meghalaya - ibef

DECEMBER 2013 11For updated information, please visit www.ibef.org

MEGHALAYA ABODE OF CLOUDS

OCTOBER 2016

DECEMBER 2013 22

Executive Summary ………………..……. 3

Advantage Meghalaya …………………... 5

Vision …………………………………….... 6

Meghalaya – An Introduction ….…...….... 7

Budget 2016-17 ..................................... 18

Infrastructure Status ……………….…… 19

Business Opportunities ………….……... 32

Doing Business in Meghalaya ……….... 49

State Acts & Policies ………………….... 51

For updated information, please visit www.ibef.org


OCTOBER 2016


EXECUTIVE SUMMARY … (1/2)

Highest GSDP among

Northeast states

• Meghalaya’s GSDP stood at US$ 4.17 billion in 2015-16. The state’s GSDP grew at a

CAGR of 9.74% between 2004-05 and 2015-16.

State with the highest

rainfall

• Meghalaya, with an average annual rainfall of 1,150 cm, receives the highest amount of

rainfall in the country. The diverse range of soil types, including red-loamy and laterite,

support various agricultural crops like rice, maize, pulses, oilseeds, cotton, jute and mesta.

Strong floriculture

sector

• With a vascular plant diversity of 3,331 and more than 300 varieties of orchids, Meghalaya

has a strong floriculture sector and is one of the leading states in the Northeast in terms of

production and supply of cut flowers to mainland consumer markets.

Strong bamboo

processing sector• About 14% (3,108 square kilometres) of Meghalaya is covered by bamboo forests, and the

state is one of the leading bamboo producers in the country.


OCTOBER 2016

Source: Directorate of Economics & Statistics of Meghalaya, Central Statistics Office

, Government of Meghalaya, Department of Agriculture


Strong potential of

medicinal plants

industry

• Of the 6,000 medicinal plants in India, 834 plants, including the famous Himalayan Yew,

are in Meghalaya. Moreover, the state has eight of the top 20 medicinal plants that are

traded in the country and are in high demand.

Large hydroelectric

power potential• Meghalaya had an installed hydroelectric power capacity of 356.58 MW as of June 2016.

The potential for hydropower in the state is estimated to be around 3,000 MW.

Strong mining sector• Meghalaya, with abundant deposits of coal, limestone, kaolin feldspar, quartz, granite,

industrial clay and uranium and a small deposit base of sillimanite, bauxite, base metals

and apatite; has great industrial potential.

EXECUTIVE SUMMARY … (2/2)


Tourist destination• Meghalaya, one of the most picturesque states in the country, has two national parks and

three wildlife sanctuaries. It offers many adventure tourism opportunities like

mountaineering, rock climbing, hiking & trekking, water sports, etc.

OCTOBER 2016

Source: Central Electricity Authority, Ministry of Tourism


Growing demandConducive agro-climatic

conditions

• Meghalaya has favourable agro-climatic conditions that support agriculture, horticulture and forestry; there is potential for development in related areas.

• The state has abundant natural resources, which offer significant avenues for investment.

Policy and fiscal incentives

• In addition to the central government’s incentives for investments in the northeast region, the state offers a host of industrial incentives.

• Agro-processing, horticulture, minerals, tourism, electronics and IT have been identified as thrust sectors for development and

promotion.

Institutional support

• The state provides excellent institutional support through various central and state government agencies, namely North East Council, Ministry of Development of Northeastern region, and Meghalaya Industrial Development Corporation.

Rich labour pool

• Meghalaya has a literacy rate of 74.4%.

• The state has a strong higher education infrastructure.

• Moreover, a majority of the local population speaks and understands English.

GSDP

GSDP at

current prices

grew at a CAGR

of 9.74%

between 2004-

05 and 2015-16

Per Capita GSDP

Per capita GSDP

at current prices

grew at a CAGR

of 7.99%

between 2004-05

and 2014-15

ADVANTAGE MEGHALAYA


Advantage

Meghalaya

OCTOBER 2016


MEGHALAYA VISION 2030


Empowerment of

people for inclusive

growth

Promoting market

friendly policies &

institutions

Sustainable

development based

on comparative

advantageExpanding trade &

investments

Capacity

development of

people &

institutions

Infrastructure

development for

manufacturing &

markets

Ensuring

opportunities to

vulnerable

section of

population

• Responsive governance.

• Speedy clearances.

• Availability of land, water & power for

rapid industrialisation.

• Undertake measures to attract

investments.

• To open up rural roads.

• To set up cold storage

facilities.

• To promote market facilities

for farmers.

• To bring capacity to

undertake organic farming.

• To improve agricultural

productivity.

• To ensure balanced use of

fertilisers.

• Adoption & promotion of

scientific methods of

cultivation.

• Significant expansion of

irrigation.

• To build an efficient

network of transport.

• To ensure state of the art

infrastructure.

• To modernise Chittagong port.

• To build border trade

infrastructure.

• To develop diplomatic

initiatives.

• To improve formal education

system.

• To draw up & implement plan

schemes.

• To ensure responsive and

market friendly governance.

• To provide education, healthcare &

employment opportunities to

vulnerable sections of society.

• Woman empowerment.

Vision

2030

• To ensure regular & quality

power supply.

• To provide access to

Chittagong port.

Source: National Institute of Public Finance and Policy

OCTOBER 2016


MEGHALAYA FACT FILE

Meghalaya is located in the Northeast of India. The state

shares its border on the north and east with Assam and on

the south and west with Bangladesh.

English is the official language of Meghalaya. Khasi, Pnar

and Garo are the other principal languages.

Meghalaya is the wettest state in the country with an

average annual rainfall of 1,150 cm. It has numerous rivers,

the major ones being Manda, Damring, Janjiram, Ringge,

Ganol, Simsang, Khri, Umtrew, Umiam, Umkhem, Kupli,

Kynshi, Umiam Mawphlang and Umngot.

Meghalaya has diverse soil types including red-loamy,

laterite, red and yellow soils. These soils have fine textures

ranging from loam to silty-loam and alluvial soils. These

types of soils support a variety of agricultural crops.

Shillong, Sohra, Tura Jowai, Nongstoin, Williamnagar,

Nongpoh and Baghmara are some of the key cities in the

state.

Parameters Meghalaya

Capital Shillong

Geographical Area (sq km) 22,429

Administrative Districts (No) 7

Population Density (persons per sq

km)132

Total Population (million) 2.97

Male Population (million) 1.49

Female Population (million) 1.48

Sex Ratio (females per 1,000 males) 989

Literacy Rate (%) 75.48


Source: Government of Meghalaya, Census 2011

OCTOBER 2016


MEGHALAYA IN FIGURES … (1/2)


OCTOBER 2016

Parameter Meghalaya All states Source

Economy 2015-16 2015-16

GSDP as a percentage of all states’ GSDP 0.21 100.0 Central Statistics Office, TechSci Estimates

GSDP growth rate (%) 20.0 8.64 Central Statistics Office, TechSci Estimates

Per capita GSDP (US$) 1,404.5 1,546 Central Statistics Office, TechSci Estimates

Physical Infrastructure

Installed power capacity (MW) 510.45 304,505.75 Central Electricity Authority, as of June 2016

Wireless subscribers (No) 11,105,7701

1,033,157,014Telecom Regulatory Authority of India, as of

May 2016

Internet subscribers 3,900,0001 334,340,000Telecom Regulatory Authority of India, as of

January 2016

National Highway length (km) 1,204.36 100,087.08 NHAI & Roads and Building Department

Airports (No) 1 125 Airports Authority of India

1Combined figures for the Northeast states comprising Arunachal Pradesh,

Assam, Meghalaya, Manipur, Nagaland, Sikhim, Tripura


MEGHALAYA IN FIGURES … (2/2)


1FDI inflows for RBI’s (Reserve Bank of India’s) Guwahati-region, which includes

Assam, Arunachal Pradesh, Manipur, Meghalaya, Mizoram, Nagaland and Tripura

OCTOBER 2016

Parameter Meghalaya All states Source

Social Indicators

Literacy rate (%) 75.48 73.0 Census 2011

Birth rate (per 1,000 population) 23.9 21.6 SRS Bulletin

Investments

FDI equity inflows (US$ billion) 0.0941 288.51Department of Industrial Policy & Promotion,

From April 2000 to March 2016

DECEMBER 2013 1010

At current prices, Meghalaya’s total GSDP* stood at US$

4.17 billion during 2015-16.

The state’s GSDP grew at a CAGR of 9.74% between 2004-

05 and 2015-16.

GSDP of Meghalaya at current prices (in US$ billion)


ECONOMIC SNAPSHOT – GSDP



GSDP* - Central Statistical Organisation

OCTOBER 2016

1.5 1.61.9

2.4 2.52.7

3.23.6

3.4 3.5

4.2 4.17

20

04-0

5

20

05-0

6

20

06-0

7

20

07-0

8

20

08-0

9

20

09-1

0

20

10-1

1

20

11-1

2

20

12-1

3

20

13-1

4

20

14-1

5

20

15-1

6

CAGR

9.74%

DECEMBER 2013 1111

At current prices, Meghalaya’s total NSDP# stood at US$

3.41 billion during 2015-16.

The state’s NSDP grew at a CAGR of 9.17% between 2004-

05 and 2015-16.

NSDP of Meghalaya at current prices (in US$ billion)


ECONOMIC SNAPSHOT – NSDP



NSDP# - calculated using per capita NSDP x Population in million

OCTOBER 2016

1.31.5

1.72.1 2.2 2.3

2.83.1 3 3.1

3.733.41

20

04-0

5

20

05-0

6

20

06-0

7

20

07-0

8

20

08-0

9

20

09-1

0

20

10-1

1

20

11-1

2

20

12-1

3

20

13-1

4

20

14-1

5

20

15-1

6

CAGR

9.17%

DECEMBER 2013 1212

Meghalaya’s per capita GSDP in 2015-16 stood at US$

1,404.5 in comparison with US$ 603 in 2004-05.

Per capita GSDP of the state grew at a CAGR of 7.99%

between 2004-05 and 2015-16.

The government aims to increase the per capita GSDP of

the north eastern region to US$ 1,450.88 by 2019-20.

Per capita GSDP (US$)


ECONOMIC SNAPSHOT – PER CAPITA GSDP



Per Capita GSDP^ - calculated using GSDP million USD / Population in million

OCTOBER 2016

603670

768

960 988 1,040

1,225 1,1871,092 1,104

1,298.5

1,404.5

20

04-0

5

20

05-0

6

20

06-0

7

20

07-0

8

20

08-0

9

20

09-1

0

20

10-1

1

20

11-1

2

20

12-1

3

20

13-1

4

20

14-1

5

20

15-1

6

CAGR

7.99%

DECEMBER 2013 1313

Meghalaya’s per capita NSDP in 2015-16 stood at US$

1,149.28 in comparison with US$ 537 in 2004-05.

Per capita NSDP of the state grew at a CAGR of 7.16%

between 2004-05 and 2015-16.

Per capita NSDP (US$)


ECONOMIC SNAPSHOT – PER CAPITA NSDP



Per Capita NSDP^ - Economic and Statistical Organisation, Punjab (ESOPB)

OCTOBER 2016

537595

686

850 880 910

1,080 1,045959 971

1,153.211,149.28

20

04-0

5

20

05-0

6

20

06-0

7

20

07-0

8

20

08-0

9

20

09-1

0

20

10-1

1

20

11-1

2

20

12-1

3

20

13-1

4

20

14-1

5

20

15-1

6

CAGR

7.16%

DECEMBER 2013 1414

At a CAGR of 16.13%, the secondary sector was the fastest

growing among the three sectors during 2004-05 to 2015-

16. Growth has been driven by manufacturing, construction,

electricity, gas & water supply.

The tertiary sector, the largest contributor to Meghalaya’s

economy, expanded at a CAGR of 15.23% between 2004-

05 and 2015-16. It was driven by trade, hotels, real estate,

finance, insurance, transport, communications and other

services.

The primary sector grew at a CAGR of 9.47% between

2004-05 and 2015-16.

Percentage distribution of GSDP


ECONOMIC SNAPSHOT – PERCENTAGE DISTRIBUTION OF GSDP


Source: Central Statistical Organization, TechSci Research Estimates

Sector-wise %share of GSDPµ -Geometric mean of YoY calculation from 2004-05 to 2014-15

OCTOBER 2016

38.20%

14.32%

22.40%

30.85%

39.40%54.83%

2004-05 2015-16

Primary Secondary Tertiary

CAGR

9.47%

15.23%

16.13%

DECEMBER 2013 1515

CropAnnual production:

2015-16 (‘000 MT)

Fruits 409.25

Vegetables 506.08

Flowers 2.61

Spices 88.20

Plantation crops 29.18

Honey 0.20

Citrus fruits, pineapples, bananas, papayas, plums, peaches and

apricots are the major fruits grown in Meghalaya. Turmeric,

ginger, black pepper and bay leaves are the major spices

cultivated in Meghalaya. The state is also promoting tea

cultivation in selected areas.

The state has achieved success in the cultivation of non-

traditional crops like tea, cashew nut, oilseeds, tomato,

mushroom, wheat, etc.

The state government is making use of eco-friendly bio-fertilisers

and pesticides, bio-control agents, integrated nutrient

management and green manure for eliminating the deleterious

effects of chemical fertilizers and pesticides on soil. Under budget

2016-17, the Government of Meghalaya proposed an outlay of

US$ 42.64 million for agriculture and horticulture sectors in the

state.

Under the 12th Five Year Plan, valid from 2012 to 2017, US$

54.66 million was proposed to be invested for improving the

agriculture sector of the state. One of the objectives under the

12th Five Year Plan is to enrich the rice production in the state.

The government allocated US$ 2.49 million for agricultural

research and education and US$ 49.77 million for Rashtriya

Krishi Vikas Yojana (RKVY) aiming at attracting public

investment in agriculture and allied sectors.


ECONOMIC SNAPSHOT – AGRICULTURAL PRODUCTION


Source: Ministry of Agriculture, Government of India, State Budget 2016-17

OCTOBER 2016

As per budget 2016-17, the government will be putting

emphasis on propagation and promotion of indigenous

crops including Sophie, Sohiong, etc., during 2016-17.

Moreover, persistent implementation of Mission Organic,

an initiative taken by the state government for the

endorsement of organic farming, would be undertaken in

the state.

DECEMBER 2013 1616

According to the DIPP, cumulative FDI inflows1 to the

Northeastern states during April 2000 to March 2016, stood

at US$ 94 million.

For attracting more investments and coming up with a

strategy to generate skilled and competitive work force, the

Government of Meghalaya has decided to establish an

Investment Promotion Council in the state, during 2016-17.

The industry sector is the fastest growing segment in

the state’s GSDP at constant price between 2004-05 and

2014-15. In 2004-05, the contribution of the services

sector in state’s GSDP at constant prices was US$

382.7 million, which reached US$ 682.3 million in 2014-

15.

FDI equity inflows1, 2008-09 to 2015-16 (US$ million)


ECONOMIC SNAPSHOT – FDI INFLOWS & INVESTMENTS


Source: Department of Industrial Policy & Promotion1Including Assam, Arunachal Pradesh, Manipur,

Mizoram, Nagaland and Tripura

OCTOBER 2016

42

118

15

0.65

10

20

08-0

9

20

09-1

0

20

10-1

1

20

11-1

2

20

12-1

3

20

13-1

4

20

14-1

5

20

15-1

6


ECONOMIC SNAPSHOT – EXPORTS TRENDS


Overall exports from the state increased from US$ 84.20 million in

2010-11 to US$ 86.92 million in 2014-15.

An EPIP has been set up in Byrnihat over an area of 259 acres to

promote exports. The unit is located at Byrnihat.

Meghalaya shares a 443-km border with Bangladesh and has 10

land custom stations to aid exports.

The key commodities exported to Bangladesh are coal, limestone,

boulder stone, agricultural produce and raw hides and skins.

As per budget 2016-17, the state government is focusing on

establishing and developing export infrastructure with

enhancement and improvement of land custom stations, integrated

check posts, etc. along with creating Border Haats across the

border of India-Bangladesh.

Source: Ministry of Commerce, News Article

EPIP: Export Promotion Industrial Park

OCTOBER 2016

Export trends (In US$ million)

84.20

86.92

2010-11 2014-15

Status of industrial units at EPIP, Byrnihat

Status Of industrial units Number of industrial units Total area occupied (In acres)

Units already established 25 76.92

Under implementation 12 26.71

Yet to be implemented 3 4.19


SectorBudget

(US$ million)

District councils 15.27

Power 24.24

Roads and bridges 72.07

Transport 5.24

Education 103.42

Sports and Youth Affairs 6.24

Health and Family Affairs 71.79

Arts and Culture 1.98

Social Welfare 4.13

Food, Civil Supply and Consumer Affairs 12.98

Revenue and Disaster Management 0.40

Information Technology 2.59

Tourism 5.43

Civil Defence and Home Guards 0.52

Information & PR 0.87

BUDGET 2016-17


Sector Budget (US$ million)

Water supply and sanitation 38.64

Agriculture and horticulture 42.64

Fisheries 6.11

Animal husbandry and veterinary 8.09

Water resources20.98

Soil and water conservation 30.55

Sericulture and weaving 2.79

Forest and environment 7.33

Community and rural development 124.02

Cooperation 4.16

Border areas development 5.11

Commerce and industries 5.22

Mining and geology 0.48

Urban development 16.39

Housing 3.36

Personnel 0.93

Labour 3.74

Prisons 0.70

OCTOBER 2016


The state is well connected to its neighbouring north-

eastern states and other parts of India through five National

Highways: NH-40, NH-44, NH-51, NH-62 and NH-127B.

During 2015-16, at a cost of US$ 5.80 million, 63 km long

kutcha roads, 22 km long new roads and 180 running

metres of the RCC bridges were fabricated in the state

under the state plan.

The Meghalaya Transport Corporation provides bus

transport services across the state.

Under the 12th Five Year Plan, valid from 2012 to 2017,

US$ 3.98 million was proposed to be invested for

development of roads and bridges in the state.

Under the state budget for fiscal 2016-17, US$ 72.07 million

was allocated for development of roads and bridges in the

state.

Road type Road length (km)

National highways 1,204.36

State highways 1,134

Rural roads 1,569

Source: Maps of India

PHYSICAL INFRASTRUCTURE – ROADS…(1/2)


Source: Ministry of Road Transport & Highways

OCTOBER 2016

As of 2015-16, around 218 eligible habitations have been

linked along with the accomplished road length of 687 km.

Moreover, during 2016-17, the state government is targeting to

connect 60 habitations, which would cover a total road length

of 300 km.


PHYSICAL INFRASTRUCTURE – ROADS…(2/2)


OCTOBER 2016

Source: NHAI

National highway length completed (km)

292.91 303.18

88.00

2012-13 2013-14 2014-15

Pradhan Mantri Gram Sadak Yojana (PMGSY) was

launched in 2000 with the objective of connecting eligible

rural habitants. During 2015-16, up to October 2015, about

10.03 km of road network was completed across Meghalaya

and 3 habitant were benefited.

Pradhan Mantri Gram Sadak Yojana (PMGSY) in

Meghalaya (During 2015-16- up to October 2015)

Habitants connected 3

Length completed 10.03

Total expenditure (US$ million) 9.26

Source: NHAI

Note: 1up to October 2015-16

Source: PMGSY

Expenditure on road works under PMGSY in Kerala (US$

million)

5.76

12.72

9.27

2013-14 2014-15 2015-16¹


PHYSICAL INFRASTRUCTURE – RAILWAYS AND AIRPORTS


• The nearest railway station is in Guwahati, Assam. New railway lines on Azra-Byrnihat, Dudhnoi-Mendipathar and Byrnihat-Shillong

routes are under construction.

• The foundation stone of Mendipathar railway station was laid in September 2013. The total length of the broad gauge railway route

from Dudhnoi (Assam) to Mendipathar (Meghalaya) is 19.75 km.

• In May 2016, new passenger trains were flagged off by Prime Minister Narendra Modi. Moreover, the railway project of Byrnihat-

Shillong in Meghalaya is expected to be commissioned by 2019-20.

Railways

• Meghalaya has two airports located in Shillong and Baljek. The Shillong

airport (Barapani Airport) is fully operational, while the Baljek Airport is under

construction/upgradation.

• In 2015, the state government allocated land to the Airports Authority of India

for the expansion of Umroi Airport, Shillong.

• The Airports Authority of India has taken up a proposal to upgrade the

Shillong airport to enable large aircrafts to land.

• Helicopter services are available from Guwahati to Tura

• In 2015-16, the domestic passenger traffic at the Barapani was 11,565

people along with aircraft movement of 500.

Airports

OCTOBER 2016

Barapani Airport 2014-15 2015-16

Total passenger traffic 10,346 11,565

Aircraft movement

(nos.)432 500

DECEMBER 2013 2222

Source: Central Electricity Authority

As of June 2016, Meghalaya had a total installed power

generation capacity of 510.45 MW, comprising 313.03 MW

from state utilities and 197.42 MW from central utilities. Of the

total installed power generation capacity, 356.58 MW was

contributed by hydropower, 122.84 MW by thermal power,

and 31.03 MW by renewable power.

During 2015-16, 315 KW SPV power plants of different

capacities were being installed across government buildings

as well as rooftops in the state. Work on manufacturing of 10

KW wind solar hybrid system in the government college at

Tura has also been taken up during 2015-16.

Under the 12th Five Year Plan, valid from 2012 to 2017, the

state government proposed an outlay of US$ 603.02 million,

wherein, 11.97% was proposed for power generation, 28.95%

for power transmission and distribution and the rest was

proposed for survey and investigation, re-engineering works,

etc. Another US$ 3.98 million was proposed for non-

conventional sources of energy.


PHYSICAL INFRASTRUCTURE – POWER…(1/3)


OCTOBER 2016

As per state budget 2016-17, to strengthen the distribution

system as well as sub-transmission systems of the state,

the state government has proposed to initiate system

improvement works under IPDS (Integrated Power

Development Scheme), during 2016-17.

Installed power capacity in Meghalaya (MW)

288.10 289.60 289.60

373.60

455.30 455.30494.80 510.45

2008-09 2009-10 2010-11 2011-12 2012-13 2013-14 2014-15 2015-16




OCTOBER 2016

Rural electrification was taken up as a key initiative

under the Deendayal Upadhyaya Gram Jyoti

Yojana, which was launched in 2015. The

operational electrification scheme, that is, Rural

Electricity Infrastructure and Household

Electrification, was subsumed in the scheme

launched in 2015. During 2015-16 (April to

November), one village was electrified.

As of 31st October 2015, 3 projects were closed in

Meghalaya under Rural Electricity Infrastructure and

Household Electrification, for which US$ 76.17

million was sanctioned and 88% of the sanctioned

amount was released.

Status of rural electrification in Meghalaya

(As of November 2015)

Area type Nos.

Total villages 6,459

Electrified villages 5,548

Un-electrified villages 911

Total rural households 4,22,000

Electrified rural households 3,14,000

Un-electrified rural

households1,08,000

Source: Deendayal Upadhyaya Gram Jyoti YojanaStatus of rural electrification in Meghalaya under

DDUGJY scheme

(As of November 2015)

Area type Nos.

Un-electrified villages 1,842

Intensively electrified villages 2,947

Electrified BPL households 104,383

Source: Deendayal Upadhyaya Gram Jyoti Yojana




OCTOBER 2016

Central financial assistance/subsidy for

renewable power projects (US$ million)

0.30

1.481.39

2012-13 2013-14 2014-15⁽¹⁾

Source: Indian Renewable Energy Development Agency

Solar Energy Corporation of India1As of March 2015

To popularise renewable energy technologies, Meghalaya

Non-Conventional and Rural Energy Development Agency is

implementing several projects to utilise energy sources such

solar, wind, biogas, biomass. For the overall power sector,

the state government proposed an outlay of US$ 24.24

million under the budget 2016-17.

As per budget 2016-17, under the New and Renewable

Energy Programme, the state government is aiming towards

implementation of solar as well as off-grid thermal

applications in the state.

DECEMBER 2013 2525

Source: Telecom Regulatory Authority of India, 1Combined figures for the Northeast states comprising Arunachal Pradesh,

Assam, Meghalaya, Manipur, Nagaland, Sikhim, Tripura, 2As On January 2016

According to Telecom Regulatory Authority of India

(TRAI), Northeast India had 11.1 million wireless

subscribers and 123,420 wireline subscribers as of May

2016.

By the end of May 2016, 428,952 subscribers had

submitted request for mobile number portability in the

Northeast. Moreover, total tele-density in the Northeast

region was recorded to be 80.3% as of May 2016. The

total number of post offices in the Northeast, as of

December 2015, was recorded at 2,920.

As of May 2016, North East region had 123,270 wireline

subscribers for BSNL and 1,566,834 BSNL wireless

subscribers.

The Department of Telecommunications (DoT) initiated a

project in 2011, the National Optical Fibre Network

(NOFN), with an aim of connecting 250,000 gram

panchayats across the country with broadband services.


PHYSICAL INFRASTRUCTURE – TELECOM


OCTOBER 2016

Performance Status of NOFN project (As of April 2016)

No. of GPs in Phase 1 638

Pipe laid (km) 988

Cable laid (km) 229

GPs for which cable laid 52

Source: Ministry Of Communications & Information Technology

Telecom infrastructure (As of May 2016)

Wireless subscribers1

11,105,770

Wire-line subscribers1

123,420

Internet subscribers1

3,900,0002

Rural Internet subscribers1

2,040,0002

Urban Internet subscribers1

1,860,0002

DECEMBER 2013 2626

During 2015-16, the state government finished re-development work of parking lots as well as manufacturing of ISBT at

Tura, which are expected to be functional very soon. Further, the Government of India has also allocated a new project of

manufacturing and developing parking-cum-commercial facility centre at Tura.

Under the 12th Five Year Plan, valid from 2012 to 2017, the state government proposed an outlay of US$ 227.27 million for

urban infrastructure development, with the state government focussing on urban planning and development of small towns.

Of the total proposed outlay for urbanization, 7.92% was proposed for infrastructure development for Shillong city transport,

29.20% for township development in Shillong, 10.95% for urban development projects in Shillong and the rest for assistance

to local bodies, environmental improvement of urban slums, etc.

Under budget 2016-17, the state government proposed an allocation of US$ 16.39 million for urban development in the state

with improvisations in physical and social infrastructure in order to improve the standard of living of people in the state.

As per budget 2016-17, the additional units at Nongmynsong, housing project for urban poor as well as Solid Waste

Management Project at Tura are estimated to accomplish their operations very soon in the state. Structuring work of

housing units at Nongmynsong and Mawprem was initiated in the state during 2015-16.

In addition to these projects, various projects, such as, enhancement of fire brigade junctions as well as polo market area,

etc., have been taken up by the state government during 2015-16 for making the city of Shillong more beautiful.

Under budget 2016-17, the state government proposed an allocation of US$ 38.64 million for implementing water supply

projects and sewerage projects across the state.


DEVELOPMENT PROJECTS: URBAN INFRASTRUCTURE


OCTOBER 2016

Source: Government of Meghalaya. State Budget 2016-17

DECEMBER 2013 2727

Contract Authority Sector-Sub SectorInvestment

(US$ million)Stage

National Highways Authority of India

Jorabat-Shillong NH-40 Road Project Transport - Road and Bridges 81.88 Completed

Road Upgradation (Shillong) Project Transport - Road and Bridges 34.54Completed

Source: Department of Economic Affairs, Government of India,

Public Private Partnerships in India


DEVELOPMENT PROJECTS: PUBLIC-PRIVATE PARTNERSHIP (PPP) PROJECTS


Meghalaya has two operational projects operational under the PPP mode as of July 2016.

OCTOBER 2016

As per the budget 2016-17, an amount of US$ 16.41 million has been estimated under the Government of India’s AMRUT (‘Atal

Mission for Rejuvenation and Urban Transformation’) Programme for the enhancement of Shillong’s septage as well as sewerage

management systems for the period of 2016-20.

Further, Shillong has been selected under the Smart Cities Mission of Government of India and the proposed amount for this

mission is recorded to be US$ 222.97 million which will be used for the development of Shillong.

DECEMBER 2013 2828

Meghalaya has a literacy rate of 75.48%; the male literacy

rate is 76.0% and the female literacy rate is 72.9%.

In 2014-15, the number of teachers in secondary

schools and upper secondary schools of Meghalaya

were 4,621 and 526, respectively. In 2014-15, there were

112 higher secondary schools, with East Khasi Hills

accounting for 44 higher secondary schools.

As per the state budget 2016-17, the state government

allocated US$ 1.52 million for setting up engineering

colleges in Jowai and Ampati during 2015-16.

Further, an allocation of US$ 0.13 million has been made by

the state government for financing excursion as well as

educational tours for government college students during

2015-16.

Under 12th Five Year Plan, valid from 2012 to 2017, the state

government proposed an outlay of US$ 497.68 million for

school education & literacy, higher education and training.

Under budget 2016-17, the state government proposed an

allocation of US$ 103.42 million for development of the

education sector in the state.

SOCIAL INFRASTRUCTURE – EDUCATION

Source: Department of Education, Government of Meghalaya

University Grants Commission, North East Resources Databank


OCTOBER 2016 For updated information, please visit www.ibef.org

Educational infrastructure (2014-15)

Total universities 13

Central universities 3

State universities 1

Private universities 9

Colleges 63

Government colleges 6

Medical colleges 1

Polytechnics 3

Engineering colleges 2

Secondary schools 783

Higher secondary schools 112

Primary schools 6,612

DECEMBER 2013 2929

Source: Ministry of Health & Family Welfare,

Central Bureau of Health Intelligence, Government of IndiaHealth indicators (2014-15)

Birth rate1

23.9

Death rate1

7.6

Infant mortality rate2

47

NEIGRIHMS, which has been instituted to provide medical

education, has a 500 bed super-specialty hospital; expansion

works are underway.

Under budget 2016-17, the state government proposed an outlay

of US$ 71.79 million for health and family welfare in order to

promote health care in the state by consolidating the existing

healthcare infrastructure.

As per budget 2016-17, the construction work of Tura

Government Medical College is expected to start after the

successful approval of Detailed Project Report (DPR) by the

Ministry of Health & Family Welfare. The state government has

initiated the establishment of PPP mode medical college at the

site of Reid Provisional Chest Hospital located in Shillong during

2015-16.


SOCIAL INFRASTRUCTURE – HEALTH


Health infrastructure (2014-15)

Primary health centres 141

Sub-centres 603

Community health centres 40

District hospitals 21

Mobile medical units

(MMU)/vehicles21

Ayurveda hospitals 4

Ayurveda dispensaries 6

Homoeopathy hospitals 7

Homoeopathy dispensaries 6

Source: Sample Registration System (SRS) Bulletin September 20141Per thousand persons, 2Per thousand live births

OCTOBER 2016

To bring affordable and diagnostic healthcare

within the reach of the poor in Meghalaya, the

government has allocated a sum of US$ 1.52

million.

DECEMBER 2013 3030

Meghalaya has various tourist attractions such as caves, national parks and sanctuaries, sacred groves, waterfalls, lakes and rivers

– making it an ideal tourism destination. Meghalaya sports a 18-hole natural golf course, which is a major sport and corporate

attraction.

Bara Bazar, Jail Road, G.S. Road, Police Bazar, Glory’s Plaza, Meghaloom, Nagaland Handloom and Handicrafts, Assam

Emporium, India Emporium, Khadi Gramodyog, Manipur Emporium, Tantuja, and Purbashree are the key shopping areas in

Meghalaya. Williamson Sangma State Museum, Don Bosco Centre for Indigenous Cultures, Entomological Museum (Butterfly

Museum) are the famous museums of Meghalaya depicting its rich cultural heritage.

Under budget 2016-17, the state government proposed allocation of US$ 1.98 million for various art and cultural programs for the

development, augmentation and preservation of cultural heritage of the state. In April 2015, the state government laid the foundation

of Shillong International Centre for Performing Arts and Culture (SICPAC) and an amount of US$ 25.10 million was proposed for the

construction of the centre. As per budget 2016-17, construction work of this centre is under process.

During 2015-16, the state government initiated the construction of show-cases, galleries, etc. and improvement of golf-course & golf-

club premises in Shillong. In addition, the Central Library of the state was also digitised and will be enhanced further with the

deployment of new technologies during 2016-17. Various mega events including the Northeast songs and dances, 18 degree

festivals, CALM festival, cultural Panorama, etc. also took place in the state during 2015-16.

With a view to accomplish the goal of endorsing sports and encouraging the youth of the state, the state government decided to

continue providing financial assistance across the sector. During 2015-2016, the state government also initiated Chief Minister’s

Football Tournament, under the Mission Football, in order to make football popular among the youth of the state.

Under the 12th Five Year Plan 2012-17, the state government proposed an outlay of US$ 29.86 million for preservation,

documentation, research, promotion, development and augmentation of arts & culture


CULTURAL INFRASTRUCTURE


OCTOBER 2016

Source: Meghalaya State Portal, State Budget 2015-16

DECEMBER 2013 3131

Meghalaya has industrial estates at Shillong, Nongstoin, Mawlyndep, Tura, Williamnagar and Khliehtyrshi; an industrial area

at Umiam; an EPIP at Byrnihat; and a growth centre at Mendipathar.

District Industries Centres are functional under the Meghalaya Industrial Development Corporation in each district and are

involved in industrial infrastructure development of the district.

The state has constituted a single-window clearance agency for industrial investment approvals.

Techno-Economic Feasibility Reports (TEFRs) are available with the Meghalaya Industrial Development Corporation for

poultry, agro-based industry, fruit processing, paper-grade lime, alcohol from tapioca, calcium carbonate extraction,

ceramic-glazed tile manufacturing, marble and tile and meat processing.

In January 2015, the central government announced plans to incentivise airlines to increase air connectivity to the

Northeastern states, and to Bollywood to shoot films in the region.

During 2015-16, under RIDF (Rural Infrastructure Development Fund), a total of 15 projects were under different

implementation stages. Moreover, with the provision of World Bank, implementation of “Community led Ecosystem

Management 24 Project (CLEMP)” is expected to be witnessed in the state during 2016-17.


INDUSTRIAL INFRASTRUCTURE


OCTOBER 2016

Source: Meghalaya State Portal

DECEMBER 2013 3232

The natural resources, policy incentives and infrastructure in the

state favour investments in the tourism, hydroelectric power,

manufacturing and mining sectors.

The agriculture sector contributed around 11.5% to the

state’s GSDP in 2014-15

Mineral, horticulture, electronics, IT, export oriented units and

tourism have been identified as the thrust sectors for industrial

development. The state government is taking various initiatives

for the development of the small scale industries in the state.

These include:

Improving infrastructure.

Implementation of schemes like PMEGP and MSE-CDP.

Skill development initiatives.

Increasing credit to the MSMEs.

The Commerce & Industries Department of Meghalaya and its

constituent unit, Meghalaya Industrial Development Corporation,

are jointly responsible for the development of industrial

infrastructure in the state

Under the 12th Five Year Plan, valid from 2012 to 2017, the state

government proposed an outlay of US$ 24.88 million for

promoting 4,000 micro, small & enterprises and generating

employment opportunities. The proposed outlay for village and

small industries was US$ 8.46 million and US$ 14.60 million was

sanctioned for large and medium enterprises.


KEY INDUSTRIES


Source: Meghalaya Directorate of Industries, DIPP

PMEGP - Prime Minister's Employment Generation Programme,

MSE-CDP - Micro and Small Enterprises – Cluster Development Programme

OCTOBER 2016

Year IEMs filedProposed investments

(in US$ million)

2010-11 14 287.49

2011-12 6 427.01

2012-13 3 299.77

2013-14 5 26.38

2014-15 1 9.62

2015-16 2 4.98

Key Industries in Meghalaya

Agriculture and food

processingHydroelectric power

Floriculture Dairy and livestock

Horticulture Handloom and

handicraftsMining

Cement Steel processing

Tourism Sericulture

DECEMBER 2013 3333

Meghalaya is one of the leading north-eastern states in terms of production and supply of cut flowers to mainland consumer markets.

The state’s climate, particularly the areas near Shillong in East Khasi hills district, is well suited for cut flower production.

The existing industry is at a nascent stage and has the potential to be developed and promoted for export-oriented businesses.

During 2015-16, the total production of flowers was recorded to be 2.61 thousand tonnes.

Decorative plants such as dahlia, canna, gladiolus, begonia, tropaeolum, aster, polargonium, antirrhinum, crinum, celosia, kniphofia,

impatiens, chrysanthemum, petunias, pansy, calendula, sweet peas and salvia are found in abundance in the state.


KEY INDUSTRIES – FLORICULTURE … (1/2)


OCTOBER 2016

Funds for promotion of floriculture in Meghalaya (US$ Thousand)

Year Funds allocated Funds released

2011-12 499.79 493.43

2012-13 381.02 336.27

2013-14 506.60 490.84

2014-15 76.97 76.97

Source: Meghalaya Directorate of Industries


KEY INDUSTRIES – FLORICULTURE … (2/2)


The Floriculture Development Scheme in the state is

focused on promoting and raising awareness about the

sector.

This is done by providing incentives to farmers and

motivating them to grow traditional as well as non-traditional

floral crops and houseplants for commercial purposes.

The government of India started the “Technology Mission

Scheme on Horticulture” to promote and assist commercial

floriculture in Meghalaya.

During 2015-16, the area under production for cut flowers

was recorded to be 0.06 thousand hectares.

The state government is introducing various initiatives in

order to educate the farmers about the advantages of

growing vegetables in polyhouses.

New flower crops of heliconia, chrysanthemum,

zanthedescia, iris, gladioli, and foliage plants of leather leaf

fern, Xanadu, goldenrod, and Limonium have been

introduced and are slowly gaining acceptance in the farming

community.

Area under production of cut flowers (in hectares)

The state government has set up a model floriculture centre

at the district of Ri-Bhoi of the state, during 2015-16, for the

development of floriculture sector in the state.

OCTOBER 2016

Source: Ministry of Agriculture

35

60

2009-10 2015-16

CAGR

9.40%


KEY INDUSTRIES – MEDICINAL PLANTS


In 2015, in order to link the farmers with the herbal industry of the

state, the Meghalaya Basin Development Authority has signed a

memorandum of understanding with Central Institute of Medicinal

and Aromatic plants (CIMAP).

The important and recognised medicinal plants found and

cultivated in Meghalaya are Ipecac, Rauvolfia serpentina,

Cinchona, Abromine, Chaulmoogra Oil, Croton Oil, Eucalyptus,

Castor Oil, Chiretta, Solanum khasianum, Casearia vareca,

Zanthoxylum armatum, Hedyotis scandens, Paederia foetida,

Salix alba, Anacardium occidentale, Cinnamomum and Taxus

baccata.

Eight out of top 20 highly demanded and traded medicinal plants

in India are found in Meghalaya.

Under the 12th Five Year Plan (2012-2017), the state has been

assigned with development works including afforestation on

clan/community land through Joint Forest Management

Committees with a major push in the medicinal plants sector.

OCTOBER 2016

National AYUSH Mission (Centrally sponsored

scheme)

Year Funds allocated

(US$ million)

Funds released

(US$ million)

2014-15 0.38 0.22

2015-16 0.51 0.15

Source: Ministry of AYUSH, Meghalaya

State Portal

National Mission of Medicinal Plants

(NMMP)

(Centrally sponsored scheme)

Year Funds allocated

(US$ million)

Funds released

(US$ million)

2014-15 0.29 0.29


KEY INDUSTRIES – BAMBOO


OCTOBER 2016

Bamboo sector facts

Bamboo production area (hectares)

under National Bamboo Mission 5,574

Bamboo bearing area (Ha.) 4,79,300

Bamboo reserved forest area (Ha.) 9,49,600

6,334

1,157

7,491

Green Culms Dry Culms Total

Equivalent green weight by soundness of culms in

Meghalaya forests (2014-15) (in ‘000 MT)

Meghalaya is one of the leading producers of bamboo in the country. Bamboo enterprises can be developed from the bamboo reserves

and forest cultivations. Natural bamboo forests cover 3,108 square kilometers (14%) of Meghalaya’s total geographical area.

In Meghalaya, bamboo is primarily used for making handicraft products such as stools, baskets, large open-work baskets, etc. Khasi

tribe of Meghalaya is popular for the mats and chairs, which are made out of bamboo.

Source: Ministry of Agriculture

Department of Agriculture & Cooperation (DAC), Ministry of

Agriculture is implementing National Agroforestry &

Bamboo Mission (NABM) scheme under Mission for

Integrated Development of Horticulture (MIDH) with the

objective to utilize the potential of bamboo crops and

increase the area of cultivation. In 2014-15, US$ 0.51

million was allocated for the implementation of the scheme

in Meghalaya, of which US$ 0.16 million was released.

Under the 12th Five Year Plan (2012-2017), US$ 0.84

million has been allocated for the State Bamboo Mission,

an undertaking to conserve bamboo plantations in the

state. In addition, the state government allocated US$ 0.25

million under National Bamboo Mission during 2015-16

As per the state budget 2016-17, under Master Craftsman

Training, a total of 789 artisans were trained in cane &bamboo craft, wood craft, etc. during 2015-16.


KEY INDUSTRIES – AGRICULTURE, HORTICULTURE AND FOOD PROCESSING … (1/2)


Meghalaya has a climate that supports agricultural and horticultural

activities. The state offers potential for investment in these areas.

Turmeric produced in the state of Meghalaya is considered to be one of

the best in the world as it contains 7.5% of curcumin. The state is focusing

on developing water harvesting and distribution infrastructure to increase

the level of mechanisation in the horticulture sector.

During 2015-16, the Government of India allocated US$ 4.64 million under

the horticulture mission for Northeast and Himalayan states for the

development of horticulture sector that including fruits, vegetables, root

and tuber crops, mushrooms, spices, flowers, aromatic plants, coconut,

cashew, cocoa and bamboo.

During 2015-16, the state produced 409.25 thousand tonnes of fruits

under an area of 37.14 thousand hectares. Similarly, 88.20 thousand

tonnes of spices were produced in the state under an area of 18.20

thousand hectares during 2015-16.

During 2007-2017, 13 projects under National Mission for Food

Processing and 12 projects under Technology Up-gradation/

Establishment and Modernization of Food Processing Industries scheme,

have been sanctioned by state government.

OCTOBER 2016

Source: State Directorates of Horticulture

Area and production of horticulture crops

(2015-16)

YearArea

(‘000 Ha)

Production

(‘000 MT)

Fruits 37.14 409.25

Vegetables 48.29 506.08

Spices 18.20 88.20

Plantation crops 25.61 29.18


KEY INDUSTRIES – AGRICULTURE, HORTICULTURE AND FOOD PROCESSING … (2/2)


Among various crops and value added products available in the

state, medicinal plants and bamboo processing are the major

potential areas of investment. Under the 12th Five Year Plan, US$

84.35 million has been allotted for agriculture and allied sectors.

In 2014-15, one project was sanctioned with an estimated

sanctioned amount of US$ 0.01 million. As of 2014-15, the

central government allocated US$ 390,000 for the

implementation of National Mission on Food Processing in

Meghalaya. Meghalaya accounts for 1.5% share in the total

funds allocated to the country.

Around US$ 48 million has been allocated under the 12th Five Year

Plan (2012-2017) for the development of horticulture sector in

various segments including manure & fertilisers, plant protection,

training and infrastructure development.

Milk production in the state increased from 79 thousand tonnes in

2011-12 to 84 thousand tonnes in 2015-16. For the same time

period, the production of meat in the state increased from 37.1

thousand tonnes to 42 thousand tonnes. Egg production in the

state increased from 104.9 million units in 2013-14 to 106 million

units in 2015-16.

OCTOBER 2016

Area expansion for various

horticulture crops under HMNEH and MIDH in Meghalaya

(Ha.)

50027194 8130

5953 40827562 7058

30681

2401

Source: Mission for Integrated Development of Horticulture

(MIDH) and Mission for Integrated Development of

Horticulture (MIDH)

Horticulture crop production in Meghalaya (‘000 tonnes)

824

979 1,026 1,035

2012-13 2013-14 2014-15 2015-16

DECEMBER 2013 3939

KEY INDUSTRIES – HYDROELECTRIC POWER


As of June 2016, the state had an installed hydroelectric power

capacity of 356.58 MW. The state utilities accounted for a share of

79% in total installed capacity and the remaining is contributed by

the central sector.

The state government is inviting investments in this area through

the PPP mode. Independent Power Producers (IPPs) are also

being invited to develop hydro projects in Meghalaya; this

provides immense potential for investment.

Hydroelectric power projects with a total capacity of 687 MW have

been proposed to be set up in Meghalaya. All these projects are

projected to be operational by 2016-17.

Hydro projects in Meghalaya

Name of the project Installed capacity (MW)

Umangot 260

Umduna 57

Myntdu Leshka-II 60

Selim 170

Umangi Storage-I 54

Mawblei 140

OCTOBER 2016

Month wise target of hydro generation for 2015-16

Month Installed capacity (MU)

January 2016 34

February 2016 32

March 2016 27

Source: Central Electrical Authority

Ministry of Power, Government of India


DECEMBER 2013 4040

Meghalaya is richly endowed with flora, fauna, thick forests, ancient

forest groves, large rivers and grass fields – making it an attractive

tourism destination. Number of tourists visiting Meghalaya grew by

4.76%, which increased from 692,000 in 2013-14 to 725,000 in 2014-

15. In 2014-15, Meghalaya witnessed domestic tourist footfalls of

716,000, while the number of foreign visitors reached 9,000.

Caving is a major tourist attraction in the state, as most of the deepest

and longest caves in South Asia are located in the state. The Shillong

Golf Course is one of the oldest and best natural golf courses in the

world and is Asia's second 18-hole natural golf course.

Under budget 2016-17, the state government sanctioned US$ 5.43

million for development of the tourism sector in the state. Further, the

state government established two recreational parks in Mairang and

Marngar during the same period. Various skill development

programmes are also being undertaken in the state to improve

employability in the tourism sector as per budget 2016-17.

Moreover, the state government will emphasize on recognising and

enhancing new tourist destinations in the state during 2016-17. Under

the 12th Five Year Plan (2012-2017), US$ 25.3 million were allocated for

the development of the tourism sector in the state. The various areas of

focus include development of tourist spots, development of wildlife

tourism and adventure tourism.


KEY INDUSTRIES – TOURISM


Total tourist arrivals in Meghalaya (‘000)

Source: Ministry of Tourism, Government of India

OCTOBER 2016

404462

555596

657 672 686 692725


KEY INDUSTRIES – INFORMATION TECHNOLOGY


The IT policy of Meghalaya defines the IT penetration plan for various industries and public sector organisations.

With a high literacy rate, affordable cost, substantial English-speaking population, improved telecommunication connectivity and

favourable climate, Meghalaya is well-poised to serve the IT industry.

As per state budget 2016-17, the state government is planning to brace up the infrastructure of ICT in the schools and colleges by

deploying digital classrooms as well as other initiatives across the state during 2016-17. Further, the state government has also

enabled the deployment of NOFN (National Optical Fibre Network) in the state for enhancing internet connectivity across villages.

Under budget 2016-17, the state government allocated US$ 2.59 million for the development of the IT sector. During 2015-16, the

state government came up with citizen centric services for citizens residing in the far flung areas. Across the district of East Khasi

Hills, five e-district services are already operating. These services are expected to be rolled out across other districts during 2016-17.

With the fast development of Software Technology Park of India at Lumjingshai, Shillong, various IT companies are expected to set

up their offices in the coming years.

Under the Chief Minister’s Digital Students Aid Programme, the Meghalaya government decided to continue the distribution of

laptops as a reward to meritorious students along with digital content enabled tablets to higher secondary students of the state during

2016-17.

Under the 12th Five Year Plan (2012-2017), around US$ 14.68 million has been allocated for development of the sector through

development of IT infrastructure, development of e-governance and other promotional activities. Of the total proposed allocation,

9.72% was proposed for development of IT infrastructure, 29.38% for HR development and training with international certification and

the rest for development of e-governance, promotional activities, etc. In addition, the state government launched various new

schemes for providing incentives to entrepreneurs, research and development in the IT domain, extension of SWAN (State Wide

Area Network) horizontal connectivity up to the last mile, technological and financial support to ICT promotional activities, etc.

OCTOBER 2016

Source: Ministry of Tourism, Government of India

IT - Information Technology, STPI - Software Technology Parks of India


KEY INDUSTRIES – SERICULTURE


Mulberry, muga and eri cocoons are cultivated in Meghalaya.

Sericulture has predominantly remained a cottage industry and the state

government is taking proactive steps in training people, reaching out to the

market and providing technical support.

Major initiatives taken by the state government for the sector’s development

are:

Creation of nursery for production of quality planting material and

seeds as well as area expansion under mulberry plantation.

Technology interventions to improve production and productivity of

plantations and upgrading existing production units.

Capacity building, including exposure visits.

Entrepreneurship development and value chain development in the

sericulture sector.

Organic farming is playing a major role in sustaining the health and fertility of

soil. During 2015-16, raw silk production in the state was recorded to be 857

MT.

Under the 12th Five Year Plan (2012-2017), US$ 11.2 million has been

allocated for various segments including development of mulberry, muga and

eri silk industry, promotion & upgradation of sericulture training programme,

infrastructure development support and research & development support.

Under budget 2016-17, the state government proposed an outlay of US$ 2.79

million for sericulture and weaving sectors in Meghalaya.

OCTOBER 2016

Year Silk production (MT)

2012-13 517

2013-14 644

2014-15 656

2015-16(1) 857

Source: Central Silk Board1Provisional

Funds allocate and released for

promotion of sericulture in

Meghalaya (US$ million)

Year Sanctioned

2011-12 1.37

2012-13 1.23

2013-14 1.77

2014-15 0.94

Source: Ministry of Textiles

DECEMBER 2013 4343

Meghalaya has an established tradition of high-quality weaving.

Around 15,900 families are involved in handloom activities in the

state. There are eight handloom production centres, 24 handloom

demonstration-cum-production centres, 24 weaving training centres

and a state-level handloom training institute (Mendipathar, East Garo

Hills) in the state.

As per budget 2016-17, in the Garo and Khasi Hills of the state, 75

handloom clusters were organized during 2015-16.

Under the Comprehensive Handloom Development Scheme, the

central government is helping the handloom manufacturers in setting

up of a yarn depot for the production of the handloom products and

product development and diversification centres.

Around US$ 11 million has been allocated under the 12th Five Year

Plan (2012-2017) for various on-going schemes such as integrated

development of the silk weaving technology programme,

infrastructural development support of handloom industries and

promotion & upgradation of handloom training programme.


KEY INDUSTRIES – HANDLOOM AND HANDICRAFTS


OCTOBER 2016

Source: Ministry of Micro, Small & Medium Enterprises

Meghalaya khadi production value

(in US$ thousand)

14.22

4.26 4.95

9.47 8.69

15.53

12.81

2008-09 2009-10 2010-11 2011-12 2012-13 2013-14 2014-15

Meghalaya khadi sales value

(in US$ thousand)

18.41

16.59

18.25

2012-13 2013-14 2014-15

Source: Ministry of Micro, Small & Medium Enterprises


KEY INDUSTRIES – MINERALS AND MINING … (1/3)


In 2014-15, Meghalaya accounted for 576 million tonnes of coal, 15,100 million tonnes of limestone, 12 million tonnes of fire

clay, 97 million tonnes of lithomargic clay, 1.45 million tonnes of bauxite, 0.015 million tonnes of phosphate rocks, 0.045

million tonnes of sillimanite, 50 million cubic metres of granite and substantial reserves of quartz, feldspar, gypsum and

uranium.

An extensive bed of limestone occurs in the southern part of the state from Jaintia Hills in the East and Garo Hills in the West. Large

deposits of good quality Lithomargic clay have been found in Garo Hills. The mining industry is emerging in Meghalaya; most of the

coal and stones are being exported to Bangladesh. A number of cement factories are being either planned or set up, owing to the rich

mineral content of the state.

In August 2015, the state government passed a resolution seeking the President’s approval on exempting Meghalaya from the Mines

and Mineral (Development and Regulation) Act, 1957.

OCTOBER 2016

The prominent coalfields of the state are West Darrangiri, Siju, Pendengru-

Balpakram in the South Garo Hills district; Borsora Langrin and Shallang in

the West Khasi Hills district; East Darrangiri partly in West Khasi Hills and

partly in East Garo Hills; Mawlong-Shella and Sohra-Cherrapunjee in the

East Khasi Hills district and Bapung-Sutnga in the Jaintia Hills district.

Under the 12th Five Year Plan 2012-17, the state government proposed

allocation of US$ 3.98 million for mining and geology, wherein US$ 0.39

million was proposed for mineral exploration, US$ 0.41 million for research

& development.

Under State Budget 2015-16, US$ 488.84 thousand was allocated for thedevelopment of mining sector in the state. Source: Ministry of Mining, State Budget 2015-16

Meghalaya limestone production (‘000 MT)

4,216

4,032

3,599 3,724

2011-12 2012-13 2013-14 2014-15




OCTOBER 2016

Source: Ministry of Mines, Government of India

In 2014-15, coal reserves in the state stood at around 576

million tonnes with 0.19% share of the total coal reserves

of India.

In 2014-15, geochemical mapping was conducted in two

districts of Meghalaya, namely, Ri- Bhoi and Jaintia Hills.

In 2014-15, the Ministry of Mines conducted an

assessment of limestone reserves of Mawlong-Ishamati

Block of Shella-Bholaganj belt, East Khasi Hills District.

In 2014-15, the Ministry of Mines investigated the

presence of lateritic bauxite around Rambrai area of

West Khasi Hills District.

In September 2015, the Government of Meghalaya

submitted mining guidelines and mining policy to the

National Green Tribunal (NGT). The policy is the same as

Meghalaya Mines and Mineral Policy 2012 with additional

guidelines under NGT directives

Coal reserves in Meghalaya

Year Reserve (million tonnes)

2009-10 507.7

2010-11 525.9

2011-12 543.1

2012-13 557.6

2013-14 567.9

2014-15 576.4




OCTOBER 2016

Source: Department of Mining and Geology, Government of Meghalaya

Mineral Location

LimestoneCherrapunjee, Mawlong, Ishamati,Shella, Komorrah, Borsora, Bagli in Khasi Hills District, Lakadong, Lumshonong,

Nongkhlieh in Jaintia Hills District, Darrang Era-Aning, Siju and Chokpot in Garo Hills District

CoalLangrin and East Darrangiri in Khasi Hills District, Bapung in Jaintia Hills District and West Darranggiri in Garo Hills

District

Clay (Lithomargic)Cherrapunjee and Mahadek in Khasi Hills District, Tongseng in Jaintia Hills District, Nangwalbibra and Rongrenggiri in

Garo Hills District

Granite Nongpoh in Ri-Bhoi, Mylliem and Mawkyrwat in Khasi Hills District, Rongjeng in East Garo Hills District

KaolinMawphlang, Smit, Laitlyngkot in Khasi Hills District, Thadlaskein, Mulieh Shangpung, Mynsngat in Jaintia Hills District

and Darugiri in Garo Hills District

Iron Ore West Khasi Hills and East Garo Hills District

Glass Sand Laitryngew, Umstew and Kreit in Khasi hills, Tura in Garo Hills District

Feldspar Bonsamgiri and Rombhagiri in East Garo Hills District

Silimanite Sonapahar in West Khasi Hills District

Bauxite Sung valley in Jaintia Hills District

Rock Phosphate Sung valley in Jaintia Hills District

DECEMBER 2013 4747

With a view to facilitate and expedite various clearances and government approvals required by entrepreneurs as well as to

promote investments in the state, the Government of Meghalaya has formed a committee to act as a single-window agency

for all investments in the state.

Some of the terms of reference for the committee include:

To facilitate the expeditious issue of all clearance/approvals required from various departments and agencies of the

state government to any entrepreneur applying for the same and to assist in obtaining clearance from other state

bodies/organisations.

To assist entrepreneurs in obtaining various clearances and approvals from the central government and its agencies.

To take up with financial institutions/commercial banks, wherever required, for expediting sanction and disbursement

of loans/working capital to prospective entrepreneurs.

To facilitate and expedite on land matters for setting up industries.

To facilitate local entrepreneurs in having an interface with industrial association, central government, boards, and

authorities, among others.

To attend to all enquiries from all prospective entrepreneurs relating to the law, procedures, practices etc governing

investments in the state.

To continuously review the various clearance and approvals required for investment in the state by entrepreneurs,

with a view to simplify them as also to minimise procedural constraints to ensure flow of investments in the state.


SINGLE-WINDOW CLEARANCE MECHANISM


Source: Single Window Agency

OCTOBER 2016

DECEMBER 2013 4848

Approvals and clearances required Department

Incorporation of Company Registrar of Companies

Registration, Industrial Entrepreneurs Memorandum, Industrial Licenses

Industries Department of Meghalaya Permission for Land Use

Allotment of Land

Site Environmental ApprovalMeghalaya Pollution Control Board

No-objection Certificate and Consent Under Water and Pollution Control Act

Registration Under States Sales Tax Act and Central and State Excise ActExcise Department

Commercial Taxes

Sanction of Power

Meghalaya Energy Corporation LimitedPower Feasibility

Power Connection

Approval for Construction Activity and Building Plan Public Works Department

Water and Sewerage ClearancePublic Health and Engineering Department

Water Connection


KEY APPROVALS REQUIRED


OCTOBER 2016


COST OF DOING BUSINESS IN MEGHALAYA


Cost parameter Cost estimate Source

Cost of land (per acre) US$ 75,000 to US$ 180,000 (Shillong) Industry sources

Hotel cost (per room per night) US$ 25 to US$ 48 State Tourism website

Office space rent (2,000 sq ft) US$ 300 to US$ 800 per month Industry sources

Residential space rent

(2,000 sq ft house)US$ 75 to US$ 300 per month Industry sources

Fixed power cost (per kWh per month)

Domestic: US 74.65 cents

Commercial: Average US 149.3 cents

Industrial: Average US 149.3 cents

Central Electricity Authority

Labour cost (minimum wages per day) US$ 1.65 to 2.32

Ministry of Labour and Employment,

Government of India, Wage rates for

September 2013

OCTOBER 2016

DECEMBER 2013 5050

Agency Contact Information

Ministry of Development of North Eastern Region

258, 1st Floor, Vigyan Bhavan-AnnexeNew Delhi-110011

Phone: 91-11-2302 2401, 2302 2400Fax: 91-11-2306 2754

Website: www.mdoner.gov.in

Commerce & Industries Department

Director of Commerce & Industries,Administrative Building, Lower Lachumiere

Shillong-793 001East-Khasi Hills District, Meghalaya

E-mail: [email protected]: http://megindustry.gov.in

Meghalaya Energy Corporation Limited

Meghalaya Energy Corporation LimitedLum Jingshai, Short Round Road

Shillong-793001Meghalaya, India

Phone: 91-364 2590610/ 2590742/ 2590710/ 2591843Fax: 91-364-2590355

E-mail: [email protected]: www.meseb.nic.in


CONTACT LIST


OCTOBER 2016

DECEMBER 2013 5151

•

• To authorize appropriation and payment from the consolidated fund of the state.

Meghalaya Industrial and Investment Promotion Policy 2012

• To facilitate investments in new sectors across the state and thus ensure accelerated and

sustained growth.

• To attract, facilitate and promote wider expectations and high end investment.

Read more

Objectives

Renewable Energy Policy 2013 (Proposed)

• To supplement the existing power production and generate employment opportunities.

• To identify areas in Meghalaya that have potential in biomass power for setting up off-grid plants.

Read more

Objectives


STATE ACTS & POLICIES … (1/3)


OCTOBER 2016

Objectives

Read more

The Meghalaya Appropriation (No. I) Act, 2014

http://megindustry.gov.in/MIIPP_2012.pdf

http://www.energynext.in/meghalaya-to-have-re-policy-soon-cm/

http://meglaw.gov.in/acts/2014.pdf




Meghalaya Mines and Minerals Policy 2012

• To facilitate systematic, scientific and planned utilisation of mineral resources and to streamline

mineral-based development of the state.

Read more

Objective

State Youth Policy 2012

• The mission for youth development in the state is to create an enabling environment for youth to

realise their rights, potentials and opportunities in the state and making them self-reliant,

empowered and active citizens.Read more

Objective

OCTOBER 2016

Water Act 2012

• To provide for water rights and obligations; conservation, control, management and use of water

resources and supply; constitution of water and sewerage authorities; facilitate devolution and

decentralisation of management.

• Read more

Objective

http://www.indiawaterportal.org/sites/indiawaterportal.org/files/meghalaya_mines_and_minerals_policy_2012.pdf

http://megsports.gov.in/documents/Draft_State_Youth_Policy_2012.pdf

http://megwaterresources.gov.in/pdf/Meghalaya_Water_Act_2011_draft.pdf




Industrial Policy 1997

• To facilitate rapid and sustained industrial development of the state.

• To achieve a balanced and growth oriented development covering the entire state through

promotion of village and small scale industries.

•Read more

Objectives

IT Policy 2004

• To create wealth, generate employment and bring in IT-led economic growth.

• To make information technology as a tool for attaining all round development in the state.

• Read more

Objectives

North East Industrial and Investment Promotion Policy (NEIIPP) 2007

• To promote the Northeast region as an attractive investment destination through various

concessions and incentives.

Read more

Objective

OCTOBER 2016

Meghalaya Tourism Policy 2011

• To position Meghalaya as a preferred tourist destination by taking advantage of its rich cultural

heritage and natural beauty.

Read more

Objective

http://megindustry.gov.in/objectives.htm

http://ditmeghalaya.gov.in/policy/IT Policy_2004.pdf

http://investinmanipur.nic.in/NEIIPP-2007-Information Booklet.pdf

http://megtourism.gov.in/pdf/Tourism_Policy.pdf

DECEMBER 2013 5454

Average Exchange Rates


ANNEXURE


OCTOBER 2016

Year INR equivalent of one US$

2004-05 44.81

2005-06 44.14

2006-07 45.14

2007-08 40.27

2008-09 46.14

2009-10 47.42

2010-11 45.62

2011-12 46.88

2012-13 54.31

2013-14 60.28

2014-15 60.28

2015-16 65.46

Source: Reserve Bank of India

DECEMBER 2013 5555

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DISCLAIMER


OCTOBER 2016

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