The Gujarat government, on Friday, announced the new Industrial Policy 2020 with an expected outlay of up to Rs8,000 crore. The Industrial Policy 2015 had come to an end but was extended up to December 31, 2020, due to COVID-19 or until a new policy came into being.
Chief Minister Vijay Rupani said that the new Gujarat Industrial Policy will give a further boost to the economic growth in the state. Among other things, the policy focuses on increasing investment to create more jobs, adoption of new technology to boost production particularly in the manufacturing sector, and innovation in various fields.
The policy also focuses on thrust sectors to boost exports and attract foreign investments. The thrust sectors are from both the core as well as sunrise sectors. Some of the focus core sectors included ceramics, pharmaceuticals, chemicals, and engineering. The sunrise sectors include electric vehicle manufacturing, waste Management, Green Energy among others.
What Rupani said
Rupani said the companies which want to shift their operations from China in the wake of COVID-19 pandemic were welcome to set up base in Gujarat. “In light of COVID-19, several industries are planning to relocate their operations or diversify supply chains, and Gujarat will offer special incentives to such companies,” Rupani said.
“For this, we have had meetings with industry representatives of Japan and the United States. Many companies want to shift their operations from China and we will give them benefits on a case to case basis,” he said.
“To further strengthen the ease of doing business in the state, a framework for `Mega Permission” is being prepared, which requires investors to submit one application form for 26 different approvals,” he said.
Rupani said with the new Gujarat Industrial Policy the state plans to better its standing in terms of Industrial Entrepreneurship Memorandum (IEM). He said Gujarat stands first in terms of the number of IEMs with a 51% share of IEMs filed in India in terms of value in 2019.
The state constituted nine task force committees that met stakeholders before finalizing the policy.