SUN TEMPLE AT KONARK, ODISHA ODISHA SCENIC . SERENE . SUBLIME For updated information, please visit www.ibef.org March 2018 Table of Content Executive Summary .…………….….…….3 Advantage Odisha ……..………………….5 Vision ……………………………………….6 Odisha – An Introduction …….………..….7 Budget 2017-18 …………..………...……18 Infrastructure Status ................................19 Business Opportunities ……..……….......39 Doing Business in Odisha ………….…….66 State Acts & Policies …….……..…...........67 EXECUTIVE SUMMARY … (1/2) . The state’s economy witnessed high growth rates between 2011-12 and 2016-17, with GSDP of the state Strong economy growing at a CAGR of 10.71%. Cumulative FDI inflows in the state, during April 2000 to December 2017, amounted to US$ 425 million. Odisha has emerged as a key state with regards to the mineral and metal based industries. During 2016-17, Hub for mineral-based total production of minerals in the state was recorded at 264.87 million tonnes as compared to 238.08 million tonnes in 2015-16. The state produced minerals worth US$ 2.99 billion during April 2017 to November 2017. industries Key minerals found in the state are iron, coal, bauxite, manganese, nickel, chromite, limestone, dolomite, graphite, decorative stones, beach sand, China clay, tin ore, etc. Odisha is considered to be the aluminium capital of India and is an ideal location for setting up aluminium and Strong bauxite aluminum-based companies. The state has huge reserves of minerals such as bauxite, etc. and houses big multinational companies like Vedanta, Hindalco and Nalco. Bauxite production in the state increased from 9.3 production million tonnes in 2014-15 to 11.99 million tonnes in 2016-17. In April 2017 to November 2017, the production stood at 7.8 million tonnes. Odisha is one of the largest producers of iron and steel in the country. Total production of iron ore in Odisha Strong iron and steel was recorded to be 94.2 million tonnes in FY17 and 67.19 million tonnes for the period April-November 2017. sector Being one of the largest producers of iron and steel in India, the state of Odisha is one of the most favoured investment destinations for domestic and international iron and steel players. Source: Economic Survey of Odisha, CAGR – Compound Annual Growth Rate; GSDP – Gross State Domestic Product 3 ODISHA For updated information, please visit www.ibef.org EXECUTIVE SUMMARY … (2/2) Strong growth in . The state is home to a large number of MSME units. The state is amongst the top ten states accounting for SSI/MSME units the highest number of MSME enterprises. Odisha is the first state in India to have undertaken reform and restructuring initiatives in the power sector. As Strong power sector of February 2018, the state had a total installed power generation capacity of 7,338.36 MW. Note: SSI – Small Scale Industry, MSME – Micro, Small and Medium Enterprises Source: Ministry of Micro, Small and Medium Enterprises, Central Electrical Authority, Economic Survey of Odisha, Ministry of Tourism 4 ODISHA For updated information, please visit www.ibef.org ADVANTAGE: ODISHA February March 2014 High economic growth Policy, fiscal incentives and initiatives 2018 . The state’s GSDP grew at a Compound Annual Growth . The state offers a wide range of fiscal and policy Rate (CAGR) of 10.7% between 2011-12 and 2016-17. incentives for businesses under the Industrial Policy Thermal Thermal Resolution, 2007. power . The tertiary sector was the major contributor to the power state’s GSDP with contribution of 43.53% during 2016- . Additionally, the state has sector-specific policies for IT installed installed 17. and micro, small and medium enterprises. capacity: capacity: . The state government has constituted ‘Team Odisha’ 3.87 GW 4.99 GW to help with investment promotion. Advantage Odisha Rich labour pool Facilitating infrastructure . The state has a literacy rate of 72.87% which is close . Odisha has a up to date social, physical and industrial to the national average. Owing to strong literacy rate, infrastructure, and the state government has been large number of skilled labors are available in the state. undertaking various infrastructural projects to boost the Hence, providing a boost in making it an ideal infrastructure of the state. destination for the mineral-based industry. As per state budget 2018-19, US$ 811.24 million has . Furthermore, the state has a large pool of semi-skilled been allocated for the Railway infrastructure and unskilled labour. development which is considered to be the highest allocation to the state. Source: Economic Survey of Odisha, Central Statistics Office 5 ODISHA For updated information, please visit www.ibef.org ODISHA VISION 2022 . To develop industrial parks with . To improve rural healthcare system, quality infrastructure, to encourage to provide quality emergency micro-enterprises as ancillaries and healthcare facilities, to patronise to pave the way for cost & health insurance, to imbibe health technology orientation by and hygiene content in education encouraging competition. system, etc. To enhance the use of . To improve connectivity by Information Technology (IT) increasing road and rail density to ensure transparency and Health Industrial and to improve passenger speed. development services. To minimize interface between . To provide universal access to Govt. services public and government for power, irrigation and to improve and Infrastructure dealings. urban infrastructure as well. administration Vision 2022 Growth and well- . To protect historical monuments Tourism & culture being . To frame concerted strategies to through proper renovation. address various issues of . To nurture and promote classical unemployment and rural well being. music, dance and literature. Agriculture Education & skill . To bring about growth with equity. development . To improve the productivity of the sector, to encourage modern . To foster technical and vocational agricultural practices, to bring education and skill development insurance schemes for farmers programmes. against natural disasters, etc. To establish educational townships. Source: Confederation of Indian Industry 6 ODISHA For updated information, please visit www.ibef.org ODISHA FACT FILE . Odisha has 3 major seasons, summer (March to June), monsoon (July-September) & winter (October-February). Parameters Odisha Capital Bhubaneswar Geographical area (lakh sq. km) 155,707 Administrative districts (No) 30 Population density (persons per sq. km) 270 Total population (million) 41.97 Male population (million) 27.1 Source: Maps of India Female population (million) 25.5 . Odisha is located in the eastern region of India. The state shares its Sex ratio (females per 1,000 males) 989 borders with West Bengal in the north-east, Jharkhand in the north, Andhra Pradesh in the south, Chhattisgarh in the west & the Bay of Literacy rate (%) 72.87 Bengal in the east. Languages spoken in the state are Oriya & its various dialects, Hindi & English. Bhubaneswar, Mayurbhanj, Baleshwar, Khordha & Sundargarh, Ganjam, Cuttack are some of the large cities in terms of population. Source: Census 2011, Economic Survey of Odisha 7 ODISHA For updated information, please visit www.ibef.org ODISHA IN FIGURES … (1/2) Parameter Odisha All states Source Economy 2016-17 2016-17 Directorate of Economics & Statistics of Odisha, Central GSDP as a percentage of all states’ GSDP 3.1 100.0 Statistical Organisation Directorate of Economics & Statistics of Odisha, Central GSDP growth rate (%) 10.85 11.52 Statistical Organisation Directorate of Economics & Statistics of Odisha, Central Per capita GSDP (US$) 1,324.6 1,799.9 Statistical Organisation Physical Infrastructure Installed power capacity (MW) 7,338.36 334,146.91 Central Electricity Authority, as of February 2018 Telecom Regulatory Authority of India, as of December Wireless subscribers (No) 34,023,044 1,167,435,645 2017 Telecom Regulatory Authority of India, as of September Internet subscribers (No) 9,860,000 429,230,000 2017 NHAI, Roads and Building Department-Government of National highway length (km) 4,838 115,435 India Major and minor ports (No) 1+2 13+187 India Ports Association 2015 Airports (No) 1 125 Airports Authority of India 8 ODISHA For updated information, please visit www.ibef.org ODISHA IN FIGURES … (2/2) Parameter Odisha All states Source Social Indicators Literacy rate (%) 72.87 73.0 Census, 2011 Birth rate (per 1,000 population) 18.6 20.4 SRS Bulletin Investment Department of Industrial Policy & Promotion, April 2000 Cumulative FDI equity inflows (US$ billion) 0.425 368.05 to December 2017 Industrial Infrastructure DEA , Ministry of Finance, Government of India, July Operational PPP projects (No) 27 1,246 2016 Notified as of December 2017, Ministry of Commerce & Operational SEZs (No) 5 222 Industry, Department of Commerce, December 2017 Source: SRS: Sample Registration System, PPP: Public-Private Partnership, SEZ: Special Economic Zone 9 ODISHA For updated information, please visit www.ibef.org ECONOMIC SNAPSHOT – GSDP GSDP of Odisha at current prices (in US$ billion) GSDP per capita at current prices (US$) CAGR 10.7% CAGR 9.59% 70.0 1,400 60.0 1,200 1,324.6 60.6 50.0 1,000 1,207.1 54.7 1,148.3 51.5 1,050.9 40.0 800 46.7 939.9 41.3 30.0 600 837.7 36.5 20.0 400 10.0 200 0.0 0 2016-17 2011-12 2012-13 2013-14 2014-15 2015-16 2015-16 2011-12 2012-13 2013-14 2014-15 2016-17 . At current prices, Odisha’s total GSDP* was estimated at US$ 60.6 . Odisha’s per capita GSDP* in 2016-17 was estimated at US$ billion during 2016-17. 1,324.6. The state’s GSDP