HARYANA THE BREAD BASKET OF INDIA
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❖ Executive Summary ...... 3 ❖ Advantage State ...... 4 ❖ State Vision 2018 ...... 5 ❖ Haryana – An Introduction …...... 6 ❖ Budget 2016-17 ...... 17 ❖ Infrastructure Status ...... 18 ❖ Business Opportunities ...... 42 ❖ Doing Business in Haryana ...... 63 ❖ State Acts & Policies ...... 64
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EXECUTIVE SUMMARY
• With an area covering 1.3% of the country, Haryana contributes nearly 3.63% to India’s Strong economic growth GSDP. During 2005-16, the state’s GSDP grew at a CAGR of 11.79%.
• Haryana is home to Maruti Udyog Ltd, India’s largest passenger car manufacturer & Hero Leading manufacturing MotoCorp Ltd, the world's largest manufacturer of 2-wheelers. Under Make in India hub project, Manesar-Bawal Investment Region has been identified by the Government to be a manufacturing hub.
Leading food producer • Haryana is the 2nd-largest contributor of food grains to India’s central pool. • The state accounts for more than 60% of the export of Basmati rice in the country.
• Haryana is the third-largest exporter of software and one of the preferred destinations for Growing IT sector IT/ITeS facilities.
• The state invested in the development of world class infrastructure facilities such as special economic zones (SEZs), Kundli-Manesar-Palwal (KMP) global corridor and Delhi- Mumbai Industrial Corridor (DMIC). Infrastructure support • Haryana enjoys a locational advantage, with nearly one-third of the state’s area under the National Capital Region (NCR), a prominent trade and consumption centre. • The state has almost 100% connectivity to rural areas, with metalled roads.
Source: Directorate of Economics & Statistics of Haryana, Central Statistics Office, Economic Survey of Haryana 2015-16 JUNE 2017 For updated information, please visit www.ibef.org 3 HARYANA THE BREAD BASKET OF INDIA
ADVANTAGE HARYANA
GSDP Leading businessGrowing hub demand Per capita • Haryana is one of the leading states in terms of Attractive investment avenues GSDP industrial production, specially passenger cars, • Haryana has emerged as a manufacturing hub, 2015-16: 2-wheelers, mobile cranes & tractors. The with immense scope for development of micro, small & medium enterprises (MSMEs) sector. 2015-16: US$ 75.3 Gurgaon-Manesar-Bawal belt is the auto hub of India. The state adopted a cluster-based US$ 2,963.0 billion development approach to promote industries • Haryana has emerged as a base for the such as IT, textiles, food & handloom. knowledge industry, including IT & • The state’s real estate market is attractive & it biotechnology. Many large Indian & is a preferred automotive hub. Of the total 250 multinational companies have set up offices in large & medium OEMs, about 50 are located in the state due to its high-quality infrastructure & Haryana. proximity to Delhi. Advantage Haryana Rich labour pool Policy & infrastructure • Haryana has a large base of skilled labour, support making it an ideal destination for knowledge- • With a stable political environment, successive based & manufacturing sectors. It also has a governments have been committed to creating a progressive environment. large pool for support services. • The state offers a wide range of fiscal & policy • The state has set up various national level incentives for businesses under the Industrial & institutions such as Indian Institute of Investment Policy, 2011. It also has sector- Management (IIM), Indian Institute of Corporate specific policies, particularly for IT & tourism. • Haryana has well-developed infrastructure like Affairs (IICA), Central Institute for Plastics power, roads & railways. For trade promotion, Engineering & Technology (CIPET) & National the state has planned several projects. Institute of Food Technology & Entrepreneurship & Management (NIFTEM).
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STATE VISION 2018
• Develop IMTs, industrial parks & expand industrial estates • Contain revenue & fiscal deficit. • Create E-biz portal to ensure ease of • Commencement of mining & e- doing business. taxation projects would reduce • Address needs of MSMEs in areas of revenue deficit. R&D and technology; develop rail connectivity to airports, etc.
• Manage surface water resources • Ensure availability of affordable efficiently. housing for all. • Improve water availability by Economy Infrastructure • Provide financial assistance for pursuing upstream storage dams. construction. • Implement schemes for • Offer loans at reasonable terms to remodelling, rehabilitate water Irrigation Housing BPL families. courses, flood control. Vision 2018
• Timely availability of quality Agriculture Tourism feedstock at subsidised rates. • Fully utilise nature’s endowment. • Modernise irrigation systems. • Create network of business and • Pursue crop diversification & Welfare Education tourism facilities. introduce modern technologies.
• Improve quality of education and access to schools. • Schemes to develop SC, BC and other vulnerable sections of society. • Expand college and university network. • Healthcare for women and children. • Enhance sports education and • Modernise police department. infrastructure to prepare people for competing at international & Source: Government of Haryana national events.
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HARYANA FACT FILE
The state has 3 major seasons, viz., summer (April-June), monsoon (July-September) and winter (October-March).
Parameters Haryana
Capital Chandigarh Geographical area (sq km) 44,212 Administrative districts (No) 21 Population density (persons per sq 573 Source: Maps of India km) Total population (million) 25.4 Haryana is surrounded by Uttar Pradesh in the east, Punjab in the west, Himachal Pradesh in the north & Rajasthan in Male population (million) 13.5 the south. The state surrounds the national capital city, New Delhi, from 3 sides. Female population (million) 11.9 Sex ratio (females per 1,000 males) 879 The most commonly spoken languages are Hindi & Punjabi. English is the medium of education in most schools. Literacy rate (%) 75.5
Gurgaon, Faridabad, Karnal, Ambala, Panipat & Kurukshetra are some of the key districts of the state. Source: Economic Survey of Haryana 2015-16
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HARYANA IN FIGURES … (1/2)
Parameter Haryana All states Source
Economy 2015-16 2015-16
Gross state domestic product (GSDP) as a Directorate of Economics & Statistics of 3.63 100.0 percentage of all states’ GSDP Haryana, Central Statistics Office Directorate of Economics & Statistics of GSDP growth rate (%) 4.24 8.71 Haryana, Central Statistics Office Directorate of Economics & Statistics of Per capita GSDP (US$) 2,963.0 1,546 Haryana, Central Statistics Office Physical Infrastructure
Installed power capacity (MW) 11,056.16 326,848.53 Central Electricity Authority, as of March 2017
Telecom Regulatory Authority of India, as of Wireless subscribers (No) 24,773,957 1,164,200,000 February 2017 Telecom Regulatory Authority of India, as of Internet subscribers (No) 8,580,000 391,500,000 December 2016
National highway length (km) 2,622.48 100,087.08 NHAI & Roads and Building Department
Airports (No) 8 125 Airports Authority of India
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HARYANA IN FIGURES … (2/2)
Parameter Haryana All states Source
Social Indicators
Literacy rate (%) 75.5 73.0 Census, 2011
Birth rate (per 1,000 population) 21.3 21.6 SRS Bulletin Investment
Department of Industrial Policy & Promotion, FDI equity inflows (US$ billion) 68.031 332.11 April 2000 to March 2017
Industrial Infrastructure
Completed and operational PPP projects DEA, Ministry of Finance, Government of India, 12 1,246 (No) July 2016 Ministry of Commerce & Industry, Department Operational SEZs (no) 7 186 of Commerce, July 2016
Source: 1Includes Delhi, part of UP PPP: Public-Private Partnership, SRS: Sample Registration System
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ECONOMIC SNAPSHOT – GSDP
At current prices, the total GSDP* of Haryana was about GSDP of Haryana at current prices (in US$ billion) US$ 81.4 billion in 2016-17.
81.4 The state’s GSDP increased at a compound annual 75.3 72.2 growth rate (CAGR) of 11.45 per cent between 2005-06 CAGR 64.4 65.2 and 2016-17. 11.45% 63.6 57.1 Growth was driven by expansion in the services sector, 47.2 IT/ITeS, real estate, biotechnology and tourism. 37.6 39.6 28.5 24.7
Source: Directorate of Economics & Statistics of Haryana, Central Statistics Office GSDP* -Haryana Socio Economic Survey 2015-16
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ECONOMIC SNAPSHOT – NSDP
NSDP of Haryana at current prices (in US$ billion) At current prices, the net state domestic product (NSDP#) of Haryana was about US$ 73.5 billion in 2016-17.
The state’s NSDP expanded at a CAGR of 10.42 per cent CAGR between 2005-06 and 2016-17. 10.42% 70.8 71.6 73.5 64.2 60.3 61.2 52.9 43.3 37.1 38.8 28.4 24.7
Source: Directorate of Economics & Statistics of Haryana, Central Statistics Office NSDP# - Haryana Socio Economic Survey 2015-16
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ECONOMIC SNAPSHOT – PER CAPITA GSDP
Per capita GSDP of Haryana at current The state’s per capita GSDP^ in 2015-16 was US$ 3,203 prices (in US$) compared with US$ 1,569 in 2005-06 .
CAGR 3203 The per capita GSDP increased at an average rate of 10.52 10.52% per cent between 2005-06 and 2016-17. 2963 2723 2,459 2,723 2,963 2,436 2,508 1,898 2,261 1,620 1,569
Source: Directorate of Economics & Statistics of Haryana, Central Statistics Office Per Capita GSDP^ - calculated using GSDP million US$/Population in million
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ECONOMIC SNAPSHOT – PER CAPITA NSDP
The state’s per capita NSDP& in 2016-17 was US$ 2,589.49 Per capita NSDP of Haryana at current compared with US$ 1,041 in 2005-06. prices (in US$)
Per capita NSDP increased at an average rate of 9.35% between 2005-06 and 2016-17. CAGR 9.35% 2,523 2523 2589 2,216 2,240 2,670 2,284 2,057 1,461 1,730 1,041 1,413
Source: Directorate of Economics & Statistics of Haryana, Central Statistics Office per capita NSDP& calculated using NSDP million US$/Population in million
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ECONOMIC SNAPSHOT – PERCENTAGE DISTRIBUTION OF GSDP
Tertiary sectorµ is the largest contributor to Haryana’s GSDP composition by sector economy. In 2015-16, it contributed 51.2% to the state’s GSDP at current prices. It was followed by the secondary sector at 30.6 per cent. CAGR 44.00% 51.20% The tertiary sector grew at an average rate of 13.68 per cent 13.68% between 2004-05 and 2015-16. The growth was led by trade, hotels, real estate, finance, insurance, transport and communications. 32.70% 11.45% 30.60% The secondary sectorµ grew at an average rate of 11.45% 9.63% between 2004-05 and 2015-16. Its growth was driven by 23.30% 18.20% manufacturing, construction, and electricity and gas & water supply. 2004-05 2015-16
Primary Secondary Tertiary The primary sectorµ grew at an average rate of 9.63% between 2004-05 and 2015-16.
Source: Directorate of Economics & Statistics of Haryana, Central Statistics Office Sector-wise %share of GSDPµ -Haryana Socio Economic Survey 2015-16
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ECONOMIC SNAPSHOT – AGRICULTURAL PRODUCTION
Wheat, sugarcane, rice, cotton, rapeseed and mustard Annual production – Crop Area (‘000 Ha) are key agricultural products of the state. 2015-16 (‘000 MT) Rice 1,200.00 4,140.00 Total food grain production in Haryana stood at 17.34 million tonnes in 2015-16. Wheat 2,520.00 11,844.00 Oilseeds 625 1,146.00 In 2015-16, the average yield of wheat and rice in Total pulses 61.00 63.00 Haryana was 4,700 and 3,450 kg per hectare, respectively. Total food 4,528.00 17,344.00 grains For the enhancement and improvement of the agriculture Onion 16.00 399.85 sector, the state government has allocated a total amount of US$ 2.06 billion during 2016-17. Potato 33.70 239.34 Tomato 17.69 340.84 As per the budget 2016-17, a new farm insurance Sugarcane 120.00 9,120 scheme has been launched by the state government, namely, “Pradhanmantri Fasal Bima Yojana”, with an Fruits 53.09 384.06 allocation of US$ 45.82 million to minimise damages in Vegetables 312.81 3,547.17 the farm sector.
Further, the state government has also proposed to Source: Economic Survey of Haryana, 2015-16, Ministry of Agriculture- increase the grant-in-aid to the agriculture university of Department of Agriculture & Cooperation, Government of India, Haryana by 9.22% i.e. from US$ 51.47 million in 2015-16 State Budget 2016-17 to US$ 56.21 million in 2016-17.
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ECONOMIC SNAPSHOT – FDI INFLOWS & INVESTMENTS
According to the Department of Industrial Policy & Promotion (DIPP), cumulative foreign direct FDI equity inflows1, 2008-09 to 2016-17 (US$ million) investment (FDI) inflows from April 2000 to December 2016 were recorded at US$ 68.03 billion. 12,743 The services sector accounted for a major share in FDI followed by real estate & electricity. During 2015-16, various projects, such as, 8,114 6,882 6,875 enhancement in operational efficiency, addition in 5,985 6,242 5,884 5,071 capacity generation, extension of distribution network, 4,350 etc. were taken up by the state government for maximising power availability. However, during 2016- 17, the state government has taken the decision to adopt the scheme of Ujwal Discom Assurance Yojna (UDAY), which is expected to increase the financial 2008-09 2009-10 2010-11 2011-12 2012-13 2013-14 2014-15 2015-16 2016-17 as well as operational capacity of Power Corporations of the state. Source: Department Of Industrial Policy & Promotion, 1Includes Delhi, part of UP As per the announcements made by the Haryana government, the state received investment offers worth US$ 259.7 million from leading companies in Companies Investment Offers to Haryana Government the fields of electronics, solar energy & beverages. US$ 198.59 million for production of 250MW In 2017, the government allocated substantial PLG Clean Energy Group investment for digitization and development of power solar energy sectors of Gurugram, in lieu of the steadfast growth of the state and the role of Gurugram towards its Videocon Group US$ 22.91 million in Haryana development. US$ 22.91 million, for setting up a beverage Asahi Group, Japan Several Portuguese companies are keen to invest in plant Haryana. A business delegation from Portugal will soon visit Haryana to explore the possibilities of cooperation in different fields. Essel Group US$ 15.27 million Source: Economic Times
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ECONOMIC SNAPSHOT – EXPORT TRENDS
Total industrial exports from Haryana increased from US$ 5.6 billion during 2005-06 to US$ 12.7 billion during 2014-15.
The setting up of SEZs in sectors like IT/ITeS, biotechnology, handicrafts, etc., has helped increase exports in the state.
Haryana is amongst the biggest producers of food grains in India. The state of Haryana accounted for a share of over 14.18% in the overall exports of Basmati rice from India in 2015-16.
Exports from Haryana (US$ billion) Basmati rice exports from Haryana (‘000 MT)
CAGR 12.6 12.7 9.52% 11.0 577.45 10.6 10.1 9.2 475.01 471.94 7.4 7.6 6.6 349.30 5.6 268.15 205.44 139.37
2009-10 2010-11 2011-12 2012-13 2013-14 2014-15 2015-16
Source: Department of Economic and Statistical Analysis, Haryana APEDA
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BUDGET 2016-17
State Budget 2016-17 Sectoral allocation In US$ million Irrigation 330.41 Power 2,570.53 Education 1,992.64 Sports 44.84 Technical education & industrial training 139.81 Health, medical education & family welfare 598.37 Public health engineering 474.85 Social welfare, nutrition & welfare of SCs & BCs 945.59 Industries & minerals 126.61 Transport 376.47 Agriculture & allied services 2,061.41 Social Justice and empowerment 643.19 Roads & buildings 685.16 Rural development 431.48 Urban development 542.17
Source: Haryana Budget 2016-17, Department of Finance, Government of Haryana
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PHYSICAL INFRASTRUCTURE – ROADS…(1/2)
As of December 2015, Haryana has a total road network of 26,016 km out of which 2,622.48 km is constituted by the National Highways and 1,801 km are state highways. Haryana is among the states having almost 100% connectivity to rural areas with metalled roads. Haryana Roadways, with its fleet of nearly 4,215 buses, is one of India’s biggest state road transport undertakings which operate across 12.70 lakh km everyday. As per budget 2016-17, the state government created a new scheme “Expenditure on Road Safety” for enhancing the safety on roads in the state. During 2016-17, various road projects of Dadri, Narnaul, Rewari, Sonepat and Narnaul that have a length of 395 km, are under process for posing to NCRPB for funding. The estimated cost of these projects is recorded to be US$ 162.54 million.
The state government sanctioned a work programme for renovation of major district roads, state highways, other district roads, etc. at an amount of US$ 238.31 million during 2015-16. Out of these projects, some are under process while the others are to be taken up during 2016-17. Moreover, the state government has also projected to widen VT roads of 250 km from 3.66 metres to 5.50 metres. Pradhan Mantri Gram Sadak Yojana (PMGSY) was launched in 2000 National highway length completed (km) with the objective of connecting eligible rural habitants. During 2015- 16 (up to October 2015), a total amount of US$ 36.20 million was allocated to the state under PMGSY. 92.74 86.00 34.48 Expenditure on construction of national highways in Haryana (US$ million) 2012-13 2013-14 2014-15 14.51 12.48 8.88 10.03 Pradhan Mantri Gram Sadak Yojana (PMGSY) (2015-16-up to October, 2015) Length completed 138.82 2012-13 2013-14 2014-15 2015-16⁽¹⁾
Source: Economic Survey of Haryana, 2015-16, Ministry of Road Transport & Highways, Government of India, News articles, NHAI Note: 2015-16(1) : Till December 2015
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PHYSICAL INFRASTRUCTURE – ROADS…(2/2)
Projects under implementation (as of September 2015)
Length Start Estimated completion Supervision consultant Stretch Funded by Phase NH (km) date date & nationality • Flyover construction at Bahalgarh ch.41.210 and additional 2-lane bridge construction near Rasoi Gawar Construction Ltd., 1 56.7 Nov 2014 Nov 2016 Ch.32.28 on NH-1 Indian • Km 29.30 to Km 86.0 • NHAI • Misc. Projects • 8-lane construction from Mukarba Chowk to Panipat M/s Essel Infraprojects • Km.15.500 to Km.86.600 1 69.84 N.A. N.A. Ltd- • BOT Indian • Misc. projects • Bhatinda-Suratgarh (ROB) • NHAI Gawar Construction Ltd.- 32-B N.A. Jan 2014 Apr 2016 • Misc. projects Indian
Source: Ministry of Road Transport & Highways, National Highway Authority of India, N.A. Not Available
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PHYSICAL INFRASTRUCTURE – RAILWAYS
As of August 2015, Haryana had a 1,630-km long rail route. Kalka, Kurukshetra, Rohtak, Jind, Hisar, Ambala, Panipat, Gurgaon & Jakhal are some of the important railway stations. There is a railway workshop at Jagadhari.
During 2015-16, the construction of Sonepat-Jind railway line was completed at an estimated cost of US$ 113.19 million, testing of which is under process. Moreover, the land acquisition work of Rohtak- Meham-Hansi railway line is also under process, which is expected to be completed at a cost of US$ 62.02 million. Consequently, the work on shifting of the railway line of Rohtak-Panipat out of the land acquisition by MC Rohtak is also under process. The total cost associated with the project is recorded to be US$ 27.65 million. Source: Maps of India
The state government will provide 50% of the US$ 423.5 million funds for implementing three railway line projects: Delhi-Sohna-Nuh-Ferozpur Railway lines in progress (2015) Jhirka-Alwar (104 km), Hisar-Agroha-Fatehabad-Sirsa (93 km) and Yamunanagar-Sadhora-Naraingarh-Chandigarh (91 km). Project cost Railway line (US$ million) As per the state budget 2016-17, for the establishment of a rail link between Rohtak, Hansi and Meham, the state government has Rohtak-Meham-Hansi 62.02 provided various funds during 2016-17. Shifting of Rohtak-Panipat 27.65 Railway Ministry declared its plans to set up a new joint venture railway line out of MC Rohtak between the Haryana government and Railways for upgradation of railway stations and strengthening infrastructure in the state. Railways Source: Economic Survey of Haryana, 2015-16 has also signed a MOU with Haryana government regarding the plantation of saplings on vacant land on both sides of railway lines.
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PHYSICAL INFRASTRUCTURE – AIRPORTS
There is a domestic airport at Chandigarh and civil aerodromes at Pinjore, Karnal, Hissar, Bhiwani and Narnaul. The state has a total of 8 airports, which includes both operational and non-operational airports.
An international cargo airport and aircraft maintenance hub is proposed in Rohtak, Haryana. The airport would be built in the PPP mode with HSIIDC. As per the state budget 2016-17, the Chief Minister of Haryana announced to upgrade the Hisar civil aerodrome into an international airport. Under the first phase of construction, the state government is planning to modernise and renovate the buildings of the terminal and expand the runway from 4,000 feet to 6,000 feet, at a total cost of US$ 7.63 million during 2016-17.
Also, as per the state budget 2016-17, the civil aerodrome in Karnal is proposed to be upgraded to a domestic airport during 2016-17. Therefore, for the development of civil aviation sector in the state, a total allocation of US$ 13.71 million has been made by the state government during 2016-17.
In September 2015, a new terminal at Chandigarh airport was inaugurated. The terminal is capable of handling both domestic and international flights. The cost incurred in the construction of the airport by AAI is US$ 155.77 million. A stake of 51% was taken by the AAI and shares of 24.5% each were held by the state’s of Punjab and Haryana.
Passengers (lakh) Aircraft movement (‘000) Freight (‘000 MT) Domestic airport 2013-14 2014-15 2015-16 2013-14 2014-15 2015-16 2013-14 2014-15 2015-16
Chandigarh 10.494 12.063 15.340 9.690 10.968 13.130 3.315 5.065 4.559
Source: Economic-Survey, 2015-16 Airports Authority of India,
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PHYSICAL INFRASTRUCTURE – POWER … (1/2)
As of March 2017, Haryana had a total installed power generation capacity of 11,056.16 MW; of which, 4,013.81 MW was contributed by the state, 4,472.78 MW by the private sector and 2,569.58 MW by the centre.
Coal-based plants accounted for the majority share as the capacity stood at 8,755.72 MW as of March 2017. Gas power plants accounted for a power generation capacity of 685.61 MW. Nuclear power plants accounted for a power generation capacity of 100.94 MW. Hydropower plants accounted for a power generation capacity of 1,948.21 MW. Besides, 251.30 MW of installed power generation capacity came from renewable sources.
Classification of installed power capacity, Installed power capacity (MW) by source of power generation (August, 2016)
2% 1% 11,056.16 17% 8,665.00 8,753.60 8,510.81 8,114.00 6,882.00 Thermal 5,985.00 Hydro 4,630.00 5,071.00 Renewable Nuclear
2008-09 2009-10 2010-11 2011-12 2012-13 2013-14 2014-15 2015-16 2016-17 80%
Source: Central Electricity Authority
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PHYSICAL INFRASTRUCTURE – POWER … (2/2)
The total number of electricity consumers in the state increased from 35,44,380 in 2001-02 to 55,62,019 in 2015- 16. In annual plan 2015-16, the Government of Haryana Proposed projects proposed an allocation of US$ 1.09 billion for restructuring of power sector in the state. • 1,500 MW gas-based project at Faridabad To produce power from bagasse cooperation in sugar mills, • 660 MW capacity thermal unit at Yamuna Nagar 6 projects of 60 MW capacity have been established in • 2,800 MW (4x700 MW) nuclear power plant near cooperative sugar mills of the state in 2015. Furthermore, a Fatehabad 25 MW capacity project at Naraingarh sugar mill is under • execution. Projects under implementation The state government has proposed to set up around 3,050 • 1,320 MW Mahatma Gandhi Thermal Power solar water pumping systems in the state during 2016-17. Project, at Jhajjar In the 2016-17 budget, the state government launched a • Procurement of 2,113 MW on a long term basis new scheme “Mhara Gaon Jagmag Gaon” with a view to through tariff based competitive bidding provide 24x7 supply of power across rural domestic consumers as well. Further, during 2016-17, the government decided to spread the scheme to cover around Source: Haryana Power Generation Corporation Ltd; Economic Survey 2015-16; 260 feeders in the state. Haryana Budget 2016-17 Moreover, the state government allocated an amount of US$ 2.57 billion for enhancement of power sector in the state during 2016-17. SPML Infra has got an order worth US$ 37.19 million, for power distribution & transmission in the state.
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PHYSICAL INFRASTRUCTURE – TELECOM
According to the Telecom Regulatory Authority of India (TRAI), Haryana had nearly 24.77 million wireless subscribers and 345,227 Telecom infrastructure (as of February 2017) wireline subscribers, as of February 2017. The number of internet Wireless subscribers 24,773,957 subscribers in the state as of December 2016, stood at 8.58 million. Wireline subscribers 345,227 By the end of February 2017, 10,566,664 subscribers had submitted (1) requests for mobile number portability in Haryana. Moreover, the Internet subscribers 8,580,000 state of Haryana had a tele-density of 90.14%. Tele density (in %) 90.14 In consultation with telecom power companies, Haryana government has rolled out a new Communication and Connectivity Policy to provide a major push to telecom and communication infrastructure in the state. The Department of Telecommunications (DoT) initiated a project in Postal facilities (2015-16, up to December 2015) 2011, the National Optical Fibre Network (NOFN), with an aim of providing broadband services to 2,50,000 gram panchayats across Head post offices 16 the country. By February 2015, 6,097 gram panchayats had access to broadband services in Haryana. Sub post offices 481 Performance status of NOFN (Bharat Net) project (as of April 2016) Branch post offices 2,180 No. of GPs in Phase-I 6,090 Total post offices 2,677 Pipe laid (km) 5,304
Cables laid (km) 4,850 Source: Telecom Regulatory Authority of India; Department of Telecommunications- Ministry of Communications & Information Technology, GPs for which cable laid 3,147 India Post, TechSci Research 1As of December 2016 No. of Gram Panchayats Lit 160 GP-Gram Panchayat
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DEVELOPMENT PROJECTS: URBAN INFRASTRUCTURE
Ministry of Urban Development has so far released US$11.16 million to Haryana under Swachh Bharat Mission (Urban).The state government has provided an impetus & would continue to the financial status of urban local bodies & provide adequate funds for improving civic amenities in urban areas. There are 77 urban local bodies in the state, consisting of 9 municipal corporations, 19 municipal councils & 50 municipal committees. Realty firm, Signature Global, signed an agreement with the Government of Haryana in January 2017, for investing US$76.92 million to develop 2 housing projects in Gurgaon. As of April, 2017, Swachh Bharat Mission (Urban) has been implemented in all 80 statutory towns & cities in Haryana. Around 24,986 individual household toilets out of the targeted 1,06,373 have been built, and around 1,679 public toilets have been constructed out of the target of 10,394. In Haryana, 10 towns - Panipat, Sirsa, Mandi Dabwali, Thanesar, Pehowa, Ladwa, Shahbad, Kalanwali, Ellenabad & Rania - have been declared & certified as Open Defecation Free. The state’s 20 cities & towns are included in the AMRUT Mission. A total investment of US$ 378.4 million has been approved under this mission for providing water taps to all urban households in mission cities as 1st priority, besides improving sewerage & drainage networks, non-motorised urban transport & providing open spaces. Total central assistance of US$ 113.64 million has been approved for Haryana under Atal Mission. Panipat, Sonipat, Ambala, Ambala Sadar, Bahadurgarh, Hissar, Karnal, Rohtak, Bhiwani, Jagadhari, Palwal, Sirsa, Faridabad, Jind, Panchkukla, Thanesar, Gurgaon, Kaithal, Rewari & Yamuna Nagar are the AMRUT cities of Haryana Investment worth US$ 386.73 million has been approved under the Smart City Plan of Faridabad. Karnal and Faridabad have been included in Smart City Mission. Under Pradhan Mantri Awas Yojana (Urban) - Housing for All, US$ 50.28 million has been approved by the Ministry of Housing & Urban Poverty Alleviation for the construction of 4,299 houses. Central assistance of US$ 33.32 million has been approved for the construction of this project, out of which US$ 17.7 million has been released to the state. Completion of construction of 958 houses for urban poor has also been announced. In June 2017, the state ministry proposed to develop "Science city" by the National Council of Science Museums (NCSM) under Ministry of Culture. The total cost of the project will be worth US$ 28.41 million.
Source: JNNURM, Ministry of Urban Development, Directorate of Urban Local Bodies-Haryana, Economic Survey 2015-16, TechSci Research
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DEVELOPMENT PROJECTS: KEY PUBLIC-PRIVATE PARTNERSHIP (PPP) PROJECTS … (1/2)
Project cost Name of project Sector Stage (US$ million)
Road upgradation (Punjab/Haryana Border-Jind) Project Roads & bridges 77.95 Under construction
Construction of Kundli Manesar Palwal Expressway Roads and bridges 388.97 Under construction
Social & commercial Amusement park at Gurgaon 15.28 Under construction infrastructure
Construction of 4 laned ROB including its approach on Roads and bridges 3.67 Operational Delhi Agra Railway Line near Bata Chowk
Social & commercial Unitech SEZ at Kundli, Sonipat 3,362.37 Under construction infrastructure
Installation of 100 Reverse Osmosis Plants in 100 villages Water treatment plants 1.72 Under construction
Social & commercial Development of Industrial Park, Gurgaon 9.17 Operational infrastructure
Hotel Management Institute (Badhkal) Education 6.11 Operational
Source: Department of Economic Affairs, Government of India; TechSci Research
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DEVELOPMENT PROJECTS: SEZS AND INDUSTRIAL CLUSTERS … (1/5)
As of July 2016, the state had 7 operational SEZs, 23 Some of the promoters of SEZs: formally approved SEZs, 3 SEZs with principal approval & S No 20 notified SEZs. Planned or under construction 1 Perpetual Infracon Pvt Ltd at Faridabad 25 proposals have been granted in-principle/formal approval Pioneer Urban Land and Infrastructure in the state by the Government of India. 2 Limited
The state granted industrial colony licences to SEZs. Under 3 G.P. Realtors Private Limited the policy, 15% of land can be developed as residential Ansal Colours Engineering SEZ at District 4 area, 45% for industrial units and 5% for commercial use. Sonipat The remaining 35% will be left for roads, infrastructure services and public utilities, apart from open spaces. 5 DS Realtors Private Limited Natasha Housing & Urban Development Ltd 6 In order to increase job opportunities in rural areas and set at Panipat up industries, the Government of Haryana identified 32 Orient Craft Infrastructure Limited blocks in the rural areas of Haryana for industrial 7 development. 8 DLF Ltd.
Source: Ministry of Commerce & Industry, Government of India,
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DEVELOPMENT PROJECTS: SEZS AND INDUSTRIAL CLUSTERS … (2/5)
The state government has approved, in principle, the setting up of an SEZ near Garhi Harsaru in Gurgaon district.
The Garhi Harsaru SEZ would be utilised only for industrial purposes and cost US$ 341.74 million.
The SEZ aims to promote FDI and resultant exports. The focus is on providing a hassle-free environment for export-oriented production.
The proposed SEZ would be a duty-free enclave & a deemed foreign territory, where no licence would be required for imports.
The import of capital goods, raw materials and consumables as well as their procurement from the domestic market to the SEZ would be exempted from customs duty and central excise duty.
The supplies from domestic tariff area (DTA) to SEZ units would be treated as deemed exports.
Through the automatic route, 100% FDI in the manufacturing sector would be allowed for projects set up in the SEZ.
The SEZ units would be provided in-house customs clearance, and no separate documentation would be required for customs and Exim Policy.
Source: Government of Haryana
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DEVELOPMENT PROJECTS: SEZS AND INDUSTRIAL CLUSTERS … (3/5)
Index Operational SEZ Notified SEZ
IT/ITeS • Anant Raj Industries Ltd. Punjab IT/ITeS Mittal Infratech Private Ltd.
IT/ITeS • Anant Raj Industries Ltd
IT/ITeS • DLF Cyber City • DLF Ltd • Gurgaon Infospace Ltd • Unitech Reality Projects Ltd. • ASF Insignia SEZ Pvt. Ltd.
IT/ITeS • Selecto Systems Pvt Ltd • Perpetual Infracon Pvt Ltd
Source: Ministry of Commerce & Industry
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DEVELOPMENT PROJECTS: SEZS AND INDUSTRIAL CLUSTERS … (4/5) SEZ (Notified) in Gurgaon IT/ITeS • DLF Ltd. • Dr Fresh Health Pvt Ltd • DLF Cyber City Developers Ltd • Gurgaon Infospace Ltd. • Mayar Infrastructure Development Private Limited • Metro Valley Business Park Pvt Punjab Ltd • Goldsouk International Gems & Jewellery SEZ Pvt. Ltd. • ASF Insignia SEZ Private Limited • Unitech Realty Projects Ltd • Ascendant Estates Pvt Ltd • Orient Craft Infrastructure Limited • G P Realtors Pvt Ltd
Handicrafts: Natasha Housing & Urban Development Limited
Biotechnology: Mayar Infrastructure Development Ltd
Agro and Food Processing: Ansal Colors Engineering SEZ Limited
Source: Ministry of Commerce & Industry JUNE 2017 For updated information, please visit www.ibef.org 30 HARYANA THE BREAD BASKET OF INDIA
DEVELOPMENT PROJECTS: SEZS AND INDUSTRIAL CLUSTERS … (5/5)
Industry clusters in Haryana
Index Textiles and handlooms Punjab Automotive Engineering IT and ITeS Petrochemicals Agro-based industry
JUNE 2017 For updated information, please visit www.ibef.org 31 GURUGRAM WORLD BPO HUB
ECONOMIC SNAPSHOT The Gurugram district is divided into 3 sub-divisions: Gurugram North, Gurugram South and Pataudi, which are further divided into 5 tehsils, namely, Gurugram, Sohna, State GSDP & NSDP (2013-14 to 2015-16) US$ billion Pataudi, Farukh Nagar, Manesar. 81.42 72.20 70.80 75.30 71.60 73.49 Gurugram city, also known as a World BPO hub, serving 65.20 64.20 industries like IT & ITES, Pharmaceuticals , FMCG etc., has provided direct and indirect employment to over 10 lakh people. IT and ESDM sector has proven to be the epicenter of city’s economic growth.
Gurugram has a base of more than 450 companies employing 4,000 expats. 2013-14 2014-15 2015-16 2016-17 GSDP NSDP Real estate is a major contributor in the city’s economy. Source: Directorate of Economics & Statistics of Haryana, Central Statistics Office Retail is an important sector in Gurugram, with 26 operational shopping malls. Fact File of Gurugram
Global BPM workforce 5% Gurugram Development Authority was founded in the year 2 2016, and covers a total area of 1,258 km . Country BPM Workforce 13%
In collaboration with NASSCOM, Gurugram is planning to Contribution to State’s GDP 10% set up a warehouse incubation centre of excellence cum innovation campus in hub and spoke model with an Contribution to Haryana’s Exports 54% investment of US$ 0.61 million and operational expenditure of US$ 0.15 million, for a duration of 3 years. Source: Department of Information Technology, Government of Haryana
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SOCIAL INFRASTRUCTURE – EDUCATION
The state has a strong primary education infrastructure, with a primary school located within a 1.03-km radius of each village & a middle school Literacy rate (%) (2015-16) within a 1.07-km radius. As of 2015, there was 1 higher secondary & 1 Total 75.55 senior secondary school within a 1.52-km & 2.28-km radius, respectively. Male 84.06 In the 2016-17 budget, US$ 1.99 billion has been allocated for improving the education sector. For provision of funds to universities, the state Female 65.94 government launched a centrally sponsored scheme, Rashtriya Uchchatar Shiksha Abhiyan (RUSA), for which US$ 25.35 million has been allocated Source: Economic Survey of Haryana, 2015-16 during 2016-17. No of educational institutions (2015) During 2015-16, the state witnessed the initiation of five new government colleges. Further, the state government also passed a bill for setting up the Universities 27 PDM University at Bahadurgarh during 2015-16. Colleges 976 Medical colleges 7 Moreover, an allocation of US$ 251.98 million and US$ 139.81 million has also been proposed by the state government for higher education and Engineering colleges 2,393 technical education, respectively, during 2016-17. MBA colleges 190 MCA colleges 51 The major flagship programmes being undertaken in the state include Rashtriya Madhyamik Shiksha Abhiyan (RMSA) and Sarv Shiksha Industrial Training Institutes (ITIs) 224 Abhiyan (SSA). Other programmes for the upgradation of education Primary schools 8,899 sector in the state include Beti Bachao Beti Padhao (B3P), Haryana Ek Khoj under SSA, etc. For RMSA, SSA and Dual Desk Scheme, the state Middle schools 2,395 government has allotted investments of US$ 82.18 million, US$ 120.07 Higher & Senior Secondary schools 3,210 million and US$ 32.73 million respectively.
Source: Haryana at a Glance, Government of Haryana website, AICTE, National Health Portal, TechSci Research MBA: Master of Business Administration, MCA: Master of Computer Applications JUNE 2017 For updated information, please visit www.ibef.org 33 HARYANA THE BREAD BASKET OF INDIA
SOCIAL INFRASTRUCTURE – HEALTH
As of December 2015, Haryana had 152 community health centres, Health indicators (2015-16) 591 primary health centres, 2,812 sub-centres, 23 sub district 2 hospitals and 27 district hospitals. As of 2015, the state had 67 Birth rate 21.3 2 Employees State Insurance (ESI) dispensaries. In the 2016-17 Death rate 6.3 annual budget, US$ 598.37 million was allocated for health 3 services, including medical education & family welfare. Infant mortality rate 41 During 2015-16, work on construction of Kalpana Chawla Medical Life expectancy at birth (years) College at Karnal was under process. The college is being set up at a total cost of US$ 98.65 million. Male (2011-15) 68.9 As per the state budget 2016-17, the state government is planning Female (2011-15) 71.3 to establish new institutes and medical colleges in the state during 2016-17, which include Health University in Kutail district of Karnal, Allocation, release and utilization under NHRM a new AIIMS (All India Institute of Medical Sciences) in Manethi village, a National Cardiovascular Institute at Badhsa village, as well (US$ million) as the medical colleges in Jind, Pinjore and Bhiwani. 70.30 72.69 Further, the state government has also decided to set up an AYUSH 49.48 61.32 52.41 47.98 52.02 52.66 University as well as AYUSH Cell across every PHC of the state. 45.39 41.36 32.82 The health infrastructure of the state during 2015-16 includes 458 Ayurvedic dispensaries, 3 Ayurvedic hospitals, 6 Ayurvedic Prathmic Swasthya Kendras, 1 Unani Hospital, 18 Unani Dispensaries, 1 Institute of Indian Systems of Medicine & Research
& 20 Homoeopathic Dispensaries.
2012-13 2013-14 2014-15
The state government is planning to make dialysis a more 2015-16¹ affordable & accessible medical procedure for people by increasing Allocation Release Expenditure the number of dialysis centres in the state to 10 centres from the existing 4 centres. Source: Annual Budget 2016-17, Sample Registration System (SRS) Bulletin 1September 2015, 2Per thousand persons, 3Per thousand live births
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CULTURAL INFRASTRUCTURE Phag, Dhamal, Ratvai, Khoria, Ghoomar & Ganguar are some of the many dance forms of Haryana. Important festivals of the state are Lohri, Basant Panchami, Holi, Gangore, Baisakhi, Nirjala Akadashi, Gugga Naumi & Navratri. Fairs held in Haryana include Gopal- Mochan, Masani, Basdoda, Surajkund and the Kartik Cultural Festival. Under Rajiv Gandhi Khel Abhiyan (RGKA), a block level stadium worth US$ 0.27 million would be constructed in the state. The outfield of this stadium, worth US$ 0.13 million, would be built under Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA). During 2015-16, various youth activities & programmes were organised by the state government for boosting the sports sector in the state. Further, the state is also deploying the “Haryana Sport & Physical Fitness Policy 2015”, under which the cash awards amounting to US$ 7.73 million & US$ 0.35 million have been circulated among 89 medal winners of Asian Games & 71 International medal winners. Moreover, the state government has allocated an amount of US$ 44.84 million for the sports sector during 2016-17. ‘Kingdom of Dreams’, which is India’s 1st live entertainment & leisure destination, is located in Gurgaon. The Epicentre in Gurgaon has been developed as an arts & culture centre. Some renowned museums in the state include Urusvati Museum of Folklore, Sanskriti Museum, Museum of Folk & Tribal Art in Gurgaon, Sri Krishna Museum (Kurukshetra) & City Museum (Chandigarh). In the 2016-17 budget, Kurukshetra was recognised under Krishna Circuit by the state government for the enhancement of tourism in the state. In addition to this, other 5 sites which have been recognized & qualified include Brahma Sarovar, Narkatari, Jyotisar, Amin Kund & Sannihit Sarovar. For the tourism sector, the state government has allocated US$ 10.2 million during 2016-17. Prominent stadiums in the state include Tejli Sports Complex (Yamunanagar), Nahar Singh Stadium (Faridabad), Tau Devi Lal Stadium (Panchkula) & Nehru Stadium (Gurgaon). In 2015-16, in order to improve the sports infrastructure, the Supplies & Disposal Department of Haryana purchased sports equipment worth US$ 0.15 million under the SC component scheme. Also, for the upgradation of yoga, it has been declared by the state government that yoga vayayamshalas will be established in across 6,500 villages of the state. Approval of the recruitment of 7 coaches & 1,000 instructors for yoga by the state government have been achieved during 2015-16. On the occasion of Golden Jubliee of the state of Haryana, on November 2nd , 2016, India’s Prime Minister launched 3 schemes for the state of Haryana - Deen Dayal Jan Awas Yojana, Automation of Fair Price Shops & Kerosene Free Haryana As of February 2017, the state government is planning to organize Surajkund International Crafts Mela twice in a year. Sri Lanka will also be considered as a partner country for the next edition of the Mela.
Source: Economic Survey 2015-16, State Budget 2016-17 JUNE 2017 For updated information, please visit www.ibef.org 35 HARYANA THE BREAD BASKET OF INDIA
INDUSTRIAL INFRASTRUCTURE
Historically an agrarian state, Haryana today is a well- developed industrial state. HSIIDC is the state’s premier • Industrial Model Townships (IMT) – Developed industrial promotion agency. It is responsible for providing and under developed reliable and efficient facilities to entrepreneurs investing in • IMT Rohtak the state. • IMT Faridabad • IMT Kharkhoda The state has taken several initiatives for developing industrial infrastructure to achieve consistent economic • IMT Mewat growth. • IMT Bawal • IMT Manesar HSIIDC has developed a number of industrial estates, industrial model townships and specialised parks for cluster Source: HSIIDC development.
Various industrial clusters that have come up across the National Investment and Manufacturing Zones are state include footwear and accessories in Bahadurgarh, conceived as major integrated industrial townships, that agricultural implements in Karnal, scientific instruments provide manufacturing industries with a conducive cluster in Ambala, handloom, hosiery and textile goods in environment. During 2015-16, Manesar-Bawal Investment Barhi, and fabrication & fitting cluster in Faridabad. Region of Haryana has been approved as NIMZ in the country, An Industrial Model Township is located in Manesar, on NH- 8. The IMT deals in housing readymade garments, Maruti Suzuki announced its plans to invest US$584.61 automobile industries, etc. million in its new R&D center in Rohtak, which is expected to be operational by 2019.
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SMART CITIES
In August 2015, 2 cities of Haryana were proposed to be developed as smart cities. As of May 2015, along with the selected smart cities, 20 cities of Haryana were selected for infrastructure development under the AMRUT scheme.
As of July 2015, under the AMRUT scheme, a total fund of US$ 1.12 million was allocated to Haryana and advance payment of US$ 0.83 million has already been made.
Smart cities in Haryana Karnal
Area (sq. Literacy Cities Population km) rate
Faridabad 1,809,733 741 81.70%
Karnal 1