Industrial Infrastructure

SECTOR PROFILE

Table of Contents

Special Investment Regions (SIRs)

Special Economic Zones (SEZs)

Industrial Parks (PPP)

Opportunities

SPECIAL INVESTMENT REGIONS (SIRs)

01

SPECIAL INVESTMENT REGIONS (SIRs)

Gujarat is the 1st state in the
country to enact the SIR act in
2009
13 SIRs spread over ~ 3600 sq.km.
are underway

SANTALPUR

Out of the 13 SIRs, 7 SIRs have been

notified i.e.:
- Mandal-Becharaji

ANJAR
VIRAMGAM

- PCPIR
- Dholera

NAVLAKHI

- Halol Savli
- Santalpur

OKHA

HALOL SAVLI
CHANGODAR

DHOLERA

PCPIR
ALIYABET

- Navlakhi

PIPAVAV

- Aliyabet
Out of these, development of
Mandal - Becharaji, PCPIR, and
Dholera is on fast track

MANDAL-BECHARAJI

SIMAR

Indicative map of SIRs in Gujarat, not to scale

Notified SIRs
Other Proposed SIRs

02

REGULATORY AND POLICY FRAMEWORK

SIR Act 2009

It enables the State Government to establish, develop, operate and regulate SIRs

The Government is empowered to declare Investment Region or Industrial Area

SIR to have an area of more than 100 sq. km. and the Industrial Area will be more than 50 sq. km

A 4-tier administrative mechanism is set up for establishment, operation, regulation and management
The administrative mechanism comprises:
An Apex Authority (GIDB) highest policy making body. It acts as the single window system and the first
contact for setting up any economic activity or amenity in the SIR
Regional Development Authority (RDA) for each SIR to address ground level issues of development &
regulation. The RDA will make its own regulations for building, construction and development.
Project Development Agency the Government has already formed such a project development company
viz. Gujarat Industrial Corridor Company (GICC)
Project specific SPVs

It provides an effective framework for private sector participation in infrastructure

by drawing upon the Gujarat Infrastructure Development (GID) Act 1999

03

SUMMARY OF NOTIFIED SIRs

Region

04

Area (sq. km.)

Proposed industries

Dholera

879

Knowledge based industries (biotechnology, IT/ITES, education and

training), light manufacturing (textiles, electronics, leather, toys,
ceramic), engineering

Becharaji Mandal

509

Automobile industry, heavy engineering, light engineering (incl.

metal & alloy product), electronics, service & ancillary, agro & food
processing industry, ceramics & clay, non polluting industry (incl.
information technology), logistics, precision engineering, wind
power equipment manufacturing, solar power equipment
manufacturing, electronic systems design and manufacturing
(ESDM) and institutional & knowledge centre, tourism

PCPIR

453

Refinery downstream products, high performance chemicals,

pigments and coating products, nanotechnology, bio- refineries,
mineral resource based products

Halol-Savli

123

Engineering, automobile ancillaries, engineering plastics, electrical

and electronics

Santalpur

186

Agro based (spices and seed processing, vegetable and fruit

processing, dairy, cotton ginning), contract farming, solar power,
logistics

Navlakhi

182

Ceramic, engineering & automobiles, food processing and

electronics, textile, non polluting chemicals, ceramics and cement.

Aliyabet

169

Entertainment (eco zone, film city, amusement zone, golf course),

aquaculture and marine engineering

SUMMARY OF OTHER SIRs

Region

Proposed area (sq. km.)

Proposed industries

Changodar

319

Agro based, steel & metal, plastic, pharmaceutical, biomedical,

and oil & gas

Anjar

237

Port and port based industries, wood based, mineral & agro
based, marine & salt industry and engineering

Okha

206

General manufacturing, pharmaceutical, CRO, biotechnology and

bio-pharma, auto and auto - ancillaries, mineral based, tourism,
education: marine biological studies, petrochemical studies

Pipavav

145

Logistics based industries, pre-cast structure, textile (only

spinning), thermal power plant, ship building, and iron & steel

Simar

84

Auto and auto components, heavy engineering, electronics,

engineering plastics, agri, pharma & biotechnology, non polluting
chemicals, cement and food processing

Viramgam

Under review, GoG

05

DEVELOPMENT OF SIRs STATUS

Stage of
Development

PCPIR Dholera*

HalolMandal Santalpur Aliyabet

Navlakhi Changodar Pipavav Viramgam
Savli
Becharaji

Okha

Selection of
Consultants
Preparation of
Feasibility
Report and
Concept Plan
Notification
RDAs
Notification
Detailed
Development
Plan
EIA Study
Operationalised

Completed

Sent to
Government

In Process

* Other Studies as mentioned below have also been conducted at Dholera

1. Seismic Micro - Zonation Study
2. Water Vulnerability
& Flood Protection Study
-

06

Under
Progress

Simar Anjar

SPECIAL ECONOMIC ZONES (SEZs)

07

SPECIAL ECONOMIC ZONES (SEZs): AN OVERVIEW

Status of SEZs in Gujarat

Gujarat has 16 SEZs (3 functional and

13 notified and operational), covering
an area of 17,295 hectares.
These SEZs comprise of industries in
several sectors such as Apparels,

Functional SEZ before

enactment

20%

Notified and operational*

22%

5%

24%

29%

Notified SEZ
Formally approved SEZ
In-principle approved SEZ

Pharma & Biotechnology, Engineering,

IT, Power, Handicraft/Artisan, Gems &
Jewellery etc.

* LOA issued by GoI to the units in SEZs is considered

as Notified and operational

~ 50% of land under SEZs in India is in

Gujarat i.e. ~ 30,000 hectares
Gujarat's SEZs contributed ~47% to

Sectoral spread of SEZs in Gujarat

India's SEZ exports (during 2010-11)

world's top 50 'free zones' in a survey

Multi-product/
Multi services

of 600 free zones across the world

Textile & Apparel

conducted by the prestigious FDI

Electronics/IT/ITES

Dahej SEZ Ltd. stood 26th among the

Magazine. (2012)

Pharma/Chemicals
Engineering
Others

08

18%

7%

33%
11%

9%

22%

SPECIAL ECONOMIC ZONES (SEZs): AN OVERVIEW

There are 16 operational SEZs (3

functional and 13 notified and
operational):
- 6 Multiproduct SEZs
Operational SEZs

- 3 Engineering SEZs
- 2 Apparel SEZs and
- 1 each in Electronics, Gems &
Jewellery, IT & ITeS, Pharma and Non
Conventional energy
Kandla SEZ (1000 acres) is promoted by
Central Government and has 175
operational units
Mundra Port & SEZ is the largest SEZ
spread over 6,178 hectares followed by
Reliance Jamnagar Infrastructure Ltd.
spread over 1,764 hectares

Apparel
Engineering

6%

Electronics
Gems & Jewellery

6%

13%

19%
6%

38%

IT/ITES

6%

6%

Multi-product
Pharma
Non Conventional Energy including
solar Energy eqpts/cells

09

SEZ INSTITUTIONAL FRAMEWORK

Development Commissioner
Grant all local and state level clearances etc.
delegated by the Central/ State Government.
Monitor such approvals, licenses, registrations etc.
Make town planning regulations

Approval Committee
Approve imports of goods and
services into the SEZ
Approve proposals for establishment
of SEZ units
Allow foreign collaborations/ FDI
proposals duly cleared by the Board of
Approval
Monitor compliance by SEZ
Developer, units

Township Authority
May be appointed by the
State Government, with
powers and functions as
may be prescribed

10

Board of Approval
Approval of proposals to set up SEZs
Approval of authorized operations in an SEZ
FDI approvals to Developers, Units
Approvals for infrastructure provision (through
co-developers , etc.)

Special Economic
Zone

Developer
Planned development of SEZ
Prepare development plan
Demarcate and develop sites
Allocate and transfer plots, buildings
Regulate the erection of buildings in
accordance with the plan
Develop, operate, maintain infra
Demarcate Zone Boundary

SEZ Authority
Responsible for
promotion, development
and functioning of the
zones in the state

Appropriate Authority
Customs
administration

Co-developer
Provider of
infrastructure facilities

SEZ ACT 2005

SEZ Incentives
Tax Incentives State & Central
Corporate tax holiday on export profit 100% for initial 5 years and 50% for the next 5 years thereafter and
50% of the ploughed back export profit for next 5 years
External commercial borrowing by SEZ units up to US D 500 million in a year without any maturity restriction
through recognized banking channels
Indirect Tax Incentives (Exemptions)

Customs duty

Excise duty

Central sales tax

Service tax

Single window clearance for Central and State level approvals

Exemption from State VAT and other levies as extended by the respective State Governments
For Developers of SEZs
100% tax holiday for a period of any 10 consecutive years out of 15 years beginning from the year in which the
SEZ is notified
Exempt from dividend distribution tax
Full freedom in allocation of developed plots to approved SEZ units on purely commercial basis

11

INDUSTRIAL PARKS

12

INDUSTRIAL PARKS : OVERVIEW

Sector wise Parks

Gujarat Industrial Policy 2003 identified

infrastructure development as a priority
and hence for the first time Industrial Parks
were developed on PPP.

4%

Gujarat has 27 private parks developed

under Industrial Policy 2003

Pharmaceuticals
Textile

37%

52%

IT/ITeS

7%

14 parks are Multiproduct Industrial Parks

and 10 are Textile Parks

Industrial Park

Majority of these parks are in Ahmedabad

district (7 parks) and Surat district (6 parks)
Realizing the growing importance and
increasing need for such infrastructure,
'Scheme for financial assistance to Industrial
Parks on PPP' was introduced as part of
Industrial Policy 2009.
Government has amended the Financial
assistance scheme for Industrial Park
development by Private Institution. They
have introduced suppor t for Link
Infrastructure in the scheme. There are
20 proposals for development of parks
under this scheme.

District wise No. of Parks

Ahmedabad
Gandhinagar

4% 4%

Surat
26%

18%
4%
4%

Kheda
3%

22%

11%
4%

Valsad
Junagadh
Anand
Vadodara
Mehsana
Bharuch

13

INDUSTRIAL POLICY 2009

SCHEME FOR ASSISTANCE TO PRIVATE INDUSTRIAL PARKS

Objective of Scheme
To identify the need to promote and encourage Industrial Parks by Private Institutions which aim at upgrading
and improve the state of the Park
Quantum of Assistance
Industrial Park/ Estate will be provided an amount up to Rs. 10 crore for link infrastructure
Developer of the park will be eligible for exemption from payment of stamp duty on purchase of land
for the park.* Whereas the units in the industrial park will be eligible for 50% exemption of stamp duty
Definition of Link Infrastructure
The park will be required to have minimum internal infrastructure facilities; the support will be only for Link
infrastructure which includes:
Road (incl. toll-road), bridges, runways and other air port facilities
Transmission or Distribution of power by laying a network of new transmission or distribution lines of
electricity
Telephone lines, telecommunications network
Pipelines for water, crude oil, slurry, waterways, port facilities, waste water/ solid waste pipelines
Railway tracks, signaling systems
Gas Pipeline
Conditions
The Industrial Park should be suitable for setting up min. 30 industrial units in at least 100 acres
Expansion or modification/ modernization of existing parks shall not be eligible

* Subject to approval of State Level Approval Committee

14

OPPORTUNITIES

15

SECTOR SPECIFIC OPPORTUNITIES

Engineering
Setting up industry in Greenfield precision engineering clusters being planned by GIDC at 5 locations i.e.
Jamnagar, Halol, Sanand, Lodhika, and Mandal
Centres of Excellence will be also be developed in each of these clusters
Technical Textile
Textile market in Gujarat is estimated to become ~USD 25 billion by 2017 and the growth is envisaged to be
driven by Technical Textiles
2 new Technical Textile zones will be developed in Ahmedabad and Surat district to drive this.
Government will also set up 2 new Composite Centres for the development of Technical Textiles in Ahmedabad
(existing centre in Ahmedabad to strengthened) and Surat district.
Auto
Auto clusters will be promoted in Rajkot, Halol, Sanand and Mandal
Specialty Chemicals
Chemical industry in Gujarat has the potential to reach ~USD 70 billion by 2017 and contribution of Specialty
and Fine Chemicals will be doubled by then.
Government plans to develop 3 speciality chemical zones in Jambusar, Padra and Dahej
Centres of Excellence will also be developed in each of these clusters
Gems & Jewellery
Upcoming gems & jewellery clusters on PPP mode at Bhavnagar & Sanand

16

KEY CONTACTS

Mr. Maheshwar Sahu, IAS

Principal Secretary (Industries & Mines)
Industries & Mines Department
Ph.: +91 79 2325 0703
secimd@gujarat.gov.in
www.imd-gujarat.gov.in

Mr. Kamal Dayani, IAS

Industries Commissioner
Industries Commissionerate
Phone: +91 79 23252683, Fax : 91(79)232 52683
comind@gujarat.gov.in
www.ic.gujarat.gov.in

Mr. B.B. Swain, IAS

Vice Chairman & Managing Director
Gujarat Industrial Development Corporation
Phone: +91 79 2325 0583, Fax: +91 79 2325 0587
vcmd@gidcgujarat.org
www.gidc.gov.in

Mr. A.K. Sharma, IAS

Chief Executive Officer
Gujarat Infrastructure Development Board
Phone: +91 79 23232701, Fax: +91 79 23222481
ceo@gidb.org
www.gidb.org

17

National Partner

Knowledge Partner

Relationship Partner

Exhibition Partner

Airline Partners

Head Office: Block No. 18, 2nd Floor, Udyog Bhavan, GH-4, Sector 11, Gandhinagar 382 010 Gujarat, INDIA
Phone: +91-79-23250492/93 Fax: +91-79-23250490
www.indextb.com, www.ic.gujarat.gov.in E-mail: indextb@indextb.com
Regional Office: A-6, State Emporia Building, Baba Kharak Singh Marg, New Delhi 110 001, INDIA
Telefax: 011-23747002, 23360049 E-mail: indextbnd@indextb.com

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