37 th Issue. MahaConnect. The Business Newsletter. From Government of Maharashtra - MIDC. Knowledge Partner. Government of Maharashtra

Transcription

1 37 th Issue MahaConnect The Business Newsletter From Government of - MIDC Knowledge Partner 1 Government of

2 Government of Contents Editorial Dear Reader, Knowledge Partner With great pleasure, we bring you the third anniversary issue of Mahaconnect-Government of, MIDC Business Newsletter. As we get into fourth year of publication, we would like to acknowledge the contributions of all those stakeholders who have played a prolific role in making this endeavor a successful journey. Today, its subscription base includes the various investor communities, trade bodies, embassies, consulates, chambers of commerce, business councils and several other association around the globe. The MahaConnectteam aspires to continue making scrupulous analysis of the macro economic indicators of the state. In this edition, we have included the important features of the Government Resolution on the new package scheme of incentives(psi) The article gives a brief description on the various incentives available to the MSME, Large, Mega and Ultra Mega units in the state. Also, we have tabulated the various implementation agencies for the PSI We have given a District profile for Nandurbar, a region with immense potential; where MIDC is promoting its new textile hub. Also, included in the edition are An industrial profile for Akola. sectoral classification as per the net value added and the other investment related news in the state. We hope that these articles are informative and help you in giving a perspective for your business strategies. For any feedback or query, please write back to us at mahaconnect@midcindia.org. Also, visit our website Warm Regards, Bhushan Gagrani (IAS) CEO, MIDC. Cover Story of the Month Package Scheme of Incentives 2013 In order to promote an investor friendly ecosystem, and bring about uniform regional growth in the State; the Government has been providing a bulk of incentives to Industrial Units in the State since 1964 under a Scheme popularly known as the Package Scheme of Incentives..Read more on Page 3 Nandurbar Region with Potential District Profile Nandurbardistrict belongs to Nashik Division of State situated between and East longitude and and North latitude. The district is surrounded by Madhya Pradesh State on the North, DhuleDistrict on the East,.. Read more on Page 4 Industrial Estate Profile Akola Industrial Estate Profile The district of Akola lies in the western parts of the Nagpur Division of State and is surrounded by Amravati district in the north and north-east, Yeotmal in the south-east, Washim in the south and Buldhana in the west. The district is major producer of Cotton amongst other crops. read more on page 5 DSK Motorwheels mulls setting up an assembly line Investment Update Super-bike retailer DSK Motowheels is planning a new manufacturing facility near Pune. The company has identified 100 acres at Shalgaon, 200 km from Pune as the location for the unit. Construction of the INR crore...Read more on page 6 Important characteristics of As per the latest figures published through the economic survey of , the net value added by the industries has been derived to be at INR 152,238 crore... Read more on page 6 Feedback Your Thoughts. Many thanks for your message of for the latest newsletter which I have read with much interest....read more on page 7 2

3 Package Scheme of Incentives 2013 Government Resolution Fiscal Incentives under the Mega/Ultra Mega Project Scheme Type of Proj ect/ Unit Taluka/ Classifica tion Minimum Fixed Capital Investment (in INR Crore) Mega A&B Ultra Mega C D& D No Industry District & Naxilism Affected Entire State Minimum Direct Employm ent (in Nos.) Provided that - a) Mega projects based on employment criteria shall be required to maintain the qualifying direct employment throughout the year and 75% of such employees should be local persons. If the employment criteria is not maintained in any month of the year for which Industrial Promotion Subsidy is claimed, then Industrial Promotion Subsidy shall not be admissible for such year. b) Minimum Direct Employment prescribed in the table above should be created within a period of two years from the date of commercial production. c) The investment in Captive Power Plant shall not be considered for determining the qualifying criteria for eligibility as Mega Project/Ultra Mega Project. In order to promote an investor friendly ecosystem, and bring about uniform regional growth in the State; the Government has been providing a bulk of incentives to Industrial Units in the State since 1964 under a Scheme popularly known as the Package Scheme of Incentives. The State has recently declared the new Industrial Policy to ensure sustained industrial growth through various innovative initiatives so as to further improve the conducive industrial climate in the State and to provide global competitive edge to the industries in the State. The policy envisages grant of fiscal and nonfiscal incentives to the Industrial units with a view to helping the units achieve higher and sustainable economic growth with emphasis on balanced regional development and employment generation through greater Private and Public Investment in industrial sector. It is therefore necessary to amend the Package Scheme of Incentives-2007, in the light of the Industrial Policy-2013 and introduce a new Package Scheme of Incentives 2013, containing details of eligibility criteria, quantum of incentives and monitoring mechanism for administering the incentives during the period up to the 31st March, Government Resolution Salient Features In supersession of the Package Scheme of Incentive 2007, which shall expire on the 31st March, 2013, the Government is pleased to accord approval to the new Package Scheme of Incentives (PSI-2013) which will come into effect on the 1st April 2013 for a period of five years. The detailed provisions of the PSI-2013 are as follows:- Applicability of PSI-2013 Period of Operation of PSI-2013 The PSI -2013, as may be amended by the Government from time to time, shall remain in operation from the 1st April 2013 up to 31st March,2018. Coverage under the PSI 2013 The following categories of Eligible Industrial Units in the Private Sector, Co-operative Sector, Central Public Sector, State Public Sector/ Joint Sector shall be eligible to be considered for incentives under the PSI i) listed in the First Schedule of the (Development and Regulation) Act, 1951, as amended from time to time ii) Enterprises as defined in the Micro, Small and Medium Enterprises Development Act, (MSMED Act, 2006) iii)information Technology Units registered with the Directorate of or the Industrial Development Corporation (MIDC) or the Development Commissioner, Santacruz Electronic Export Processing Zone (SEEPZ) or Software Technology Parks of India (STPI) in the State. iv) Bio-technology Units as specified by the Government from time to time, which are outside the purview of any registering authority mentioned above. v) Cold Storages vi) Mechanized Food/Agro Processing in the following sectors: Dairy, Fruit and Vegetable Processing. Grain Processing. Fish Processing. Consumer foods including Packed foods. Non alcoholic beverages from fruits and vegetables vii) Central Public Sector Units which satisfy the qualifying criteria (as mentioned in the Para 2.2 of the GR No.: PSI -2013/ (CR-54 )/IND-8) Classification of s for PSI-2013 :- For the purposes of the PSI- 2013, detailed taluka wise classification of different areas of the State as Group, A /B/ C/ D/ D + etc., on the basis of their level of industrial development shall be as given in Annexure-I to this G.R. where (i) Group A: Denotes Industrially developed areas (ii) Group B: Denotes s where some industrial development has taken place, but are less developed than the areas under Group A (iii) Group C: Denotes s, which are less developed than those covered under Group B (iv) Group D: Denotes the lesser-developed areas of the State, not covered under Group A/ Group B/ Group C. (v) Group D+: Denotes the least developed areas, not covered under Group A/Group B/Group C/Group D. (vi) No Industry District: Denotes District having no industries and not covered under Group A / B/ C/ D & D+. vii) Naxalism Affected : Denotes affected by naxalism, as described in GR No NAVIKA-2008/C.R. 209/Ka Dated ( Annexure II) Financial incentives for MSMES/LSIS under PSI-2013 Taluka Ceiling as a % of Fixed Capital Investment No. of Years MSME LSI MSME LSI A B C D D No industry District Naxalism Affected Implementing agencies for PSI-2013 Category of Industrial Units a) Micro & Small Enterprises b) Cold Storages and processing units mentioned in Para No. 1.2 (v) & (vi) wherein investment in equipments is at par with Micro and Small Enterprises a) Medium Enterprises b) Cold Storages and processing units mentioned in Para No. 1.2 (v) & (vi) wherein investment in equipments is at par with the Medium Enterprises as Tt defined in the MSMED Act, a) Large Scale (LSI) / Mega Projects /Ultra Mega Projects b) Cold Storages and processing units mentioned in Para No. 1.2 (v) & (vi) where in the investment in equipment is more than the medium manufacturing enterprises Mumbai and Mumbai Sub urban s All Other Districts Mumbai and Mumbai Suburban Districts Regions NandedSub- Region Entire State For further information, please visit the website Implementing Agency The Joint Director of (Mumbai Metropolitan Region) [JDI (MMR)] District Centre (DICs) The Joint Director of (Mumbai Metropolitan Region) [JDI (MMR)] The Regional Joint Directors of respective Regions Superintending Officer, Nanded Sub Region Directorate of, Government of 3

4 Nandurbar Region with Potential Geographical Location District headquarter Population 4 District Profile 21 N to N Latitude,73.31 E to E; is located in northern region of 5961 sq. km. Nandurbar Literacy rate 63.04% GDP Per capita income(in INR) Airports/ Nearest Seaport/ Nearest Roads Railways Major Crops Key Technical Institutions (in lakhs) 8214 (in INRCrore) Nearest International airport Pune Mumbai 4554 km. 90 Km Cotton, Sorghum,Paddy, Millet, Maize, Chick Pea, Soybean 9 ITIs and ITCs Osmanabad District in Nandurbardistrict belongs to NashikDivision of State situated between and East longitude and and North latitude. The district is surrounded by Madhya Pradesh State on the North, DhuleDistrict on the East, Gujarat State in the West and Nashikdistrict on the south. The district has a total area of sq. kms., which forms 1.62% of the total geographical area of State. Nandurbardistrict has 6 tehsils viz. Akrani, Akkalkuwa, Taloda, Shahada, Nandurbar and Nawapur. Nandurbar is the district Head Quarter. At the district level, Collector is the Administrative Chief and at Tehsillevel, Tehsildarsare looking after the administration as per Collector s instructions. For rural development, Chief Executive Officer of Zilla Parishad and at block level, Block Development Officers are incharge of the administration. Nandurbardistrict has 2 sub-divisions as mentioned below: (A) Nandurbar : i) Nandurbar ii) Navapur (B) Taloda : i) Shahada ii) Taloda iii) Akkalkuwa iv) Akrani The district can be divided into two broad physiographic parts. One is hilly terrain of Satpuda ranges prominently dominated by tribals i.e. Akrani, Akkalkuwaand Toloda. Second part is Tapi river basin, which is comparatively more fertile and having good irrigation facilities, covered by the three remaining Tahsils i.e. Shahada, Nandurbar and Navapur. The district has a dry climate in general. The temperature attained is of typical of tropical temperature zone. The summer is intolerably hot since March to June every year. The average rainfall in the district is about 888 mm and it is not uniform in all parts of the district. The temperature in the district ranges from 42.8 degree Celsius in summer to 10.6 degree Celsius in winter. The principal river in the district is Tapi River, which flows through Shahada and Nandurbar block and other rivers Vir and Gomai flows through Shahada block. Minerals of economic value are not found in the district. Mud used for making bricks, sand and metal stone used for construction purpose are the only important minerals found in Nandurbar district. The total area under the forest is 104 Thousand hectares which is 20.78% of the total geographical area of the district. The maximum forest area is in Akkalkuwataluka i.e %. It is therefore, essential to have a massive need based and time bound programmes of afforestationand tree planting. The forest produce includes Custard apple, fuel wood, grass, gum, tendu leaves, bamboo, etc. Soil The soil can be divided into 3 zones, which are as under: Zone No. 1 : Akarani block, Western part of Navapur block and Southern part of Nandurbarblock. This zone consists of light shallow and sandy soil. It is good for Kharifcropei.e. for Bajra, KharifJawar, Groundnuts and Cotton, etc. Zone No. 2 : Eastern part of Nandurbar, Shahada, NavapurTahsil. These zones consist of medium quality soil, which is useful for minor irrigation. Zone No. 3 : This zone consist of black cotton soil on the basin of Tapi river. Its water holding capacity is quite Major Sector/s MIDC Zones Energy, Biotechnology, Sugar, Dairy, Spinning mill 1 ( Ha.) Nandurbar-Navapur good. Hence long duration crops are preferred. Part of Nandurbar & Shahada Tahsil is covered in this zone. Proposed Textile Hub In order to boost the textile sector of the state, the MIDC plans to setup a textile unit in the Nandurbar region. MIDC aims to leverage on the launch of the state s textile policy 2012, the availability of the natural raw materials and presence of ports in the vicinity. MIDC in association with NEERI and IIT Bombay plans to establish Common Effluent Treatment Plants (CETP) using innovative technology. It aims to Recycle of water Safer and effective disposal of effluents Reducing the burden in forms of HRTS Techno Commercially acceptable Surat Vadodara Mumbai Nashik Nandurbar CETP Capacity 22 MLD Indore Aurangabad Tourism Toranmalis the second coolesthill stationin state and is near Shahada (approx. 40km). It is the second highest place in. It has a natural lake called YashwantLake which is natural and full of flowering lotus. I Unapdev is a pleasant picnic point in Shahada tehsil. It has a permanentnatural hot water source, and it flows throughout the year from a structure in the shape of a cow's mouth. YashwantLake in Nandurbardistrict Unapdev-Hot Water Spring Land Ha. (under acquisition) Water Supply Prakasha Barrage MIDC has applied for reservation of 5.63 mm3 water Proposed area is in the catchment area of River Tapi For further information on land application, please visit es/ SrvLand.aspx

5 Industrial Estate Profile Akola Industrial Estate Profile Location Profile Geographical Features Longitude : East Latitude : North Altitude : 282(Metres), 925 ( feet) Temperature Summer Average from C Winter Average from C. Rainfall : Average rainfall of 850 mm Rock Available: Basalt Rock Water Infrastructure Availability Permanent Water Supply Scheme of MLD maximum capacity through Maha Dam has been implemented by MIDC Plot holder name M/s B. K M/s Noble Grain M/s Narayan dall mills Major Players in Jalna Type of industry Food Processing (Oil products) Food (Oil Mills) Food (Dal Mills) Regional Office C.F.C Building, MIDC Industrial Badnera Road Amravati Tel : /520998, Fax : roamravati@midcindia.org Officers in Charge: Shri A.N Choudhary (Regional Officer) Mr.. G Murumkar ( Manager) Classification D+ The district of Akola lies in the western parts of the Nagpur Division of State and is surrounded by Amravati district in the north and north-east, yeotmal in the south-east, Washim in the south and Buldhanain the west. The district is major producer of Cotton amongst other crops. General Information Site Connectivity Social Infrastructure MIDC has provided the infrastructure to facilitate industrial development and every assistance is provided for the region s growth. The park is located on hectares of land situated 8 km from Akola city. By Road:- Akola industrial area is Located on Dhule Nagpur (NH - 6), 8 km from Akola city, 86 km from Amravati city, 138 km from Buldana city, 241 km from Nagpur city, 493 km from Pune city and 639 km from Mumbai city By Rail:- Nearest railway Station is Akola (10 km), Amravati (87 km), Nagpur (240 km). Pune (492 km) Airports:- Nearest airstrip - Amravati (86 km), Nearest Domestic and international airport - Nagpur (241 km) Water Ports:- Nearest port Jawaharlal Nehru Port Trust (630 km). Colleges:- Government Mediacl College (Akola), Shree Shivaji College of Arts & Commerce (Akola), Janta Homeopathic College (Akola), RLT College Of Engineering (Akola). Hospitals:- Kherde's Hospital (Akola), Ozone Multispecialty Hospital ( Akola), Joshi Hospital (Akola), Lady Harding Hospital (Akola) Schools:- Mount Caramel Hospital (Akola), Holy Cross Convent High School (Akola), Bharat Vidyalaya (Akola). Hotels:- Hotel Venus International (Akola), Hotel Regency (Akola), Hotel Central Plaza (Akola). Hotel Vaibhav (Akola). Fire Services Internal Road Connectivity Electricity Telecommunications Fire station is available in the vicinity and is operational Plots are divided into small, medium & large sizes and with respect to it the following internal road has been provided. The roads are mostly 45 M, 30 M and 25 M wide which are well connected through out the industrial area. State Electricity Distribution Company Ltd (MSEDCL ) provides electricity to major industrial areas. Substations within the industrial area having capacity of 33 KV has been installed. Existing substation - Power sub station having capacity of providing 33 KV (within industrial area) has been installed. Power is made available through Express Feeder to the industrial area. Additional supply of Power can be made available as per the demand. Power Generating Capacity MVA The site is in close proximity to major cities and district with all major telecom providers existing having a good network connectivity. M/s Pure pulses Corporation. Food (Dal Mills). Jalna industrial in 5

6 DSK Motorwheels mulls setting up an assembly line Super-bike retailer DSK Motowheelsis planning a new manufacturing facility near Pune. The company has identified 100 acres at Shalgaon, 200 km from Pune. Construction of the INR crore project is expected to start in three to four months and the plant will start assembling bikes in 10 months, said ShirishKulkarni, Managing Director, at the launch of the company s 25 retail showrooms in the country. Important characteristics of As per the latest figures published through the economic survey of , the net value added by the industries has been derived to be at INR 152,238 crore. The state industries has witnessed an increment of per cent. The major push has been seen in the cotton ginning and cleaning sector, with increment of over 900% over the previous year. Investment Update Pune-based DSK Motowheels, part of the diversified INR 5,000-crore DSK group, holds the exclusive rights to assemble and distribute the Korean brand of super bikes (Hyosung) in India. The top three sectors Coke and refined petroleum, Chemicals and Chemical Products, and Machinery and Equipments together added to 44.4 per cent of the total net valued in the state. Pune-based DSK Motowheels, part of the diversified INR 5,000-crore DSK group, holds the exclusive rights to assemble and distribute the Korean brand of super bikes (Hyosung) in India The company has identified 100 acres at Shalgaon, 200 km from Pune. Construction of the INR crore project is expected to start in three to four months and the plant will start assembling bikes in 10 months, said Shirish Kulkarni, Managing Director DSK acquired the super-bike business from Garware Motors in June last year. Since then, it has sold 1,200 bikes, clocking INR 42 crore. DSK also acquired Garware sassembling facility in Wai near Pune. This facility assembles around 250 bikes a month (10 bikes in a shift). After the Shalgaon facility begins operations, DSK plans to convert the Wai facility into a warehouse. The new facility is expected to assemble 18 bikes a shift. Exports could be looked into in the future. At present, most components are imported from South Korea, through S&T Motors, which owns the Hyosung brand. Over a period of time, DSK expects to get into full-fledged manufacturing and sourcing components locally. Whether the Korean company S&T Motors will look at investing in the Indian venture, Kulkarni said this is unlikely to happen now. The Hyosung range in India includes sports and cruiser bikes in the cc range, priced Rs 2.8 -Rs 5.8 lakh. DSK is looking at introducing commuter bikes in the cc range next year or in Super-bikes are high-performance motorcycles used for adventure riding, not daily commuting. This segment is growing at 25 per cent year-on-year. The major players are Harley-Davidson, Honda and Yamaha. Total Coke, refined petroleum products etc. Chemicals and chemical products Machinery and equipments Rubber and plastic products Fabricated metal products Basic metals Food products and beverages Electrical machinery and apparatus Motor vehicles, trailers Other transport equipments Furniture (not elsewhere classified) Textiles Office, accounting Others Other non- metallic mineral products Cotton ginning, cleaning etc. Publishing and printing Wearing apparel Paper and paper products Tobacco products Tanning and dressing of leather Wood and wood products Extraction of salt Below is break up of the industry sub segments as per the net value added Classification of the Important Characteristics of as per the Net value added to the State Economy. All figures in INR Crore

7 Feedback Dear BhushanJi, Thanks a lot for sending newsletter of Government to me. And I visited the link which you sent to me. Japanese enterprise will have the interest of the business opportunity in your country in near future. We will keep to watch your country from now on. Best Regards, Y.Tsuruoka Apogee Japan, Inc. Government of Industrial Development Corporation Udyog Sarathi Mahakali Caves Road, Andheri(E), Mumbai Board Numbers: / 54 / 73, Fax: , mahaconnect@midcindia.org, feedback@midcindia.org Knowledge Partner Dear Sir, Went through the Newsletter with interest. Heartening to see the high standards of the current issue and the insight that it provides into the industrial growth in the state. Thank you and best wishes. SubrataDas Counsellor, Embassy of India, Kathmandu, Nepal Mercedes-Benz India at Chakannear Pune Disclaimer Industrial Development Corporation ( MIDC ) has engaged Ernst & Young Pvt. Ltd. ("Ernst & Young") to prepare this document and the same has been prepared by Ernst & Young in consultation with MIDC. This document is for information purposes only. While due care has been taken during the compilation of this document to ensure that the information is accurate to the best of Ernst & Young's knowledge and belief, the content is not to be construed in any manner whatsoever as a substitute for professional advice. Ernst & Young does not assume any liability or responsibility to any person for the outcome of decisions taken by such person as a result of any reliance placed on this presentation. Ernst & Young shall not be liable for any direct or indirect damages that may arise due to any act or omission on the part of the user due to any reliance placed or guidance taken from any portion of this presentation All rights reserved. All copyright in this presentation and related works is solely and exclusively owned by MIDC and the Authors. The same may not be reproduced, wholly or in part in any material form (including photocopying or storing it in any medium by electronic means and whether or not transiently or incidentally to some other use of this presentation), modified or in any manner communicated to any third party except with the written approval of MIDC 7