HARYANA November 2010 HARYANA November 2010
Total Page:16
File Type:pdf, Size:1020Kb
HARYANA November 2010 HARYANA November 2010 Investment climate of a state is determined by a mix of factors • Skilled and cost-effective labour • Procedures for entry and exit of firms • Labour market flexibility • Industrial, labour and other government • Labour relations regulations • Availability of raw materials and natural • Certainty about rules and regulations resources • Security, law and order situation Resources/Inputs Regulatory framework Investment climate of a state Incentives to industry Physical and social infrastructure • Condition of physical infrastructure such as • Tax incentives and exemptions power, water, roads, etc. • Investment subsidies and other incentives • Information infrastructure such as telecom, IT, • Availability of finance at cost-effective terms etc. • Incentives for foreign direct investment (FDI) • Social infrastructure such as educational and • Profitability of the industry medical facilities 2 HARYANA November 2010 Contents Advantage Haryana State economy and socio-economic profile Infrastructure status State policies and incentives Business opportunities Doing business in Haryana 3 ADVANTAGE HARYANA Haryana November 2010 Haryana – State profile • Covering an area of 44,212 sq km, Haryana surrounds the national capital city, New Delhi, from three sides. • Chandigarh is Haryana‟s capital city. Punjab also has its administrative capital in Chandigarh. Haryana has 21 administrative districts. • The Yamuna river flows along Haryana‟s eastern boundary. Other important seasonal rivers flowing through the state are the Ghaggar and Markanda. • Haryana has, predominantly, extreme and dry climatic conditions, with temperature reaching up to a high of 45-50ºC in the summer months (April-June) and falling to about 1ºC in winter (December-January). • Gurgaon, Faridabad, Karnal, Ambala, Panipat and Kurukshetra are the key districts of the state. • The most commonly spoken languages are Hindi and Punjabi. In most schools, the medium of education is English. Source: Maps of India 4 ADVANTAGE HARYANA Haryana November 2010 Advantage Haryana … (1/2) Industrial state Haryana is an industrial state and has emerged as a base for the knowledge industry including IT and biotechnology. It is also a leading agricultural state of the country. Many large Indian and multi-national companies have set-up offices in the state because of good infrastructure and proximity to Delhi. Policy and fiscal incentives The state offers a wide range of fiscal and policy incentives for businesses under the Industrial Policy, 2005. Additionally, the state has sector-specific policies, particularly, on IT and tourism. Rich labour pool Haryana has a large base of skilled labour, making it an ideal destination for knowledge-based and manufacturing sectors. Further, the state has a large pool of semi-skilled and unskilled labour for support services. Source: Maps of India 5 ADVANTAGE HARYANA Haryana November 2010 Advantage Haryana … (2/2) Facilitating infrastructure The state has well-developed social and industrial infrastructure, and virtual connectivity. It is among the states with good physical infrastructure such as power, roads and railways. Strategic location Around 40 per cent of the National Capital Region (NCR) of Delhi falls in Haryana. The NCR Board, under the Ministry of Urban Development, Government of India, decides on common development of cities falling in the NCR, thereby, facilitating seamless trade and commerce. Stable political environment The state has a stable political environment with a single party State Government. Successive State Governments have been committed to creating a progressive business environment. Source: Maps of India 6 ADVANTAGE HARYANA Haryana November 2010 Haryana in figures … (1/2) Parameter Haryana All-states Source Economy GSDP as a percentage of all states‟ 3.9 100.0 CMIE, as of 2007-08, current prices GSDP CMIE, 2000-01 to 2007-08, current Average GSDP growth rate (%)* 14.9 11.8 prices Per capita GSDP (US$) 1,598.8 992.5 CMIE, as of 2007-08, current prices Physical infrastructure Central Electricity Authority, as of Installed power capacity (MW) 5,070.5 159,398.5 March 2010 Cellular Operators Association of GSM cellular subscribers (No) 9,942,014 456,586,162 India, as of June 2010 Broadband subscribers (No) 88,558 4,981,976 As of October 2008 Ministry of Road Transport & National highway length (km) 1,512 70,548 Highways, Annual Report 2008-09 Airports (No) 3# 133 Airport Authority of India Social indicators Literacy rate (%) 67.9 64.8 Census of India, 2001 Ministry of Health and Family Welfare, Birth rate (per 1,000 population) 23.0 22.8 RHS Bulletin, March 2008 *Calculated in Indian rupee terms #Civil aerodromes 7 ADVANTAGE HARYANA Haryana November 2010 Haryana in figures … (2/2) Parameter Haryana All-states Source Ease of doing business Department of Industrial Policy and Promotion, FDI inflows (US$ billion) 23.7* 120.2 April 2000 to May 2010 Outstanding investments (US$ billion) 85.1 1,972.6 CMIE, as of March 2010 Industrial infrastructure PPP projects (No) 8 515 www.pppindiadatabase.com Notified as of July 2010, SEZs (No) 32 363 www.sezindia.nic.in PPP: public private partnership, SEZ: special economic zone, *FDI inflows for RBI‟s New Delhi region, which includes Delhi, parts of Uttar Pradesh and Haryana Parameter Haryana Government Policy support Sectors with specific policies Industry (overall), IT and ITeS, Tourism Availability of labour Adequate skilled labour available 8 ADVANTAGE HARYANA Haryana November 2010 Key industries with policy thrust and factor advantages Industry attractiveness matrix High IT and ITeS Food Petrochemicals processing Auto Biotechnology components Medium Real estate Policy thrust Policy and Construction Textile Low Medium High Factor advantage *Factor advantages include benefits due to geographical location and availability of factors such as talent pool, natural resources and capital 9 HARYANA November 2010 Contents Advantage Haryana State economy and socio-economic profile Infrastructure status State policies and incentives Business opportunities Doing business in Haryana 10 STATE ECONOMY AND SOCIO-ECONOMIC PROFILE Haryana November 2010 Socio-economic snapshot of Haryana Parameters Haryana Capital Chandigarh Geographical area (sq km) 44,212 Administrative districts (no) 21 Population density (persons per sq km) 478 Total population (million)* 21.0 Male population (million) 11.3 Female population (million) 9.7 Decadal population growth rate (%)* 28.4 Sex ratio (females per 1,000 males)* 861 Literacy rate (%) 67.9 Male (%) 78.4 Female (%) 55.7 Average life expectancy (years) 67.7 *As per Census 2001 Source: Economic Survey of Haryana, 2009-2010 11 STATE ECONOMY AND SOCIO-ECONOMIC PROFILE Haryana November 2010 Haryana‟s GSDP • At current prices, the total Gross State Domestic Haryana‟s GSDP Product (GSDP) of Haryana was about US$ 44.2 2009-10 44.2 billion in 2009-2010. 2008-09 39.7 2007-08 38.4 2006-07 31.0 2005-06 23.6 • The state‟s GDP grew at a CAGR of 14.9 per 2004-05 20.7 cent between 1999-2000 and 2009-2010. 2003-04 19.0 CAGR 14.9% 2002-03 15.9 2001-02 13.6 2000-01 12.0 1999-00 11.0 0.0 10.0 20.0 30.0 40.0 50.0 US$ billion Source: CMIE 12 STATE ECONOMY AND SOCIO-ECONOMIC PROFILE Haryana November 2010 Haryana‟s NSDP • At current prices, the Net State Domestic Haryana‟s NSDP Product (NSDP) of Haryana was about US$ 2009-10 40.8 40.8 billion in 2009-2010. 2008-09 36.6 2007-08 35.2 2006-07 28.4 2005-06 21.5 • Haryana‟s NSDP grew at a CAGR of 14.9 2004-05 18.9 CAGR per cent between 1999-2000 and 2009- 2003-04 17.4 14.9% 2002-03 14.6 2010. 2001-02 12.5 2000-01 11.1 1999-00 10.2 0.0 10.0 20.0 30.0 40.0 50.0 US$ billion Source: CMIE 13 STATE ECONOMY AND SOCIO-ECONOMIC PROFILE Haryana November 2010 The tertiary sector has the highest share in Haryana‟s economy • The tertiary sector is the largest contributor to Percentage distribution of GSDP CAGR Haryana‟s economy. It grew at an average rate of 10.4 per cent between 1999-2000 and 2009-2010; 39.5 48.7 10.4% driven by trade, hotels, real estate, transport and communications. 28.4 30.1 15.8% 32.0 • At an average growth rate of 15.8 per cent the 21.2 10.4% secondary sector has been the fastest growing 1999-00 2009-10 during the period 1999-2010. Its growth was driven by manufacturing, construction, electricity, gas and Primary Sector Secondary Sector Tertiary Sector water. Source: CMIE • The primary sector grew at an average rate of 10.4 per cent between 1999-2000 and 2009-2010. • The fishing segment in the primary sector registered a high annual growth rate of 16.7 per cent in 2009-2010. 14 STATE ECONOMY AND SOCIO-ECONOMIC PROFILE Haryana November 2010 Per capita GSDP • The state‟s per capita GSDP in 2009-2010 was US$ 1,778.8 as compared to US$ 540.9 in 1999-2000. • The per capita GSDP increased at an average rate of 12.6 per cent between1999-2000 and 2009-2010. • District-wise distribution of per capita income indicates fairly equitable distribution across all districts. Per capita GSDP 2,000.0 1,778.8 1,800.0 1,598.8 1,625.1 1,600.0 1,400.0 1,315.6 1,200.0 1,021.7 1,000.0 851.3 911.6 (US$) 728.4 800.0 635.2 540.9 575.9 600.0 400.0 200.0 0.0 1999-00 2000-01 2001-02 2002-03 2003-04 2004-05 2005-06 2006-07 2007-08 2008-09 2009-10 Source: CMIE 15 STATE ECONOMY AND SOCIO-ECONOMIC PROFILE Haryana November 2010 Consumer expenditure on household goods and services • Haryana is ahead compared to all-India in share of per capita expenditure on education.