In conversation with Jyoti Bhagat, Assistant Editor, TimesTech Buzz, Mr. Navneet Sehgal, IAS, Additional Chief Secretary, Government of Uttar Pradesh Talks on the Latest Investments under Yogi Govertment.
Times Tech: Latest investment happening in the state of Uttar Pradesh under Yogi Government.
Navneet Sehgal: In the first phase, investment proposals for 81 projects amounting to an investment of more than INR 60,228 Crores were felicitated for Ground Breaking Ceremony 1 in July 2018. These investments have the potential of generating around 2.06 lacs employment in the state. This includes investments by top companies like Reliance Jio Infocom (Rs 10000 Cr), Infosys (Rs. 5,000 Cr), Tata Consultancy Services (Rs. 2,300 Cr), Adani Power (Rs 2500 Cr), Paytm (INR 3,500 Cr), etc.
In the Second phase, investment proposals for 250+ projects amounting to an investment of nearly INR 65,000 Crores were felicitated at 2nd Ground Breaking Ceremony held in July 2019. This included companies like Vivo Mobiles (INR 7,000 Cr), Samsung (INR 1,400 Crores), Haier India (INR 1,000 Cr), Oppo, Vivo, Lava Mobiles, ITC Ltd. (INR 700 Crores), PepsiCo (INR 500 Crores), etc.
This even includes Post Covid19 implementation viz. 34 projects worth approx. Rs 15,893 Crores which have commenced commercial operations, while 23 projects worth approx. Rs 6935 Crores have entered active implementation stage.
The State Government has also attracted more than 96 investment intents, including intents from companies from around 10 countries such as Japan, US, UK, Canada, Germany, South Korea, Singapore, etc. worth around Rs 66,000 Crores through dedicated Helpdesk set up in April 2020.
Times Tech: Tycoons based both in India and abroad have started considering UP as an investment hub, how are you seeing this beneficial for the State?
Navneet Sehgal: The increasing interest of investors in our state is the direct result of the reformed development oriented image of the state in the past 4 years. The testimony to the same is that our investor friendly policies have resulted in the state recording a quantum jump in the Ease of Doing Business to number 2 – an extraordinary jump of 12 positions in last 4 years. It further propels employment in the state.
Times Tech: These investments are taking place in UP due to the industries-friendly policies. Please elaborate on those policies & how they affect the industry sector in the state?
Navneet Sehgal: With the new Industrial Investment and Employment Promotion policy (2017) complemented by around 20 sectoral policies, the government is promoting Start-Ups, young entrepreneurship, innovation and Make in UP.
These include, Food Processing Policy, Electronics manufacturing policy, IT & Start-up policy, MSME policy, Logistics policy, Pharma policy, etc. to name a few.
Government of UP has taken stringent measures to cut power losses and ensure 24X7 quality power supply to our industries. Most importantly, through our policies we are ensuring industrial security. The zero tolerance policy of the State government towards crime has largely transformed law & order situation in UP.
A flagship programme of ‘One District One Product’ was launched in 2018 to protect and promote the local industries of the state. Under this scheme, government is providing facilities like marketing support, technical and skill upgradation support, training and easy loan.
The State Government has notified “Oxygen Production Promotion Policy 2021” in May 2021 to leverage the opportunities of oxygen manufacturing and to make Uttar Pradesh “Atma-Nirbhar” in the production of oxygen.
Under the policy, defined enterprises with the new Industrial Investment and Employment Promotion policy (2017) complemented by around 20 sectoral policies, the government is promoting Start-Ups, young entrepreneurship, innovation and Make in UP.
The Yogi Government implemented the ‘U.P. Food Processing Industry Policy -2017’. Under this policy, all the facilities were given to small and big industrialists and a rebate in capital subsidy and interest was also announced.
Due to the relaxation given in the food processing policy, many proposals for the construction of cold storages, pack houses, onion warehouses, and the establishment of flour mills (grain milling) were made.
Times Tech: According to the statistics released by the Department of Industrial Development, the sector is setting up how many manufacturing units in the state. How will it help in resolving the unemployment issue in the state?
Navneet Sehgal: Uttar Pradesh has emerged as the top investment destination and has received 98 investment proposals worth Rs 13,408.19 crore in the manufacturing sector during the past three-and-a-half years. Big industrialists of the country and abroad are investing in infrastructure, food processing, textile, electronic manufacturing, real estate, power and manufacturing sectors in UP in a big way. Investment proposals in the manufacturing sector include 10 proposals worth Rs 4,250 crore from foreign investors as well as 88 proposals from domestic companies to set up large manufacturing units in the state. This will help provide employment to over 22,000 persons.
The falling unemployment rate in the state is one of the key benchmark of our government’s performance. The current unemployment rate in Uttar Pradesh stands at 6.9 % which is one of the lowest in the country as per the Centre for Monitoring Indian Economy (CMIE). Prior to 2017, unemployment was above 18% and with the arrival of our government and our Chief Minister’s commitment towards ensuring employment, the figures drastically came down to 2.1% in 2017 and till 2020 remained well below 10%.
Important to note, as per 2011 census, UP is the most populous state in India with nearly 24 crore inhabitants, which is over 16 per cent of the country’s population. Uttar Pradesh has worked consistently and constantly to generate employment in the state and the result is quite evident with the figures now standing at 6.9%.