Skip to main content

Assocham says Gujarat investment declined 54.5% amid Vibrant claims of Rs 25 lakh crore worth proposals

By Our Representative
An analysis put out by one of India’s top corporate bodies, the Associated Chamber of Commerce and Industry (Assocham), has sought to reveal that Gujarat’s industrial investment proposals on year-on-year basis have declined by a whopping 54.5%. The analysis is considered significant, as it seeks to indirectly contrast what happened at the Vibrant Gujarat business summit, where a claim was made that the state had attracted a whopping Rs 25 lakh crore worth of investment proposals, highest ever.
As against Rs 25 lakh crore, Assocham analysis said, during January-September 2014 Gujarat received just about Rs 31,788 crore worth of investment. This is, it added, as against more than double as much -- Rs 69,847 crore – investment received during January-September 2013.
The industry body’s analysis is based on analysis of industrial entrepreneurial memorandums (IEMs), letters of intent (LoIs) and direct industrial licenses (DILs), released by the Government of India’s Department of Industrial Policy and Promotion.
The analysis, significantly, comes amidst Prime Minister Narendra Modi’s effort to strongly showcase Gujarat as the model of development for the country through the Vibrant Gujarat investment summit. Not only Gujarat; India under Modi, Assocham contended a fortnight ago (January 7), has considerably slowed down. Thus, country received investment proposals worth Rs.362,805 crore in January-September 2014, a drop from Rs.451,643 crore in the corresponding period of 2013.
It is not known what made Assocham come up with such a short-period analysis, which is generally not considered advisable for investment proposals. Experts believe, investment proposals may take a stride in a particular year, but may go down in another, depending on the type of projects proposed. Hence, they are not credible. It is advisable to take a longer duration analysis, say of five years, while calculating investments.
Assocham did not stop here. It went ahead by declaring that Chhattisgarh has acquired “lion’s share” of about 45 per cent in the total amount of proposed investments in India, with Rs 1,61,836 crore, during January-September 2014.
This is, it said, nearly 420 per cent over the corresponding period of January-September 2013. “Other states, which registered significant growth in terms of proposed investments, were Punjab (184 per cent), Karnataka (166 per cent), Himachal Pradesh (108 per cent) and Assam (25 per cent)”, it , suggesting Gujarat, on the other hand, registered a decline.
Assocham "analyses" come a week after it officially sharply criticized the Modi Cabinet's decision to peg the reserve price for 900 MHz spectrum above the telecom regulator's recommendation, declaring, “it will not only impact consumers but also affect the government's Digital India initiative.” It wrote a letter to Prime Minister Narendra Modi saying the move would impact growth and expansion of quality networks.
"The industry is deeply concerned with the Cabinet's decision to raise the reserve price for 900 MHz spectrum," media reports quoted Assocham as saying. The reserve prices for the proposed auction of spectrum in the 900 MHz band in 18 service areas was increased by the Cabinet by 32.5% over the reserve prices recommended by the Telecom Regulatory Authority of India.

Comments

TRENDING

Whistle-blowing IPS officer Sanjiv Bhatt's wife suspects foul play after truck hits her car

By Nachiketa Desai*
Paranoia has seized Shweta Bhatt, wife of suspended Indian Police Service (IPS) officer Sanjiv Bhatt, after the car she was driving was rammed in broad day light. According to Shweta Bhatt, it was beacon light-flashing truck without registration number plate. The incident took place on January 7, just a day ahead of the Gujarat High Court was scheduled to take up the bail application of Sanjiv Bhatt, arrested last year for "involvement" in a 23-year-old case.

Call to support IIM-Bangalore professor, censured for seeking action against Uniliver

Counterview Desk
Sections of the Indian Institute of Managements (IIMs) across India have strongly reacted to the decision to censure Dr Deepak Malghan, a faulty at IIM-Bangalore. Prabhir Vishnu Poruthiyil, who is faculty at IIM-Tiruchirapalli, has sought wider solidarity with Dr Malghan, saying, "The administration has censured Deepak for merely suggesting a meaningful action against Hindustan Unilever for their abysmal environmental record" by “disinviting” it for campus placement.

Morari Bapu, who has installed new statues of Ram, Laxman, Hanuman without weapons

By Sandeep Pandey*
A saint is one who can give some inner peace by his/her voice. This will happen only when s(he) will talk about love and harmony. Morari Bapu is one saint who has been conveying the message of love, peace, harmony, fraternity, etc. Today when a number of saffron clad figures with aggressive posture, spewing venom, fanning hatred to polarise voters are at the forefront of politics of Hindutva it is a relief to see Morari Bapu in a different mould.

Rejoinder: Worldwide anxiety post-Fukishima is fading, slowly and steadily

By Dr KS Parthasarathy* 
EAS Sarma, former Secretary, Government of India (GoI) in a letter addressed to the Secretary, Department of Atomic Energy (DAE), GoI, stated that, there has been "worldwide anxiety about the consequences of catastrophic nuclear accidents, either due to manual lapses or natural calamities" (Counterview, December 2, 2018). "In the recent years, globally, the pace of growth of nuclear power has escalated in leaps and bounds, causing a great deal of public concern and apprehension."

99% MGNREGA funds "exhausted", Govt of India makes no additional sanctions: Study

Counterview Desk
A letter, addressed to Prime Minister Narendra Modi, and prepared by senior activists led by Aruna Roy on behalf of the Peoples’ Action for Employment Guarantee (PAEG), and signed, among others, by 80 members of Parliament, has regretted that, despite repeated public statements by his government promising employment and job creation that will boost the country’s growth, the country’s only employment guarantee programme, Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA), “is being systematically undermined.”

Nuclear reactors sought from French giant "not safe": Letter to Modi on Jaitapur project

Counterview Desk
Amidst reports that the French nuclear giant EDF has submitted a “techno-commercial offer” for the world’s largest nuclear power park proposed in Maharashtra’s Jaitapur nuclear power park in Jaitapur on the Maharashtra coast, Dr EAS Sarma, India’s former Union Secretary in the Minister of Power, and an eminent voice in the civil society, has written an open letter to Prime Minister Narendra Modi, who also heads Department of Atomic Energy (DAE),  protesting the move.

World Bank clarifies: Its 26th rank to India not for universal access to power but for ease of doing business

By Our Representative
In a major embarrassment to the Government of India, the World Bank has reportedly clarified that it has not ranked India 26th out of 130 countries for providing power to its population. The top international banker’s clarification comes following Union Power Minister Piyush Goyal’s claim that India has “improved to 26 position from 99” in access to electricity in just one year.

Kerala land being acquired using "draconian, anti-people" National Highway Act, 1956

Counterview Desk
In a letter Chief Minister of Kerala Pinarayi Vijayan, senior activists and politicians have insisted that the Kerala government should not agree to "inhuman displacement and buid-operate-transfer (BOT) Toll system", imposed by the Government of India and the National Highway Authority of India, for widening the current National Highway (NH) 66.

Kaiga NPP expansion: Karnataka to get just 400 MW, but lose thick forest, fresh water

Counterview Desk
In an open letter to the chairman and members of the Atomic energy Commission (AEC) on the issue of Kaiga nuclear power plant (NPP) expansion plan in Karnataka, Shankar Sharma, well-known power policy analyst, has argued that that in case of expansion, the site will face “exponential increase in radiation emission risks”, underlining, “Nuclear safety experts identify such a scenario as enhanced risk for NPPs with multiple reactors and shared technical facilities."
Sharma says the questions that also be asked whether Karnataka should lose more than 54 hectares of thick forests and about 152,304 cubic meters of fresh water per day from Kali river for a meager benefit of 400 MW from the Kaiga NPP, for which “there are many benign alternative options available for the state at much lower overall costs to the state.”
Text of the letter: This has reference to the public hearing under the Environmental Impact Assessment (EIA) Rule 2006 of Ministry of Environment, Fore…

Uttarakhand High Court: Biodiversity boards can impose fees on Ramdev's Divya Pharmacy

By Mridhu Tandon
In a significant decision, the Uttarakhand High Court on December 21, 2018 has dismissed the writ petition filed by Divya Pharmacy founded by Baba Ramdev and Acharya Balakrishnan, challenging the demand of the Uttarakhand Biodiversity Board (UBB) imposing fees under the provisions of the Fair and Equitable Benefit Sharing (FEBS).