Why Maharashtra October 2013 Knowledge Partner
Preface The Why Maharashtra has been developed by Ernst & Young India LLP, the Knowledge Partner to Maharashtra Industrial Development Corporation to provide hand holding assistance to investors. The intention is to provide executives a quick overview to the Industrial Ecosystem of the State. The complex decision-making process involved in undertaking foreign operations requires an intimate knowledge of a country s and a State s commercial climate as well as recognition of the fact that this climate is continuously evolving. Companies doing business in India, or planning to do so, would be well-advised to obtain current and detailed information from experienced professionals. The information presented in this book has been validated w.e.f July, 2013. Page 2
Maharashtra The enduring leader Page 3
Maharashtra Land of Opportunities Second largest state in India in terms of population Spread over nearly 10 per cent of the total area of India The capital, Mumbai - India's largest city and the financial capital Nagpur second capital of the state 45 per cent of the state urbanised India Maharashtra Mumbai Page 4
Maharashtra The enduring leader Macro Economic Profile for Maharashtra The State attracts the highest FDI Investment INR 97,799 crore (Aug 91 March 12) GSDP contribution 14.4% of India GDP at current prices for 2011-12 Per Capita Income Employment Exports INR 95,339 (at current prices) 14.58 % of India 21.4% of India Industrial output 16.7% of India ( as per the Annual Survey of Industries 2009-10) Industry growth rate 9.1 %. (2010-11 E) Source: Economic Survey of Maharashtra, 2012-13 Page 5
Maharashtra The enduring leader Macro Economic Profile The State attracts the highest FDI Investment INR 97,799 crore (Aug 91 March 12) Road and Railways 97.8% of the villages are well connected with all weather roads in the state 9.2 percent of total railway network in the country 2 Major Railway zones Dry Ports Truck terminals and Railway sidings for easy freight movement Industries Industrial Investment Projects approved are 17779 inviting proposed investment of INR 9,50,972 Cr. Employment to be generated by the proposed projects is nearly 4 million that is nearly 20 per cent of national average FDI proposed investment INR 97799, 23 per cent of India Air and Water Ports 4 International and 5 Domestic Airports 6 MIDC airstrips 3 Major ports 21.76% of the total cargo traffic of the major ports in India is handled by the JnPT and MbPT ports 53 Minor ports Electricity Total State generation 83017 Million kwh nearly 10 per cent Total consumption 87396 Million kwh more than 14 per cent of India Industrial consumption is at 34416 Million kwh more than 15 per cent of India Source: Economic Survey of Maharashtra, 2012-13 Page 6
Maharashtra Investment Opportunities Electronics With the Launch of the national electronics policy, it has become one of the emerging sectors Textile The industry accounts for 4% of the country s GDP, 14% of its industrial production and 10.63 per cent of country s export earnings Biotechnology Maharashtra is the top contributor with 35.04 percent share of the total biotech revenue IT Maharashtra contributes to almost 23% of India s Software Exports Food and Agro Maharashtra has 8 Agricultural Export Zones (AEZ) Pharma Drugs & Pharmaceuticals contribute to 2.9 % of state FDI project proposals Automobile Maharashtra accounts for approximately 33 per cent of the country s output of automobile by value Chemicals & Fertilizers The total FDI investment in the sector from August 1991 till September 2010 was INR 2,666 crore Key Sectors of Maharashtra Gems and Jewellery clusters in the state is concentrated in various regions of Mumbai Page 7
Infrastructure in Maharashtra A snapshot Maharashtra has possess robust infrastructure facilities To Gujarat To Madhya Pradesh To Madhya Pradesh Legend National Highway Thane : 15 Mumbai : 44 Mumbai: 4 Page 8 Dighi Thane: 16 Thane Nasik Mumbai Raigarh Ratnagiri: 3 Pune Raigad: 21 Satara : 1 Nashik: 4 Nashik : 2 Ozhar Sinnar Rajgurunagar Karad Ratnagiri Sangali Sindhudurg Sindhudurg: 2 To Goa Pune : 43 Pune: 19 Kolhapur To Goa Shirpur Jalgaon Dhule Ahmednagar Baramati Satara Phaltan Dhule: 2 Aurangabad: 1 Shirdi Aurangabad: 3 Aurangabad Beed Jalna Osmanabad Solapur To Karnataka Kolhapur: 1 Kolhapur : 1 Ahmednagar : 1 Sangli : 1 Latur Solapur : 2 Akola Gangapur Amravati : 1 Nanded Latur : 2 Osmanabad: 1 Amravati Nanded: 1 MIHAN Yavatmal Wardha Nagpur: 2 Nagpur To Andhra Pradesh To Andhra Pradesh Nagpur: 6 Gondia Bhandara Gadchiroli Chandrapur The districts of Maharashtra have been classified in 6 revenue divisions Konkan, Nashik, Pune, Aurangabad, Amravati and Nagpur To Chhattisgarh SEZs IT Parks DFC Expressway Golden Quadrilateral Railway International Airport Domestic Airport Major Ports Key Locations DMIC Influence Area MIHAN Approved SEZ as on March 2011 As on March 2011 ***MIHAN: Multi-modal International Cargo Hub and Airport ***DMIC: Delhi Mumbai Industrial Corridor ***SEZ: Special Economic Zone ***DFC: Dedicated Freight Corridor
Maharashtra leads the Industrial Output in India Leader in Twenty out of twenty six sectors Ranks first in ten sectors Furniture Maunfacturing Media 30.09 Machinery and Equipment 29.34 Publishing 27.35 Fabricated Metal Products 25.7 Rubber 17.64 Electrical Equipments 17.51 Basic Metals 14.61 39.98 1 49.08 Maharashtra leads the industrial output in India Ranks amongst top three states Motor Vehicles Coke and Refined Petroleum Chemical Machinery, Installation & Repair Computer, Electronic and Optical Food Products Textiles Beverages Paper Crop and Animal Production 22.99 21.06 19.21 17.9 16.86 14.4 13.78 13.49 10.92 10.48 Source: Annual Survey of Industries- 2008-09 Page 9
Magnetic Maharashtra Attractions Unlimited United States of America Mauritius The highest contribution to India s FDI is from Maharashtra United Kingdom Italy Germany Netherlands France Singapore Japan Switzerland Others Total Foreign Direct Investment (FDI) in Maharashtra ( Aug 91- Mar 12) is INR 97799 crore ( USD 17.87 billion) Note: : I USD= INR 54.70 ; Source: Economic Survey of Maharashtra, 2012-13 Page 10
Technical Institutions and Intake Capacity Maharashtra has the highest number of Universities in the country* Engineering (Diploma, Degree, PG), 34% Management Science (MBA/MMS), 17% Architecture (Degree, PG) 2% No. of Institutes Total 2,983 Industrial Training Constitutes 26% Master in Computer Application 5% Pharmaceutic al Science Catering Technologies, PG), Hotel 15% Management & CateringTech nology (Diploma, Degree) 1% Engineering (Diploma, Degree, PG), Total Enrolment Industrial Training Constitutes, 157523 Total 927,907 Architecture Master in Computer Application Pharmaceuti cal Science Management Science Hotel Management & Catering Technology Source: Economic Survey of Maharashtra, 2012-13 *The total number of universities in the state are 20,. In addition to this, there are 20 deemed universities as well. Page 11
MIDC the business facilitator Page 12
MIDC The Business Facilitator MIDC The One Stop Solution Provider Business Set Up Challenges Land Water Power Drainage Maintenance Investor Information Govt. Approvals (Maha e-biz) offering 213+ services. Successful ERP implementation Largest Industrial water supply network in Asia MIDC Catalysing Success 281 industrial complexes with Approx 63,083.53 hectares) of land MIDC Nodal agency for prestigious DMIC project Wine Parks Silver Parks Floriculture Park Food Parks and Textile parks 32 IT Parks 13 SEZs 13 Chemical Zones 25 CETPs, 4 STPs 4 CHWTSDF Investor Facilitation Cell Key Activities Function as special planning authority Link between Govt. and Industry Acquisition and disposal of land Providing support Infrastructure Page 13
One stop solution for Entrepreneurs One stop business clearance system for existing customers and plot holders A Single Point Solution.. MIDC has developed a one-stop solution for Entrepreneurs Directorate Of Industries Services - 14 MIDC Services - 35 The system provides a set of 35 MIDC services One stop virtual consultations Misc State & Local Govt Services - 45 213+ Services Ministry of corporate Affairs - 54 One stop application forms One stop submission One stop processing & tracking Income tax, Sales Tax Excise etc. - 12 Petroleum Explosives Safety Orgn - 48 Misc Central Govt Services -4 One stop approvals & communications Operational Prerequisites Pre- Construction Post- Construction Commissioning Page 14
Our successes Page 15
Firms Leading Credence to our story Page 16
MIDC Contact Shri. Bhushan Gagrani (IAS) Chief Executive Officer - MIDC Tel No : 91-022-26870800 / 26870027/52/54, Fax No : 91-022-26871587 / 91-022-22188203, Email : ceo@midcindia.org Dr. P. Anbalagan (IAS) Joint Chief Executive Officer - MIDC Tel : 022-26871462 Fax : 022-26870026 Email: jtceo@midcindia.org Shri. Yuvraj Poman Dy. Chief Executive Officer - II, General Manager ( Administration and Marketing) Tel : 022-26870142 ; Fax : 022-26871604 Email: yuvrajpoman@midcindia.org; Head Office Maharashtra Industrial Development Corporation Udyog Sarathi, Mahakali Caves Road, Andheri(E), Mumbai-400 093 Disclaimer Maharashtra Industrial Development Corporation ( MIDC ) has engaged Ernst & Young LLP. ( EY ) to prepare this document and the same has been prepared by EY in consultation with MIDC. This document is for information purposes only. While due care has been taken during the compilation of this document to ensure that the information is accurate to the best of EY knowledge and belief, the content is not to be construed in any manner whatsoever as a substitute for professional advice. EY does not assume any liability or responsibility to any person for the outcome of decisions taken by such person as a result of any reliance placed on this presentation. EY shall not be liable for any direct or indirect damages that may arise due to any act or omission on the part of the user due to any reliance placed or guidance taken from any portion of this presentation. 2013 All rights reserved. All copyright in this presentation and related works is solely and exclusively owned by MIDC and Ernst & Young (EY). The same may not be reproduced, wholly or in part in any material form (including photocopying or storing it in any medium by electronic means and whether or not transiently or incidentally to some other use of this presentation), modified or in any manner communicated to any third party except with the written approval of MIDC. Page 17