Industrial Development & Economic Growth in Gujarat

Latest update: February, 2016

Economic Snapshot: GSDP of Gujarat

Gujarat's gross state domestic product (GSDP) was at US$ 142.38 billion over 2014-15

Economic Snapshot: GSDP of Gujarat

Economic Snapshot: NSDP of Gujarat

Gujarat' net state domestic product (NSDP) was at US$ 120.91 billion over 2014-15

Break up of outstanding investments in Gujarat

 

February, 2016

Gujarat is located on the western coast of India and has the longest coastline of 1,600 km in the country. Gujarat is one of the high growth states in the country. Average annual gross state domestic product (GSDP) growth rate of Gujarat from 2004-05 to 2014-15 was 12.11 per cent. Gujarat has achieved the distinction of being one of the most industrially developed states and contributes about a quarter to India’s goods exports.

There are 13 major industry groups that together account for around 82.05 per cent of total factories, 95.85 per cent of total fixed capital investment, 90.09 per cent of the value of output and 93.21 per cent of value addition in Gujarat's industrial economy.

Gujarat is a leader in industrial sectors such as chemicals, petrochemicals, dairy, drugs and pharmaceuticals, cement and ceramics, gems and jewellery, textiles and engineering. The industrial sector comprises over 800 large industries and more than 453,339 micro, small and medium industries. As of March 2015, Gujarat ranked second in the production of crude oil (onshore) in India. It accounts for around 72 per cent of the world’s share of processed diamonds and more than 80 per cent of diamonds processed in India.

Gujarat has achieved the distinction of being one of the most industrially developed states. Accounting for five per cent of the total Indian population, contributing about a quarter to India’s goods exports. The state ranks first in terms of total area covered under SEZs in India. It is also a leading SEZ state with the highest geographical area of 29,423.9 hectares under SEZ development.

The following are some of the major initiatives taken by the government to promote Gujarat as an investment destination:

  • Gujarat’s Industrial Policy, 2015, offers attractive incentives and concessions for prospective investors.
  • In budget 2015-16, state government has announced plans to invest US$ 458.97 million for the growth of industrial sector of Gujarat. For the development of industrial park, logistic park and a park for defence manufacturing units state government has announced to invest US$ 5.30 million in budget 2015-16.
  • Gujarat has well developed infrastructure. With one major port and 44 non-major ports, Gujarat has the highest number of operational and commercial cargo ports in India.
  • Many upcoming ports are being developed as captive ports to cater to specific company and industry requirements. The state undertakes fast-track clearance in establishment of ports through private participation.
  • The state government has approved interest subvention at the rate of 6 per cent for three years for building godowns on the farms to boost storage capacity in the state. It has also allocated US$ 1.49 billion for Narmada Yojana.

  • The state government has announced plans for the setting up of brown and green field projects to facilitate environment-friendly processing standards in the textile units of the state.
  • The Government of Gujarat has initiated several steps for the development of a worldclass port city at Mundra. The port has a cargo handling capacity of over 200 million tonnes per annum.
Gujarat State Presentation

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Gujarat Map

Gujarat

x IBEF : India Brand Equity Foundation