Road shows in Mumbai, held on December 21, paid the richest dividends as it yielded investment proposals worth Rs 1.25 lakh crore. The show was led by the CM himself hard selling Brand UP in the country’s financial capital. It saw the participation of corporate leaders such as Mukesh Ambani, Ratan Tata and Ashok Hinduja. Nearly 200 participants from Reliance, Tata, Mahindra, Essel, Hinduja, L&T, Sun Pharma, Cadila and Torrent groups evinced keen interest in investing in country’s largest state, Reports Vipin Agnihotri, in Governance Democracy & Politics (GDP), January Issue
Yogi Adityanath Government is very much on the front foot to sell ‘Brand UP’ to potential investors at the investment summit to be held in February. However, with proposals worth more than Rs 2.7 lakh crore already under its belt, the state government has already exceeded its investment target. The summit, which is likely to see more than 5,000 delegates, targets to sign memoranda of understanding (MoUs) worth almost Rs 1,00,000 crore with Indian and foreign companies.
As a prelude to the summit, which will be inaugurated by Prime Minister Narendra Modi, road shows were organised in five mega cities — Delhi, Bengaluru, Hyderabad, Mumbai and Kolkata — which have played a pivotal part in assisting the state secure proposals that have already crossed the investment target. The sixth road show would be held in Ahmedabad in mid-January.
Road Shows Did The Trick
If experts are to be believed, the road shows in Mumbai, held on December 21, paid the richest dividends as it yielded investment proposals worth Rs 1.25 lakh crore. The show was led by the CM himself hard selling Brand UP in the country’s financial capital. It saw the participation of corporate leaders such as Mukesh Ambani, Ratan Tata and Ashok Hinduja. Nearly 200 participants from Reliance, Tata, Mahindra, Essel, Hinduja, L&T, Sun Pharma, Cadila and Torrent groups evinced keen interest in investing in country’s largest state.
On an identical note, the Delhi roadshow on December 8 fetched proposals worth Rs 27,000 crore, while the one in Bengaluru, held on December 18, brought Rs 6,000 crore. The Hyderabad road show on December 19 facilitated proposal worth Rs 11,500 crore. Except Mumbai all other roadshows were helmed by UP’s Industrial Development Minister Satish Mahana, accompanied by the bureaucrats.
However, ahead of the summit, CM Yogi Adityanath found it imperative to take industry opinion on investment climate in the state and the steps to be taken to make it robust and investor-friendly. While reassuring the industry over improvement in law and order scenario, security and growth and minimising red tape, Yogi asked industry giants to put forth their suggestions to boost employment generation.
The industrialists, in turn, opened up on a number of issues ranging from requirement of cheap energy accessibility to setting up land banks. They laid emphasis on ‘employment’ rather than ‘investment’ and introduction of traditional industry rather than just focusing on manufacturing. Lots of them asked the government to desist from frequent transfer of officers dealing with industrialists.
Furthermore, they also want the state government to plan industrial units evenly across districts and urged the CM to provide benefits and facilities announced by the previous governments. They sought special focus on agricultural marketing, tourism industry, food processing and upgrade of storage and warehouse facilities since Uttar Pradesh is a state with a huge agricultural produce.
It is worthwhile pointing out that more than two dozen US companies had evinced keen interest on investing in UP in October last year. A 50-member delegation, representing 26 major US firms, had even had a detailed interaction with the state government in this regard.
Yogi Government Approves Startup Policy 2017
The UP state cabinet has finally given a go ahead to the State IT and Startup Policy 2017-2022, ahead of the UP Investors Summit. According to the policy page, the Uttar Pradesh Startup Policy will give thrust to ‘START IN UP’, to nurture startup culture using INFUSE model (INcubators – FUnd of Funds – Startup Entrepreneurs). Various incentives shall be provided by the Government to incubators, startups and investors funding UP-based startups.
Energy Minister Shrikant Sharma has already said in media that incentives in accordance with the provisions of Uttar Pradesh Industrial Development and Employment Promotion Policy would be provided for setting up new MSMEs and startups. The new policy will also help provide startups necessary lands at cheaper rates. The policy provides for setting up of industrial parks and estates of over 20 acres.
Recognised startups shall be provided sustenance allowance of (INR 15,000) per month for a period of one year at the idea stage. At the pilot stage, startups shall be provided marketing or commercialisation assistance of upto (INR 10 Lakhs) to launch its prototype product and services in the market at the Pilot stage.The cost of filing and prosecution of the patent application will be reimbursed to the incubated startup companies subject to a limit of (INR 2 lakh) per Indian patent awarded and $15739.36 (INR 10 lakh) per Foreign awarded patents. The government will also play an active role in setting up incubation programmes and Centre of Excellence, essential pillars of the startup ecosystem, says the policy.
