A Project Report

On

EVALUATION AND MONITORING OF

DIFFERENT SCHEMES FOR DEVELOPMENT
OF INDUSTRIAL PARK IN GUJARAT
At
Office of Industries Commissioner
In partial fulfilment of the requirements of Summer Internship Programme in the Masters of
Business Administration programme at GLS University
Submitted to
Faculty of Management
Under the Guidance of
Dr. Gurmeet Singh
Assistant Professor
By
Abhilasha Solanki
Enrolment No.-201500601010154
Batch: 2015-17
N. R. INSTITUTE OF BUSINESS MANAGEMENT (GLS MBA)

N. R. Institute of Business Management

Certificate
This is to certify that Ms. Abhilasha Solanki Enrollment No.
201500601010154 student of N. R. Institute of Business
Management (GLS MBA) has successfully completed her
Summer Project on EVALUATION AND MONITORING OF
DIFFERENT SCHEME FOR DEVELOPMENT OF INDUSTRIAL
PARK

IN

GUJARAT

at

OFFICE

OF

INDUSTRIES

COMMISSIONER in partial fulfillment of the requirements of

MBA programme of GLS University. This is his original work and
has not been submitted elsewhere.

____________________

Dr. Gurmeet
Singh

Dr. Hitesh
Ruparel

Assistant

Date: _________________
Place: _________________

Declaration
I, Abhilasha Solanki, Enrolment No. 201500601010154 student of N.R. Institute of Business
Management (GLS MBA) hereby declare that I have successfully completed this project on
Evaluation and Monitoring of Different Scheme for Development of Industrial Park in
Gujarat in the academic year 2015-16.
I declare that this submitted work is done by me and to the best of my knowledge; no such
work has been submitted by any other person for the award of degree or diploma.
I also declare that all the information collected from various secondary and primary sources
has been duly acknowledged in this project report.

Abhilasha Solanki

Preface
3

The Summer Internship Project helps to understand the practical aspects of business
management in better way, as part of N.R. Institute of Business Management, GLS
University, Ahmedabad.
My study is regarding Evaluation and Monitoring of Different Scheme for Development of
Industrial Park. The company I have selected is Office of Industries Commissioner. Research
is based on statistical method. It is the random and objective identification, collection,
analysis, dissemination and the use of the information is done for the purpose of measuring
the impact and effectiveness of different schemes for development of Industrial Park.
To be a student of MBA is a matter of pride because we are in a field which helps us to
develop from a normal human being into a disciplined and dedicated professional. One has to
be a good learner to sharpen knowledge in the particular field to achieve and attain the desired
goal and success. I conducted this survey to know the impact and effectiveness of different
schemes for development of Industrial Park. To gather the information, I have used
questionnaire as a primary data collection tool. The responses were gathered from the 10
respondents who were Industrial Park Developer.
Being a part of corporate culture in my Summer Internship Project was a great experience for
and helped me to gain more industrial insights. Hope this study will be helpful to measure the
impact and effectiveness of different schemes for development of Industrial Park.

Acknowledgement
4

It is really a matter of pleasure for me to get an opportunity to thank all the persons who
contributed directly or indirectly for the successful completion of my project.
I am very thankful to Mr. Gunvantsinh Solanki (External Guide) for the overwhelming
support throughout the internship.
To make any project, essential requirement is proper guidance without which project is
incomplete. I would like to thank my internal guide Dr. Gurmeet Singh, Assistant Professor
at N.R. Institute of Business Management, Ahmedabad. His guidance at every step of the
project helped me to broaden my knowledge on how to do research as well as project which
helped to successfully complete my project.
I get to know lot of literature knowledge from different secondary sources. Thanks to all
those authors as well.
I would also like to thank Dr. Hitesh Ruparel, Directors of N. R. Institute of Business
Management, GLS University, Ahmedabad.

Executive Summary

 The project is on the study of Evaluation and Monitoring of Different Scheme for
Development of Industrial Park.
The study is conducted by the means of primary data through questionnaire.
The target population of the study is Industrial Park Developers.
The sample size is decided on the basis of the total number of Industrial Park developed in
Gujarat.
The study measures the impact and effectiveness of different scheme for development of
Industrial Park.
The report also includes the brief about industry and its current trends.
The data analysis is done on the basis of the information collected from the respondents.
The graph and charts gives the graphical view of the study.
The conclusion and findings are derived on the basis of the inputs and response received
from the respondents.
Recommendations are given on the basis of the findings.

Index
6

Chapter

Content

Page no

Research Methodology
Industry Profile
Company Profile
Introduction to Topic
Analysis and Interpretation
Findings
Recommendation
Conclusion, Bibliography & Annexure

9-14
15-21
22-31
32-41
42-71
72-75
76-77
78-85

No
1
2
3
4
5
6
7
8

Table of Graph

Sr. No

Particulars

Page no

Awareness about Different schemes for Development of

43

Industrial Park

Various Medium through which Developer know about

44

Different schemes for Industrial Park

3
4
5
6
7

Reasons for Investing in Industrial Park

Various Impediments in Implementing the Projects
Different Lacunas in Implementation of the Schemes

46
47
49
51

Various Means of Financing

GIDC presence a main cause of Industrial Development in

53

Gujarat
8
9

Incentives offered under different schemes are attractive

Monitoring System for different Industrial park scheme is

54
56

Satisfactory
10

Vibrant Gujarat event is main boosting factor for Establishing

58

Industrial Park
11

Surrounding Infrastructure facility is important for Establishing

59

Industrial Park
12

Land bank with Government is important factor for Establishing

61

Industrial Park
13
14

62

Age

64

Gender

CHAPTER 1:
RESEARCH METHODOLOGY

1. RESEARCH METHODOLOGY
1.1 Problem Statement:
What is the necessity of different schemes for the development of Industrial Park in
Gujarat?
How effective these schemes are for the development of Industrial Park in Gujarat?

 What are important provisions of these schemes?

1.2 Research Objective:
To know the necessity of different scheme for the development of Industrial Park in
Gujarat
To know the effectiveness of the scheme for development of Industrial Park in Gujarat
To know the Perception of Developers about the different scheme for development of
Industrial Park in Gujarat
To know the problems in implementation of different schemes for development of
Industrial Park in Gujarat
To know about issues faced by developers in implementation after being registered
under the schemes
1.3 Scope of Study:
The scope of study is wide as it identifies impact and effectiveness of the different
schemes for development of Industrial Park.
The study is limited up to Industrial Park Developer who is developing Industrial park
under different scheme at different districts of Gujarat.

The scope of this study is to identify impact, effectiveness that affect developers
perception towards industrial park scheme, the reasons behind why they do / dont
prefer to register under different Industrial Park scheme.

1.4 Literature Review:

(Saleman, 2014) Industrial parks are as popular as they are controversial, in India and
globally. At their best they align infrastructure provision and agglomeration economies to jolt
industrial growth. More often, they generate negative spill-overs, provide handouts, sit empty,
or simply do not get built.
10

(Hollnder, 2009) The first workshop on Sustainable Management of Industrial Parks which
was jointly organized in 2004 in Leipzig by the Institute of Eco-Planning and Development of
the Dalian University of Technology . Scholars, practitioners and administrators discussed
General Aspects of Sustainable Development, Sustainable Operation of Companies in
Industrial Parks, and Sustainable Development of Industrial Parks.
(Huang, 2010) An industrial park is a cluster of enterprises located in one location to share
common infrastructure, service and market opportunities. It has been adopted in many
countries as an important tool for promoting the economic and industrial development.
However, its further development has been impeded by the shortage of land resources
especially for enterprises' construction of warehouses
(Lowe, 2001) An eco-industrial park or estate is a community of manufacturing and service
businesses located together on a common property. Member businesses seek enhanced
environmental, economic, and social performance through collaboration in managing
environmental and resource issues. By working together, the community of businesses seeks a
collective benefit that is greater than the sum of individual benefits each company would
realize by only optimizing its individual performance
1.5 Research Design:
The task of defining the research problem is the preparation of research project, popularly
known as Research Design. Decisions regarding what, when, where, how much, by what
means concerning a research study constitute a research design.
A research design will typically include how data is to be collected, what instruments will
be employed, how the instruments will be used and the intended means for analysing data
collected. The research design basically undertakes the whole research methodology to collect
the information for the study itself.
In this research, the use of Descriptive and Analytical research has been done.
Descriptive research:
Descriptive research is used to describe the potential factors for development of Industrial
Park in Gujarat State
11

Analytical research:
The data collected by questionnaire survey of Industrial Park Develop was duly analysed
using software SPSS to make sure that the result obtained and concluded are validated
accordingly.
1.6 Sampling Frame:
Sample size: Sample Size is 10 (Industrial park developers)
Sampling Technique: Convenient Sampling
Sample Unit: Some Districts of Gujarat
1.7 Data Collection Unit:
Primary Data:
Primary data is exclusively collected through the following:

Observation

Questionnaire
The questionnaire is the main source of data and questions in questionnaire are
structured questions with close ended questions and open ended questions. The
various scale used in questionnaire are as follows:

o Dichotomous scale with : Yes/No

o Open ended questions: Comment or suggestions or opinions
o Likert five point scale with options as- Strongly agree, Agree, Neutral, Strongly disagree, Dis-agree.
Secondary Data:
The secondary data is collected from various sources which contain useful data and
knowledge. The secondary sources of data are:

Web information

Research papers

12

Books

Articles

1.8 Benefits of the Study:

This study will help us to understand the necessity of different schemes on the
development of Industrial Park in Gujarat
This study will help us to understand the effectiveness of the different schemes for the
development of Industrial Park in Gujarat
This study will help us to know the Perception of Developers about the different
scheme for development of Industrial Park in Gujarat
1.9 Limitation of the Study:
Due to limited time available for the research, very few people were selected for the
study. The sample size is 10 only.
This study is limited up to some districts of Gujarat only.
The number of Industrial Park covered was limited.
The study was conducted within a limited period of time, so the study may not be
detailed, full-fledge and utilitarian one in all aspects
1.10 Hypothesis:
1. H0: Industrial Park Developer are not aware about the schemes
H1: Industrial Park Developer is aware about the schemes

2. H0: Incentives offered under different schemes for Industrial park are not attractive
for Industrial park owners
H1: Incentives offered under different schemes for Industrial park are attractive for
Industrial park owners

13

3. H0: Surrounding Infrastructure Facility is not important for establishing Industrial

Park
H1: Surrounding Infrastructure Facility is important for establishing Industrial
Park
4. H0: Presence of GIDC is not main cause for development of Industrial Park
H1: Presence of GIDC is main cause for development of Industrial Park
5. H0: Vibrant Gujarat initiative failed to attract Private Industrial Park
H1: Vibrant Gujarat initiative succeeded to attract Private Industrial Park
6. H0: There is no feedback mechanisms in monitoring of Industrial Park scheme
H1: There is a feedback mechanism in monitoring of Industrial Park scheme
7. H0: Availability of different resources is not important factor for selecting location for
development of Industrial Park
H1: Availability of different resources is important factor for selecting location for
development of Industrial Park

1.11 Data Analysis Tool:

The Data Analysis Tool that we have used is SPSS Software.

14

CHAPTER 2:
INDUSTRY PROFILE

2. INDUSTRY PROFILE

15

2.1 Introduction:
The Government of Gujarat also known as the State Government of Gujarat, or locally
as State Government, is the supreme governing authority of the Indian state of Gujarat and
its 33 districts. It consists of an executive, led by the Governor of Gujarat, a judiciary and
a legislative branch.
Like other states in India, the head of state of Gujarat is the Governor, appointed by
the President of India on the advice of the Central government. His or her post is largely
ceremonial. The Chief Minister is the head of government and is vested with most of the
executive powers. Gandhinagar is the capital of Gujarat, and houses the Vidhan Sabha
(Legislative Assembly) and the secretariat. The Gujarat High Court, located in Ahmedabad,
has jurisdiction over the whole state.
The present Legislative Assembly of Gujarat is unicameral, consisting of 182 Member of the
Legislative Assembly (M.L.A). Its term is 5 years, unless sooner dissolved.

2.2 Governance and administration:

Gujarat has 33 districts and 249 Talukas.
Gujarat is governed by a Legislative Assembly of 182 members. Members of the Legislative
Assembly are elected on the basis of adult suffrage from one of 182 constituencies, of which
13 are reserved for scheduled castes and 27 for scheduled tribes. The term of office for a
member of the Legislative Assembly is five years. The Legislative Assembly elects a speaker
who presides over the meetings of the legislature. A governor is appointed by the President of
India, and is to address the state legislature after every general election and the
commencement of each year's first session of the Legislative Assembly. The leader of the
majority party or coalition in the legislature (Chief Minister) or his or her designee acts as the

16

Leader of the Legislative Assembly. The administration of the state is led by the Chief
Minister.
After the independence of India in 1947, the Indian National Congress (INC) ruled the
Bombay State (which included present-day Gujarat and Maharashtra). Congress continued to
govern Gujarat after the state's creation in 1960.
During and after India's State of Emergency of 19751977, public support for the INC eroded,
but it continued to hold government until 1995 with brief rule of nine months by Janata
Morcha. In the 1995 Assembly elections, the Congress lost to the Bharatiya Janata Party
(BJP) led by Keshubhai Patel who became the Chief Minister. His government lasted only
two years. The fall of that government was provoked by a split in the BJP led by Shankersinh
Vaghela. BJP again won election in 1998 with clear majority. In 2001, following the loss of
two assembly seats in by-elections, Keshubhai Patel resigned and yielded power to Narendra
Modi. BJP retained a majority in the 2002 election, and Narendra Modi remained as Chief
Minister. On 1 June 2007, Narendra Modi became the longest serving Chief Minister of
Gujarat. BJP retained the power in subsequent elections in 2007 and 2012 and Narendra Modi
continued as the Chief Minister.

2.3 Politics of Gujarat:

On 1 May 1960, the Indian State of Gujarat was created out of the 17 northern districts of
former State of Bombay. These districts were later further subdivided. There are 25
administrative districts in the state (as of 2006). Unlike other cities, Gandhinagar has its own
administrative body, 'The Capital Project division', created by the Government of Gujarat in
1965 for Balanced & Deciplinate System in Gandhinagar capital city.
Gujarat is governed by a Legislative Assembly of 182 members. Members of the Legislative
Assembly (MLA) are elected on the basis of adult suffrage from one of 182 constituencies, of
which 13 are reserved for scheduled castes and 26 for scheduled tribes. The term of office for
a member of the Legislative Assembly is five years. The Legislative Assembly elects a
speaker, who presides over the meetings of the legislature. A governor is appointed by
the President of India, and is Assembly, and to address the House after every general election
and the commencement of each year's first session of the Legislative Assembly. The leader of
the majority party or coalition in the legislature (Chief Minister) or his or her designee acts as
17

the Leader of the Legislative Assembly. The administration of the state is led by the Chief
Minister.
Vallabhbhai Patel, born in Nadiad in 1875, was independent India's first Deputy Prime
Minister and Home Minister; he played a key role in political integration of India, and was
conferred with a posthumous Bharat Ratna award in 1991.
After gaining independence in 1947, the Indian National Congress party (INC) ruled
the Bombay state (which included present-day Gujarat and Maharashtra). Congress continued
to govern Gujarat after the state's creation in 1960.In the Indian general election,
2014, Bharatiya Janta Party projected Narendra Modi as a candidate of Prime Minister. BJP
retained clear majority first time in center and Narendra Modi become Prime Minister. So he
resigned and yielded power to Anandiben Patel. She become the first lady Chief Minister of
Gujarat.

2.4 Economy:
Gujarat has some of the largest business corporations in India. It is one of the major industrial
hubs of India. During the British Raj, Gujarati businesses served to play a major role to enrich
the economy of Karachi and Mumbai. Major agricultural produce of the state includes cotton,
groundnuts (peanuts), dates, sugar cane, milk and milk products. Industrial products include
cement and petrol. According to a 2009 report on economic freedom by the Cato Institute,
Gujarat is the second freest state in India (the first one being Tamil Nadu). Reliance Industries
operates the oil refinery at Jamnagar, which are the worlds largest grass-roots refineries. The
world's largest shipbreaking yard is in Gujarat near Bhavnagar at Alang. Indias only Liquid
Chemical Port Terminal at Dahej, developed by Gujarat Chemical Port Terminal Co Ltd.
Gujarat has two of the three liquefied natural gas (LNG) terminals in the country (Dahej and
Hazira). Two more LNG terminals are proposed, at Pipavav and Mundra.
Gujarat is the only state in India to have a statewide gas grid of 2,200 km. About 87.9% of the
total roads in the state are asphalt surfaced. Its 85% village connectivity with allweather
roads is one of the highest in India. Nearly 100% of Gujarat's 18,000 villages have been
claimed to have electricity connection for 24-hr power through the Jyotigram Yojana. Gujarat
ranks first nationwide in gas-based thermal electricity generation with national market share

18

of over 8% and second nationwide in nuclear electricity generation with national market share
of over 1%.
The state owned Wide Area Network is the largest IP-based ICT network in Asia Pacific
Region and second largest in the world, connecting 26 districts and 225 talukas through
12,000 nodes. More than 900,000 internet users and all villages are connected with broadband
internet. The state registered 12.8% agricultural growth in the last five years against the
national average of 2%.
Gujarat records highest decadal agricultural growth rate of 10.97%. Over 20% of the S&P
CNX 500 conglomerates have corporate offices in Gujarat. As per RBI report, in year 2006
07, 26% out of total bank finance in India was in Gujarat.
In a July 2011 report, The Economist referred to Gujarat as India's Guangdong. With doubledigit growth rates, Gujarat continues to outpace growth in other Indian states. This has led to a
booming entrepreneurial economy in Gujarat.

2.5 Industrial growth:

Gujarat's major cities include Ahmedabad, Surat, Vadodara, Rajkot, Jamnagar, Bhavnagar,
Veraval and Junagadh . In 2010, Forbes list of the world's fastest growing cities included
Ahmedabad at number 3 after Chengdu and Chongqing from China. Junagadh lacks major
industries or plants. However main earning sectors for Junagadh are mineral-based cement
industry, agriculture-based industry and power sector. Presence of huge reserves of limestone
makes the cement industry a thriving industrial sector. Major crops produced in the district are
wheat, oil seeds, cotton, mango, banana, onion and brinjal. Total production of oilseeds in
Junagadh in 200607 was 464,400 MT which was the highest in the state. Junagadh is the
largest producer of groundnut and garlic in the state contributing 26% and 34% to total
production respectively. Junagadh has Asia's largest groundnut research laboratory. Mango
and onions are produced in large quantities in the district. Some of the large scale industry
present in Junagadh are Agro Marine Exports, Creative Castings Ltd., Gujarat Dairy
Development Corporation, Austin Engineering. With an investment of INR 40 billion (USD
601.6 million), JSW Power Co. propose to set up coal-based power plant at Simar in
Junagadh. With the new government policy of biotechnology, Junagadh has been identified as
one of the agriculture biotechnology zone. This will boost setting up of agro-biotech
19

industries in the district. Junagadh boasts of some of the best tourist destinations in the state
so tourism is considered to be a progressing sector. The state government has sanctioned the
project for development of Circuit Tourism project at Junagadh. The state is rich in calcite,
gypsum, manganese, lignite, bauxite, limestone, agate, feldspar, and quartz sand, and
successful mining of these minerals is done in their specified areas. Jamnagar is the hub for
manufacturing brass parts. Gujarat produces about 98% of India's required amount of soda
ash, and gives the country about 78% of its national requirement of salt. It is one of India's
most prosperous states, having a per-capita GDP significantly above India's average. Kalol,
Khambhat, and Ankleshwar are today known for their oil and natural gas production.
Dhuvaran has a thermal power station, which uses coal, oil, and gas. Also, on the Gulf of
Khambhat, 50 kilometres (31 mi) southeast of Bhavnagar, is the Alang Ship Recycling Yard
(the world's largest). General Motors manufactures its cars at Halol near Vadodara, Tata
Motors manufactures the Tata Nano from Sanand near Ahmedabad, and AMW trucks are
made near Bhuj. Surat, a city by the Gulf of Khambhat, is a hub of the global diamond trade.
In 2003, 92% of the world's diamonds were cut and polished in Surat.
Petroleum, Chemical and Petrochemical Investment Region (PCPIR) spread across 453,000
square hectaresin Bharuch.
Gujarat is one of the first few states in India to have encouraged private-sector investment,
some of which are already in operation.[citation needed] In addition, the liquid cargo
(chemicals) handling port at Dahej is also set up in joint sector and made operational. At an
investor's summit entitled "Vibrant Gujarat Global Investor Summit", arranged between 11
and 13 January 2015, at Mahatma Mandir, Gandhinagar, the state government signed 21000
Memoranda of Understanding for Special Economic Zones worth a total of $ 2.5 million
crores (short scale). However, most of the investment was from domestic industry. In the
fourth Vibrant Gujarat Global Investors' Summit held at Science City, Ahmedabad, in January
2009, there were 600 foreign delegates. In all, 8668 MOUs worth $ 12500 billion were
signed, estimated to create 2.5 million new job opportunities in the state. In 2011, Vibrant
Gujarat Global Investors' Summit MOUs worth 21 trillion (US$ 463 billion) were signed.
Gujarat is state with surplus electricity. The Kakrapar Atomic Power Station (KAPS) is a
nuclear power station run by NPCIL that lies in the proximity of the city of Surat. Recently,
the Gujarat Government has upgraded its installed capacity of 13,258 megawatts (MW) by

20

adding another 3,488 MW. According to the official sources, against demand of 40,793
million units during the nine months since April 2010, Gujarat produced 43,848 million units.
Gujarat sold surplus power to 12 states: Rajasthan, Tamil Nadu, Uttar Pradesh, Maharashtra,
Andhra Pradesh, Delhi, Haryana, Karnataka, Chhattisgarh, Uttarakhand, Madhya Pradesh,
and West Bengal.

21

CHAPTER 3:
COMPANY PROFILE

22

3. COMPANY PROFILE

3.1 Introduction:
The Industries Commissionerate functions under the Industries & Mines Department of
Government of Gujarat and implements industrial Policies of the state and central
Governments.
The Industries Commissioner is head of the Industries Commissionerate.

The prime responsibility of IC office is to observe and proactively act as a catalyst in

industrial development and bringing about industrial reforms. Also actively works towards
removal of hindrances in the Industrial development of Gujarat. As part of industrial
promotions, the office offers various incentive schemes and subsidies to the entrepreneurs for
development and upgradation of manufacturing facilities. In case of natural calamities, the
office offers various benefits and packages to the industries. Special focus is given for the
development of MSME. Small Scale Industries (SSI). As also for ensuring the smooth
implementation of all projects and paying special emphasis in employment Generation by
promoting sectors such as Gems & jewellery, Textile & apparel and salt.
The office has introduced an innovative system of single Window Clearance to simplify the
administrative procedures for establishment of industries in Gujarat. This has greatly
23

benefited and motivated the entrepreneurs to invest in the state. Investment facilitation
mechanism has been introduced with iNDEXTb as nodal agency.
Govt.of Gujarat has been making continuous efforts to make the state attractive for
investment through upgrading infrastructure and facilitating investors. Vibrant Gujarat Global
Investors Summit organized in 2003, 2005, 2007, 2009 attracted investment proposals of
Rs.18,72,437 Crores and 2011 have generated investors Confidence in the state which
resulted into inking 8380 MOUs and getting investment proposals of over Rs.20.83 lakh
Crores. Till March 2012 the State has received acknowledgement of 10537 Industrial
Entrepreneurs Memorandum, with an estimated investment of Rs.1033314 Crores which
works

out

to

11.86

percent

of

total

investment

in

the

country.

The office of the Industries Commissioner continues to play pivotal role in the industrial
development of Gujarat & improving the delivery system. As Gujarat continues to cross new
frontiers the Industries Commissionerate has Increasing responsibility to listen, understand
and respond diligently to help become vibrant and robust economy.
The Industries Commissionerate has undertaken a multitude of promotional efforts to
accelerate the states Industrial progress. Proactively contributing to an array of events held
both nationally and globally, substantial assistance has been provided to organizations such as
CII, FICCI and others. Furthermore, to attract talent from across India, round table
conference and road shows were organized by iNDEXTb in New Delhi, Mumbai, Kolkata
and Chennai among other cities.
Govt. of Gujarat has come out with a new Industrial Policy in January 2009, which is aimed
at,
1. Investment accelerating the flow of quality Investment.
2. Employability creating employability substantial employment for facilitating early
fructification of this investment and
3. Quality Making Made in Gujarat a Global Brand to meet with the above objectives.
On a personal note, this website marks my personal commitment and that of our entire
team, to achieve the states objectives for industrial development. It is a privilege to

24

serve as the Industries Commissioner of Gujarat and I look forward to even greater
success for the state in the years to come.

3.2 Functions of Office of Industries Commissioner:

1. Industries Commissionerates primary function is to promote meaningful industrial
Development of small, medium and large sectors, assisted by its Network of District
Industries Centers and in Co-ordination with the other Government offices, Board and
Corporations. To carry out Industrial development of the state and implement
legislations and schemes in this regard.
o A commitment to create and implement conducive policies for industrial
growth.
o Accord approval for incentives to Industrial Projects under various schemes.
o Assist industrial Units in acquiring requisite infrastructure facilities, land,
water, power, natural gas, Telecommunication, skilled manpower etc. by
recommending to the concerned authorities after examining and evaluating
their requirements.
o Allocate scarce raw materials such as molasses, alcohol, paraffin wax, palm
fatty acid, pig-iron, Iron & steel, coal & coke etc. based on requirement of
small & medium industrial Units.
o Provide assistance for technology upgradation to improve product quality,
support R&D institutions with fiscal grants and infrastructure.
o Oversee the central stores and purchase organization activities to help
departments and office of the State Government manage their procurements.
o Assist rehabilitation of sick Industrial Units.
o Assist Industries and establishments affected by natural calamities.

25

o Market and promote Gujarat as a good investment destination.

2. Identifying New Projects and conducting appraisals for potential investment
opportunities for the Summit. Co-coordinating and Managing implementation of
existing project plans with various companies and agencies.
o Providing information guidance and assistance for various event management
tasks.
o Preparing comprehensive investment blue prints of thrust area such as special
Economic Zones (SEZ) Auto and Engineering, Pharmaceuticals, Textiles
Gems & jewellery, Chemicals and Petrochemicals.
Co-coordinating Monitoring of Projects and hand holding after an entrepreneur has
confirmed his intention to set up the project in Gujarat till the Commissioning of the
project, is the key function of the Industries Commissionerate and iNDEXTb, the task
of promoting the State as a good investment destination i.e. the work prior to the
actual selection of Gujarat for a project by the entrepreneur, is performed by
iNDEXTb in coordination with the Industries Commissionerate.
3. Industrial Promotion
o Area Development
o Specific Industries Development
o Entrepreneurship Development
o Employment Generation in Industries
4. Implementation of Notifications issued by different Ministries of Government of India
o Industries and Commerce
o MSME
o Textiles
26

o Chemicals & Fertilizers

o Steel
o Information Technology
o Others
5. Implementation of GRs issued by Government of Gujarat
o Industries & Mines Department
o Others
6. Co-ordination with other Departments and Offices of the Government
7. Taking Policy initiatives for Industrial Development keeping in view the benefits of
the entrepreneurs, thus making Gujarat more investor friendly.
8. The Govt. of Gujarat is committed to strong leadership continued advocacy for
investor friendly, policies and an enduring commitment to achieve excellence in all
Industrial
Sectors, small, medium and large Industries, Industrial Infrastructure, Special
economic Zones, textiles, salt, cluster development, gems & jewellery and
environment amongst others. Industries Commissionerate Works as a facilitator to
achieve the states objectives for Industrial development.

3.3 Activities of Office of Industries Commissioner:

Industries Commissionerate undertakes the following activities:
MSMED Act 2006 of GOI Implementation of MSMED Act, 2006.

Monitoring of acknowledgement issued by DICs against submission of EM

Part-I & EM Part-II

Monitoring of Industrial Approvals IEM, LOI, EOU, FDI approvals granted by

GoI for projects in Gujarat
27

Recommendation to GoI, whenever required

Follow-up for Implementation of Approval

Assistance to entrepreneurs for getting State Level clearances

Preparing status reports on approval and organizing review meetings

Raw Materials Allocation and Approval of Production Programme (APP) for

industrial units requiring : Molasses, Alcohol

Infrastructure Assistance Recommendation for Land Requirement for industrial

projects

Reconnection for utilities like power, natural gas, water etc.

Providing assistance for setting up Industrial Park, Special Economic Zone

(SEZ)

Providing assistance for infrastructure projects under Central and State Govt.
Infrastructure incentive schemes

Providing assistance for setting up Common Effluent Treatment Plant (CETP)

R & D Activities Assistance to R & D Institutions like ATIRA, CGCRI, EQDC,

NIFT etc

Assistance for Cluster Development Programme with the help of institutions

Assistance for Patent Registration

Marketing Assistance to Industrial Units for Export Promotion

Buyer Seller Meets

Exhibitions by Industry Associations

Ancillary Development Programme

Providing Assistance to units under Market Promotion Scheme of the state.

Incentive Schemes

Interest Subsidy

Venture Capital Assistance

Quality Certification Scheme

28

Skill Enhancement

Technology Acquisition Fund

Patent Assistance

Energy and Water Conservation

Assistance to Critical infrastructure Projects

Assistance to Professional Agency

Assistance for Obtaining Carbon Credit and Reducing Carbon Footprints

Strengthening the FRegulation and Environmental Compliance

Scheme of Assistance for Environment management to MSMEs

Scheme for Assistance to Encouraging Green Practices and Environmental

Audit to MSMEs

Specific

Industrial

Development

Activities

for

Salt

Industry

Textile Industry
CSPO

Government Purchase related activities.Nodal agency for implementation of eprocurement.

To Facilitate the Purchase Committee activities, attending all the DPCs and
organizing the SPC meeting.

To execute Rate Contracts for stores required by various governments

Departments-offices.

To enlist vender as an approved Supplier to quality for government

procurement.

Statistics and EDP Information collection from industrial units

Report generation and dissemination of information

Preparation of Annual Plan

EDP and IT activities for IC and DICs

29

 Other Activities

Rehabilitation of Sick Industrial Units

Organizing meetings with Industry Associations for resolving issues/

difficulties

Administration of DICs and IC

3.4 Industries Commissionerates Organization chart:

3.5 Related Organizations:

30

State Level
iNDEXTb

Industrial Extension Bureau

GIDC

Gujarat Industrial Development Corporation

GIDB

Gujarat Infrastructure Development Board

CED

The Centre for Entrepreneurship Development

EQDC

Electronics & Quality Development Centre

CSPO

Central Store Purchase Organisation

GSPC

Gujarat State Petroleum Corporation Limited

GUVNL

Gujarat Urja Vikas Nigam Limited

GPCB

Gujarat Pollution Control Board

GMDC

Gujarat Mineral Development Corporation

TCGL

Tourism Corporation of Gujarat Limited

GMB

Gujarat Maritime Board

GAIC

Gujarat Agro Industries Corporation Limited

GOG AMA

Govt. of Gujarat-AMA centre

GSFC

Gujarat State Financial Corporation

National Level
31

BIS

Bureau Of Indian Standards

DC-MSME

Development Commissioner(MSME)- Ministry of Micro, Small &

Medium Enterprises

DIPP

Department of Industrial Policy & Promotion- Ministry of Commerce

& Industry

Textile

Ministry of Textiles

32

CHAPTER 4:
INDUSTRIAL PARKS

4. INDUSTRIAL PARK

4.1 Industrial Revolution:

33

Industrial Revolution in Gujarat dates back to Harappan Civilization. As Gujarat has been
writing and re-writing History, the early nineteenth Century represented a significant
watershed in Industrial Development. Being a land of enormous diversity and cross cultural
influences, Gujarat started Trade way back while Kutchhi Businessmen settled in Oman and
the Greek and Roman art influences of second and third Century reinforced the connect
between Gujarat and other countries. Exchange of Goods was a part of Trading as per
archeological excavations with foreign exchange material found in Gujarat. In 1572, Akbar
reached the coastlines of Gujarat and the Royal family and the court nobles got involved with
the trade that took place over the seas. With the Portuguese enclaves around Gujarat
Coastlines, Gujarats maritime trade prospered during 16th Century. As Gujarats westward
trade kept growing, it exported spices and goods to ship to Europe and use for bartering.
Gujarat shipped Textiles and since 13th Century, had been selling Cotton Textiles to the
Middle East and most probably, South-East Asia. Silk Patola, Ikat Fabrics, plainly woven and
coarse cotton textiles printed with wooden blocks were exported

4.2 Industries in Gujarat:

Gujarats Industrial Policy 2009 is geared for catalyzing Robust, Sustainable and Inclusive
Growth. The only state to emerge as Investor friendly, Gujarat has achieved the distinction
of being the top most industrially developed state in India in respect of investment in
industrial sector and second among states in respect of value of production and value addition
in industrial sector in India.
Growth in the Industrial sector is as high as 12.5%. Overall, it contributes to 16% of the
Industrial production in the country. Gujarat also proves the Investment-worthiness by
mobilizing the highest share (22%) of investments in 2007-2008. Gujarat is a contributing
State which accounts only for 5% of the countrys population and 6% of its geographical area.
By exercising financial discipline and rationalizing the tax structure, Gujarat is a revenue plus
state.
Large Units

34

Industrial Units with Investment exceeding over 10 Crores in Plant and Machinery are
classified as Large Scale Units. Approved by Government of India, other remaining Industries
are required to file under IEM (Industrial Entrepreneur Memorandum) and SEZ (export
oriented or setting up a Project) require permission from Development Commissioner, SEZ.
Gujarat has major 1200 large scale Industries and growing, thereby witnessing Industrial
development since its formation as a State in 1960.
Micro, Small and Medium Scale Units
The micro, Small and Medium Scale Units classify with Investments ranging from various
Investments in Plant and Machinery and Equipment. Gujarat witness impressive development
in SME sector. In 1961, the State had upto over 2000s of Industrial Units with a sharp rise as
years roll down, leading to a whooping 4 Lac SMEs catering to deal business expansions and
robust leap towards development. SMEs have the potential to provide support to the larger
units, provide employment and provide cost effectiveness. The Industrial Policy provide
special thrust on cluster development for SMEs.
Industrial Clusters
Industrial Clusters in Gujarat owe its impressive growing identity with the rise of small and
medium enterprises. Over a hundred Industrial Clusters are identified with different types of
Industrial activities and are being developed at various locations. Cost competitiveness is
enhanced as these Industrial Units are supportive to common facilities, creating brands and
developing market centres and entrust skill enhancement.
Exports and Economic Zones
High on Exports with impressive performance, Gujarats Export share in India is highest
contributing to an average over 14% share in India. Gems and Jewellery deem for a rise to
25% and over. The Government is encouraging SEZ (Special Economic Zones) considered as
growth engines that can boost manufacturing, augments exports and generate employment.
These include multi product SEZs and sector specific SEZs covering textiles, pharma,
engineering, chemicals, ceramics, gems and jewellery and IT/ITES sectors.

4.3 Industrial Scenario:

35

Gujarat has registered an impressive industrial development since its formation as a separate
state in 1960. As per the results of the Annual Survey of Industry (ASI), 2011-12 carried out
by the Central Statistical Organization (CSO), under Ministry of Statistics and Program
Implementation, Government of India, the findings are as shown below.

The number of workers and employees increased by 6.83% and 6.83% respectively in
the State during 2010-11 to 2011-12.

The fixed capital and invested capital increased by 14.99% and 14.37% respectively
in the State during 2010-11 to 2011-12.

The total input and total output increased by 27.36% and 23.75% respectively in the
State during 2010-11 to 2011-12.

Total emoluments increased by 18.93% in the State during 2010-11 compared to

2011-12.

The net value added decreased by 1.96% in the State during 2011-12 compared to
2010-11. The Gujarat State holds 3rd rank in respect of net value added in the country.

Out of 22,220 total number of factories 21,427 (96.43%) are registered in

Manufacturing sector.

Manufacturing of chemicals & chemical products, Manufacturing of coke & refined

petroleum products and Manufacturing of Food Product are main industry groups of
Gujarat State. The aggregate shares of these three groups are fixed capital (49%),
input (62%), output (61%) and net value added (51%) respectively.

Manufacturing of chemicals & chemical products industry group has only 2058
factories (9.26%). However the shares added to these industry groups are of this
industry group in fixed capital (16.52%), input (11.83%), output (13.28%) and net
value added (25.49%) respectively.

The Manufacturing of textiles was earlier leading industry group in the Gujarat state.
Now it ranked 6th in terms of share in net value added with Rs. 5,310 crore, (6.05% to
total NVA) but it is ranked first in providing workers. (i.e. 20.01%).
36

Out of all NIC-2 digit levels industry groups, main seven industry group namely
(1)Manufacturing of chemicals & chemical products, (2)Manufacturing of coke &
refined petroleum products, (3)Manufacturing of food product, (4) Manufacturing of
machinery and equipment n.e.c, (5)Manufacturing of other non- metallic mineral
products, (6) Manufacturing of textiles, (7)Manufacturing of pharmaceuticals,
medicinal chemical & botanical have accounted 54.15% of total number of factories,
66.56% of fixed capital, 74.04% of total input, 74.24% of total output and 75.94% net
value added of the State.

Over a period of time, Gujarat has also succeeded in widening its industrial base. At the time
of inception in 1960, the industrial development was confined only to four major cities
namely Ahmedabad, Baroda, Surat and Rajkot and some isolated locations such as Mithapur
and Valsad. Today, almost all the districts of the state have witnessed industrial development
in varying degree. Such a massive scale of industrial development has been possible on
account of judicious exploitation of natural resources, such as minerals, oil and gas, marine,
agriculture and animal wealth. The discovery of oil and gas in Gujarat in the decade of 60s
has played an important role in setting up of petroleum refineries, fertilizer plants and
petrochemical complexes. During the same period, the state government has also established
a strong institutional network. Gujarat Industrial Development Corporation (GIDC),
established industrial estates providing developed plots and ready built-up sheds to industries
all across the state. Institutions were also set up to provide term finance, assistance for
purchase of raw materials, plant and equipment and marketing of products. Later, District
Industries Centers (DICs) were set up in all the districts to provide assistance in setting up
industrial units in the form of support services. The state also developed infrastructure
facilities required for industries, such as power, roads, ports, water supply and technical
education institutions. The Government also introduced incentive schemes, from time to time,
to promote industries mainly in the under-developed areas of the state to correct regional
imbalances.

4.4 Industrial Park:

37

Industrial Parks - An Industrial Estate where infrastructure facilities required for Industries
and Service Sector Activities like:
Developed Land/Plot
Water Distribution
Communication Network
Effluent Treatment and Disposal Facilities for treated effluents
Sewerage Collection and Treatment
Internal Roads
Electricity
The Industrial Parks Scheme came to existence in Gujarat in the year 2002. This Scheme is
known

as

Industrial

Parks

Scheme

2002

through

Private

Agencies.

The Industrial Policy of Gujarat emphasize on creating more opportunities in Industrial,

Commercial and Service Sectors to accelerate the flow of Industrial Investment. With the
Sales Tax Incentive schemes removed, there has been adequate Investment Opportunities with
qualitative facilities and enhanced Infrastructure. As such, the State Government has its plans
on Infrastructure Development and providing Social amenities on a bigger scale. It attracts
Industrialists and Entrepreneurs to set their business in the Established Estates.
Investment Oriented Parks
An industrial park which is not included under the scheme of employment-oriented park or hitech park, and in which the total fixed capital investment in industrial units being established
shall be Rs 500 crore or more, including the investment made for setting up of industrial park.
Export Oriented Parks
Export Oriented Park - a unit, which exports more than 50% of its production. It is aimed,
Exports are doubled in the coming ten years and also attract private sector more in
infrastructure services.
Eco Industrial Parks
State Govt. aims for Zero Waste through Eco Industrial Parks that can play a vital role in
preserving the states natural beauty. Conservation and management tools such as eco38

industrial parks (EIP) have tremendous relevance in maintaining the purity of nature and
environment. An eco-industrial park- an industrial park in which businesses cooperate with
each other and with the local community in an attempt to reduce waste and pollution,
efficiently share resources (such as information, materials, water, energy, infrastructure, and
natural resources), and help achieve sustainable development, with the intention of increasing
economic gains and improving environmental quality.
Types of Industrial Parks:
Industrial Projects

Readymade Garment and Hosiery.

Diamond Cutting and Polishing.

Gems and Jewellery
Handloom and Handicraft.
Leather- based products
Other industries like Brass Parts, Engineering Industry etc.
Hi Tech Parks
Biotechnology Park.
Pharmaceutical Park.
Information Technology Park.
Clinical Testing.
The following segment fall in category to avail Industrial Parks Scheme:
Private agencies, an association of industrialists and co-operative societies (Registered under
Society Act)
Federation or Chamber of Commerce and Industries
Partnership firm
Registered trust or a company (Registered under Companies Act, 1956)
The actual expenditure incurred for developing these facilities are as per the considerations of
eligible investment. The Industrial Parks/Estates are required to have minimum Infrastructure
facilities as per its categories.
Gujarat Industrial Development Corporation (GIDC) has taken up many initiatives for
39

upgrading the infrastructure of Industrial estates in Gujarat since its inception. Some of the
measures taken up include categorization of existing estates, facelift of existing infrastructure
leveraging from critical infrastructure scheme and implementation of appropriate cost
recovers.
As per the Industrial Policy, the state government has also considered giving subsidy on the
expenditure incurred for developing infrastructure required for setting up medium and large
scale industrial projects.
Infrastructure Facilities required in Industrial Estates/Industry Clusters/Industry
Areas:
Approach road from industrial estate; area to Airport, Port or Highway.
Up gradation of existing roads/widening of road
Setting up of Earth station/Communication facilities
Water distribution network and related facilities
Gas/electricity/energy distribution network and related facilities
Setting up of warehousing facilities and related facilities
Facilities Centre
R & D Institution and/or any common facilities centre
Training Center
Testing Centre
Of the other Additional Facilities such as, Networking facilities, Trauma center, Resource
Centre, Business Support services and other Social Infrastructure of Hospitals, Schools, etc.
are required as per the norms and the Schemes on Project proposals approval.
The PPP model - Public Private Partnership plays a vital role for development of new
Industrial Estates with its Role of Implementation under PPP basis, i.e. Developed, financed,
constructed, maintained and operated by a Private Sector Company to be selected by the
Government or Government agency through a process of Developer selection as specified in
the Gujarat Infrastructure Development (GID) Act- 1999.

40

The Eligible Investment proposals for the Industrial Parks need to be identified and the Fixed
Capital Investments in the project proposal is considered for approval in the Implementation
committee. Quantum of Assistance and State contribution is considered as per the
Implementations of the proposals.
Gujarat is considered to be one of the leading industrial states in India. Its manufacturing
sector is constantly growing with the small and medium enterprise (SME) sector playing a
significant role in shaping the manufacturing sector and taking it to towering heights.
Key Players
The chemical industry in Gujarat accounts for half of the annual investment in the
state and contributes to more than 20 percent of India's chemical output.
The gems and jewellery industry in Gujarat accounts for over 80 percent of India's
total diamond exports.
Gujarat is rich in bio-resources and has a forest cover of 1.88 billion hectares.
Good reserve of mineral resources especially limestone, lignite and bauxite.
Producer of horticultural crops with over 10.7 million hectares of highly diversified

cropping area.
Gujarat accounts for 40 per cent of India's pharmaceutical production.

State cooperative Federations have progressed rural Gujarat.

Gujarat has set up single window facilities at the district level and a provision is made for
converting the Industrial Park into an SEZ, with status of deemed foreign territory, where no
Central Taxation rules apply.

4.5 Snaps of Industrial Park in Gujarat:

1) Radha Madhav Industrial Park

41

2) Dharti Apollo Industrial Park

3) Mascot Industrial Park

42

CHAPTER 5:
ANALYSIS & INTERPRETATION

43

5. INTERPRETATION & ANALYSIS

5.1 Descriptive Analysis:
1) Awareness about Different schemes for Development of Industrial Park:
Statistics
Q1 Aware about different schemes for
Development of Industrial Park?
N

Valid

10

Missing

Mean

1.00

Median

1.00

Mode

Sum

10

Q1 Aware about different schemes for Development of Industrial Park?

Cumulative

Valid

Yes

Frequency

Percent

Valid Percent

Percent

10

100.0

100.0

100.0

44

Interpretation
Here we can see that all the respondents are aware about the different schemes for
development of Industrial Park. There is not a single developer who is not aware about the
schemes for Industrial Park.

2) Various Medium through which Developer know about Different schemes for
Industrial Park
Statistics
Q2 How do you get to know about different
schemes for Industrial Park?
N

Valid

10

Missing

Mean

2.80

Median

3.00

Mode

Sum

28

45

Q2 How do you get to know about different schemes for Industrial Park?
Cumulative

Valid

Frequency

Percent

Valid Percent

Percent

VG Initiative

40.0

40.0

40.0

Industrial Dept's website

30.0

30.0

70.0

Meeting with Associations

30.0

30.0

100.0

Total

10

100.0

100.0

Interpretation
Out of 10 respondents, 40% of the respondents know about different schemes for Industrial
Park through Vibrant Gujarat Global Summit Event. 30% know about schemes through
Industrial Departments Website. And 30% know it by meeting with associations.

46

3) Reasons for Investing in Industrial Park

Statistics
Q3 What are the reasons for
investing in Industrial Park?
N

Valid

10

Missing

Mean

1.80

Median

2.00

Mode

1a

Sum

18

Q3 What are the reasons for investing in Industrial Park?

Cumulative

Valid

Industrial

Development

in

Gujarat
VG initiative
Ease of doing business in
Gujarat
Total

Frequency

Percent

Valid Percent

Percent

40.0

40.0

40.0

40.0

40.0

80.0

20.0

20.0

100.0

10

100.0

100.0

47

Interpretation
Here we can see that the main reasons for investing in the Industrial Park are Industrial
Development in Gujarat, Vibrant Gujarat Initiative, and Ease of Doing Business in Gujarat.
40% invest in Industrial Park because of the Industrial development in Gujarat.
40% invest because of the Vibrant Gujarat Initiative.
And rests 30% invest because of Ease of Doing Business in Gujarat, as Gujarat is
ranked 1 in Ease of Doing Business.

4) Various Impediments in Implementing the Projects

Case Summary
Cases
Valid
N
$Q4.1 Frequencies
$Q4.1
10

Missing

Total

Percent

Percent

100.0%

.0%

Percent

10
Responses

100.0%
Percent of Cases

Percent

35.7%

50.0%

21.4%

30.0%

response to different queries 2

14.3%

20.0%

28.6%

40.0%

14

100.0%

140.0%

What are Impediments in Q4.1 Market Recession

implementing the projects?

Q4.4 Lack of Single Window

System
Q4.5

Lack

of

prompt

by Government dept
Q4.6 Delay in getting land
use
Total

48

Interpretation:
There are many impediments in implementing the projects such as: Market Recession, Lack
of local body support, Lack of skilled manpower, Lack of single window system, Lack of
prompt response to different queries by Government Department, Delay in getting Land use.
Out of these impediments:
35.7% of respondents believe that market recession is main impediment in
implementing the projects.
21.4% of respondent believe that Lack of Single Window System is an impediment in
implementing the projects.
14.3% of respondent believe that Lack of prompt response to different queries by
Government department is an impediment in implementing the projects.
28.6 % of respondent believe that Delay in getting Land use is an impediment in
implementing the projects.

5) Different Lacunas in Implementation of the Schemes

49

Statistics
Q5 What are the lacunas in Implementation
of the schemes?
N

Valid

10

Missing

Mean

2.20

Median

1.00

Mode

Sum

22

Q5 What are the lacunas in Implementation of the schemes?

Cumulative

Valid

Delayed land approvals

lack of coordination between
different govt. department

Total

Frequency

Percent

Valid Percent

Percent

60.0

60.0

60.0

40.0

40.0

100.0

10

100.0

100.0

50

Interpretation
There are different lacunas in implementation of the schemes. And these are: Delayed land
approvals, Lack of Monitoring systems, Red Tapism, Lack of coordination between different
Government departments. And out of these:
60% of respondents believe that delayed land approvals are main lacuna in
implementation of the schemes.
40% of respondents believe that lack of coordination between different Government
Departments is a lacuna in implementing of the schemes

51

Statistics

6) Various Means of

Financing

Q7 What are means of finance?

N

Valid

10

Missing

Mean

1.80

Median

2.00

Mode

Sum

18

Q7 What are means of finance?

Cumulative

Valid

Frequency

Percent

Valid Percent

Percent

Personal Finance

30.0

30.0

30.0

Bank Finance

60.0

60.0

90.0

Loan from other sources

10.0

10.0

100.0

10

100.0

100.0

Total

52

Interpretation
The different means of Financing are: Personal Finance, Bank Finance, and Loan from other
sources. Out of these means of financing:
30% of respondents prefer personal finance as their means of financing
60% of respondents prefer bank finance as their means of financing
10% of respondents prefer loan from other sources as their means of financing

53

7) GIDC presence a main cause of Industrial Development in Gujarat

Statistics
Q8 Whether presence of GIDC is main
cause of Industrial Development in
Gujarat?
N

Valid

10

Missing

Mean

1.70

Median

2.00

Mode

Sum

17

Q8 Whether presence of GIDC is main cause of Industrial Development in

Gujarat?

Cumulative

Valid

Frequency

Percent

Valid Percent

Percent

yes

30.0

30.0

30.0

no

70.0

70.0

100.0

10

100.0

100.0

Total

Interpretation
Out of 10 respondents 70% of them feel that presence of GIDC is not a main cause of
Industrial Development in Gujarat. And rest 30% feels that presence of GIDC is main reason
of Industrial Development in Gujarat.

8) Incentives offered
are attractive

under different schemes

Statistics
Q9 Whether incentives offered under
different schemes are attractive?
N

Valid

10

Missing
Mean
Median

54

1.00
1.00

Mode

Sum

10

Q9 Whether incentives offered under different schemes are attractive?

Cumulative

Valid

Yes

Frequency

Percent

Valid Percent

Percent

10

100.0

100.0

100.0

Interpretation
Here we can see that all the respondents believe that incentive offered under different
schemes are attractive. And because of these attractive incentives the Industrial Park
Developer prefer to invest in Gujarat and thus leads to Industrial Development in Gujarat.

55

9) Monitoring System for different Industrial park scheme is Satisfactory

Statistics
Q10 Whether monitoring systems for different
Industrial Park scheme is satisfactory?
N

Valid

10

Missing

Mean

1.00

Median

1.00

Mode

Sum

10

Q10 Whether monitoring systems for different Industrial Park scheme is

satisfactory?
Cumulative

Valid

yes

Frequency

Percent

Valid Percent

Percent

10

100.0

100.0

100.0

56

Interpretation:
Here we can see that all the respondents are believed that the monitoring system for different
Industrial Park scheme is satisfactory. They also believe that the feedback mechanism under
the monitoring system is also effective and thus more developer prefers to register the
different scheme.

57

10) Vibrant Gujarat event is main boosting factor for Establishing Industrial Park

Statistics
Q11 Whether Vibrant Gujarat event is main
boosting factor for establishing Industrial Park?
N

Valid

10

Missing

Mean

1.10

Median

1.00

Mode

Sum

11

Q11 Whether Vibrant Gujarat event is main boosting factor for

establishing Industrial Park?
Cumulative

Valid

Frequency

Percent

Valid Percent

Percent

yes

90.0

90.0

90.0

no

10.0

10.0

100.0

Total

10

100.0

100.0

58

Interpretation
It is evident from the chart that 90% of the respondent feels that Vibrant Gujarat event is main
boosting factor for establishing Industrial Park. Only 10% of respondents feel that Vibrant
Gujarat event is not important factor for establishment of Industrial Park.
11) Surrounding Infrastructure facility is important for Establishing Industrial Park
Statistics
Q12 Whether surrounding infrastructure facility
important for establishing Industrial Park?
N

Valid

10

Missing

Q12

Mean

1.00

Median

1.00

Mode

Sum

10

Whether

surrounding

infrastructure

facility

important

establishing Industrial Park?

59

Valid

yes

Cumulative

Frequency

Percent

Valid Percent

Percent

10

100.0

100.0

100.0

for

Interpretation
Here we can see that all the respondents believe that surrounding infrastructure facility is
important for establishing Industrial Park. Also, the schemes provide the infrastructure
facility as per the Industries the developers want to setup.

12) Land bank with Government is important factor for Establishing Industrial
Park
60

Statistics
Q13 Absence of land bank with GIDC/Government is
important factor of establishing of Industrial Park?
N

Valid

10

Missing

Mean

1.20

Median

1.00

Mode

Sum

12

Q13 Absence of land bank with GIDC/Government is important factor of

establishing of Industrial Park?
Cumulative

Valid

Frequency

Percent

Valid Percent

Percent

yes

80.0

80.0

80.0

no

20.0

20.0

100.0

Total

10

100.0

100.0

Interpretation
61

From the chart we can see that 80% of respondent feels that absence of land bank with GIDC
is important factor for establishment of Industrial park in Gujarat. And rest 20% feels that
absence of land bank with GIDC/Government is not important factor for establishment of
Industrial Park.

13) Age

Statistics
Q15 age
N

Valid

10

Missing

Mean

3.00

Median

3.00

Mode

Sum

30

Q15 Age
Cumulative

Valid

40-60

Frequency

Percent

Valid Percent

Percent

10

100.0

100.0

100.0

62

Interpretation
Here, we can see that all respondents belong to the age group between the ages of 40-60
years. Thus, 100% i.e. all respondents belong to the age group of 40-60 years.

14) Gender

63

Statistics
Q16 gender
N

Valid

10

Missing

Mean

1.00

Median

1.00

Mode

Sum

10

Q16 gender
Cumulative

Valid

male

Frequency

Percent

Valid Percent

Percent

10

100.0

100.0

100.0

Interpretation
As it is evident from the above chart, all respondents are male. Thus, we can say that all the
Industrial Park Developers are male only.

5.2 Hypothesis Analysis:

64

1. H0: Industrial Park Developer are not aware about the schemes
H1: Industrial Park Developer is aware about the schemes

Binomial Test
Exact

Q1 Are you aware

about

Group 1

Category

Observed Prop.

Test Prop.

tailed)

Yes

10

1.00

.50

.002

10

1.00

Sig.

(2-

different

schemes

for

development

Total

of

Industrial Park?

Test: Binomial Test

Significant Value: 0.002
Standard Value: 0.05
Greater than/ Less than: 0.002 < 0.05
Acceptance/ Rejection: H0 is rejected
Interpretation: Here, significant value is less than 0.05 so we reject the null hypothesis and
accept the alternate hypothesis. Thus, we conclude that all respondents are aware about the
different schemes for development of Industrial Park.

2. H0: Incentives offered under different schemes for Industrial park are not
attractive for Industrial park owners
65

H1: Incentives offered under different schemes for Industrial park are attractive

for

Industrial park owners

Binomial Test
Exact

Q9

Whether

offered

under

incentives Group 1
different

Category

Observed Prop.

Test Prop.

tailed)

Yes

10

1.00

.50

.002

10

1.00

Total

schemes are attractive?

Sig.

Test: Binomial Test

Significant Value: 0.002
Standard Value: 0.05
Greater than/ Less than: 0.002 < 0.05
Acceptance/ Rejection: H0 is rejected
Interpretation: Here, significant value is less than 0.05 so we reject the null hypothesis and
accept the alternate hypothesis. Thus, we conclude that an incentive offered under different
schemes for development of Industrial Park is attractive to all the Industrial Park Developers.
Thus, developers prefer to develop parks in Gujarat because of the attractive incentive offered
under different schemes.

3. H0: Surrounding Infrastructure Facility is not important for establishing

Industrial

Park
66

(2-

H1: Surrounding Infrastructure Facility is important for establishing Industrial Park

Binomial Test
Exact

Q12

Whether

surrounding

infrastructure

facility

important

establishing

for

Group 1

Category

Observed Prop.

Test Prop.

tailed)

Yes

10

1.00

.50

.002

10

1.00

Sig.

is
Total

Industrial Park

Test: Binomial Test

Significant Value: 0.002
Standard Value: 0.05
Greater than/ Less than: 0.002 < 0.05
Acceptance/ Rejection: H0 is rejected
Interpretation: Here, significant value is less than 0.05 so we reject the null hypothesis and
accept the alternate hypothesis. Thus, we conclude that surrounding Infrastructure facility is
important for establishing Industrial Park. Also, developers registering under different
schemes get the necessary infrastructure facility for developing the Industrial park.

4. H0: Presence of GIDC is not a main cause for development of Industrial Park
H1: Presence of GIDC is a main cause for development of Industrial Park
67

(2-

Binomial Test
Exact Sig. (2Category
Q8 Whether presence of
GIDC is main cause of
industrial development in
Gujarat?

Observed Prop.

Group 1

Yes

.30

Group 2

No

.70

10

1.00

Total

Test Prop.
.50

tailed)
.344

Test: Binomial Test

Significant Value: 0.344
Standard Value: 0.05
Greater than/ Less than: 0.344 > 0.05
Acceptance/ Rejection: H0 is accepted
Interpretation: Here, significant value is greater than 0.05 so we accept the null hypothesis
and reject the alternate hypothesis. Thus, we conclude that presence of GIDC is not a main
cause for development of Industrial Park. Industrial Park feels that absence or presence of
GIDC has nothing to do with the Industrial Development in Gujarat.

5. H0: Vibrant Gujarat initiative failed to attract Private Industrial Park

H1: Vibrant Gujarat initiative succeeded to attract Private Industrial Park
68

Binomial Test
Exact Sig. (2Category
Q11 Whether Vibrant Gujarat
is main boosting factor for
establishing Industrial Park?

Observed Prop.

Group 1

Yes

.90

Group 2

No

.10

10

1.00

Total

Test Prop.
.50

tailed)
.021

Test: Binomial Test

Significant Value: 0.021
Standard Value: 0.05
Greater than/ Less than: 0.021 < 0.05
Acceptance/ Rejection: H0 is rejected
Interpretation: Here, significant value is less than 0.05 so we reject the null hypothesis.
Thus, we conclude that Vibrant Gujarat Initiative has succeeded to attract the Private
Industrial Park. Due to the Vibrant Gujarat Global Summit, more people are getting aware
about the Industrial Park and different schemes and their benefits. Thus, the success of
Vibrant Gujarat event has led the development of Industrial Park in Gujarat.

6. H0: There is no feedback mechanisms in monitoring of Industrial Park scheme

H1: There is a feedback mechanism in monitoring of Industrial Park scheme
69

Binomial Test
Exact Sig. (2Category
Q10 Whether monitoring

Group 1

Yes

Observed Prop.

10

1.00

10

1.00

Test Prop.
.50

tailed)
.002

systems for different

Industrial Park scheme is

Total

satisfactory?

Test: Binomial Test

Significant Value: 0.002
Standard Value: 0.05
Greater than/ Less than: 0.002 < 0.05
Acceptance/ Rejection: H0 is rejected
Interpretation: Here, significant value is less than 0.05 so we reject the null hypothesis and
accept the alternate hypothesis. Thus, we conclude that feedback mechanisms in monitoring
of Industrial park scheme are Satisfactory. The Industrial Park developers are happy with the
monitoring system offered under different schemes of Industrial Park.

7. H0: Availability of different resources is not important factor for selecting location for
development of Industrial Park

70

H1: Availability of different resources is important factor for selecting location for
development of Industrial Park

One-Sample T Test
Test Value = 0.05
95% Confidence Interval of the
Difference
t

df

Sig. (2-tailed)

Mean Difference

Lower

Upper

Q6 Availability of
resources a factor for

13.905

.000

3.850

3.22

4.48

selecting location

Test: One- Sample T Test

Significant Value: 0.000
Standard Value: 0.05
Greater than/ Less than: 0.000 < 0.05
Acceptance/ Rejection: H0 is rejected
Interpretation: Here, significant value 0.000 is less than the 0.05 so we reject the null
hypothesis and accept the alternate hypothesis. Thus, we conclude that availability of
resource is important factor for selecting for Development of Industrial Park in Gujarat.

71

CHAPTER 6:
FINDINGS

6. FINDINGS

72

From the above analysis, following are the findings based on this study:
There are total 10 respondents and all respondents fall between the ages of 40-60
years which accounts 100% of total sample size.
All 10 respondents are male developers which accounts that almost 100% of the
Industrial Park Developers are male.
All the respondents are aware about the different schemes for development of
Industrial Park which accounts for 100% awareness about the scheme for
development of Industrial Park. There is not a single developer who is not aware
about the schemes for Industrial Park.
Out of 10 respondents, 40% of the respondents know about different schemes for
Industrial Park through Vibrant Gujarat Global Summit Event. 30% know about
schemes through Industrial Departments Website. And 30% know it by meeting with
associations.
The main reasons for investing in the Industrial Park are Industrial Development in
Gujarat, Vibrant Gujarat Initiative, and Ease of Doing Business in Gujarat. 40% invest
in Industrial Park because of the Industrial development in Gujarat.40% invests
because of the Vibrant Gujarat Initiative. And rests 30% invest because of Ease of
Doing Business in Gujarat, as Gujarat is ranked 1 in Ease of Doing Business.
There are many impediments in implementing the projects such as: Market Recession,
Lack of local body support, Lack of skilled manpower, Lack of single window
system, Lack of prompt response to different queries by Government Department,
Delay in getting Land use permission. Out of these impediments: 35.7% of
respondents believe that market recession is main impediment in implementing the
projects. 28.6 % of respondent believe that Delay in getting Land use is an
impediment in implementing the projects. 21.4% of respondent believe that Lack of
Single Window System is an impediment in implementing the projects. 14.3% of
respondent believe that Lack of prompt response to different queries by Government
department is an impediment in implementing the projects.
There are different lacunas in implementation of the schemes. And these are: Delayed
land approvals, Red Tapism, Lack of coordination between different Government
departments. And out of these: 60% of respondents believe that delayed land
approvals are main lacuna in implementation of the schemes. 40% of respondents
73

believe that lack of coordination between different Government Departments is a

lacuna in implementing of the schemes.
The different means of Financing are: Personal Finance, Bank Finance, and Loan
from other sources. Out of these means of financing: 60% of respondents prefer bank
finance as their means of financing. 30% of respondents prefer personal finance as
their means of financing 10% of respondents prefer loan from other sources as their
means of financing.
Out of 10 respondents 70% of them feel that presence of GIDC is not a main cause of
Industrial Development in Gujarat. And rest 30% feels that presence of GIDC is main
reason of Industrial Development in Gujarat. Industrial Park Developer feels that
absence or presence of GIDC has nothing to do with the Industrial Development in
Gujarat.
All the respondents believe that incentive offered under different schemes are
attractive. And because of these attractive incentives the Industrial Park Developer
prefer to invest in Gujarat and thus leads to Industrial Development in Gujarat.
All the respondents are believed that the monitoring system for different Industrial
Park scheme is satisfactory. They also believe that the feedback mechanism under the
monitoring system is also effective and thus more developer prefers to register under
the different scheme.
Out of 10 respondents 90% of the respondent feels that Vibrant Gujarat event is main
boosting factor for establishing Industrial Park. Only 10% of respondents feel that
Vibrant Gujarat event is not important factor for establishment of Industrial Park.
All the respondents believe that surrounding infrastructure facility is important for
establishing Industrial Parks.
Out of 10 respondents 80% of respondent feels that absence of land bank with GIDC
is important factor for establishment of Industrial parks in Gujarat. And rest 20% feels
that absence of land bank with GIDC/Government is not important factor for
establishment of Industrial Parks.
The study shows that all respondents are aware about the different schemes for
development of Industrial Parks.
The study shows that an incentive offered under different schemes for development of
Industrial Park is attractive to all the Industrial Park Developers. Thus, developers

74

prefer to develop parks in Gujarat because of the attractive incentive offered under
different schemes.
This study also shows that surrounding Infrastructure facility is important for
establishing Industrial Park. Also, developers registering under different schemes get
the necessary infrastructure facility for developing the Industrial Parks.
According to this study, Vibrant Gujarat Initiative has succeeded to attract the Private
Industrial Park. Due to the Vibrant Gujarat Global Summit, more people are getting
aware about the Industrial Policies and different schemes and benefits offered under
the schemes. Thus, the success of Vibrant Gujarat event has led the development of
Industrial Development in Gujarat.
This study reveals that feedback mechanisms in monitoring of Industrial park scheme
are Satisfactory. The Industrial Park developers are happy with the monitoring system
offered under different schemes of Industrial Park.
The study shows that availability of resource like availability of skilled/unskilled

labor, water, connectivity to rails and roadways is important factor for selecting
location for Development of Industrial Parks in Gujarat

75

CHAPTER 7:
RECOMMENDATIONS

76

7. RECOMMENDATIONS
The following are the recommendations based on this study:
Speedy disposal of land use permissions can boost up the implementation of Industrial
Parks schemes.
Single Window System for different permissions required for implementation of
Industrial Parks can lead to Ease of Doing Business in Gujarat.
Coordination between different Government Departments for implementations of
Industrial Schemes seems to be very important.
Skill Development Centers and Industrial Training Institutes (ITI) can also work as a
support system for upcoming industrial growth in Gujarat.
Easy and speedy availability of bank finance can also boost up the implementation of
Industrial Parks Scheme within time frame.
If Start Up Projects are given priority in Industrial Park Schemes on concessional
basis then market recession can be avoided.
For setting up Industrial Park several factors like availability of skilled/unskilled
labor, water, vicinity to port, connectivity to roads and railways are important. So one
must consider these factors while setting up the Industrial Park. According to nature
of Industries to be put in Industrial Park.

77

CHAPTER 8:
CONCLUSION,
BIBLIOGRAPHY& ANNEXURE

8. CONCLUSIONS
78

From the above research following conclusions are derived:

By analysing the hypothesis it is concluded that all respondents are aware about the
different schemes for development of Industrial Parks.
All the respondents are believed that the monitoring system for different Industrial
Park scheme is satisfactory. They also believe that the feedback mechanism under the
monitoring system is also effective and thus more developer prefers to register under
the different scheme.
The different means of Financing are: Personal Finance, Bank Finance, and Loan
from other sources. Out of these means of financing: 60% of respondents prefer bank
finance as their means of financing. 30% of respondents prefer personal finance as
their means of financing 10% of respondents prefer loan from other sources as their
means of financing.
The study shows that availability of resource like availability of skilled/unskilled

labor, water, connectivity to rails and roadways is important factor for selecting
location for Development of Industrial Parks in Gujarat.
This study also shows that surrounding Infrastructure facility is important for
establishing Industrial Park. Also, developers registering under different schemes get
the necessary infrastructure facility for developing the Industrial Parks.
The study shows that an incentive offered under different schemes for development of
Industrial Park is attractive to all the Industrial Park Developers. Thus, developers
prefer to develop parks in Gujarat because of the attractive incentive offered under
different schemes.

BIBLIOGRAPHY
79

 Hollnder, R. (2009). Retrieved from http://www.wifa.uni-leipzig.de:

http://www.wifa.uni-leipzig.de/fileadmin/user_upload/AP/ULWiFa_AP81_Hollaender_Wu_Duan.pdf

Huang, G. Q. (2010, july). IEEE Explore. Retrieved from http://ieeexplore.ieee.org/:

http://ieeexplore.ieee.org/xpl/abstractAuthors.jsp?tp=&arnumber=5668257&url=http
%3A%2F%2Fieeexplore.ieee.org%2Fxpls%2Fabs_all.jsp%3Farnumber%3D5668257

Lowe, E. A. (2001). Indigodev. Retrieved from www.indigodev.com:

www.indigodev.com/documents/ADBHBCh1Intro.doc

Saleman, Y. (2014, march 1). http://papers.ssrn.com. Retrieved from

http://papers.ssrn.com/sol3/papers.cfm?abstract_id=2404649

http://www.gujaratindia.com/
https://en.wikipedia.org/wiki/Gujarat
http://www.gujaratindia.com/state-profile/govt-department.htm
http://www.gujaratindia.com/business/indus-parks.htm
http://ic.gujarat.gov.in/

Annexure

EVALUTION AND MONITORING OF

DIFFERENT SCHEME FOR DEVELOPMENT OF
INDUSTRIAL PARK
80

Hello sir/madam,
I am the students of N.R. Institute of Business Management. This study is a part
of my Summer Internship Programme. So I request you to give your precious
time to fill this questionnaire. Your response will only be used for study
purpose. All information you provide will be kept confidential.

SECTION 1
1.) Are you aware about different schemes for development of industrial
park?
Yes

No

(If No, then please go to Section - 2)

2.) How do get to know about different schemes for industrial park?

Vibrant Gujarat Initiative

Advertisement
Industrial departments website
Industrial seminar
Meeting with Association

3.) What are the reasons for investing in industrial park?

Industrial Development in Gujarat

Vibrant Gujarat Initiative
Ease of doing business in Gujarat
Man-Power availability

4.) What are the impediments in implementing the projects?

(Multiple Choice Multiple Response)
Market Recession
Lack of local body support
Lack of Manpower
81

 Lack of Single window Support

Lack of prompt response to different queries by govt dept
Delay in getting land use(non agriculture permission)
5.)

What are the lacunas in implementation of the schemes?

6.)

Delayed land approvals

Lack of Monitoring
Red Tapism
Lack of Coordination between different govt. dept

Please tick the following statements in terms of the degree of your

preference for selecting location.

STRONGLY
AGREE

PARTIALLY
AGREE

Lack of
industries in
Surrounding
Areas
GIDC Estate
Availability of
source of water
Availability of
skilled labor
Availability of
unskilled labor
Vicinity to ports
Connectivity to
rail and roadways

7.)

What are means of finance?

Personal Finance
Bank Finance
Loan from Other Sources

82

NEUTRAL

PARTIALLY
DISAGREE

STRONGLY
DISAGREE

8.)

Whether presence of GIDC is the main cause of industrial

development in Gujarat?
Yes

9.)

No

Whether incentives offered under different schemes are attractive?

Yes

No

No

10.) Whether monitoring system for different industrial park scheme is

satisfactory?
Yes

11.)

No

Whether Vibrant Gujarat event is main boosting factor for

establishment of industrial park?
Yes

No

12.) Whether surrounding infrastructure facility (e.g. FTP) is important

for establishing Industrial Park?

Yes

No

13.) Absence of Land Bank with GIDC/Government is important factor

for establishing Industrial Park?
Yes

No

14.) Name
:
_________________________________________________

83

15.) Age:

Below 20
20 40
40 60
60 and above

16.) Gender:
Male

Female

: BASIC INFORMATION :
17.) Name of Park:
________________________________________________________________

18.) Name of Developer / Developer Company:

________________________________________________________________
________________________________________________________________

18.) Location of Park:

Village

: __________________________

District

: __________________________

Taluka

: __________________________

84

19.) Area of Park (In Hectares):

___________________________________________________

20.) Project Cost:

Land Cost
Infrastructure Cost
Other Expenses
Total Cost

:________________________
: ________________________
: ________________________
: ________________________

SECTION 2
22.) What are the reasons for unawareness of schemes for development of
industrial park?
________________________________________________________________
________________________________________________________________
________________________________________________________________
________________________________________________________________

THANK YOU

85