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Sikkim the Land of Peace and Tranquility

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Sikkim the Land of Peace and Tranquility DO-DRUL CHORTEN STUPA IN GANGTOK, SIKKIM SIKKIM THE LAND OF PEACE AND TRANQUILITY For updated information, please visit www.ibef.org March 2018 Table of Content Executive Summary .…………….….……...3 Advantage State ...………………………….4 North East Region Vision 2020 ...………....5 Sikkim – An Introduction …….………...…...6 State Budget 2017-18……………..….……16 Infrastructure Status .................................17 Business Opportunities ……..………….....31 Doing Business in Sikkim …..…...….…….48 State Acts & Policies ….….……….............51 EXECUTIVE SUMMARY . Sikkim is home to around 5,000 species of flowering plants, 515 rare orchids, 60 primula species & 36 Strong floriculture rhododendron species. This makes it one of the leading states in the Northeast region in terms of production & sector supply of cut flowers to mainland consumer markets. Strong potential of . Of the 6,000 medicinal plants in India, over 424 plants (including the famous Artemisia vulgaris that is used as medicinal plants an antiseptic) are grown in Sikkim. Moreover, it is all set to be recognised and certified by the Government of industry India under National Medicinal Plant Board (NMPB) proposed under the 12th Five Year Plan. Second-largest . The state is considered as a huge cardamom epicentre of the world, producing around 80% of large cardamom in the country. Additionally, India is the world leader of the crop, producing over 50% of the global producer of cardamom yield. Presence of world’s . Sikkim has mighty snow-capped peaks including the Kanchenjunga, the world’s 3rd highest peak, which third highest peak attracts a large number of tourists from across the globe. The state's economy is largely agrarian, based on the terraced farming of rice & the cultivation of crops such as maize, millet, wheat, barley, oranges, tea & cardamom. Agrarian economy . Sikkim produces more cardamom than any other Indian state & is home to the largest cultivated area of cardamom Source: Ministry of Agriculture, Government of India 3 SIKKIM For updated information, please visit www.ibef.org ADVANTAGE: SIKKIM February Potential 2018 High economic growth and stable Conducive agro-climatic conditions political environment . Sikkim’s GSDP grew at a compound annual growth . Sikkim has favourable agro-climatic conditions, which rate (CAGR) of 11.05% between 2011-12 and 2016-17. Installed support agriculture, horticulture & forestry; there is potential for development in related areas Estimated hydro power . Large production of cardamom and flowers has opened up immense possibilities for the state economy. hydropower generation . As per the state budget 2016-17, Sikkim got certified as the first fully organic state in India by the Central potential: capacity: . Rail and air connectivity as well Ministry of Agriculture and Farmers’ Welfare as well as 8,000 MW . as optical-fibre networks are 823 MW other recognized agencies of the country. being developed in the state. Advantage Sikkim Rich labour pool Policy and institutional . Sikkim has a high literacy rate of around 81.42%. support . The state has a skilled and educated labour force. With the establishment of Sikkim Manipal University . The state follows the North East Industrial Investment and the Sikkim University, the quality and quantity of Promotion Policy, 2007, which provides several employable graduates in the state has steadily incentives and concessions for investment. improved. Institutional support is provided through various central . Skilled labour contributes in the modernization of the & state government agencies viz., North East Council, state through the development of services sector. Ministry of Development of North Eastern Region & Commerce and Industries Department. Source: Central Electricity Authority, GSDP: Gross State Domestic Product; 4 SIKKIM For updated information, please visit www.ibef.org NORTH EAST REGION VISION 2020 . Improving standard of living of . State government has set a target to people in the region to meet the grow GSDP by 9.5% and per capita national standard by 2020 GSDP by 8.3% over the period 2007- . Improving the quality and creating 20. state-of-art hospitals and educational institutions . Encouraging public investment in . Better governance and ensuring Quality of life of Growth rate in infrastructure to attract private peace and harmony through people GSDP1 investment. maximising self governance and . Creating a centre for trade and increased people participation. commerce through improving Promoting investments Governance relations with neighbouring countries. Vision 2020 . Encouraging HYV crops Agriculture Industry . Development of agro-processing through better use of organic and sericulture industries. manure, fertilisers and . Increase in investment in pesticides. Infrastructure Tourism manufacturing units depending . Preventing soil erosion by upon the availability of resources controlling floods. in the region. Promoting cultivation of horticulture crops. Facilitating easy movement of . Focusing and developing goods and people by investing in services that would promote road, rail, inland water and air tourism and create employment transportation. opportunities in the states. Source: NER Vision 2020, HYV: High Yielding Variety, 1GSDP is at fixed costs at 2006-07 prices 5 SIKKIM For updated information, please visit www.ibef.org SIKKIM FACT FILE . Nepali, Bhutia, Lepcha, Limboo, Magar, Rai, Gurung, Sherpa, Tamang, Newari & Sunuwar (Mukhia) are the commonly spoken languages. Hindi & English are also widely spoken. Sikkim has 10 mountain peaks, 84 glaciers, 315 glacial lakes (including the Tsomgo, Gurudongmar & Khecheopalri), 5 hot springs & 8 mountain passes – making it an ideal tourist location. The Teesta & the Rangeet are the 2 major rivers with nearly hundred tributaries. Parameters Sikkim Capital Gangtok Geographical area (lakh sq. km) 7,096 Administrative districts (No) 4 . Sikkim is surrounded by vast stretches of Tibetan Plateaus in the Population density (persons per sq. km) 86 north, the Chumbi Valley of Tibet & the Kingdom of Bhutan in the east, the Kingdom of Nepal in the west & Darjeeling district of West Total population (million) 0.61 Bengal in the south . Sikkim has 4 districts – East Sikkim, West Sikkim, North Sikkim & Male population (million) 0.32 South Sikkim. The district capitals are Gangtok, Gyalshing, Mangan Female population (million) 0.29 & Namchi respectively Sex ratio (females per 1,000 males) 890 Literacy rate (%) 81.42 Source: Sikkim State Portal, Census 2011 6 SIKKIM For updated information, please visit www.ibef.org SIKKIM IN FIGURES … (1/2) Parameter Sikkim All states Source Economy 2016-17 2016-17 GSDP as a percentage of all states’ GSDP 0.12 100.0 Directorate of Economics and Statistics of Sikkim GSDP growth rate (%) 11.20 10.98 Directorate of Economics and Statistics of Sikkim Estimates based on “Advanced Estimates” provided Per capita GSDP (US$) 4,522 1,546 by Directorate of Economics and Statistics of Sikkim Physical Infrastructure Installed power capacity (MW) 962.15 334,146.91 Central Electricity Authority, as of February 2018 Telecom Regulatory Authority of India, as of Wireless subscribers (No) 56,381,814 1,151,936,422 January 2018 Telecom Regulatory Authority of India, as of Internet subscribers (Mn) 17.381 445.96 December 2017 NHAI, Roads and Building Department-Government National highway length (km) 463 115,435 of India Social Indicators Literacy rate (%) 81.42 73.0 Census 2011 Birth rate (per 1,000 population) 16.6 20.4 SRS Bulletin Note: 1For West Bengal including Sikkim 7 SIKKIM For updated information, please visit www.ibef.org SIKKIM IN FIGURES … (2/2) Parameter Sikkim All states Source Investment 1 Department of Industrial Policy & Promotion, April FDI equity inflows (US$ billion) 4.19 367.93 2000 to December 2017 Industrial Infrastructure Ministry of Finance, Government of India, December PPP projects (no) 11 1,533 2017 Note: PPP:-Public-Private Partnership, 1Including West Bengal and Andaman & Nicobar Islands, 2Projects Under Construction 8 SIKKIM For updated information, please visit www.ibef.org ECONOMIC SNAPSHOT – GSDP GSDP of Sikkim at current prices (in US$ billion)# GSDP per capita of Sikkim at current prices (US$ )# 3.50 CAGR 11.05% 5000.00 CAGR 9.89% 4500.00 3.00 4000.00 2.50 4,522 2.93 3500.00 4,112 2.63 3000.00 2.00 3,778 2.39 2500.00 3,432 2.15 1.50 3,084 1.92 2000.00 2,822 1.73 1.00 1500.00 1000.00 0.50 500.00 0.00 0.00 2011-12 2012-13 2013-14 2014-15 2015-16 2016-17 2016-17 2011-12 2012-13 2013-14 2014-15 2015-16 . At current prices, Sikkim’s gross state domestic product . The state’s per capita GSDP was US$ 4,522 in 2016-17 as (GSDP) was US$ 2.93 billion in 2016-17. compared to US$ 2,822 during 2011-12. GSDP expanded at a CAGR of 11.05% between 2011-12 and . Per capita GSDP increased at a CAGR of 9.89% between 2016-17. 2011-12 and 2016-17. Note: GSDP* - Geometric mean of YoY calculation from 2004-05 to 2014-15 , Per Capita GSDP^ - calculated using GSDP million USD / Population in million, #At US$ 1 = Rs 64.4273 Source: Advanced Estimates provided by Directorate of Economics and Statistics of Sikkim, Government of Sikkim 9 SIKKIM For updated information, please visit www.ibef.org ECONOMIC SNAPSHOT – NSDP NSDP of Sikkim at current prices (in US$ billion)# NSDP per capita of Sikkim at current prices (US$)# 3.00 CAGR 11.30% 4500 CAGR 10.14% 4000 2.50 3500 2.58 3,992 2.00 3000 3,631 2.32 3,324 2.10 2500 1.50 3,021 1.89 2000 2,704 1.68 1.51 1.00 1500 2,463 1000 0.50 500 0.00 0 2011-12 2012-13 2013-14 2014-15 2015-16 2016-17 2014-15 2011-12 2012-13 2013-14 2015-16 2016-17 . At current prices, Sikkim’s net state domestic product (NSDP) . Sikkim’s per capita NSDP was US$ 3,992 in 2016-17 as was US$ 2.58 billion during 2016-17. compared to US$ 2,463 during 2011-12.
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