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RAJASTHAN

November 2010

RAJASTHAN

November 2010

Investment climate of a state is determined by a mix of factors


Skilled and cost-effective labour Labour market flexibility Labour relations Availability of raw materials and natural resources Procedures for entry and exit of firms Industrial regulation, labour regulation, other government regulations Certainty about rules and regulations Security, law and order situation

Resources/Inputs

Incentives to industry

Investment climate of a state

Regulatory framework

Tax incentives and exemptions Investment subsidies and other incentives Availability of finance at cost-effective terms Incentives for foreign direct investment (FDI) Profitability of the industry

Physical and social infrastructure Condition of physical infrastructure such as power, water, roads, etc. Information infrastructure such as telecom, IT, etc. Social infrastructure such as educational and medical facilities

RAJASTHAN

November 2010

Contents
Advantage Rajasthan State economy and socio-economic profile Infrastructure status State policies and incentives Business opportunities Doing business in Rajasthan

ADVANTAGE RAJASTHAN Rajasthan November 2010

Rajasthan State profile

Covering an area of 342,239 sq km, Rajasthan is the largest state in India.

The state has 33 administrative districts. Jaipur is the state capital; Jaisalmer, Udaipur, Jodhpur, Ajmer, Bikaner, Alwar, Amber and Chittorgarh are the other key cities and towns in the state.
There are two major rivers flowing through Rajasthan: the Chambal and the Luni. The state has nine agro-climatic zones and a variety of soils that support cultivation of crops such as wheat, rapeseed, mustard, soy bean, bajra (millet), maize and cotton. The most commonly spoken language of the state is Hindi. Marwari, Jaipuri (Dhundhari), Mewari and Malvi are the other dialects popular in the state. English is the medium of education in most schools.
Source: Maps of India

ADVANTAGE RAJASTHAN Rajasthan November 2010

Advantage Rajasthan (1/2)

Easy access to largest consumer markets Rajasthan touches six major states of the Northern, Western and Central India. It is a natural corridor between the wealthy Northern and the prosperous Western states of the country, which makes it an important trade and commerce centre. Facilitating infrastructure Rajasthan has well-developed social, physical and industrial infrastructure as well as good virtual connectivity. The state is developing sector-specific infrastructure such as special purpose industrial parks and special economic zones for exports of handicrafts, IT and electronic goods.

Policy and fiscal incentives The state offers a wide range of fiscal and policy incentives for businesses, through sector-specific policies for tourism, biotechnology, IT and ITeS industries.
Source: Maps of India

ADVANTAGE RAJASTHAN Rajasthan November 2010

Advantage Rajasthan (2/2)


Conducive environment for industrial growth Rajasthan has favourable industrial-relations environment with negligible incidents of labour unrest. In addition, the law situation in the state ensures good working environment. Basket of unexploited resources The state offers a variety of unexploited agricultural and mineral resources, which is indicative of scope for value addition and exports.

Competent talent pool Rajasthan has been investing in capacity building through development of a strong institutional network at all levels. The state has 1,050 colleges including 80 engineering colleges, 58 polytechnic institutes and 846 industrial training institutes (ITIs).
Unique tourist attractions Rajasthans rugged forts, beautiful palaces, picturesque Thar Desert, bird sanctuaries and national parks, lively fairs and festivals, lakes and mountains, fascinating handicrafts and colourful culture make the state an attractive destination for domestic and foreign tourists.

Source: Maps of India

ADVANTAGE RAJASTHAN Rajasthan November 2010

Rajasthan in figures (1/2)


Parameter Economy GSDP as a percentage of all states GSDP Average GSDP growth rate (%)* 4.5 11.5 100.0 11.8 CMIE, as of 2007-08, current prices CMIE, 2000-01 to 2007-08, current prices Rajasthan All-states Source

Per capita GSDP (US$)


Physical infrastructure Installed power capacity (MW) GSM cellular subscribers (No) Broadband subscribers (No) National highway length (km) Airports (No) Social indicators Literacy rate (%) Birth rate (per 1,000 population)
*Calculated in Indian rupee terms

684.9

992.5

CMIE, as of 2007-08, current prices

5,050.4 25,487,398 145,449 5,585 6

159,398.5 456,586,162 4,981,976 70,548 133

Central Electricity Authority, as of March 2010 Cellular Operators Association of India, as of June 2010 As of October 2008 Ministry of Road Transport & Highways, Annual Report 2008-09 Airport Authority of India

60.4 27.5

64.8 22.8

Census of India, 2001 Ministry of Health and Family Welfare, RHS Bulletin, March 2008

ADVANTAGE RAJASTHAN Rajasthan November 2010

Rajasthan in figures (2/2)


Parameter Ease of doing business FDI inflows (US$ billion) Outstanding investments (US$ billion) Industrial infrastructure PPP projects (No) 54 515 www.pppindiadatabase.com Notified as of July 2010, www.sezindia.nic.in 0.5 53.6 120.2 1,972.6 Department of Industrial Policy and Promotion, April 2000 to May 2010 CMIE, as of March 2010 Rajasthan All-states Source

SEZ (No)

363

PPP: public private partnership, SEZ: special economic zone

Parameter Policy support

Rajasthan Government

Sectors with specific policies


Availability of labour

Healthcare, biotechnology, IT and ITeS, tourism, non-conventional energy Adequate skilled labour available

ADVANTAGE RAJASTHAN Rajasthan November 2010

Key industries with policy thrust and factor advantages


Industry attractiveness matrix

High
IT/ITeS and Electronics Tourism Policy thrust Auto components

Biotechnology

Medium

Cement

Mining and metals

Low

Medium Factor advantage

High

*Factor advantages include benefits due to geographical location and availability of factors such as talent pool, natural resources and capital

RAJASTHAN

November 2010

Contents
Advantage Rajasthan State economy and socio-economic profile Infrastructure status State policies and incentives Business opportunities Doing business in Rajasthan

10

STATE ECONOMY AND SOCIO-ECONOMIC PROFILE Rajasthan November 2010

Socio-economic snapshot of Rajasthan


Parameters Capital Geographical area (sq km) Administrative districts (No) Population density (persons per sq km)* Total population (million)* Male population (million) Female population (million) Population growth rate 1991-2001 (%) Sex ratio (females per 1,000 males)* Literacy rate (%)* Male (%) Female (%) Average life expectancy (years) Male Female Rajasthan Jaipur 342,239 33 165 56.5 29.4 27.1 17.3 921 60.4 75.7 43.9

62.2 62.8

Sources: Economic Survey of Rajasthan 2009-2010, Directorate of Economics and Statistics *Census 2001

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STATE ECONOMY AND SOCIO-ECONOMIC PROFILE Rajasthan November 2010

Rajasthans GSDP

At current prices, the Gross State Domestic Product (GSDP) of Rajasthan was about US$ 46.4 billion in 2009-2010. The average annual GSDP growth rate, from 1999-2000 to 2009-2010 was about 10.1 per cent.

Rajasthans GSDP
2009-10 2008-09 2007-08 2006-07 2005-06 2004-05 2003-04 2002-03 2001-02 2000-01 1999-00 0.0 Source: CMIE 10.0 46.4 43.8 43.9 36.5 28.6 25.9 25.5 19.4 19.1 17.1 17.8 20.0 30.0 40.0 50.0 CAGR 10.1%

US$ billion

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STATE ECONOMY AND SOCIO-ECONOMIC PROFILE Rajasthan November 2010

Rajasthans NSDP

At current prices, the Net State Domestic Product (NSDP) of Rajasthan was about US$ 40.4 billion in 2009-2010. The average annual NSDP growth rate between 1999-2000 and 2009-2010 was about 9.8 per cent.

Rajasthan NSDP
2009-10 2008-09 2007-08 2006-07 2005-06 2004-05 2003-04 2002-03 2001-02 2000-01 1999-00 0.0 10.0 40.4 38.3 38.2 31.8 24.7 22.6 22.5 16.8 16.8 15.1 15.9 20.0 30.0 40.0 50.0 CAGR 9.8%

US$ billion
Source: CMIE

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STATE ECONOMY AND SOCIO-ECONOMIC PROFILE Rajasthan November 2010

The tertiary sector has an increasing share in Rajasthans economy

In 2009-2010, the tertiary sector contributed 45.2 per cent to the states GSDP at current prices, followed by secondary sector (30.0 per cent). The share of the secondary sector in GSDP was driven by manufacturing that registered a growth of 9.7 per cent between 1999-2000 and 2009-2010. The share of the primary sector in GSDP was 24.7 per cent in 2009-2010 vis--vis 32.0 per cent in 1999-2000, agriculture contributing the major share.

Percentage distribution of GSDP CAGR


42.2 45.2 11.0%

25.8

30.0

11.9% 7.5%

32.0 1999-2000 Primary Sector Secondary Sector

24.7
2009-2010 Tertiary Sector

Source: CMIE

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STATE ECONOMY AND SOCIO-ECONOMIC PROFILE Rajasthan November 2010

Per capita GSDP


In 2009-2010, Rajasthans per capita GSDP at current prices was US$ 699.2. The per capita GSDP at current prices increased at a CAGR of 7.9 per cent from 1999-2000 to 20092010.
Per capita GSDP
800.0 700.0 600.0 500.0 429.2 325.9 305.4 333.0 332.8 427.7 462.4 580.0 684.9 672.4 699.2

US$

400.0 300.0 200.0 100.0 0.0

1999-00
Source: CMIE

2000-01

2001-02

2002-03

2003-04

2004-05

2005-06

2006-07

2007-08

2008-09

2009-10

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STATE ECONOMY AND SOCIO-ECONOMIC PROFILE Rajasthan November 2010

Distribution of households by income

The estimated percentage of population in Rajasthan below poverty line is 12.1 per cent as compared to 26.1 per cent at the all-India level.

The share of urban households in educated and self-employed category in the state is in line with the all-India average.
Distribution of rural households by SEC*
R4 R3 R2 R1 0.00 4.6 4.1 10.00 20.00 30.00 40.00 All-India 32.4 40.6 52.6 43.4 E2 E1 D C B2 B1 A2 9.6 8.3 9.2 7.9 12.0 11.7

Distribution of urban households by SEC*


18.5 20.4 21.6 18.5 20.0

23.6

10.3 11.8

Rural
50.00 60.00 In per cent

A1 0.00

2.5 3.5 5.00

6.2 6.6

Urban
15.00 All-India 20.00 25.00 In per cent

Rajasthan

10.00 Rajasthan

Source: BW Marketing Whitebook, 2009-2010 *See Annexure for socio-economic classification (SEC) of households

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STATE ECONOMY AND SOCIO-ECONOMIC PROFILE Rajasthan November 2010

Consumer expenditure on household goods and services


Rajasthan is ahead compared to all-India in share of per capita expenditure on food. With regards to share of expenditure on education and medical, the state is comparable to the all-India level.
Share of average monthly per capita expenditure on household goods and other services
50.0% 40.0% 30.0% 20.0% 10.0% 0.0% Food Education All-India Medical Rajasthan Durable goods 7.1% 8.0% 5.2% 4.5% 4.2% 3.2% 39.6%42.4% 60.0% 50.0% 40.0% 30.0% 20.0% 10.0% 0.0% Food Education All-India Medical Rajasthan Durable goods 3.7% 2.8% 6.3% 5.8% 3.6% 2.2%

Urban

52.3% 53.9%

Rural

Source: Household Consumer Expenditure in India, 2007-08 NSS 64th Round

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STATE ECONOMY AND SOCIO-ECONOMIC PROFILE Rajasthan November 2010

Key industries in Rajasthan

The natural resources, policy incentives and infrastructure in the state are favourably suited for investments in sectors such as cement, IT and ITeS, ceramics, tourism, automotive and agrobased industries. Bureau of Investment Promotion (BIP) and Rajasthan Industrial Development and Investment Corporation (RIICO) are responsible for promoting investments and developing industrial infrastructure in the state. The Government of Rajasthan is promoting development of several SEZs across the state for sectors such as gems and jewellery, handicrafts, IT, electronics and textiles.

Key industries in Rajasthan


Cement Auto and auto-components IT and ITeS Ceramics Mining Tourism Textile Agro-based industry Gems and jewellery Marble

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STATE ECONOMY AND SOCIO-ECONOMIC PROFILE Rajasthan November 2010

Wheat, rapeseed, mustard and soybean are the key agricultural products

In 2008-09, the total production of the top eight crops of the state was over 12.0 million tonnes. Wheat is the major crop of Rajasthan, with an annual production of 5.8 million tonnes. It is followed by rapeseed and mustard (2.8 million tonnes) and soy bean (1.0 million tonnes). The other key crops of the state are cotton, guar seed, sugarcane, potatoes and rice. In 2007-08, Rajasthan was among Indias three largest producers of rapeseed and mustard, soybean and coarse cereal.
Wheat*

Crop

Annual production in 2008-09 (000 tonnes) 5,827 .0

Rapeseed and mustard*


Soybean* Cotton* Guar seed* Sugarcane Potatoes Rice* Onions Arhar*
Source: CMIE, *As of 2007-08

2,754 .0
1,034.0 920.0 750.0 414.0 92.4 36 .0 23.5 18.0

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STATE ECONOMY AND SOCIO-ECONOMIC PROFILE Rajasthan November 2010

Rajasthans exports trends

Rajasthans exports increased at a CAGR of about 19.5 per cent between 2001-02 and 2008-2009. The states major exports include textiles, handloom, handicrafts, gems and jewellery, minerals and auto components. In order to boost exports from Rajasthan, the State Government is laying emphasis on developing export promotion industrial parks (EPIP). Expocity Jaipur, which serves as an international habitat and convention centre, has been developed by Jaipur Trade Expo Centre Private Limited. It is spread over an area of 26,400 sq m and houses multi-utility homes, state-of-the-art business centres, entertainment zones, etc.

Annual exports growth trends (%)


2008-09E 2007-08

-25.1 -19.2 141.0 33.5 15.9 23.0 39.5 7.1 16.2


0.0 50.0 100.0 150.0

2006-07
2005-06 2004-05 2003-04 2002-03 2001-02 2000-01

-50.0

E: Estimated Source: Capital Markets

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STATE ECONOMY AND SOCIO-ECONOMIC PROFILE Rajasthan November 2010

Investments and FDI inflows

According to the Reserve Bank of India, FDI inflows from April 2000 to May 2010 amounted to US$ 470 million. As of March 2010, outstanding investment in the state was US$ 53.6 billion. Electricity accounted for over 33 per cent of the states total outstanding investment followed by construction.

Break up of investments by sector


3.3% 1.8% 4.5% 5.1% 33.3% 13.6% Services Mining Non-metallic mineral products Chemicals 19.8% Others

Electricity
Construction Machinery

18.7%

Others include chemicals, metals & metal products, food & beverages, textiles and irrigation Source: CMIE, as of March 2010

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RAJASTHAN

November 2010

Contents
Advantage Rajasthan State economy and socio-economic profile Infrastructure status State policies and incentives Business opportunities Doing business in Rajasthan

22

INFRASTRUCTURE STATUS Rajasthan November 2010

Roads (1/2)

As of March 2010, Rajasthan had 5,585 km of National Highways, 11,758 km of State Highways and 7,673 km of major district roads. The road density in the state has increased from 54.6 km per 100 sq. km in 2008-09 to 54.9 km per 100 sq. km in 2009-2010. Under various schemes such as the Missing Link project and the Central Road Fund, new roads are being constructed to link all villages in the state.

Road type National Highways State Highways District roads

Road length (km) 5,585 11,758 7,673

Source: Ministry of Road Transport & Highways, 200809, Economic Review of Rajasthan, 2009-2010

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INFRASTRUCTURE STATUS Rajasthan November 2010

Roads (2/2)

In 2009-2010, 1,300 villages were connected under the Pradhan Mantri Gram Sarak Yojana (PMGSY). The Rajasthan Mega Highways Project for improvement and maintenance of 1,053 km of road is underway with an investment of US$ 326 million. As of March 2010, about US$ 316.9 million had been spent and 1,045.7 km of road had been constructed.This project is being implemented by Road Infrastructure Development Company of Rajasthan (RIDCOR).

Source: Maps of India

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INFRASTRUCTURE STATUS Rajasthan November 2010

Railways

As of March 2008, Rajasthan had a total railway network spanning 5,683 km, of which 3,885.4 km (68.3 per cent) was covered by broad gauge. The railway route length per 1,000 sq. km of geographical area was 16.6 km, as of March 2008. Important routes in the state are JodhpurMarwar, Jodhpur-Jaisalmer, Lalgarh-Kolayat and Lalgarh-Merta Road station. The Indian Railways also runs famous luxury tourist trains Palace on Wheels and Heritage on Wheels that connect some of the important tourist destinations of Rajasthan with Delhi and Agra (in Uttar Pradesh).
Source: Maps of India

25

INFRASTRUCTURE STATUS Rajasthan November 2010

Airports

The state has a fully operational international airport at Jaipur, with flights to Dubai, Sharjah, Bangkok and Singapore. Domestic airports are located at Jodhpur, Udaipur, Jaisalmer, Bikaner and Kota with regular flights from New Delhi, Mumbai, Kolkata, Hyderabad, Bangalore and Ahmedabad. An air-cargo complex at Jaipur, and inland container depots (ICD) at Jaipur, Jodhpur, Bhilwara and Bhiwadi facilitate trade within and outside India.

International airport Domestic airport

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INFRASTRUCTURE STATUS Rajasthan November 2010

Telecom

As of June 2010, Rajasthan had 25.5 million GSM subscribers. According to estimates by the Telecom Regulatory Authority of India, there were 33.7 million wireless subscribers and 1.5 million wire-line subscribers in Rajasthan, as of March 2010. The state had 195,118 Internet/broadband subscribers in 2009. As of 2009, the state has about 10,316 post offices and 2,334 telephone exchanges with 284 customer service centres.

Telecom infrastructure (2010)


GSM cellular subscribers: 25,487,398 Internet/broadband subscribers: 195,118^ Post offices: 10,316^ Telephone exchanges: 2,334^ Customer service centres: 284^ Wireless subscribers: 33,740,879 Wireline subscribers: 1,525,214
Sources: Economic Review of Rajasthan 2009-2010, Cellular Operators Association of India, Telecom Regulatory Authority of India ^As of 2009

Major telecom operators in Rajasthan


Bharat Sanchar Nigam Limited (BSNL) Bharti Airtel Tata Teleservices Reliance Communications Vodafone Essar Etisalat DB Telecom

IDEA Cellular Services

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INFRASTRUCTURE STATUS Rajasthan November 2010

Power (1/2)

As of March 2010, Rajasthan had a total installed power generation capacity of 7,768.5 MW comprising 4,827.0 MW (62.0 per cent) under state utilities, 1,910.6 (24.7per cent) under central and 1,030.9 MW (13.3 per cent) under the private sector.

Installed power capacity (MW)


9,000.0 8,000.0 7,000.0 6,000.0 5,000.0 4,000.0 3,000.0 2,000.0 1,000.0 2005-06 2006-07 2007-08 2008-09 2009-10 7,607.1 5,967.9 6,242.9 6,426.2 7,768.5

The capacity owned by the state utilities comprised about 64 per cent of coal-based power plants, 11 per cent of gas-based power plants and 25 per cent of hydro-power plants.
The private sector controlled capacity is based on renewable energy sources, which are regulated by the Ministry of New and Renewable Energy. Renewable energy sources such as the wind power and the biomass are being actively promoted by the State Government.

Source: Central Electricity Authority

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INFRASTRUCTURE STATUS Rajasthan November 2010

Power (2/2)

Raj West Power Limited, a wholly-owned subsidiary of JSW Energy Limited, is setting up a 1,080 MW (eight units of 135 MW each) lignite-based pit head power plant in the Barmer district. The estimated project cost is US$ 1.1 billion. As of March 31, 2010 38,336 villages have been electrified and about 950,000 wells have been energised under the Rural Electrification Programme. The Rajasthan State Electricity Board, formed in 1957, was restructured in 2000 to form the following companies:
Segment Power generation Power transmission Power distribution Name of company Rajasthan Rajya Vidyut Utpadan Nigam Limited Rajasthan Rajya Vidyut Prasaran Nigam Limited Jaipur Vidyut Vitaran Nigam Limited Ajmer Vidyut Vitaran Nigam Limited Jodhpur Vidyut Vitaran Nigam Limited

29

INFRASTRUCTURE STATUS Rajasthan November 2010

Urban infrastructure

Under the Jawaharlal Nehru National Urban Renewal Mission (JNNURM), 14 projects costing US$ 280.4 million have been sanctioned for the cities of Jaipur, Ajmer and Pushkar. The projects have been sanctioned for completion between 2007-08 and 2009-2010.The target areas of development are solid waste management, storm water drainage, water supply improvement, and bus rapid transport system. In addition, Rajasthan Urban Infrastructure Development Project (RUIDP) has been sanctioned by the Government of Rajasthan with loan assistance from the Asian Development Bank (ADB). The towns covered under the project are Ajmer, Bikaner, Jaipur, Jodhpur, Kota and Udaipur. The key areas of development under this project are water supply, sewerage, drainage, roads and solid-waste management.
Sources: JNNURM, Ministry of Urban Development, http://www.ruidp.gov.in

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INFRASTRUCTURE STATUS Rajasthan November 2010

Key public private partnership projects


Project name Gurgaon-Kotputli-Jaipur road Mahapura (near Jaipur)-Kishangarh road Deoli-Kota road Palanpur-Swaroopganj road Mahua-Jaipur road Narmada road Bharatpur-Mahua road Sector Roads Roads Roads Roads Roads Urban development Roads PPP type BOT-Toll BOT-Toll BOT-Toll BOT-Annuity BOT-Toll BOT-Toll BOOT BOOT BOT-Toll Project cost (US$ million) 363.9 140.0 131.8 108.2 105.0 77.8 54.3 43.5 43.4 42.3 Stage Construction In operation Construction Construction Construction Under bidding Construction Under bidding Construction Construction

Reuse of recycled-water-tertiary- treatment Urban development water plant Jalmahel tourism project Agra-Bharatpur (NH-11) road Tourism Roads

Source: www.pppindiadatabase.com BOT: Build-operate-transfer, BOOT: Build-own-operate-transfer, EOI: Expression of interest

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INFRASTRUCTURE STATUS Rajasthan November 2010

Education sector

The state has a literacy rate of 60.4 per cent according to Census 2001; the male literacy rate was 75.7 per cent and the female literacy rate was 43.9 per cent. The states school infrastructure consists of 57,369 lower primary, 54,151 higher primary and 14,100 high schools. Rajasthan has made significant progress in the field of higher education from 2007-08 onwards. There are 1,050 colleges in the state, including 80 engineering colleges, nine medical colleges and 12 dental colleges. As of 2009-2010, there are 134 industrial training institutes (ITIs) (including eight for women) with 20,036 seats in the public sector and 712 ITIs with 80,792 seats in the private sector; they provide vocational training. There are 26 government polytechnic colleges including seven women polytechnic colleges, with a capacity of 4,540 students.
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Rajasthans primary education statistics Schools (No) Pupil-teacher ratio^ Net-enrolment ratio in primary schools^ Lower primary^: 57,369 Higher primary*: 54,151 High schools^: 14,100 28:1 99.5

Source: Economic Review of Rajasthan, 2009-2010; Department of Education and School Literacy Flash Statistics, 2008-09 ^As of 2008-09 *As of 2009-2010

Government medical institutes in Rajasthan


Jawaharlal Nehru Medical College, Ajmer R N T Medical College,Udaipur Sardar Patel Medical College, Bikaner SMS Medical College, Jaipur Geetanjali Medical College and Hospital, Udaipur Jhalawar Medical College, Jhalawar Government Medical College, Kota

INFRASTRUCTURE STATUS Rajasthan November 2010

Health infrastructure

Rajasthan has a three-tier health infrastructure comprising primary health centres, health units, community health centres and sub-centres. A number of initiatives such as the Chief Ministers Jeevan Raksha Scheme and the World Bank assisted Rajasthan Health System Development Project have been taken up to improve the healthcare facilities of the state.

Health indicators as of 2008 Population served per medical institution^ Population served per hospital bed^ Birth rate* Death rate* Infant mortality rate** Life expectancy at birth (years)^ Male 62.2 62.8 4,369 1,372 27.5 6.8 63

Health infrastructure

Female

Government hospitals: 127 Community health centres: 368 Primary health centres: 1,541 Sub-centres: 11,487 Beds in government medical institutions: 43,864

Sources: Ministry of Health and Family Welfare, Sample Registration System, 2008, Economic Survey 2009-2010 ^As of 2006-07 *Per thousand persons **Per thousand live births

Source: Economic Review of Rajasthan, 2009-2010

33

INFRASTRUCTURE STATUS Rajasthan November 2010

Cultural infrastructure

Cricket, polo and aero-sports such as parasailing, paragliding are the popular sports in Rajasthan.

Jawahar Kala Kendra, Jaipur House of museums: Displays ethnic art pieces emitting Rajasthani folk culture. House of theaters: Plays with high literary value are staged here. Library: Has books and magazines, along with a record of the forthcoming and past cultural events and exhibitions. Arts gallery: Displays arts and crafts created by well known artists. Studio: Exhibits paintings and sculptures by well known artists. Hostel: Residential facilities

The state has various district associations operating under the purview of the Rajasthan Cricket Association. Most important stadiums of the state include Sawai Mansingh Stadium, Chaugan Stadium, Pratap Stadium, Mansarovar Stadium (Jaipur).

Golf is another popular sport in the state; water sports are an upcoming area.
In addition, Rajasthan offers various adventure activities including camel safari, horse safari, jeep safari and elephant safaris. Key cultural centres in Rajasthan include Jawahar Kala Kendra and Radha Krishan Cultural and Convention Center in Jaipur, Bharatiya Lok Kala Mandal and Meera Kala Mandir in Udaipur, and Desert Cultural Centre in Jaisalmer.
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INFRASTRUCTURE STATUS Rajasthan November 2010

Industrial infrastructure(1/2)
Infrastructure Theme parks Primary industry Multi-industry Details RIICO is developing theme parks with a special set of infrastructure and facilities for establishing industries in line with the designated theme. It has established a satellite earth station in the Sitapura IT park of Jaipur along with the Software Technology Parks of India (STPI). EPIPs have been set up at Sitapura (Jaipur), Neemrana (Alwar) and Boranada (Jodhpur). The EPIP in Jaipur is among the largest export parks in Northern India. The units operating here have export orders accounting for, at least, 33 per cent of their total turnover. The state is developing SEZs for industrial growth; as of July 2010, formal approval had been given to eight SEZs, in-principle approval had been given to 11 SEZs and there were seven notified SEZs. A multi-product SEZ is being developed by Mahindra World City (Jaipur) Limited, a joint venture of Mahindra Gesco Limited and RIICO Limited. This public private partnership initiative envisages an investment of about US$ 241.1 million. A state-of-the-art special economic zone has been developed by Mahindra and Mahindra with an investment of US$ 244 million. It has attracted many domestic investors such as Infosys and Wipro as well as substantial investment from foreign investors. For ease of movement of cargo, ICDs have been set up at Jaipur, Jodhpur, Bhiwadi and Bhilwara. A spices park is proposed to be set up at Ramganj Mandi for processing, packaging and export of spices (especially coriander) from Rajasthan. The park will be set up in an area of 30 acres at a total cost of around US$ 3 million.

Export promotion industrial parks (EPIP)

Multi-product

SEZs

Multi-product

SEZ for IT Inland Container Depot (ICD) Spices park

IT

Logistics Food processing

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INFRASTRUCTURE STATUS Rajasthan November 2010

Industrial infrastructure(2/2)
Infrastructure Footwear Design and Development Institute (FDDI) Skill development centre Industrial infrastructure upgradation centre Primary industry Footwear Details A FDDI is proposed to be set up at Jodhpur at an estimated cost of around US$ 22 million. This Institute will provide specialised training in footwear technology and design. A skill development centre will be set up by the Confederation of Indian Industry(CII) in conjunction with the State Government to provide skills training for the unemployed youth of Rajasthan. The location will be decided by the State Government in conjunction with CII. Alwar and Jaipur are two of the locations being considered. An industrial infrastructure up-gradation centre will be set up, possibly along the Delhi-Mumbai Industrial Corridor (DMIC). A detailed project report and the exact location is being finalised by the State Government.

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INFRASTRUCTURE STATUS Rajasthan November 2010

SEZs in Rajasthan (1/2)


Operational SEZs Company name or developer Jaipur SEZ Jodhpur SEZ Mahindra Worldcity (Jaipur) Limited Location Jaipur Jodhpur Kalwara village, Jaipur Notified SEZs Company name or developer Mahindra Gesco Somani Worsted Limited Mansarovar Industrial Development Corporation Vaitka Jaipur SEZ RNB Infrastrucure Private Limited Location Jaipur Khushkera Industrial Area, Bhiwadi Jodhpur Jaipur-Ajmer expressway Bikaner Primary industry IT/ITeS Electronics hardware and software/ ITeS Handicraft IT/ITeS Primary industry Gems and jewellery Handicrafts IT/ITeS

Textile (in-principle approval granted for woollen sector)


Light engineering Handicrafts

Mahindra Worldcity (Jaipur) Limited Jaipur Mahindra Worldcity (Jaipur) Limited Jaipur
Source: sezindia.nic.in

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INFRASTRUCTURE STATUS Rajasthan November 2010

SEZs in Rajasthan (2/2)


SEZ with formal approvals Company name GENPACT Location Jaipur Primary industry IT/ITeS

SEZ with valid in-principal approvals


Company name or developer Rockman Projects Limited Omaxe Limited Parsvnath Developers Limited Adani Exports Limited Location National Highway (NH)-8 Jaipur Alwar district Jaipur-Ajmer road, Jaipur Alwar district Primary industry Gems and jewellery Multi-product Multi-product Multi-product Multi-services

Ansal Properties and Infrastructure Limited Jaipur district, village Sangtera, Kotputli tehsil

Suncity Rajasthan SEZ Developer Pvt. Ltd.


SRM Infrastructure Private Limited Society for Innovative Education and Development ('EMPI' Vittal Centre INNOPOLIS) DLF Limited P S Jaipur SEZ Developers Pvt. Ltd. Arihant Infratech (India) Pvt. Ltd.
Source: sezindia.nic.in

Neemrana, district Alwar


Alwar Neemrana, district Alwar Near Bhiwadi, Alwar district Bhanpur Kala, Delhi-Jaipur road (on NH-8) Udaipur district

Multi-product
Multi-services Building materials Gems and jewellery Multi-product Multi-product

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INFRASTRUCTURE STATUS Rajasthan November 2010

SEZs and industrial clusters (1/2)


Operational and notified SEZs RNB Infrastructure Jaipur SEZ (Gems and jewellery) Mahindra Worldcity Limited (IT/ITeS) Vaitka Jaipur SEZ

Jodhpur SEZ (Handicrafts)

Mahindra World city Limited (Handicrafts and light engineering) Mansarovar Industrial Development Corporation
Index Operational SEZs Notified SEZs

Mahindra Gesco (Jaipur) Somani Worsted Limited

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INFRASTRUCTURE STATUS Rajasthan November 2010

SEZs and industrial clusters (2/2)


Industrial clusters in Rajasthan

Index Cement grade limestone Automotive Tourism IT and ITeS Handicraft, gems and jewellery

Chemicals

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INFRASTRUCTURE STATUS Rajasthan November 2010

Infrastructure investments

As of March 2010, over US$ 12.2 billion of investments have been made towards improving Rajasthans infrastructure. About 53 per cent of the investments made in infrastructure have been in the area of power (both generation and distribution). Roads, oil and gas are the other key infrastructure sectors, attracting investments.

Infrastructure type

Investments (US$ million) 6,504.3 2,087.1 2,077.8 1,020.6 277.8 203.5 12,171.1

Power*
Roads Oil and gas Airport Coal and lignite Railway Total
*Generation and distribution Source: CMIE, as of March 2010

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RAJASTHAN

November 2010

Contents
Advantage Rajasthan State economy and socio-economic profile Infrastructure status State policies and incentives Business opportunities Doing business in Rajasthan

42

STATE POLICIES AND INCENTIVES Rajasthan November 2010

Sector-specific policies (1/12)


The Rajasthan Investment Promotion Scheme, 2010 (RIPS-2010) Aim: To facilitate investment in establishment of new enterprise(s) and/or investments made by the existing enterprise(s) for modernisation/expansion/diversification. The scheme is valid until 2018. Key initiatives:

Subsidises and incentives for new units or those undergoing diversification/expansion, to attract investments. Simplification of investment planning mechanism for investors by using the single-window mechanism. Special emphasis to encourage investment in industries such as biotechnology, tourism and education.

Key subsidies:

Maximum 50 per cent subsidy of the total taxes (Value Added Tax or Central State Tax or State Goods Service Tax) whenever introduced and deposited into the government exchequer. Additional subsidy to the extent of 10 per cent of the said tax which have become due and have been deposited into the government exchequer will be allowed to women entrepreneur with disability. Employment generation subsidy for new enterprise and project for common social cause, modernisation/expansion/diversification, sick industrial enterprise for its revival US$ 210 per employee per year of completed service for general category, US$ 253 per employee per year of completed service for women with disability. Total amount of subsidy shall not exceed 20 per cent of the amount of taxes deposited by the enterprise.

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STATE POLICIES AND INCENTIVES Rajasthan November 2010

Sector-specific policies (2/12)


Rajasthan State Environment Policy, 2010 Aim: To conserve and enhance environmental resources, assure environmental sustainability of key economic sectors, improve environmental governance and build capacity.

Key initiatives:

To ensure availability of water in the state where the supply is lesser than the demand. To reduce water contamination. To protect forest areas and biodiversity. To use renewable energy to attain energy efficiency. To conserve flora and fauna. To manage tourist arrivals, tourist destinations and tourist operations as the sustainability of tourism hinges on the quality and availability of natural resources it is dependant on. A climate change agenda has been prepared for the state to take forward the provisions of the National Action Plan on Climate Change. A State Environment Mission has been formulated to assure implementation of this policy.

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STATE POLICIES AND INCENTIVES Rajasthan November 2010

Sector-specific policies (3/12)


The Rajasthan Micro, Small and Medium Enterprises Development Assistance Scheme, 2008 Aim: To make the states MSMEs globally competitive. All MSMEs of the state having acknowledgement of entrepreneurs Memorandum-I and II are eligible for the benefit under this scheme, subject to fulfillment of certain conditions. Key thrust: To develop and support MSMEs in increasing capacity and quality for supplying to domestic and export markets. Key incentives:

RIICO to provide land at 50 per cent of the prevailing district level committee (DLC) rates. The State Government to provide 50 per cent of the capital cost for establishment of common effluent-treatment plants (CETP). Reimbursement of expenses incurred towards filing, sharing patent, ISO certification. Establishment of national laboratories by providing land at 50 per cent of DLC rates and part of capital cost. To get at least 10,000 artisans credit cards issued per year from different banks in the next five years. RIICO to develop separate areas for MSME with 24-hour uninterrupted power supply and enabling infrastructure. Encouragement of private sector investment for setting up industrial parks by providing a level playing field vis--vis RIICO. Exemption from entry tax for inputs (raw material, processing and packaging material, except fuel). Exemption of 75 per cent from electricity duty to the units located in rural areas. Khadi and Village Industries Board (KVIB)/ Khadi and Village Industries Commission (KVIC) registered units to continue with preVAT tax structure.

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STATE POLICIES AND INCENTIVES Rajasthan November 2010

Sector-specific policies (4/12)


Ayush Healthcare facilities, 2008 Aim: To promote private investment in healthcare facilities offered by the Indian system of medicine; policy to remain in force until December 2013. Key initiatives:

To promote private sector investment in education, research institutes and hospitals in the area of traditional Indian medicine. To develop super specialty facilities for the Indian system of medicine to ensure delivery of quality health care at reasonable costs. To promote public-private participation in the health sector. To develop standards for infrastructure and operation and create a regulatory body with supportive role. Exemption from duty on captive power generation as per RIPS-2010 for a period of seven years; 50 per cent exemption from stamp duty and land conversion charges. Land at concession rates to new institutes, investing a minimum of US$ 1.0 million for colleges, US$ 500,000 for hospital and specialty centre, US$ 1.0 million for pharmacy and US$ 0.1 million for 50-bed hospitals.

Key incentives:

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STATE POLICIES AND INCENTIVES Rajasthan November 2010

Sector-specific policies (5/12)


Tourism Unit Policy, 2007 Aim: This policy enhances the scope of the Hotel Policy, 2006, by including all other categories of hotels (heritage hotels and other tourism units, e.g., health spas, golf academy and golf course) under its purview. Key incentives:

A land bank with information of all land available will be made available online; minimum and maximum areas have been prescribed for land to be auctioned from the land bank. Minimum special reserve price (MSP) for five-star hotels and other tourism units fixed at less than 50 per cent of the commercial reserve price. For the budget, three-star and four-star units, MSP ranges from 10 per cent to 45 per cent. Under Rule-7 of the Rajasthan Land Revenue (conversion of agricultural land for non-agricultural purpose in rural areas) Rules 2007, a provision has been added for exempting payment of conversion charges for investors/developers of hotels or any other tourism unit on the land. A provision has been added to the Rajasthan Municipal Corporation (land utilisation conversion) Rules 2000 according to which heritage property owners would not have to pay 40 per cent of residential reserve price for conversion of the property into a heritage hotel provided that the property has a minimum of 10 rooms. The floor area ratio (FAR) of existing hotels increased from 1.7 to two, to allow construction of an additional floor. All concessions available in the RIPS-2010, shall also be available to all tourism units.

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STATE POLICIES AND INCENTIVES Rajasthan November 2010

Sector-specific policies (6/12)


IT and ITeS Policy, 2007 Aim: To create and expand economic opportunities in the knowledge economy, attracting investments to the state and enhancing employment opportunities. Key initiatives:

Strengthening information and communication technology (ICT) infrastructure for e-governance. Developing e-governance framework for charting strategic growth plans and formulating appropriate policy measures. Promoting public private partnerships in e-governance. Implementing structured business process re-engineering (BPR) in all the key departments. Formulating proper framework and guidelines for maintenance, accreditation and updating of various state department websites. Promoting economic development of the state through investments in IT and ITeS sector. Making IT available for the masses by promoting computer education, creating talent pool for the ICT industry, generating employment, taking it to rural areas and providing adequate incentives. The local IT industry shall be encouraged to develop and offer the necessary IT products and services relevant to the tourism industry. Electronic tourism kiosks to be set up at important locations for the benefit of tourists coming to the state.

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STATE POLICIES AND INCENTIVES Rajasthan November 2010

Sector-specific policies (7/12)


IT and ITeS Policy 2007 (continued) Key incentives:

Land and office infrastructure incentives:

Facilitation for the creation of infrastructure such as high-quality office space serviced with all basic amenities of high-speed telecommunication links, uninterrupted power supply and central air-conditioning. Assistance in procuring land and change in land use as in master plan, wherever feasible, to the private IT park and IT unit developers.

50 per cent exemption from stamp duty to eligible IT/ITeS companies as per provisions of Rajasthan Investment Promotion Scheme (RIPS-2010) or as amended from time-to-time. Various exemptions related to labour laws including:

Permission to work 24 hours a day, seven days a week. Closing an establishment and granting of a weekly holiday as per company requirements, provided that every individual has at least one day off every week and a compulsory day off in lieu of working on bank holidays. Flexi-time operations since working hours could be decided as per company needs and three shift operation is allowed. Permission to engage female employees between 8 p.m. and 6 a.m., provided special arrangement is made for ensuring their security.

50 per cent exemption from the payment of electricity duty for seven years, as per provisions under RIPS-2010 or as amended from time-to-time, for new IT units.
Electricity tariff for IT and ITeS units as per low-tension industry category.

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STATE POLICIES AND INCENTIVES Rajasthan November 2010

Sector-specific policies (8/12)


IT and ITeS Policy 2007 (continued) Key incentives: All the fiscal incentives as per the Rajasthan Investment Promotion Policy, 2003 or as amended from time to time; VAT on all products rationalised to be at par with the minimum floor rate of 4 per cent.

Special package of incentives to the micro, small and medium enterprises (MSMEs) to promote their growth. Some of the key incentives are:

Reservation of land for preferred allotment to MSMEs in the IT parks. Support to NASSCOM, Software Technology Parks of India (STPI) or any such organisation in the creation of a library for making available information on trends in technology, market intelligence, research reports and analysis, etc., by contributing US$ 20,000 per annum, for developing the small and medium enterprises sector. Subsidy up to US$ 50,000, at the rate of US$ 217 per employee, to the first five IT/ITeS companies investing in the state and directly employing more than 50 employees in IT or 100 employees in ITeS sector; such employment should exist for a period of at least two years for persons domiciled in Rajasthan. Incentives linked to mega projects: Projects creating direct employment of more than 500 people in the case of IT industry or 1,000 people in ITeS industries to be defined as mega projects; such projects are entitled to a special package of incentive of US$ 217 per employee.

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STATE POLICIES AND INCENTIVES Rajasthan November 2010

Sector-specific policies (9/12)


Policy to Promote Private Investment in Healthcare Facilities 2006 Aim: To encourage private investment in healthcare facilities and promote Rajasthan as a destination for medical tourism; policy to remain in force until December 2010. Key initiatives:

To promote private sector investment in medical and healthcare institutions, medical and dental colleges and support units such as diagnostic centres, blood banks and paramedical training institutes.

To develop complementary and alternative medicine centres.


To develop super specialty healthcare institutions. To ensure delivery of quality healthcare at reasonable costs. To promote development of centres of excellence for medical care. To develop standards for infrastructure and operations. To create a regulatory body with supportive role. Rebate related to land allotment (ranging up to 75 per cent); it is linked to size of investment, geographical location and hospital in areas of tourist importance. 50 per cent exemption from the payment of electricity duty for seven years 50 per cent exemption from the payment of stamp duty and land conversion rate.

Key incentives:

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STATE POLICIES AND INCENTIVES Rajasthan November 2010

Sector-specific policies (10/12)


Policy for Promoting Generation of Electricity through Non-Conventional Energy Sources, 2004 Aim: To encourage investment in non-conventional sources for generation of electricity. Key incentives:

50 per cent exemption from electricity duty for seven years. 50 per cent exemption from stamp duty. 50 per cent exemption from conversion charge. Allotment of land on 10 per cent of district-level committee (DLC) rate. Exemption from payment of entry tax. Exemption from merit order dispatch regulations. Wheeling and banking facilities for power generated. Interest subsidy and wage/employment subsidy on new investments.

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STATE POLICIES AND INCENTIVES Rajasthan November 2010

Sector-specific policies (11/12)


Biotech Scheme, 2004 Aim: To facilitate the growth of biotech industries and development of clean bio-technologies. Key thrust areas:

Positioning the state as an attractive destination for development and growth of biotechnology industries. Creating and continuously upgrading biotechnology infrastructure in the state through government and/or public private partnerships. Creating and developing human resources in biotechnology.

Key incentives:

Land allotment for setting up of various biotechnology and bio-informatics industries, including projects covered under modern biotechnology, is made at the rate of development charges prevailing in the area. The land rebate, by way of reimbursement, is allowed after the required minimum fixed investment has actually been made on the allotted plot within the period stipulated for investment in the package.

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STATE POLICIES AND INCENTIVES Rajasthan November 2010

Sector-specific policies (12/12)


Tourism Policy, 2001 Aim: To ensure optimum utilisation of rich tourism resources of the state to generate employment, especially, in the rural areas. Key initiatives:

Optimum utilisation of rich tourist resources of the state in order to attract maximum number of domestic and international tourists. To facilitate the growth of tourism in the state and to further involve the private sector in the development of tourism in Rajasthan. To make tourism a people's industry in the state. Preservation of rich natural habitat and bio-diversity, historical architectural and cultural heritage of Rajasthan; special emphasis on conservation of historical monuments in Rajasthan. Increase employment opportunities, especially, for unemployed rural youth.

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RAJASTHAN

November 2010

Contents
Advantage Rajasthan State economy and socio-economic profile Infrastructure status State policies and incentives Business opportunities Doing business in Rajasthan
Company logos cited in this section are registered trademarks of the respective companies

55

BUSINESS OPPORTUNITIES Rajasthan November 2010

Cement

Rajasthan has huge reserves of cement-grade and steel-melting-shop (SMS) grade limestone. SMS grade limestone of the Jaisalmer district is supplied to various steel plants in the country. As of 2009-2010, 14 major cement plants and two medium cement plants are in operation with a total installed capacity of about 20.3 million tonnes per annum (MTPA).

Key players

ACC Ambuja Cement Limited Birla Corporation Limited Mangalam Cement Limited Grasim Industries Limited Shree Cement Limited

Binani Cement Limited


Laxmi Engineers Limited JK Lakshmi Cement Limited

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BUSINESS OPPORTUNITIES Rajasthan November 2010

Cement company profiles (1/2)


ACC Limited

ACC is the largest cement producer in India; its plant at Bundi, Rajasthan, has a production capacity of 1.5 MTPA. The company is also the largest manufacturer of ready-mix concrete in India. Ambuja Cements Limited has cement plants in Rajasthan, Maharashtra, Gujarat, Himachal Pradesh, Punjab, Chhattisgarh and West Bengal. The total cement capacity of the company is 18.5 MTPA. The production facility in Rajasthan has a capacity of 2 MTPA. Birla Corporation Limited is the flagship company of the M.P. Birla group. The company owns seven cement plants, located in West Bengal, Madhya Pradesh, Rajasthan and Uttar Pradesh, with a total annual manufacturing capacity of 5.8 MTPA. The company is planning a 1.2 million tonne expansion at its Chanderia plant in Rajasthan. Mangalam Cement Limited is principally engaged in the development, manufacture and distribution of portland cement and clinker in India. The company has limestone deposits at Morak, ideal for the manufacturing portland cement. It has a plant in Kota.

Ambuja Cements Limited

Birla Corporation Limited

Mangalam Cement Limited

The companys sister firm Mangalam Timber is getting merged with itself.
Shree Cement manufactures its products under the Bangur Cement brand name. The companys manufacturing facilities are located at Beawar, 185 km from Jaipur. The companys grinding unit is located at Khush Khera (Alwar). Besides, the company has a a wide network of 28 sales offices, 1,193 dealers and 4,000 retailers.

Shree Cement

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BUSINESS OPPORTUNITIES Rajasthan November 2010

Cement company profiles (2/2)


Grasim Industries Limited

Grasim Industries Limited is a flagship company of the Aditya Birla Group. Grasim, along with its subsidiary UltraTech Cement had a capacity of 48.8 MTPA as of March 2010; it is a leading cement player in India; has 1.5 MTPA cement unit at Shambhupura in Rajasthan. Grasim is setting up a 4.5 MTPA greenfield plant at Kotputli and another 4.4 MTPA plant at Shambhupura, both in Rajasthan. Grasim Industries Limited has hived off its cement business as Samruddhi Cement for a merger with another group company, UltraTech Cement. Binani Cement Limited (BCL) is a subsidiary of Binani Industries Limited (BIL). The companys manufacturing plant is located at Binanigarm, Sirohi, Rajasthan. The Binanigram facility has an upgraded capacity of 6 MTPA. Laxmi Engineers Works s a cement manufacturer with headquarters in Rajasthan; the company began operations in 1991. The company's mini-cement plant has the production capacity of 50 tonnes per day. The group companies manufacture cut stones and marbles, polishing machines and tiles for construction. JK Lakshmi Cement Limited has a state-of-the-art plant at Jaykaypuram, Sirohi, Rajasthan. With the capacity expansion and further commissioning of a split-location grinding unit in Gujarat, the combined capacity of the company is 4.75 MTPA. JK Lakshmi Cement is the first cement producer of Northern India to be awarded an ISO 9002 and be accredited by National Accreditation Board for Testing and Calibrating Laboratories (NABL), Department of Science and Technology, Government of India, for its lab quality management systems.

Binani Cement Limited

Laxmi Engineers Works

JK Lakshmi Cement Limited

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BUSINESS OPPORTUNITIES Rajasthan November 2010

Mining and mineral processing industry (1/2)

Rajasthan is among the largest mineral producing states in India. Around 79 varieties of minerals are available in the state and 58 minerals are produced on a commercial scale. Important minerals are silver, phosphate fluoride, rock phosphate, copper, zinc, gypsum, clay, granite, marble, sandstone, dolomite, calcite, emeralds and garnets. The state has about 210 million tonnes of identified reserves of lead-zinc ore with 1.5 per cent lead and zinc, and 639 million tonnes of copper ore reserves containing 0.8 to 1.2 per cent copper.

Prospective locations for metals Copper Lead, zinc, copper Gold Gold, silver Udaipur, Sirohi, Raisamand, Alwar, Jhunjhunu Banswara Banswara Banswara

Copper, gold, platinum

Ajmer

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BUSINESS OPPORTUNITIES Rajasthan November 2010

Mining and mineral processing industry (2/2)

Base metals and noble metals: Rajasthan has immense potential for mining base metals and noble metals in a belt that extends over an area of about 58,000 sq km; it covers Alwar in the North to Banswara and Dungarpur in the South and passes through the districts of Jhunjhunu, Jaipur, Ajmer, Bhilwara, Rajsamand, Sirohi and Udaipur. Dimensional stones: The state has substantial reserves of different varieties of dimensional stones such as marble, granite, sandstone and slate with tremendous potential for exports forward linkages with the construction industry. Lignite: Rajasthan has more than 4,000 million tonnes of lignite reserves in the districts of Barmer, Bikaner and Nagaur. Lignite is being produced in Barmer and Matasukh area of Nagaur. In recent years, some lignite blocks in three districts have been allotted for setting up thermal power plants. Ceramics: The availability of clay and feldspar in Rajasthan makes it an excellent location for ceramic-related industry (e.g., white-ware, floorings and bone-china).

Key players in mining industry

Hindustan Zinc Limited

Hindustan Copper Limited

Key players in ceramic industry


Kajaria Ceramics Limited Liberty Whiteware Limited Jaipur Ceramics Private Limited

Key players in marble industry


Elegant Marble and Granite Inc Maadhav Marbles and Granites Limited

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BUSINESS OPPORTUNITIES Rajasthan November 2010

Mining company profiles


Hindustan Zinc Limited (HZL)

HZL is a part of the Vedanta Resources Group and has four mines in Rajasthan. Rampura Agucha mine is a zinc mine with a production capacity of 6 MTPA. In 2009-2010, Rampura Agucha produced 612.9 Kilo Tonnes (KT) of contained zinc and 55.10 KT of contained lead. Rampura Agucha is also one of the lowest cost zinc producer globally. Sindesar Khurd mine has reserves and resources base of over 60 million tonnes. Sindesar Khurd has annual ore production capacity of 0.5 MTPA and achieved a production level of 19.8 KT of contained zinc and 8.0 KT of contained lead in 2009-2010. The company plans to increase the current ore production capacity of Sindesar Khurd from 0.5 MTPA to 1.50 MTPA. Rajpura Dariba mine has annual ore production capacity of 0.9 million tonnes and achieved a production level of 21.9 KT of contained zinc and 5.4 KT of contained lead in 2009-2010. Bulk concentrate production at Rajpura Dariba has resulted in significant recovery improvements in zinc, lead and silver. Hindustan Copper Limited is a public sector undertaking under the administrative control of the Ministry of Mines. It is a vertically-integrated copper producing company with facilities of mining, beneficiation, smelting, refining and casting of refined copper metal into downstream-saleable products.

Hindustan Copper Limited

HCL has four operating units of mines and plants, one of which is the Khetri Copper Complex (KCC) at Khetrinagar in Rajasthan.
RSMML is a public sector enterprise of the Government of Rajasthan, primarily, engaged in mining and marketing of industrial minerals. The company has various strategic business units (SBUs) in Rajasthan; the rock phosphate SBU is located at Udaipur, gypsum SBU at Bikaner, limestone SBU at Jodhpur and lignite SBU at Jaipur. Going forward, RSMML is targeting cost effective technological innovations in mining and diversifying into mineral-based downstream projects.

Rajasthan State Mines and Minerals Limited (RSMML)

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BUSINESS OPPORTUNITIES Rajasthan November 2010

Ceramic company profiles


Kajaria Ceramics Limited

Kajaria Ceramics is the largest manufacturer of ceramic tiles in India. The company has two manufacturing plants, with a total annual capacity of 21 million sq m. The company exports tiles to more than 20 countries around the globe. Kajaria Ceramics has a manufacturing plant at Gailpur, Rajasthan, with an annual capacity of 14.1 million sq m. Kajaria has several certifications, including ISO 9001 (for quality management), ISO 14001 (for environment management), OHSAS 18001 (for safety and health management) and SA-8000 (for commitment to society). Liberty Whiteware Limited has a sanitary-ware unit, located at Neemrana in Rajasthan. The company has an annual production capacity of 500,000 pieces per annum. Jaipur Ceramics has a ceramics plant on the outskirts of Jaipur, with a bone china capacity of 1,500 tonnes per annum. The company has a workforce of about 700 people, including highly-skilled and semi-skilled employees. It also has an in-house facility for making kiln furniture and can produce tiles and pillars for captive use; the capacity is about 18 tonnes per month.

Liberty Whiteware Limited

Jaipur Ceramics Private Limited

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BUSINESS OPPORTUNITIES Rajasthan November 2010

Marble company profiles


Elegant Marble and Granite Inc.

Elegant Marble and Granite Inc., markets and processes marble and granite and offers over 84 colours in the Indian market. The companys total installed capacity for processing marble and granite is 2.5 million sq ft. It also imports marble from Italy, France, Norway, Spain, Greece and Nepal. Maadhav Marbles and Granites Limited exports its products to over 20 countries including the US, Germany, Holland, Singapore and Australia. It has an installed capacity of 751,338 sq m per annum for processing granite tiles. The company has acquired two wind-turbine generators (each of 1.25 MW) and has diversified into power generation.

Maadhav Marbles and Granites Limited

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BUSINESS OPPORTUNITIES Rajasthan November 2010

Automotive

The Alwar and Jaipur districts are close to major auto production hubs of the country such as Noida (Uttar Pradesh), Gurgaon and Dharuhera (Haryana), offering excellent advantage for setting up of auto and auto ancillary units. Nearly 100 units are currently functional in the Bhiwadi region of Alwar. A special auto and engineering zone has also been developed in the Pathredi Industrial Area and another special zone is being planned in Bhiwadi.

Key players

Amtek Auto Limited


Ashok Leyland TAFE Hi-Tech Gears Limited National Engineering Industries (NBC) Autolite India Limited Honda Siel Cars India Limited Caparo Fasteners Federal Mogul Goetze Ocap Chassis Parts Pvt Limited MICO Continental Engines

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BUSINESS OPPORTUNITIES Rajasthan November 2010

Automotive company profiles (1/4)


Amtek Auto Limited

Amtek Auto Limited is a flagship company of the Amtek Group; it is a leading Indian supplier of auto components with operations in forgings, machining and sub-assemblies.

The companys plants are located at Alwar and Bhiwadi.


It supplies over 300 varieties of components and assemblies to leading domestic and global vehicle manufacturers. The companys machining capacity is 40 million parts and its forging capacity is 225,000 tonnes per annum. Ashok Leyland is a flagship company of the Hinduja Group; it is a leading manufacturer of commercial vehicles in India. The companys manufacturing facilities are located at Alwar (Rajasthan), besides Ennore, Ambattur and Hosur in Tamil Nadu and Bhandara in Maharashtra. In July 2007, the company entered into a joint venture with the Alteams Group, Finland, to manufacture high pressure die-castings and aluminium products, predominantly, for the automotive and telecommunications sectors. TAFE is in the tractor manufacturing business; its subsidiary, TAFE Motors and Tractors Limited, has an engine plant at Alwar and transmissions plant at Parwanoo. The diesel engine plant at Alwar, Rajasthan, produces a range of air-cooled and water-cooled diesel engines of up to 80 HP.

Ashok Leyland

Tractors and Farm Equipment Limited (TAFE)

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BUSINESS OPPORTUNITIES Rajasthan November 2010

Automotive company profiles (2/4)


Hi-Tech Gears Limited

Hi-Tech Gears Limited was incorporated as a public limited company in 1986; the company has a plant in Bhiwadi; it has ISO 9002 and QS 2000 certifications. The company produces precision forging, transmission gears, and shaft and timing gears. Getrag Hi-Tech Gears India Private Limited, a joint venture of GETRAG Corporation and Hi-Tech Gears Limited is engaged in production of engine timing gears; the unit employs around 70 people. National Engineering Industries Limited, Jaipur, was founded in the year 1946 for manufacture of bearing under the name of National Bearing Company Limited (NBC). The company has manufacturing facilities at Jaipur and Gunsi (Newai). It produces ball bearings, steel balls, tapered roller bearings, cylindrical roller bearings and axle boxes for railway rolling stock. The company manufactures nearly 3.8 million bearings per month in over 500 different sizes ranging from 6 mm bore to 1,300 mm outer diameter. The company has facilities to manufacture bearings up to 2,000 mm outer diameter. Autolite India Limited was established in 1970, with an objective to design, manufacture and market automotive lighting products, globally; the current product range includes head lamps, auxiliary lamps, work lamps, horns, halogen bulbs and incandescent bulbs. The companys manufacturing plant is located at Jaipur. It serves as an original equipment manufacturer (OEM) for the domestic, European and Japanese vehicle manufacturers in India including Eicher, Komatsu and FIAT. It has ISO 9001: 2000 accreditation.

National Engineering Industries Limited

Autolite India Limited

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BUSINESS OPPORTUNITIES Rajasthan November 2010

Automotive company profiles (3/4)


Honda Siel Cars India Limited (HSCI)

HSCI was incorporated in December 1995 as a joint venture between Honda Motor Co., Japan and Siel Limited, a Siddharth Shriram group company; the total manufacturing capacity of the company is 100,000 cars. In Rajasthan, the company has a plant located at Tapakura. As of 2009, the total investment made by the company in Rajasthan plant was US$ 130 million; further investment of US$ 86 million is planned, which will translate in to capacity addition of 60,000 units of cars. Caparo Fasteners started its Indian operation in 2005 from Chopanki (Rajasthan); it is one of Indias leading manufacturers of high tensile fasteners.

Caparo Fasteners

Caparo Fasteners India supplies fasteners to leading OEMs including Ashok Leyland, Asia Motor Works, Eicher Motors, Ford, General Motors, HMSI, Tata Motors.
The company has a capacity to produce 26,000 MT of fasteners per annum. It is backed by complete technical support from the group company, Caparo Atlas Fastenings, UK, a leading manufacturer of fasteners, catering to the European automobile industry, for the last 100 years. Federal-Mogul Goetze (India) Limited was established in 1954 as a joint venture between Escorts and Goetze-Werke of Germany. It is the largest manufacturer of pistons and piston rings in India. The company has production facilities at Bhiwadi which is accredited with TS 16949, ISO14001 and OHSAS 18001. Ocap, founded in 1975, has operations in Italy in Valperga, Feletto, Busano and Oglianico. The company started its operations as a spare manufacturer for steering and suspension parts for the aftermarket. At present, the company is a supplier to automotive, truck and agricultural manufacturers such as Audi, Bentley, Lamborghini, Maserati and Renault. OCAP Chassis India is located at RIICO industrial area, Bhiwadi, (Alwar).

Federal-Mogul Goetze (India) Limited

Ocap Chassis Parts Pvt Limited

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BUSINESS OPPORTUNITIES Rajasthan November 2010

Automotive company profiles (4/4)


Motor Industries Company (MICO), Inc

MICO Inc., is a manufacturer of pumps, which are used in commercial vehicles to follow gas emission requirements. The company has a manufacturing plant at Jaipur with a capacity of 10 million units per annum for pumps that comply with Euro-II and Euro-III norms. MICO has planned to double the capacity of its Jaipur plant. Post-expansion, these distribution pumps will be made Euro-IV compliant. Continental Engines is a part of Bakshi Group, a three decades old Indian multinational company with interests in auto components, engines and business process outsourcing (BPO) sectors. It is engaged in the manufacture of automotive components for domestic and global auto majors. The companys product range includes fully-assembled cylinder heads (multi-cylinder heads and singlecylinder heads), crank cases, compressor mounting brackets, inlet manifolds, clutch housings, transmission cases, flywheel housings, etc.

Continental Engines

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BUSINESS OPPORTUNITIES Rajasthan November 2010

Textiles

Rajasthan has a leading position in the production of polyester viscose yarn and synthetic suiting material as well as processing of low-cost, lowweight fabric (at Pali, Balotra, Sanganer and Bagru).

Type of textiles in Rajasthan


Block printing-Sanganer, Jaipur, Bagru Bandhani-Jodhpur, Pali, Jaipur, Udaipur and Nathdwara Zari/Zardosi Quilting

Jaipur is also a well-known centre for manufacturing garments, primarily for exports.
Bhilwara has emerged as India's largest manufacturer of suiting fabrics and yarn.

Key players

Availability of raw material and trained labour has promoted the growth of textile industry and drove many textile units to locate in the state. With a network of backward and forward linkage, Rajasthans textile industry offers significant competitive advantage.

Rajasthan Spinning and Weaving Mills Limited JK Synthetics Banswara Syntex Limited Shree Rajasthan Syntex Limited Shriram Rayons Bhilwara Spinners Limited Ginni International Limited Modern Threads

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Textiles company profiles (1/2)


Rajasthan Spinning and Weaving Mills Limited (RSWM)

RSWM produces yarn, fabric, garments and denim; it is one of the largest producers and exporters of polyester-viscose-blended yarn in the country. The company operates around 3,60,000 spindles and produces 100,000 MT of yarn per year. It has plants in Banswara, Mordi, Kharagram and Rishabdev.

JK Synthetics

JK Synthetics produces a wide range of synthetic fibres including nylon yarn and high-tenacity yarn for industrial application, e.g., fishing industry, tyre cord, polyester-filament yarn, polyester staple fibre and tows and acrylic staple fibre. The plant is located at Kota in Rajasthan.

Banwara Syntex Limited

Banswara Syntex Limited was incorporated in the year 1976; the company manufactures fabric, readymade garments, made-ups and worsted suiting.
The companys manufacturing facility is located in Banswara; it has a spinning capacity of 133,588 ring spindles including 14,400 spindles for worsted-yarn spinning and 576 air-jet spindles. It also has 194 shuttles-less looms, 12 air-jet-jacquard looms and six stenters, with a processing capacity of 4 million meters per month. The company also has a readymade garment production plant at Daman and Surat (Gujarat), with installed capacity of 0.23 million pieces of trousers and 10,000 pieces of jackets per month.

Shree Rajasthan Syntex Limited

Shree Rajasthan Syntex Limited is a manufacturer of synthetic-yarn including acrylic, polyester, viscose and polypropylene multi-filament yarn.
The plant is located at Udaipur in Rajasthan.

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BUSINESS OPPORTUNITIES Rajasthan November 2010

Textiles company profiles (2/2)


Shriram Rayons

Shriram Rayons, a part of DCM Shriram Industrial Group, is among the country's major manufacturers of high-grade rayon tyre cord; it has nylon and rayon conversion facilities catering to the needs of the domestic and international markets. The manufacturing plant is located at Kota; the technology partners of the company are Beunit Fibres Inc, USA and Chemtex Inc, USA. Bhilwara Spinners Limited, a part of the LNJ Bhilwara Group, is a manufacturer of cotton-synthetic blended yarns of various counts and blends; the 18,496 spindles manufacturing facility is located at Bhilwara. The company also manufactures various value-added products such as polyester/acrylic, mod-acrylic flame-retardant yarn, sewing thread, slub yarn, viscose-carpet yarn, linen yarn, and products suitable for other uses including upholstery, tapestry and industrial fabrics. Ginni International Limited has a unit at the RIICO Industrial Area, Neemrana, Alwar. Established in 1996, it is a 100 percent export-oriented unit, engaged in weaving, spinning and knitting activities. The installed capacity of the plant is around 32,256 spindles; it also has a capacity to produce worldclass quality woven fabrics with 54 picanol air-jet looms; the company has ISO certification since 1997. It employs around 700 people. Modern Threads is a unit of Modern Group; it is one of the largest synthetic yarn spinning plants in India, which a capacity of about 50,000 spindles. It is engaged in manufacturing and marketing of a wide range of products including grey, dyed and fancy yarns made of polyester viscose. In Rajasthan, they are located in village Raila in the Bhilwara district.

Bhilwara Spinners Limited

Ginni International Limited

Modern Threads

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BUSINESS OPPORTUNITIES Rajasthan November 2010

IT sector

Rajasthan has a vast pool of trained professionals. Moreover, low cost of operations in well developed cities of the state makes them attractive locations for IT and ITeS units. IT parks with special infrastructure have been set up at Jaipur, Jodhpur, Kota and Alwar.

Key players

Infosys Tech Mahindra Genpact Wipro Technologies

Nagarro

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BUSINESS OPPORTUNITIES Rajasthan November 2010

IT and ITeS company profiles (1/2)


Infosys

Infosys was set up in 1981; it is engaged in IT consulting, modular global sourcing, process reengineering, and BPO services; the company has operations in Australia, China and US. It also has marketing and technological alliances with FileNet, IBM, Intel, Microsoft, Oracle, etc. The company recorded a turnover of US$ 4.8 billion in 2009-2010. Infosys BPO, the BPO-services division of Infosys, has opened BPO campuses at the Mahindra Worldcity, Jaipur, Rajasthan. The company has also launched various industry-specific programmes in Rajasthan where it collaborates with universities in the state to improve the BPO-specific skill sets. Tech Mahindra is a global systems integrator and business transformation consulting firm, focused on the communications industry. Tech Mahindra provides a wide variety of services ranging from IT strategy and consulting to system integration, design, application development, implementation, maintenance and product engineering. Tech Mahindra has accreditations such as ISO 9001:2000 certification, SEI-CMM level 5 assessments and is also CMMI level 5 certified for software development processes.

Tech Mahindra

The company has set up two software development centres in Jaipur, Rajasthan.
Formerly known as GE Capital International Services, Genpact was set up in India in 1997. The company provides a wide range of business process, technology and knowledge services in finance and accounting, collections and customer relations, insurance, procurement and supply chain, analytics, software, IT-infrastructure It recorded a turnover of US$ 1.5 billion in 2010. The company employs about 43,300 professionals in total and over 3,000 people in the Jaipur facility.

Genpact

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BUSINESS OPPORTUNITIES Rajasthan November 2010

IT and ITeS company profiles (2/2)


Wipro Technologies

Wipro Technologies was established in 1945; it is engaged in IT services, product engineering, technology infrastructure services, BPO and other consulting solutions. It also provides services such as application development, deployment and maintenance, business intelligence and customer relationship management. Based in Bengaluru, the company has 54 development centres and 30 offices spread across India, North America, Middle East and Europe. It recorded a turnover of US$ 6.0 billion in 2009-2010. Wipro Technologies has set up a campus at the Mahindra World City in Jaipur. The company is developing its campus in two phases; the first phase spread across 25 acres, with a seating capacity of 1,000 employees is operational. Nagarro provides outsourced software development services to companies ranging from early stage start-ups to the global 50 market leaders, helping them achieve their strategic goals. The company has signed an MoU with the Mahindra World City for developing a five-acre site in the Mahindra World City SEZ.

Nagarro

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BUSINESS OPPORTUNITIES Rajasthan November 2010

Chemicals

The key chemicals produced in Rajasthan include fertilisers, caustic soda and pesticides; the principal industrial complexes for chemicals are at Jaipur, Kota, Udaipur and Bhilwara.
Chambal Fertilisers and Chemicals Limited (CFCL)

CFCL manufactures and distributes urea, agri-inputs, fertilisers, plant protection chemicals, seeds and biofertilisers. The company has two nitrogenous fertiliser plants near Kota in Rajasthan with a capacity of over 1.7 MTPA of urea; it is among the largest fertiliser complexes in the private sector in India. P I Industries mainly produces organo-phosphorous insecticides. The company has its plant at Udaipur in Rajasthan, producing liquid insecticides, minerals and allied products, polymers and solid insecticides. DCM Shriram Industries Limited is a diversified group with operations in sugar, alcohol, organic and inorganic chemicals, drug intermediates, rayon tyre cord, shipping containers and processed cotton yarn.

P I Industries Limited

DCM Shriram Industries Limited

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BUSINESS OPPORTUNITIES Rajasthan November 2010

Steel

Rajasthans steel industry comprises re-rolling and stainless steel units located, mainly, in Jodhpur, Alwar and Jaipur. Most of the re-rolling units belong to the small scale sector.

Asian Alloys Limited (AAL)

AAL manufactures steel ingots and castings. Its units are located at Bhiwadi in Rajasthan as well as in Punjab. The companys products are mainly used in the paper and rubber industries. Kamdhenu is a manufacturer of international quality steel bars and paints. The steel-bars unit is located at Bhiwadi; the paint division is in Alwar. PSL manufactures steel pipes. The company's products include protective coatings for steel pipes, epoxy coatings for reinforcement bars, epoxy powder paint and galvalum range of aluminium sacrificial anodes. It is involved in iron-ore processing.

Kamdhenu Ispat Limited PSL Limited

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Contents
Advantage Rajasthan State economy and socio-economic profile Infrastructure status State policies and incentives Business opportunities Doing business in Rajasthan

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DOING BUSINESS IN RAJASTHAN Rajasthan November 2010

Key approvals required (1/2)


Approvals and clearances required Industrial licence Sponsorship for raw-materials and inputs Land allotment Incentives Sanction of loan Site approval and environmental clearance Adequacy certificate No-objection certificate Bureau of Investment Promotion Rajasthan Financial Corporation (RFC) Department of Environment Rajasthan State Pollution Control Board Respective departments of state 15 days Estimated time

Industrial Commissionerate and State Revenue Department

30 days 30 days at the district-level 60 days for state government approval 30 days for district-level clearance 45 days for state-level clearance 60 days 90 days Green category: 30 days Red category: 45 days

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DOING BUSINESS IN RAJASTHAN Rajasthan November 2010

Key approvals required (2/2)


Service/facility Concerned agency Timelines Load up to 60 HP: issue of demand notice in 21 days Release of connection: 30 days from demand notice Load from 60 HP-300 KW: demand notice in 30 days

Jaipur Vidyut Vitran Nigam Ltd*


Release of power connection Ajmer Vidyut Vitran Nigam Ltd^ Jodhpur Vidyut Vitran Nigam Ltd

Release of connection: 60 days from issue of demand notice Load 300-3,000 KW: issue of demand notice in 60 days Release of connection: 75 days from issue of demand notice Load above 3,000 KW: issue of demand notice 60 days Release of connection: 90 days from issue of demand notice

*Responsible for 12 districts of Rajasthan, namely Jaipur, Dausa, Alwar, Bharatpur, Dholpur, Kota, Bundi, Baran, Jhalawar, Sawaimadhopur, Tonk and Karoli. ^Responsible for 11 districts of Rajasthan, namely Ajmer, Bhilwara, Nagaur, Sikar, Jhunjhunu, Udaipur, Banswara, Chittorgarh, Rajsamand, Doongarpur and Pratapgarh.

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Cost of doing business


Cost parameter Industrial land (per sq ft) Labour cost (per man year) Hotel costs (five-star) Office space rental (per sq ft) Residential space rental Power cost (per kWh) Cost estimates US$ 75 to US$ 151 US$ 2.1 to US$ 2.5 US$ 95 to US$ 385 per room per night US$ 0.22 to US$ 2.5 per month US$ 0.05 to US$ 0.28 per sq ft per month (rates depend on the type of structure and location) Industrial use (Jaipur): US 7.6 cents to US 8.7 cents Fixed charge: US$ 0.76 to US$ 1.96 per HP Commercial and industrial: 0 to15,000 kl: US 24 cents 15,000 to 40,000 kl: US 35 cents 40,000 kl and above: US 50 cents Source Industry sources Industry sources Leading hotels in the state Industry sources Industry sources Jaipur Vidyut Vitran Nigam Limited (Jaipur Discom)

Cost of water (per kl)

Public Health Engineering Department, Rajasthan

HP: horsepower; kl: kilolitre

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Single-window clearance mechanism

District Single Window Clearance Committee for each district in the state which is chaired by the Deputy Commissioner, with senior-most officers of concerned departments in the district as members. Empowered Committee chaired by Chief Secretary to Government of Rajasthan and with Principal Secretaries of concerned state departments as members. State Board with the Chief Minister of Rajasthan as its Chairman and ministers of state departments as its members.

Under the chairmanship of


Board of Infrastructure Development and Investment (BIDI) Chief Minister of Rajasthan

Nodal Agency
Bureau of Investment Promotion

State Level Empowered Committee (SLEC)

Chief Secretary

District Industry Centre district level

District Level Empowered Committee

Deputy Commissioner

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DOING BUSINESS IN RAJASTHAN Rajasthan November 2010

Key investment promotion offices


Bureau of Investment Promotion (BIP)

BIP is the State Government's nodal agency for attracting foreign direct investment (FDI) and non-resident Indian (NRI) investments. BIP functions as a single-window agency for clearing all medium and large scale investments. BIP assists in investing in Rajasthan in many ways such as identifying investment opportunities, providing access to information that is critical to setting up of project, translation of investment possibilities into concrete investment proposals, site-selection activities and obtaining infrastructural facilities. It helps in interfacing with government departments for required clearances. RIICO is the sole agency in the state that develops land for the industrial growth. It provides financial assistance and other vital infrastructural facilities for industries. RFC provides medium and long-term loans for new industrial units in the SME sector. It also assists in planning a balanced development of industries in the state. The corporation identifies commercially viable infrastructure projects, prepares detailed feasibility and investment reports and offers to the private sector for implementation.

Rajasthan State Industrial Development and Investment Corporation (RIICO) Rajasthan Financial Corporation (RFC) Project Development Corporation

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Contact list
Key agency Contact information Udyog Bhawan, Tilak Marg Jaipur - 302005, Rajasthan Phone: 91-141-2227 274, 2227 812, 2227 713 Fax: 91-141- 2227 506 E-mail: bip.raj@nic.in Website: http://www.investrajasthan.com/ Udyog Bhawan, Tilak Marg Jaipur, Rajasthan Phone: 91-141-5113 200 /5113 208/5113 211 E-mail: md@riico.co.in Website: www.riico.com Udyog Bhawan, Tilak Marg Jaipur - 302005, Rajasthan Phone: 91-141-2385 522 Fax: 91-141-2385 503 E-mail: info@rfconline.org First Floor, LIC Jeevan Nidhi Building Near Ambedkar Circle, Bhawani Singh Road, Jaipur - 302005, Rajasthan Phone: 91-141-2747012-14 Fax: 91-141-2747045 E-mail: info@pdcor.com

Bureau of Investment Promotion (BIP)

Rajasthan State Industrial Development and Investment Corporation (RIICO)

Rajasthan Financial Corporation (RFC)

Project Development Corporation

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Annexure (1/3)
Socio-economic classification (SEC) of urban and rural households urban grid Certificate course, but not graduate School up to four years/ literate, but no formal schooling School up to five to nine years Graduate/post graduate general D B2 B2 Graduate/post graduate professional D B2 B2 SSC/HSC D C C Illiterate E2 E2 E2

Education/occupation

Unskilled workers Skilled workers Petty traders

E2 E1 D

E1 D D

D C C

Shop owners
Entrepreneurs: employee none Entrepreneurs: employee < 10

D
D C

D
C B2

C
B2 B2

B2
B1 B1

B1
A2 A2

A2
A2 A1

A2
A1 A1

Entrepreneurs: employee > 10


Self-employed professionals Clerical/salesman Supervisory level Officers/executives: junior Officer/executive: middle/senior
Source: Market Research Society of India

B1
D D D C B1

B1
D D D C B1

A2
D D C C B1

A2
B2 C C B2 B1

A1
B1 B2 B2 B1 A2

A1
A2 B1 B1 A2 A1

A1
A1 B1 A2 A2 A1

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Annexure (2/3)
Socio-economic classification (SEC) of urban and rural households rural grid

Type of house
Education Illiterate Literate but no formal school Up to fourth standard Fifth to ninth standard SSC/HSC Some college but not graduate Graduate / post graduate (general) Graduate / post graduate (professional)
Source: Market Research Society of India

Pucca R4 R3 R3 R3 R2 R1 R1

Semi pucca R4 R4 R3 R3 R3 R2 R2

Kuccha R4 R4 R4 R4 R3 R3 R3

R1

R2

R3

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Annexure (3/3)
Exchange rates Year 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 INR equivalent of one US$ 46.6 48.3 48.0 45.6 43.7 45.2 45.0 42.0 40.2 46.0 47.4

Average for the year

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DISCLAIMER
India Brand Equity Foundation (IBEF) engaged ICRA Management Consulting Services Limited (IMaCS) to prepare this presentation and the same has been prepared by IMaCS in consultation with IBEF. All rights reserved. All copyright in this presentation and related works is solely and exclusively owned by IBEF. The same may not be reproduced, wholly or in part in any material form (including photocopying or storing it in any medium by electronic means and whether or not transiently or incidentally to some other use of this presentation), modified or in any manner communicated to any third party except with the written approval of IBEF. This presentation is for information purposes only. While due care has been taken during the compilation of this presentation to ensure that the information is accurate to the best of IMaCSs and IBEFs knowledge and belief, the content is not to be construed in any manner whatsoever as a substitute for professional advice. IMaCS and IBEF neither recommend nor endorse any specific products or services that may have been mentioned in this presentation and nor do they assume any liability or responsibility for the outcome of decisions taken as a result of any reliance placed on this presentation. Neither IMaCS nor IBEF shall be liable for any direct or indirect damages that may arise due to any act or omission on the part of the user due to any reliance placed or guidance taken from any portion of this presentation.

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