Following the resounding success of the Global Investors’ Summit 2014 at Indore, Madhya Pradesh is all set to organise the Global Investors’ Summit 2016 in October next year at the Brilliant Convention Center at Indore, the commercial capital of Madhya Pradesh. The three-day event will aim to showcase the strengths and industrial prowess of Madhya Pradesh and provide a global platform for interaction with Indian industry leaders, heads of states, policy makers, investors and other stakeholders.
The October 2014 summit went a long way in mobilising investors and assuring them that Madhya Pradesh is the most welcoming state in India where the “Make in India” dream of Prime Minister Narendra Modi is being realised in its true spirit by inducing the vision of “Make in Madhya Pradesh”. The state offers first mover advantage with the new Defence Production Policy. Madhya Pradesh is developing an Integrated Investor Life-cycle Management System as an initiative to provide integrated investor service and dedicated investment relationship managers have been appointed for select projects under the mega and ultra-mega category to provide handholding across the entire investment lifecycle.
While the past decade has seen Madhya Pradesh turn into a great investment destination, the road ahead promises more growth and fantastic opportunities as far as national and global investors are concerned. One of the major objectives of the Madhya Pradesh Vision Document-2018 is to make the state the destination of choice for investors. Through a concerted approach developed over the past several years, Madhya Pradesh has emerged as a competitive destination for investments across sectors, including manufacturing and services.
STRATEGIC INITIATIVES
According to the Vision Document-2018, in order to improve the ease of doing business for investors, an IT-enabled “Single Window System” is being created to enable a seamless flow of investors’ applications between administrative departments/agencies, to facilitate time-bound approvals. The ongoing aim will be to simplify key business approval processes, including land allocation, water allocation, power supply connection, environmental clearances under city development plans, zoning laws, pollution control, construction and building permissions and disbursement of fiscal incentives. The aim will be to promote investments in manufacturing sectors such as food processing, textiles, engineering, electronic and hardware manufacturing by establishing various sector specific industrial clusters across the state.
A major objective is to promote investment in Electronic System Design and Manufacturing in Dewas, Indore, Dhar and Bhopal districts, which are notified as Brownfield Clusters by the Government of India Electronics and Information Technology Department and are eligible for the Modified Special Incentive Package (M-SIPS).
Another major initiative will be to develop three National Manufacturing and Industrial Zones at Katni, Shivpuri and Rajgarh to promote the manufacturing sector.
INDUSTRIAL INFRASTRUCTURE
Getting land in Madhya Pradesh for investment projects is easier compared to other states. This is because Madhya Pradesh has a land bank of approximately 25,000 hectares. Suitable for big investors, this land can be acquired via a transparent process and developed as per individual project requirements.
Similarly, for small investors, the Madhya Pradesh government has developed 231 notified industrial areas spread over an area of 15,000 hectares. This land is developed and has facilities like power, water and roads. The state has seen consistently high investment in industrial infrastructure to the tune of Rs 87,252 crore as also upgradation of 13 important existing industrial areas on 7,701 hectares. There has been substantial private investments across manufacturing and infrastructure sectors for establishment of 27 new Industrial Areas on 7,675 hectares of land. Large tracts of land are available in Madhya Pradesh for industrial purposes at very competitive rates. The state provides land for mega projects at 75% discount.
The development of industrial infrastructure is helped by the fact that Madhya Pradesh is a power surplus state with an installed capacity of 14,000 MW.
MSMEs BEING ENCOURAGED
Micro, small and medium enterprises (MSMEs) are vital for economic development of the state and the country. Chief Minister Shivraj Singh Chouhan realises this well and has taken initiatives to promote these industries. He has announced constitution of a separate ministry for MSMEs in Madhya Pradesh. Efforts are also being intensified for competition between MSMEs. Schemes are underway to develop MSMEs through financial support. The state government allots land on concessional rates to MSMEs. In all industrial areas in the state, 20% land has been reserved for micro and small industries.The Mukhyamantri Yuva Udyami Yojana has been implemented by the government to promote MSMEs.