Since
ancient times Gujarat has been an
important gateway of trade and
commerce. In the middle ages it traded
with many countries and kingdoms in
West Asia, Middle East Asia, East Asia
and beyond. Some of Gujarat's ancient
ports were major hubs and gateways of
trade and commerce. Most coastal towns
and cities had flourishing trade and
business activities. The spirit of
free trade and enterpreneurism has
continued down the line. This
enterpreneurial culture is now being
encouraged and endorsed in modern
times by the government and related
state organisations. With a population
representation of about 5% of India,
Gujarat contributes to 11% of India's
GNP and 10% of national consumption.
This has made Gujarat one of the 5
most progressive and dynamic states in
the Indian Union (the states include
Maharashtra, Karnataka, Punjab and
Andhra Pradesh). The growth thrust
policies will continue and the right
incentive packages and sops will make
Gujarat one of the prime investment
destinations for both foreign and
local investors.
The
state of Gujarat is blessed with rich
natural resources and fertile
ago-climatic conditions. With the
critical support of industrial
infrastructure and transport network,
Gujarat truly presents itself as a
land of limitless opportunities - fact
that has been attested by economists
and policy planners. Gujarat's
proactive industrial policy drafted by
its far-sighed economic and policy
mandarins aims to tap the vast
untapped potential of this diverse
region. Needless to say, that the
'growth oriented' strategies has
indeed tubocharged industrial growth
in Gujarat and has rejuvenated an
inflow of funds and the industrial
activity of the state. Analysts aver
that the infrastructural growth
barometer of a state's economy can be
guaged from its industrial and
technological development. Keeping
this context, state government has
chalked out an ambitious plans to
turbo charge industrial growth. In a
broader perspective, Gujarat's
industrial blue print seeks to achieve
speedy and balanced developments of
industries and industrial hubs by
creating favorable conditions for
installation and expansion of
industrial units. In order to achieve
these objectives a canopy sops,
incentives, tax holidays, single
window clearances have been introduced
by the state government. These
proactive measures also include
imparting necessary information and
guidance to prospective investors and
enterpreneurs, removing bureaucratic
and procedural hiccups, speedy
approvals of water, power and other
core amenities.
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The
advent of liberalisation saw the depleting dependence on the
license rule for economic development. perestroika ushered in
the mid 90s, saw the liberalization of trade and exchange
doctrines with tariff and non-tariff barriers lowered
significantly. Global corporations were now perceiving India
in a different light and had already pinpointed India as one
of the most attractive investment base in the world. In order
to cash in on this changed global environment, the state
government has been actively promoting several core sectors to
foreign investment thus encouraging domestic and multinational
companies to participate in core industrial projects. In order
to facilitate participation from the private sector the state
has extended it's support through a slew of radical policy
changes. The state government has realized that the trust of
Gujarat's economic revamp strategy apart from core sector
development is the balanced development of it's 'high-revenue'
generating sub sectors. These sectors play an pivotal role in
the creation of numerous employment opportunities for the
state by virtue of their varied products and services.
The
key strength of any progressive state's economy is it's
ability to nature and strenghten it's core industrial
competency. The state has thrived on traditional industries
(handicrafts, folk paintings, textiles, etc.) since time
immemorial. The strategy delineates the strengthening of the
cottage industry that has been the pivot of the states
economy. This would mean better quality, design, packaging and
marketing of the products thus making it competitive in the
domestic as well as global markets. with exports playing a
crucial role in India's economy, the gujarat government has
identified exports as a key thrust segment. Exports will not
only provide the much needed foreign exchange but also
enhances the core competency and professionalism of the local
and traditional industry. The Gujarat government is all set to
provide a facilitate the ambience for the promotion exports
from the state. With infrastructural development playing
important roles in the nations economy highest priority is
provided by the state for the creation of high quality,
state-of-the-art infrastructural facilities through
appropriate allocation of funds.
Gujarat
holds tremendous promise for multinational and domestic
corporations by way of investment opportunities. Support
mechanisms with respect to law and order are to be stepped up
to create an atmosphere of security for corporate houses and
enterpreneurs. Proactive to the needs of core and sub industry
sectors, the state government has provided customised segment
support packages on a continous basis in consultation with the
industry - a move that has kickstarted a slew of small and
medium scale industrial units. The comprehensive package would
also include incentives and various support services to
encourage enterpreneurship in selected 'high growth' sectors
with particular focus on the rural sector - Gujarat's major
revenue generating sector. Infusion of fresh funds and an
ideal climate is what Gujarat stands for. And to be sure,
these are the prime factors that contribute to the economic
growth of a state. With the traditional sector still playing a
vital role in the states development, the Gujarat state
government has extended it's support to these traditional
industries by providing them with critical inputs to enhance
their quality and competitiveness.
The
state is on a mission to create a meaningful business
environment for them to invest in core sector as well as in
sub sector projects. Industry analysts, policy watchers and
futurists prognosticate that the economy of the state is bound
to grow more and that opportunities will increase manifold for
foreign investors. With foreign direct investments becoming
increasingly imperative for core sector projects the Gujarat
government has adhered to a strategic investment promotional
program that would create circumstances to facilitate investor
participation thereby making Gujarat the leading state in the
country for foreign investments
General Section
