Gujarat-Industrial Infrastructure

Product Clusters

Gujarats manufacturing industry is

supported by 0.34 million Micro, Small
and Medium Enterprises (MSMEs).

Cluster development scheme has been

launched for furthering the growth of
product clusters which currently stand
at 83.

Some successful clusters: Ceramics at

Morbi, brass parts at Jamnagar, fish
processing at Veraval, power looms at
Ahmedabad.

Gujarat has 184 industrial estates

established by GIDC (Gujarat Industrial
Development Corporation) for specific
sectors like chemicals, electronics,
gems, apparel and granite.

State government initiatives include a

modified scheme to provide financial
assistance promote and encourage
industrial parks by private institutions.

Gujarat-Industrial Infrastructure
KEY INDUSTRIES
Agro and Food Processing
Dairy

Gujarat contributes 16% to the Indias

industrial output.

These 13 major industrial groups together

account for around 83% of the total factories,
94% of fixed capital investment, 93% value
of output and 93% of value addition in
Gujarats industrial economy.

Gujarat is a major player in industrial sectors

such as chemicals, petrochemicals, dairy,
drugs and pharmaceuticals, cement and
ceramics, gems and jewelry, textiles and
engineering.

The industrial sector comprises of over 800

large industries and more than 345,000
MSMEs.

Petroleum accounts for the highest industrial

production in Gujarat with approximately
26% share, followed by chemicals at 21%
and pharmaceuticals at 7% share.

Chemicals and
Petrochemicals
Textiles and Apparels
Engineering and Auto
Gems and Jewelry
Oil and Gas
Pharmaceuticals and
Biotechnology
Information Technology
Minerals
Ports
Power

Gujarat-Industrial Infrastructure
INDUSTRY HIGHLIGHTS

Gujarat is one of the largest

producers of processed diamonds
and wall clocks in the world.

Boasts of the worlds largest gas

based, single location sponge iron
plant.

Worlds leading producer of castor

and cumin.

Third largest producer of denim in

the world.

Possesses Asias largest grassroots

petroleum refinery at Jamnagar
(owned by Reliance India Limited).

Indias largest producer of cotton.

Home to Indias first LNG (Liquefied

Natural Gas) port terminal at Hazira.

MANUFACTURING SECTOR BREAK UP IN GUJARAT

(Approximate)

Petroleum

30%

26%

Chemicals
Pharmaceuticals
Machinery and
Equipments

5%
5%
6% 7%

21%

Fabricated metal
products apart from
machinery and
equipments
Textiles
Others

Gujarat-Agro and Food Processing

Industry
SECTOR SNAPSHOT
The agro sector contributes to about 18% of Gujarats
GSDP (Gross state domestic product)
Cotton, groundnut, bajra, paddy, maize, jowar, sesame,
castor and tur (pigeon pea) along with fodder and
vegetables are the major Kharif crops. Area under
cultivation stands at approximately 8.6 million hectares.
GAIC (Gujarat Agro Industries Corporation) promotes
agricultural activities and aids development of agro
industries in Gujarat.
Gujarats dairy sector consists of 17 district milk
producers unions with around 14598 milk cooperative
societies.
Gujarat positioned itself as the fourth largest milk
producing state after UP, Rajasthan and Andhra Pradesh
in early 2013.
The National Dairy Development Board in Anand is
involved in promoting, financing and supporting milk
distribution across India.
GCMMF (Gujarat Cooperative Milk Marketing Federation),
a cooperative dairy giant sells Amul and Sagar brand of
dairy products through a million retailers and

Crop

Gujarats
position in
world
production

Share of
worlds
production
%

Castor

Fennel

67

Isabgul

35

Cotton

3.5

Key Districts in Dairy Sector

Gujarat-Agro and Food Processing

Industry

TATE GOVERNMENT INITIATIVES IN THIS SECTOR

UPCOMING INFRASTRUCTURE PROJECTS

Diversifying crops and cropping sectors.

Perishable cargo complex.

Regulating contract farming

opportunities.

Banana pack house.

Port based agriculture cargo handling logistic

hub.

Vapor heat treatment with integrated pack

house.

Building a strong agriculture marketing

infrastructure with help of market yards,
cold storages, agriculture produce market
committees.
Setting up a VSAT based multi commodity
exchange at Ahmedabad.

Increasing use of high tech agro

technologies like tissue culture, green
EY PLAYERS
IN and
AGRO
FOOD PROCESSING INDUSTRY
houses
shedAND
net houses.
GCMMF (AMUL): Est. 1946. Market leader in butter, whole milk, dairy whitener, condensed milk,
cheese.

Parle Agro: Est. 1984. One of the largest manufacturers of biscuits and confectionary in India.
Manufacturing facility in Bhuj.
Vadilal: Est. 1907. Manufactures ice creams and frozen desserts. Exports processed products.
Manufacturing plant in Pundhra (Gandhinagar).
Rasna: Est. 1984. 93% market share in powdered Indian soft drink concentrate market. Based in
Ahmedabad. 7 manufacturing facilities with pan India spread.

Gujarat-Textiles and Apparel

SECTOR SNAPSHOT
Gujarat is the largest producer (33%) and exporter (60%) of cotton.
Technical textiles presents itself as the key emerging area of this sector.
There are over 3000 technical textiles manufacturing units in India. 1/3rd of them are in Gujarat.
The textile industry contributes around 6% to the total industrial production in the state.
Over 40% of the countrys art silk fabric is produced in Surat.
Gujarat is the largest producer of Denim in India (60-70%) and third largest in the world.
The technical textiles market is estimated to be of the value of 1.1 billion USD with a contribution of
around 10% to total national technical textiles output.

AREA

TEXTILE CLUSTERS

Ahmedabad

Cotton and blended fabric, denim, made ups,

ladies dresses, textile machinery and spare parts.

Surat

Art silk fabric, synthetic textiles, zari

manufacturing, embroidery, textile machinery
and spare parts.

Umargam

Modern power looms, synthetic suiting and

shirting.

Jetpur

Hand printing and processing units.

Manavadar

Cotton ginning.

Kutch

Textile handicrafts.

Gujarat-Textiles and Apparel

TECHNICAL TEXTILES

TECHNICAL TEXTILES UNITS DISTRIBUTION OVER GUJARA

Technical textiles are mainly

concentrated in the cities of
Ahmedabad, Vadodara, Surat
and Kutch.

Packtech (64%), Hometech

(10%), Clothtech (9%) and
Indutech (7%) are the four
largest contributors in this
segment.

Key players in this sector

are(organized ones):

Ahlstrom
Arvind
Dig Jam
Welspun
SKAPS
Kusumgar
Raymonds
Ashima Group
CTM Technical Textiles Ltd.

Gujarat-Textiles and Apparel

Y DRIVERS OF TECHNICAL TEXTILES SEGMENT IN GUJARAT

Strong domestic demand of technical textiles in
cement, horticulture, automobile , infrastructure
industries respectively.
Industrial infrastructure and transport connectivity.
High raw material availability.
Availability of required skill sets.
Presence of non woven industry. Low consumption
High growth
potential.
GOVT indicating
OF GUJARATs
DEVELOPMENT
AGENDA

Textile market in Gujarat is pitted to touch

USD 25 Billion by 2017.
Growth is envisaged to be driven by technical
textiles which finds use in 200 different
products across sectors.
Value addition to through focus on technical
textiles.
Attract 2000 new units with an investment
worth Rs. 10000 crore via technical textiles
mission.
Aim to capture 50% of Indian market through
technical textiles.
8
New technical textiles zones to be developed
in Surat and Ahmedabad.

INVESTMENT OPPORTUNITIES
Conventional Textiles
Ginning and Processing

Cotton and synthetic based spinning,

weaving and processing units, cotton
knitwear
Terry towels/ Home furnishing
High valued garment manufacturing
Technical Textiles
Protective textiles
Agro textiles
Geo textiles
Automotive textiles
Home textiles
Infrastructure Development
Cotton Integrated Textile and Apparel
park

Gujarat-Textiles and Apparel

RNMENT OF GUJARAT POLICY INTERVENTIONS IN TEXTILES AND APPAREL SEGMENT

Basic customs duty on imported technical textiles machinery has been reduced from 10% to 5%.
Scheme for integrated textile parks: 40% capital subsidy to a maximum of Rs 40 crores on the total
project cost on projects approved by the government.
100% FDI in textile sector allowed under the automatic route.
Support to create centers of excellence: 4 of them based on agro, geo, medical and protective textiles
respectively.
Credit linked interest subsidy in technical textiles for purchasing new plants and machinery.
Support to private developers who are intending to develop textile and apparel parks.

KEY HIGHLIGHTS OF THE NEW TEXTILE POLICY 2012

Objective of the new policy is to safeguard the interests of cotton farmers, better price
realization in national and international markets and value addition in the entire chain.
A slew of incentives include exemption in VAT (value-added tax) to the extent of 80-100% for a
period of 10 years.
Other incentives include conditional exemption in electricity tariff and stamp duty on plant land
and machinery, assistance in infrastructure development and research and skill development
The new textile policy is expected to attract investments of over Rs 20,000 crore and create new
employment opportunities for over 25 lakh people, 50 per cent of them being rural women,
during the next five years period. This will also increase the states revenue and growth rate
along with growth of the textile industry.
In case of apparel parks and textile plants, the state government will offer 50% of the cost of
infrastructure or a maximum Rs 10 crore as assistance.
For centers of excellence, the government will give Rs 20 crore to Rs 30 crore in assistance. The
police also offers interest subsidy in the range of 5%-7% to promoters of the textile industry.

Gujarat-Chemicals and
Petrochemicals

INDUSTRY SNAPSHOT

INVESTMENT OPPORTUNITIES

Accounts for nearly 51% of the national

production of chemicals.
Highest contributor to total national production
of petrochemical products.

High Performance Chemicals

Gujarats contribution to national production in

some segments:

Pigments and coating products

Soda Ash: Approx 98%

Salt: Approx 75%
Petrochemicals: Approx 62%
On shore crude oil: Approx 53%

Engineering Polymers

Feedstock linkages

Around 6500 chemicals and petrochemical

products are produced in the state.
Bio Refineries

Leads all states in terms of investments

committed in the chemical and petrochemical
sector.

PP Filament Yarn

Large quantity of production of basic chemicals

like caustic soda , caustic potash and
chloromethane.
Largest supplier of bio fertilizers, seeds, urea
and other fertilizers in the country.

Acrylic Fibers

10

Gujarat-Chemicals and
Petrochemicals

hemical and Petrochemical complexes

Gujarats share in India (Value of annual output) Approximate
Refineries
Indian Oil Corporation
Others
Reliance India Limited
Essar
Chemical and LNG Terminals
Textiles
LNG Terminal Dahej
LNG Hazira
Chemical port terminal Dahej
Petrochemical Complexes
Other non metallic mineral products
Reliance India Limited, Oil and Natural Gas Corporation
Chlor Alkali Plants
Reliance India Limited, Indian Rayon, Shriram, Atul products,

29%

16%

14%

Machinery and equipment

13%

Pharmaceuticals, medicinal chemicals

13%

Chemicals and Chemical Products

Coke, Refined Petroleum

34%

42%

0% 20% 40% 60%