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From the Government of Maharashtra-MIDC The Business Newsletter | 66 th Edition – October 2015 MahaConnect

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Page 1: MahaConnect - Maharashtra Industrial Development …cms.midcindia.org/MahaConnect/Mahaconnect_Newsletter_Oct...Exemption on sale/lease of land Investment subsidies/tax incentives Special

From the Government of Maharashtra-MIDC

The Business Newsletter | 66th Edition – October 2015

MahaConnect

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ContentsFrom the Desk

Chemical Sector

District Focus: Thane

Investment Plans / Initiatives

Feedback

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04

07

10

14

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Chemical Industry comprises of companies whichconverts raw material into different products. Thisindustry is central to the modern global economy.Several Industries in Maharashtra such as Pharma,Textile, Engineering are dependent on these sector.This newsletter showcases the contribution of thissector and investment potential in the state.

This newsletter will give a glimpse of the ThaneDistrict. Thane district has been the traditionallybeen one the largest textile hub in the country.However, sectors such as IT ,PharmaceuticalEngineering and Logistic have also flourished in thedistrict along with growing urbanization.

MIDC has always believed in having continuousinteraction and feedback with the industries. In thismonth, we had many interactive session with theindustry delegates.

We had partnered with FICCI for their “FICCI TAGconference : Beyond Cotton : DevelopingExcellence in MMF Based Textiles a great success”which gave a reflection into the changing businessenvironment of the textile industry.

We had organized the “ Maharashtra – MichiganGlobal Business Summit” where the bilateral traderelationship between to the two states were

discussed and role MIDC can play in the helpingMichigan investor set up business in Maharashtra.

Further, to make Maharashtra a prominent textilehub, we had organized a roadshow for textilecompanies in Ludhiana. We saw great enthusiasmand positive outlook of the companies to invest inthe state. The newsletter covers all the events indetail.

We keenly look forward to your suggestion andfeedback in making MahaConnect more enrichingfor our readers. Please write to us [email protected]. We also invite you tovisit our website www.midcindia.org for furtherdetails and opportunities the State provide in therealm of setting up industries in the State.

Regards,Bhushan Gagrani (IAS), CEO-MIDC

From the Desk

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Chemical Sector in India &Maharashtra

Maharashtra house one of the highest number ofchemical factories and is among India’s leadingstates for chemical production. The state houses~16 percent of the total number of chemicalfactories and ~17 percent of chemical productionin India. Organizations from wide variety ofchemical sub-sectors such as Alkali Chemical,Inorganic Chemical, Organic Chemical,Pesticides, Dyes & Dyestuff are present in thestate. Though there are several chemical zonesin the state that provide necessary infrastructure ,chemical zones located at Mumbai/Thane andTTC are the most popular

India accounts for 3 percent of global chemical production with a value of Rs 819,000 cr (as of 2013)

As of 2013-14, India occupied 3rd position in Asia and 6th position in the chemical production and

Maharashtra houses ~16 percent of

the total percent of chemical factories and ~17 percent of chemical production in India

India Chemicals sector attracted a total FDI

inflow of more than USD 10 billion during April 2000 to February 2015

Chemical Sector

Index

55,586 47,431 57,502 77,067

289,397 279,115352,290

464,194

0

100,000

200,000

300,000

400,000

500,000

FY09 FY10 FY11 FY12

Maharashtra All-India

Production (Rs cr)

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Chemical Sector

Chemical Zones:The state has 13 chemical zones at Ambernath, Badalapur, Butibori,Dombivali, Kalyan–Bhiwandi, Kurkumbh, Lote Parshuram, Mahad,Patalganga, Roha, Taloja, Tarapur, and TTC.

MIDC has planned to set-up liquid waste management in these industries

Chemical Zones in Maharashtra Dedicated Institutes

• Removal of licensing requirements except for hazardous chemicals

• Entrepreneurs permitted to set-up chemical industries under Industrial Entrepreneurs’ Memorandum (IEM) route

• Petroleum, chemicals and petrochemical investment regions (PCPIR) developed for setting-up manufacturing facilities. PCPIR may include industrial parks, SEZs, EoUs, free trade and warehousing zones. Benefits available under the relevant policy/legislation will remain valid

• 100 percent FDI permitted under automatic route and 24 percent permitted in products reserved for MSMEs such as fireworks and incense sticks, laundry soaps, wax candles, safety matches etc.

• Fiscal benefits in the form of concession on customs duty and incentives for R&D activities are also provided

Government of India Initiative

Index

Mumbai

Aurangabad

Nanded

Kolhapur

Presence of chemical institutes such as:

• Indian Institute of Technology, Bombay

• Institute of Chemical Technology, Mumbai

• National Chemical Laboratories, Pune

• Visvesvaraya National Institute of Technology, Nagpur

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Chemical Sector• GoI is also considering setting-up a R&D fund under PPP, augmenting

testing centers to function as certifying agencies for testing raw materials and plastic products, formation of clusters, establishing specialized vocational training centers in clusters, among others

• In addition, the GoI is also planning to set-up reverse SEZs for chemical sector, beginning with Iran to meet specifically meet demand for specialty chemicals

Government of Maharashtra Initiatives

Private Players in Maharashtra

Index

Package scheme of incentives for new industrial units/expansion units in state’s developing regions awarded to pharmaceuticals and biotechnology units, medical and surgical appliances, cold storages (pharma products can be stored). For mega/ultra mega projects, incentives will be decided by high power committee

State offers additional incentives for industrial projects in areas such as:

Subsidized land cost

Exemption on sale/lease of land

Investment subsidies/tax incentives

Special incentive packages for mega projects

Subsidies for backward areas

Relaxation in stamp duty

Incentives for power tariff

Concessional rate of interest on loans etc.

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Thane Snapshot

District Focus: Thane

Demographic Snapshot

Population (thousands) 11,060

Literacy Rates (%) 86.18

District Income (Crore) 140,735

Geographic Snapshot

Area ( thousand Sq Km) 10

Talukas 15

Major Cities 37

Industrial Snapshot

No. of Factories 8,274

Total Factory workers 166,837

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District Focus: Thane

• Thane is third most industrialised district in the state.

• The Thane Belapur- Kalyan industrial belt is the Centre of highlysophisticated modern industries

• Thane district can be divided into three parts – first , the area underMumbai metropolitan influence such as Thane, Kalyan andUlhasnagar, second, industrially developed region of Vasai,Bhiwandi, Palghar and Dahanu and finally , areas of district havingconventional village industries.

Thane District

Road

The total road length of National Highway and StateHighway in Thane district is 467 kms and 2925 kmsrespectively. All major highways connecting Mumbai toother major cities go via this district.

Physical and Social Infrastructure

Railways

The total length of railways in Thane is 585 kms. Thedistrict is connected to both Central Railways from CSTto major outskirts centres like Kalyan , Badlapur , Karjatand Western Railways from Churchgate to Dahanu vialocal trains. Like Roads, most train leaving Mumbai passthrough major centre of this district

Ports

Both the major port JnPt and MbPT are at a distance of50km from Thane’s major industrial areas. JnPT and MbPTports handled 461.66 lakh MT and 480.73 lakh MT cargotraffic during 2014-15

Education

Thane district has 31 ITI and ITC to cater to the skillrequirement of the heavy industries. It has 31 technicalInstitutes to cater to the growing demand of industries forskilled and highly skilled resources

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District Focus: Thane Investment Opportunities

Key Industry Players

Pharmaceutical Textile Industry IT/ITES Industry

• The Thane – Belapur areas have well developed and high capacity CHWTPs,CETPs for pharmaceutical industry

• These region has higher concentration of pharmaceutical units

• Some of the big companies such Glenmark, Sandoz Pharma, Reliance Life Science , GlaxoSmithkline amongst others are housed here

• Bhiwandi in Thane has traditionally been a textile hub and accounts for 33% of the total weaving production in India

• Bhiwandi is the 2nd largest power loom centre in India

• The first integrated textile park , AsmeetaTexpa is being created under the Integrated Textile Park by Ministry of Textile, GoI at Bhiwandi

Index

• Thane in the biggest IT centre of Mumbai with concentration of big IT giants in the Thane–Belapurindustrial belt

• Some of the big IT giants in this are Accenture , TCS, Cognizant, Capgemini , Siemens, Mastek, L&T Infotech, Syntel

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Maharashtra Updates: Investment Plans / Initiatives / Events

MIDC had partnered with FICCI for the Tagconference on 29th October at Taj President. Theconference on - ‘Beyond Cotton : DevelopingExcellence in MMF Based Textiles’ was a greatsuccess

While addressing the attendees in the audience,Mr. Miling Shambharkar emphasised the need of

innovation and research in the field of textile. Hesaid use of advanced technology in this sectorwill help create jobs in the state. He said thatMIDC is fully committed to the development ofthis sector and development of Textile parks inAmaravati is a testimony. His speech wasfollowed by presentation by KPMG team tohighlight the investment opportunitiesMaharashtra

FICCI-TAG Conférence 2015

October 28, 2015

Mr. Milind Shambharkar , GM Marketing , MIDC addressing at the conference

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Maharashtra Updates: Investment Plans/ Initiatives / Events

The Government of Maharashtra endeavors to develop a strong andvibrant Textile industry that can attract potential investors, createsustainable employment generation. In the same lines, MIDC incollaboration with CII organized a Textile Roadshow in Ludhiana topromote the Textile Sector of Maharashtra. KPMG were the knowledgepartners to the event.

The roadshow was well attended by the senior representatives of largecompanies in the textile sector and presidents of various textileassociations located in Ludhiana and also from the nearby locations inPunjab. About 50 Textile companies and around 10 Textile Associationsattended the event.

Mr. Vikram Kumar , Jt.CEO , MIDC while addressing the conference gavea brief about the favorable business climate for textile industry inMaharashtra. He showcased the important feature of the revised Textilepolicy of the state and benefits to be doled out to the investors. He alsopointed out how some of the key investors like Bombay Dyeing, RelianceIndustries, Siyaram , Indo Count have expanded their business in thestate. He thanked the investors for their interest and assured full supportof the state in their investment in Maharashtra.

KPMG team represented by Mr. Saurabh Jha , Director , KPMG madepresentation on the opportunities in the state for textile industry. It wasfollowed by 5 Businesses to Government Meetings with prospectiveinvestors from Ludhiana and MIDC.

Textile Roadshow – Ludhiana Business

October 7, 2015

Index

Mr. Vikram Kumar, Jt. CEO , MIDC (centre) with Textile Industry Delegates from Ludhiana

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Maharashtra Updates: Investment Plans/ Initiatives / Events

Michigan delegation lead by Hon. Lieutenant Governor of Michigan, MrBrain Calley was on four day visit to Maharashtra on 4th October tounderstand the Government, Political , Economic and Security Affairs inMaharashtra and also analyse opportunities in Trade , Investment &Economic Development.

A “Maharashtra –Michigan Global Business Summit” was , therefore,organized to showcase the opportunities of bilateral relationship betweenthe two states.

MIDC has participated in this events to showcase the investmentopportunities in the state.

Mr. Vikram Kumar, Jt. CEO , MIDC, addressed the conference to highlightthe emerging opportunities in the state of Maharashtra. He alsoemphasised that a bilateral relationship between the two states will go along way in strengthening the trade between the two states. He addedthat MIDC would extend all support to the Michigan investors to set upbusiness in the State.

Hon’ble Minister Mr. Subhash Desai welcomed the Michigan delegationto the state. He said that both Maharashtra and Michigan state can shouldcome together and help in economic development of the states. Hesought their support to develop Pune as the Michigan of West in Asia.

Maharashtra – Michigan Global Business Summit

October 5, 2015

Index

Hon. Lieutenant Governor of Michigan, Mr Brain Calley and Hon. Minister Mr SubhashDesai at the Maharashtra-Michigan Global Business Summit

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FeedbackFor feedback, write to us at: [email protected]

Maharashtra Industrial Development CorporationUdyog Sarathi Mahakali Caves Road, Andheri (E), Mumbai – 400 093Phone: +91-022-26870052/54/73; Fax: +91-022-26871587Email: [email protected]

Knowledge partnerFrom the Government of Maharashtra-MIDC

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