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Investment Opportunities and Incentives
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Investment Opportunities and Incentives National Level Investment
Investment Opportunities and Incentives State Level Investment
   
 
Investment Opportunities and Incentives
Gujarat:
Investment Opportunities
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Gujarat has become one of the most preferred locations for industrial investment in the country. It is a home to some of the country's most dynamic entrepreneurs. It is endowed with rich natural resource base, a vast reservoir of skilled manpower and sound infrastructure facilities. Its agricultural sector has strong base with highly diversified cropping pattern and technologies. The other sectors like chemicals and textiles are critical to the industrial development of the State. As a result, Gujarat has been attracting large number of investors to invest into the various sectors of the economy. In addition, the information technology and tourism sector also provides immense investment opportunities in the State.

Agriculture

The major food crops in the State are rice, wheat, jowar, bajra, maize, tur, gram and groundnut. While, major non food crops are cotton and tobacco. They provide inputs for important industries like textiles, oil and soap. On horticulture side, banana, mango, sapota and papaya are being cultivated in abundance. Gujarat ranks third in the production of banana, sixth in the production of mango, second in papaya and sapota production. Besides, animal husbandry and dairying have also played a vital role in the rural economy of Gujarat.

Gujarat is keen to promote the agro-processing industry, which currently consists of small and medium enterprises producing a wide variety of products. It has about 16,400 small enterprises in food processing, beverage and tobacco processing. The agro-processing sector accounts for a significant proportion of the working population in the State. Moreover, the State is well known for its success in dairy cooperatives. Amul, a brand owned by the Gujarat Cooperative Milk Marketing Federation, enjoys a significant market share in the processed foods sector. The State is also actively encouraging the production of derivatives based on castor seeds and psyllium husk.

Chemicals

The chemical industry in Gujarat accounts for half of the annual investment in the State and contributes to more than 20 per cent of India's chemical output. Its sub-sectors such as dyestuff, pharmaceuticals, paints and fine chemicals have shown an impressive performance over the years. Essar and Indian Petrochemicals Corporation Ltd are the major chemical manufacturers in the State. Gujarat also accounts for 40 per cent of the India's pharmaceutical production with major players like Cadila, Sun Pharma, Alembic, etc. It has about 3,267 registered pharmaceutical industrial units involving a capital investment of about US$ 1.6 billion. The State's pharmaceutical industry contributes substantially to the production, domestic consumption and the export basket of the country's drug sector.

Information Technology (IT)

Gujarat is a good destination for IT industries. There are several big IT software companies located in the State. Accordingly, the Government of Gujarat has undertaken several initiatives in the IT sector. It has formulated an IT policy, which aims to promote overall IT growth in the State, create enormous employment opportunities as well as develop skilled manpower in IT. Also, a company called as the Gujarat Informatics Ltd (GIL), has been formed with the following main objectives:-

  • Helping various players in IT field and implementing IT policy.
  • Selecting consultants/specialists to provide services to the various Government departments/agencies under broad frame work contracts.
  • Providing input for formulation and review of State information policy.
  • Formulating and implementing action plan which would carry out the objectives of State IT Policy.
  • Promoting investment in IT sector.
  • Providing technical assistance to Government organisation in IT field.
  • Being the nodal agency for IT training in Government.
  • Framing guidelines regarding opening of new Government affiliated institutes in IT field.
  • Promoting electronic commerce.
  • Promoting IT center in State of Gujarat, etc.

The Government has also proposed an Info-city project at Gandhinagar. The project is to be developed on around 150 acres of land. It is on Gandhinagar - Ahmedabad highway. It is just 20 km away from the Ahmedabad International Airport. This Infocity will provide a ready to use build-up space and ready to use plots with excellent support system. It will also provide social infrastructure, utilities and other amenities.

Minerals

Mineral resources are important ingredients of the State economy. They majorly include vast deposits of bauxite, maganese ore, limestone, lignite and natural gas. They have enabled the mineral-based industry in Gujarat to flourish. Such industries include:- limestone based cement and soda ash industry, lignite-based power plants, bauxite-based Alumina plant, marble and granite based cutting, polishing plants, clay based ceramic units and silica sand based glass units. This mineral sector accounts for 12.4 per cent of the total sales by industries in the State. Processed minerals such as kaolin, chalk, fire clay, bentonite, silica sand, etc are consumed by glass, ceramic, plastic, paint and rubber industries of the State.

Gujarat's advantage lies in the availability of raw materials, its infrastructure, skilled manpower and natural gas. Mining clusters have flourished in Junagadh, Kutch, Bharuch, Vadodara and Mehsana districts. Small-scale entrepreneurs have made major inroads into the processing of mineral resources. They export low-grade bauxite, cement clinker, decorative and dimension stones (like marble, granite and sandstone) to South Asian markets.

Textiles

The textiles sector is critical to the State's economic growth as it contributes 23 per cent to the State's Gross Domestic Product. Gujarat's fabric process houses are concentrated in Ahmedabad and Surat. The State accounts for 12 per cent of the total textile exports from the country. It produces about 30 per cent of woven fabric in the country and Surat alone produces over 40 per cent of the country's art silk fabric. A large number of garment and garment processing units have developed in urban areas. Some of the key textile manufacturers in the State are Arvind Mills, Mafatlal and Digjam.

Tourism

Gujarat is a melting pot of several civilizations resulting in a vibrant and rich cultural heritage. It offers a wide range of the most spectacular attractions, which includes beautiful locations and scenic landscapes. It is a home to several architectural sites, pilgrim centres, temples, forts, palaces, museums, beaches, heritage hotels, wildlife sanctuaries, etc. The varied landforms in the State include dry deciduous forests, grasslands, wetlands, marine ecosystems and rich moist deciduous forests. These habitats are home to some extremely rare wildlife.

Religious spots like Dwarka, Somnath, Palitana, Pavagadh, Ambaji, Bhadreshwar, Shamlaji, Taranga and Girnar; Porbandar, birth place of Mahatma Gandhi, places of memorable monuments of architectural and, archaeological surprises like Patan, Siddhpur Ghurnli, Dabhoi, Vadnagar, Modhera, Lothal and Ahmedabad; beautiful beaches like Ahmadpur-Mandvi, Chorwad, Ubharat and Tithal; the hill station Saputara; lion sanctuary of Gir Forest and wild ass sanctuary in Kachchh area are the major tourist attractions in the State.

Project Profiles
  • Agro & Food Processing
  • Textiles & Apparels
  • Chemicals, Petrochemicals & Pharmaceuticals
  • Engineering, Auto & Ceramics
  • SEZ & Port Led Development
  • Power, Oil & Gas

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Industrial Extension Bureau (iNDEXTb)
Gujarat Industrial Development Corporation
Tourism Corporation of Gujarat Ltd
Gujarat Agro Industries Corporation Ltd
Gujarat State Handicrafts Development Corporation Limited (GURJARI)
 
 
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