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March 2017 March 2017 JHARKHAND THE MINING BASE OF INDIA MARCHMARCH 2017 2017 (As on 31 March 2017) For updated information, please visit www.ibef.org 1 JHARKHAND THE MINING BASE OF INDIA ❖ Executive Summary………………………3 ❖ Advantage State………………………….. 5 ❖ Jharkhand – An Introduction……………..7 ❖ State Budget……………………………..17 ❖ Infrastructure Status...............................18 ❖ Business Opportunities………….………34 ❖ Doing Business in Jharkhand ...............56 ❖ State Acts & Policies .............................59 MARCH 2017 For updated information, please visit www.ibef.org 2 JHARKHAND THE MINING BASE OF INDIA EXECUTIVE SUMMARY … (1/2) • Jharkhand is one of the richest mineral zones in the world. The state boasts of 40% and Mineral-rich state 29% of India’s mineral and coal reserves, respectively. • With 25.7% of the total iron ore (hematite) reserves, Jharkhand ranks second among the Second largest iron ore states. During 2015-16, the total iron ore (haematite) reserves in the state were recorded deposits to be 4,596.621 million tonnes. Leading producer of • Jharkhand accounts for 20-25% of the total steel produced in the country. During 2015-16, the state produced around 20-25% of total steel produced across the country. The minerals in India government targets to increase steel production in the state form 14.9 million tonnes in 2015-16 to 25 million tonnes by 2017-18. Sole producer of coking • Jharkhand is the only state in India to produce coking coal, uranium & pyrite. The state is coal, uranium and pyrite also a leading producer of coal, mica, kyanite & copper. Source: Department of Industry, Government of Jharkhand, Ministry of Mines MARCH 2017 For updated information, please visit www.ibef.org 3 JHARKHAND THE MINING BASE OF INDIA EXECUTIVE SUMMARY … (2/2) • Jharkhand has some of the country’s premier engineering colleges, including Birla Institute Renowned educational of Technology (Ranchi), National Institute of Technology (Jamshedpur) & Indian School of institutes Mines (Dhanbad) & business colleges such as Xavier Labor Relations Institute (Jamshedpur) & Indian Institute of Management (Ranchi). Largest producer of • Jharkhand is the largest producer of tussar (a non-mulberry silk) in India. During 2015-16, tussar silk the state’s contribution to tussar silk production, across the country, was 40%. Strong growth in tourist • Tourist arrivals in the state have increased from 20.45 million in 2012-13 to 33.58 million in arrival 2014-15. Source: Department of Industry, Government of Jharkhand, Ministry of Mines MARCH 2017 For updated information, please visit www.ibef.org 4 JHARKHAND THE MINING BASE OF INDIA ADVANTAGE JHARKHAND 2015-16 ExtensiveGrowing mineral demand reserves Policy and fiscal incentives 2017-18 • Jharkhand has around 40% of the • Jharkhand offers a wide range of Target Steel country’s mineral wealth. fiscal and policy incentives to production: • The state is one of the largest industries under the Industrial Steel 14.9 million producers of coal, mica and Policy 2012. production: copper in India. tonnes • The state also has policies for IT 25 million • Due to its large mineral reserves, and SEZs offering sector-specific tonnes mining and mineral extraction are incentives. the major industries in the state. Advantage Jharkhand Investment potential Location advantage • The GSDP of the state grew at a • The state’s industries enjoy a CAGR of 10.39% between 2005- unique location-specific advantage 06 and 2015-16. as it is close to the vast market of • The state provides investment eastern India. opportunities in sectors such as • It is closer to the ports of Kolkata, mining and metals, power, Haldia and Paradip and has easy infrastructure, manufacturing and access to raw materials. food processing. Source: Department of Industry, Government of Jharkhand, CSO, SEZ India MARCH 2017 For updated information, please visit www.ibef.org 5 JHARKHAND THE MINING BASE OF INDIA JHARKHAND VISION - 2022 Healthcare • Focus on awareness and preventive measures. • Targeted campaigns against common Education epidemics. Utilities • Primary education. • Government backed health insurance. • Water and sanitation. • Vocational training. • Private participation to fill talent gaps. • Telecommunication. • Promoting equity & social protection. • Electricity. • Addressing demand side issues. • Security. • Roads. Improved living E-governance standards Forestry • Rationalising departments & schemes • To utilise the enormous potential of • Curbing premature transfers. forests & increase the output by • Improving performance & career 20%. management. • Strengthening the presence and Vision 2022 Power quality of block administration. Efficient Sustainable • Increasing generation to 10,000 MU and bring AT&C losses to fewer & transparent economic than 15%. governance development Law & order Mining and minerals • Revamping the law & order structure. • Mining development and control. • Community support. • Social and environmental • Counter insurgency program. compliance. Industry interface Agro development • Establishment of a single window clearance • To increase the agricultural productivity system for investors in the state. to 2,000 kilograms per hectare. Source: Confederation of Indian Industry MARCH 2017 For updated information, please visit www.ibef.org 6 JHARKHAND THE MINING BASE OF INDIA JHARKHAND FACT FILE Jharkhand is rich in mineral resources such as coal (27.3% of India’s reserves), iron ore (26% of India’s reserves), copper ore (18.5% of India’s reserves), uranium, mica, bauxite, granite, limestone, silver, graphite, magnetite and dolomite. Parameters Jharkhand Capital Ranchi Geographical area (sq km) 79,714 Administrative districts (No) 24 Jharkhand is located in the eastern part of India. The state shares its borders with West Bengal in the Population density (persons per sq km) 414 east, Uttar Pradesh & Chhattisgarh in the west, Bihar in the north & Odisha in the south. Total population (million) 33.0 Commonly spoken languages of the state are Hindi Male population (million) 16.9 and Santhali; Urdu & Bengali are also prevalent. English is the primary medium of education. Female population (million) 16.1 Forests and woodlands occupy more than 29% of the area under the state. Sex ratio (females per 1,000 males) 948 Literacy rate (%) 66.4 Jamshedpur, Dhanbad, Bokaro, Deoghar & Hazaribagh are some of the major cities & industrial areas in the state. Source: Government of Jharkhand, Indian Bureau of Mines, Ministry of Mines, Jharkhand State Portal MARCH 2017 For updated information, please visit www.ibef.org 7 JHARKHAND THE MINING BASE OF INDIA JHARKHAND IN FIGURES … (1/2) Parameter Jharkhand All states Source Economy 2015-16 2015-16 Directorate of Economics & Statistics of GSDP as a percentage of all states’ GSDP 1.78 100.0 Jharkhand, Central Statistics Office Directorate of Economics & Statistics of Average GSDP growth rate (%) 11.44 8.71 Jharkhand, Central Statistics Office Directorate of Economics & Statistics of Per capita GSDP (US$) 1,104.4 1,546 Jharkhand, Central Statistics Office Physical Infrastructure Installed power capacity (MW) 2,626.10 305,554.25 Central Electricity Authority, as of August 2016 1 Telecom Regulatory Authority of India, as of Wireless subscribers (no) 78,559,102 1,078,422,215 October 2016 1 Telecom Regulatory Authority of India, as of Internet subscribers (no) 21,130,000 367,480,000 September 2016 National Highway length (km) 2,653.64 100,087.08 NHAI & Roads and Building Department Airports (no) 1 125 Airports Authority of India 1Denotes Bihar (Includes Jharkhand) MARCH 2017 For updated information, please visit www.ibef.org 8 JHARKHAND THE MINING BASE OF INDIA JHARKHAND IN FIGURES … (2/2) Parameter Jharkhand All states Source Social Indicators Literacy rate (%) 66.4 73.0 Census, 2011 Birth rate (per 1,000 population) 25.0 21.6 SRS Bulletin Investments Department of Industrial Policy & Promotion, April FDI equity inflows (US$ billion) 0.1031 324.35 2000 to December 2016 Industrial Infrastructure DEA, Ministry of Finance, Government of India, July PPP projects completed & operational 6 1.246 2016 PPP: Public-Private Partnership, SEZ: Special Economic Zone, SRS: Sample Registration System, 1Includes Bihar MARCH 2017 For updated information, please visit www.ibef.org 9 JHARKHAND THE MINING BASE OF INDIA ECONOMIC SNAPSHOT – GSDP At current prices, the gross state domestic product (GSDP*) GSDP at current prices (in US$ billion) of Jharkhand, for 2015-16, stood at US$ 36.96 billion. 36.21 36.96 Between 2005-06 and 2015-16, the state’s GSDP grew at a CAGR 27.93 28.29 27.92 28.66 CAGR of 10.39%. 10.39% 20.86 21.22 19.12 13.75 14.78 Source: Directorate of Economics & Statistics of Jharkhand, Central Statistics Office GSDP* - Jharkhand Economic Survey 2015-16 MARCH 2017 For updated information, please visit www.ibef.org 10 JHARKHAND THE MINING BASE OF INDIA ECONOMIC SNAPSHOT – NSDP # The net state domestic product (NSDP ) of Jharkhand, NSDP at current prices (in US$ billion) during 2015-16, stood at US$ 34.10 billion. CAGR 34.10 31.30 Between 2005-06 and 2015-16, NSDP of the state grew at a 10.96% CAGR of 10.96%. 23.84 24.19 23.83 24.94 18.49 18.37 16.61 12.05 12.92 Source: Directorate of Economics & Statistics of Jharkhand, Central Statistics Office NSDP# - Jharkhand Economic Survey 2015-16 MARCH 2017 For updated information, please visit www.ibef.org 11 JHARKHAND THE MINING BASE OF INDIA ECONOMIC SNAPSHOT – PER CAPITA GSDP Jharkhand’s per capita GSDP^ increased to US$ 1,104.4 in GSDP per capita at current prices (in US$) 2015-16, as compared with US$ 472.4 in 2005-06. Jharkhand’s per capita GSDP increased at a CAGR of CAGR 1,111.2 8.86% 1,104.4 8.86% between 2005-06 and 2015-16. 892.6 891.6 868.3 879.5 695.2 687.6 628.3 472.4 499.9 Source: Directorate of Economics & Statistics of Jharkhand, Central Statistics Office Per Capita GSDP^ - Jharkhand Economic Survey 2015-16 MARCH 2017 For updated information, please visit www.ibef.org 12 JHARKHAND THE MINING BASE OF INDIA ECONOMIC SNAPSHOT – PER CAPITA NSDP Jharkhand’s per capita NSDP& stood at US$ 1018.9 in NSDP per capita at current prices (in US$) 2015-16 in comparison with US$ 413.9 in 2005-06.
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