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Urban Development February 2008 Gujarat : an Enduring Strong Economy

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Urban Development February 2008 Gujarat : an Enduring Strong Economy Urban Development February 2008 Gujarat : An Enduring Strong Economy § Population : Over 50 million (5.0% of India) § Geographical area : 1,96,000 sq. km (6.2% of India) § Gross State Domestic Product (GSDP) : US$45.3 billion § Per Capita Income : US$915 at current prices § Urbanisation : 37.4% § High industrial growth : Gujarat has demonstrated a Composition of GSDP as per economic activity (2006-07) high industrial growth rate of 12.5% from 2002 -2007 § Industrialisation: Gujarat is home to over 800 large 18.2% Primary sector industries and 3,20,000 micro, small and medium 44.0% Secondary sector enterprises Tertiary sector 37.8% Source: Socio Economic Review 2007-08 Page 2 Gujarat: Urban Development Gujarat : A Thriving Industrial State Contribution to India's economy Presence across industry sectors Employees 9.5% No. of Factories 10.0% Petroleum Products 31.2 % Net value added 14.0% by manufacture Chemical & Pharma 22.9 % 15.6% Value of output Engineering Industries 12.6 % Fixed capital investment 17.0% Food & Beverages 9.7 % Exports 19.2% Textile & Apparels 6.5 % Coastline 22.0% Mineral based Industries 2.9 % Stock market capitalization 30.0% Metallurgic Industries 7.5 % Others 6.7 % Significant share in key sectors & products Soda ash production 98.0% Salt processing 85.0% § World’s largest producer of castor and cumin Diamond processing 80.0% Plastic industry 65.0% § World’s largest gas based single location sponge iron plant Petrochemicals 58.0% § World’s largest producer of processed diamonds Chemicals 50.0% § World’s 3rd largest producer of denim Groundnut 42.3% § Asia’s largest grass root petroleum refinery at Jamnagar Pharmaceuticals 42 % § India’s largest producer of cotton Cotton 35.0% Fabrics 30.0% § India’s first LNG chemical port terminal at Hazira Source: Socio Economic Review 2007-08 Page 3 Gujarat: Urban Development Gujarat: Robust Infrastructure Surfaced road length –one of the highest in Gujarat Rail & Road § State-of-the-art road infrastructure: India’s first National Expressway from Ahmedabadto Baroda. § Total road length is 74, 018 Km -95% surfaced road § Rail length in Gujarat - 5188 km (8.25% of India) Gujarat Ports opening the gateway to prosperity Ports § 42 ports along 1600 km coastline, including 1 major port at Kandla and 41 minor ports § Landmark projects such as LNG port terminal at Haziradeveloped by Shell India Limited, Green field port at Mundradeveloped by Gujarat AdaniPort Limited, LNG terminal at Dahejdeveloped by PetronetLNG Ltd. And Pipapavport developed by Gujarat PipapavPort Ltd. Airport Connectivity –A cutting edge for business Airports § 13 airports -at Vadodara, Surat, Jamnagar, Rajkot, Bhavnagar, Porbandar, Bhuj, Pipavav, Mandvi, Mundra, Kandlaand Palanpur, including one international airport at Ahmedabad Page 4 Gujarat: Urban Development Gujarat: Robust Infrastructure Dependable Power Supply –Key to industrial development Power § Present power generation capacity – 13,500 MW. Plans afoot to raise it to 25,000 MW by 2012 § Per capita power consumption -1,354 units against the national average of 665 units § Rich availability of natural gas (34 MMCD) and Lignite (1,072 MMT) § 24-hour 3-phase uninterrupted power supply Interlinking of rivers –Gujarat the only State Water § An extensive water grid network of 75,000 km across the State for irrigation and drinking § 75% population of the state to be covered by 2010 Transformation of Economy through Natural Gas Gas § Gujarat State PetronetLimited (GSPL) supplies piped gas to 13 districts, 5 more districts being added § Total length of Integrated Gas Grid will be 2200 km, of which 1453 km is complete and the rest is under construction Page 5 Gujarat: Urban Development Gujarat : Favourablefor Infrastructure Projects As per Deustche Bank Research, •Gujarat ranks first in the ‘regional scoring tool’among 27 states in India. The research indicates ‘Gujarat offers the most favourableoutlook for the growth of demand for infrastructure projects’with the highest score of 28 out of the maximum possible score of 33. Source: Census of India, RBI, NHAI, Beutsche Bank Research Page 6 Gujarat: Urban Development Gujarat : ‘the UrbanisedState of India’ § Gujarat accounts for 6% of the total area of the Fig 1: Urbanisation levels country and around 5% of the country’s population 0 37.36% § Gujarat is accelerating towards the process of 34.47% 0 31.10% urbanisationand modernisationdue to the fast 27.78% 0 27.23% 28.06% 25.74% 25.71% growing economy of the State. 23.70% 0 19.91% § Gujarat has the potential to revive its economic 0 17.29% 18% growth with growth rate of 9.8%, higher than India’s 0 8.4% 0 Share of Urban0 Population (in %) § Gujarat is one of the most urbanized State of India 0 1951 1961 1971 1981 1991 2001 with 37.36% share of urban population as compared Year to 27.78% share of urban population in India Gujarat's Share of Urban population (%) India's Share of Urban population (%) § During the period 1991-2001, Gujarat witnessed a growth rate of 32.94%, compared to national average of 21.31% § Gujarat outlay for urban development as a percentage of total outlay is four times more than the central Government for the year 2007 Source: Urban Development and Urban Housing Department, Government of Gujarat Page 7 Gujarat: Urban Development Gujarat : Urban Scenario § The State Government has constituted seven municipal Fig 2: Urban population corporations, 12 urban development authorities, two 60 area development authorities and designated 159 50 municipalities as area development authorities for 40 planned urban development 30 20 § The last four decades saw an almost three and a half Population (in Million) times increase in urban population of the state 10 0 § According to the 2001 Census of India, Gujarat has a 1901 1911 1921 1931 1941 1951 1961 1971 1981 1991 2001 Year network of 242 urban areas as compared to 264 in the Total Population Urban Population year 1991. The decline in number is mainly because of Fig 3: Urban areas in Gujarat the merger of independent towns with other bigger cities 264 255 243 242 and towns 216 191 181 166 166 172 § In 1991, Gujarat had 21 large cities; 27 medium towns; 155 and 177 small towns. By 2001 the number of Class-I* and Class-II* towns have gone up to 25 and 38 respectively. There are 81 and 57 number of Class-III* and Class-IV* towns in Gujarat. 1901 1911 1921 1931 1941 1951 1961 1971 1981 1991 2001 Note: Class I: Cities with a population of more than 100,000; Class II: Cities with a population 50,001-100,000; Class III-iV: Cities with a population of less than 50,000) Source: Urban Development and Urban Housing Department, Government of Gujarat Page 8 Gujarat: Urban Development Gujarat : ‘Urban Cities’ Ahmedabad § About half of the urban population of Gujarat lives in seven urban cities namely, Jamnagar Rajkot Vadodara Ahmedabad, Surat, Vadodara, Rajkot, Bhavnagar, Jamnagarand Junagadh. Junagarh Bhavnagar § Ahmedabadis the fastest growing urban agglomeration, followed by Surat, Surat Rajkotand Bhavnagarand is a mega city under JNNURM. Urban Urban DDP at current DDP annual Per capita % of Focus industry sectors Cities population prices 2006-07 growth rate income SEC A (in lacs) 2006 in Rs lacs % (2001-06) (2006) and B Ahmedabad 53.4 4,010,890 9.38 63,000 32% Textiles-apparel, drugs-pharmaceuticals, agro-food processing, automobiles, engineering, biotechnology, diamond processing, information technology and tourism Surat 39.6 3,333,241 11.45 57,000 29% Textiles and diamond processing industries, emerging as a potential hub for IT/ITeSsector in Gujarat. Vadodara 18.4 1,920,536 9.83 89,000 31% Chemicals and petrochemicals, pharmaceuticals and biotechnology Rajkot 18.9 1,535,055 10.3 49,000 23% Engineering and electronics, textiles and apparels and chemicals Bhavnagar 10.5 1,330,356 12.58 61,000 13% Diamond cutting and polishing, cement and gypsum, inorganic salt-based and marine chemicals, ceramics, fabrication and food processing industries Jamnagar 9.7 1,189,312 15.48 52,000 22% Petroleum and petrochemicals, salt, Brass parts and port - related business Junagadh 4.2 (2001) 920,032 7.68 - - Mineral-cement industry, fish processing industry, Agriculture -based industry and power sector Source; City Skyline Indicus Report Note: DDP: District Domestic Product; SEC: Socio-Economic Classification Page 9 Gujarat: Urban Development Gujarat : ‘Urban Cities’ Urban Social infrastructure Health care Urban infrastructure (upcoming) Cities Ahmedabad 9 Management colleges (840 seats), 45 ITIs(3500 Best private hospitals are Apollo Hospital, BRTS (Bus Rapid Transit System), DMIC seats); three polytechnic colleges (1000 seats); 74 Sterling Hospital, Krishna Heart Centre and (Delhi Mumbai Industrial Corridor), SIR colleges and an IIT Campus Gujarat Cancer Society (Special Investment Region), GIFT (Gujarat International Finance Tech-City) Surat 30 ITIs, 41 colleges-pharmacy, engineering , 89 private hospitals with some specialisedfor Delhi Mumbai Industrial Corridor (DMIC), two medical and management colleges and Indian cancer and tuberculosis including Lions SEZs are functional and three are upcoming, Diamond Institute and Man Made Textile Cancer Detection Centre Trust and three TB port connectivity through Magdalla and Hazira Research Association (MANTRA) hospitals port Vadodara 33 training institutes, three engineering colleges, 1 15 key specialisedhospitals including Bankers Delhi Mumbai Industrial Corridor (DMIC), Ring university –Maharaja SayajiraoUniversity, Indian Heart Institute and Baroda Heart Institute and Road development, Bus Rapid Transit System Institute of Materials Management and a National Research Centre (BRTS, Vadodara-Surat National Highway and Fire Academy Vadodara airport Rajkot Saurashtra University, five engineering colleges, A number of hospitals including N M Virani Development of Navlakhiport, four laningof R.K. College of engineering, management and Wockhardt Hospital, Civil hospital, G.T. Seth highway connecting Rajkot –Jamnagar – pharmacy and various industrial training institutes Eye hospital, K.T.
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