KOREAN INVESTMENT ZONE
AT GHILOTH, RAJASTHAN
STRUCTURE OF PRESENTATION
—
INTRODUCTION TO RAJASTHAN
—
ABOUT KOREAN INVESTMENT ZONE
—
POLICY ENVIRONMENT
—
SECTORS FOR INVESTMENT
Why Rajasthan?
THE LAND OF OPPORTUNITIES
STRATEGIC LOCATION
• Close to the national capital
• Located along the North-Western development corridor of India
• Air links to principal cities
• International air-port
• Linkages to Kandla Port, Jawahar Lal Nehru Port and other ports
• 20 National Highways passing through the state
• 147 Railway stations
• 8 Inland container depots (ICD) facilitating trade
• 1 air-cargo complex
Delhi Mumbai Industrial Corridor (DMIC)
— Being developed as ‘Global
Manufacturing and Trading Hub’
— Along Dedicated Freight Corridor (DFC) that will connect Delhi to Mumbai
— 39% of total length passes through Rajasthan
— 60% of State area (22 districts) and 80% of State population falls in
DMIC Project Influence Area
— First Node: Khushkheda-Bhiwadi- Neemrana Region – 165 sq km
Proximity Advantage
—
Access to high growth markets
◦ NCR comprises 20 districts located near Delhi, with high growth potential
—
Access to economic center of India
◦ NCR GDP contributes ~10% to India GDP
—
Captive audience available for all consumer facing products
◦ Access to enormous market of 50 million people in NCR
Ample Power
—
Total Installed Capacity: 15,175 MW
—
Over 3400 MW Renewable Capacity (23%)
◦ Solar 725 MW
◦ Wind 2798 MW
◦ Bio-mass 114 MW
—
New Initiative:
◦ Capacity addition of 6,500 MW in the State in next five years
Educational Infrastructure
— Highest number of finance professionals like CAs, ICWAs and CSs from Rajasthan.
— Large no. of Technical Institutions to power industrial growth
Courses Institutes Engineering 131
MBA 111
MCA 45
Polytechnic 179
Total 466
Industrial Infrastructure
— Well Developed Industrial Infrastructure across the State
◦ 328 Industrial Areas
◦ IT Parks
◦ Special Economic Zones (SEZs)
◦ Agro Parks
◦ Export Promotion Industrial Parks (EPIPs)
◦ Stone Parks
◦ Solar Park
◦ Leather Park
Already in Rajasthan
Engines &
Parts
MICO Bosch, Federal Moghul Goetze, Shriram Pistons &
Rings Ltd, Bestex MM India, Amtek, Continental Engines, Transmission
& Steering Systems
OCAP Steerings, Hi-Tech Gears Ltd., Amson Automotive, Ashoka Gears
Suspension, Brakes & Tyres
Nissin Brake, Horizon Industrial Products, J.K. Tyre, Balkrishna Tyre, Chakradhali Wheels
Electricals Havells, Motherson Sumi
Ball Bearings National Engineering Industries – Ball bearings in technical collaboration with NTN of Japan.
Others Caparo Fasteners, Toyota Gosei, ACI Mitsui, CNC Automotive, Climate Systems,
Auto component manufacturers in
Rajasthan
ABOUT KOREAN
INVESTMENT ZONE
Location
NEARBY NEEMRANA TOWN
— A part of National Capital Region (NCR)
— Home to 8 industrial areas of RIICO spread around an area of 3529.19 acres
— 686 units under production with investment of around Rs. 64 Billion and providing direct employment to over 36000 people.
— Has a gas terminal of Gas Authority of India Limited (GAIL).
— A logistics park for freight transportation at Khatuwas
About Ghiloth Industrial Area
— 7 Km off the National Highway connecting Delhi and Jaipur, around 100 km from the Delhi airport
— Over 1900 Acre of land (including land for approach road)
— Part of Delhi-Mumbai Industrial Corridor (DMIC) along with excellent logistics
facilities.
— Zones - Japanese Investment Zone, Korean Investment Zone, Ceramic & Glass Zone and General Zone.
Korean Investment Zone
— Korean Investment Zone created at Ghiloth Industrial Area
— Total Area: 263 acre
— Area opened up for allotment
— To be eligible for allotment, the applicant is required to have major equity (50%+) from Korean entity. (Certificate of KOTRA or any other document to certify that the new company is majority owned by a Korean company. )
— Allotment rate – Rs. 3500/- per sqm.
— An allottee is to commence production within 3 years from date of handing over possession.
Plots
Category of plots
Standard Area of Plot (Sqm.)
Total planned
plots
Plots available for
allotment.
C Type 6000 Sqm. 9 9
B Type 8000 Sqm. 9 9
A Type 10000 Sqm. 9 7
SP7 Type 3 to 4 Acre 7 7
SP6 Type 5 Acre 5 3
SP4 Type 6 Acre 1 1
SP3 Type 7 to 9 Acre 3 3
Total 43 39
Plot sizes can be increased by merging the plots
POLICY ENVIRONMENT
Policy Environment
— Rajasthan Investment Promotion Scheme, 2014
— Solar Energy Policy, 2014
— Policy for Promoting Generation of Electricity from Wind, 2012
— Rajasthan Mineral Policy, 2015
— Policy for Promotion of Agro-Processing & Agri- Business, 2010
— Rajasthan Tourism Unit Policy, 2015
— New initiatives - IT and ITeS Policy to be launched shortly
Established Institutional Mechanism
—
Bureau of Investment Promotion (BIP) is Single Window for investment facilitation – www.investrajasthan.com
—
Statutory mechanism for accelerated &
time-bound grant of approvals & licenses
—
Transparent online application tracking
facility
Incentives to Manufacturing Units (RIPS 2014)
— 30% Investment subsidy of VAT and CST deposited, for seven years.
— Up to 20% Employment Generation Subsidy of VAT and CST deposited, for seven years.
— 50 % Exemption from payment of Electricity Duty , for seven years.
— 50 % Exemption from payment of Land Tax, for seven years.
— 50 % Exemption from payment of Stamp Duty; and
— 50 % Exemption from payment of conversion charges.
— Customised packages to
◦ Enterprises investing more than INR 5 billion or providing employment to more than 500 persons;
◦ Enterprises investing more than INR 1 billion and using listed minerals (of Rajasthan), as raw material.
Special Incentives to ESDM Units (RIPS 2014)
— Enterprises making a minimum investment of Rupees twenty five lakh:
◦ Investment Subsidy of 75% for first four years, 60%
for next three years and 50% for the next three years of VAT and CST, for a total period of seven years.
◦ Employment Generation Subsidy up to 10% of VAT and CST for ten years;
◦ 50% exemption from payment of Entry Tax on capital goods, for setting up of plant.
— Cutomised package to enterprises investing more than Rs. 500 crore or providing
employment to more than 500 persons
Special Incentives to Defence Production Units (RIPS 2014)
— To enterprises making an investment from INR 1billion to INR 5 billion
◦ Investment Subsidy of 50% of VAT and CST, for seven years;
◦ Employment Generation Subsidy up to 10% of VAT and CST, for seven years; and
◦ 50% exemption from payment of Entry Tax on capital goods.
— Benefits to enterprises making an investment equal to or above INR 5 billion:
◦ Investment Subsidy of 65% of VAT and CST, for ten years;
◦ Employment Generation Subsidy up to 10% of VAT and CST, for ten years; and
◦ 50% exemption from payment of Entry Tax on capital goods.
SECTORS FOR
INVESTMENT
OPPORTUNITY : Automotive
— Automotive hub in Alwar, north to the National Capital Region (NCR), with the largest concentration of automotive companies
— Alwar district has over 150 automotive manufacturing companies
— Existing players include Honda Cars, Honda Motorcycle & Scooter, Hero MotoCorp, JCB, Ashok Leyland,TAFE, Polaris, Nissin
OPPORTUNITY : Ceramic & Glass
— All major Ceramic & Glass minerals are present in Rajasthan
— These include ball clay, fire clay, silica sand, feldspar, gypsum, china clay, limestone, talcum, dolomite
— Availability of Gas in NCR
— Exclusive Ceramic & Glass Zone over 650 acres
— Major Players:
◦ Saint Gobain, EID Parry, Roca, HSIL, Kajaria, Liberty…
OPPORTUNITY : E S D M
— 50 Acre land has been reserved for Electronic Manufacturing Cluster in Bhiwadi region
— Around 125 Acre land has been earmarked at Kaladwas in Udaipur for IT & Electronics industries
— Ajmer, Bhiwadi, Neemrana, Kota and Udaipur have been notified under Modified Special Incentive Package Scheme (MSIPS) of GoI for Electronic Manufacturing Cluster
OPPORTUNITY :
Defence Manufacturing
— Steps have been initiated by GoI to encourage private sector to invest in the defence industries:
◦ Encouraging R&D
◦ Indigenization
◦ Import substitution
— FDI limit in defence sector has been increased from 26% to 49%
— Union Budget announcement: Rs. 100 crore Technology Development Fund for R&D in defence
— Rajasthan is working on strengthening of infrastructure
— Resurgent Rajasthan Partnership Summit on 19-20 November, 2015 at Jaipur
— A chance to take a closer look at investment environment and opportunities in Rajasthan
— An endeavor to bring together leading investors from all over the world, senior State government officials and local business community
THANK YOU
Anil Sharma
Chief General Manager (Business Promotion), RIICO
Udyog Bhawan, Jaipur - 302021 Mob: +91-94140-49407
Email: anilsharma@riico.co.in
S.C. Garg, Sr. Regional Manager, RIICO Ltd. Ghiloth, Industrial area Shahjahanpur Teh.- Neemrana, Distt. Alwar (Raj.) Mob: 09414013640, 9413341372 Email: ghiloth@riico.co.in