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CHAPTER- IV POTENTIAL AND PERFORMANCE OF VARIOUS INDUSTRIAL SECTORS IN ECONOMICAL DEVELOPMENT OF GUJARAT STATE

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CHAPTER- IV

POTENTIAL AND PERFORMANCE OF VARIOUS

INDUSTRIAL SECTORS IN ECONOMICAL DEVELOPMENT

OF GUJARAT STATE

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CHAPTER-IV

POTENTIAL AND PERFORMANCE OF VARIOUS

INDUSTRIAL SECTORS IN ECONOMICAL DEVELOPMENT

OF GUJARAT STATE

4.1 INTRODUCTION

Gujarat continues to occupy a umque position m the Indian economy.

Gujarat has beheld outstanding industrial development since its creation as a

state in 1960. The industrial sector at current comprises of over 1200 large

industries and over 3,12,000 micro, small and medium industries. 4.4 As per

the results of the Annual Survey of Industry (ASI), 2004-05 carried out by

the Central Statistical Organization (CSO), under Ministry of Statistics and

Programmme Implementation, Government of India, Gujarat accounts for

17.2% of fixed capital investment, 15.6% of value of production and 13.7%

of value added in industrial sector in India. 4.4 With 5 percent of the

country's population and 6 percent of the country's geographical area,

Gujarat contributes to about 16 percent of industrial production in India. 43

The State has witnessed an annual average growth of 9 percent in the last

three years (GDP is estimated at USD 38.4 billion) and an average industrial

growth of 15 percent for the same period. 4·3 Accounting for 16 percent of

the industrial production of India, Gujarat has demonstrated leadership in

many sections of manufacturing and infrastructure sectors. Almost 50

percent of the country's refined petroleum products and 45 percent of the

drugs and pharmaceuticals are from Gujarat. 4·3 The State's exports stand at

14 percent of India's total exports, displaying a strong global orientation of

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the industrial structure. 4·3 Gujarat has accomplished the distinction of being

the top most industrially developed state in India in respect of investment in

industrial sector and second among states in respect of value of production

and value addition in industrial sector in India. Over the years, Gujarat has

diversified its industrial foundation. The state was known for textiles

industry. Today, refined petroleum products have been emerged as the

largest industrial group followed by chemicals including dyes and pharma

products, agro and food processing, engineering industries, basic metal

industry, textiles and apparels and other industries in descending order in

terms of value of output in all industry in Gujarat. The industries in Gujarat

produce variety of products. However, the important products which have

considerable contribution in India include: Soda Ash having 94% share, Salt

(80%), Polyester Filament Yam (75%), Refined Petroleum products (55%),

Phosphate Fertilizers (36%), caustic soda (35%), Textile Fabrics (34%),

Sponge iron (33%), cement (1 0%) and so on. Gujarat is also having major

share in diamond cutting & polishing. 4.4

Gujarat has also achieved industrial diffusion. In 1960s only four cities

namely Ahmedabad, Baroda, Surat and Rajkot and some isolated locations

such as Mithapur and Valsad etc. were the industrial centers. Today, almost

all districts of the state have witnessed industrial development. This striking

industrial development has been possible due to a sensible exploitation of

natural resources, such as minerals, oil and gas, marine, agriculture and

animal wealth. The discovery of oil and gas in Gujarat has played an

important role in setting up of petroleum refineries, fertilizer plants and

petrochemical complexes. The state government has also established a good

institutional network. Gujarat Industrial Development Corporation (GIDC)

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has established industrial estates providing developed plots and ready sheds

for setting up industries throughout the state. Institutions were also set up to

provide term finance, assistance for purchase of raw materials, plant and

equipment and marketing of products. 4.4 Later, District Industries Centers

(DICs) were set up in all districts to provide assistance in setting up

industrial units and provide support services. The state also developed

infrastructure facilities required for industries, such as power, roads, ports,

water supply and technical education institutions. The state government

presented incentive schemes, from time to time, to promote industries. 4.4

4.2 COMPONENT FOR DEVELOPMENT

At a broad level the following components have been mainly responsible for

the economic vibrancy of the Gujarat:

DEMOGRAPHIC

The people of Gujarat are globally recognized as highly entrepreneurial and

industrious. The risk taking ability, along with the mature level of

commercial knowledge, has made the State the fountainhead of a new

enterprise. The labour force in Gujarat is reasonably skilled in areas such as

diamonds, chemicals, petrochemicals and pharma sectors. The cost of labour

is also competitive in Gujarat, which along with the remarkable

infrastructure adds to the overall productivity of the State. Gujarat is one of

the most urbanized states in the country with nearly 40 percent of population

residing in urban areas. This has had a positive influence on the expansion of

industry in the State. 4·3

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MANUFACTURING

The contribution of manufacturing sector in the GDP of Gujarat is nearly 40

percent, compared to 42 percent coming of the services sector. This is

considerably different from the trend witnessed at an all India level, where

the industry constitutes not more than 30 percent and the services sector

contributes nearly 56 percent of the GDP. Over a period of time, Gujarat has

effectively diversified its industrial base. At present, Gujarat has a

production share of over 34 percent in petroleum products and 27 percent in

chemicals and pharma in India. In engineering industries it stands at 9.3

percent, food and processing at 8.7 percent, textiles & apparel at 6.9 percent.

In the gems & jewellery sector, Gujarat accounts for 80 percent of the

processed diamonds and 90 percent of diamond exports from India. These

statistics clearly indicate that manufacturing plays a critical role in

generating economic growth and development. Moreover, the variety and

concentration (in the form of clusters) of various manufacturing sectors has

given this sector a unique vibrancy in the State's economy and policy 4·3

INFRASTRUCTURE

Infrastructure facilities are crucial for industrial development. The State

Government has taken several initiatives for providing adequate

infrastructure to industry. The status of important infrastructure facilities is

as under: 45

POWER

The total installed capacity in Gujarat is at 9561 MW as on 31-3-2007. In

addition there are captive power plants with industries. The estimated peak

demand for power in 2011-12 is estimated as 14,031 MW. New capacity of

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2832 MW is under implementation. In addition, 10,000 MW capacity is

planned. Gujarat also encourages setting up wind power projects. Gujarat

has sufficient inter-regional transmission and distribution capacity for

evacuation of electricity generated from the power stations for meeting the

demand of consumers across the state. The power supply position to industry

is satisfactory in Gujarat. 45

The State offers huge road connectivity and reliable power supply to its

consumers. It has one of the highest per capita power consumption (1175

units, as compared to India's average of 592 units) and competitive

commercial real estate rates in comparison to other states in India. Gujarat

was amongst the first states in India to set-up an industrial park and is a

leading State in harnessing wind energy. 4·3

GAS

Gujarat has been a pioneer state in producing oil and gas, with Ankleshwar

and Mehsana being the earliest gas fields discovered in the country. Gujarat

also holds the sole distinction of being the only state with more than one gas

producer. Apart from ONGC, Gujarat State Petroleum Corporation Ltd.

(GSPC), Cairn Energy and Niko Resources are engaged in the production of

natural gas in the state. In addition there are two LNG terminals in the state

having facility for import of LNG. 45

Gujarat has planned statewide gas grid of 2200 km of which 1134 kms of

pipeline is operational. Almost all-industrial areas are connected with gas

grid network. It is planned to supply piped gas to 22 cities/towns of the state

in near future. 45

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ROAD

The total length of roads (except municipal roads) in the state is 7 407 5 kms,

of which 95.5% are surfaced road which include National Highways (NH),

State Highways (SH), Major District Roads (MDR), Other Roads. The road

length ofNational Highway is 3245 kms including Express Ways and 4-lane

roads. The Government of Gujarat has recognized the requirement for

private participation in the Road sector. The Roads and Buildings (R&B)

Department has identified several projects to be undertaken by the private

sector. 45

PORTS

Gujarat, situated on the Western Coast of India, is a principal maritime State

endowed with favourable strategic port locations. There are 41 ports, of

which Kandla is a major port. Out of the remaining 40 ports, 11 are

intermediate ports and 29 are minor ports under the control of Gujarat

Maritime Board. These ports can be largely classified into three categories: 4.3

1. Three all weather ports viz: Porbandar, Okha, and Sikka

2. Seven ports are all weather lighterage ports

3. The remaining 30 ports are fair weather lighterage ports for sailing vessels

and fishing boats

In 2005-06, Gujarat ports handled cargo traffic of 103.9 million metric

tones. Thirty five percent of India's exports are routed through Gujarat. By

2015, it is expected that Gujarat's port will handle 400 million tonnes (39

percent) of the country's total throughput. 4·3

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The reputation of Gujarat is by the virtue of having nearly 1,600 kms long

coastline and being the nearest maritime outlet to the Middle East, Africa

and Europe. Gujarat features the Gulf of Khambat and the Gulf of Kutch,

and both offer logistical benefit for reaching the northern and western

hinterland. This helps to capitalize on the strong manufacturing and trading

base. Gujarat is considered as one of the advanced States in terms of

infrastructure. Some major ports are connected to the main rail corridor and

these routes would act as feeder routes. It is not just the State government;

even private players are taking keen interest in building the State's dream of

Vision 2015. JKWhite Cement and Adani Group, for instance, are

developing the Greenfield port at Dholera and the Reliance Group is

building a port facility at Sikka. 4·3

RAILWAYS

The total length of railway lines in the state, as on 31st March 2007, was

5188 route kms comprising 2736 kms of Broad Gauge (BG), 1665 kms of

Metre Guage (MG) and 787 kms of Narrow Guage (NG) lines. Three

projects, namely Viramgam- Surendranagar-Pipavav; Gandhidham-Palanpur

and Mundra-Adipur were been taken up under Private sector Participation

(PSP) mode and have become operational. 4·5

A rail freight corridor is underway in the western region, starting at JNPT

(Mumbai) and ending in Delhi, passing through Valsad, Surat, Vadodara,

Ahmedabad, Mahesana, Palanpur. The region in and around Mahesana can

be developed as a hub of warehouse facilities as all major rail routes

converge in this area. 4·3

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In addition to this, Gujarat has planned a Metro Rail project for RS. 4,300

crore along with private sector participation on a build-operator-transfer

(BOT) basis.

AIRPORTS

Gujarat has a fairly widespread network of airports and airfields scattered

throughout the state. The airport locations in Gujarat can be classified as

tourist centers and industrial centers. The state has 12 domestic airports and

1 international airport, the highest in any state of India. Ahmedabad is air

connected main national and international cities. 4·5

COMMUNICATIONS

Gujarat has fine developed tele-communication network. Gujarat accounts

for 7% of telephone connections in the country both land lines and mobile

telephones. One out of five persons in the state owns mobile phone. Gujarat

has also set up wide area network (GSWAN) providing connectivity with

district and taluka level offices with Gandhinagar the state capital. 4·3

More importantly, this infrastructure has strong public policy support and is

critical to the infrastructure requirements of the country as a whole. These

building blocks have placed Gujarat not just as a leading State of India, but

also put forth the focus to design its growth story similar to those of other

developed countries. A lot of initiatives that are in progress are likely to

make the State a strong candidate for becoming a model state at the global

level. The Government is overhauling the State's urban infrastructure at a

total cost of Rs. 7,620 crore. The Government is also keen to develop

emerging sectors like biotech and has planned 15 projects for nearly RS. 318

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crore. Further, the State has five of the country's top post -graduate institutes

and is becoming a key educational hub. The State plans to lift investments

around RS. 510 crore for education and make Gujarat a prime destination for

higher education in India. 4·3

All of this and much more are being attempted at policy level, and both

investors and industry players have offered impressive support to these

policies. Given such performance, Gujarat needs to build on its strengths and

build new competencies for the emerging sectors. The State could meet

these challenges by concentrating on the existing sectors like oil& gas, ports

& logistics, pharma & chemicals and gems & jewellery. Moreover, the

industry and the Government could come together for attracting investments

and creating support infrastructure for emerging sectors like ITES, food

processing, hospitality and tourism and retail. 4·3

At the recently concluded Vibrant Gujarat Global Investor's Summit 2007, it

was proposed to make Gujarat the best in the world by 2015. 43 To be able to

accomplish this target, the State will have to focus on the growth divers or

accelerators that can shift the process of economic development in the State.

This could mean blending the enterprise nature of the people along with the

infrastructure and capital availability. Further as Gujarat seeks to grow, it

needs to focus on adopting fundamentals in terms of developing skilled

workers, improving the quality of manpower, adopting environment friendly

technologies, focusing on research and innovative sectors and adopting

technology at the grassroots level. Thus, given the track record of the State

these targets are easy to aim for the stakeholders. Gujarat, at present, is on

the cusp of an industrial boom. New projects are being identified; the

157

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Gujarat Government makes slew of investments of over Rs. 150,000 across

12 sectors over the next few years, aiming at an annual growth of 12-13 per

cent by 2015. For all these investments to be realized, it is vital to focus on

turning this potential to be supported by growth accelerators that could

sustain the existing momentum and build new focus areas. For better

analysis of the growth, the state focused on some key growth accelerators to

have over time given any economy the desired push in their growth journey.

The identified accelerators were trade, infrastructure, policy, demographics

and technology. 4"3

Historically trade is, motivated by traditional comparative advantage,

provided as key growth accelerator for economic expansion and national

differentiation. As economies advance and diversify internally, trade helps to

bring economies of scale, better market access and well integrated supply

chain for various economic agents of any nation. Singapore is a good

example of a nation State to have fully leveraged its geography and made

trade as the basis of its growth and development. 4·3

4.3 SECTOR PROFILE

OIL AND GAS

Gujarat is looking at moving forward to become the 'Petrocapital' of India.

Gujarat accounts for 54 percent of India's onshore crude and 39 percent of

On-shore Natural Gas Production. It has about 46 percent of India's installed

refining capacity and 60 percent of India's total crude oil import facility. The

Government has announced MoU' s worth USD 4.5 billion and investments

worth USD 5.7 in Gujarat. Gujarat has a well-established gas grid of 550

kms and it plans to expand the same to 2,200 kms with investment worth

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USD 500 million. Investments have been proposed to build new LNG

terminals in addition to the existing terminals in Dahej and Hazira, are

underway. The State offers immense opportunities across the energy value

chain. Progressive and investor friendly industrial policies, including

rationalization of tax regime, power reforms and SEZ development coupled

with the logistical proximity to the Middle East gas resources are among the

significant growth enablers for the sector. Gujarat has well-established

distribution gas network and the LNG terminals at Hazira and Dahej have

led to a strong local consumer base. Presence of cooperatives such as IIFCO,

KRIBHCO, power companies like NTPC and GEB and industrial majors

such as Reliance have led to a vibrant energy sector in Gujarat. The

Jamnagar refinery is the largest in India in terms of refining capacity and

also is considered as the largest grassroots refinery in the world. Gujarat has

oil & gas reserves located at Ankleshwar, Mesana, Tapti High, Hazira,

Bharuch, Gandhar, Dahej, Jambussar, Palej, Kalol and isolated gas fields

around Ahmadabad. In addition to this, it has discovered oil reserves in

Dholka and Khambat. 4·3

PHARMACEUTICALS AND CHEMICALS

The state of Gujarat accounts for 40 percent of India's total pharmaceutical

production and 17 percent of its exports. Gujarat's pharma industry is valued

at US$ 3.6 billion. There exist over 3,000 drug manufacturing units. The

State houses several established companies such as Torrent Pharma, Zydus

Cadila, Alembic Pharma, Sun Pharma and Dishman Pharmaceuticals, which

have operations in the world's major pharma markets. The State contributes

to around 20 percent of India's total chemical production. It produces about

98 percent of total soda ash, 90 percent of liquid chlorine and 66 percent of

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phosphatic fertilizers. Gujarat also houses India's only chemical port

terminal, which has a capacity of 3 million metric tonnes. Several factors

have contributed to Gujarat's well established pharmaceutical industry.

Gujarat is a strong pharmaceutical manufacturing hub having a large number

of small and medium manufacturing units. Its rich base of supply of active

pharmaceutical ingredients has attracted several multinational players such

as Wyeth, Sanofi-Aventis and Abbott to set up facilities in Gujarat. There

are several pharma clusters around Ahmedabad, Baroda, and Vapi. Over 300

large projects in the sector have already been commissioned; while over 100

are under implementation. Gujarat has a strong base of diversified chemical

industry, with approximately 700 large and medium scale units and 31 ,000

small scale and other factory sector units. Over 1,300 projects of the

chemical and allied sectors have been commissioned. Gujarat has a strong

infrastructure backing with good connectivity of road, rail, air and water.

The well established linkages with raw material and machinery suppliers are

significant growth drivers for the industry. 4·3

GEMS AND JEWELLERY

The Gems & Jewellery industry is a fascinating industry in many ways:

traditional, on one hand and glamorous on the other. It is undergoing a

gradual change from an object of investment to a fashion accessory. It is one

of the fastest growing industries in the country and contributes to about 15

percent of India's total exports. With diamond and jewellery units located in

the cities of Gujarat - Ahmedabad, Palanpur, Bhavnagar, Valsad, Navsari

and Surat - it becomes one of the major contributors to the gems &

jewellery industry in India. Almost 80 percent of the cutting & polishing of

diamonds (processing) is done in Gujarat. Ninety percent of total diamonds

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in Gujarat are processed by about 10,000 diamond units located in and

around Surat, alone. Gujarat's Gems & Jewellery sector is expected to grow

at a rate of 15-20 percent in the current financial year. The future growth is

likely to be driven by increased exports to US and other international

markets and through domestic consumption. 43

TEXTILES

The textile Industry is one of the oldest and the most important sectors of the

Indian economy. Gujarat's textile industry contributes in a big way to the

industrialization of the State. About 33 percent of cotton production in the

country is from Gujarat and the State contributes to about 35 percent of the

woven fabrics from the organized sector in India. The city of Surat alone,

contributes to 40 percent of art silk fabric produced in India and is the

largest production base for man-made fabrics. Further, 23 percent of the

State GDP comes from textiles. Gujarat contributes approximately 20

percent of textile exports from India and 6 percent of garments export in

India. In the early 1990s, Gujarat saw a dramatic change in the textile

industry scenario with the entry of denim manufacturing. Arvind Mills,

Soma Textiles, Modem Denim started manufacturing denim in Gujarat, and

soon the State was known as 'India's land of denim'. 4·3

4.4 GUJARAT: TEXTILE AND APPAREL CENTER OF INDIA 4"12

• Largest producer (33% of cotton in the country and a major source for

man-made fabric. (source: cotton advisory board data)

• Textile industry in Gujarat accounts for 35% of woven fabrics m

organized sector in country

Surat in south Gujarat, contributes 40% of art fabric produced in india

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• Large process house (over 500) with environment friendly technology

• Apparel parks at Surat and Ahmedabad

• Textile park at Palsana, Udhna, Navapur, Mangrol, Kheda and Mudra

4.5 SNAPSHOT- GUJARA T TEXTILE INDUSTRY 4"12

• Textile production USD 2.98 billion (14% of india)

• Number of medium and large textile units : 1560

• Employment generated : 150000

• Investment: USD 1.52 billion

4.6 GOVERNMENT POLICY AND REGULATION 4·12

• Union Government Policy

• 20% Credit linked subsidy for Power loom

• 5% Interest subsidy under TUF

• Capital Subsidy scheme @ 10% for processing sector

• Gujarat Government Policy:

• Interest subsidy @ 5% p.a. to a new unit

+ Interest subsidy @3% p.a. on purchase of capital equipment under

Technology up gradation

FACTOR CONDITIONS- GUJARAT 4·12

• Lower Lead time

• Ability to produce customized apparel

• Lower cost of production & flexible labor regulation

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SUPPORT INDUSTRIES - GUJARA T 4•12

• Well developed textile machinery industry

• Established Product development/design industry

4.7 AREA, PRODUCTION AND YIELD OF COTTON IN

GUJARA T (2005-06) 4"12

Area (million Production Yield per hectare Total production

hectares) (million bales of (kg/hectare) in india (million

170 kg. each) bales of 170 kg

each)

2.077 8.0 655 24.25

PRODUCTION ST ATISTICS4·12

Production of Gujarat (million India (million Gujarat' s share in

fibers Kg) Kg) India's

production

Raw cotton 1360 4122 33%

Man- made fiber 314 1023 31%

Production of

yarn

Cotton yarn 179 2272 7.8%

Total spun yarn 225 3223 6.9%

Man made 422 1190 38%

filament yarn

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PRODUCTION STATISTICS4•12

Fabric production Gujarat (million India (million sq.mtr)

sq.mtr)

Cotton 328.957 20655

Blended 62.709 6032

1 00% Non cotton 1.445 18691

total 393.111 45378

INFRASTRUCTURE 4·12

Power looms Over 600000

Ginning & pressing units 263

Composite units 233

Processing units (Large size) Over 500

Apparel units (Large and 100

Medium)

Number of workers in apparel 10000

units

Hand printing and processing 1500

units

INFRASTRUCTURE 4"12

Cotton/ Man- made fiber Gujarat

Textile mills and export oriented 117

units

Spinning mills (Large & Medium) 58

Composite mills (Large and 54

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medium)

Spinning mills (small) 28

Exclusive weaving mills (Large and 38

medium)

Man made fiber units 10

Man made filament yam units 15

Man rrade fiber

units, 10

Man rrade filament

yarn units, 15

Exclusive weaving

rrills (Large and

medium), 38

Spinning rrills

(srrall), 28

Composite rrills

(Large and

medium), 54

INFRASTRUCTURE 4"12

Capacity installed

Spindles (Large, Medium and small)

Rotors (Large, Medium and small)

Man - made fiber

Man -Made filament

165

Textile rrills and

export oriented

units, 117

Spinning rrills

(Large & f.kdium),

58

Gujarat

2696 (Thousand No)

46281

299.32 (Mn. Kg)

455 (Mn. Kg)

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4.8 TEXTILE & APPAREL SEZ IN GUJARA T (ESTABLISHED

AND UPCOMING) 4"12

• Surat Apparel SEZ

• Ahmedabad Apparel SEZ

• Apparel SEZ at Anjar (Kutchh)

+ Mundra SEZ Textile Zone (Port based SEZ)

UPCOMING AND APPROVED TEXTILE & APPAREL PARKS 4·12

• Surat Apparel Park

• Gujarat ecological Textile park at Surat

• Soham integrated Textile park

• Vraj Integrated Textile park at Khera

• Jetpur Apparel park

TEXTILE & APPAREL INDUSTRIAL UNITS4·12

• Arvind Mills Ltd

• Reliance Industries .. Modern Terry towels

• Garden Silk Mills

• Mafatlal Industries

• Raymonds

• Welspun Group

• IC Textiles

• Gujarat Ambuja Cotspin Ltd

• Indo-count industries

• Alok Industries

• Ashima Group

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• Nandan Exim Pvt. Ltd

• Vardhman Acrylics

TEXTILE SPECIFIC INSTITUTIONS4·12

• • • • • •

ATIRA (Ahmedabad Textile Industrial Research Association)

Colleges offering education in degree engineering in Textile

MANTRA (Man- Made Textile Research Association)

Apparel & Leather Technics (ALT) Training College

NIFT (National Institute of fashion Technology)

NID (National Institute ofDesign

4.9 AVAILABILITY OF TRAINED MANPOWER4·12

• More than 1800 Engineering graduates every year in the field of

Textiles, Chemicals, Mechanical and Industrial Engineering.

• There are 219 ITls and other vocational institutes with a total capacity

of 56,000 seats.

• There are 291 Polytechnics offering Diploma level courses, with an

annual enrolment capacity of about 50,000 students.

.. In addition, there are four advanced vocational training centers for up

gradation of skills for workers employed in industrial units as per the

requirements of the industries

4.10 LEADING TEXTILE AND APPAREL CLUSTERS

1. Ahmedabad4"12

Ahmedabad is the leading manufacturer of cotton and blended textile. It is

also one of the largest producer of denim in the world. Government has

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taken active steps to develop Apparel Park for overall growth of textile

sector

Ahmedabad Apparel Park SEZ4·12

.. Located at Ahmedabad city, Gujarat 's textile hub and India 's most

thriving commercial centers

.. Access to low-cost talent pool

• The city is home to excellent educational and training infrastructure

chums.

• Availability of raw materials

• World-class health care and entertainment

• Excellent connectivity through the national road and rail network,

international airport

.. Liberalized labour laws, tax and other benefits of a Special Economic

Zone

.. Financial largesse from Government of India and Government of

Gujarat

Infrastructure 4·12

• 44 plots varying between 1000 to 3000 square meter, over an area of

3,78,500 square meter.

• World-class infrastructure

• 4 and 2-lane RCC roads with adequate street-lighting

• Paved footpath and underground RCC drains

• Uninterrupted water and power availability

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+ Common Facility Center housing facilitation, business and training

centers, bank, office spaces, restaurants, creches, police post,

conference room, etc.

+ Underground effluent collection system and Common Effluent

Treatment Plant

+ Apparel Training & Design Center, under the auspices of Apparel

Export Promotion council, planned

2. Surat4·12

Surat is the country's strongest base Surat for non cotton fabrics.

Surat Apparel SEZ4"12

+ State-of-the-art facilities with a total area of 5,66,400 square meters

• Surat , the textile hub of India and a center of fabric production

• Access to high quality and cost-effective manpower

• Excellent connectivity by road, rail air and ports

+ Single-window clearance

+ Liberalized labour laws, tax and other benefits of a Special Economic

Zone

• Financial largesse from Government of India and Government of

Gujarat

Provision of training for SEZ workers by internationally known

Institute of Fashion Technology to make them highly Productive

Infrastructure 4·12

• 100 plots, ranging between 1 000 square meters to 4000 square meters,

spread over 5,60,000 square meters

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• 4-lane and 2-lane roads conforming to Ministry of Surface Transport

standards

• Abundant water and power supply network

• Common Facility Center with training center, auditorium, exhibition

hall, bank etc.

• Paved walkways, compound wall and open spaces

• Commercial plaza, restaurants, creches, police stations and other

social infrastructure

4.11 RISING SECTORS

ITES (IT ENABLED SERVICES)

IT-ITeS companies in Gujarat have grown from less than 10 in 1996 to

about 415 by the end of 2004-05. The software exports have grown from a

meager RS. 4. 75 crore to RS. 200 crore, during the same period. With

Ahmedabad, Gandhinagar and Baroda rising as ITeS hubs, Gujarat now has

more than 50 companies in Information Technology Enables Services (ITeS)

segment, and operate more than 11 ,000 seats. Recently, 127 companies in

ITeS segment have been registered with the Commissionerate of Information

Technology. The State has one of the largest optical fiber network in the

country with more than 60,000 kilometers network. In the recently held

'Vibrant Gujarat IT Summit', 19 companies signed Memorandum of

Understandings (MoU) to invest a total of RS. 11,067 crore. In the freshly

announced IT policy, the Government has targeted to create 200,000 jobs by

2011 in this industry. 4·3

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FOOD PROCESSING INDUSTRY

The Indian farming sector has come a long way since independence. India is

the world's second largest producer of food next only to China. Over the last

few years, a shift has been observed in the Indian food consumption pattern.

These changes have given rise to the emerging industry of food processing.

This industry is one of the largest industries in India; as it constitutes about

13 percent of manufacturing GDP and employs over 12 million people.

Gujarat has witnessed an impressive agricultural growth in the last five years

and is the largest producer of castor and tobacco in India. Gujarat boasts of

being the leader in exports of processed food and vegetables in India with a

strong base of 3,700 small scale and 150 large & medium scale food

processing units. Companies such as lTC, Amul, Hindustan Lever, McCain

have explored the potential of this sector in Gujarat. 4·3

HOSPITALITY AND TOURISM

The State Government decided the year 2006 as "Tourism year", keeping in

view the importance of tourism industry as an important factor of the

development process and generator of large scale employment. The

Government formulated "Gujarat Ni Chetanyatra"- Gujarat tourism policy

for the year 2003-2006.Total of38 Memorandum of Understanding (MOUs)

for 69 projects in the tourism sector amounting to RS. 20,821 crore was

signed at the recent Vibrant Gujarat Global Investor's Summit. The hard

work of the Gujarat Government worked in some measure as the State

registered an increase of 32 percent in tourist arrivals in 2006, compared to

the figures of 2005.The State witnessed 2.5 million domestic tourists and

50,000 foreign tourists. The average contribution of tourism industry to the

State's GDP is close to 2.5 percent, while the comparable figure for India is

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5.3 percent. The average foreign tourist spend per person per day is close to

USD 700 to 1050. With world-class health facilities, zero waiting time and

most importantly, one tenth of the medical cost in US or UK, Gujarat is

becoming a preferred medical tourist destination. About 1 ,200 to 1 ,500

NRI's, Non Resident Gujaratis (NRG's) and a small percentage of foreigners

come every year for different medical treatments. Gujarat contributes close

to 25-31 percent of the total medical tourism business in India. 43

RETAIL

India's retail sector is one of the fastest growmg sectors m the Indian

economy. Gujarat, which has a strong middle class population and one of the

highest per capita GDP, is now becoming an ideal destination for the

organized retail sector. This is evident with the spurt of malls in the State

with companies like Prozone that are looking at setting up their first two

malls in Rajkot and Surat before entering other cities in India. Raymond,

too, started its first kids apparel store, Zapp, in Ahmedabad before entering

markets like Mumbai and Pune. 4·3

4.12 EXPORTS AND SPECIAL ECONOMIC ZONES (SEZ)

Gujarat has registered striking performance in exports of industrial products.

Export from Gujarat in 2002-03 was Rs. 22,208 crore constituting 8. 7%

share in the country. The export from Gujarat improved toRs. 31,976 crore

constituting 10.9% share in 2003-04 and it further increased to Rs. 51,665

crore in 2004-05 constituting 14.3% share in the country. The export from

Gujarat in 2005-06 was Rs. 64,538 crore contributing 14.3% share in the

country. The export figures do not include export of gems and jewellery as

most of the export is from Mumbai though the production centres are in

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Gujarat. In case, the export of gems and jewellery is added, the total export

from Gujarat will work out over 25% in the country's export. 4·2

The State Government has established a GOG-AMA Centre at Ahmedabad

Management Association (AMA) to encourage international competitiveness

of local industry. The State Government has introduced export award

scheme to encourage exporters for better export performance. 42

The Government of Gujarat has been encouraging promotion of Special

Economic Zones (SEZs ). SEZs are considered as growth engines that can

boost manufacturing, augments exports and generate employment. The State

Government has enacted the Gujarat SEZ Act 2004. Besides the SEZ Rules

2005 and SEZ Regulations are in place. Under the Act, assistance is

provided to the developer of SEZ for development of infrastructure and

providing services. Tax concessions are provided to units coming up in the

SEZ. The State Government has also introduced labour reforms and has

carried out an amendment in the Industrial Disputes Act, providing

flexibility in the employment of labour by units in SEZs. 4·2

In all, 39 SEZs are approved for Gujarat. These include multi product SEZs

and sector specific SEZs covering textiles, pharma, engineering, chemicals,

ceramics, gems and jewellery and IT liTES sectors. 4·2

4.13 NATURAL RESOURCES

Natural Resources play an important role in industrial development. Gujarat

is endowed with important resources like minerals, marine, agriculture;

besides animal wealth and human resources. The state government has taken

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------------------------------

several measures to explore and exploit these resources for industrial

development. 4"11

Information on important natural resources useful for industrial development

in the state is as under: 4"11

·~ MINERAL RESOURCES

The important mineral resources m Gujarat include limestone, lignite,

bauxite, bentonite, chalk, china clay, dolomite, marble and granite; besides

oil and natural gas. Information on reserves and location of the important

minerals is as under: 4"11

Mineral Reserves of Gujarat

Mineral In Million Tonnes Main Locations (District)

Base metal 8.5 Banaskantha

Bauxite 105 Kachchh, 1 amnagar

Bentonite 105 Kachchh, Bhavnagar, Sabarkantha

Calcite 0.0891 Sabarkantha

Chalk 83.79 Porbandar, Rajkot

China clay 162.83 Kachchh, Mahesana, Sabarkantha

Dolomite 720.55 Bhavnagar, Vadodara

Fluorite 11.6 Vadodara

Fireclay 160.15 Surendranagar, Sabarkantha,

Rajkot

Gypsum 3.376 Kachchh, Jamnagar

Lignite 2165.35 Bharuch, Kachchh, Bhavnagar,

Surat

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Limestone 11897.14 Amreli, Kachchh, Kheda,

Jamnagar,

Junagadh, Panchmahal,

Banaskantha,

Bhavnagar, Sabarkantha,

Porbandar

Quartz 11.474 Panchmahal, Vadodara

Siderite 4.6 Kachchh, Bhavnagar

Marble 259.6 Panchmahal, Banaskantha,

Vadodara

Coal 4.1 Mahesana

Graphite 2.135 Panchmahal, Vadodara

Manganese Ore 2.5 Panchmahal, Vadodara

Nepheline 19.03 Junagadh, Vadodara

Syenite

Wollestonite 2.141 Banaskantha

Granite 2005 Banaskantha, Sabarkantha,

Vadodara,

Panchmahal, Mehsana

Mineral In Million Tonnes Main Locations (District)

Base metal 8.5 Banaskantha

Bauxite 105 Kachchh, Jamnagar

Bentonite 105 Kachchh, Bhavnagar, Sabarkantha

Calcite 0.0891 Sabarkantha

Chalk 83.79 Porbandar, Rajkot

China clay 162.83 Kachchh, Mahesana, Sabarkantha

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--------------------------

Dolomite 720.55 Bhavnagar, Vadodara

Fluorite 11.6 Vadodara

Fireclay 160.15 Surendranagar, Sabarkantha,

Rajkot

Gypsum 3.376 l(achchh,Janrrnagar

Lignite 2165.35 Bharuch, l(achchh, Bhavnagar,

Surat

Limestone 11897.14 Amreli, l(achchh, Kheda,

Janrrnagar,

Junagadh, Panchmahal,

Banaskantha,

Bhavnagar, Sabarkantha,

Porbandar

Quartz 11.474 Panchmahal, Vadodara

Siderite 4.6 l(achchh, Bhavnagar

Marble 259.6 Panchmahal, Banaskantha,

Vadodara

Gujarat is having 1600 km. long coastline offering vital resources such as

salt and marine products for industry. Gujarat is the largest producer of salt

in the country and contributes 80% of total salt production in India. In 2005-

06, Gujarat produced 139 lakh tonnes of salt. Besides using salt for edible

purpose, it has played an important role in the development of salt based

industry, especially production of inorganic chemicals. 4·11

Fish processing is also developed as an important industry. Gujarat is the

second largest producer and exporter of marine products in the country.

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- -- -----~~~~~-

Veraval, Porbandar and Mangrol have developed as important fish

processing centers. Gujarat accounts for 3.75 lakh hectares of brackish water

area, out of the estimated 11.91 lakh hectares in India. 4·11

~J., AGRICULTURAL RESOURCES

Agriculture is an important natural resource used m industry. Gujarat is

known for the making of cash crops. Though Gujarat accounts for just 5% of

the geographical area of the country, the state accounts for 30% of

groundnut production, 18% of cotton production and 57% of tobacco

production of the country. The other important agricultural crops used as

industrial raw material include sugarcane, maize, rice, wheat, pulses,

vegetables and fruits like banana and mango. 4·11

~ ANIMAL WEALTH

Animal wealth is an important resource for industrial development,

especially dairy industry, leather processing and cattle feed industry. As per

the live stock census of 2003, Gujarat is having total live stock population of

228.5 lakh and 81.5 lakh poultry population. Gujarat is known for dairy

development. Almost all the districts of the state are having projects for milk

production and dairy products. This development has been in the cooperative

sector. The total average milk procurement is 60 lakh litres per day. AMUL

has come out as an international brand in milk and milk products. There has

also been development of leather processing industry. There are a good

number of leather collection centers in the state. There is scope for

manufacturing leather based products in the state. 4·11

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4.14 GUJARAT: INDUSTRIES STRUCTURE AND CLASSIFICATION

Industrial units having investment beyond Rs. I 0 crore in plant and

machinery are classified as large industrial units. An Entrepreneur or a

company desirous to set up a large project needs an approval from

Government of India (GOI) under the Industries (Development and

Regulations) Act. In July 1991, GOI liberalized the licensing procedure and

exempted almost all industries from taking industrial license, except few

industries, which are of strategic importance. As per the present licensing

procedure, only two industries are reserved for the public sector and four

industries, which are of strategic importance, need an industrial license. The

remaining industries are required to file Industrial Entrepreneur

Memorandum (IEM) with GOI, on observing certain requirements with

respect to location and environment. In case of setting up an Export

Oriented unit or setting up a project in Special Economic Zone (SEZ), a

Letter of Permission (LoP) is to be obtained from the Development

Commissioner (SEZs ). Thus, the procedure for starting a large industrial unit

needs either filing of IEM, obtaining Letter of Intent (LOI)/ Industrial

License or obtaining Letter of Permission (LoP) for 100% EOU or SEZ unit. 4.8

The filing of IEM with the Secretariat of Industrial Approvals (SIA), GOI is

considered as an vital parameter to know the level of industrial development

in a state. The number of IEMs filed for Gujarat since the introduction of

liberalization process in August 1991 till date is given as under: 4·8

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----------------------

Progress of Industrial Entrepreneur Memorandums - Gujarat & other states

(August 1991 to April 2007)

400,000

350,000

300,000

250,000

200,000

150,000

'KJO,OOO

50,000

781

0

I I I I I

State IEMNos Investment (In Rs. Crore)

GUJARAT 8,403 3,88,740

MAHARASHTRA 12,752 3,35,538

CHHA TISGARH 1,748 2,66,239

ORISSA 1,100 2,24,119

ANDHRA PRADESH 4,959 2,13,521

KARNATAKA 2,830 1,59,557

UTTAR PRADESH 6,155 1,57,663

TAMILNADU 6,041 1,49,968

JHARKHAND 781 1,12,643

ALL INDIA 70,076 25,89,304

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As observed above, Gujarat has received 8403 IEMs having investment of

Rs. 3,88,740 crore. In addition, the state has received big number of Lois i.e.

Letter of Intent and Letter of Permissions (LoPs) for 100% EOU s. The state

has put in place an effective system for monitoring of industrial approvals, in

order to know the status of these approvals and provide assistance in the

implementation of these projects. As on June 2007, 5021 projects with an

investment of Rs.1 ,44,702 crore have been implemented. In addition, 1869

projects having investment of Rs. 1,58,344 crore are at various states of . 1 . 4 8 Imp ementatwn. ·

4.15 MICRO, SMALL & MEDIUM ENTERPRISES

Government of India under Ministry of Micro, Small and Medium

Enterprises have enacted the Micro, Small and Medium Enterprises

Development Act 2006 and has put into operation effective from 2-10-2006.

Under the Act, Micro, Small and Medium Enterprises are classified as

under: 4·9

Enterprises Investment in Plant & Investment in Equipment

Machinery (Manufacturing) (service)

Micro Less than Rs. 25 lakhs Less than Rs. 1 0 lakhs

Small Rs. 25 lakhs - Rs. 5 crore Rs. 10 lakhs- Rs. 2 crore

Medium Rs. 5 crore - Rs. 1 0 crore Rs. 2 crore - Rs. 5 crore

The small and medium enterprises as classified above, are required to file

Entrepreneurs Memorandum (EM) Part-1 to District Industries Centre for

starting an industrial project. On completion of the project, the entrepreneur

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- -- ---~----------

is required to file Entrepreneurs Memorandum (EM) Part-II. Earlier there

was a system of granting registration to small-scale industrial units by the

District Industries Centre. These units are now required to file EM Part-II as

Micro, Small or Medium Enterprises as classified above. Gujarat has

witnessed remarkable industrial development in SME sector. There were

only 2169 small industries in 1961 at the time formation of the state. The

number of SSis increased constantly and has reached over to 3,12,000 by

September 2006. This may be observed as under: 4·10

NUMBERS OF SSI UNITS

1960 2169

1970 15849

1980 43742

1990 115384

2000 251888

2006 (upto September) 3,12,000

District Industries Centre in all districts of the state and the institutions such

as Gujarat Industrial Development Corporation (GIDC) and Gujarat State

Financial Corporation (GSFC) have provided boost to the growth of SSis.

Small-scale industries have also played an significant role in industrial

dispersal. Ahmedabad district leads in the state with the highest number of

SSis followed by Surat, Rajkot and other districts. This can be observed

from the following chart. 4·10

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18%. ____ -----,--------- 21%

5%

6%

c Ahmedabad • Surat

•Vadodara D Mehsana

•Jamnagar a Bha1.11agar

6%

oRajkot

•Kheda

D Other Districts

15%

oValsad

DBharuch

The small scale sector has witnessed development in different industrial

sectors. However, the trend of development is different compared with large

industries. The textile including hosiery and garments accounts for the large

number of SSis followed by other sectors. This can be observed from the

following Chart. 4"10

8ectrical Transport & Msc.

nd

6%

Non Metallic Mneral A"oducts

3%

Paper & A"inting 2%

SSIIndustry Group (% Share)

Others 12%

Textiles 14%

\

Olerrical & plastic Agro and F~ Wood A"oducts A"oducts A"ocessing

4% 6% 6%

182

Hosiery &

Garrrents 14%

Machinery & Parts

8%

Metal ndustries & Metal A"oducts

8%

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CLUSTER DEVELOPMENT

The small and medium enterprises developed in the state are instrumental in

forming industrial clusters. There are, in all 83 industrial clusters identified

in the state which are of different types of industries and developed at

different locations. The development of clusters has helped in creating

common facilities, developing market centers and brand name, development

of skill and, thereby, improving cost competitiveness in industrial units. The

important industrial clusters developed in the state are given as under: 4·1

Type of Cluster Location

Common Salt Anjar, Gandhidham, Dasada

Tobacco Processing Anand

Cotton Ginning Manavadar

Textiles Ahmedabad, Dholka, Surat

Textiles-Printing Jetpur

Textiles-Khadi Wadhvan

Textiles-Finishing Bhuj

Textiles-Synthetic Surat , Mangrol

Jari-Printing Surat

Readymade Garments Ahmedabad

Wood based Nadiad

Fabrication Ahmedabad, Baroda

Utensils Ahmedabad

Oil Engines Rajkot

Textile Stores Ahmedabad, Surat, Wadhvan

Power driven Pumps Ahmedabad, Mehsana

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Machine Tools Rajkot

Diamond Processing Ahmedabad, Surat

Books Publishing Ahmedabad

Data Processing Ahmedabad, Surat

The State Government has taken initiatives to gtve support for further

strengthening of these clusters through interventions such as technology up­

gradation, quality improvement, setting up of common facility centers, skill

development facilities, etc. with assistance from R&D institutions, as well as

industry associations. 4·1

4.16 INVESTMENT OPPORTUNITIES IN GUJARA T

Traditionally, Gujarat has been able to attract significantly highest levels of

investments, including Foreign Direct Investments (FDI) in India. In 2006,

over Rs. 229,928 crore worth of investments were made across 8,126

sectors. In the last five years, Gujarat has attracted highest investment

among all states in India and is worth Rs. 1 ,82,998 crore. The fixed capital

investment of the State stands at US$ 18 billion, accounting for 18 percent

of the fixed investment of India. This impressive investment focus has been

a prime driver for Gujarat to generate and sustain accelerated economic

growth4·3

Gujarat offers fantastic opportunities for investment in industrial sector.

There are possibilities for investment in new projects in petro-chemicals and

downstream industries, chemical sector including pharma products,

engineering, ceramics, agro & food processing, IT & BT and infrastructure

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projects. Gujarat Industrial Development Board (GIDB) has prepared shelf

of projects for infrastructure development. 4·7

Ever since its commencement, Gujarat has been showing a new direction to

the nation during the last 43 years. It is conquering new grounds and is ill at

ease with the Number One position among different states in the country. In

the 21st Century, its goal is to be compared with the economic growth rate

of developed nations. 4·7

With just 5 per cent of the India's total population and 6 per cent of

geographical area, Gujarat contributes to 16 per cent of the country's total

investment, 10 per cent of expenditure, 16 per cent of exports and 30 per

cent of stock market capitalization. The state's annual growth rate has been

10 to 12 per cent for the last five years. As per the data of Centre for

Monitoring Indian Economy (CMIE) of January 2003, Gujarat stands first in

industrialization in India. Projects worth Rs. 33,958 crore are under . 1 . 4 6 Imp ementat10n. ·

ADVANTAGE OF GUJARA T 4·6

.. Leader in various industrial sectors, Chemicals, Petrochemicals,

Drugs & Pharmaceuticals, Dairy, Cement & Ceramics, Textiles,

Engineering and Gems & Jewellery.

• Gujarat' s State Domestic Product (SDP) rising at an average growth

rate of 12.4% per annum in real terms (from 1994-2002).

.. Gujarat achieved as much as 35% of augmentation in its power

generation capacity during the period 1995-96 and 2000-200 I.

• Three LNG terminals to come up.

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• Gas grid system in operation.

• Gujarat in fact is one of the first few states in India to have

encouraged private sector investment in the infrastructure.

• Gujarat accounts for almost 21% share in the export basket of India.

• Longest coastline of 1600 kms, dotted with 41 ports, 1 major, 11

intermediate and 29 minor ports.

+ Country's first private sector ports, Pipavav and Mundra, are already

in operation. In addition, the liquid cargo( chemicals) handling port at

Dahej is also set up in joint sector and made operational.

• Excellent road network - exceeding 74000 kms. The Ahmedabad­

Baroda Expressway in Gujarat is now open for transportation.

• Highest number of Airports in India - 11 including an international

airport in Ahmedabad.

• An extensive rail network connecting all major centers in the state.

• Largest producer of Salt and Soda Ash in the country.

• Largest grass-root Petroleum Refinery in the world operational

atJamnagar.

... Network of quality educational institutions.

• Business-friendly environment and rich heritage of entrepreneurial

skill.

4.17 THE PATH AHEAD

The vitality and resilience of Gujarat's economy is unmistakably clear today

that is supported by a strong entrepreneurial culture of its people and well­

built infrastructure focus of its policy makers. All these factors provide the

State with a perfect platform to leapfrog to a much higher growth trajectory

that makes its performance equivalent to global benchmarks. This global

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comparative perspective is critical for Gujarat to dream bigger and achieve

the vision of much improved economic performance. The government of

Gujarat is vigorously working on various initiatives and ideas to continue the

momentum at a broader level and gain acceleration for its core industry

sectors. Moreover, this can lead to a more broad based improvement in the

living standards of all sections of Gujarat's society, thereby leading to an

inclusive growth environment. Given the impressive achievements of the

State so far, it would be beneficial for Gujarat,to focus on some key enablers

that would fulfill the above-mentioned outlook. The State government needs

to focus on enhancing three critical pillars of their economic expansion:

global networking and communication, building on the infrastructure and

bringing about focused implementation. Global branding, already an

advantage for the State, can bring improved investments; especially in

sectors that require huge infusion of capital. The existing infrastructure of

Gujarat now needs to achieve global standards and this would need active

policy intervention. And all of this would require focused and well- executed

programme implementation. To strengthen the pillars it is important that a

well planned and well sequenced action steps are taken. These could include

the following: 4·3

Establish 'Gujarat 2015 Advisory Council' involving the Government,

International thought leaders, national I state business leaders and

academicians. This council could act as a think tank for the

government that would originate initiatives and guide stakeholders.

• Creation of a mechanism to study specific recommendations and

develop time-bound roadmap, received by the state government and

submitted by the advisory council. This process would ensure that all

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the recommendations are scrutinized rigorously and converted into a

practical and detailed roadmap.

• Establish programme office to channel investments, monitor various

initiatives and fast track projects. This office would link various

elements of these growth projects, ensure speedier implementation

and monitor the progress in a planned manner.

Setting up of Gujarat desks in US, UK, Germany, Netherlands,

Taiwan, Japan, Australia, etc would serve as critical components of

global brand and communication strategy of the State. These desks

would actively promote the State capability and could utilize the

network of the global Guajarati community. All of the above

mentioned steps are indicative, and could result in a simple, but and

effective way to improve the investment and productive capability of

the state of Gujarat.

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4.1. Cluster Development, Industries in Gujarat, Industries commissioner,

Government of Gujarat, http:// ic.gujarat.gov.in /lnd_guj/

cluster_ development.html

4.2. Exports and Special Economic Zones (SEZ), Industries in Gujarat,

Industries commiSSioner, Government of Gujarat, http:

//ic.gujarat.gov.in /Ind_guj /export_sez.html

4.3. Gujarat: A Holistic Growth Story, KPMG India, www. in. kpmg.

Com /pdf/Gujarat.pdf

4.4. Industrial Scenario, Industries m Gujarat, Industries commissiOner,

Government of Gujarat, http:// ic. gujarat. gov.in /Ind_guj

/introductionn.htm

4.5. Infrastructure, Industries m Gujarat, Industries commissiOner,

Government of Gujarat,

http:/ /ic.gujarat.gov.in/Ind guj/infrastructure new .html - -

4.6. Investment Opportunities, http:// www.gujaratindia.com /business/

business l.htm

4.7. Investment Opportunities, Industries m Gujarat, Industries

commissioner, Government of Gujarat, http: //ic.gujarat.gov.in

/Ind _guj /investment_ opportunities.html

4.8. Large Industries, Industries in Gujarat, Industries commissiOner,

Government of Gujarat, http:// ic.gujarat.gov.in /Ind_guj

/large _industries.html

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4.9. Micro, Small & Medium Enterprises, Industries in Gujarat, Industries

commissioner, Government of Gujarat, http:// ic.gujarat.gov.in

/Ind _guj/ micro_ small_ medium_ enterprises.html

4.1 0. Micro, Small & Medium Enterprises, Industries in Gujarat, Industries

commissioner, Government of Gujarat, http:// ic.gujarat.gov.in

/Ind _guj/ micro-small-medium-enterprises-new .html

4.11. Natural Resources, Industries in Gujarat, Industries commissiOner,

Government of Gujarat, http ://ic.gujarat.gov.in /Ind_guj/

natural resources.html

4.12. Vibrant Gujarat, global investors' summit, 12-13, January 2007,

Gujarat: The Business State Of India, Textile and Apparels - sector

profile, report prepared by Ernst & Young

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