UP has a mobile phone ►42 per cent of rural households owned a television in 2009-10,

up from 26 % in 2004- 05►14 per cent of rural households had a two-wheeler in 2009-10,

twice that in 2004-05

Rising rural employment and purchasing power is driving consumer spending

Source: NSSO and Crisil

Source: Crisil Reports, IBEF, TRAI (March 2013)

Uttar Pradesh has nearly 14% of the country’s wireless subscribers

Page 8: New Vistas for Growth & Partnershipficci-indiace-businessforum.com/pdf/Uttar Pradesh.pdf · 04.04.2011 · New Vistas for Growth & Partnership ... Tamil Nadu Gujarat Karnataka Uttar

Page 8

HighlightsKey Strength

Advantage UP - Key Enablers of Growth

• Over 200 million people • Growing per capita income creating one of the largest consuming

class

Largest consumer base with increasing per capita income

• Proximity to Container Freight Stations Dadri with facility ofwarehousing with good connectivity to major ports in western India, vital for EoU/SEZ.

• Well connected to major metros through Road, Rail and Air • Largest rail network in the country total railway network

spanning 8,800 km• International Connectivity to Middle Eastern Countries

Excellent connectivity by roads, rail & air (including proximity to Int’l Airport)

Page 9: New Vistas for Growth & Partnershipficci-indiace-businessforum.com/pdf/Uttar Pradesh.pdf · 04.04.2011 · New Vistas for Growth & Partnership ... Tamil Nadu Gujarat Karnataka Uttar

Page 9

• 57 Universities• 3104 degree colleges• 19430 secondary schools• 155619 primary schools• 76398 high primary schools• 97 Technical institutions with an intake capacity of 37320• 2nd highest no. of ITIs / ITCs• 3rd highest no. of Colleges• 3rd highest no. of Polytechnics• 3rd highest no. of B-Schools• 4th highest no. of engineering colleges

HighlightsKey Strength

Large skilled workforce

Advantage UP - Key Enablers of Growth

• Minimal loss of man days on account of industrial strife during the last 30 years.

Conducive industrial relations

Page 10: New Vistas for Growth & Partnershipficci-indiace-businessforum.com/pdf/Uttar Pradesh.pdf · 04.04.2011 · New Vistas for Growth & Partnership ... Tamil Nadu Gujarat Karnataka Uttar

Page 10

HighlightsKey Strength

Advantage UP - Key Enablers of Growth

• 1st Rank in Food Grains Production (20%), • Potato Production (34%), • 2nd largest producer of sugarcane in the country• Major fruits grown in U.P. - Mango (ranks 1st ), Aonla (ranks 1st)• 1st in milk production (17.6%)• Per capita per day availability of

milk in U.P. - 303 grams (national average 245 grams)

Leading producer of food products

• 3rd highest number of micro, medium and small enterprises (MSMEs) in India.

• With an investment of over USD 36.6 billion, over 175,000 MSME units were set up during the 11th Five Year Plan

Third largest hub for MSMEs in country

Page 11: New Vistas for Growth & Partnershipficci-indiace-businessforum.com/pdf/Uttar Pradesh.pdf · 04.04.2011 · New Vistas for Growth & Partnership ... Tamil Nadu Gujarat Karnataka Uttar

Page 11

12th Five Year Plan2012-17

Estimated investment of USD 6.36 billion in manufacturing

Creation of employment opportunities for 10 million people

Industrial growth target set at 11.2%

Over 70% of investment target envisaged from private sector

Targeted aggregate investment of USD 35.3 billion

Ambitious growth rate target of 10% in the 12th Five Year Plan (2012-17)

Page 12: New Vistas for Growth & Partnershipficci-indiace-businessforum.com/pdf/Uttar Pradesh.pdf · 04.04.2011 · New Vistas for Growth & Partnership ... Tamil Nadu Gujarat Karnataka Uttar

Page 12

UP’s strategic levers for sustaining growth

Priority Sectors

Creating Best-in-class Infrastructure

Partnering with Private Sector

Enabling PoliciesBusiness Friendly Environment

Skill Development

Page 13: New Vistas for Growth & Partnershipficci-indiace-businessforum.com/pdf/Uttar Pradesh.pdf · 04.04.2011 · New Vistas for Growth & Partnership ... Tamil Nadu Gujarat Karnataka Uttar

Page 13

Proactive initiatives aligned to strategy…

In the last 2 years the new government has proactively taken concrete steps…

► Education Infrastructure

► Skill Development Initiatives

► High number of PPP projects

► Massive investments:►Roads►Energy►DFC

► Policy Implementation

► Empowered Committees

► Udyog Bandhu► Nivesh Mitra –

Single Window Clearance System

► UPIGRS

► Infrastructure & Industry

► Food Processing

► IT/ ITeS► Sugar► Solar Energy► Poultry

Enabling Policies

Creating Best-in-Class Infrastructure

Partnering with Private Sector

Business Friendly

EnvironmentSkill

Development

Priority Sectors

Page 14: New Vistas for Growth & Partnershipficci-indiace-businessforum.com/pdf/Uttar Pradesh.pdf · 04.04.2011 · New Vistas for Growth & Partnership ... Tamil Nadu Gujarat Karnataka Uttar

Industrial Policy & Incentives

Page 15: New Vistas for Growth & Partnershipficci-indiace-businessforum.com/pdf/Uttar Pradesh.pdf · 04.04.2011 · New Vistas for Growth & Partnership ... Tamil Nadu Gujarat Karnataka Uttar

Page 15

Right policy environment to fuel growthAttractive industrial Policy coupled with sector specific policies

Infrastructure and Industrial Development Policy (IIIP), 2012

Attractive Fiscal incentives► Stamp duty exemptions ► Concessions related to commercial tax► Capital subsidy and Interest Free loan► Incentives for MSME► Market and Brand development assistance► Research and Development assistance

Sector Specific Policies for focus sectors to drive inward investments

Food Processing Policy

► Special incentives for mega projects► Electricity duty exemption ► Exemption from Mandi fee ► Industrial quality scheme► EPF reimbursement scheme

Information Technology Solar Policy Sugar Poultry

Page 16: New Vistas for Growth & Partnershipficci-indiace-businessforum.com/pdf/Uttar Pradesh.pdf · 04.04.2011 · New Vistas for Growth & Partnership ... Tamil Nadu Gujarat Karnataka Uttar

Page 16

Infrastructure and Industrial Investment Policy (IIIP)- 2012: Boosting the next wave of growth

• 100 % on purchase and lease of land in Eastern UP, Central UP & Bundelkhand• 100% to IT, Bio-tech, BPO, Food processing, Food Park & Alternative Energy

Sectors• 100% to Private Sector infrastructure development excluding PPP projects• 75% to other new units on government lands & 50% on private lands in western UP• 25% reimbursement to Private industrial estate developers

Exemption from Stamp Duty to new Industrial units on purchase or lease of Govt. land or Private Land

• Interest-free loan equivalent to VAT and Central Sales Tax paid by industrial units or 10 percent of the annual turnover whichever is less

• Provision for a period of 10 years repayable after 7 years from the date of first disbursement

Investment Promotion Scheme

Presenter
Presentation Notes
Sources: “Team Odisha,” Team Odisha website, www.teamOdisha.org, accessed 4 April 2011
Page 17: New Vistas for Growth & Partnershipficci-indiace-businessforum.com/pdf/Uttar Pradesh.pdf · 04.04.2011 · New Vistas for Growth & Partnership ... Tamil Nadu Gujarat Karnataka Uttar

Page 17

• Subsidy @5% on interest rate on loan for procurement of Plant & Machinery for a maximum period of 5 years

• Maximum annual subsidy limit of Rs.50 lakhs• Maximum annual subsidy limit of Rs.1 crore for units of Textile Sector

Capital Interest Subsidy Scheme for Eastern U.P., Central U.P. and Bundelkhand Regions

• On setting up of R&D infrastructure such as Testing Labs , Quality Certification Labs and Tool Room

Industrial Quality Development Subsidy Scheme @5% for 5 years

• For projects over INR 200 Cr (~USD 33.3 mn) the ceiling limit for incentives can be relaxed on case-to-case basis For projects with investments of INR.500 crores or more a customized incentive package can be offered

Special Incentives to Mega Projects

• Interest on loan taken for developing infrastructure facilities for self-use, such as-road, sewer, water drainage, power line etc. up to INR 1 Cr

Infrastructure Interest Subsidy Scheme @5% for 5 years

Infrastructure and Industrial Investment Policy (IIIP)- 2012: Boosting the next wave of growth

Presenter
Presentation Notes
Sources: “Team Odisha,” Team Odisha website, www.teamOdisha.org, accessed 4 April 2011
Page 18: New Vistas for Growth & Partnershipficci-indiace-businessforum.com/pdf/Uttar Pradesh.pdf · 04.04.2011 · New Vistas for Growth & Partnership ... Tamil Nadu Gujarat Karnataka Uttar

Page 18

IIIP 2012: Priorities identified for improving business environment…

Deregulation and Simplification of licensing procedures

Extension and Strengthening of Single Window Clearance System

E-Governance initiatives for investor information, industry grievance redressal, investor tracking

Appointment of Escort Officers for Mega Projects

Augmentation of security for Industrial Estates

Presenter
Presentation Notes
Sources: “Team Odisha,” Team Odisha website, www.teamOdisha.org, accessed 4 April 2011
Page 19: New Vistas for Growth & Partnershipficci-indiace-businessforum.com/pdf/Uttar Pradesh.pdf · 04.04.2011 · New Vistas for Growth & Partnership ... Tamil Nadu Gujarat Karnataka Uttar

Page 19

UP has a strong legacy of being a forerunner in Infrastructure…

► 1st state to conceive and develop an Industrial Development Authority (IDA), much before SEZs were in vogue (NOIDA in 1976)

► 1st state to create a private sector franchise (Noida Power Company)

► 1st road PPP project in the country (DND Flyover)

► Amongst the first states in India to set up a nodal agency for investment promotion and facilitation (Udyog Bandhu in 1986)

► 1st state to host a Formula 1 Grand Prix in India (2011)

► Home to the longest 6-lane expressway in the country –(Yamuna Expressway- 2012)

State with a progressive mindset and many firsts to its credit….

Buddh International Circuit in Greater Noida

► Buddh International Circuit in Greater Noidawith a 5.14 Km in length spread across anarea of 875 acres is India’s only circuit for F1 –motor racing

Page 20: New Vistas for Growth & Partnershipficci-indiace-businessforum.com/pdf/Uttar Pradesh.pdf · 04.04.2011 · New Vistas for Growth & Partnership ... Tamil Nadu Gujarat Karnataka Uttar

Uttar Pradesh – Creating Best in Class InfrastructureMajor Focus on PPP projects

Road Projects under PPP

► 462 km of roads under construction (by 2015)

► Feasibility study completed for 11 roads across 977 km and in progress for 6 roads of 818 km

► Projects under construction:► Delhi-Saharanpur-Yamunotri Road ► Bareilly- Almora Road ► Varanasi- Shaktinagar Road ► Meerut-Karnal Road► Inner Ring Road in Agra

Success Stories in PPP

DND Flyover – 1st road PPP project in the country

1

6-lane Yamuna Expressway – Travel time between Noida and Agra reduced to 2.5 hours

2

Yamuna Expressway

Taj International Airport and Aviation Hub andSDZs are proposed along the alignment ofYamuna Express Way adjacent to Greater Noida

Page 21: New Vistas for Growth & Partnershipficci-indiace-businessforum.com/pdf/Uttar Pradesh.pdf · 04.04.2011 · New Vistas for Growth & Partnership ... Tamil Nadu Gujarat Karnataka Uttar

Uttar Pradesh – Translating concepts into realityKey projects awarded in the recent past

Metro Rail projects – Lucknow Metro and Noida- Greater Noida Metro

► GoI approves first Phase of Luckow Metro project covering 22 km from Lucknow Airport to Munshipulia

► Cost of Lucknow Metro Project: USD 1.14 Billion - 20% funding by Centre, 20% by GoUP and 60% by external agency

► Proposed Noida – Greater Noida Metro Rail line (~ 30 K.M.)

IT City Lucknow

► Project awarded for developing the IT City► Spread over 100 acres with total project cost of USD 250

million; significant potential for direct employment ► Skill development centre with a capacity to train more than

5000 people

Page 22: New Vistas for Growth & Partnershipficci-indiace-businessforum.com/pdf/Uttar Pradesh.pdf · 04.04.2011 · New Vistas for Growth & Partnership ... Tamil Nadu Gujarat Karnataka Uttar

Energy: UP poised to become a power surplus state by the end of 12th Plan

13000 MW additional capacity to be available in 2012-17 in addition to existing capacity of about 10000 MW

13,7

17

15,6

67

17,9

11

20,4

98

23,0

81

11,6

79

12,4

46

13,3

61

16,9

65

23,6

30

0

5,000

10,000

15,000

20,000

25,000

FY13 FY14 FY15 FY16 FY17

Demand (MW) Availability (MW)* Source: Annual Plan,2013-14

Source: UPPCL, UPNEDA

State Sector

Name UP’s Share (MW)

Anapara (D) 1000Harduaganj 660Panki Thermal Power Project 660

Total 2320

Name UP’s Share (MW)Ghatumpur TPS (UPRVUNL & Naveyli Lignite) 1275

Meja (UPRVUNL & NTPC) 916Bara (JP Asso.) 1782Total 3973

Proposed Investment of USD 2.83 billion in Distribution Sector and USD 3.33 billion in Transmission sector

Joint Sector/ PPP

Solar: The sunrise sector offering plethora of investment opportunities

1000 MW to be supplied by Central Govt. and 6000 MW as Case 1 (merchant power)

Page 23: New Vistas for Growth & Partnershipficci-indiace-businessforum.com/pdf/Uttar Pradesh.pdf · 04.04.2011 · New Vistas for Growth & Partnership ... Tamil Nadu Gujarat Karnataka Uttar

Solar Energy – The sunrise sector

Shri C&D

Solar Power Projects recently cleared (130 Mw)

Solar Power energy• Abundant sunshine available for solar power generation

• Solar irradiation levels in State range between 5-5.5 kwh/sqm.

• Potential 20 Megawatt/sq Km.• Availability of contiguous wastelands• Proposed Public Sector Projects - UPNEDA

Capacity:100 Mw Capacity: 20 Mw, Estimated Cost: USD 26.6 million

Capacity: 20 Mw, Estimated Cost: USD 26.6 mn

Capacity: 10 Mw, Estimated Cost: USD 13.3 mn

Capacity: 10 Mw, Estimated Cost: USD 13.3 mn

Capacity: 10 Mw, Estimated Cost: USD 13.3 mn

Capacity: 50 Mw, Estimated Cost: USD 66.6 mn

Capacity: 10 Mw, Estimated Cost: USD 13.3 mn

Jakson Power

Moserbaer Clean Energy

Azure SuryaEssel Infra

Refex Energy DK Infracon

* Source: Udyog Bandhu

Solar Policy, 2012

Page 24: New Vistas for Growth & Partnershipficci-indiace-businessforum.com/pdf/Uttar Pradesh.pdf · 04.04.2011 · New Vistas for Growth & Partnership ... Tamil Nadu Gujarat Karnataka Uttar

Solar Energy – The sunrise sector

Solar Policy, 2012

Key Highlights►Applicable for projects of minimum 5 MW capacity in case of grid connected solar power .► Solar power plants of above 5 MW capacity for captive use will also be eligible for

incentives under this policy► Time Limit for commissioning of Solar PV projects - within 13 months & 28 months in case

of solar thermal projects from the date of signing of PPA.► Special Incentives by State Government on case to case basis for establishing Solar Farms

with an investment of more than INR 500 Cr.►All the incentives applicable under the Uttar Pradesh Infrastructure and Industrial

Investment Policy 2012 also applicable for power plants based on solar energy.► Expenditure on the construction of transmission line and sub station will be borne by the

state government on for all the projects in the Bundelkhand Region.►UPNEDA will act as single window clearance agency for Solar Power Projects.

Page 25: New Vistas for Growth & Partnershipficci-indiace-businessforum.com/pdf/Uttar Pradesh.pdf · 04.04.2011 · New Vistas for Growth & Partnership ... Tamil Nadu Gujarat Karnataka Uttar

Page 25

Information Technology

Page 26: New Vistas for Growth & Partnershipficci-indiace-businessforum.com/pdf/Uttar Pradesh.pdf · 04.04.2011 · New Vistas for Growth & Partnership ... Tamil Nadu Gujarat Karnataka Uttar

Page 26

IT/ITeS: State has one of the largest IT hubs at Noida and plays host to major companies in the sector

Operational SEZs

► Multi Product SEZ Noida

► Moser Baer India

► NIIT Technologies

► Wipro Limited

► Aactivis Softech

► HCL Technologies

► Seaview Developers Ltd

IT hub of North India – Exporting USD 5388.89 M in IT and Electronics

Several SEZs are in Pipeline

Source : Electronics and Computer Services Export Promotion Council1.

42

1.78

1.71

2.31

2.00

2.80

3.87

0.000.501.001.502.002.503.003.504.004.50

FY07 FY08 FY09 FY10 FY11 FY12 Fy13

U.P. software and other services exports (USD Biillion)

Expansion: Tier 2 cities like Lucknow, Agra, Kanpur

73%

27%

Share of U.P. Electronics Hardware export (2012-13)

UP North India

Page 27: New Vistas for Growth & Partnershipficci-indiace-businessforum.com/pdf/Uttar Pradesh.pdf · 04.04.2011 · New Vistas for Growth & Partnership ... Tamil Nadu Gujarat Karnataka Uttar

Page 27

Taiwan

Japan

France

Korea

Canada

Existing IT companies in Uttar Pradesh

Belgium

Finland

USA

Sweden

Page 28: New Vistas for Growth & Partnershipficci-indiace-businessforum.com/pdf/Uttar Pradesh.pdf · 04.04.2011 · New Vistas for Growth & Partnership ... Tamil Nadu Gujarat Karnataka Uttar

Page 28

Hardware Manufacturing Success Stories

► World’s second largest Optical Disc producer (CDs,

DVDs & BDs) located in Uttar Pradesh, India

► Global market share of ~ 20% , India Market share of

55%

► Peak Capacity 3.5 Billion discs p.a. with state of art

plants located in Noida & Greater Noida (UP)

► Investment in production facilities in UP in excess of

INR 60 Billion,

► Successive expansions and diversifications in

manufacturing of Optical Discs and Solar Photovoltaic

during the last 30 years carried out in UP.

► The Noida facility is ranked as the Number

1 amongst all Samsung subsidiaries

► Delivering the highest productivity for

Mobile phones, colour televisions and

refrigerators

► Production of 2.5 million handsets per day

► Expansion plans to increase production to

4.5 million handsets

Page 29: New Vistas for Growth & Partnershipficci-indiace-businessforum.com/pdf/Uttar Pradesh.pdf · 04.04.2011 · New Vistas for Growth & Partnership ... Tamil Nadu Gujarat Karnataka Uttar

Page 29

Specialized Infrastructure for promotion of IT/ITeS in the state

IT Park, Lucknow

►Project cost of USD 47.5 million over an area of 1.3 lac sq mt►To be developed on Design-Finance-Build-Operate model

IT City, Lucknow

►100 acre land identified near Airport►Sophisticated telephone exchanges with optical fibre

connectivity►Investment Opportunities in ISP facilities, large Bandwidth

options, Broadband &Wi-Fi connectivity

Semiconductor Wafer

Manufacturing Facility

►The outlay of the proposed FAB is about INR 34,399 cr (~USD 5.73billion) for establishing the FAB facility of 40,000 wafer starts per monthof 300 mm size, using Advanced CMOS technology.

►Technology nodes proposed are 90, 65 and 45 nm nodes in Phase I, 28nm node in Phase II with the option of establishing a 22 nm node inPhase III.

►The proposed location is Greater Noida.

Page 30: New Vistas for Growth & Partnershipficci-indiace-businessforum.com/pdf/Uttar Pradesh.pdf · 04.04.2011 · New Vistas for Growth & Partnership ... Tamil Nadu Gujarat Karnataka Uttar

Page 30

Interest on term loans & working capital loans subsidized @ 5percentage points for 5 years from the date of commencement ofcommercial operations

Loan Assistance

100% exemption on purchase/lease of land/office space/ buildings inTier II/Tier III cities if operations commence within 3 years of purchase/lease

Stamp duty exemption

Interest free loan (repayable after 7 years) equivalent to the amount ofVAT and Central Sales Tax deposited or 10% of annual sales whicheveris lower for a period of 10 years from date of commencement ofbusiness for IT/ ITeS units with capital investment of INR 5 cr or above

VAT exemption

50% exemption for new units and for existing units if additional capitalinvestment for capacity enhancement to the extent of 50% or more in aperiod of 3 years in Tier II ,III Cities

Industrial Promotion

Subsidy

New IT Policy to make UP’s IT base more diversified …

Page 31: New Vistas for Growth & Partnershipficci-indiace-businessforum.com/pdf/Uttar Pradesh.pdf · 04.04.2011 · New Vistas for Growth & Partnership ... Tamil Nadu Gujarat Karnataka Uttar

Page 31

World class institutions

Knowledge Economy – Skill Development

IIT Kanpur, IIT BHU, IIM Lucknow and IIIT Allahabad

National Automotive Testing and R&D Infrastructure Project, National Institute of Pharmaceutical Education and Research ,Institute of Hotel Management, All India Institute of Medical Sciences

Upcoming National Level Institutes

Medical Education

New Medical College coming up in Badayun

Medical College already started in Kannauj and Jalaun

6 more medical colleges are proposed

Page 32: New Vistas for Growth & Partnershipficci-indiace-businessforum.com/pdf/Uttar Pradesh.pdf · 04.04.2011 · New Vistas for Growth & Partnership ... Tamil Nadu Gujarat Karnataka Uttar

Food Processing

Page 33: New Vistas for Growth & Partnershipficci-indiace-businessforum.com/pdf/Uttar Pradesh.pdf · 04.04.2011 · New Vistas for Growth & Partnership ... Tamil Nadu Gujarat Karnataka Uttar

Food processing – Poised for Robust GrowthAgricultural powerhouse looking at further value addition

► Vast source of raw material-► Food grain production – 20%

► Wheat production – 34%

► Fruits production – 19%

► Vegetables production – 30%

► Contributes 60 % of meat exports from India► 35% share in Sugarcane output, ranks 2nd in sugar production

Ranks1 Potato Production (34%)Livestock -Excluding cow (11%)Milk Production (17%)

Opportunities in Potato Flakes, Vodka Manufacturing (potato based), Meat processing and Mango/Guava, Litchi Pulp

►Established three agro food parks at Barabanki, Varanasi, Faizabad and four pack houses at

Lucknow, Saharanpur, Barabanki, Varanasi

►Mega Food Park proposed at Jagdishpur

Page 34: New Vistas for Growth & Partnershipficci-indiace-businessforum.com/pdf/Uttar Pradesh.pdf · 04.04.2011 · New Vistas for Growth & Partnership ... Tamil Nadu Gujarat Karnataka Uttar

Meat and Poultry – Plethora of opportunities which can be leveraged….

1139.22 million eggs produced annually in the state Huge opportunity exists as 365 crore eggs and 900 lac poultry chicks ,are

procured annually from other states New scheme for enhancing poultry production on the anvil, which includes

interest subsidy and concessions related to VAT, Mandi tax and stamp duty Subsidy on interest amount on Bank Loan for 5 years 100% Exemption on Stamp Duty , Electricity duty for 10 yrs

Dairy processing

Largest milk producing State in the country Contributes approximately 1/5th of the total milk production of the

country Only 5% of milk is processed and marketed in the organised sector

pointing to a huge opportunity Per capita per day availability of milk in U.P. is 303 grams while the

national average is 245 grams

Poultry

Page 35: New Vistas for Growth & Partnershipficci-indiace-businessforum.com/pdf/Uttar Pradesh.pdf · 04.04.2011 · New Vistas for Growth & Partnership ... Tamil Nadu Gujarat Karnataka Uttar

Page 35

MSME Sector

Page 36: New Vistas for Growth & Partnershipficci-indiace-businessforum.com/pdf/Uttar Pradesh.pdf · 04.04.2011 · New Vistas for Growth & Partnership ... Tamil Nadu Gujarat Karnataka Uttar

Page 36

MSME Sector – Lifeblood of UP’s industrial economy

Trends in Handicraft Export in U.P (USD ‘00 Mn)

10.17

10.42

10.78

FY11 FY12 FY13

Major Clusters in the stateCeramics - Bulandshahr

Brass & Art ware, Metal ware – Moradabad

Carpet - Bhadohi, Varanasi, Mirzapur , Shahjahanpur

Chikan - Lucknow and nearby districts

Pottery - Khurja, Nizamabad

Woodcarving – Saharanpur

Locks, Building Hardware, Artmetal, - Aligarh

Silk and Brocade, Benarsi saree – Varanasi

Leather - Kanpur Unnao, Agra

Powerloom, handloom - Jhansi, Mau,

Zari, embroidery - Lucknow, Farukhabad, Bareilly, Unnao

Art Jewellery - Meerut, Kanpur, Varanasi, Ghaziabad

Scissor – Meerut

Glass – Firozabad

IT/ITeS – Noida

32%

4%64%

Breakup of Manufacturing Investments in the 11th Plan

Small & Micro

Medium

Heavy

Source: Annual Plan 2012-13, GoUP

Page 37: New Vistas for Growth & Partnershipficci-indiace-businessforum.com/pdf/Uttar Pradesh.pdf · 04.04.2011 · New Vistas for Growth & Partnership ... Tamil Nadu Gujarat Karnataka Uttar

Auto & Engineering – Major ancillary hub with potential for greenfield investments

Major Clusters in the State

• Auto Ancillaries – Greater Noida, Lucknow

• Mechanical Engineering Equipment – Ghaziabad, Agra

Key Automobile industry players

National Automotive Testing and R&D Infrastructure Project (NATRIP)

Provide complete homolocation service to agri tractors, off road vehicles, diesel generation sets

An Ancillary hub coming up in Rae Bareilly to cater to the Rail Coach factory

Page 38: New Vistas for Growth & Partnershipficci-indiace-businessforum.com/pdf/Uttar Pradesh.pdf · 04.04.2011 · New Vistas for Growth & Partnership ... Tamil Nadu Gujarat Karnataka Uttar

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Sectoral Opportunities Tourism

Page 39: New Vistas for Growth & Partnershipficci-indiace-businessforum.com/pdf/Uttar Pradesh.pdf · 04.04.2011 · New Vistas for Growth & Partnership ... Tamil Nadu Gujarat Karnataka Uttar

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Tourism in Uttar Pradesh

Night Safari at Greater Noida►300 acres land identified in Gautam Budh nagar►Design Plans finalized

International Airport at Kushinagar►615 acres of land has been acquired, PPP

mode opted for development. RFP released

Home to few of the finest 5 Star Luxury Hotels

International Airport at Agra►Land Site approved►Proposal submitted to GOI for clearances

• Pool of heritage properties available that can be taken up byinvestors on lease

• Tourism Heritage Policy and New Policy for Theme Parks to beannounced shortly

Page 40: New Vistas for Growth & Partnershipficci-indiace-businessforum.com/pdf/Uttar Pradesh.pdf · 04.04.2011 · New Vistas for Growth & Partnership ... Tamil Nadu Gujarat Karnataka Uttar

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Tourism: Several attractive circuits holding potential for new tourism infrastructure

S No Key Tourist Circuit

Destinations

1 Buddhist Circuit

Kushinagar, Kapilvastu, Sravasti, Sankisa, Sarnath

2Braj Mathura Circuit

Mathura Vrindavan

3 Bundelkhand circuit

Jhansi, Khajuraho,Deogarh

4

Ram Van Gaman Yatra Circuit

Ayodhya, Bhratkund, Allahabad

5 Handicraft Circuit

Lucknow, Agra, Aligarh, Firozabad

Page 41: New Vistas for Growth & Partnershipficci-indiace-businessforum.com/pdf/Uttar Pradesh.pdf · 04.04.2011 · New Vistas for Growth & Partnership ... Tamil Nadu Gujarat Karnataka Uttar

Key Industrial Areas & Parks

Page 42: New Vistas for Growth & Partnershipficci-indiace-businessforum.com/pdf/Uttar Pradesh.pdf · 04.04.2011 · New Vistas for Growth & Partnership ... Tamil Nadu Gujarat Karnataka Uttar

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Delhi Mumbai Industrial Corridor (DMIC)

►Early Bird Projects Integrated Hi-Tech Industrial Township

at Greater Noida Boraki MultimodalTransport Hub Dadri-Noida - Ghaziabad Investment

Region Multimodel Logistic Hub at Greater

Noida

►36,068 sq km (15%) of DMIC catchmentarea across 12 districts of UP

►WDFC & EDFC link at Dadri providesaccessibility to both corridors

Page 43: New Vistas for Growth & Partnershipficci-indiace-businessforum.com/pdf/Uttar Pradesh.pdf · 04.04.2011 · New Vistas for Growth & Partnership ... Tamil Nadu Gujarat Karnataka Uttar

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Leveraging EDFC – New Horizons

► 1839 Km long railway corridor between Ludhiana to Dhankuni Kolkata

► 57%, over 1049 km falls in UP► 18 districts of UP comprising of 30% of UP’s population► Major locations/ places along this corridor include:

Muzaffarnagar, Meerut, Aligarh, Mathura, Auraiya, Kanpur, Allahabad and Varanasi.

► Auriya, Allahabad, Agra Integrated Manufacturing Cluster

► Proposed National Investment & Manufacturing Zone (NIMZ) @ Auraiya

► Industrial zones proposed: Pashchimanchal Braj Industrial Zone Kanpur Logistics hub

Allahabad-Naini-Bara Mughalsari-Varanasi-

Mirzapur

► Facilitate uninterrupted transportation of goods to sea ports► Industrial Estates & Logistic Hubs along EDFC for the benefit of industries► Reduced congestion at terminals and junction stations

EDFC - Benefits to Investors

Page 44: New Vistas for Growth & Partnershipficci-indiace-businessforum.com/pdf/Uttar Pradesh.pdf · 04.04.2011 · New Vistas for Growth & Partnership ... Tamil Nadu Gujarat Karnataka Uttar

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Planned, integrated industrial city well connected to Delhi

Reliable power supply - Abundant ground water

Outstanding residential, educational and medical facilities

Highly skilled and semi-skilled manpower

Infrastructure IT/ ITeS Destination Metro Rail

► Excellent connectivity with Delhi

► New metro line from botanical garden -excellent connectivity with Indira Gandhi International Airport

► 6 km metro line -Greater Noida west to Delhi via Noida

► Proposed 35 km Metro line connecting Noida and Greater Noidaand many more have

established a major base here

Dozens of special economic zones and software technology parks spread over an area of more than 1000 acres

Key Industrial Clusters along DMIC: NOIDA

Page 45: New Vistas for Growth & Partnershipficci-indiace-businessforum.com/pdf/Uttar Pradesh.pdf · 04.04.2011 · New Vistas for Growth & Partnership ... Tamil Nadu Gujarat Karnataka Uttar

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Key Industrial Clusters along DMIC: Greater NOIDA

► Large number of automobile and automobile component manufacturers located here

Single largest direct investment by transnational companies.

Strategically located close to four important industrial hubs: Noida ,Ghaziabad , Faridabad (35 kms

away) and Meerut (75 kms).

Industry Hub

► Medical university - with state-of-the-art facilities proposed

► Night Safari - fourth such project of its kind in the world, after Thailand, China and Singapore.

► Boraki Railway Station proposed

► Eight lane, 25 km-long expressway connects Greater Noida directly to Delhi

► Located at intersection of the Western and Eastern Dedicated Freight Corridors

► Gateway to the Delhi-Mumbai Industrial Corridor (DMIC).

Connectivity Others

Golf Course at Jaypee Greens & Formula 1 track at Greater Noida

Page 46: New Vistas for Growth & Partnershipficci-indiace-businessforum.com/pdf/Uttar Pradesh.pdf · 04.04.2011 · New Vistas for Growth & Partnership ... Tamil Nadu Gujarat Karnataka Uttar

Investor Facilitation & Support Systems

Page 47: New Vistas for Growth & Partnershipficci-indiace-businessforum.com/pdf/Uttar Pradesh.pdf · 04.04.2011 · New Vistas for Growth & Partnership ... Tamil Nadu Gujarat Karnataka Uttar

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Business Friendly Environment

‘Nivesh Mitra’ - Web-enabled Single Window System (SWS) in place to ensure time-bound approvals

Dedicated NRI Cell for respondingto queries of NRIs (Non ResidentIndians) and PIOs (Persons ofIndian Origin

District

DM

Mandal

Commissioner

State Level / Udyog Bandhu

ED / IIDC/ Chief Secretary

High Level Empowered Committee

Chief Minister

Governance structure and Institutional framework of State

Online SubmissionTrack Applications

Online Payment

Industrial Services Guarantee Act

Page 48: New Vistas for Growth & Partnershipficci-indiace-businessforum.com/pdf/Uttar Pradesh.pdf · 04.04.2011 · New Vistas for Growth & Partnership ... Tamil Nadu Gujarat Karnataka Uttar

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Nivesh Mitra – Single Window System

Page 49: New Vistas for Growth & Partnershipficci-indiace-businessforum.com/pdf/Uttar Pradesh.pdf · 04.04.2011 · New Vistas for Growth & Partnership ... Tamil Nadu Gujarat Karnataka Uttar

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Industrial Grievance Redressal System (UPIGRS)

An e-governance initiative to reduce unwarranted human intervention and toprovides seamless interface for entrepreneurs to get their issues resolved quickly.Key Features

Provides an investor friendly online platform for submitting grievances Acts as a bridge between entrepreneurs and departments Increases transparency in service delivery Augments ease of doing business Enables entrepreneurs in tracking of their issues with auto-generated a

Unique Token Number (UTN) Generates alerts to concerned officers Regular monitoring at higher level of Udyog Bandhu More effective coordination with departments Ensures speedy resolution of issues with expected resolve time of a fortnight Reinforces investors’ confidence Enhances accountability

Page 50: New Vistas for Growth & Partnershipficci-indiace-businessforum.com/pdf/Uttar Pradesh.pdf · 04.04.2011 · New Vistas for Growth & Partnership ... Tamil Nadu Gujarat Karnataka Uttar

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Industrial Grievance Redressal System (UPIGRS)

Page 51: New Vistas for Growth & Partnershipficci-indiace-businessforum.com/pdf/Uttar Pradesh.pdf · 04.04.2011 · New Vistas for Growth & Partnership ... Tamil Nadu Gujarat Karnataka Uttar

Thank YouAlok RanjanInfrastructure & Industrial Development Commissioner, Government of Uttar PradeshPhone: +91-522- 238283/ 2238264Fax: +91-522-2238255Email: [email protected]: www.udyogbandhu.com


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