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Gujarat emerging as manufacturing hub: Assocham

India TV News Desk 24 Jun 2014, 21:28:17 IST
India TV News Desk
Ahmedabad: Gujarat is emerging as a key manufacturing centre as the state accounted for one of the highest shares in some key product segments during 2004-12, according to an Assocham report.

“Gujarat is emerging as a prominent manufacturing investment hub across the country accounting for highest share ranging between 26 and 33 per cent in key segments of non-metallic mineral products, textiles and food & beverages during 2004-12,” the industry lobby's Secretary General D S Rawat said in Ahmedabad on Tuesday.

With investments of over Rs. 30 lakh crore, manufacturing accounts for about 25 per cent of outstanding investments worth over Rs. 122 lakh crore attracted by various sectors across the country as of March 2013, Mr Rawat said.

“Odisha accounted for the highest share of over 18 per cent in total investments attracted by the manufacturing sector as of March 2013,” he said.

However, he did not offer the total percentage of investment share that the western state enjoys in overall ranking.

Releasing a report on ‘Investments in manufacturing sector', he said Gujarat also has the second highest share at about 25 per cent and over 18 per cent in investments by the transport equipment and chemicals industry respectively during the aforesaid period.

Karnataka (over 14 per cent share), Jharkhand (over 13 per cent share), Andhra (about 10 per cent share) and Gujarat (over 9 per cent share) are amidst the top five states with the maximum share in investments attracted by the manufacturing sector, Mr Rawat said.

However within the states, manufacturing accounted for over 55 per cent of total investments attracted by Jharkhand followed by Odisha (47 per cent), Karnataka (40 per cent), Bengal (34 per cent) and Assam (30 per cent), he said.

Explaining the investment scenario in manufacturing sector, Assocham pointed out that metals and metal products followed by the chemicals industries has been dominating the domestic manufacturing sector in terms of investments.

The share of metals and metal products in total outstanding investments in manufacturing had increased from 47 per cent to 50.5 per cent during March 2005-12.