REVIEW INVESTMENT POLICY OF RAJASTHAN WITH FOCUS ON INFRASTRUCTURE: PHD CHAMBER

REVIEW INVESTMENT POLICY OF RAJASTHAN WITH FOCUS ON INFRASTRUCTURE: PHD CHAMBER

REVIEW INVESTMENT POLICY OF RAJASTHAN WITH FOCUS ON INFRASTRUCTURE: PHD CHAMBER

No.PR-25
May 7, 2014
New Delhi

REVIEW INVESTMENT POLICY OF RAJASTHAN WITH FOCUS ON INFRASTRUCTURE: PHD CHAMBER

PHD Chamber of Commerce and Industry has sought review in Rajasthan Investment Promotion Scheme 2010 with renewed focus on its infrastructure development, MSMEs tourism, agro processing zones, solar and wind energy and faster land allocation for industrial projects.

The suggested focus for all round industrial development of Rajasthan in the aforesaid areas would help it accelerate its manufacturing and employment opportunities as also enhance contribution of industrial sector to gross state domestic product to over 35 per cent in next few years from current level of close to 27 per cent, pointed out Mr Sharad Jaipuria, President, PHD Chamber.

According to the Chamber, Rajasthan has a strategic advantage of being near to NCR, specifically Delhi and Gurgaon, which acted as a lucrative factor to induce inflow of capital. Rajasthan State Industrial Development Cooperation has been working towards facilitating better industrial and investment climate for the state and if proactive policies are put in place, it can outshine its neighbouring surroundings in terms of receiving domestic and foreign capital to transform its present landscape of investment.

The region could attract huge investments in development of infrastructure projects like hotels, sports complex and universities under the public–private–partnerships (PPP) as well as domestic–foreign joint ventures and create millions of jobs in the state for skilled, semiskilled and unskilled labour force, added Mr Jaipuria.

MSME Sector is another area in which the state should lay its focus on as its concentration be not only on large industries but due importance given to medium enterprises also.  This will allow the MSMEs to progress in Rajasthan.

Thirdly, flourishing tourism could be added in this region and it be developed as the tourist hub of India with heritage assets found all over the state can be utilized for its development. The maintenance of the heritage sites should be taken care of.

Fourthly, Agro Processing Zones be set up in the state with priority as it is a promising area where Rajasthan has significant strengths. Agro-processing zones and value-addition in different agro-climatic zones in it could attract huge private investments.

Fifthly, Solar and wind energy based industries could lead to a revolution not just for Rajasthan but also for the country as a whole. The state has a relative advantage in terms of renewable energy. This has a large scope in the time to come where, economies round the globe would be looking in for a substitute of non-renewable energy resources. Setting up of solar power plants has been subsidised but many applications are still pending with RREC.

Finally, land allotment for industrial projects be made at faster pace and easier terms and conditions. The state should take advantages of economic spill over in the Delhi/NCR region by bringing companies to its territory as Delhi /NCR cannot fulfil the requirement for large stretches of land. Due to limited availability of space together with high costs associated with the Delhi/NCR region, there would be an overflow of economic activities and investments from Delhi/NCR, which can be appropriately absorbed by Rajasthan.
ENDS
Koteshwar Prasad Dobhal
Consultant (PR)