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45th Issue

MahaConnectThe Business Newsletter

From Government of Maharashtra - MIDC

January, 2014

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Maharashtra Economic Development Council inassociation with Govt. of Maharashtra and IndianEducation Society had organized 4th NationalConference on Micro, Small and Medium Enterprises........Read more on page 6

EditorialDear Reader,

At the onset of the New Year, we reiterate our mission to promote industrial development, provideinvestor friendly environment and maintain the numero-uno position of the state in attracting highestdomestic and foreign investments in the State. I, on behalf of MIDC take this opportunity to wish allour readers a very prosperous and successful year ahead.

Another feather in the cap of Maharashtra Industrial Corporation (MIDC) is the latest addition of theSwiss chocolate maker, Barry Callebaut in the existing list of prestigious investors in the State. Thechocolate giant is going to set up first of its kind chocolate manufacturing unit in Maharashtra. Thisedition covers a feature story on the new project of Barry Callebaut in the State.

This edition also covers the district profile of Amravati– a district which has historical significanceand is growing rapidly as an industrial district. The reader is introduced here to the industrial profileof Addl Latur. The edition covers the twelfth Pravasi Divas and the 4th national conference on MSMEs-“Clusters as Engine of MSME Growth” in which MIDC played an integral role introducing Maharashtraas an investment destination. The other feature story is on the contribution of mega projects in theState, especially with respect to the developing regions of the State.

Our endeavor is to abreast our readers with the state’s industrial scenario and to provide perspectiveon formulating business strategies for expanding their footprints in Maharashtra.

We keenly look forward to your feedback and suggestions in making MahaConnect more enrichingfor all our readers. Please write to us at mahaconnect@midcindia.org. Also, visit our websitewww.midcindia.org

Regards,Bhushan Gagrani (IAS)CEO, MIDC.

Contents

Cover Story of the Month

Amravati district stretches overan area of 12212 Sq. Km. whichis about 3.96% of the total areaof the Maharashtra State. Thedistrict is located between 21.30'to 21.50' North latitude and76.35' to 78.27‘ Eastlongitude……Read more onPage 3

Amravati- Growing Industrial Center

Industrial Estate Profile — Addl. Latur

Latur is one of the major districts in Maharashtra. It iswell known as an education centre and for its food graintrade and oil mills. Latur is being recognized as a strongEducational hub for Secondary and Higher SecondarySchool. .....Read more on Page 4

Industrial Estate Profile

Barry Callebaut — Investment News

Barry Callebaut, the world’sleading manufacturer of high-quality chocolate and cocoa withover 6000 recipes in its productsrange is shortly going to establishtheir new manufacturing unit inMaharashtra.... …read more onpage 5

4th National Conference on MSMEs

Event

Feedback

It is really interesting to go through yourregular business newsletters...… ....Readmore on page 7

Your Comments

MAHACONNECTJanuary. 2014

Twelfth Pravasi Bhartiya Divas

A delegation from Maharashtra Developmentcorporation (MIDC) participated in the twelfthPravasi Bhartiya Divas which was held on 7- 9January 2014 at Vigyan Bhawan in New Delhi,India...….Read more on page 6

Event

Investment News

Mega Project— Maharashtra

The State Industrial Policies ofMaharashtra have historicallyattracted and continues to attractinvestments and generateemployment………...read moreon page 5

MIDC

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Amravati-Growing IndustrialCenter

District Profile

Amravati district stretches over an area of 12,212 sq.km. which is about 3.96% of the total area of theState. The district is located between 21.30' to 21.50'North latitude and 76.35' to 78.27‘ East longitude,which essentially indicates that Amravati District islocated in the Deccan plateau.

Amravati district is located in the Vidarbha region. It isbound by the Khandwa and Betul districts of MadhyaPradesh State and by the Maharashtra districts ofNagpur, Wardha, Yavatmal, Washim , Akola andBuldhana districts.

Large rivers like Purna, Wardha, Tapi, Sipna andsmaller rivers like Kapra, Gadga, Chudaman and Kholatflow through the district.

The Mumbai-Bhusaval-Nagpur-Kolkata broad gaugerail line and Murtijapur-Achalpur, Khandwa-Akola-Purna and Badnera-Amravati meter gauge rail lineconnect Amravati to the cities of Mumbai, Jalgaon,Nagpur, Delhi and Chennai.

The National Highway 6 runs between Hazira-Dhule-Kolkata passes through Amravati district, thus makingmarkets accessible and helping trade and business inthe district .

Amravati District in Maharashtra

MIDC Area Total Land(Hectares)

Amravati 178.15

Addl. Amravati(Nandgaon Peth) 2809.78

Morshi(Mini) 13.41

Daryapur(Mini) 16.05

Tiwasa(Mini) 13.17

Dharni (Melghat)(Mini) 10

Achalpur(GC) 185.14

Dhamangaon(GC) 99.35

Warud(Mini) 12.59

Chandur Ralway(Mini) 17.36

Bhatkuli(Mini) 17.04

Anjangaon(Mini) 10

For detailed information on each of these industrialareas. Including availability of land please refer to theflowing link —http://www.midcindia.org/Pages/IndustrialPage.aspx

For further information, please refer to the followinglinks

1. For power tariffs applicable —http://www.midcindia.org/Pages/PowerTariff.aspx?IndusArea=All&Region=All

2. For Land Rates —http://www.midcindia.org/Pages/FilterLandRates.aspx?IndusArea=All&Region=All

3. For Water Rates —http://www.midcindia.org/Pages/FilterWaterTariff.aspx?IndusArea=All&Region=All

For any further information on the servicesprovided by MIDC and other important statepolicies including the new industrial policy 2013,please visit our website www.midcindia.org

Socio Economic Indicators

Population (in 000s) 2,888

No. ofhouseholds(‘000)

637

Literacy rate (%) 88.23

Decennial GrowthRate (%) (2001-11)

10.77

GDP (in INR Crore) 20,799

Per capita income(inINR)

63,467

Infrastructure Indicators

Airports AmravatiNearest Internationalairport — Nagpur 156km

Sea Port/Nearest

Mumbai

Roads 6,759 km

Railways 195 km

Major Minerals Fire Clay, Sandstone

Industrial Presence Indiabulls, BombayRayon

The district of Amravati has 12 industrialarea under MIDC. The total land bankcoverage of these industrial areas is 3382.04hectares.

Raw Cotton

Textile► Presence of big companies such as Bombay

Rayon in the district► The region accounts for nearly one third of

the State’s cotton production► Owing to the availability of cotton the city has

great potential for cotton mills► 45 percent of equity support for new

cooperative spinning mills and 10 percentcapital subsidy for new textile units

Agro & Food Processing► Amravati district along with Nagpur, tops

the production of oranges in the State► Amravati is one of the major soybean

producing districts in the state.► Production of soybean in 2013 was

esti. 5,287 Lakh MT (second highest in thestate )

► There are 1203 Manufactures of Foodproducts and Beverages enterprises in thedistrict

Tourism► The region is dotted with the scenic beauty

and holds the potential to become one ofthe most popular eco tourism destinationsin the State

► Melghat Tiger Reserve is located in northpart of Amravati District

► Major tourist attractions are Chiikaldhara,Ambadevi Temple, Satidham Temple andShri Bhakti Dham Temple

Investment Opportunities

Melghat TigerReserve

MAHACONNECTJanuary. 2014

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Location ProfileIndustrial EstateProfile —Addl. Latur

Industrial Estate Profile

Regional Office

Officers in Charge —Shri. A.T Gharde (RO)Shri. R. T Mane (AM)

C. F. C Building, 1st Floor, MIDC IndustrialArea, Latur-413512

Tel- 02382-220220 / 220866, 9823166424

Email — rolatur@midcindia.org

Classification —D +

Latur is one of the major districts inMaharashtra. It is well known for its qualityof education centres, food grain trade and oilmills. Latur is being recognized as a strongEducational hub for Secondary and HigherSecondary School.

The industrial area is situated at a distance of9 km from Latur city on Latur - Barshi (SH- 77), which is well connected with majorcities and towns of the state

Geographical Features

General Information

Site Connectivity

Social Infrastructure

Longitude : 76.36° EastLatitude : 18.24° NorthAltitude : 630 meters (2070 feet)TemperatureSummer Average from 24 – 39.6 °CWinter Average from 13.9– 21.8 °CRainfall : Average annual rainfall 600-800 mm approx.

MIDC has developed this industrialarea with the main objective topromote industrial growth in the Laturindustrial area. The park is located in1073.83 hectares of land situated 9km from Latur city.

By Road — Add. Latur industrialarea is located on Latur - Barshi (SH-77) , 9 km from Latur city, 141 kmfrom Nanded, 277 km fromAurangabad, 314 km from Pune cityand 461 from Mumbai city.By Rail — The nearest railwaystation is Latur which is 10 km ,Nanded – 140 km, Pune - 314 km.Airports:- Domestic Airport -Nanded - 166 km, Pune - 318 km,Mumbai - 479 km.Water Ports — Nearest portJawaharlal Nehru Port Trust ( 448km)

Colleges — MIT College ofCommerce & Management Studies,Government College of Agriculture,Maharashtra Institute of NursingSciences, MIT College of Science andComputer Studies.

Hospitals — Sahara Hospital , LotusHospital , Vivekananda Hospital &Research centre.

Schools — Wale English School ,Swami Vivekananda Integration EnglishSchool , Z. P Primary school .

Hotels — Hotel Anjini International ,Hotel Manas , Hotel Ashoka.

Water

Internal Roadconnectivity

Electricity

Telecommunications

Water Supply Scheme of 36 MLDcapacity from Manjara River has beenimplemented by MIDCSource — Manjara RiverSupply scheme — 36 MLDInstalled Capacity — 18 MLD

Plots are divided into small, medium& large sizes and with respect tothese plots the internal roads hasbeen constructed . The roads aremostly 45 M, 30 M & 25 M widewhich are well connected across theindustrial area.

Maharashtra State ElectricityDistribution company ( MSEDC)provides electricity to majorindustrial areas. A sub-stationhaving capacity of 132 KV/33 KVhas been installed in this area.Existing substation — Powersub station of 132 KV/33 KVcapacity has been installed withinthe industrial area.Power Generating Capacity -The substation has powergenerating capacity of 50 MVACapacity (Installed) — 50 MVA

The site is in close proximity tothe major cities and districtshousing all the major existingtelecom providers with a goodnetwork connectivity.

Infrastructure Availability Existing Industries

MAHACONNECTJanuary, 2014

Latur District, Maharashtra

Tariffs

For further information on land,water and power rates, pleaserefer to the following link —

http://www.midcindia.org/Pages/DefaultMIDC.aspx#

Plot Holder Name Type of Industry

M/s Kirti AgrotechAgro - basedIndustries

M/s Arihant SiddhasSteel Pvt. Ltd. Steel

M/s Laxmi Foods Food Products

M/s Bombay RayonFashions Ltd. Agro - based Industries

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Update on MegaProjects in theState

Mega Projects

MAHACONNECTJanuary, 2014

The State Industrial Policies of Maharashtra havehistorically attracted and continue to attractinvestments and generate employmentopportunities through domestic as well as foreigninvestments on a large-scale. The government ofMaharashtra has approved 403 mega projects withan investment of INR 3.21 lakh crore generatingemployment for 3.57 lakh people.

In order to promote industrial development in theState, the new policy provides for a customisedpackage of incentives to boost the growth of megaprojects, which are classified on the basis of fixedcost investment and employee strength. The stategovernment is committed to ensure industrialgrowth uniformly in districts across the State.

Manufacturing projects with fixed capital investment(FCI) or employing direct regular persons accordingto the threshold limits in the Stated in table 1 willbe classified as Ultra Mega/ Mega Projects.

Additional incentives will be provided to theprojects employing minimum twice the thresholdnumber required to qualify as Mega Project at thatlocation

High Power committee under the chairmanship ofChief Secretary , Government of Maharashtra, willapprove the coustomised package to Mega projectsand Ultra Mega projects on case-to-case basis

Type ofunit

Taluka /Area

Classification

FixedCapital

Investment (in INRCrore)

DirectEmployment

MegaIndustrial

Unit

A & B 750 1,500

C 500 1,000

D & D+ 250 500

Naxalismaffected area

and NoIndustrydistricts(LHDI)

100 250

Ultra MegaIndustrial

Unit

Entire state(NID)

1500 3,000

Barry CallebautExpands It’s FootPrint in the State

Investment News

Swiss chocolate maker Barry Callebaut , the world’sleading manufacturer of high-quality chocolate andcocoa with over 6000 recipes in its product range,have entered the State with their new manufacturingunit. This will be the first of its kind factory in India;they will supply chocolates to giants like CadburyIndia, Nestle India and others locally and also plans toexport to neighbouring countries like Nepal, SriLanka, Bangladesh, Pakistan.

The company is headquartered in Zurich andoperates in 30 countries worldwide through morethan 50 production facilities. Barry Callebaut hasacquired comprehensive competency in the art ofmaking chocolate and cocoa products– from sourcingand processing cocoa beans to producing the finestchocolates, including chocolate fillings, decorationsand compounds. They are the global leader inchocolate and cocoa innovations and provide acomprehensive range of services in the fields ofproduct development, processing, training andmarketing.

In addition to manufacturing chocolates, the companyundertakes research into chocolate recipes. In recentyears it has launched tooth-friendly chocolate,probiotic chocolate, chocolate with a high levelof antioxidants (sold under the brand nameACTICOA), and "rebalanced" chocolate, which hasan improved nutritional profile.

Barry Callebaut has been allotted land in Ranjangaonindustrial area near Pune for setting up a chocolatemanufacturing plant at an investment cost of Rs INR115.25 Crore. The proposed unit in Ranjangaon willprocess Cocoa and manufacture Chocolates withoutput capacity of 14,000 MT per annum initially andwill be scaled up to 48,000 MT per annum.

Ranjangaon is located at a distance of about 50 kmfrom Pune, which houses several big manufacturingcompanies including LG, Whirlpool, Carraro, Fiat,Bombay Deying, Maccaferri, Beakaert etc.

2411

6374

149

79

A

B

C

D

D+

LHDI

NID

The Government of Maharashtra hasapproved 403 mega projects with aninvestment of INR 3.21 lakh crore creatingemployment opportunity for 3.57 lakh people

Swiss Chocolate maker BarryCallebaut to set up first of its kindfactory in India in Maharashtra

Ensuring industrial growth uniformly in districtsacross the State out of totally approved 402 megaprojects, 305 are in less developed regions(D ,D+,LHDI and NID).

6MAHACONNECTJanuary, 2014

Maharashtra Economic Development Council inassociation with Govt. of Maharashtra and IndianEducation Society had organized 4th NationalConference on Micro, Small and MediumEnterprises (MSMEs) – “Clusters as Engine of MSMEgrowth” on 20th November 2013 at IES’s ManikSabhagraha, Bandra (West).

The main focus in this conference was on “Clustersas Engine of MSME Growth”. It had significantpresence of officials representing Government ofMaharashtra and also comprised experience sharingof Successful Clusters operating in Maharashtra.

The conference saw the presence of Mr. RajivGupte, Director, Mr. Arvind Vaidya, Chairman, IES;MSME Development Institute; Mrs. MeenalMohadikar, Vice President, MEDC; Cdr. DipakNaik, President, MEDC; Mr. Ram Bhogale,Chairman, Auto Cluster & President, MaharashtraChamber of Commerce, Industry & Agriculture(MACCIA).

Cdr. Dipak Naik in his welcome speech introducedthe other session speakers.

Shri. Bhushan Gagrani, IAS, CEO, MIDC in hisspecial address said that the MSMEs have been thebackbone of entire industrialization but at the sametime they are not developing at a pace at whichthey should develop. The major challenge beforeMSMEs is to devise strategies to strengthen thesmall scale facilities in the State. The new industrialpolicy 2013 is in operation now, which is providingbenefit and incentives to Small scale sector. Theprovision of incentives in terms of input taxeswhich was not available for small scale sectorearlier is also been introduced.

In the valedictory session, Mr. P. S. Agwan, VP,Chamber of Small Industry Association, in hisspeech, said that there should be awareness toentrepreneurs, beneficiaries to successfully developthe programme. Involvement is necessary forbeneficiaries and financial participation andeducation about the whole programme viz. capacitybuilding is necessary.

The conference was well attended by over 300Industrialist, Policy makers, Bankers, Students,Government officials & representatives of PressMedia.

4th Nationalconference onMSMEs

Events

“MSMEs have been the backbone of entireindustrialization but at the same time theyare not developing at a pace at which theyshould develop. The major challenge beforeMSMEs is to devise strategies to strengthenthe small scale facilities in the State. ”

Shri. Bhushan Gagrani (IAS), CEO,MIDC

Twelfth PravasiBhartiya Divas—2014

Events

A delegation from Maharastra Developmentcorporation (MIDC) participated in the twelfthPravasi Bhartiya Divas which was held on 7- 9 January2014 at Vigyan Bhawan in New Delhi, India.

The twelfth edition of Pravasi Bhartiya Divas wascelebrated with the theme "Engaging Diaspora:Connecting Across Generations" The Ministry ofYouth Affairs & Sports is the partner Ministry forPravasi Bhartiya Divas 2014 and FICCI managed andcoordinated the event.

The Pravasi Bhartiya Divas (PDB) is a flagship eventof the Ministry of Overseas Indian Affairs,Government of India.

Pravasi Bharatiya Divas (PBD) is celebrated on 9January every year to mark the contribution ofOverseas Indian community in the development ofIndia. January 9 was chosen as the day to celebratethis occasion since it was on this day in 1915 thatMahatma Gandhi, the greatest Pravasi, returned toIndia from South Africa, led India’s freedom struggleand changed the lives of Indians forever.

Eleven years since its inception, the PBD has grownto become a vital platform for evolving ideas,identifying actions and creating opportunities for theinteraction between the home country and itsoverseas citizens. It is also a forum where theGovernment of India and various State Governmentsshowcase investment opportunities and potential invarious sectors. Separate sessions are held by StateGovernments in this regard to inter alia interact withpotential investors

During the event, individuals of exceptional merit arehonoured with the prestigious Pravasi BharatiyaSamman Award to appreciate their role in India’sgrowth. The event also provided a forum fordiscussing key issues concerning the Indian Diaspora.

The Divas was formally inaugurated on 8th January,2014 by Hon'ble Prime Minister of India. On 7thJanuary, a special seminar entitled the 'Youth PBD',was held to focus on youth diaspora. Hon'blePresident of India delivered the Valedictory Addressand conferred Pravasi Bharatiya Samman Awards on9th January 2014.

Theme of the Twelfth PravasiBhartiya Divas — “EngagingDiaspora: Connecting AcrossGenerations”

MIDC Stall at 12th Pravasi Bhartiya Divas inNew Delhi

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Dear Sir,

It is really interesting to go through your regular business

newsletters.

Best regards,

Shakir I. BarafwalaBarafwala Agro Processors

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 isfor 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's knowledge and belief, the content is not to beconstrued 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 anyreliance 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 anyportion of this presentation.© 2014All rights reserved. All copyright in this presentation and related works is solely and exclusively owned by MIDC and the Authors. 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 anythird party except with the written approval of MIDC

Government of Maharashtra

Maharashtra Industrial DevelopmentCorporation

Udyog Sarathi Mahakali Caves Road,Andheri(E), Mumbai-400 093.

Board Numbers: 91-022-26870052 / 54 / 73,Fax: 91-022-26871587,

E-mail: mahaconnect@midcindia.org,feedback@midcindia.org

Dear Sir,

Went through the Newsletter with interest.

Heartening to see the high standards of the

current issue and the insight that it provides

into the industrial growth in the State.

Thank you and best wishes,

Subrata DasCounselorEmbassy of IndiaKathmandu, Nepal

MAHACONNECTJanuary, 2014