odisha state report - march 2017

DECEMBER 2013 11MARCH 2017 For updated information, please visit www.ibef.org

ODISHA SCENIC . SERENE . SUBLIME

MARCH 2017 (As of 24 March 2017)

DECEMBER 2013 22MARCH 2017

❖ Executive Summary …………………...… 3

❖ Advantage Odisha ……………………..... 5

❖ Vision …………………………………...… 6

❖ Odisha - An Introduction ………………... 7

❖ Budget 2016-17 ……………………...….18

❖ Infrastructure Status …………………… 19

❖ Business Opportunities ……….……..… 39

❖ Doing Business in Odisha ...………..…. 66

❖ State Acts & Policies …………………... 67

For updated information, please visit www.ibef.org


MARCH 2017


EXECUTIVE SUMMARY … (1/2)

Source: Economic Survey of Odisha

CAGR – Compound Annual Growth Rate; GSDP – Gross State Domestic Product


Strong economy

• The state’s economy witnessed high growth rates between 2005-06 and 2015-16, with

GSDP of the state growing at a CAGR of 10.16 percent. Cumulative FDI inflows in the

state, during April 2000 to March 2016, amounted to US$ 403 million.

Hub for mineral-based

industries

• Odisha has emerged as a key state with regards to the mineral and metal based

industries. During 2015-16, total production of minerals in the state was recorded at

239.45 million tonnes as compared to 189.83 million tonnes in 2014-15. Key minerals

found in the state are iron, coal, bauxite, manganese, nickel, chromite, limestone,

dolomite, graphite, decorative stones, beach sand, China clay, tin ore, etc.

Strong bauxite

production

• Odisha is considered to be the aluminium capital of India and is an ideal location for

setting up aluminium and aluminum-based companies. The state has huge reserves of

minerals such as bauxite, etc. and houses big multinational companies like Vedanta,

Hindalco and Nalco. Bauxite production in the state increased from 9.3 million tonnes in

2014-15 to 10.84 million tonnes in 2015-16.

Strong iron and steel

sector

• Odisha is one of the largest producers of iron and steel in the country. Total production of

iron ore in Odisha was recorded to be 80.87 million tonnes during 2015-16. Being one of

the largest producers of iron and steel in India, the state of Odisha is one of the most

favoured investment destinations for domestic and international iron and steel players.



EXECUTIVE SUMMARY … (2/2)

Strong growth in

SSI/MSME units• The state is home to a large number of MSME units. The state is amongst the top ten

states accounting for the highest number of MSME enterprises.

Strong power sector• Odisha is the first state in India to have undertaken reform and restructuring initiatives in

the power sector. As of June 2016, the state had a total installed power generation

capacity of 9,421.52 MW.

Source: Ministry of Micro, Small and Medium Enterprises

Central Electrical Authority,

Economic Survey of Odisha

Ministry of Tourism,

SSI – Small Scale Industry,

MSME – Micro, Small and Medium Enterprises



Growing demand

Facilitating infrastructure

• Odisha has a up to date social, physical and industrial infrastructure, and the state government has been undertaking various infrastructural projects to boost the infrastructure of the state.

• As per state budget 2015-16, US$ 3.05 million was allocated for Externally Aided Projects (EAP) under Odisha Urban Infrastructure Development Fund (OUIDF). Moreover, US$ 6.11 million was earmarked to develop urban infrastructure in slum areas at Berhampur Town, with the assistance of World Bank.

ADVANTAGE: ODISHA

Source: Economic Survey of Odisha, Central Statistics Office

Advantage

Odisha

March 2014

Thermal power

installed

capacity:

3.87 GW

June 2016

Thermal power

installed

capacity: 7.1

GW

Policy, fiscal incentives and

initiatives

• The state offers a wide range of fiscal and policy incentives for businesses under the Industrial Policy Resolution, 2007.

• Additionally, the state has sector-specific policies for IT and micro, small and medium enterprises.

• The state government has constituted ‘Team Odisha’ to help with investment promotion.

High economic growth

• The state’s GSDP grew at a Compound Annual Growth Rate (CAGR) of 10.16 per cent between 2005-06 and 2015-16.

• The tertiary sector was the major contributor to the state’s GSDP with contribution of 52.3% during 2015-16.

Rich labour pool

• The state has a literacy rate of 72.87% which is close to the national average. Owing to strong literacy rate, large number of skilled labors are available in the state. Hence, providing a boost in making it an ideal destination for the mineral-based industry.

• Furthermore, the state has a large pool of semi-skilled and unskilled labour.


ODISHA VISION 2022

Agriculture

Industrial

development

Education &

skill

development

Health

Infrastructure

Govt. services

and

administration

Tourism &

culture

• To improve the productivity of the

sector, to encourage modern

agricultural practices, to bring

insurance schemes for farmers

against natural disasters, etc.

• To foster technical and vocational

education and skill development

programmes.

• To establish educational townships.

• To develop industrial parks

with quality infrastructure, to

encourage micro-enterprises

as ancillaries and to pave the

way for cost & technology

orientation by encouraging

competition.

• To improve rural healthcare system, to

provide quality emergency healthcare

facilities, to patronise health insurance,

to imbibe health and hygiene content in

education system, etc.

• To improve connectivity by

increasing road and rail

density and to improve

passenger services.

• To provide universal access

to power, irrigation and to

improve urban infrastructure

as well.

• To enhance the use of

Information Technology (IT) to

ensure transparency and

speed.

• To minimize interface between

public and government for

dealings.

• To protect historical

monuments through proper

renovation.

• To nurture and promote

classical music, dance and

literature.

Growth and

well-being • To frame concerted strategies

to address various issues of

unemployment and rural well

being.

• To bring about growth with

equity.

Source: Confederation of Indian Industry


Vision

2022


ODISHA FACT FILE

Odisha is located in the eastern region of India. The state

shares its borders with West Bengal in the north-east,

Jharkhand in the north, Andhra Pradesh in the south,

Chhattisgarh in the west, and the Bay of Bengal in the east.

Languages spoken in the state are Oriya and its various

dialects, Hindi and English.

Bhubaneswar, Mayurbhanj, Baleshwar, Khordha and

Sundargarh, Ganjam, Cuttack are some of the large cities in

terms of population.

Odisha has three major seasons, summer (March to June),

monsoon (July-September) and winter (October-February).

Source: Census 2011, Economic Survey of Odisha

Parameters Odisha

Capital Bhubaneswar

Geographical area (sq km) 155,707

Administrative districts (No) 30

Population density (persons per sq

km)270

Total population (million) 41.97

Male population (million) 27.1

Female population (million) 25.5

Sex ratio (females per 1,000 males) 989

Literacy rate (%) 72.87


Source: Maps of India


Parameter Odisha All states Source

Economy 2015-16 2015-16

GSDP as a percentage of all states’ GSDP 2.45 100.0

Directorate of Economics & Statistics of

Odisha, Central Statistical Organisation,

TechSci Research Estimates

Average GSDP growth rate (%) 7.47 8.71




Per capita GSDP (US$) 1,210 1,546




Physical Infrastructure

Installed power capacity (MW) 9,421.52 305,554.25Central Electricity Authority, as of August

2016

Wireless subscribers (No) 31,658,619 1,078,422,215Telecom Regulatory Authority of India, as of

October 2016

Internet subscribers (No) 9,050,000 367,480,000Telecom Regulatory Authority of India, as of

September 2016

National Highway length (km) 4,644.52 100,087.08 NHAI & Roads and Building Department

Major and minor ports (No) 1+2 13+187 India Ports Association

Airports (No) 1 125 Airports Authority of India



ODISHA IN FIGURES … (1/2)


Parameter Odisha All states Source

Social Indicators

Literacy rate (%) 72.87 73.0 Census 2011

Birth rate (per 1,000 population) 19.6 21.6 SRS Bulletin

Investment

FDI equity inflows (US$ billion) 0.40 288.51Department of Industrial Policy & Promotion,

from April 2000 to March 2016

Industrial Infrastructure

PPP projects completed & operational (no) 27 1,246DEA, Ministry of Finance, Government of India,

July 2016

Operational SEZs (no) 3 186Ministry of Commerce & Industry, Department

of Commerce, July 2016

SRS: Sample Registration System, PPP: Public Private Partnership, SEZ: Special Economic Zone


ODISHA IN FIGURES … (2/2)



At current prices, Odisha’s total GSDP* stood at US$ 50.8

billion during 2015-16.

The state’s GSDP grew at a CAGR of 10.16% between

2005-06 and 2015-16.

Source: Directorate of Economics & Statistics of Odisha,

Central Statistical Organisation, TechSci Research

Estimates

GSDP* -Directorate of Economics and Statistics, Odisha

GSDP of Odisha at current prices (in US$ billion)


ECONOMIC SNAPSHOT – GSDP


CAGR

10.16%

19.3 22.6

32.1 32.2 34.443.3 45.8 47 47.8 51.3 50.8

20

05-0

6

20

06-0

7

20

07-0

8

20

08-0

9

20

09-1

0

20

10-1

1

20

11-1

2

20

12-1

3

20

13-1

4

20

14-1

5

20

15-1

6


Odisha’s total NSDP# was about US$ 44.92 billion during

2015-16.

The state’s NSDP grew at a CAGR of 10.4% between 2005-

06 and 2015-16.

NSDP of Odisha at current prices (in US$ billion)


ECONOMIC SNAPSHOT – NSDP


15.2 16.719.5

27.6 27.6 28.6

36.1 37.7 38.8 39.042.9 44.9

20

04-0

5

20

05-0

6

20

06-0

7

20

07-0

8

20

08-0

9

20

09-1

0

20

10-1

1

20

11-1

2

20

12-1

3

20

13-1

4

20

14-1

5

20

15-1

6

CAGR

10.4%



Estimates

NSDP# - Directorate of Economics and Statistics, Odisha


Odisha’s per capita GSDP^ in 2015-16 stood at US$ 1,210

in comparison with US$ 494 in 2005-06.

Per capita GSDP of the state grew at a CAGR of 9.37 per

cent between 2005-06 and 2015-16.

Per capita GSDP (US$)


ECONOMIC SNAPSHOT – PER CAPITA GSDP


CAGR

9.37%



Estimates

Per Capita GSDP^ - calculated using GSDP million

USD/Population in million

494 571

801 793 8361039.01084 10991104.01167 1210

20

05-0

6

20

06-0

7

20

07-0

8

20

08-0

9

20

09-1

0

20

10-1

1

20

11-1

2

20

12-1

3

20

13-1

4

20

14-1

5

20

15-1

6


Odisha’s per capita NSDP& in 2015-16 was US$ 1,021.85 in

comparison with US$ 427 during 2005-06.

Per capita NSDP grew at a CAGR of 9.11% between 2005-

06 and 2015-16.

Per capita NSDP (US$)


ECONOMIC SNAPSHOT – PER CAPITA NSDP


CAGR

9.11%



Estimates

per capita NSDP& - Directorate of Economics and Statistics,

Odisha

427 493689 681 697

867.0 893 907 900.0 976 1021

20

05-0

6

20

06-0

7

20

07-0

8

20

08-0

9

20

09-1

0

20

10-1

1

20

11-1

2

20

12-1

3

20

13-1

4

20

14-1

5

20

15-1

6


23.5% 14.9%

34.1%32.8%

42.4%52.3%

2004-05 2015-16

Primary Secondary Tertiary

In 2015-16, the tertiaryµ sector contributed the most (52.3

per cent) to GSDP, followed by secondaryµ (32.8 per cent)

and primaryµ (14.9 per cent) sectors.

During 2004-05 to 2015-16, the tertiary sector recorded the

highest CAGR (12.38 per cent), followed by the secondary

(9.87 per cent) and primary (5.76 per cent) sectors.

Percentage distribution of GSDP


ECONOMIC SNAPSHOT – PERCENTAGE DISTRIBUTION OF GSDP


12.38%

5.76%

9.87%

CAGR



Sector-wise %share of GSDPµ -Geometric mean of YoY

calculation from 2004-05 to 2014-15


Source: Department of Agriculture, Cooperation & Farmers Welfare, Government of

India,

Food grain production in the state reached 6,411.4 thousand

tonnes in 2015-16. Further, 1.26 million hectares of land was under

cultivation of horticulture crops and the total production in the state

stood at 10.799 million metric tonnes.

Sugarcane production in the state stood at 567.1 thousand tonnes

in 2015-16.

As per state budget 2016-17, the state government recommended

to initiate a start-up fund in order to endorse entrepreneurship

across the agriculture sector. Further, provision of US$ 2.01 billion

has been made by the state government under Plan and Non Plan

outlay for the Agriculture Departments.

The state government also proposed to enhance the post-harvest

management practices in the state. For enhancement of millet

production and productivity across tribal areas of the state, the state

government decided to implement “Special Programme for Millet in

Tribal Areas” during 2016-17.

In order to support the efforts being implemented for the

endorsement of agri-entrepreneurship across the state, the state

government has also decided to launch a new agri start-up

programme, as per Budget 2016-17.


ECONOMIC SNAPSHOT – AGRICULTURAL PRODUCTION


Agriculture production in Odisha – ‘000 tonnes

(2015-16)

Rice 5,795.1

Wheat 2.0

Fruits 2,158.5

Vegetables 9,127.3

Flowers 79.59

Aromatic 0.60

Spices 181.50

Plantation crops 301.32

Honey 1.00

Onion 369.5

Coarse Cereals 160.8

Food grains 6,411.4

Pulses 454.1


ECONOMIC SNAPSHOT – FDI INFLOWS & INVESTMENTS


According to the DIPP, cumulative FDI inflows in the

state during April 2000 to December 2016 stood at

US$ 413 million.

As of June 2015, the state government announced

plans to facilitate growth in the manufacturing sector

with an yearly increase of 15% till 2020. As per the

state government investment plans, the contribution

of manufacturing sector in the overall GSDP of the

state is projected to reach 27% by 2020.

In order to increase the employment opportunities in

the state, Odisha government has announced plans

to invest US$ 28.69 billion in the manufacturing

sector generating nearly three lakh job opportunities

by 2020.

In line with the Centre's ambitious and flagship

‘Make in India’ initiative to develop the country as a

manufacturing hub, the Government of Odisha

bagged investment commitments worth US$ 30.54

billion during the ‘Make in Odisha’ conclave.

Tata Steel is eying foreign companies to invest in

heavy industries sector in the special economic

zone project in Odisha over next 5 years.

In January 2017, Tata Steel entered into an

agreement with Chennai-based - Creative

Port Development, at an estimated amount of

USD17.85 million, for the proposed development

of Subarnarekha Port at Chaumukh village in

Balasore district.

Source: Department of Industrial Policy & Promotion,

Economic Survey of Odisha, News articles

1- Till December 2016

FDI equity inflows, 2008-09 to 2016-17 (US$ million)

9

149

1528

52 48

9 6 9


According to the Ministry of Commerce and Industry, total

exports from Odisha in 2015-16 were valued at US$ 2.9

billion. Value exports from the state increased at a CAGR of

0.39% between 2006-07 and 2015-16.

The state has been a major exporter of both mineral and

metallurgical products, which account for around 18.89%

and 40.88% of the state’s total exports, respectively.

During 2015-16, total exports of seafood products from the

state reached to US$ 273.11 million. In addition, the state

government is targeting to ensure export of seafood

products worth US$ 458.29 million during 2016-17.

The Government of Odisha has recognized various sectors

for the promotion and facilitation of the exports from the

state. The sectors that have relatively higher preference of

the state government are agriculture and processed food

products, readymade garments, electronics, IT, engineering

goods, arts & crafts, and minerals & mineral based

products.

Source: Economic Survey of Odisha,

Ministry of Commerce and Industry, Government of India

News articles

Export trends (US$ billion)


ECONOMIC SNAPSHOT – EXPORT TRENDS


2.8

3.43.2

2.7

3.73.5

2.0

3.13.4

2.9

2006-07

2007-08

2008-09

2009-10

2010-11

2011-12

2012-13

2013-14

2014-15

2015-16

CAGR

0.39%


ANNUAL BUDGET 2016-17


Source: Government of Odisha, Finance Department

Sr No Sector US$ (million)

1 Agriculture Department 2,013.73

2 Co-operation Department 278.29

3Skill Development & Technical

Education96.19

4 Energy Department 427.88

5Fisheries and Animal Resources

Development Department 103.81

6Food Supplies and Consumer

Welfare Department145.82

7 Forest and Environment Department 92.15

8 General Administration Department 36.77

9Handlooms, Textiles & Handicrafts

Department 33.27

10Health and Family Welfare

Department 728.97

11School & Mass Education and

Higher Education2,046.49

12Housing and Urban Development

Department 512.84

Annual State Plan ceiling of major departments

Sr No Sector US$ (million)

13 Information Technology Department 19.95

14Labour & Employees State Insurance

Department 7.63

15 Panchayati Raj Department 1,292.23

16 Planning and Co-ordination Department 124.54

17Revenue and Disaster Management

Department 497.84

18 Rural Development Department 991.42

19Scheduled Tribes and Scheduled Caste

Development, Minorities and Backward

Classes Welfare Department

433.10

20 Tourism and Culture Department 37.05

21 Transport Department 58.63

22 Water Resources Department 1,106.27

23Women and Child Development

Department 717.01

24 Works Department 691.17


Road typeRoad length in

2015-16 (km)

National

highways4,644.52

State

highways5,086.1

District

roads11,685.0


PHYSICAL INFRASTRUCTURE – ROADS


Source: Economic Survey of Odisha, National Highways Authority of India,

Odisha Budget – 2016-17

Odisha has around 253,050.8 km of roads, including 4,644.52 km of national

highways and 5,086.1 km of state highways.

The state is well connected to its neighbouring states and other parts of India through

15 National Highways. The state had a road density of 161.1 km per 100 square km

of area.

Budget highlights:

US$ 691.17 million has been proposed for the maintenance of roads, public

building and bridges under the Works Department.

Under State Plan, US$ 446.25 million has been provided for enhancing 950

km of roads and establishment of 34 bridges in the state.

For doubling laning of 75 km long state highways which are under State

Highway Development Programme (SHDP), US$ 76.38 million will be

provided by the state government.

US$ 130.17 million and US$ 76.49 million will be provided for the upkeep of

roads & bridges as well as buildings, respectively during 2016-17.

Moreover, US$ 6.87 million and US$ 6.11 million will be made available for

the road projects under PPP and enhancement of PWD roads in Urban areas,

respectively.

For enhancing the connectivity between Western Odisha and KBK districts, an

amount of US$ 22.91 million will be provided under the new scheme “Biju

Expressway”.



PHYSICAL INFRASTRUCTURE – RAILWAYS

Odisha has railway track length of 2,540 km.Odisha serves as a link between eastern & western Indiathrough the railway network of the South Eastern Railways &the East Coast Railways.With the authorization of the Talcher-Sambalpur track, animperative link has been cemented between coastal & westernOdisha.Odisha falls in the East Coast Railways region. Its majordivisions are Khurda Road, Sambalpur & Waltair, with districtheadquarters in Bhubaneswar.As per budget 2016-17, US$ 39.71 million has been proposedby the state government for developing new railway projectssuch as the ongoing Khurda-Bolangir line, new Jaypore-Malkangiri, Jaypore-Nabarangpur railway lines, etc. in thestate through direct state funding as well as SPVs.The provision for enhancement & upgradation ofBhubaneshwar railway station has also been done by the stategovernment.With the allocation of the railway budget of USD696.52 million,the Odisha Government in February 2017, has announced toset up an electric loco periodical overhauling workshop &freight train maintenance facilities with routine overhaulingfacility for freight wagons in Kalahandi & Sambalpur districts.The government, sanctioned 2 new railways industrial projectsworth USD758.89 million in Odisha, for rail infrastructuredevelopmentIn March 2017, the state government started several projectsto strengthen & develop rail infrastructure in the state. US$364.8 million worth of investments would help in mobilisingminerals & encourage tourism.

Source: Economic Survey of Odisha, News articles




PHYSICAL INFRASTRUCTURE – AIRPORTS … (1/2)

Biju Patnaik Airport, is located in the state capital,

Bhubaneswar. In November 2013, the airport was declared

an international airport by the Ministry of Civil Aviation.

In 2014-15, Airports Authority of India announced plans to

undertake the construction of Jharsuguda airstrip. Direct

links are available from Bhubaneswar to destinations such

as New Delhi, Kolkata, Chennai, Nagpur, Mumbai and

Hyderabad. In addition, there are 17 airstrips and 16

helipads at several places in the state. The project is

expected to be completed by December 2016.

IndiGo has decided to run one flight each from Biju Patnaik

International Airport to Delhi and Kolkata from September

2016.

In June 2016, Government of Odisha offered subsidy to

international flight operators for introducing direct flights

from Biju Patnaik International Airport to Singapore and

Bangkok. Two Singapore airlines that are showing interest

in flying international flights from Biju Patnaik International

Airport are Tiger Air and Silk Air.

Under the National Civil Aviation Policy, the Airports

Authority of India undertook the revival of air strips in

Jharsuguda, Odisha.

Domestic airport

Source: News articles, Airports Authority of India



PHYSICAL INFRASTRUCTURE – AIRPORTS … (2/2)

Source: Airports Authority of India

Bhubaneshwar aircraft movement (nos.) Bhubaneshwar passenger traffic (million)

Freight handled at Bhubaneshwar (tonnes)

2009-10 2010-11 2011-12 2012-13 2013-14 2014-15 2015-16

1,998 2,667 2,286 3,324 4,022 5,950 7,002

10,70611,728

14,67214,220

11,75212,512

14,036

2009-10 2010-11 2011-12 2012-13 2013-14 2014-15 2015-16

0.83

1.04

1.25

1.39 1.34

1.49

1.89

2009-10 2010-11 2011-12 2012-13 2013-14 2014-15 2015-16


PHYSICAL INFRASTRUCTURE – PORTS


Ports

Major ports • Paradeep

Minor ports• Gopalpur

• Behrabalpur (Balasore)

Gopalpur

(Ganjam)

Paradip

(Jagatsinghpur)

Behrabalpur

(Baleshwar)

Source: Indian Ports Association1During April-November 2015

Paradeep port is connected with the broad-gauge rail link of the

East-Coast Railway and is also served by National Highway-5A.

During 2015-16 (up to December 2015), Pardeep port handled

55.13 million tonnes of cargo traffic. During 2016-17, under the

state’s Sagarmala Programme, Government of Odisha has

proposed to establish an outer harbor to the south of South Break

Water for handling the vessels at the port.

Tata Steel Ltd. acquired majority stake in Creative Port

Development Private Limited (CPDPL), for the proposed

development of “Subarnarekha Port” at Chaumukh village of

Balasore district in Odisha.

Total exports from Paradeep port (‘000 tonnes)

2013-14 2014-15 2015-161

68,003 71,011 48,937

Export volume for Paradeep port

Commodity 2013-14 2014-15 2015-161

Petroleum, oil &

lubricants26.6% 25.7% 26.6%

Iron 3.3% 0.7% 1.0%

Fertilisers 7.0% 4.8% 6.0%

Coal 49.8% 54.9% 52.6%

Container 0.1% 0.2% 0.2%

Others 13.2% 13.8% 13.6%


Odisha is the 1st state in the country to bring in power

sector reforms.

As of August 2016, Odisha accounted for a total

installed power generation capacity of 9,421.52 MW,

comprising 2,488.22 MW under state utilities,

5,145.25 MW under the private sector & 1,788.05 MW

under central utilities.

Of the total installed power generation capacity,

7,103.04 MW was contributed by thermal power,

2,166.93 MW by hydropower & 151.55 MW by

renewable power.

As per budget 2016-17, the state government

announced its plans to allocate US$ 91.65 million for

setting up 550 of 33/11 KV sub-stations during 2016-

17 to ensure uninterrupted power supply to people in

the state.


PHYSICAL INFRASTRUCTURE – POWER … (1/2)


As of 2015-16, 15,539 habitations in addition to 182,602 BPL households were electrified under the “Biju Gram Jyoti Yojana” & the

state government proposed an amount of US$ 38.95 million for this scheme during 2016-17.

Under the Integrated Power Development Scheme (IPDS), the Government of Odisha has provided US$ 7.63 million for the

development of power sector. Moreover, towards the 2 centrally sponsored schemes: Deendayal Upadhyaya Gram Jyoti Yojana

(DDUGJY) as well as Rajiv Gandhi Grameen Vidyutikaran Yojana (RGGVY), the state government has proposed investment of

US$ 15.27 million under each during 2016-17.

As of March 2017, companies like NTPC, Adani Power & JSW Energy are planning to take over coal fired power plants in the state,

which have either started commercial operations or are at very advanced stages of commissioning.

Installed power capacity (MW)

5,378.6 5,996.3

6,946.3 7,721.8

16,8139,421.5 9,421.5

2010-11 2011-12 2012-13 2013-14 2014-15 2015-16 2016-17(1)

Source: Central Electricity Authority1Upto August 2016


PHYSICAL INFRASTRUCTURE – POWER … (2/2)


Segment Company1

Power generation company • Odisha Power Generation Corporation Limited (OPGC)

Power transmission company• Odisha Power Transmission Corporation Limited (OPTCL)

• Central Electricity Supply Utility of Odisha (CESU)

Power distribution companies

• Western Electricity Supply Company of Orissa Limited (WESCO)

• North Eastern Electricity Supply Company of Odisha Limited (NESCO)

• Southern Electricity Supply Company of Odisha Limited (SOUTHCO)

• Central Electricity Supply Utility of Odisha (CESU)

1OPGC, OPTCL and CESU are state government owned. WESCO, NESCO and SOUTHCO are private companies under Reliance Energy

Sonthalia Group, Kolkata plans to set up a 600 MW mega solar park in Odisha. As of November 2016, the group has sought

1,250 hectares of government land on a long-term lease for 35 years.

As of February 2017, for ensuring 24x7 electricity supply of SC, ST ashram schools located in remote areas, the state

government has planned to install solar photovoltaic systems in 147 schools, at an estimated cost of US$ 4.95 million.


In September 2015, six cities of Odisha were announced to be

developed as a smart cities. In August 2015, only two cities were

shortlisted by the Ministry of Urban Development to be developed

as smart cities in the state of Odisha.

In an effort to revolutionise the infrastructure of the state, the state

government decided to revamp two cities namely, Bhubaneshwar

and Rourkela.

As per budget 2016-17, Bhubaneshwar was ranked first in the

Smart Cities challenge among the other 98 cities of the country

and the state government has proposed an amount of US$ 50.92

million for uplifting and developing the city as one of the country’s

upcoming smart cities.

AMRUT AND SMART CITIES … (1/2)


Bhubaneswar

Rourkela

Smart cities in Odisha

Cities Population

Bhubaneswar 840,834

Berhampur 310,976Source: Ministry of Urban Development


AMRUT AND SMART CITIES … (2/2)


9 cities in the state were identified under Atal Mission for

Rejuvenation & Urban Transformation (AMRUT) as of

October 2015.

As per budget 2016-17, for the selected 9 AMRUT cities

of Odisha, the state government has decided to allocate

an amount of US$21.41 million under AMRUT (Atal

Mission for Rejuvenation & Urban Transformation) in

order to deliver these cities with enhanced basic services.

Source: Ministry of Urban Development, Government of India

Classification of AMRUT Cities in Odisha on the basis of

population

Number of AMRUT cities with population less than 1

million 9

Number of AMRUT cities with population

in the range of 1 – 10 million0

Number of AMRUT cities with population

greater than 10 million0

Total number of AMRUT cities 9

Cities/ Towns in Odisha covered under AMRUT

S. No. City/town S. No. City/town S. No. City/town

1. Bhubaneswar town 4. Rourkela town 7. Baleshwar town

2. Cuttack 5. Puri 8. Baripada town

3. Brahmapur 6. Sambalpur town 9. Bhadrak


Telecom infrastructure (as of October 2016)

Wireless subscribers 31,658,619

Wire-line subscribers 290,449

Internet subscribers 9,050,0001

Teledensity (in%) 74.83

Source: Telecom Regulatory Authority of India, Department of

Telecommunications1As of September 2016

As of October 2016, the state had an overall tele-density of

74.83 per cent.

According to the Telecom Regulatory Authority of India

(TRAI), Odisha had 31.65 million wireless subscribers and

290,449 wire-line subscribers, as of October 2016.

By the end of October 2016, 4,974,015 subscribers had

submitted request for mobile number portability in Odisha.

As of December 2015, the state had 8,169 post offices.


PHYSICAL INFRASTRUCTURE – TELECOM


Major telecom operators in Odisha

Bharat Sanchar Nigam Limited (BSNL)

Bharti Airtel

Vodafone Essar

Reliance Communications

IDEA Cellular

Aircel Limited

Tata Teleservices

Performance status of NOFN project

(As of April 2016)

No. of GPs in Phase-I 3,388

Pipes Laid (kms.) 4,748

Cable Laid (kms.) 3,699

GPs for which cable laid 1,629

No. of GPs lit 104


Odisha has an abundant water supply, endowed with approximately 11% of the country’s water resources. Under the State Plan for

providing the water supply across bare and moderately covered urban wards of the state, the state government has projected to

allocate US$ 22.91 million during 2016-17. However, for the preservation of various urban roads as well as water supply projects

under Non-Plan, an allocation of US$ 34.11 million has been made during 2016-17.

As per the budget 2016-17, the Government of Odisha has allocated an amount of US$ 512.84 million under the Housing and Urban

Infrastructure Department during 2016-17. Further, the work on execution of new sewerage projects has been taken up and an amount

of US$ 26.73 million has been proposed by the state government for the scheme of Urban Sewerage in the state.

Further, under the Externally Aided Project (EAP), the state government has decided to provide an amount of US$ 3.05 million for

OUIDF (Odisha Urban Infrastructure Development Fund) of the state. Moreover, under the guidance of JICA, the next phase of Urban

Sewerage and sanitation related EAPs in Cuttack and Bhubaneshwar is being implemented, for which an allocation od US$ 30.55

million has been projected by the state government as per the budget 2016-17.

In order to provide the slums of Berhampur town with urban infrastructure under the guidance of World Bank, an allocation of US$ 6.11

million will be made during 2016-17. Moreover, under the Pradhan Mantri Awaas Yojana (PMAY), the state government has made an

allocation of US$ 46.05 million.


DEVELOPMENT PROJECTS: URBAN INFRASTRUCTURE


Source: JNNURM, Ministry of Urban Development, Government of India, News articles

UIDSSMT: Urban Infrastructure Development Scheme for Small and Medium Towns

State Budget 2016-17


DEVELOPMENT PROJECTS: KEY PUBLIC PRIVATE PARTNERSHIP PROJECTS


Project name Sector Type of PPPProject cost

(US$ million)Stage

Kirtania Port Subarnarekha Mouth Transport Build-Own-Operate-Share-Transfer 334.10Under

construction

Jaipur Cluster ProjectSocial and commercial

infrastructureBuild-Own-Operate 9.55 Operational

Improvement to Putaspanga Bamberi

RoadTransport Build-Operate-Transfer 10.39 Operational

Hop on Hop Tourist Bus TerminalSocial and commercial

infrastructureManagement Contract 3.82

Under

construction

Gopalpur Port Transport Build-Own-Operate-Share-Transfer 992.97 Operational

IT & Commercial Complex (Rourkela)Social and commercial

infrastructureBuild-Operate-Transfer 11.75 Operational

Haridaspur-Paradip Railway Line Transport Build-Own-Operate-Transfer 238.19Under

construction

Astaranga Port Project Transport Build-Own-Operate-Share-Transfer 992.97Under

construction

Water Supply Project (IIT-NISER) Water sanitation Design-Build-Finance-Operate-Transfer 28.68Under

construction

Solid Waste Management (Bhubaneswar-

Cuttack)Water sanitation Design-Build-Finance-Operate-Transfer 30.55

Under

construction

Development of Deep Draught Coal Berth

at Paradip PortTransport Build-Operate-Transfer 62.45

Under

construction

Sambalpur-Bargarh NH-6 Road Project Transport Build-Operate-Transfer Toll 138.86 Operational

Road Upgradation (Sambalpur-Rourkela)

ProjectTransport Build-Operate-Transfer Toll 197.46

Under

construction

Angul Sukinda new railway line Transport Build-Operate-Transfer (BOT) 63.77Under

construction

Source: Ministry of Finance, Government of India



DEVELOPMENT PROJECTS: SEZs AND INDUSTRIAL ESTATES

Source: Ministry of Commerce & Industry, Government of India, IDCO – Odisha Industrial Infrastructure Development Corporation

The state of Odisha has fifteen SEZs as of July 2016, of

which, three are operational, five are notified and seven are

formally approved.

The state has two operational IT SEZ with one located in

Bhubaneswar and the other located in Jatni Tehsil, as of

July 2016. Odisha also has one operational SEZ for the

production and export of aluminum which is located at

Jharsuguda district.

IDCO is the main developer for forty% of the formally

approved SEZs. The state has 86 industrial estates.

As of September 2015, employment was generated for

2,043 people through SEZs in Odisha.

Formally approved SEZs (As of July 2016)

Industry Location SEZs (No)

IT/ITeS Khurda 3

Multiproduct Ganjam 1

Metal based SEZ Jajpur 1

Mineral based industries Ganjam 1

Manufacture & export

Of aluminium Jharsuguda 1

Operational SEZs in Odisha (As of July 2016)

Name Location Industry

Orissa Industrial Infrastructure

Development Corporation (IDCO)Bhubaneswar IT

Orissa Industrial Infrastructure

Development Corporation (IDCO)Jatni IT (Knowledge Park)

Vedanta Aluminium Limited Brundamal and Kurebaga villagesManufacture and export of

aluminium


Educational infrastructure (2014-15)

Medical colleges 8

Dental colleges 6

Engineering colleges 155

MCA colleges 35

MBA colleges (Pvt+ Govt.) 84

Polytechnics/engineering schools 100

Universities 18

Colleges 2,447

As of 2014-15, there were 6 dental colleges, 155

engineering colleges, 35 MCA colleges, 84 MBA colleges

and 100 polytechnics/engineering schools in Odisha. In

addition, their were 8 medical colleges in the state.

The major universities in the state are Utkal University &

Biju Patnaik University of Technology; popular colleges are

Orissa Engineering College & Sriram Chandra Bhanj

Medical College.

The state is also home to premier institutions such as

National Institute of Technology (NIT) Rourkela, Xavier

Institute of Management & National Institute of Science

Education & Research.

Under the Universal Immunisation Programme (UIP), the

Odisha government announced its plans to expand

rotavirus vaccine in Odisha as well other than 4 states pan-

India, as of February 2017.


SOCIAL INFRASTRUCTURE – EDUCATION … (1/2)


Source: Economic Survey of Odisha, University Grants Commission

MCA: Master of Computer Applications, MBA: Master of Business Administration OBC: Other Backward ClassSEBC: Socially and Educationally Backward Class

As per the state budget 2016-17, a provision of US$ 2.04 billion has been made for the School & Mass Education

Department & higher education department during 2016-17. On the basis of growing success of “Distribution of free

bicycles to Class-X students”, the state government has proposed to increase the allocation of bicycles for covering the

students of Class IX and X during 2016-17.

Moreover, for delivering the quality education across SC & ST students of the state in association with the urban

educational institutions, the state government has projected an amount of US$ 1.61 million.


Source: Census 2011

In 2014-15, Odisha recorded a literacy rate of 72.87% out of

which the male literacy rate was 81.59% and the female literacy

rate was 64.01%.

In 2014-15, Odisha had around 35,928 primary schools with

20,427 upper primary schools and 9,400 high schools.

During 2015-16 (up to December 2015), for providing the W—Fi

services in Central University of Orissa, Bhubaneshwar, an

amount of US$ 649.29 thousand was approved by the central

government.

Moreover, for a period of 2012-17, 3 proposals for the

establishment of new universities through clustering of colleges

and 3 proposals for setting up of new universities through up-

gradation of autonomous colleges have been received by the

state.


SOCIAL INFRASTRUCTURE – EDUCATION … (2/2)


Literacy rates (%)

Literacy rate 72.87

Male literacy 81.59

Female literacy 64.01

Odisha primary education statistics (2014-15)

Number of schools

Primary: 35,928

Upper primary: 20,427

High schools: 9,400

School-dropout rate (%)

Primary: 1.97

Upper primary: 2.40

High Schools: 16.49

Pupil-teacher ratioPrimary: 28:1

Upper primary: 24:1

Net-enrolment ratio in

schools (%)

Primary: 93.61

Upper primary: 91.57

Source: Economic Survey of Odisha; Odisha Budget 2016-17, RUSA - Rashtriya

Ucchatar Shiksha Abhiyan


Source: Central Bureau of Health Intelligence, Government of India, Ministry of Health and Family welfare, Economic Survey of Odisha1Per thousand persons, 2Per thousand live births,

Health indicators (2014-15)

Population served per hospital bed 1,386

Birth rate1

19.6

Death rate1

8.4

Infant mortality rate2

51

Life expectancy at birth (year)

Male (2011-15) 64.3

Female (2011-15) 67.3

In 2014-15, the state had 519 ayurvedic hospitals, 9 unani

dispensaries, 413 community health clinics, 1,329 primary

health centres and 80 mobile health units.


SOCIAL INFRASTRUCTURE – HEALTH


Under plan and non plan expenditure, US$ 728.97 million has been allocated for the Health and Family Welfare Department

in the state budget 2016-17. Odisha State Medical Corporation (OSMC) established by the Government of Odisha to supply

free of cost drugs to the health facilities in Odisha. As per state budget 2016-17, US$ 33.96 million was allocated for OSMC to

purchase drugs.

Under National Health Mission, the centrally sponsored scheme instituted by the Government of India to improve the health

care sector, the Government of Odisha proposed to allocate US$ 182.88 million in the state budget for 2016-17.

Moreover, for the development of health care institutions infrastructure in the state, an amount of US$ 116.86 million has been

projected by the state government during 2016-17. The work on construction of five new medical colleges in five districts of

the state has been initiated for which the state government has projected an amount of US$ 93.95 million during 2016-17.

Health infrastructure (2014-15)

Active primary health centres 1,329

Active sub centres 6,691

Active community health centres 413

Active district hospitals 36

Active sub district hospitals 27


CULTURAL INFRASTRUCTURE


There are sports stadiums in Bhubaneswar, Cuttack, and other cities. Badminton, cricket, hockey, tennis, table tennis and volleyball

are the major sports although, other games are also popular.

The main sports arenas are the Barabati Stadium and Jawaharlal Indoor Stadium in Cuttack, the Biju Patnaik Swimming Pool-cum-

Sports Complex and the Kalinga Stadium in Bhubaneswar, a sports complex in Berhampur, and a synthetic hockey surface stadium

in Rourkela.

The key hotels in Bhubaneswar are the Trident Hilton, Kalinga Ashoka and Swosti Plaza. In Cuttack, the key hotels are the Akbari

Continental and Hotel Bishal, while Mayfair Beach Resorts and Panthanivas Puri are the most popular hotels in Puri.

Over the past few years, there has been a gradual development in the tourism industry and cultural infrastructure of the state. On

account of this, the Chief Secretary of the state Sri Pati has taken initiatives to foster the Odia Bhasa Pratisthan to enable the

implementation of Odia in all government transactions. Also, in order to drive maximum footfalls and popularize the Nabakalebara

Festival - 2015, the cultural department for the festival has prepared a media plan to be followed in the subsequent years.

Puri is a beach city famous for hosting the annual temple festival, or the Rath Yatra, which draws a large number of religious tourists.

The state is home to several famous temples, such as the Lingaraj temple and the Kedareshwar temple in Bhubaneswar, Jagannath

temple and Gundicha temple in Puri and the Sun temple in Konark.

Odissi is the major dance form of the state. As per the budget 2016-17, the state government has allocated US$ 37.05 million for the

endorsement of culture, tourism as well as heritage of the state during 2016-17.

Various cultural projects being under taken in Odisha include Odia Virtual Academy, Revival of Bhagabat Tungis, Kalamandal project,

Odia Bhasa Pratisthan, Setting up Odia Chair in different Universities, etc. for which the state government has proposed US$ 0.15

million, US$ 0.45 million, US$ 0.76 million, US$ 0.15 million and US$ 0.30 million, respectively during 2016-17.


INDUSTRIAL INFRASTRUCTURE … (1/3)


As a part of the state government-enacted Orissa

Industries (Facilitation) Act, 2004, a single-window

clearance system was implemented in the state. This was

done with the aim of facilitating the growth of industries

and creating an attractive environment for both domestic

and international investments.

IDCO and NALCO have signed an MoU to develop an

ancillary and downstream aluminium park at Angul over

450 acres of land.

A mega food park is being established near

Bhubaneswar over 282 acres through the PPP mode.

IDCO is the nodal agency for the establishment of this

park.

For industrial development in the state, Government of

Odisha announced plans to invest US$ 18.84 million for

MSME sector. Major initiatives under this investment are-

Biju Atma Nijukti Yojana (BANY)

National Mission on Food Processing(NMFP)

Incentives for food processing industries

Capacity building of entrepreneurs

VAT re‐imbursement

Subsidy under MSME Policy 2009

In December 2016, ITC declared that the company will

establish its consumer goods facility and a five star hotel

in the state, with an investment of US$ 122.21 million.

As per the budget 2016-17, the state government will allocate US$

3.36 million towards the incentives for IPR (Industrial Policy

Resolution). Moreover, for the enhancement of industrial

infrastructure in the state, US$ 1.52 million will be provided as a

financial assistance to IDCO during 2016-17.

Further, the state government has also projected to assign US$

1.52 million under the initiative of BANY (Biju Atma Nijukti Yojana)

during 2016-17.

For the endorsement as well as financial assistance to MSME

units of Odisha, the state government has decide to allocate US$

4.73 million and it has also been decided that for the establishment

of Infrastructure Development Fund (IDF), an amount od US$ 1.52

million will be allocated during 2016-17.

Key industrial zones

Talcher-Angul

Kalinganagar-Duburi

Bhubaneshwar-Khurda

Rayagada-Sunabeda

Gopalpur-Chatrapur

Paradip-Jagatsinghpur

Jharsuguda-Brajarajnagar

Economic Survey of Odisha,

IDCO – Odisha Industrial Infrastructure Development Corporation,

MoU – Memorandum of Understanding




Industrial zones Description

Infocity

• The IT park is spread over 350 acres in Bhubaneswar and has IT companies

such as Infosys, Wipro, TCS and MindTree. Equipped with modern

infrastructure including a nine-hole golf course, it is one of the biggest IT parks

in eastern India. Infocity-II is projected to be spread over 500 acres at Janla.

Fortune Tower

• It has a built-up space of 350,000 sq ft in a hi-tech steel and glass structure

equipped with high-speed connectivity in Bhubaneswar and is home to a

number of IT companies.

Industrial Infrastructure Development

Corporation (IDCO) Tower

• It is a strategically located, 11-storeyed business centre in Bhubaneswar and

has a number of IT/ITeS companies.

Special economic zones (SEZs)

• The Chandaka Industrial Estate in Khurda is an IT/ITeS SEZ developed by the

Orissa Industrial Development Corporation. Nine more SEZs have been given

formal approval and five had been notified by the Government of India.

Technology parks• The Software Technology Parks of India (STPI) has developed software

technology parks at Bhubaneswar, Rourkela and Berhampur.

Mega food park

• The state government is planning to establish a mega food park near

Bhubaneswar over 282 acres in PPP mode. Odisha Industrial Infrastructure

Development Corporation (IDCO) is the nodal agency for establishment of the

park.




Category MSME units (No)

Repairing & services 46,441

Food & allied sectors 27,284

Engineering & metal 13,887

Textiles 9,162

Glass & ceramics 9,257

Forest & wood based 7,572

Miscellaneous manufacturing 6,946

Paper & paper products 3,187

Chemical & allied sectors 3,038

Rubber & plastics 1,858

Electrical & electronics 1,204

Livestock & leather 465


MSME: Micro, Small and Medium Enterprises


Odisha’s industries are based mainly on the natural resources available in the state. It carries more than 35% of country’s natural

resources.

Forest-based products provide livelihood to a large section of the population of the state. Agriculture and allied sectors have

provided employment, directly or indirectly, to more than 60.0% of the state's total workforce.

The state has significant reserves of iron ore, bauxite, nickel, coal, etc. Hence, it is an attractive destination for mineral-based

industries.

The state is one of the top producers of aluminium in the country, both in terms of production capacity as well as actual production.

As of November 2016, Odisha released the draft of its first Biotechnology policy. The state aims to become one of the top five bio-

tech hubs in the country. The state government has proposed to set up a fund with an investment of US$ 3.73 million and provide

land on priority for setting up of biotechnology projects.


KEY INDUSTRIES


Key industries in Odisha

• Iron and steel, and ferroalloy

• Aluminium

• Handloom

• Agro-based industry

• Mining

• IT/ITeS

• Electronics

• Tourism

Source: Economic Survey of Odisha, DIPP, 1Up to October 2015

IEM: Industrial Entrepreneur Memoranda

LOI: Letters of Intent; DIL: Direct Industrial Licenses

Investment intentions in terms of

IEMs filed, LOIs / DILs issued

Year Number Proposed Investments (US$ billion)

2012-13 58 10.55

2013-14 40 16.37

2014-15 27 4.68

2015-161

23 4.02


Odisha being one of the largest producers of iron and steel in the country, accounts for 10 per cent share in the nation’s steel

production. The state also accounts for 25% share in the iron reserves of India. Iron ore production in the state increased from 53.13

million tonnes in 2014-15 to 80.87 million tonnes during 2015-16.

Steel Authority of India (SAIL), a public sector undertaking (PSU) involved in the production of steel, operates Rourkela Steel Plant in

Odisha and was taken up for expansion during the 11th and 12th five year plan. Before expansion, the hot metal, saleable steel and

crude steel producing capacity of the steel plant was 2 million tonnes, 1.67 million tonnes and 1.9 million tonnes, respectively. After

the expansion of steel plant, production capacity of hot metal, saleable steel and crude steel has reached 4.5 million tonnes, 3.9

million tonnes and 4.2 million tonnes, respectively.

Moreover, during 2015-16 (up to December 2015), Rourkela Steel Plant produced 2.30 million tonnes of hot metal, 111 thousand

tonnes of pig iron (for sale) and 1.58 million tonnes for production of finished steel (for sale).

Odisha has substantial reserves of other minerals that go into steel making such as coal, dolomite and limestone.

In addition, there are abundant water resources, adequate power, a reasonably good road and rail connectivity and port facilities at

Paradeep, Gopalpur and Behrabalpur (Baleshwar).

Iron ore (hematite) is found in Dhenkanal, Jajpur, Keonjhar, Koraput, Mayurbhanj, Sambalpur & Sundergarh districts and iron ore

(magnetite) occurs in Mayurbhanj district in the state.

As per state budget 2016-17, for building steel bailey bridges across the remote areas of IAP districts, an allocation of US$ 10.69

million has been proposed by Government of Odisha during 2016-17.

In December 2016, Tata Steel signed an agreement with Brahmani River Pullets Ltd (BRPL), for acquiring 100% equity shares of the

company.


KEY INDUSTRIES – IRON, STEEL AND FERROALLOY … (1/3)


Source: Economic Survey of Odisha, State Budget 2016-17,

MTPA: Million tonnes per annum




Key ferro-alloy industries in Odisha

Producer Product mix

Ispat Alloys, Balasore • Ferro Manganese, Ferro Chrome

Indian Charge Chrome Ltd., Chandwar • Charge Chrome, Ferro Chrome

Ferro Alloy Corp. Ltd., Balasore • Charge Chrome, H.C. Ferro Chrome

Indian Metals & Ferro AlloysLtd.,Rayagara, Karatpur • Ferro Chome, Charge Chrome,Ferro Silicon

Tata Steel Ferro Alloy Plant, Bamnipar, Kendujhar • H. C. Ferro Chrome, Charge Chrome

Tata Steel Ferro Alloy Plant, Rawmet • H. C. Ferro Chrome

Tata Steel Ferro Alloy Plant Goda • Silico Manganese, Ferro Manganese

Ferro Chrome Ltd • Ferro Chrome

Jeypur Sugar Ltd, Jeypur, • Ferro Chrome

Source: News articles




Key players

Tata Steel

POSCO India Pvt Ltd

• Established in 1907, Tata Steel is Asia's first and one of India's largest private sector steel companies.

The consolidated revenue of the company for 2015-16 was recorded to be US$ 17.89 billion.

• It is amongst the lowest-cost producers of steel in the world and one of the few select steel companies

in the world that have a positive Economic Value Added (EVA+). The company has a crude-steel

production capacity of over 30 MTPA. It has set up a new subsidiary, Tata Steel Odisha to lead a new

steel plant costing US$ 7.3 billion in Kalinganagar (Jajpur district) and was inaugurated in November

2015. The company plans to expand its production capacity to 16 million tonnes by 2025.

• A subsidiary of the Korean company POSCO, which is among the world’s top five steel producers,

The multi-product SEZ of the company has been approved in principle. The plant’s first phase will be

completed in 2016-17 and is estimated to cost US$ 12 billion. It will manufacture hot-rolled products

and slabs.

• Visa Steel Ltd is a subsidiary of VISA Infrastructure Ltd. It produces pig iron, coke and chrome ore. In

2015-16, the company recorded consolidated revenues of US$ 199.07 million. It has two

manufacturing facilities in Odisha. The plant at Kalinganagar has an annual production capacity of

225,000 tonnes of pig iron, 400,000 tonnes of coke, 50,000 tonnes of ferro-chrome and 300,000

tonnes of sponge iron. The other plant is in Golagaon, with a chrome-ore beneficiation and grinding

plant, each with a capacity of 100,000 tonnes per annum. The company is operating a 0.5 million ton

per annum (TPA) special steel plant at Kalinganagar industrial complex.

Visa Steel Ltd

• Essar Steel is a global producer of steel and is present in India, Canada, the US, Middle East and

Asia. It has a capacity of 14.2 million tonnes per annum (MTPA) of steel. It is making significant

investments in setting up steel plants across the world. In 2014, company established a 12 MTPA

integrated steel plant at Paradeep in Odisha .

Essar Steel


KEY INDUSTRIES – ALUMINIUM … (1/2)


Odisha ranks first in India in terms of both production

capacity and actual output of aluminium.

Odisha is considered to be the aluminium capital of India

and is an ideal location for setting up aluminium and

aluminum-based companies due to the presence of more

than half of the country’s bauxite reserves, in the state, and

presence of Vedanta, Hindalco and NALCO in Odisha.

Bauxite production in the state increased from 9.3 million

tonnes in 2014-15 to 10.84 million tonnes in 2015-16.

It also has adequate water and power supply for such

industries.

In May 2016, with total investment of US$ 114.57 million,

NALCO and IREL (Indian Rare Earths Limited) have agreed

to establish a one-lakh TPA titanium slag project in the

state’s Ganjam district in the coming years.

Source: Indian Bureau of Mines

NALCO: National Aluminium Company Limited1Up to December, 2014

Bauxite and Alumina production by NALCO

(million tonnes) (2015-16)

Bauxite 10.84

Alumina 1.95


KEY INDUSTRIES – ALUMINIUM … (2/2)


Key players

National Aluminium Co Ltd

(NALCO)

Hindalco Industries Ltd

(HIL)

• NALCO is among Asia's largest and one of the world's leading integrated aluminium complexes.

Its operations include bauxite mining, alumina refining, aluminium smelting and casting, power

generation, rail and port management. The company recorded revenues of US$ 1.04 billion in

2015-16.

• It employs some of the world’s finest technologies used in the aluminium industry. In 2014,

NALCO established an aluminium park in Angul in a joint venture with IDCO.

• Hindalco Industries Ltd recorded consolidated revenues of US$ 15.28 billion during 2015-16.

• HIL is owned by the Aditya Birla Group and is among the world's largest aluminium rolling

companies and one of the biggest producers of primary aluminium in Asia. It acquired the Indian

Aluminium Company Limited (Indal) in 2000. HIL produces 161,400 tonnes per annum (TPA) of

aluminium from its plant at Hirakud.

• Vedanta Resources plc, the London-based holding company of the Sterlite group, is a key

player in the aluminium industry in India. The company recorded revenues of US$ 12.17 billion

in 2014-15. In 2015-16, the company recorded revenues of US$ 4.55 billion.

• Vedanta operates several bauxite mines. It produces aluminium from its Bharat Aluminium

Company Limited (BALCO) and Madras Aluminium Company Limited (MALCO). The company

operates its aluminium refinery at Lanjigarh in Kalahandi. The company also commissioned a

red mud powder plant at the refinery. It has a capacity of 1 MTPA and is in process of 1.5 MTPA

aluminium smelter expansion at Jharsuguda. Work has also commenced on its US$ 8.4 billion

Aluminium project in Niyamgiri in Odisha.

Vedanta Group


Odisha’s SSI is characterised by low capital investment requirement, low gestation periods, high value addition and high export

promotion prospects.

The Odisha State Cooperative Handicrafts Corporation is engaged in strengthening the production base, enlarging marketing

opportunities, encouraging exporters and introducing new designs and technology in the handicrafts sector. According to state

budget 2016-17, an amount of US$ 33.27 million has been proposed for various schemes under the handloom, textile and

handicrafts sectors in the state.

Moreover, the state government also proposed a new scheme under the Odisha Craft Skill Development and Rural Employment

“Utkarsh” project, at an estimated cost of US$ 10.69 million, as per the 2016-17 budget.

The cottage industry in Odisha is involved in paddy processing, cashew nut processing, stone carving, beekeeping and wood

carving. In addition, spices, pulses as well as brass and bell metal products are produced by the KVIC in Odisha. During 2015-16,

125 thousand hectares of area was under cotton production, while the yield of cotton in the state was recorded to be 544 kgs per

hectare.


KEY INDUSTRIES – SSI, HANDICRAFT AND COTTAGE INDUSTRIES … (1/2)



Training Centres controlled by Khadi and Village Industries Commission (KVIC) in Odisha

Training Center Location

Multi Disciplinary Training Centre Bhubaneswar

Sambalpur Silk & Gramodyog Samiti, National Rural Resource Education & Training Centre Deogarh


KEY INDUSTRIES – SSI, HANDICRAFT AND COTTAGE INDUSTRIES … (2/2)


Source: Ministry of Textiles, Government of India

Funds released under National Handloom Development Programme (2014-15) – US$ ‘000

Handloom Marketing Assistance (HMA) 109.49

Training Centres controlled by Khadi and Village Industries Commission (KVIC) in Odisha

Ambedkar Hastshilp Vikas Yojna (AHVY) 1,120.29

Marketing Support and Services (MSS) Scheme 165.48

Human Resource Development (HRD) Scheme 63.65

Infrastructure 36.83

Design 11.94

R&D 11.45

1.15

0.45

0.10

0.57

2012-13 2013-14 2014-15 2015-16

Financial assistance to handloom weavers (in

US$ million)



KEY INDUSTRIES – AGRICULTURE AND FERTILISER INDUSTRIES … (1/4)

Odisha's main agriculture products are rice, pulses, oilseeds, vegetables, groundnut, cotton, jute, coconut, spices, sugarcane, potato

and fruits. There is a vast scope for agro-based industries for rice, lentils, edible oil-milling, dehydration of vegetables, maize-milling,

cattle and poultry rearing, cotton oil, potato chips, coconut oil, sugar mills, mushroom cultivation, non-edible oils and others.

As per budget 2016-17, an amount of US$ 2.01 billion has been allocated to the agriculture department during 2016-17. Further, for

increasing the supply of fertilizers in the state, a new scheme-“Grant to State procurement agencies” is being planned for providing

financial support to procurement agencies, in order to fulfil their handling charges.

Moreover, the state government has also decided to launch a new agri start-up programme in 2016-17, for supporting the efforts

being implemented for the endorsement of agri-entrepreneurship across the state, as per budget 2016-17 of Odisha.

Neev Fund, backed by State Bank Of India, invested about US$ 10 million in Odisha-based dairy start-up ‘Milk Mantra Dairy,’ which

will be used by the company to expand its operations across the state and even other parts of eastern India.

Source: Ministry of Food Processing Industries, Government of India1As of June 2015

Requirement, availability and sales of fertilizers in Odisha (‘000 MT) (2015-16)

Fertilizer Requirement Availability Sales

Urea 660 610 587

DAP 240 172 164

MOP 160 89 89

NPK 380 267 252





Agro Climatic Zone

Agro Climatic Zone Districts Covered Crops

North-Western

PlateauSundargarh, Deogarh

Rice, Greengram, Blackgram, Arhar, Horsegram, Groundnut, Mustard,

Wheat, Potato, Sweet potato, Vegetables, Mango, Banana, Citrus, Litchi,

Guava and Papaya.

North-Central

Plateau

Mayurbhanj, Keonjhar

(Except Anandapur)

Rice, Wheat, Arhar, Greengram, Blackgram, Horsegram, Groundnut,

Linseed, Mustard, Mesta, Niger, Sweet potato, Potato, Chilli, Turmeric,

Ginger, Vegetables, Mango, Banana, Citrus, Pineapple and Sapota.

North-Eastern

Coastal Plains

Balasore, Bhadrak,

Jajpur (Except Sukinda),

(Anandapur)

Rice, Greengram, Blackgram, Mustard, Groundnut, Jute, Sweet potato,

Potato, Chilli, Vegetables, Mango, Banana, Papaya, Guava, Coconut.

East & South

Coastal Plains

Cuttack (Part),

Kendrapara,Jagatsinghpur, Puri,

Ganjam (Part), Khurda,

Nayagarh

Rice, Maize, Greengram, Blackgram, Jute, Groundnut, Mustard, Sesamum,

Horsegram, Vegetables, Potato, Sugarcane, Chilli, Mango, Banana, Coconut,

Guava, Citrus, Cashew.

North-Eastern

Ghats

Ganjam (Part), Gajapati,

Rayagada, Kandhamal,

Boudh

Rice, Maize, Jowar, Ragi, Sugarcane, Horsegram, Greengram, Cotton,

Blackgram, Mustard, Niger, Groundnut, Turmeric, Mesta, Sweet potato,

Chilli, Ginger, Vegetables, Mango, Jack fruit, Citrus, Pineapple, Sapota,

Coconut.

Eastern Ghats

Highland

Nawarangpur (Part),

Koraput (Part)

Rice, Maize, Ragi, Jowar, Small millets, Horsegram, Castor, Arhar,

Gram, Groundnut, Mustard, Cotton, Mesta, Turmeric, Ginger, Sweet

potato, Vegetables, Mango, Jack fruit, Guava, Ber, Cashew.





Agro Climatic Zone

Agro Climatic Zone Districts Covered Crops

South Eastern

GhatsMalkangiri, Koraput (Part)

Rice, maize, ragi, horsegram, wheat, blackgram, greengram,

Groundnut, niger, sesamum, mesta, sweet potato, pea, chilli,

Vegetables, ginger, mango, banana, guava, ber, pineapple, cashew.

Western Undulating

Lands

Kalahandi, Nuapada,

Nawarangpur (Dabugaon)

Rice, maize, wheat, jowar, arhar, greengram, blackgram, horsegram,

Gram, groundnut, mustard, cotton, sugarcane, vegetables, lathyrus,

Onion, mango, papaya, guava, banana.

Western

Central Table

Lands

Bargarh, Subarnapur,

Bolangir, Sambalpur,

Jharsuguda

Rice, wheat, arhar, greengram, blackgram, horsegram, gram,

Groundnut, mustard, mesta, sugarcane, chilli, potato, vegetables,

Mango, banana, guava, ber, cashew.

Mid Central

Table Lands

Dhenkanal, Angul, Cuttack (Part)

& Sunkinda

Rice, maize, greengram, blackgram, arhar, sesamum, groundnut,

Mustard, onion, vegetables, sugarcane, chilli, mango, litchi, citrus,

Guava, sapota, pineapple.




Key players

Sakthi Sugars Ltd

Aska Cooperative

Sugar Industries Ltd

• The company was established in the year 1961 and has a average capacity to crush 19,000 tonnes of

sugarcane a day. The company has four crushing units, three units are located in Tamil Nadu while

one in Dhenkanal district. The Odisha plant has sugarcane processing capacity of 2500 tonnes per

day. The company recorded annual turnover of US$ 125.42 million in 2015-16.

• The company was established in the year 1963. Its plant is located in Aska town of the Ganjam district

in Odisha, 170 km from Bhubaneswar. The cooperative employs 900 people and provides livelihood to

20,000 sugarcane growers in the area. Presently, the plant has a crushing capacity of 2,500 tonnes

per day. The plant also has a distillery and an ancillary unit with a capacity to produce 10,000 bulk

litres of rectified spirit per day by utilizing molasses,

• PPL was incorporated in 1981 as a joint venture between Adventz group company, Zuari Agro

Chemicals Ltd and Maroc Phosphore SA. It is a prime player in the phosphoric fertilisers space. These

fertilisers have applications for a wide range of crops. It has a di-ammonium phosphate (DAP) plant in

Paradeep, which had an annual capacity of 726,000 tonnes. In 2014-15, the quantity of DAP

manufactured by the company stood at 573.9 thousand metric tonnes. The quantity of DAP

manufactured by the company during April-June 2015 stood at 108.4 thousand metric tonnes.

Paradeep Phosphates

Ltd (PPL)

• IFFCO produces and distributes fertilizers to farmers and member co-operatives in India. Its products

include urea and fertilisers, indigenous seeds and chemicals. The revenue of the company was US$

4.1 billion in 2014-15.

Indian Farmers Fertiliser

Cooperative (IFFCO)



KEY INDUSTRIES – MINING … (1/3)

Mineral production

Mineral 2014-15 2015-16

Bauxite (tonnes) 9,191,521 10,839,542

Chromite (tonnes) 2,134,990 3,102,940

Iron ore (thousand tonnes) 53,133,754 80,866,243

Manganese ore (tonnes) 357,299 425,271

Dolomite (tonnes) 460,813 1,035,242

Coal (tonnes) 121,101,800 138,580,000

Graphite (tonnes) 5,134 17,643

Limestone (thousand

tonnes)3,413,260 4,524,561

Pyrophyllite (tonnes) 4,389 4,490

Quartzite (tonnes) 29,817 50,084

Silica Sand (tonnes) 0 421

Source: Ministry of Mines, Government of India

Mineral reserves by districts

District Major mineral

KoraputBauxite, chinaclay, dolomite, limestone, mica,

quartz

Mayurbhanj

Asbestos, fireclay, chinaclay, iron ore, kyanite,

quartzite, soapstone, talc, base metal (lead and

copper), coal, dolomite, manganese, nickel ore,

vanadiferous/ magnetite, gold.

Malkangiri Limestone, tin ore, quartz

Nabarangapur Chinaclay, iron ore

Rayagada Bauxite, graphite, manganese, quartz

SundergarhLead, copper, coal, dolomite, fireclay, iron ore,

limestone, manganese, quartz, bauxite

SambalpurCoal, base metal (lead and copper), chinaclay,

fireclay

Keonjhar

Asbestos, pyroxenite, iron ore, chromite,

chinaclay, pyrophyllite, manganese, gold,

dolomite, limestone, quartzite, quartz

Kadhamal Graphite

Balasore Vanadiferous/magnetite




Coal production in Odisha – thousand tonnes

YearProduction

(thousand tonnes)

2010-11 111,094

2011-12 105,120

2012-13 109,679

2013-14 108,175

2014-15 121,101

2015-16 138,580

Source: Ministry of Mines, Government of India

Department of Steel & Mines, Government of Odisha

Mineral revenue in Odisha (US$ million)

123.0 143.1 172.0 210.9308.7

508.8

700.7867.6 843.2 815.0

1,012.2

2005-06

2006-07

2007-08

2008-09

2009-10

2010-11

2011-12

2012-13

2013-14

2014-15

2015-16

Odisha is one of India’s richest states in terms of mineral reserves. The mineral belt is spread over an area of more than 6000 sq

km. Moreover, the state accounts for more than 35% of total iron ore resources of the country. The key minerals found in the state

are iron, coal, bauxite, manganese, nickel, chromite, limestone, dolomite, graphite, decorative stones, beach sand, china clay, tin

ore, etc.

In January 2017, NTPC's board approved an investment of over USD156.63 million for Dulanga coal mining project at in Odisha,

for an estimated production capacity of 7 million tonnes per annum (MTPA).




Key players

Orissa Mining Corporation

Ltd

Mahanadi Coalfields

Ltd (MCL)

• OMC was established in 1956 to explore and harness the mineral wealth of Odisha. In 1961, it

became a state-owned corporation of the Government of Odisha. OMC has reserves of around

654.9 million tonnes of iron ore, 6.3 million tonnes of manganese-ore, 25.3 million tonnes of

chromite, 19.6 million tonnes of limestone and other minerals. OMC has 35 mining leases (chromite

- 11, iron - 11, iron & manganese - 5, manganese - 3, limestone - 1 and gemstone - 4).

• MCL is a subsidiary of Coal India Limited and was formed in April 1992. It has two coalfields at

Talcher & IB Valley in Odisha. The total raw coal production at MCL in 2011-12 was 103.12 million

tonnes which increased to 121.37 metric tonnes in 2014-15. The company employs around 22,023

people.

• Rungta Mines Limited is the flagship company of the S R Rungta Group. The company specialises

in mining iron-ore and manganese ore. it is also involved in mining of limestone, dolomite, fireclay

and bauxite. In August 2009, the company announced plans to set up a one million tonne cement

plant in Odisha, which will involve an investment of US$ 126.5 million.

Rungta Mines Ltd

• Founded in 1955, FACOR is one of the largest producers and exporters of high-carbon ferro-

chrome and charge-chrome in the world. The company has a large chrome ore mining complex in

Bhadrak, which has the capacity to produce 65,000 tonnes per annum of charge-chrome and

250,000 tonnes per annum of chrome ore. It recorded revenues of US$ 87.64 million in 2015-16.

Ferro Alloys Corp Ltd

(FACOR)


The IT sector is dominated by over 300 SMEs. The sector employs around 12,000 software professionals. In order to attract ICT

investments, the centre is considering a mega project in BhubaNeswar, Odisha.

The state has an ample talent pool to cater to the needs of this industry. It produces 40,000 technical & management professionals

& 50,000 general graduates every year.

In July 2015, the state government announced plans to frame a rural BPO scheme under which subsidies are planned to be offered

for establishing BPO units. In places where STPI (Software Technology Parks of India) stations are situated, employment

opportunities are expected to be generated in the state. STPIs in the state are located in Bhubaneswar, Balasore, Rourkela &

Berhampur. In Odisha, the IT firms registered with the STPI provide employment to about 10,000 people.

Information and Communication Technology Policy-2014 has been formed, aimed at creating employment opportunities for over

60,000 IT professionals in the state, through 2020. Also, the scheme focuses at bringing over 10 leading IT & 5 ESDM companies

to the state.

The state government allocated US$ 50.34 million under state budget 2016-17, for embracing various projects related to IT & e-

Governance under different departments of the state.

In September 2015, the Government of Odisha announced plans to spend US$ 663.57 million over the course of next 5 years for

the development of IT/ITeS/ESDM sector of Odisha. The government aims at creating more than 100,000 job opportunities through

this investment. Increased demand from IT giants such as Tata Consultancy Services, Infosys & Wipro is expected to generate

30,000 jobs over the next 2 years.

IT/ITeS and ESDM rank among the major focus areas under the new Industrial Policy Resolution (IPR – 2015) launched by the

government in November 2015.

As of November 2016, the state announced its plans to sign a pact with the Software Technology Parks of India (STPI) for setting

up 4 new centres at Jajpur, Anugul, Koraput (Jeypur) & Sambalpur.

With launch of interceptor missile at Balasore, Odisha, in February 2017, the country has achieved a milestone by developing a 2-

layer Ballisitc Missile Defence System. With this development, India has also entered the 4-nation group with the ability to secure its

air space against threats.


KEY INDUSTRIES – IT/ITeS AND ELECTRONICS … (1/2)


Source: News articles; STPI: Software Technology Parks of India,

SME: Small and Medium Enterprises BPO: Business Process Outsourcing


KEY INDUSTRIES – IT/ITeS AND ELECTRONICS … (2/2)


Key players

Infosys Ltd

Tata Consultancy

Services (TCS)

• Infosys was set up in 1981. The company recorded revenues of US$ 9.53 billion in 2015-16. It has presence

in the areas of IT consulting, modular global sourcing, process re-engineering and BPO services. The

company has international operations in countries such as Australia, China, Japan, UK, Germany, the US

and marketing and technological alliances with Informatica, IBM, HP, Microsoft, Oracle, etc. As of March

2015, the company had an employee strength of 176,187 globally. In Odisha, it has a world-class

development centre at Bhubaneswar. It has been in Odisha for over a decade, now. The development

centre at Bhubaneswar anchors Infosys’ relationships with clients from Canada, Europe and North America.

• TCS is among the leading Indian IT services, business solutions and outsourcing companies. It had

revenues of US$ 15.77 billion in 2014-15. From April-September 2015, the company recorded revenues of

US$ 8.76 billion. TCS employs over 315,000 people worldwide with a presence in 55 countries. It has

operations in Odisha (in Bhubaneswar) since 2001. The company plans to further strengthen its presence in

the state by 2015-16 and create over 10,000 IT jobs.

• Established in 1945, the company had revenues of US$ 7.82 billion in 2015-16. It has presence in the areas

of IT services, product engineering, technology infrastructure services, BPO and other consulting solutions.

• The company provides services such as application development, deployment and maintenance, business

intelligence and Customer Relationship Management (CRM). The company is based in Bengaluru, and has

72 plus development centres and 50 plus industry specific ‘centres of excellence’ in over 54 countries. In

February 2008, the company set up a development centre in Bhubaneswar.

Wipro Ltd

• Established in 2001, Orisys Infotech is a software development company, which offers services from

system applications to business application development. It is involved in a variety of services, such as

software development, web solutions, e-commerce, multimedia and search engine optimization. The

company is based in Bhubaneswar.

Orisys Infotech Pvt Ltd



KEY INDUSTRIES – TOURISM … (1/2)In 2015-16, 12,067,695 domestic tourists &67,364 foreign tourists visited the state ofOdisha. Odisha has vast potential fordevelopment of tourism. It is one of thecritical sectors of the state’s economy, interms of foreign exchange earnings as wellas employment generation opportunities.

Bhubaneswar, the capital city of the state, isknown as the temple city of India & is hometo about 500 temples. Puri, Bhubaneswar &Konark are the main centres for religioustourism.

As of 2015-16, 350 places of Odisha havebeen recognized as major tourist attractions.

As per state budget 2016-17, the stategovernment allocated US$ 1.52 million fordevelopment & enhancement of eco-tourismin Odisha.

In 2016, Government of Odisha approvedplans to develop 30 eco-tourism places in thestate, at an anticipated cost of around US$3.2 million.

In February 2017, the state governmentsigned a MoU with AirAsia to commencedirect international flights to Malaysia, topromote in bound tourism in Southeast Asia.For the purpose, various new tour packageshave been introduced such as Coastal Trek,Jagannath Trail, Weekend Gateways, CycleTours, Coastal Cruise, etc.

Source: Economic Survey of Odisha, Tourism Report, Government of Odisha,

Ministry of Tourism, Government of India

Total tourist arrivals in Odisha (millions)

4.7 5.3 6.0 6.4 6.9 7.6 8.3 9.1 9.9 10.912.1

200

5-0

6

200

6-0

7

200

7-0

8

200

8-0

9

200

9-1

0

201

0-1

1

201

1-1

2

201

2-1

3

201

3-1

4

201

4-1

5

2015-1

6

Hotel Infrastructure in Odisha (2015-16)

Year No. of Hotels No. of Rooms No. of Beds

High-Spending Group 383 11,903 25,062

Middle-Spending Group 455 9,219 18,924

Low-Spending Group 921 15,264 29,108

Total 1,759 36,386 73,094



KEY INDUSTRIES – TOURISM … (2/2)

The Government of Odisha is increasing its

focus on eco tourism. During 2015-16, the

maximum inflow of domestic tourists was

recorded in December, whereas the inflow of

foreign tourists into the state was maximum in

the month of January 2016. Majority of the

tourist in Odisha come from from West Bengal

and Andhra Pradesh. During 2015-16, these two

states (West Bengal and Andhra Pradesh)

accounted for around 16.31 per cent share in

tourist visits to Odisha.

During 2015-16, total money inflow in Odisha

through tourist spending was recorded to be

US$ 1.93 billion which witnessed an increase of

8.74 per cent from money inflow of US$ 1.78

billion in 2014-15.

The Nabakalebara Festival-2015 was a grand

success due to promotional efforts of the

government.

Under Budget for 2016-17, an investment of US$

37.05 million is proposed for the growth and

development of the tourism sector.Source: Economic Survey of Odisha

Ministry of Tourism, Government of India

The pilgrimage site of Puri has been identified by the Ministry of

Tourism for preservation and maintenance under the Pilgrimage

Rejuvenation and Spiritual Augmentation Drive (PRASAD), which

was launched in 2014-15.

As of November 24, 2015, US$ 8.29 million was sanctioned under

PRASAD for the development of infrastructure in Puri.

Ortel Communications, Odisha’s biggest multi-system operator, to

provide high speed broadband services with an investment of

USD44.62 million to boost the infrastructure in the state

Funds sanctioned under various schemes to promote tourism in

Odisha

Year Number of projects Sanctioned amount (US$ million)

2012-13 2 0.10

2013-14 12 10.85

2014-15 3 10.76



SINGLE-WINDOW CLEARANCE MECHANISM … (1/2)

High-level clearance

authority

District-level single-

window

clearance authority

Under the chairmanship of

Chief Minister of

Odisha

Chief Secretary

District Collector

Industrial Promotion

and Investment

Corporation of Odisha

(IPICOL) (Team

Odisha): State-level

Nodal agency

State-level single-window

clearance authority

Investments handled

District Industries

Centre

Greater than US$

219.4 million

Between US$

10.9 and US$

219.4 million

Less than US$

10.9 million



SINGLE-WINDOW CLEARANCE MECHANISM … (2/2)

The government enacted the Orissa Industries Facilitation Act, 2004, for implementing the single-window clearance system

for faster and one-point clearance of industrial projects, single-point dissemination of industrial project related information

and streamlining inspection of industries by different agencies and authorities.

The District-level Single-Window Clearance Authority works under the chairmanship of the District Collector for projects

involving investment less than US$ 10.9 million.

The State-level Single-Window Clearance Authority is chaired by the Chief Secretary of the state for projects involving

investment of US$ 10.9 million or more, but less than US$ 219.4 million.

A High-level Clearance Authority chaired by the Chief Minister of Odisha examines and considers proposals for industrial

and other projects involving investment of US$ 219.4 million or above.


Agency Description

Industrial Promotion and

Investment Corporation of

Odisha Limited

(IPICOL)

• IPICOL is a key promotional institution. It was incorporated in 1973 with the main objective of accelerating the pace of industrial development by promoting large and medium scale industries.

• In 2014-15, the IPICOL received 26 combined application forms for setting up projects with an investment of US$ 11.97 billion.

Industrial Development

Corporation of Orissa Limited

(IDCOL)

• IDCOL was established in 1962 to promote, establish and run industries in the state.

• The corporation, since its inception, has set up 15 industrial units across sectors including cement, ferrochrome, pig iron and spun pipe.

Orissa Industrial

Infrastructure Development

Corporation

(IDCO)

• IDCO was established with the objective of providing infrastructure assistance for rapid establishment and orderly growth of industry in Odisha.

• The corporation is engaged in multiple activities that foster rapid industrialisation in the state by developing industrial infrastructure.

• In 2012-13, IDCO allotted 352.530 acres of land and sheds to 14 new industrial estates/areas across the state.



KEY INVESTMENT PROMOTION OFFICES … (1/4)


Agency Description

Agricultural Promotion and

Investment Corporation of

Odisha Limited

(APICOL)

• APICOL’s aim is to strengthen the rural economy by providing financial support for promotion and development of agro-based and food-processing industries.

• APICOL provides subsidy to the agro-processing and food-processing units in the state.

• In 2009-10, the corporation promoted 145 commercial agro-enterprises with an aggregate investment of about US$ 24,38,619.77 .

Orissa State Financial

Corporation

(OSFC)

• OSFC is a premier state-level financial institution that was established in 1956 to cater to the needs of industrial development in the state.

• It provides financial assistance to small and medium scale industries in consortium with state-level financial institutions.

• Besides, the corporation also receives financial assistance from the state and central governments, and provides soft loans and margin money for rehabilitation of sick industrial units.

Orissa Pisciculture

Development Corporation

Limited

(OPDC)

• OPDC is the only public sector undertaking in the fishery sub-sector and aims at carrying on business in pisciculture in brackish water areas, freshwater ponds and other water sources.

• It has launched a number of projects such as supplying fishnet, fuel and fish seeds for the economic development of fishermen.





Agency Description

Directorate of Export

Promotion & Marketing

(DEPM)

• DEPM has been set up to promote export of goods from Odisha and to provide marketing assistance to SSI units of the state.

• It disseminates market intelligence, oversees enquiries related to tenders and trade from existing and potential exporters and entrepreneurs.

• It provides guidance in export processing, pricing of export items and on different incentives for exports, granted by the Government of India.

Odisha Small Industries

Corporation Ltd

(OSIC)

• OSIC was established in April 1972, with the main objective of aiding and assisting SSI units in the state for their sustained growth and development.

• The corporation has been extending help for marketing support, financial assistance on purchase of raw materials, providing sub-contracting opportunities in the construction sectors and also rendering various other services to SSI units.

The Orissa State Cooperative

Handicrafts Corporation

(OSCHC)

• Established in 1956, OSCHC is the primary authority engaged in encouraging exporters, enlarging marketing opportunities, introducing new design and technology and strengthening the production base in the handicrafts sector.





Agency Description

Orissa State Electronics

Development Corporation

(OSEDC)

• OSEDC was established in 1981 as the nodal organisation in the state for promotion of electronic industries, both in hardware and software.

Grid Corporation of India

Limited

(GRIDCO)

• GRIDCO is a Government of Odisha undertaking and was incorporated in April 1995 for power transmission.

• In 2005, GRIDCO’s transmission-related activities were transferred to Orissa Power Transmission Corporation.

• Now, GRIDCO is a trading company and is involved in the bulk sale of power to the four power distribution companies in Odisha. It also trades surplus power with neighboring states.

Orissa State Pollution Control

Board

(OSPCB)

• OSPCB is responsible for managing hazardous waste, bio-medical waste, municipal solid-waste, recycled plastics, batteries as well as manufacture, storage and import of hazardous chemicals.

• Its functions are broadly classified under areas such as enforcement, advisory, monitoring, research and facilitation.





Agency Contact information

Directorate of Industries

Killa Maidan, Cuttack-753 001 Phone: 91-0674-2536640

Fax: 91-0674-2536819E-mail: [email protected]

Website: http://www.orissa.gov.in/industries/index.htm

Industrial Promotion and Investment Corporation of Odisha

Limited

(IPICOL)

IPICOL House, Janpath, Bhubaneswar-751 022Phone: 91-0674-2542 601

Fax: 91-0674-2543 766 E-mail: [email protected]

Website: http://www.ipicolorissa.com/



CONTACT LIST


Approvals/Clearances required Departments to be consulted

Incorporation of company Registrar of Companies

Registration/Industrial License/Industrial Entrepreneurs

Memorandum (IEM)

District Industries Centres for SSI, Secretariat for Industrial Assistance

(Government of India) for Large and Medium Industries

Allotment of land Industrial Infrastructure Development Corporation (IDCO)

Permission for land use

(In case industry is located outside an industrial area)

a) IDCO

b) Department of Town and Country Planning

c) Local authority/District Collector

No-Objection Certificate (NOC) and consent under

Water and Air Pollution Control ActOrissa State Pollution Control Board (OSPCB)

Forest and environment clearance Ministry of Forest & Environment, Government of India

Approval of construction activity and building plan Concerned Development Authority

Sanction of electricity Distribution Companies- CESU, NESCO, SOUTHCO, WESCO

Transmission Company- Orissa Power Transmission Corporation Limited (OPTCL)

Water supply Department of Water Resources

Factory and boiler clearance Chief Inspector of Factories and Boilers

Finance Orissa State Financial Corporation (OSFC), IPICOL, Commercial Banks such as

IDBI, ICICI, State Bank of India, etc.

Orissa Value Added Tax (VAT) Act, and Central and

State Excise Act Commercial Tax Department and Central and State Excise Department



KEY APPROVALS REQUIRED


Cost parameter Cost estimate

Industrial land (per sq ft) US$ 2 to US$ 15

Office space rent (per sq ft per month) US$ 0.2 to US$ 2

Residential rent (for a 2,000 sq ft house, per month) US$ 200 to US$ 400

Five-star hotel room (per night) US$ 200 to US$ 450

Power cost (per kwh) Industries: US 7.5 cents to US 10.4 cents

Labour cost (minimum wage per day) US$ 2.5 to US$ 3.41



COST OF DOING BUSINESS IN ODISHA

Source: Ministry of Labour and Employment, Government of India, Industry sources



STATE ACTS & POLICIES … (1/5)

Industrial Policy Resolution (IPR) 2015

• To revolutionise the state of Odisha into a dynamic industrialised territory.

• To attract investments and promote economic growth in the state of Odisha.

Read more

Objectives

Special Economic Zones Policy 2015

• To encourage domestic as well as foreign investments in the state of Odisha.

• To promote economic activities in the state and increase exports from SEZs in Odisha.

Read more

Objectives

The State Reservoir Fishery Policy 2014

• Tapping the potential of aquaculture to contribute to food and nutritional security.

• Boosting the public-private partnership investment across the sector.

Read more

Objectives

http://www.orissafisheries.com/File/comprehansive-REVISED-DRAFT-ODISHA-FISHERIES POLICY 2014.pdf




Odisha Tourism Policy 2013

• To promote sustainable tourism with a view to create employment opportunities and to bring

about socio-economic benefits to the community.

• To promote Odisha as one stop tourism destination.Read more

Objectives

State Agriculture Policy 2013

• To bring in a shift from the present level of subsistence agriculture to profitable commercial

agriculture.

• To promote sustainable agricultural development.Read more

Objectives




JUNE 2016

Information & Communication Technology (ICT) Policy 2014

• Development of new IT/ITeS locations across the state through upgradation of the IT

infrastructure by setting up IT parks.

Read more

Objective

http://www.panthanivas.com/pdf/Odisha Tourism Policy 2013.pdf

http://www.apicol.co.in/State Agriculture Policy 2013.pdf

http://www.bbs.stpi.in/Documents/ICT_Policy_2014.pdf


Odisha Solar Policy 2013

• To promote the use of solar energy in the state in order to support development and address the

problem on energy security.

Read more

Objective




State Youth Policy 2013

• Equal opportunity and experience to enable youth for developing knowledge, skills and

competencies to play an active role in all aspects of the society

Read more

Objective

Odisha State Urban Water Supply Policy, 2013

• To provide universal access to potable piped water supply on 24/7 basis at an affordable price

and in an equitable, sustainable and an eco-friendly manner with verifiable service level bench

mark for citizens in urban areas of the State.Read more

Objective

http://www.orissa.gov.in/sciencetechnology/Odisha_Solar_Policy.pdf

http://www.dsysodisha.gov.in/pdf/osyp_2013.pdf

http://www.urbanodisha.gov.in/(S(zhw2zb452ks2pt45zlwrvg45))/pdf/gazettes_notifications/STATE_URBAN_WATER_SUPPLY_POLICY.pdf


Excise Policy 2009-10

• To adopt excise duty, fee structure and guidelines for the settlement of excise shops and

establishments.

Read more

Objective




Export Policy 2008 (Draft)

• To facilitate rapid and sustainable growth in exports from the state.

• To provide a simple, transparent and responsive regulatory environment for unhindered growth in

exports.Read more

Objectives

Orissa Micro, Small, and Medium Enterprises (MSME) Development Policy 2009

• To enhance contribution of MSMEs in manufacturing and services sector of Odisha’s economy.

Read more

Objective

http://orissa.gov.in/excise/excise_policy/Excise_Policy2009-10.pdf

http://www.orissa.gov.in/industries/pdf/2009/Draft_ policy_of_Orissa-FIEO-Er.pdf

http://www.teamorissa.org/MSME_Dev_Policy_2009.pdf





Water Policy 2007

• To lay down the principles of equitable and judicious use of water for survival of life, welfare of

human beings and sustainable as well as balanced growth of the state.Read more

Objective

Orissa Public Private Partnership (PPP) Policy 2007

• To supplement scarce public resources, create a more competitive environment, help improve

efficiencies and reduce costs. Read moreObjective

MSME Development Policy 2015

• To improve competitiveness in the MSME industry of the state of Odisha.

• To encourage investments in the MSME sector of Odisha. Read moreObjectives

Entrepreneurship Development Policy 2015

• To bring about a change in the mind-set regarding entrepreneurship through

elimination of negative biases towards the sector.

• To support start-ups in the state by providing infrastructure facilities, marketing

assistance and credit. Read more

Objectives

http://www.urbanodisha.gov.in/(S(3ybkzuvjs0rq4zvglb4l3g55))/pdf/gazettes_notifications/STATE_URBAN_WATER_SUPPLY_POLICY.pdf

http://orissa.gov.in/PPP_Policy _2007.pdf




CONFERENCES/SUMMITS FOR 2016-17

Source: India conference alerts


Summit/conferenceVenue of

summit/conferenceDate

One Week National Workshop On Research Methodology in

Social Sciences 16-21 August, 2016 Bhubaneswar 16th August, 2016

National Conference on Skill Development Bhubaneswar 23rd September, 2016

International Conference on Recent Advancement in Air-conditioning and

Refrigeration: RAAR 2016Bhubaneswar 10th November, 2016

International Conference on Role of Media in Democracy Bhubaneswar 25th November, 2016

IMI Bhubaneswar and EGADE Business School, Mexico City

jointly organize International Conference on "Innovation, Market Competition

and Economic Development."

Bhubaneswar 9th December, 2016

International Conference on Advanced Computing and Intelligent

EngineeringBhubaneswar 21st December, 2016

De-centring English Studies: Studying Literature in the Global South Bhubaneswar 20th January, 2016

Source: India Conference Alerts



ANNEXURE

Year INR equivalent of one US$

2004-05 44.81

2005-06 44.14

2006-07 45.14

2007-08 40.27

2008-09 46.14

2009-10 47.42

2010-11 45.62

2011-12 46.88

2012-13 54.31

2013-14 60.28

2014-15 60.28

2015-16 65.46

2016-17 67.23

Average exchange rates

Source: Reserve Bank of India


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DISCLAIMER

odisha state report - march 2017

Economy & Finance