vibrant gujarat 2

8/7/2019 vibrant gujarat 2

1/38

VIBRANT GUJARATVIBRANT GUJARAT


2/38

DisclaimerDisclaimer

y We have nothing to do with any political

party. We are not promoting or are sayinganything against any national or regional

political party.

y We are here to showcase Gujarat as acorporate state and how Gujarat has

developed under the CEOship of MrNarendra Modi.


3/38

About Vibrant GujaratAbout Vibrant Gujarat

y Vibrant Gujarat Global Investors Summit (VGGIS) is a biennialsummit organized by Gujarat government to attract the domestic andforeign investment for development of Gujarat. Based on the themeGujarat Going Global and aimed at bringing together business leaders,investors, corporations, thought leaders, policy and opinion makers; the

summit served as a perfect platform to understand and explorebusiness opportunities with the State of Gujarat.

y VGGIS 2003 - Signed 76 MOUs worth Rs70,000cr

y VGGIS 2005 - Signed MOUs for setting up projects worth Rs 87,000cr

y VGGIS 2007 - Signed 343 MOUs worth Rs 4,61,835 crores.

y VGGIS 2009 - Signed 8668 MOUs having total investment ofRs.12,24,482 crores.


4/38


5/38

MoU Ka SaudagarMoU Ka Saudagar

y Gujarat leads the way on every front-be

it economic or social. The Gujarat modelof all inclusive development is a

benchmark for the rest of the country.

{Narendra Modi, Chief Minister-Gujarat}


6/38

y A leader with a grand vision and the determination to

translate his vision into reality.y The vision and determination of strengthening

Gujarats position as the leader amongst all states in thecountry. He has an amazing clarity or purpose coupledwith determination. He combines his strong Gujaratethos with a modern outlook. Under your leadershipthere is a new found confidence in Gujarat enthusiasmand determination to succeed. I am convinced that hisdynamism and passion would help Gujarat earn a place

of pride in India and in the world.Mr. MukeshAmbani, Chairman-RIL


7/38


8/38

SWOTANALASISSWOTANALASIS

Strength Weakness

Opportunity Threat


9/38

Strengths


10/38


11/38


12/38


13/38


14/38

SWOTANALYSISSWOTANALYSIS -- StrengthsStrengths

y Top level commitment

y Efficient Municipal Departments and local authorities.

y Strategic location of the state

y Land of entrepreneurs

y World class infrastructurey Workforce that delivers

y Pragmatic governance

y Export rate 19.2% India, GDP $45 billion

y Per capita power consumption 1354 units (national avg. 592)

y With 5% of population and 6% of Geographical area contributes to16% of output of the country.

y Forerunner in agriculture growth despite scarcity of water.


15/38

SWOTANALYSISSWOTANALYSIS-- WeaknessWeakness

y Water scarcity

y High cost of power due to dependency on Thermal Plants

y Technical and Managerial capacity in smaller cities

y Access to market based resources low by smaller cities

y Need to speed up reforms in Property Tax and UserCharges

y Other states opposing this event that, why only Gujarat?

y Time constraint

y Affects small scale industries


16/38

SWOTANALYSISSWOTANALYSIS--

OPPORTUNITIESOPPORTUNITIESy High potential for private entrepreneurship

y Investor friendliness

y Active Civil Society

y Growing economy Ports, Refineries, Traditional industries, etc.

y Gain prominence regionally (Asia)

y Employment opportunities for more than 22 Lakh people.

y Increasing faith of corporate in Gujarat. (Policies and Businessfriendly environment)

y Gujarats economy is still in the growth stage (Take-off)

y The investment grew from 6Lcr to 12Lcr from 2007 to 2009. Inrecession 100% rise. 150% rise in 2011-30Lcr.

y Air bus Boeing and Singapore government have identified

Gujarat as a manufacturing hub for its aircraft industry.


17/38

SWOTANALYSISSWOTANALYSIS -- ThreatsThreats


18/38

SWOTANALYSISSWOTANALYSIS -- ThreatsThreatsy If reforms are slow, other States will take economic

advantage (Andhra Pradesh, MP )

y land problem

y Environmental Hazards (Air, Noise and Water Pollution).

y Due to tax incentives may face problem of shortage of fundsto develop infrastructural facilities

y Change of Government/Government policies

y Changes in economic conditions will directly affect projectimplementation (Due to recession there is a mismatchbetween demand and supply.)

y

Due to Time constraint (Investments done over a period of8-10yrs) some company may cancel the MOUs due to anyreason such as, Economic downturn, Companys financialproblems, Companys bankruptcy, etc.


19/38

Main ProblemsMain Problems

y Environmental Hazards

y High cost of power


20/38

Environment HazardsEnvironment Hazards

y Petrochemicals,Agro-chemicals,

Pharmaceuticals and dyes industriescontribute the most towards the water

pollution.

y Refineries and petro-chemical industriesleads to air pollution.


21/38

Strategies to reduce environmentalStrategies to reduce environmental

hazardshazards

y Strategy - 1:

Adopt a mechanism that would check the quantity of wastewater discharged. If these companies discharge more thanthe permissible limits then they could be fined.

y Evaluation of the strategy:If the fines are high then the companies will adopt to selfregulation of managing wastes.

y Criticism:

This may lead to corruption since the authority that wouldcheck the discharge of waste could be bribed.


22/38

y Strategy - 2:Role of NGOs in creating awarenessregarding the impacts of water pollution.This may lead the companies to get

motivated and reduce the waste emissions.

y Evaluation of the Strategy:The impact of this is limited since the

companies generally lack self regulation untiland unless they find any direct monetarybenefit.


23/38

y Strategy - 3:Newer technologies/machineries whichemits less quantity of wastes can be used bythe companies.

y Evaluation of the Strategy:The new technologies/machineries willrequire high investments. The companies may

hesitate in changing the machineries since itwill lead to higher costs.


24/38

y Choice of Strategy:

Here no single strategy is self sufficient in

reducing the waste emissions by a great

extent. So we need to adopt thecombination of all the strategiesmentioned above.

The use discharge check strategy shouldbe emphasized and then the other two

strategies should follow.


25/38

JAPAN

THEN


26/38

GUJARATNOW


27/38

Present

1960s

Kitakyushu industrial area

Large-scale illegal dumping(2000s)


28/38

A case in Japan-Establishment of Eco Town, treatment and recycling industrycomplex


29/38

High Cost of PowerHigh Cost of Power

Due to scarcity of the available water

resources, almost all power plant in stateare coal based i.e. thermal, this is the

major reason behind the high cost ofpower


30/38

StrategiesStrategies

y Strategy 1:

To increase the availability of water to theindustry the state should connect the

rivers and other water bodies.

y Evaluation of the Strategy:

With the availab

ility of water, theindustries can work efficiently.Also, thefarmers will get water for their fields.


31/38

y Strategy 2:

To increase the power production and reduce thecost/unit of power the state should emphasize onhydro power plants.


The electricity generated through hydro powerplants is very cheap.As a result, the industries canget cheap electricity and thus reduce their cost ofproduction and become competitive in theirrespective market.


32/38

y Strategy 3:

With the recycling of the industrialresiduals we can make bio-gas based

electricity.


By adopting this strategy bothenvironmental hazards and the availability

of power can be taken care of.


33/38

Choice of StrategyChoice of Strategy

y Choice of Strategy:Here, no single strategy is self sufficient inreducing the cost/unit of electricity by agreat extent. So we need to adopt the

combination of all the strategies mentionedabove. The use of electricity generation from Hydro

plants can be used to a great extent.

The Bio-gas strategy solves a dual purpose i.e.managing the waste and generating electricity sothat should also be used in as much cases aspossible.


34/38

Implementation PlanImplementation Plan

Environmental hazards

Gujarat to avoid environments hazards

should implement necessary prevention

steps right from the start of the planbased on the lessons learnt from the

Japan model to shun problems of greater

intensity than that faced by Japan in thefuture.


35/38

ContdContd

y Alternate sources of energy or non conventionalsources of energy like tidal energy, solar energy, etc.can be implemented to decrease the high costinvolved in power, in the long run.

y Solar Power Gujarat government has approved 34solar power projects at an investment of Rs.12,000crore (Rs.120 billion/$2.4 billion) over the next fewyears, to rank it the top Indian state for this cleanenergy, a senior official has said.

y OmNuclear power approval at Kudankulam and

Jaitapur for setting up Light Water Reactors throughimports.


36/38

Summing UPSumming UP

y For the overall development of nation talk not in

terms of Gujarat but in terms of whole India.

y Like Gujarat every other states have to recognizeits own potential and utilize it fully.

y For ex. Bihar, M.P,A.P, Karnataka etc.

y Combine efforts will definitely led to increase IndiaGDP with high rate as well as standard of living,better opportunity for earning livelihood, meetinginternational standards and much more.


37/38

THANK YOU


38/38

Opening SpeechOpening Speechy The main objective of our Industrial Policy - 2003 should be pillared on carefully laid out

y strategies and strategic goals of charting the path to "Sustainable growth" through

y maximization of productivity, production & efficiency in the manufacturing sector by

y attracting more & more investment both domestic and foreign, promotion of infrastructure

y facilities to world class level, modernization of existing industries and induction of new

y technology by promoting IT, High tech and knowledge based sunrise industries, there by

y enlarging productive employment opportunities in the manufacturing and service sectors

y and enhancing exports by diversification of products and access to newer markets. By

y doing so, it should not only protect and promote SSI units but also encourage

y decentralization of industries in backward areas and ensuring pro-active role in ensuring

y environment protection through requisite supply of incentives and infrastructure facilities.

y Our focus in realizing our mission / vision as mentioned above will create long term value

y for providing much needed momentum for the sound growth and development of our

y industrial structure. It is firmly believed that this one single agenda of achieving

y "Sustainable industrial Growth" will take us to unprecedented growth and success. In fact,y Gujarat should emerge as an "EVA State" (Economic value added) so that it remains well

y ahead of other states in the country.

vibrant gujarat 2

Documents