Rajasthan

An emerging

Petrochemical investment

destination

Refinery and Petrochemical Complex

2

Proposed refinery in

Barmer The refinery and petrochemical complex will provide inputs for industries

such as:

Plastic, Rubber, Dertergent, Fibre, Lubricant, Dyes, Drugs, Pesticides,

Paints, Cosmetics, etc.Source: https://www.hydrocarbons-technology.com/projects/barmer-refinery-petrochemical-complex-rajasthan/https://economictimes.indiatimes.com/industry/energy/oil-gas/hpcls-barmer-refinery-achieves-financial-closure/articleshow/67726473.cms?from=mdr

Location: Pachpadra, Barmer

Petrochemical Complex

Total capacity of refinery: 9 Million metric tonnes per annum

Employment: 1,200 direct and 4,000 indirect

Project cost: Rs. 43,129 Crore

Integrated Industrial zone is being developed in vicinity of

Refinery and Petrochemical Complex

3

Rajasthan’s growing base of oil & gas along with the proposed Refinery

Key

highlights

Leading

Players

State accounts for 23% of total

domestic crude oil production

2nd largest producer of crude oil and

3rd Largest onshore producer of

Natural Gas

High Potential for development of entire value chain

State has adequate raw material in form of Crude Oil for

refinery

High domestic demand fuel and 3rd Stage/ Finished product

of Value chain

Output of Petrochemicals may fulfil input demand of

leading sector of state e.g. Fibers for textiles, Parts for

Auto, Intermediate Chemicals for Chemical and Pharma

Sector etc.

Project of Barmer Refinery at Pachpadra, Rajasthan with refining capacity 9 MMTPA

is in under implementation by HPCL and State Government

Petrochemical Products Applications

LLDPE: Extrusion coating application for liquid containers, drip laterals for irrigation, flexible packaging, dispensing bottles, buckets, wash bottles, tubing, various molded laboratory equipment, plastic bags, Electrical Cables, etc.

HDPE: Blow- moulding application such as bottles for milk and others, non carbonated drinks, drums, fuel tanks for automobiles, toys and household goods.

PP: Packaging and labeling, textile, stationary, plastic parts and reusable containers of various type, laboratory equipment, carpeting, coating, etc.

Butadiene: Synthetic Elastomers in Tyre industry, Nitrile Rubber hoses, Mechanical belts, footwear, co-monomer for ABS resins Kitchen appliances etc.

Benzene: Intermediate for chemicals for ethylbenzene, Cumene, Cyclohexane, Nitrobenzene and Alkyl-Benzene used in the manufacture of plastic, drugs, dyes, Safety glasses, Tents, etc.

Toluene: Solvent in paint thinners, nail polish remover, glues and correction fluid, food casing, furniture, Nylon, Textile, Clothing etc.

Rajasthan: An introduction

55

Home to 68.5 million people

Largest state in India with area of 342,239 km2 (10% of India’s area)

GSDP of US$ 129 billion at current prices in 2017-18

Services sector contributed 47.41 %, agriculture sector 24.76% & industries sector 27.83 % to State’s GSDP (current prices) in 2017-18

Annual average exchange rate for 2017 of 1US$= 65.1216 INR Source: Handbook of Statistics on the Indian economy by Reserve Bank of India; Directorate of Economics and Statistics of respective state governments.

Strategic

location

Robust

infrastructure

Skilled

manpower

Effective

governance

Resource

advantage

Strengths of Rajasthan

6

Strategic location

7East West Corridor

Golden Quadrilateral

DMIC

North South Corridor

Silchar

Visakhapatnam

Kamarajar

Chennai

Kolkata Haldia

Paradip

Srinagar

Ludhiana

Delhi

Rajasthan

Consumption Zone

Mumbai

State connecting to India’s largest corridors.01

03

04

0238% of DFC passing through the State.

60% of DMIC influence zone in the State

Forms ~25% of the total National Capital Region (NCR)

Easy access catering to ~40% the market of the country by

population

Strategic location – Bharatmala

Out of 44 identified economic corridors, 8 are passing

through the State01

Provide connectivity to 500+ districts and Inter-corridor

-feeder routes of the project will provide first mile and last

mile connectivity

Provide connectivity to economically important production

and consumption centres with reduction in logistic cost by

25%

It is envisaged that Bharatmala project will carry 70% - 80%

of total Indian freight through the identified shortest route

03

04

02

Source: Bharatmala Pariyojana, Ministry of Road Transport and Highways, GoI

Good connectivity and infrastructure

9

3Multi modal logistic parks in

Neemrana, Pali and

Bhilwara

3Third largest network of

national highways in the

country

77 airports with

Direct connectivity to Dubai,

Muscat, Singapore & major

Indian cities

8Presence of 8 Inland

Container Depots and 2

Container Freight Stations &

1 Air Cargo Complex

2Second largest rail route in

India

7Rank in Logistics Ease

Across Different States

(LEADS) Index, 2018

Source: Ministry of Railways, 2017-18; Airports Authority of India; : Economic Review of Rajasthan 2017-18; Union Ministry of Commerce and Industry; : Government of Rajasthan – Special Economic Zone (State portal), RIICO

Resource advantage

10

Largest producer of

Marble, Limestone

and Sandstone

2nd largest producer

of Oilseeds & Coarse

Cereals

Sole producer of

Zinc and Lead in

India

2nd largest mineral

producing state in

value

2nd largest

producer of

Milk

Largest reserves for

Granite, Potash and

Feldspar

2nd largest

producer of Crude

Oil

Source: Invest India; Economic Review of Rajasthan 2017-18; Ministry of Food Processing 2017-18, GoI; Ministry of Petroleum and Natural Gas, 2017-18; Indian Minerals Yearbook 2018

Highest potential

for solar energy

Largest producer of

Mustard, Bajra,

Spices & Coriander

Largest producer

of wool and

blended fabric

Largest producer

of medicinal and

aromatic crops

One of the most

preferred tourist

destinations

Skilled manpower

National level awards for Skilling Initiatives 3

years in a row01

Emerging National Hub - Higher Education

Highest number of Universities (83)

Around 1/3rd of Chartered and Cost Accountants

in India from Rajasthan

Only State with 2 dedicated Skill Universities

02

03

04

Source: University Grant Commission, updated on 02/05/2019; Directorate of Economics and Statistics, Department of Planning, Rajasthan; National Council for Vocational Training, DGT, Ministry of Skill and Entrepreneurship Development, GoI 2018-19; All India Council for Technical Education

11

1909 ITI’s, 152 Polytechnics and 117

Engineering colleges in the State05

Premier institutes

IIT, Jodhpur IIM, Udaipur NIFT, Jodhpur

AIIMS, Jodhpur National Law University, Jodhpur

BITS, Pilani

Footwear Design and Development Institute ,JodhpurMNIT, Jaipur

Effective governance

12

▪Allowing entrepreneurs to starttheir businesses by filling self-declaration form

▪Exemption from inspectionsfrom various departments for 3years with 6 months correctiveperiod

Source: https://eodb.dipp.gov.in/Home?year=2017-18

Micro, Small and Medium Enterprises

(Facilitation of Establishment and

Operation) Ordinance, 2019

RIICO Infrastructure

13

39,700+Units in production

84500+Acres of Land

48000+Acres of developed

land

348Industrial areas

3Special Economic

Zones

50 Years of service in providing industrial infrastructure and financial assistance

Sector specific

parks

RIICO Infrastructure

• Robust infrastructure: Roads, storm water drainage, electricity network and street lights, water supply, dumping yards etc.

• All environmental clearances (ECs) acquired with due care as per the Central and State Government Regulations.

• Holistic development of industry with supporting commercial, social, institutional and residential infrastructure (in a few places).

14

RIICO promotes sector specific parks to create synergies within the sector. Few prominent sector specific parks / zones

include:

1) Gems and Jewellery SEZs (Jaipur)

2) Agro Food Parks (Kota, Jodhpur, Sri Ganganagar and Alwar)

3) Export Promotion Industrial Parks (Jaipur, Jodhpur and Neemrana)

4) IT Parks (Jaipur, Jodhpur, Kota and Udaipur)

5) Leather Complex (Jaipur)

6) Japanese Zone (Neemrana and Ghiloth)

7) Auto Zone, Cable zone, Garment Zone (Pathredi – Bhiwadi)

8) Apparel Park (Jaipur)

Many More…

Source: Council for Vocational Training, DGT, Ministry of Skill and Entrepreneurship Development, GoI 2018-19; All India Council for Technical Education

Incentives for manufacturing and service enterprises

(2/2)

15

Eligibility Criteria For Customized Package Under Rajasthan Investment Promotion Scheme (RIPS)- 2014

S. No. Investment Size (>) OR Employment Size (Min.) Area Sector / condition

1 INR 100 Crore Or 200 Most Backward*

2 INR 200 Crore Or 250 Backward**

3 INR 400 Crore Or 400 General

4 INR 100 CroreFor using specifies raw mineral as per

RIPS- 2014

5 INR 100 Crore Or 250 Agro-processing andAgri-marketing

6 INR 100 Crore Or 200 Bio-technology

7 INR 750 Crore Cement manufacturing***

8 INR 200 Crore Or 500 Service sector

9 INR 200 Crore Or 400 Manufacturing enterprise in IT

*Most Backward Area: Revenue Districts of Baran, Jhalawar, Banswara and Dungarpur. Tribal sub-plan area of Revenue District of Udaipur, Sirohi and Pratapgarh including

municipal area thereof, as specified by Scheduled Areas (State of Rajasthan) Order, 1981 dated 12.02.1981

** Backward Area: Revenue Districts of Barmer, Dholpur, Jaisalmer and Karauli

*** The benefit of investment subsidy and employment generation subsidy shall be granted for 07 years up to 55% of SGST due and deposited by the enterprise

Incentives for manufacturing and service enterprises

(1/2)

16

Benefits as per Rajasthan Investment Promotion Scheme (RIPS)- 2014

S. No. Particulars Incentives

1 Investment subsidy 30% of SGST due and deposited for 7years

2 Employment generation subsidy Upto 20% of SGST due and deposited for 7years

3 Electricity duty exemption 50% of electricity duty for 7 years

4 Land tax exemption 50% of land tax for 7 years

5 Stamp duty exemption50% of stamp duty on purchase / lease of land and construction or improvement on

such land

6 Land conversion charges exemption 50% exemption from payment of conversion charges for change of landuse

Rajasthan Investment Promotion Scheme (RIPS)- 2014 has additional benefits for:

Women, SCs / STs, Persons with Disability, Enterprises in Backward and Most BackwardAreas

Manufacturing enterprises in thrust sector Ceramic & glass, Dairy, ESDM, Industrial gases, MSME, Pharmaceutical, Plastic to oil manufacturing,

Textile, Kota stone, Marble & Granite, Defence, Desalination, IT, Agro-processing & Agri-marketing, Bio-

Technologyand Food processing

Service enterprises in thrust sectorIT, Bio-Technology and Tourism

Enabling Policy Framework

17

Rajasthan Industrial Policy 2019

Rajasthan Investment Promotion

Scheme 2019

New

Sector Specific Policies

RAJASTHAN SOLAR ENERGY POLICY, 2014

MSME POLICY 2015

MINERAL POLICY 2015

START UP POLICY 2015

TOURISM UNIT POLICY 2015

BIO TECHNOLOGY POLICY 2015

E-GOVERNANCE, IT & ITeS POLICY 2015

New

Thank you.

Make Rajasthan your investment destination