Maharashtra

The Preferred Investment Destination

Knowledge Partner

Knowledge Partner
PM’s vision: Make India a Manufacturing Hub

Put India on a world map as a Manufacturing hub

Promoting growth of manufacturing industry

Facilitating foreign investments for the industry

Development of industries & industrial infrastructure

Opening up Foreign Direct Investment in key sectors

Invest in India

MAKE IN INDIA: Investor friendly policies and incentive based schemes

SKILLED MANPOWER: 500 million employable workforce by 2020

DIVERSE ECONOMY: Wide range of opportunities for investors

DIGITAL INDIA: Effective governance through integrated departments

FINANCIAL SYSTEM: Robust, diversified and well regulated

DOMESTIC ECONOMY: India's wealthiest consumers to increase by 40mn (in 10yrs)

Source: Standard Chartered' s Super-Cycle Report

Honorable Chief Minister’s Vision

Maharashtra to be number one in Industrialization

Create a conducive business environment

Cluster development through MSMEs

Bring in investment worth USD 160 Billion

Develop industrial clusters as per the raw material

Nagpur, Chandrapur, Akola, Amravati, Aurangabad, Latur,

Jalgaon, Nashik, Solapur, Sangli : new hubs for industries
Advantage Maharashtra

Specialized Institutes Single Window Clearance

30% of the total FDI inflow in India ‘Financial’ and ‘Trade’ capital of India

Large number of diverse industries Dedicated investor facilitation cell

Abundant natural resources Well developed infrastructure

Progressive Government Strategically located

State Economy

Maharashtra contributes to ~15% of India GDP on an average

Economic growth (%) State contribution (USD billion; %)

10.0% 15% 15% 15% 14% 15%

8.5% 9.4%
9.0%
8.0%
7.3% 7.2% 2,123
7.9% 1,930
7.0% 6.0% 7.1%
1,744
6.0% 6.5% 1,544
5.0% 5.5% 5.4% 1,356
4.0%
3.0%
2.0% 310
197 224 255 278
1.0%
0.0%
FY13 FY14 FY15 FY16 FY17 (Est) FY12 FY13 FY14 FY15 FY16
Maharashtra GDP Growth (%) India GDP Growth (%) Maharashtra GSDP India GDP

Source: MOSPI Note: GDP at Current Prices

FDI Inflow

Currently accounts for 49% of total FDI inflow

Maharashtra & India (USD million) Maharashtra & Other States (%)
(2001 - 2016)

40,001

35,844
35,121

30,931
MAHARASHTRA
25,834

24%
24,299

Delhi
22,424

31%
21,383

Tamil Nadu

17,536
Karnataka
1%
9,553

9,511

4%
8,716

Gujrat
8,249

6,361
6,097

3,420

Andhra Pradesh 5%
West Bengal 7%
Others 21%
7%
FY10 FY11 FY12 FY13 FY14 FY15 FY16 FY 17

Maharashtra India

Source: Ministry of Commerce and Industry; Press articles

Industrial Ecosystem
Maharashtra: Industrial Clusters

Mumbai - Thane Ahmednagar - Nashik

IT and ITeS Food Processing
Gems and Jewellery
Engineering
Logistics
Winery
Pharma / Chemical

Pune Nagpur - Amravati

Auto , Defence Food Processing
IT/ITeS and ESDM Logistics
Engineering IT
Chemical
Textile
FMCG

Solapur Aurangabad
Textile Engineering

Food Processing Auto

Pharma
Chemical
Maharashtra: Infrastructure (1/2)

ELECTRICITY

 Developed power supply grid; Installed capacity of 38,355.48 Mw

 Total generation: 88.14 bn Kwh; Total consumption: 100 bn kwh

INDUSTRIES

 Diverse industrial base; 9 SEZs and 136 PPP projects

 18,500 projects worth USD 165 bn approved from 1991 – 2013

PORTS

 2 Major ports, 53 Minor ports

 21.76% of the total cargo transport in India (JnPT &MbPT ports)
Maharashtra: Infrastructure (2/2)

RAILWAYS

 9.3% of total railway network in the country

 2 Major Railway zones

AIRPORTS
 3 International, 7 Domestic, 20 Airstrips
 Mumbai airport: One of the busiest airports in India

ROADS

 99.2% of the villages are connected

 18 national highways: Connects the 6 neighbor states & other regions
 Maharashtra: Abundant skilled manpower

More than 6,000 institutes that enrolls over 1.6 mn students per annum
No. of Enrolments
Streams
Institutes per year

Media, Textile General Education

Electronics (Art, Science, 3,209 10.56 lac
Commerce)
Research,
Healthcare Engineering 1,064 3.21 lac
Citrus, Cotton,
Veterinary
Research, Architecture 91 5.3 thousand
Drug, Atomic
MBA/MMS and
Studies, Ports, 416 46.5 thousand
PGDM
Design Agriculture
Hotel Management and
13 668
Catering Technology
Film, Defence,
Pharmaceuticals Research, Chemical Pharmacy 525 30 thousand

Master in Computer
115 9.6 thousand
Application
Industrial Training
846 1.26 lacs
20 State University 21 Deemed University Institutes

Medical Education 513 27 thousand

Maharashtra: Policy Support (1/3)

Progressive policies aimed at improving the businesses environment

 State Tax Abatement  Skill Development

Non-Fiscal Support
Fiscal Support

 Stamp Duty Exemption  Single Window Clearance (SWC)

 Electricity Duty Exemption  Investor Facilitation

Plus, a host of other benefits…  Investor After Care Cell

Special Incentives

Mega and Ultra Mega project can qualify 10% additional incentive is provided by the
for fiscal incentives up to 100% of the fixed state if the project creates double the
capital investment employment required for the eligibility
Maharashtra: Policy Support (2/3)

Policies for Ultra Mega and Mega Projects

Qualification Criteria Incentive Basket

Project Area Fixed Capital Direct Taluka /Area (% of Fix Capital
Classification Classification Investment Employment Classification Investment)
Ultra Mega USD 240 Million A&B 50
Entire State 3,000
Industrial Unit (INR 1500 cr)
C 75
USD 120 Million
A&B 1,500 D , D+ & NID 100
(INR 750 cr )
Mega Industrial USD 80 Million
C 1,000 Investment Max. Period
Unit (INR 500 cr )
USD 40 Million (In USD Million) (in Yrs.)
D & D+ 500
(INR 250 cr ) Up To 80 (INR 500cr) 7
81 to 120 (INR 750cr) 9
− Stamp Duty Exemption : 50% in A & B areas; 100% in other areas
− Electricity Duty Exemption : 10 yrs. in A & B areas; 15 yrs in others 121 to 161 (INR 1000cr) 12

− IPS per Year : 50% Gross VAT + 100% CST Above 161 20
Maharashtra: Policy Support (3/3)

Policies for LSI & MSME Projects

Incentive Basket – LSI Projects Incentive Basket – MSME Projects

Taluka / Area Fixed Capital Max Period (in Taluka / Area Fixed Capital Max Period (in
Classification Investment (%) years) Classification Investment (%) years)
A - 7 A - 7

B - 7 B 20 7

C 30 7 C 40 7

D 40 7 D 70 10

D+ 50 7 D+ 80 10

NID 70 7 NID 90 10

Maximum disbursement of the incentives every For Existing/New units qualifying as Expansion /
year will be proportionate to the monetary ceiling diversification are eligible for 75% subsidy on fixed
and the eligibility period capital investment
Ease of Doing Business: Progress (1/2)
ONLINE SINGLE WINDOW SYSTEM
 Establishment of the MAITRI Online Single Window Portal, with the provision for single application;
payment; tracking and monitoring for about 44 industry related approvals across 16 departments.
 Mobile Application and Investor helpline for support and facilitation to investors

TAX REFORMS
 Single ID and Common Application Form for VAT, CST, Professional Tax, Entry Tax and Luxury Tax with all
registration certificates issued within 1 working day.
 Payment of Property Tax through a mobile app
 Provision for e-payment of state taxes such as VAT, CST, Professional Tax, Entry Tax and Luxury Tax along
with the provision for filing electronic tax returns

LABOUR REFORMS
 Self-certification scheme with Single Integrated Return Form for 16 Labor Laws in the State
 Computerized Risk based Inspection of industries through a software based tool

CONSTRUCTION PERMITS
 Scrutiny of plans through an AutoCAD based software for granting building plan approval.
 Online Single Window System for obtaining various NoCs required for Construction Permit
Ease of Doing Business: Progress (2/2)

PROPERTY REGISTRATION
 Digitization and public availability of land records at the sub-registrar's office
 Computerized property bills in most municipal bodies
 E-payment of fees: GBAR and e-SBTR

ELECTRICITY REFORMS
 Procedures for obtaining new electricity connection reduced from 7 to 3
 Time reduced from 67 to 15 days

LAND REFORMS
 Implementation of a GIS system providing information about land earmarked for industrial
use, along with details of available infrastructure
 Increase in FSI from 0.2 to 1 for industry to be set up
 Additional FSI of up to 200% for IT SEZ

ENVIRONMENT REFORMS
 Computerized risk based inspection of industries & submission of inspection reports within 24 Hrs
 Shortened time limit for processing of consent applications by the Pollution control Boards- from 120
days to 60 days.
MIDC: Nodal agency for all investors

Key Activities
 DMIC
 264 Industrial complexes
 SUPA – Japanese Special planning
Industrial  ~ 84,000 hectares of land
Investment Zone authority
Estates
Projects Strong network of local
 13 Chemical Zones Specialized  Wine Parks authorities
Infra  Silver Parks
 25 CETPs
Link between Govt. and
 3 STPs  Floriculture Park Industry
 4 CHWTSDF  Food Parks
CFCs Acquisition and disposal
Electricity  Textile parks of land
 32 IT Parks, 9 SEZs
 Largest water supply Water Providing support
network in Asia Infrastructure
 Dedicated feeders for
One-stop for Investors
industries
Relations
Key Projects
Key Infrastructure Projects in Maharashtra

Shendra – Bidkin Mega Industrial Park

Navi Mumbai Airport Metro Rail Projects
Dighi Port Industrial Area

MADC - MIHAN Mumbai Trans Harbor International Financial

Services Centre
Aurangabad Industrial City (AURIC)

• Part of DMIC initiative – A smart

industrial city developed along
the dedicated Freight Corridor
from Delhi to Mumbai

• One stop Shop: Under the

umbrella of AURIC. Govt.
incentives through single
window clearances

• A world class industrial city with

well-connected transport
system. Railway siding facility. 10
mins from international airport,
40 km from JNPT’s Jalna dry
port.

• AURIC assures 24*7 reliable and

cost effective power supply

• ICT enable smart city

• AITL a special planning authority

Integrated Industrial Areas (IIA’s)

To encourage private investment to develop industrial estates, Government of Maharashtra has launched a new policy
initiative. Commonly called integrated Industrial Area(IIA) policy. The policy is framed to encourage ‘walk to work’ culture. Any
investor owning 40 hectares or more of land can develop an IIA under this policy

• Encouraging the concept of ‘Walk to Work’

• Minimum area requirement: 40 Hectare

Minimum area under Industrial Use
60%
Industrial activities
Logistics and warehousing
Research & Development
Maximum area under Non Industrial Use
40%
Commercial activities
Residential activities
Educational campuses & Amenities

• Special Planning authority: MIDC

• No separate NA (non agriculture) permission required

Integrated IT townships (IITT’s)

To encourage private investment to develop resilient and state of the art “smart cities”, the Government of Maharashtra has
made available lands to private investors for the development of IT parks. Commonly called Integrated IT townships (IITT’s)
the objective is to supplement the concept of ‘walk to work’ culture

• To be developed as ‘Smart Cities’

• Minimum area: 10 Hectare with 15 metre wide

access road

Minimum area under Maximum area for

IT/ITES activities support services
80% 20%
IT related services
Actual IT units
Commercial & Residential

• Increased FSI of up to 2.5 in corporation areas,

2 in non corporation areas
Key Players
Maharashtra: Key Players (1/2)
Maharashtra: Key Players (2/2)
 THANK YOU

Maharashtra Industrial Development Corporation

Udyog Sarathi, Mahakali caves road,
Andheri (E), Mumbai – 400 093
Board Number: 91-22-26870027/52/54/73
Fax: 91-22-26871587
Knowledge Partner
Email: ceo@midcindia.org
Website: www.midcindia.org