___________

The following is from an article in Business Standard based on an ASSOCHAM report.

Continuing its investor friendly momentum, Orissa has attracted investments worth Rs 12.08 lakh crore across sectors till the end of 2011, grabbing 10.04 per cent share of the overall investment pie standing at Rs 120.34 lakh crore.

… While Gujarat has emerged as the numero uno state, bagging investments to the tune of Rs 16.28 lakh crore, Maharashtra is at the second slot, drawing investment of Rs 14.13 lakh crore. Neighboring Andhra Pradesh leads Orissa by a slender margin with investment proposals of Rs 12.09 lakh crore in its kitty.

“Out of the 20 industrial states, Gujarat, Maharashtra, Andhra Pradesh, Orissa and Karnataka have clearly emerged as the preferred investment destinations by attracting 53.56 per cent of the total live investments,” said D S Rawat, national secretary general of Assocham.

Of the overall investments that have flowed to different states, Orissa leads the pack with top slots in manufacturing and mining sectors with a share of 17.5 per cent and 31.2 per cent respectively of the total investments.

In electricity sector, Orissa with a share of 11.3 per cent is next only to Gujarat. The state has clocked 3.4 per cent share in services sector and two per cent in irrigation while its meagre share of 0.7 per cent in the real sector is among the lowest of the 20 states surveyed by Assocham. Of its own investment basket of Rs 12.08 lakh crore, manufacturing is the top draw with a whopping share of 44.2 per cent, drawing parallels with neighbouring states like Jharkhand and West Bengal where manufacturing has been the key investment driver as well, accounting for 63.1 per cent share and 43.1 per cent share respectively.

Electricity is the next biggest contributor to Orissa’s investment portfolio with a share of 40.4 per cent followed by services at 7.4 per cent and mining sector at 6.5 per cent. The state’s residual investment basket is filled by sectors like irrigation and real estate with a share of 0.6 per cent and 0.9 per cent respectively.

Following is an excerpt from a report in Economic Times.

Orissa has attracted a total of 574 live investment projects worth Rs. 11.3 lakh crore as of December 2010, thus emerging as a lucrative investment destination.

The investment is heavily loaded in favour of manufacturing, power, mining, services, irrigation and real estate sectors according to an independent study of the Associated Chambers of Commerce and Industry of India ASSOCHAM.
The study titled ‘ASSOCHAM Strategy: Sustaining Growth Momentum in Odisha’  …

"Registering a growth of over 19% year-on-year basis, Orissa has attracted 72 fresh live investment projects notching over Rs. 1.8 lakh crore as of December 2010 as against a total of 502 live investment projects worth Rs. 9.5 lakh crore as on December 2009," Mr Khaitan said.

Manufacturing sector has garnered lion’s share with almost 40 per cent in total investments, followed by power (37.8 per cent), mining (14.5 per cent), services (6.9 per cent) whereas, irrigation and realty sector have garnered a moderate share of 0.6 and 0.4 per cent respectively, according to the study.

Interestingly, while 51% of these live investment projects were in announcement stage, 45.9% of total outstanding investments were actually being implemented and only three per cent of aggregate investment projects were stalled due to obstructions, cancellations market policy, environmental clearances, land acquisition policy etc.

"Orissa has attracted almost 10% of total investments by both government and private sectors as on March 2010 attracting over Rs. 9.8 lakh crore out of total investment worth Rs. 105 lakh crore across India," Mr Dhoot added.

"Orissa accounted for merely 6% of total investments undertaken by various government agencies in India whereas; the state attracted around 12% of total investments by private sector across India. Besides, private sector accounted for over 70% of investments made in the state," Mr. Dhoot remarked.

ASSOCHAM has called for leveraging public resources to access private resources which would provide an environment to take advantage of liberalized policies.

"The state must restrict itself to the role of a regulator and a facilitator. Besides, public investments must be used for development of agri and allied sectors and development of secondary and tertiary sectors must be entirely left to private sector," Mr Rawat said.

Stating that Orissa’s share in subsidy granted from Viability Gap Funding (VGF) is way below other states, the ASSOCHAM called the state government to make optimum use of VGF for infrastructural development. It suggested for formation of a separate department to obtain central government’s support for infrastructural development. The industry body also called the state government to set up a Rs. 10,000 crore infrastructure development fund jointly with the central government.

Note that we mentioned in http://www.orissalinks.com/orissagrowth/archives/5004 the site http://www.business-beacon.com where one can find out the up-to-date list of live projects. As per that list, as of today Odisha has 681 live projects. But although that site gives the count of projects, it does not give free (not paid) access to find out the money amount.

The following excerpt from a different article in Economic Times illustrates the difference between the total number of projects  and the total amount for those projects.

Karnataka ranks as number two top investment destination in the country after Gujarat with 1,528 projects worth Rs 9.1 lakh crore underway, according to industry body ASSOCHAM.

In Gujarat, 1,455 projects worth Rs 13.35 lakh crore are underway, ASSOCHAM officials said.

Nearly 44 per cent of the 1,528 projects in Karnataka are in manufacturing sector followed by 22.4 per cent in services, 15 per cent in power and about 14 per cent in real estate.

(Thanks to Jagmohan Swain for the pointer.)

Following are excerpts from an April 2011 ASSOCHAM PLACEMENT PATTERN report titled "Tier II and Tier III cities Emerging as the New Job Creation Basket in 2011-2012" by Ravish Jaggi.

Out of the total 56 cities that were tracked by the Assocham Placement Pattern (APP), Tier II and Tier III cities have cornered 38.8 per cent (total 17 cities Tier II cities) and 23 per cent (total 33 Tier III cities) share of the job space respectively in the financial year 2010-11. Whereas Tier I cities, mainly Delhi/NCR, Mumbai, Kolkata, Chennai, Hyderabad and Bangalore have emerged as the fastest job generating cities in India during the past couple of years. During the FY 2011, estimated 2,49,779 number of jobs were created by fuelling a growth of 38.2 per cent over the corresponding period of last year.

In 2010-11 about 2,53,702 jobs were created in Tier II cities, which recorded a growth of 38.8 per cent over the corresponding period of last fiscal. Majorly 1,89,756 employment ware generated in Pune, Bhubaneshwar, Chandigarh, Lucknow and Surat in the last one year.

During 2010-2011, Tier III cities showed a growth of 23 per cent on account of 1,50,391 job creations. Allahabad, Udaipur, Agra, Ajmer, Kota and Meerut are the major cities among the tier III cities which showed a high growth in job placements.

Tier I cities:

Among the Tier I cities Delhi-NCR and Mumbai recorded highest share in providing job opportunities with 39 per cent and 13.8 per cent share in total job creation respectively. As compared to the April-March 2009-10, Delhi/ NCR registered growth of 15.3 per cent in job creation whereas Mumbai registered 11.1 per cent growth in job creation during April-March 2010-11.

Bangalore, Chennai, Hyderabad and Kolkata have 9.7 per cent, 5.6 per cent, 5.4 per cent and 4 per cent share in total job creations in Tier I cities. Hyderabad and Kolkata registered growth of 10 per cent and 7.3 per cent during FY 11 over FY 10. Bangalore and Chennai registered growth of 5.6 per cent and 4.1 per cent share in total job creation respectively, during FY 11.

Tier II cities

As per the analysis of the study, 17 major Tier II cities recorded highest growth of 38.8 per cent share in total employment generation. Among the Tier II cities during FY 11, Bhubaneshwar and Pune recorded 42.2 per cent and 19.7 per cent growth in job creation as compared to same period of last year.

Among the other major tier II cities Chandigarh, Lucknow and Surat recorded growth of 12.2 per cent, 10.8 per cent and 8.8 per cent share in total job creation during the analyzed period.

Other tier II cities which showed growth in employment generation during April to March 2010-11 over the previous year were Jaipur (6.68 per cent), Vishakhapatnam (5.5 per cent), Indore (4.33 per cent), Nagpur (4 per cent), Cochin (3.35 per cent), Ludhiana (3.28 per cent), Bhopal (2.21 per cent), Amritsar (2.13 per cent) and Gwalior (2 per cent).

Tier III cities

The analysis of the tier III cities shows that 18 cities out of 33 cities registered a heavy growth in job creation during FY 11 as compared to the same period of the last year. The 33 major tier III cities accounted for 23 per cent share in total employment generation during the period. Among the tier III cities, Allahabad, Udaipur, Agra, Ajmer and Kota are top leading cities which recorded major growth of 69.6 per cent, 62.5 per cent 60.9 per cent, 49.3 per cent and 45.6 per cent during the period respectively. As compared to the same period of last year, Meerut and Kanpur registered 38.5 per cent and 26.8 per cent growth.

Whereas majorly Tier III cities, which registered decline in job creation during April-March 2010-11 as compared to the same period of 2009-10 were Shillong (64.2 per cent), Dhanbad (34.6 per cent), Hoshiarpur (27.8 per cent), Ambala (24.2 per cent), Vijayawada (18.7 per cent), Jalandhar (13 per cent) and Raipur (12.8 per cent).

Following is an excerpt from a report in orissadiary.com.

As per the Assocham Investment Meter (AIM) assessment report for corporate investments across states and sectors, total investment plans of India Inc. increased significantly from Rs. 7,971,464 crore in 2009 to Rs. 10,097,472 crore during the period of April-September, 2010. Among the 20 major states Gujarat, Maharashtra and Orissa carved out a majority share of 13.2 per cent, 11.4 per cent and 11.2 per cent respectively.

… Among the top investment attracting states, Gujarat remains on the top registering the highest share of 13.2 per cent in domestic investment plans during the period of April-September, 2010. The state witnessed Rs. 1,330,743 crore worth of capex plans which are 17.3 per cent higher as compared to the total investment realized in the state during the past year. Also, the state attracted majority of investment plans in the power, manufacturing and services sectors.

Similarly, Maharashtra stood at second position registering growth of 19.3 per cent (Y-o-Y) and 13.2 per cent share of the total investments made during April-September 2010-11. The state attracted whopping investments plans of Rs. 1,154,197 crore during the said period. The Services and Real Estate were the prominent among the sectors that attracted majority share of the investments.

The availability of rich mineral resources such as coal and iron ore along with cheap availability of manpower helped Orissa to rank amongst the top three states in attracting corporate investments.

The state was ranked third on investment radar with total planned investments stood at Rs. 1,134,716 crore during the H1 period of FY’11. The state recorded a hike of about 20.0 per cent in overall investments over the previous year. Among the sectors Manufacturing and Power companies have received the major proportion of the investments.

Karnataka and Andhra Pradesh stood at fourth and fifth position by attracting investment plans worth Rs. 915,060 crore and Rs. 866,776 crore respectively during in H1 of 2010.

Following is an excerpt from gujaratmoney.com.

… in the GSDP(Gross State Domestic Product) growth projected by the country’s apex finance panel-13th Finance Commission for next five years(from 2010-11 to 2014-15) in the country after Goa(in the first position) and Orissa(2nd position).

The panel has projected that Gujarat’s GSDP will grow in next five years at average 12.46%(projection based on the base year 2007-08) while the highest growth has been projected for Goa(13.06%) and Orisssa(12.63%). While others states to grow at 12% plus are Haryana(12.30%) and Chattisgarh(12.28%). The other states which are projected to grow at 11% plus are Jharkhand(11.5%), Assam(11.32%) and Meghalaya(11.9%).

States with 10% plus growth projections are Karnatka(10.53%), Rajasthan(10.33%), Kerala and Himachal Pradesh(10.30%), Jammu & Kashmir(10.25%), Uttrakhand(10.17%) West Bengal(10.04%) and Andhra Pradesh(10.03%). Maharashtra, Taminadu and others state are expected to grow at 9% or below that.

Though projections have been made for Gujarat in top three GSDP growth states but the incremental growth(year to year improvement) rate has been projected as one of the lowest. For the same period incremental growth of Gujarat has been projected at 2.04% while for Maharashtra, West Bengal, Andhra Pradesh, Punjab, Kerala and Uttar Pradesh its has been projected at 4.57, 4.46, 4.47, 4.24, 4.20 and UP 4.01% respectively.

One needs to worry about the negative impact of the anti-growth and anti-Odisha agenda of the prince of Congress and the environment ministry. The PM is a saving grace; but if the prince takes over then Odisha as well as India are doomed.

Following is from a Business Standard report in sify.com.

Orissa has continued its growth momentum as a favourite destination for investors attracting investments worth Rs 98,929.49 crore in the April-June period of this fiscal. The most of these new investment proposals are in sectors like power, steel, cement, food processing and downstream industries.

The single largest investment proposal of Rs 45,000 crore has come from Strategic Energy Technology Systems Pvt Ltd for a coal to liquid project at Angul on May 12, 2010.

The bulk of the investments- Rs 33,569.25 crore has been proposed in the power sector with proposals for setting up of Independent Power Plants (IPPs) with a cumulative capacity of 7740 MW.

Ferro Alloys Corporation (FACOR) Power Limited has proposed to set up a 270 MW (2×135) coal-based thermal power plant at Haridaspur in Jajpur district. Similarly, KU Projects intends to set up a 1320 MW (2×660) power plant at Thakurpur in Sonepur district at an investment of Rs 7260 crore. This project has been cleared by the High Level Clearance Authority (HLCA) of the state government.

Similarly, Shivani Thermal Power Station of Ghaziabad (Uttar Pradesh) has proposed to set up a 1320 MW (2×660) power plant at Chhotapadagan in Cuttack district at a cost of Rs 7554.54 crore.

Visa Power has submitted a revised proposal to the state government owned Industrial Promotion and Investment Corporation of Orissa Ltd (Ipicol) to set up a 1320 MW (2×660) power plant at Brahmanabasta in Cuttack district, entailing an investment of Rs 6319.48 crore.

Shri Anant Infra Energy Pvt Limited has evinced interest to set up a 210 MW coal-based power plant at Garjan Bahal in Sundergarh district.

Responsive Industries Ltd has proposed to set up a 1320 MW (2×660) power plant at Manmunda in Boud district at a cost of Rs 6487.50 crore.

CLP Power India Pvt Ltd plans to set up a 1980 (3×660) MW power plant at Majhapada in Sundergarh district at a cost of Rs 10,000 crore.

Among the investment proposals in the cement sector, Kolkata-based Icore Super cement Ltd has proposed to set up a cement plant at Somnathpur in Balasore district at an investment of Rs 151 crore.

While Ramco Industries Limited has evinced interest to set up a 120,000 tonnes per annum asbestos fibre cement sheet plant at Jharsuguda at a cost of Rs 35 crore, Madras Cement intends to set up a 4000 tonne per day cement plant at Nandibera in Malkangiri district at a cost of Rs 750 crore.

Reliance Cementation Ltd has submitted proposal for a 2.8 million tonne per annum cement plant at Jallangbara in Sundergarh district at a cost of Rs 970 crore.

Similarly, Binani Cement plans to set up a one million tonne per annum clinker grinding unit at Dhamara in Bhadrak district at a cost of Rs 130 crore.

In the steel sector, Rashmi Metalliks Limited has proposed to set up a three million tonne per annum pelletisation plant and 44 m captive power plant at Baliarpur in Bhadrak district at an investment of Rs 3465 crore.

The Orissa Minerals Development Company Limited has evinced interest for a two million tonne per annum beneficiation and pelletisation plant at Dalki in Keonjhar district at a cost of Rs 889 .

Following is excerpted from a report in indiainfoline.com.

The statewise breakup of investment under implementation as on June ’10 (Rs. Crores) has been Maharashtra (666065), Orissa (498190), Gujarat (487361), Andhra Pradesh (478612), Tamil Nadu (334960), UP (326356), Haryana (318488), West Bengal (288109), Karnataka (279033), Jharkhand (173008), Chhattisgarh (167557), Madhya Pradesh (165848), Kerala (126223), Punjab (115683), Rajasthan (84955), Bihar (59339), Jammu & Kashmir (44339), Himachal Pradesh (43928), Uttrakhand (38869), Assam (36124).

… The capital goods industry’s performance is mainly on account of spurt in investment activity in Haryana, UP, Kerela, Orissa and Uttarakhand in the first quarter of 2009-10.

… The rate of implementation (% share in total live investments) as per June 2010 in prominent states, has been the most in Haryana (81.5) followed by UP (70.6), Assam (65.9), Maharashtra (61.7), Punjab (60), Andhra Pradesh (58.5), Himachal Pradesh (56), Jammu & Kashmir (53.1), Kerala (51.9), Bihar (50.5), West Bengal (49.4), Tamil Nadu (47.7), Orissa (44.3), Chhattisgarh (40.6), Madhya Pradesh (40.2), whereas states like Uttrakhand (39.1), Gujarat (38.9), Rajasthan (34.7), Karnataka (32.7) and Jharkhand (28.2) are lagging behind in this aspect.

Following is an excerpt from a report in Economic Times.

Maharashtra and Gujarat seem to have lost their status of the most preferred destination for investment. While Orissa, … has grabbed maximum amount of investments in FY10, thanks largely to capital intensive mining projects coming up in the state. 

A Reserve Bank of India (RBI) study on corporate investment, which studied 796 projects in FY10 which involved bank/FI fundings, Orissa attracted highest investments of `74,757 crore in 31 projects, accounting for 13.4% of total investment intentions during the year. Maharashtra was a distant second with investments worth about `49,480 crore in 124 projects. Gujarat which used to be a top investment destination earlier, managed to attract only `16,572 crore in 72 projects during FY10 compared with `59,887 crore in 77 projects in the previous year. The other top investment destination during the year were Andhra Pradesh and Chhattisgarh. 

“Much of these investments are in mining projects that are coming up in the state, as the state has opened up this sector and a number of hurdles are also being addressed. these are typically very high value projects. This could result in investment in projects already cleared picking up,” said an economist with a large corporate house requesting anonymity. More recently, among the large high value projects that have taken off in the state are in the mining sector like Hindalco’s alumina project and Vedanta’s bauxite mining project. 

The RBI has noted that the location of high value projects tends to change the spatial pattern considerably from year to year. The location, in turn, depends on a host of other factors like the nature of the project, market size, growth prospects, availability of skilled labour, suppliers’ adequate infrastructure etc, it said.

The above headlines is partly an excerpt from a Telegraph report. Following are excerpts from an Economic Times report by Nageswar Patnaik.

Orissa is currently implementing project proposals worth of Rs.3,06,575 crore, about 32.6% of total investment proposals received by the state government, which is higher compared to other states, according to the Associated Chambers of Commerce and Industry of India (ASSOCHAM).

Releasing a Paper titled ASSOCHAM Strategy : “Creating and Sustaining Growth Momentum in Orissa” here on Wednesday at a press conference here by Assocham President, Swati Piramal and Secretary General, D S Rawat, however, said at the end of September 2009, the state had 486 live investment projects worth Rs 9.4 lakh crore.

“This is 27% higher than the live investment reported as on September 2008”, Dr Piramal said adding that the respective shares of electricity, manufacturing, mining and services sector in total live investment are respectively 42.8%, 34.7, 56.6% and 6.3%.

… Explaining the reason for the state having more than 65% of investment proposals at announcement stages, the Paper clarifies that lower implementation rate of projects, of late, has become a phenomenon across states in India. “ …

According to the Paper, more than 10% of total investments

announced by both government and private sectors in India as on March 2009 have gone into Orissa. The state has attracted Rs 9,28,834 crore out of a total of Rs 88,71,867 crore announced in India. The state’s share was mere 0.87% in the total investment undertaken by different government sources. “In contrast, the share of Orissa was 13.29% in total investment made by the private sector in India. All most all of the investment that Orissa has seen has come from the private sector while government sources accounted for insignificant amount (Rs 500 crores out of Rs 9.28 lakh crores)”, it adds. .

The Assocham has emphasized on the need for infrastructure development in the state for faster pace of economic growth. “Good infrastructure facilities would not only reduce the transaction costs of the established economic agents but also make the State an attractive destination for new investments. The critical elements of infrastructure development in India are leveraging public resources to access a large pool of private resources and providing an environment that help take advantage of liberalized policies”, the Paper argues.

I have not been able to locate the report from the ASSOCHAM site. If anyone finds it please leave an URL in the comment. Besides the positive news in the above paragraphs, one issue to note is that Odisha is only getting 0.87% of the government investments. I wonder what the number would be if it is narrowed to central government investment. My guess is that the number would be similar. Odisha must make efforts to get its fair share with respect to central government investment, and not just in mining and metal sector. In that regard in http://www.orissalinks.com/orissagrowth/archives/3298 we listed the central PSUs in Odisha and India.

Business Standard focuses on a different aspect in the ASSOCHAM report. Following is an excerpt from the Business standard report.

Citing lack of new age industries in Orissa, the Associated Chambers of Commerce and Industry of India (ASSOCHAM) today called upon the Orissa government to focus on the development of IT, real estate and service sectors.

It also laid emphasis on the development of human resources to bridge the skill gap and improve the employability of manpower in the state.

it strongly pitched for the development of infrastructure, focus on sunrise industries like pharmaceuticals, small and medium industries, adequate importance on climate change and global warming, removal of regional inequalities particularly in KBK districts and connecting the ports with the industrial corridors. Similarly, promotion of employment through cluster development, setting up of ancillary industries, linking industries to supply chain and creation of opportunities for self-employment need to be given priority. …

ASSOCHAM has suggested that the land acquisition need to be left to the buyers and sellers of land and the role of the state should be that of a facilitator only. The project proponents have a role to rehabilitate all those families being uprooted for a project.

On Orissa specific initiative, Rawat said, an Orissa Desk has been set up in Delhi to focus on the human resources development and the development of food processing industries. Berhampur University has been roped in as the partner for the purpose.

The desk is working on the growth of agriculture and food processing industries in the state and drafting Orissa Vision-2020 to provide a road map for the development of the state. An investment seminar called “Orissa Calling Investment”, is proposed to be held in Delhi in October this year to promote investment in the state, he pointed out.

(Thanks to kalahandia for the topic idea.)

The following is from the press release at http://www.assocham.org/prels/shownews.php?id=2303. 

Thursday, January 21, 2010

Undeterred by economic slowdown, the domestic investment announcements of India Inc. registered a growth of 16 per cent during calendar year 2009 over 2008 with Gujarat, Orissa and Andhra Pradesh emerge as frontrunners, according to an analysis of ASSOCHAM Investment Meter (AIM) Study on Corporate Investments.

As per the annual AIM assessment report for Corporate Investments across States and Sectors, total investment plans of India Inc. increased significantly from Rs 13,80,099 crore in 2008 to Rs 15,94,203 crore in 2009; out of which Gujarat, Orissa and Andhra Pradesh carved out a majority share of 15.4 per cent, 12.6 per cent and 8.1 per cent respectively.

The intensity of corporate investment activity during the period of economic downturn has proved the relative resilience of Indian economy.

“The robustness in corporate investment activity on the Indian soil shows how competently the economy has managed to weather the storm of unprecedented global financial crisis” said Mr. D S Rawat, ASSOCHAM Secretary General

In this context, Mr. Rawat, however points out the fact that the implementation of these investment projects has been hampered by a slew of hurdles. These include, land acquisition problems, bureaucratic inertia, ongoing economic slowdown and depressed expat market conditions. The government needs to address these issues on priority basis in order to realize the fruits of these investments.

Among the top investment attracting states, Gujarat registered the highest share in domestic investment plans during the January to December period of 2009. The state witnessed Rs. 2,45,352 crore worth of investment plans. Helped by the investor friendly policies of the state government which led to a smooth relocation of the Tata Nano project, the state attracted majority of investment plans in the real estate, power and infrastructure sectors.

Orissa stood at second position after Gujarat and recorded investment proposals worth Rs. 2,00,846 crore during the last year. The availability of rich mineral resources such as coal and iron ore along with cheap availability of manpower attracted massive investments in Orissa. Steel and power were among the sectors which attracted maximum investments in the state.

Successful commencement of gas production from the D6 block of KG basin helped Andhra Pradesh to rank amongst the top three states in attracting corporate investors in 2009. The state recorded investment plans to the tune of Rs. 1,29,157 crore. Energy and the real estate were among the major sectors that attracted maximum investments.

Karnataka and Maharashtra stood at fourth and fifth position by attracting investment plans worth Rs. 1,06,092 crore and Rs. 91,824 crore respectively during 2009. Karnataka has cashed in its investor friendly image by attracting a proposal of setting up a six-million-tonne integrated steel plant by Arcelor Mittal whereas benefitted by its financial infrastructure; Maharashtra has also been among the leading investment destinations in the country.

In terms of sectoral analysis, the ASSOCHAM Study shows that the power sector was the major investment attracting sector for 2009. The sector attracted investment plans worth Rs. 4,14,327 crore with a share of 26 per cent in the overall investment plans across the country.

Following the power sector, real estate and energy sector were amongst the top investment attracting sectors during the year. Real estate sector witnessed proposed investment plans worth Rs. 2,57,314 crore whereas energy sector attracted proposed investments to the tune of Rs. 1,98,565 crore.

Other sectors which recorded high flowing corporate investments during the last year were metals & mining (Rs. 1,59,534 crore), infrastructure (Rs. 74,210 crore), hospitality (Rs. 43,746 crore), auto/auto components (Rs. 38,150 crore) and telecom (Rs. 34,461 crore).

Following is an excerpt from a report in Times of India.

…  According to government data, steel and electrical equipment makers lead the pack of corporates in drawing up investments in new capacities and expansion projects. The department of industrial policy and promotion has received investment proposals totalling around Rs 99,958 crore in January. This marks a 65% increase over proposals filed in December.

The government reckons that if the projects fructify, they could create about 65,000 new jobs. Among the January proposals, Rs 15,654 crore worth plans are for West Bengal, followed by Rs 15,088 crore for Chhattisgarh and Rs 13,381 crore for Orissa. Andhra Pradesh, Maharashtra, Karnataka and Gujarat are the other states where investments have been planned.

With focus on infrastructure development, especially in the power sector, investment of Rs 39,157 crore has been announced for electrical equipment and Rs 38,798 crore in metallurgical industries.

Among the industries, electrical equipment, metallurgical industries, cement and gypsum products are the areas attracting the maximum investment plans.

Though these are mere investment plans, the figures are yet another pointer that the worst may be over and the economy looks set for a rebound. This may sound contra-intuitive after dire predictions of a long and deep slowdown, but economists and investment bankers indeed see an uptick as early as September, or latest by December.

Following is an excerpt from a report in the Statesman.

The CapEx database of The Centre for Monitoring Indian Economy, which provides project-wise information of new and ongoing capital expenditure projects in the country, has ranked the state first in terms of value of total envisaged projects for the period ending December 2007.

With an estimated investment of Rs 59,9181 crore the state ranks ahead of Maharashtra, Gujarat, Andhra Pradesh and West Bengal.

The state also ranks first in terms of value of total projects under implementation in the country at Rs 308,589 crore. The other top ranking states in this category are Gujarat, Maharashtra, Karnataka and Haryana.
Orissa also holds the number one position in the country in terms of value of total envisaged projects since the last three years.

At present there are 483 projects being carried out in the state out of which 52 per cent are under implementation stage while 48 per cent are in the announced stage.

The investment projects in the state include sectors like aluminium, airport, mining, port, power, steel, railway, road and tourism. In the manufacturing sector aluminium, ferro-alloys, steel and refinery are the main sectors attracting investments. Electricity sector has also attracted major investments.

Following is an excerpt from a report in Economic Times.

While the volume of envisaged projects in Orissa was Rs 5,99,181 crore, ahead of many developed provinces including Maharashtra and Gujarat, the state also tops the list of places in terms of prorject implementation.

Stating that majority of investment proposals came in aluminium, air port, mines, port, energy, steel, railway and tourism, the state government claimed that Orissa also led the states in project implementation. About Rs 3,08,589 crore investment was being implemnted in the state.

"The state continues to top the list of project implementation in 2005, 2006 and 2007," an official said quoting the study report of Capex Database Centre.

He pointed out that as much as Rs 5,99,181 crore investment was proposed in 483 projects of which 52 per cent (rs 3,08,589 crore) were in implemntation stage.

However, the official said that rest 42 per cent which amounted Rs 2,90,592 were in announced stage.

The state government also claimed that a large number of investors were in queue for putting their money in power sector.

Following is  from a report in Economic Times.

Gujarat is still on top of the heap when to comes to the list of most attractive investment destinations in the country.

The state attracted maximum project investments in 2007-08, followed by Maharashtra, Orissa and Andhra Pradesh, according to a study by the Reserve Bank of India on projects funded by banks and financial institutions. At the same time, the overall investments in the country are expected to moderate in 2008-09.

With a proposed investment of Rs 62,442 crore from 100 projects, Gujarat continued to occupy the top spot as far as investment intention is concerned.

Of the total investment intentions in 2007-08, the state accounted for 22% of the total proposals for the year, though the share dipped from the previous year’s share of 25.8%.

Maharashtra, which ranked second, had a share of 12.7%, envisaging investments worth Rs 36,202 crore. Orissa was third with 10.9% share, accounting for investments worth Rs 30,913 crore, followed by Andhra Pradesh (8.5%), Chhattisgarh (6.2%), Tamil Nadu (5.6%), Karnataka (3.7%), Uttar Pradesh (3.5%) and the rest sharing less than 3% each.

The study involves 910 projects that were sanctioned assistance by banks and financial institutions in 2007-08 with an aggregated envisaged project cost of Rs 2,84,371 crore.

NDTV reported the following.

"Orissa topped the chart claiming almost 30 per cent of the total investments announced during the last quarter of 2007-08 totaling to Rs 3,25,285 crore," a study named ‘Statewise Investment’ said. India Inc lined up investment plans of about Rs 92,035 crore in Orissa during Jan-Mar 2008, with Rs 45,000 crore flowing to steel sector alone, it added. According to the study, Orissa is followed by West Bengal and Andhra Pradesh with the capital expenditure of about Rs 67,361 crore and Rs 58,226 crore respectively. The mineral rich states are attracting huge investments in sectors such as oil and gas, steel and power, Assocham President Sajjan Jindal said in a statement in New Delhi.

Following is an excerpt from a report in Pioneer.

Orissa’s per capita investment under implementation in December 2007 stood at Rs 78,569 crore which was more than three times of the national average of Rs 22,842. This was reported in the latest report of the Centre for Monitoring of the Indian Economy (CMIE), which is considered as the country’s leading source for development-related information and statistics.

… Domestic as well as foreign investors have several large-scale investments on implementation in Orissa across the mineral, tourism, energy, infrastructures and IT sectors. The investment so far has started yielding positive results for the State in terms of direct and indirect employment and increased revenue.

The following table is from a column in Indian Express. (See also http://www.orissalinks.com/orissagrowth/?p=640 for the data in June 2007 and its comparison with June 2002.)

In an editorial page article in Indian Express, Ila Patnaik says the following about Orissa.

We examine data on projects under implementation in various states in the CMIE Capex data base. We compare data for June 2007 with June 2002 to assess how a state has fared on investment compared to its previous performance. … Orissa is also a major gainer, particularly over the last five years. It went from rank 8 to rank 2 over the last five years. While the Indian average for projects under implementation on a per capita basis grew by 93 per cent, Orissa gained by 381 per cent over the last five years to reach Rs 61,811 of investment per capita.

The article also has the following table.