North GujaratThe Investment Capital of Gujarat

Opportunities for Micro Small and Medium Enterprises (MSMEs)

1

Why North Gujarat is an attractive investment destination?

► North Gujarat comprises of

seven districts namely-

Ahmedabad, Aravalli,

Banaskantha, Gandhinagar,

Patan, Mahesana and

Sabarkantha.

► The region occupies 21.35% of

Gujarat’s landmass and

accommodates 26.7% of its

population. 47% of the

population of the region lives in

urban area. 1

► North Gujarat is known for

textiles, engineering,

automobile & auto ancillaries,

chemicals, gems & jewellery and

pharmaceutical industries.

► Key sectors for service industry

are identified as financial

services and IT & ITeS.

► The key exports of the region

include, organic and inorganic

chemicals, textiles, dyes

dyestuff and pigment,

electronics, plastic machinery

and packaging products

1

Map of North Gujarat

Source: 1Census of India, 2011

►Ahmedabad is

industrially

dominant district

► It has been

selected among

the first 20 Smart

Cities in India. This

would give further

boost to its

infrastructure so it

could flourish as

one of the smart

industrial centre of

the nation

2

2

Available Infrastructures

Road Connectivity

► The region is well connected through

national and state highways. It falls in

golden quadrilateral (GQ) connecting

the four metropolitans of India.

Port Connectivity

► Magdalla Port: Cargo handles-

Coal, cement, clinker, crude oil,

steel, naphtha, and fertilizer, lime

stone, iron ore, LNG, container

cargo, rock phosphate

► Jetty Information: GMB Jetty,

Essar, Reliance; Gujarat Ambuja

Cement Ltd.

► Cargo handled capacity:

38.05MMT p.a.

2

1620

1490

1219

934

525

405

260

110

30

0 500 100015002000

Kolkata

Bangalore

Hyderabad

Delhi

Mumbai

Indore

Surat

Vadodara

Gandhinagar

D i s t a n c e ( k m ) f r o m Ah m e d a b a d t o m a j o r

C i t i e s

Source: NHAI, Western Railway, AAI, GMB; MMT- Million Metric Tons

Rail Connectivity

► Major Railway station: Ahmedabad

Railway Station

► Other Important railway station:

Ambli, Asarva, Chandlodiya and

Mehsana

Air Connectivity

► The region has one international

airport at Ahmedabad and called

as Sardar Vallabhbhai Patel

International airport.

► It is 12 km from city center

► Distance from airport to Surat

302 km, Vadodara 156 km

Road Network

►National Highways

connect

Ahmedabad to

Rajkot, Kandla,

Mundra and

Junagadh etc.

Rail Network

►North Gujarat is

well connected to

most part of the

country through

an extensive rail

network

International Airport

► Sardar Vallabhbhai

Patel International

airport is located

in North Gujarat

region

Port

► The nearest port is

Magadalla

Water Supply

2

►Gujarat has an

installed capacity

of around 25,

174 MW of power

generation

► Sujalam

Suphalam

transverse

through seven

districts from

Mahi to Banas

river

► State has several

ongoing

programs for

entrepreneurship

development,

Skill Up gradation

and certified

training courses

Available Utility Infrastructures(Cont.)

3Source: UGVCL, GSEL, GGCL, GSPL, GAIL, GPCB, GWSSB, NSDC India, CED Gujarat

Power Supply

► Northern region’s electricity

distributor is Uttar Gujarat Vij

Company Ltd. UGVCL network

spreads over 1.6 lakh km (HT+LT)

serving consumer base of more than

31 Lakh. There are 445 sub-stations

under UGVCL.

► 590 MW capacity Gujarat Solar Park

spread across 5,384 acres is located

at Charanka village of Patan District.

GPCL is the nodal agencyGas Supply

► The gas pipeline network in North

Gujarat is being operated by GAIL

(India) Limited, Gujarat State

Petronet Limited (GSPL) and Gujarat

Gas Company Limited (GGCL).

► GAIL operates 175 Km of the

network in North Gujarat

► GSPL operates 1550 KM

► GGCL: Major operations are in the

industrial hub of South Gujarat

Effluent Discharge

► 12 CETP with capacity 29.55 MLD

operational in the region

► 1 more CETP is proposed with

capacity of 100 MLD in Ahmedabad

► All of the seven districts of North

Gujarat are under Sardar Sarovar

Canal based project (SSC) and

Sujalam Suphalam Yojana (SSY)

► The two schemes are being

implemented under Narmada Master

Plan

► 214 km bulk water transmission

pipeline has been completed

► 332 km long Sujalam Suphalam canal

passes through seven districts of

North Gujarat

Banking & Finance

► The region has Public Sector Banks,

Private Sector Banks, Regional Rural

Bank (RRB), Cooperatives Bank, and

Non-Banking Finance Company

(NBFC). The lead bank for MSME

lending in Ahmedabad, Gandhinagar,

Mahesana, Sabarkantha,

Banaskantha and Patan is Dena Bank

Skill Up-gradation Centers

► National Skill Development Corporation

has 30 Skill Up-gradation Centers

(SUCs) in the region

► Centre for Entrepreneurship

Development (CED) has 11 training

partners for short term bridge courses,

11 partners as specialized training

centres and 8 as anchor institutes

► GIDC has 53 SUCs constructed in

various GIDC estates across the state

3

4

MSME Overview

Unit: 93656Investment: 30,57,867 lakhEmployment: 6,38,506

Major Industries: Agro Products, Chemical, Textiles, Food Processing

Unit: 3,539Investment: 4,21,848 lakhEmployment: 58,391

Major Industries Electronics, Food Processing, Textiles

Unit: 1,272Investment: 46,737 lakhEmployment: 8715

Major Industries: Food Processing, Paper and Pulp, Cotton based industries

Unit: 2,970Investment: 90,113 lakhEmployment: 23858

Major Industries: Food Processing, Tourism, Mineral based industries

Unit: 22Investment: 6,291 lakhEmployment: 291

Major Industries: Engineering, Mineral based industries

Unit: 2232Investment: 1,30,737 lakhEmployment: 19442

Major Industries: Engineering, Repairing and Servicing, Food Processing

Source: Industries Commissionerate, MSME data 2006-15, GoG

► Total MSME in

Gujarat (2006-

15) is 3,76,044

► Total MSME in

North Gujarat

(2006-15) is

1,06,578

► The Northern

region of Gujarat

contributes 28%

of MSME units to

the state

►Ahmedabad

contributes 25%

of MSME units

making it

industrially most

important district

of the region

4

5

Industrial Cluster

Industrial Park

Available Industrial Infrastructures

Source: GIDC 2017, Industries Commissionerate, SEZ India

4Mandal

5Bavla

6Narmada

1Kalol

3Sanand

14 Private Industrial Parks

1Kadi

98

Ahmedabad

Gandhinagar

10 6Banaskantha

114 Industrial Clusters

Industrial Cluster

14 Private Industrial Parks

9GN

15Ahd

6Narmada

6Patan

9MN

9SK

6BK

Ahd is Ahmedabad, GN is Gandhinagar, MN is Mahesana, SK is Sabarkantha, BK is Banaskantha

The SEZs are involved in several sectors. Some of the popular sectors are Information Technology (IT & ITeS), Pharmaceutical, Apparels, Electronics & Engineering.

Special Economic Zone (SEZ)

4

Operation

4

PrincipalApproval

Notified

9

►North Gujarat alone

has 114 clusters,

with investment of

Rs. 13,89,216 and

4,17,858

employment

4

►Operational SEZ

9

►Notified SEZ

4

► Formal Approved

SEZ

4

6

Ahmedabad

Operational Special Economic Zone (SEZ)

Available Industrial Infrastructures(Cont.)

Source: GIDC 2017, Industries Commissionerate

Operation

• Zydus Infrastructure Pvt.Ltd., Sanand, AhmedabadArea: 48.83 ha, Sector: Pharma

• Ahmedabad Apparel Park (GIDC), AhmedabadArea: 38 ha, Sector: Apparel

• Electronic SEZ (GIDC), GandhinagarArea: 37.85 ha, Sector: Electronics

• Tata Consultancy Services, GandhinagarArea: 10.31 ha, Sector: IT / ITeS

Special Investment Regions (SIRs)

Special Investment Regions in North Gujarat

Location Area in

sq.km

Detail

► Dholera ► 879

► Knowledge Based Industries (Biotechnology,

IT/ITES, Education and Training), Light

Manufacturing (Textiles, Electronics, Leather,

Toys, Ceramic), Engineering

► Changodar ► 319► Agro Based. Steel & Metal. Plastic,

Pharmaceutical and Oil & Gas

► Santalpur ► 186

► Agro Based (Spices And Seed Processing,

Vegetable and Fruit Processing, Dairy, Cotton

Ginning), Contract Farming, Solar Power,

Logistics

► Sanand-

Viramgam► 301

► Automobile & Engineering, Healthcare,

Pharmaceuticals & Fertilizers

► Mandal-

Becharaji► 101.72

► Automobile Industry, Auto-Component Vendor

Park, Information Technology, Logistics,

Precision Engineering, Wind Power & Solar

Power Equipment Manufacturing

5

Policy Supporting MSME

►Gujarat

Government has 18

policies, that are

directly or

indirectly

associated with

MSME

►New Industrial

Policy 2015, Textile

Policy 2012, Agro

Policy 2016, Solar

Power Policy 2015,

Electronics & ITeS

Policy 2016,

Manufacturing

Policy 2013 and

Cottage Scale and

Rural Industries

Policy 2016 are of

prime importance

for MSME sector

New Industrial Policy 2015-20

Industrial Policy 2016-21 (VAT)

Electronics &

IT/ITeS Policy

2016-21

Electronics &

IT/ITeS

Startup Policy

2016-21

Comprehensive

Agro Business

Policy 2016-21

Solar Power

Policy 2015

Cottage and

Rural Industries

Policy 2016

Electronics

Policy 2016-

21

Tourism

Policy 2015-

20

eGovernance

Policy 2014

Gujarat

Textile Policy

2012

Gujarat

Small Hydel

Policy 2016

Port Policy

1995

Aerospace

and Defence

Policy 2016

Waste to

Energy Policy

2016

Wind Power

Policy 2016

Biotechnology

Policy 2016

Manufacturing

Policy 2013

7

8

All incentives under the Industrial Policy 2015 are available for the five year policy period unless

specified otherwise. For more details visit ic.gujarat.gov.in

Interest Subsidy

SME Awards Start Up

R&D

PatentRaising Capital via SME

Exchange

5% up to Rs.25 Lakh/annum in municipal areas &

7% up to Rs.30 Lakh/annum in other areas. 1% additional subsidy to youth, women,

SC/ST, Physically Challenged. For MSME Service Sector, 5% with cap of Rs.25 Lakh/annum

10% up to Rs.15 Lakh of loan in

municipal areas & 15% up to Rs.25 Lakh of loan amount in other areas

50% assistance of up to Rs.50 Lakh

Exhibition through associations/federation/chamber. 60% of rent up to Rs.10 Lakh for

International 60% of rent up to

Rs.7 Lakh for National Fairs

20% up to Rs.50 Lakh of project costas promoter’s contribution

50% cost of preparation of

diagnostic report through Expert/Expert Agency with

ceiling of Rs.1 Lakh

60% of project cost for machinery &

equipment.50% up to Rs.50 Lakh of project

research to R&D institutions /

AICTE approved colleges

Award of Rs.2 lakh to Best MSMEs in

each category along with Regional Awards of RS.1 Lakh each from 5 regions. Separate

awards for Women, SC, ST, Young Entrepreneur

Rs.5 Lakh for mentoring to

institutions & Rs.10 Lakh for

raw material, components for innovative process.

Rs.10,000/month to Innovator

50% up to Rs.50,000/annum rent assistance in

municipal areas & up to Rs.25,000/annum in other

areas for 3 years

50% up to Rs.50,000 on ERP, Consultation fee @50% with cap of

Rs.50,00050% up to Rs.5 Lakh on ISI/WHO-

GMP/Hallmark certifications

20% up to Rs.5 Lakh expenditure for

raising of fund through SME

75% up to Rs.25 Lakh for obtaining

patent registration

Capital Investment

Subsidy

Sick Industries

Rehabilitation

Quality Certification

Technology Acquisitions

Market Development

Rent to MSEs for Shed and

Plots

Venture Capital

Reimbursement of CGTMSE

fees

100% reimbursement of fees to women, SC/ST,

physicallychallenged entrepreneurs for service fees for

availing

collateral free loans up to Rs.2 crore

Industrial Policy 2015Incentives

Registration

6

7

MSME Facilitation Desk

Ahmedabad MSME facilitation desk is formed to to assist in the process of setting up a

business unit till its commissioning & provide hand-holding support thereafter. The

investors of central region may avail policy & incentive related guidance, financial

guidance, gather knowledge on specific sector and its associated support from MSME

facilitation desk. The desk is located at Vadodara District Industry Centre (DIC).

Gandhinagar

Ahmedabad

Surat

RajkotVadodara

AhmedabadDistrict Industries Centre1st Floor, Bachat Bhavan, Relief Road,Ahmedabad 380001Phone: 079 - 25503568 Mail-id: msmedesk-ahm@gujarat.gov.in

► Collaterals / brochures for the current policies & schemes

► Rebates/ subsidies available from central & state government

► Knowledge Repository

► Assistance for setting up MSMEs

► Sector specific knowledge & guidance

► Guidance on government procedures / approvals / clearances

► Investor facilitation / interaction

► Guidance for filling forms, approvals, schemes, policies,

incentives, etc.

► Handling investors’ queries

► Inter-departmental co-ordination

Hand Holding

► Guidance for financial availability

► Assistance for knowledge dissemination workshops / Seminars

► Information related to financial incentives through government

schemes

Financial Guidance

Setting up of Enterprise

Knowledge Support

VadodaraDistrict Industries Centre 1st Floor C – Block, Narmada Bhavan, Jail Road, Vadodara 390001Phone: 0265 - 2411400 Mail-id: msmedesk-vad@gujarat.gov.in

GandhinagarOffice of the Industries CommissionerBlock No. 1, 4th Floor, Udyog Bhavan,Gandhinagar 382 010. Gujarat. INDIAPhone: 079 - 232 – 52630Email ID: msmedesk-ic@gujarat.gov.in

SuratDistrict Industry Centre2nd Floor, C block Bahumali BuildingNanpura, SuratPhone: 0261 2465928Mail-id: msmedesk-sur@gujarat.gov.in

RajkotGujarat State Financial Corporation Race Course Ring Road, Near Life Building, Rajkot- 360001Phone: 0281-2443664Mail-id: msmedesk-raj@gujarat.gov.in

8

10

National Level State Level

Useful links

Bureau Of Indian Standards

www.bis.org.in

Udhyog Aadhar

www.udyogaadhaar.gov.in

Development Commissioner(MSME)-

Ministry of Micro, Small & Medium

Enterprises

www.dcmsme.gov.in

Department of Industrial Policy &

Promotion- Ministry of Commerce &

Industry

www.dipp.nic.in

Ministry of Textiles

www.ministryoftextiles.gov.in

E Biz Portal

www.ebiz.gov.in

Rajiv Gandhi Udyami Mitra Yojana

www.rgumy.nic.in

National Small Industries Corporation

Ltd (NSIC)

www.nsic.co.in

Gujarat Infrastructure Development

Board

www.gidb.org

The Centre for Entrepreneurship

Development

www.ced.gujarat.gov.in

Electronics & Quality Development

Centre

www.eqdc.in

Gujarat Urja Vikas Nigam Limited

www.gseb.com

Gujarat Pollution Control Board

www.gpcb.gov.in

Industries Commissionerate

www.ic.gujarat.gov.in

Industrial Extension Bureau

www.indextb.com

Gujarat Industrial Development

Corporation

www.gidc.gov.in

8

11

Useful links (Contd.)

State Level (Cont.)

Gujarat Mineral Development Corporation

www.gmdcltd.com

Tourism Corporation of Gujarat Limited

www.gujarattourism.com

Gujarat Maritime Board

www.gmbports.org

Gujarat Agro Industries Corporation

Limited

www.gujagro.org

Govt. of Gujarat-AMA center

www.gogama.org

Gujarat State Financial Corporation

www.gsfc.gujarat.gov.in

Commissioner of Geology & Mining

www.geomining.gujarat.gov.in

Gujarat State Handloom & Handicrafts

Development Corporation Ltd

www.gurjari.co.in

Commissioner, Cottage & Rural Industries

www.cottage.gujarat.gov.in

Gujarat Industrial Investment Corporation

Limited

www.giic.gujarat.gov.in

Industries & Mines Department

www.imd-gujarat.gov.in

Prepared by:

MSME Facilitation DeskGandhinagar

07923252630msmedesk-ic@gujarat.gov.in

Ahmedabad07925503568msmedesk-ahm@gujarat.gov.in

Surat0261 2465928msmedesk-sur@gujarat.gov.in

Vadodara02652411400msmedesk-vad@gujarat.gov.in

Rajkot02812443664msmedesk-raj@gujarat.gov.in

For more details and other desk information visit – ic.gujarat.gov.in/msme-facilitation-desk.aspx