Andhrapradesh is way ahead in attracting investments : Jai CBN

[DiscoKing]

VIJAYAWADA: Brand Amaravati seems to be gaining traction, if industrial investment proposals are any indication. But, not on the expected scale, if one goes by the data available with the Department of Industrial Policy and Promotion (DIPP). In the first nine months of this year, Andhra Pradesh attracted Rs 21,926 crore worth investment proposals - surpassing Rs 21,526 crore and Rs 21,300 crore in 2014 and 2015 respectively.

According to DIPP, the State received 115 Industrial Entrepreneurs Memorandum (IEM) applications so far this year. The figure in 2014 and 2015 is 122 and 135 IEMs. An IEM is an application filed by prospective investors to set up a unit that entails investment upwards of Rs 5 crore in the services sector and Rs 10 crore in manufacturing.

Companies submit an IEM to set up a new industry, or expand existing facilities and after due procedures, the government issues an Industrial License (IL) or Letter of Intent to commence operations.

When one looks at the number of proposals implemented and actual investments, the figures come down drastically (see table). Of the 115 proposals received so far this year, only 58 are being implemented and the actual investment is Rs 8,564 crore.

One way of looking at it is that it is almost double the investments made last year. A comparison with Telangana shows Andhra Pradesh is way ahead of its sibling. Telangana received 110 proposals so far this year and the actual investments amounted only to Rs 2,202 crore.

Telangana and AP, ranked number one in the Ease of Doing Business ranking, are locked in a neck-to-neck race to attract industries. From Rs 6,225 crore investments (117 IEMs) in 2014 in TS, the figure jumped to Rs 19,577 crore (110 IEMs) as on September, 2016 - Rs 2,350 crore less than AP.

With uninterrupted power supply, competitive industrial policy, aggressive promotion and incentives, both TS and AP are going all-out to woo investors. While TS has set itself a target of Rs 1 lakh crore investments in 1-2 years, AP has embarked on an ambitious 5-year target of Rs 12.5 lakh crore.

Prior to bifurcation in June, 2014, investments in both states suffered badly, owing to frequent strikes forcing both small and large industries to halt production, while power shortages dragged down investments.

For instance, investment proposals in AP fell sharply from 343 in 2010 to 122 in 2014, while in volume terms, it plunged 86 per cent from Rs 1,62,574 crore in 2010 to Rs  21,526 crore in 2014.
Similarly, in TS, IEMs slid from 176 in 2010 to 117 in 2014, while proposed investment dipped over 54 per cent from Rs  13,671 crore in 2010 to Rs  6,225 crore in 2014.

During the first half of 2010, united AP was the leading destination and attracted the highest number of proposals pipping Maharashtra, Karnataka, Gujarat and Tamil Nadu.

But amid uncertainty over separate statehood, TS and AP lost sheen leading to a steady fall in IEMs (see table). Also, the percentage of investment proposals from AP to the country’s overall proposals slid from 9.36 per cent in 2010 to 5.31 per cent in 2014, while for TS, it rose from 0.79 per cent to 1.54 per cent.

[DiscoKing]

[LordOfMud]

[Luke]

Ltt 4 langas inka fake ida vesukuni cry xheyyandi

[DiscoKing]

10 minutes ago, Luke said:

Ltt 4 langas inka fake ida vesukuni cry xheyyandi

Nuvvu separate ga chepala modhu gallaki  

[Luke]

2 minutes ago, DiscoKing said:

Nuvvu separate ga chepala modhu gallaki  

flow lo esesqa

[DiscoKing]

37 minutes ago, Luke said:

flow lo esesqa

 

[johnubhai_01]

thank u tughlaq 

[DiscoKing]

1 minute ago, johnubhai_01 said:

thank u tughlaq 

 

[TampaChinnodu]

ITServe came to Vizag no 

[DiscoKing]

30 minutes ago, TampaChinnodu said:

ITServe came to Vizag no 

Hyd headquarters anta ga 

[DiscoKing]

30 minutes ago, TampaChinnodu said:

ITServe came to Vizag no 

Hyd headquarters anta ga 

[amsuraj]

babulu first aa babu ni praise cheyadamu aapdandi already start ayyendi akkada CBN patanam...next time inka notlo matti chetilo kaddi....

 

[Luke]

7 minutes ago, amsuraj said:

babulu first aa babu ni praise cheyadamu aapdandi already start ayyendi akkada CBN patanam...next time inka notlo matti chetilo kaddi....

 

+1 ba next time jagan vastadu

[kiraak_poradu]