MAHARASHTRA GATEWAY TO INDIA MARCH 2017 (As of 24 March 2017) For updated information, please visit www.ibef.org 1 MAHARASHTRA GATEWAY TO INDIA ❖ Executive Summary …….……….……… 3 ❖ Advantage Maharashtra ……………....... 5 ❖ State Vision …………………….………… 6 ❖ Maharashtra – An Introduction ……..…. 7 ❖ Annual Budget 2014–15 .......................20 ❖ Infrastructure Status ………………...… 21 ❖ Business Opportunities ……………..… 39 ❖ Doing Business in Maharashtra …….... 68 ❖ State Acts & Policies …………...……... 77 MARCH 2017 For updated information, please visit www.ibef.org 2 MAHARASHTRA GATEWAY TO INDIA EXECUTIVE SUMMARY … (1/2) Highest contribution to • Maharashtra’s GSDP at current prices was US$ 300.51 billion in 2015-16 and accounted India’s GDP for 12.98% of India’s GDP, the highest among all states. • Total FDI in the state during April 2000 to December 2016 stood at US$ 100.16 billion1, Highest FDI in India the highest among all states in India. • Jawaharlal Nehru Port is the largest port in India in terms of container traffic. During 2016- Largest Container Port 17 (till February 2017), the port handled 561.92 lakh metric tonnes of traffic. India’s financial and • The state’s capital, Mumbai, is the commercial capital of India and has evolved into a global financial hub. The city is home to several global banking and financial service firms. educational hub Pune, another major city in the state, has emerged as the educational hub. Source: Central Statistics Office, TechSci Estimates, Economic Survey 2015-16 Department of Industrial Policy & Promotion, Indian Port Association 1Including Daman & Diu and Dadra & Nagar Haveli MARCH 2017 For updated information, please visit www.ibef.org 3 MAHARASHTRA GATEWAY TO INDIA EXECUTIVE SUMMARY … (2/2) Significant production of • Maharashtra is one of the largest producers of sugarcane and pomegranate in the country. sugarcane and In 2015-16, production of sugarcane in the state stood at 72,089 thousand tonnes. During pomegranate 2014-15, the production of pomegranates was recorded to be 1,313.37 thousand tonnes. • Maharashtra is the most industrialised state in India and has maintained the leading Industrial powerhouse position in the industrial sector in the country. The state is a pioneer in small scale industries and boasts of the largest number of special export promotion zones. Strong cotton • Maharashtra is among the leading producers of cotton in India. The state produced 4.20 production million bales of cotton during 2015-16. Source: Ministry of Agriculture, News Articles, Economic Survey 2015-16 MARCH 2017 For updated information, please visit www.ibef.org 4 MAHARASHTRA GATEWAY TO INDIA ADVANTAGE MAHARASHTRA 2015-16 TradeGrowing and commerce demand hub Policy incentives 2015-16 of India • The Government of Maharashtra has GSDP of several policies in place to set up the • Mumbai (Maharashtra) is known as right kind of business climate. the state the trade and commerce capital of Per capita was US$ India. It is also the financial centre of GSDP was 300.51 India. • These policies aim to motivate US$ 2,545 investors to invest into various sectors billion • Maharashtra has emerged as a key hub for IT and ITeS, electronics and in the state, thereby contributing to captive business outsourcing the overall development of the industries. economy. Advantage Maharashtra Rich pool of skilled Facilitating infrastructure labour • The state has a well developed social, physical and industrial infrastructure. • Maharashtra has a literacy rate of Apart from four international and seven 82.3% and is home to a number of domestic airports, the state has two world class educational and IT major and 53 minor ports. It also has a institutions. well developed power supply grid. • The state has a large base of skilled • Maharashtra's infrastructure sector has and industrial labour, making it an grown significantly over the last ideal destination for knowledge based decade, with a substantial rise in the and manufacturing sectors. number of industrial clusters and Public Private Partnership (PPP) projects. Source: Government of Maharashtra MARCH 2017 For updated information, please visit www.ibef.org 5 MAHARASHTRA GATEWAY TO INDIA STATE VISION • Expects to achieve double digit • Establishing technical growth during the 12th Five Year universities for skill Plan. development. • Focus on growth of the • Providing scholarships to manufacturing sector. pursue professional courses. • Creating conducive growth environment. • Promoting sustainable Industrial sector Skill development • Maharashtra government development in agriculture by targets 12.5% GSDP growth integrating schemes of water in the 12th Five Year Plan. shed development, use of • US$ 50.6 billion allocated to technology, enhancing accelerate economic growth processing capacity and skill Agriculture GSDP growth by implementing specially development. Vision designed growth oriented policies. • Promotion of agri-business through PPP for Integrated Agricultural Development (PPP- Tourism Infrastructure IAD) and develop market linkages of horticulture. • Promote religious, adventure • 6,026 km of national highway and heritage tourism. projects. • Training workers in the • Developing ports by investing organised and unorganised approximately US$ 2.4 billion. sectors related to tourism. Source: Confederation of Indian Industry MARCH 2017 For updated information, please visit www.ibef.org 6 MAHARASHTRA GATEWAY TO INDIA MAHARASHTRA FACT FILE India's main stock exchanges & capital market and commodity exchanges are located in Mumbai. The most commonly spoken language in the state is Marathi. Konkani, Hindi and English are the other prominent languages. Parameters Maharashtra Capital Mumbai Geographical area (lakh sq. km) 3.08 Administrative districts (No) 36 Population density (persons per sq 365 Maharashtra is situated in the western region of the km) country. The state shares borders with Gujarat, Total population (million) 118.1 Madhya Pradesh, Chhattisgarh, Andhra Pradesh, Karnataka, Goa and the Union Territory of Dadra Male population (million) 61.2 and Nagar Haveli. On its west is the Arabian Sea. Female population (million) 56.9 Sex ratio (females per 1,000 males) 929 Mumbai, Pune, Nagpur, Thane, Nasik, Solapur, Kolhapur, Sangli, Aurangabad, Amravati and Literacy rate (%) 82.3 Ratnagiri are some of the major cities of Maharashtra. Source: National Portal of India, Economic Survey 2015-16 TechSci Research Estimates MARCH 2017 For updated information, please visit www.ibef.org 7 MAHARASHTRA GATEWAY TO INDIA MAHARASHTRA IN FIGURES … (1/2) Parameter Maharashtra All states Source Economy 2015-16 2015-16 GSDP as a percentage of all states’ GSDP 14.49 100.0 Central Statistics Office, TechSci Estimates GSDP growth rate (%) 9.9 8.71 Central Statistics Office, TechSci Estimates Per capita GSDP (US$) 2,545 1,546 Central Statistics Office, TechSci Estimates Physical Infrastructure Installed power capacity (MW) 40,598.69 305,554.25 Central Electricity Authority, as of August 2016 Telecom Regulatory Authority of India, as of Wireless subscribers (No) 87,183,302 1,078,422,215 October 2016 Telecom Regulatory Authority of India, as of Internet subscribers (No) 30,620,000 367,480,000 September 2016 NHAI, Roads and Building Department- National Highway length (km) 7,434.79 100,087.08 Government of India Major and minor ports (No) 2 + 53 13+187 India Ports Association 2015 Airports (No) 11 125 Airports Authority of India MARCH 2017 For updated information, please visit www.ibef.org 8 MAHARASHTRA GATEWAY TO INDIA MAHARASHTRA IN FIGURES … (2/2) Parameter Maharashtra All states Source Social Indicators Literacy rate (%) 82.3 73.0 Census, 2011 Birth rate (per 1,000 population) 16.5 21.6 SRS Bulletin Investment Department of Industrial Policy & Promotion, Cumulative FDI equity inflows (US$ billion)1 82.62 288.51 April 2000 to March 2016 Industrial Infrastructure DEA, Ministry of Finance, Government of India, Operational PPP projects (No) 194 1,246 July 2016 Notified as of February 2016, Ministry of Operational SEZs (No) 25 186 Commerce & Industry, Department of Commerce, July 2016 1Combined FDI inflows for Maharashtra, Dadra & Nagar Haveli and Daman & Diu PPP: Public-Private Partnership, SEZ: Special Economic Zone, SRS: Sample Registration System MARCH 2017 For updated information, please visit www.ibef.org 9 MAHARASHTRA GATEWAY TO INDIA ECONOMIC SNAPSHOT – GSDP At current prices, GSDP* of Maharashtra was US$ 300.51 GSDP of Maharashtra at current prices billion in 2015-16. (in US$ billion) GSDP of the state grew at a CAGR of around 10.54% from 2005-06 to 2015-16. 300.5 264.8 230.0 250.7 243.7 244.9 170.1 163.4 180.5 110.3 129.5 2005-06 2006-07 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13 2013-14 2014-15 2015-16 Source: Central Statistics Office, TechSci Estimates based on “Advanced Estimates” provided by Directorate of Economics and Statistics of Maharashtra GSDP - Gross State Domestic Product, CAGR – Compound Annual Growth Rate GSDP* - State Budget 2016-17 MARCH 2017 For updated information, please visit www.ibef.org 10 MAHARASHTRA GATEWAY TO INDIA ECONOMIC SNAPSHOT – NSDP At current prices, NSDP# of Maharashtra was US$ 263.6 NSDP of Maharashtra at current prices billion in 2015-16. (in US$ billion) Maharashtra’s NSDP# grew at a CAGR of around 10.29% from 2005-06 to 2015-16. 263.6 238 208.4 227.1 220.4 221.2 153.9 146.9 162.5 99 116.7 2005-06 2006-07 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13 2013-14 2014-15 2015-16 Source: Central Statistics Office, TechSci Estimates based on “Advanced Estimates” provided by Directorate of Economics and Statistics of Maharashtra NSDP - Net State Domestic Product, CAGR – Compound Annual Growth Rate NSDP# - Geometric mean of YoY calculation from 2004-05 to 2014-15 MARCH 2017 For updated information, please visit www.ibef.org 11 MAHARASHTRA GATEWAY TO INDIA ECONOMIC SNAPSHOT – PER CAPITA GSDP The state’s per capita GSDP^ at current price was US$ Per capita GSDP (US$) 2,545 in 2015-16. The per capita GSDP of Maharashtra grew at a CAGR of 9.16% between 2005-06 and 2015-16.