Haryana

HARYANA
November 2010
HARYANA
November 2010
Investment climate of a state is determined by a mix of factors

Skilled and cost-effective labour Labour market flexibility Labour relations Availability of raw materials and natural resources Procedures for entry and exit of firms Industrial, labour and other government regulations Certainty about rules and regulations Security, law and order situation
Resources/Inputs
Incentives to industry

Investment climate of a state
Regulatory framework
Tax incentives and exemptions Investment subsidies and other incentives Availability of finance at cost-effective terms Incentives for foreign direct investment (FDI) Profitability of the industry
Physical and social infrastructure Condition of physical infrastructure such as power, water, roads, etc. Information infrastructure such as telecom, IT, etc. Social infrastructure such as educational and medical facilities
HARYANA
November 2010
Contents
Advantage Haryana State economy and socio-economic profile Infrastructure status State policies and incentives Business opportunities Doing business in Haryana
ADVANTAGE HARYANA Haryana November 2010
Haryana State profile
Covering an area of 44,212 sq km, Haryana surrounds the national capital city, New Delhi, from three sides. Chandigarh is Haryanas capital city. Punjab also has its administrative capital in Chandigarh. Haryana has 21 administrative districts. The Yamuna river flows along Haryanas eastern boundary. Other important seasonal rivers flowing through the state are the Ghaggar and Markanda. Haryana has, predominantly, extreme and dry climatic conditions, with temperature reaching up to a high of 45-50C in the summer months (April-June) and falling to about 1C in winter (December-January). Gurgaon, Faridabad, Karnal, Ambala, Panipat and Kurukshetra are the key districts of the state. The most commonly spoken languages are Hindi and Punjabi. In most schools, the medium of education is English.
Source: Maps of India
Advantage Haryana (1/2)
Industrial state
Haryana is an industrial state and has emerged as a base for the knowledge industry including IT and biotechnology. It is also a leading agricultural state of the country. Many large Indian and multi-national companies have set-up offices in the state because of good infrastructure and proximity to Delhi.
Policy and fiscal incentives

The state offers a wide range of fiscal and policy incentives for businesses under the Industrial Policy, 2005. Additionally, the state has sector-specific policies, particularly, on IT and tourism.
Rich labour pool

Haryana has a large base of skilled labour, making it an ideal destination for knowledge-based and manufacturing sectors. Further, the state has a large pool of semi-skilled and unskilled labour for support services.
Advantage Haryana (2/2)
Facilitating infrastructure
The state has well-developed social and industrial infrastructure, and virtual connectivity. It is among the states with good physical infrastructure such as power, roads and railways.
Strategic location
Around 40 per cent of the National Capital Region (NCR) of Delhi falls in Haryana. The NCR Board, under the Ministry of Urban Development, Government of India, decides on common development of cities falling in the NCR, thereby, facilitating seamless trade and commerce.
Stable political environment

The state has a stable political environment with a single party State Government. Successive State Governments have been committed to creating a progressive business environment.
Haryana in figures (1/2)

Parameter Economy GSDP as a percentage of all states GSDP Average GSDP growth rate (%)* Per capita GSDP (US$) Physical infrastructure Installed power capacity (MW) GSM cellular subscribers (No) 5,070.5 9,942,014 159,398.5 456,586,162 Central Electricity Authority, as of March 2010 Cellular Operators Association of India, as of June 2010 3.9 14.9 1,598.8 100.0 11.8 992.5 CMIE, as of 2007-08, current prices CMIE, 2000-01 to 2007-08, current prices CMIE, as of 2007-08, current prices Haryana All-states Source
Broadband subscribers (No)

National highway length (km) Airports (No) Social indicators Literacy rate (%)
88,558
1,512 3#
4,981,976
70,548 133
As of October 2008
Ministry of Road Transport & Highways, Annual Report 2008-09 Airport Authority of India
67.9
64.8
Census of India, 2001 Ministry of Health and Family Welfare, RHS Bulletin, March 2008
Birth rate (per 1,000 population)

*Calculated in Indian rupee terms #Civil aerodromes
23.0
22.8
Haryana in figures (2/2)

Parameter Ease of doing business FDI inflows (US$ billion) Outstanding investments (US$ billion) Industrial infrastructure PPP projects (No) SEZs (No) 8 32 515 363 www.pppindiadatabase.com Notified as of July 2010, www.sezindia.nic.in 23.7* 85.1 120.2 1,972.6 Department of Industrial Policy and Promotion, April 2000 to May 2010 CMIE, as of March 2010 Haryana All-states Source
PPP: public private partnership, SEZ: special economic zone, *FDI inflows for RBIs New Delhi region, which includes Delhi, parts of Uttar Pradesh and Haryana
Parameter Policy support Sectors with specific policies Availability of labour
Haryana Government
Industry (overall), IT and ITeS, Tourism Adequate skilled labour available
Key industries with policy thrust and factor advantages

Industry attractiveness matrix High
IT and ITeS Food processing Auto components Real estate and Construction Textile
Petrochemicals
Policy thrust
Biotechnology
Medium
Low
Medium Factor advantage
High
*Factor advantages include benefits due to geographical location and availability of factors such as talent pool, natural resources and capital
HARYANA
November 2010
Contents
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STATE ECONOMY AND SOCIO-ECONOMIC PROFILE Haryana November 2010
Socio-economic snapshot of Haryana

Parameters Capital Geographical area (sq km) Administrative districts (no) Population density (persons per sq km) Total population (million)* Male population (million) Female population (million) Decadal population growth rate (%)* Sex ratio (females per 1,000 males)* Literacy rate (%) Male (%) Female (%) Average life expectancy (years)
*As per Census 2001 Source: Economic Survey of Haryana, 2009-2010
Haryana Chandigarh 44,212 21 478 21.0 11.3 9.7 28.4 861 67.9 78.4 55.7 67.7
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Haryanas GSDP
At current prices, the total Gross State Domestic Product (GSDP) of Haryana was about US$ 44.2 billion in 2009-2010. The states GDP grew at a CAGR of 14.9 per cent between 1999-2000 and 2009-2010.
Haryanas GSDP
2009-10 2008-09 2007-08 2006-07 2005-06 2004-05 2003-04 2002-03 2001-02 2000-01 1999-00 0.0 10.0 44.2 39.7 38.4 31.0 23.6 20.7 19.0 15.9 13.6 12.0 11.0 20.0 30.0 CAGR 14.9%
40.0
50.0
US$ billion Source: CMIE
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Haryanas NSDP
At current prices, the Net State Domestic Product (NSDP) of Haryana was about US$ 40.8 billion in 2009-2010. Haryanas NSDP grew at a CAGR of 14.9 per cent between 1999-2000 and 20092010.
Haryanas NSDP
2009-10 2008-09 2007-08 2006-07 2005-06 2004-05 2003-04 2002-03 2001-02 2000-01 1999-00 0.0 40.8 36.6 35.2 28.4 21.5 18.9 17.4 14.6 12.5 11.1 10.2 10.0 20.0 30.0 CAGR 14.9%
40.0
50.0
US$ billion Source: CMIE
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The tertiary sector has the highest share in Haryanas economy
The tertiary sector is the largest contributor to Haryanas economy. It grew at an average rate of 10.4 per cent between 1999-2000 and 2009-2010; driven by trade, hotels, real estate, transport and communications. At an average growth rate of 15.8 per cent the secondary sector has been the fastest growing during the period 1999-2010. Its growth was driven by manufacturing, construction, electricity, gas and water. The primary sector grew at an average rate of 10.4 per cent between 1999-2000 and 2009-2010.
Percentage distribution of GSDP

39.5
CAGR
10.4%
48.7
28.4 30.1
15.8% 10.4%
32.0 1999-00 Primary Sector Secondary Sector
21.2 2009-10 Tertiary Sector
Source: CMIE
The fishing segment in the primary sector registered a high annual growth rate of 16.7 per cent in 2009-2010.
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Per capita GSDP
The states per capita GSDP in 2009-2010 was US$ 1,778.8 as compared to US$ 540.9 in 1999-2000. The per capita GSDP increased at an average rate of 12.6 per cent between1999-2000 and 2009-2010. District-wise distribution of per capita income indicates fairly equitable distribution across all districts.
Per capita GSDP
2,000.0 1,800.0 1,600.0 1,400.0 (US$) 1,200.0 1,000.0 800.0 600.0 400.0 200.0 0.0 635.2 728.4 851.3 911.6 1,021.7 1,315.6 1,598.8 1,625.1 1,778.8
540.9
575.9
1999-00 2000-01 2001-02 2002-03 2003-04 2004-05 2005-06 2006-07 2007-08 2008-09 2009-10
Source: CMIE
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Consumer expenditure on household goods and services
Haryana is ahead compared to all-India in share of per capita expenditure on education.

With regards to share of expenditure on food, durable goods and medical, the state is comparable to the all-India level.
Share of average monthly per capita expenditure on household goods and other services
50.0% 40.0% 30.0% 20.0% 10.0% 0.0% Food Education Medical Durable goods 7.1% 9.1% 5.2% 4.5% 4.2% 4.3% 39.6%39.3%
Urban
60.0% 50.0% 40.0% 30.0% 20.0% 10.0% 0.0%
52.3%
50.0%
Rural
3.7% 6.1%
6.3% 5.5%
4.0% 3.6% Durable goods
Food
Education All-India
Medical Haryana
All-India
Haryana
Source: Household Consumer Expenditure in India, 2007-08 NSS 64th Round
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Key industries in Haryana
The natural resources, policy incentives and infrastructure in the state support investments in sectors such as automobiles and auto components, IT/ITeS, textiles, agro-based industries, business tourism and commerce. Forming industrial clusters and developing infrastructure has been a key strategy of the state to attract investments in various industries. Gurgaon, Faridabad, Sonepat, Panchkula, Ambala, Yamuna Nagar are the key industrial districts of Haryana. Haryana State Industrial and Infrastructure Development Corporation Limited (HSIIDC) is the state's premier industrial promotion agency, responsible for providing reliable and efficient facilities for entrepreneurs investing in the state.
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Key industries in Haryana

Automotive Agro-based industry IT/ITeS Textiles Oil refining Bicycles Sanitary ware Scientific instruments Tourism
Haryana is among the three largest food-grain producing states in India
Wheat, sugarcane, rice, cotton, rapeseed and mustard are the key agricultural products of the state.
Wheat*
Crop
Annual production in 2008-09 (000 tonnes) 10,085.0 5663.0 3,019.0 1,440.0 658.0 490.1 360.0 347.9 15.0
In 2008-09, the total production of major crops of the state was over 22.1 million tonnes. Wheat accounted for 41 per cent of the total production of the major crops. It was followed by sugarcane (36 per cent) and rice (12 per cent). In 2007-08, Haryana was among Indias three largest states producing wheat, rapeseed and mustard.
Sugar cane Rice* Cotton* Rapeseed and mustard* Potatoes Guar seed* Onions Arhar*
*As of 2007-08 Source: CMIE
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Investments and FDI inflows
According to the Reserve Bank of India, FDI inflows from April 2000 to May 2010 amounted to US$ 23.7 billion*. As of March 2010, outstanding investments in the state were at US$ 85.1 billion. The construction sector accounted for the largest share at 60.9 per cent, followed by services (21.3 per cent) and electricity (14.2 per cent). Key projects under execution include an integrated refinery-cum-petrochemical complex of Indian Oil Corporation, a coal based super-critical thermal power project of Aravali Power, two coalbased power projects of Haryana government, a basic telecom-services-project of Tata Teleservices, and an engineering special economic zone (SEZ) project of Raheja SEZs Limited.
Source: Department of Investment Promotion and Policy, Government of India
Break up of investments
0.3%1.4% 0.6% 1.4% 21.3%
Services (other than financial) Electricity
Construction
Chemicals
14.2%
Textiles
60.9%
Food & beverages Others
Source: CMIE
Others include non-metallic mineral products, metal and metal products, machinery and irrigation
*RBIs FDI data for RBIs New Delhi-region includes Delhi, part of Uttar Pradesh and Haryana
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Haryanas exports trends
Steel product exports have given a major push to the states exports.
Other key exports of the state in 2009-2010 were IT services, textiles, gum, electrical goods, shoes and dairy products. The setting-up of SEZs has also helped increase exports in the state.
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HARYANA
November 2010
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INFRASTRUCTURE STATUS Haryana November 2010
Road network
Haryana has 24,218 km of roads with nearly 1,512 km of National Highways*. It is among the few states with 100 per cent connectivity of rural areas with metalled roads. Haryana Roadways, with its fleet of nearly 3,411 buses, is among the biggest state road transport undertakings in the country. National Highways, NH-1, NH-2, NH-8, NH-10 and NH-22, pass through the state.
*Includes 44 km length covered by eastern peripheral expressway, which is being constructed near Uttar Pradesh and Haryana. Source: Economic Survey of Haryana, 2009-2010
Road map of Haryana
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Railway network
Haryana has a railway-route length of roughly 1,595 km. Kalka, Kurukshetra, Rohtak, Jind, Hissar, Ambala, Panipat and Jakhal are the important railway stations.There is a railway workshop at Jagadhari. The Delhi Metro, a rapid transit system serves Delhi, Gurgaon and Noida. The Rapid Metro Rail Gurgaon is scheduled to be completed by 2013 and will be connecting Sikanderpur to Belvedere Towers.
Source: NCR Planning Board Report
Source: www.haryana.gov.in
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Airports and urban infrastructure

Airports
There is a domestic airport at Chandigarh and civil aerodromes at Pinjore, Karnal, Hissar, Bhiwani and Narnaul. The Indira Gandhi International Airport at New Delhi is located close to Gurgaon and Faridabad.
Urban infrastructure
Under the Jawaharlal Nehru National Urban Renewal Mission (JNNURM), four projects costing US$153 million have been sanctioned for Faridabad.
International airport
The projects are for execution between 2006-2010. Some of the key areas of development are water supply, storm-water drainage and solid-waste management.
Source: JNNURM, Ministry of Urban Development
Domestic airport Civil aerodrome
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Telecom infrastructure
Haryana had about 9.9 million GSM cellular subscribers as of June 2010. There were 88,558 broadband subscribers, as of October 2008. The tele-density of Haryana is 59.7 per cent as of March 2010. As of March 2009, the state had 1,258 telephone exchanges. There are 2,329 post offices in the rural areas and 317 in urban areas.
Telecom infrastructure GSM cellular subscribers: 9,942,014^ Wireless Subscriber base: 14,134,799** Wire-line Subscriber base: 822,416** Telephone exchanges: 1,242* Internet/broadband subscribers: 88,558^^ Rural post offices: 2,329* Urban post offices: 317* Telephone exchanges: 1,258*
Sources: Economic Survey of Haryana, 2009-2010,Telecom Regulatory Authority of India, Cellular Operators Association of India *As of 2009 **As of March 2010 ^ As of June 2010, ^^As of October 2008
Major telecom operators in Haryana

BSNL Bharti Airtel IDEA Cellular Vodafone Essar Reliance Communications Virgin Mobile Mobile Tele Systems India (MTS India) Etisalat DB Telecom
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Power (1/3)
As of March 2010, Haryana had a total installed power generation capacity of 5,070.5 MW: 3,572.1 MW owned by the state government, 1,490.6 MW by the central government and 7.8 MW by the private sector. State-owned capacity comprised 69.2 per cent of coal-based power plants and 28.6 per cent of hydropower plants. All of the private-sector controlled capacity was based on renewable energy sources. Domestic consumers account for about 77 per cent of power consumption; agriculture and industry are the two other prominent consumer segments.
Installed power capacity
6,000.0 5,070.5 5,000.0 4,590.3 3,934.0 3,989.9 29% Coal Gas Diesel 69% 4,530.3 4,000.0
Mode-wise classification of installed power capacity

2%
MW
3,000.0
2,000.0 1,000.0 2005-06 2006-07 2007-08 2008-09 2009-10
Source: Central Electricity Authority
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Power (2/3)
Haryana has been a state with 100 per cent rural electrification since 1970. In its Annual Plan, 2009-2010, the Haryana Government has given an outlay of US$ 302 million to improve generation and power availability. Of this, about US$ 1.7 million has been provided for the development of renewable energy sources.
Operational projects
Source: Haryana Power Generation Corporation Limited
Proposed projects

1,050 MW gas-based project at Faridabad. 660 MW capacity thermal unit at Yamuna Nagar. 2,800 MW (4x700 MW) nuclear power plant near Fatehabad.
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Power (3/3)
Projects under implementation

Segment Power generation Power transmission and distribution
Company name Haryana Power Generation Corporation Limited (GENCO) Haryana Vidyut Prasaran Nigam Limited (HVPNL) Dakshin Haryana Bijli Vitran Nigam (DHBVN) Subsidiary of HVPNL Uttar Haryana Bijli Vitran Nigam (UHBVNL)
2x600 MW Rajiv Gandhi Thermal Power Project (RGTPP) at Khedar, Hisar. 3X500 MW Indira Gandhi Super Thermal Power Project (IGSTPP), at Jhajjar. 1,320 MW Mahatma Gandhi Thermal Power Project, at Jhajjar.
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Key public private partnership projects

Name of project Panipat-Jalandhar Rohtak-Panipat Rohtak-Bawal Delhi-Haryana border to Rohtak Badarpur elevated highway Ambala-Zirakpur Zirakpur-Parwanoo Panipat elevated highway
Source: pppindiadatabase.com BOT: Build-operate-transfer
Sector Roads Roads Roads Roads Roads Roads Roads Roads
PPP type BOT-Toll BOT-Toll BOT-Toll BOT-Toll BOT-Toll BOT-Toll BOT-Toll BOT-Toll
Project cost (US $ million) 497.4 179.3 144.4 105.7 73.9 64.8 64.1 58.7
Stage Construction Construction Construction Construction Construction Construction Construction Construction
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Education sector
The state has a strong primary-education infrastructure with a primary school located within a 1.1 km radius of each village and a middle-school within 1.2 km radius. In 2008-09, there was at least one higher- and seniorsecondary school located in a 2.3 km radius. In the states Annual Budget, 2009-2010, allocation for education was significantly increased to US$ 253.9 million from US$ 11.1 million in 2006-07. An Indian Institute of Management (IIM) has been established at village Gharnavti in the Rohtak district. The Central Government is setting-up the Rajiv Gandhi Education City at Kundli (Sonepat). Institutions of excellence for higher learning/research are being set-up in the Education City.
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No of educational institutions in 2009 State universities Engineering colleges Computer applications colleges 5 61 34 56 27 82 355 75 94 428
Business administration colleges Pharmacy colleges Polytechnics
Under-graduate colleges Post-graduate colleges Government-aided colleges Technical institutions
Sources: Economic Survey of Haryana, 2009-2010, All India Council for Technical Education (AICTE)
Health infrastructure
As of 2009, Haryana had 46 hospitals, 91 community health centres, 427 primary health centres, 2,465 sub-centres, 20 district tuberculosis centres and 56 dispensaries. In the Annual Budget, 2009-2010, allocation for health services was US$ 44.6 million.
Medical institutes in Haryana Post Graduate Institute of Medical Education and Research, Rohtak. Medical College, Agroha. A new medical college has been proposed exclusively for girls at Khanpur Kalan (Sonepat) and another one is planned for Mewat.
Sources: Economic Survey of Haryana, 2008-09 and 2009-2010
Health indicators Birth rate (2008)* Death rate (2008)* Infant mortality rate (2008)** Male Female 23.0 6.9 54.0 65.5 70.0
Life expectancy at birth (years: 2006-2011)
Sources: Economic Survey of Haryana, 2009-2010, Ministry of Health and Family welfare, Sample Registration System 2008, Government of India *Per thousand persons **Per thousand live births
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Industrial infrastructure
The state has taken a number of initiatives for developing industrial infrastructure to achieve consistent economic growth. An industrial model township is coming up at Manesar, near Gurgaon. It is being developed as an automotive and engineering-hub. Historically an agrarian state, Haryana is now a well developed industrial state. HSIIDC is the state's premier industrial promotion agency. It is responsible for providing reliable and efficient facilities for entrepreneurs investing in the state.
Proposed industrial model townships (IMT) IMT Rohtak IMT Faridabad IMT Kharkhoda IMT Jagadhari
Mega-projects planned by HSIIDC
Reliance Haryana SEZ through equity participation Nano City, Raipur Rani KMP Expressway on build-operatetransfer (BOT) basis
Source: HSIIDC website
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SEZs and industrial clusters (1/4)
As of March 2010, the state received 100 proposals for setting-up special economic zones (SEZs), with a projected investment of over US$ 45.0 billion and employment potential for more than 2 million persons. Of these, 66 proposals have been granted inprinciple/formal approval by the Government of India. As of July 2010. the state had 45 formal approvals, 17 in-principle approvals and 32 notified SEZs.
Sources: Haryanaindustries.nic.in, sezindia.nic.in, HSIIDC website
S.No 1 2 3 4 5 6 7
Promoters of SEZs: planned or under construction Reliance Industries Limited at Gurgaon and Jhajjar DLF Universal Limited at Gurgaon Unitech Commercial Limited at Kundli D. S. Construction at Palwal (Faridabad) Raheja Haryana SEZ Developers, Dharuhera Nanocity at Panchkula European Technology Park Petrochemical Hub at Panipat DLF Universal Limited at Ambala
8 9
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Index Operational SEZ Notified SEZ
IT/ITeS Mittal Infratech
IT/ITeS Anant Raj Industries Limited Ansal Kamdhenu Engineering SEZ
Multi-Services Reliance-Haryana SEZ Limited
IT/ITeS DLF cyber city DLF Limited Gurgaon Infospace Limited
As of July 2010 Source: sezindia.nic.in
IT/ITeS Selecto Systems Private Limited Perpetual Infracon Private Ltd. Espire Infrastructure Corporation
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SEZ (notified) in Gurgaon IT/ITeS Uppal Developer Dr Fresh Health Private Limited Luxor Cyber City Private Limited Parsvnath SEZ Limited Suncity Haryana SEZ Metro Valley Business Park Private Limited GHI Finlease Canton Buildwell Private Limited Unitech Realty Projects Limited Ascendant Estates Private Limited Ansal SEZ Projects Limited Progressive Buildstate Private Limited Sunwise Properties Private Limited Investments and Properties Limited Private Limited Airmid Developers Limited
Mikado Realtors Private
Textiles: Orient Craft Biotechnology: Mayar Infrastructure Development Limited Engineering: Raheja Haryana SEZ Developers
Source: sezindia.nic.in
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Industrial clusters in Haryana
Index Textile and handloom Automotive Engineering IT and ITeS Petrochemicals Agro-based industry
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Infrastructure investments
Infrastructure investments in Haryana were over US$ 8.4 billion, as of March 2010. Over 76 per cent of the infrastructure investments were in the area of power generation and distribution. About 18 per cent of the investments were in the roads sector, while another 6 per cent were in the railways sector.
Infrastructure type Power*
Investments (US$ million) 6,366.8 1,511.0 483.0 8,360.8
Roads Railway Total
*Generation and distribution As of March 2010 Source: CMIE
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Existing industrial estates (1/2)

Name of the estate/location
IMT Manesar (Phase-1 is developed, Phases II, III and IV are under development) Growth Centre, Bawal (Phase-1 is complete, Phase-II is being developed)
Brief description

Located at a distance of 50 km from Delhi, on NH-8 and about 32 km from the Indira Gandhi International Airport (IGI). Focuses on hi-tech and hi-precision non-polluting units such as automotive, readymade garments, ITeS and packaging. Located on NH-8, about 90 km from New Delhi. Key companies in the centre include Yoshida Kogyo Kabushibibaisha (YKK), Alchemist Metals Limited (Formerly known as TDT Copper), Exide, Becton Dickinson, Nerolac, Svelda and Ashai Glass. Located on NH-8, about 6 km from IGI. Focuses on industries from the IT/ITeS, electronics, electrical goods, pharmaceuticals, light engineering, auto parts and component, and ready-made garments sectors. Maruti Udyog, a leading car manufacturer of India, has its base in Udyog Vihar. Located on NH-1 on the Delhi-Haryana border, in Sonepat district. Has industrial units from the general engineering, cycle parts, dairy products and agro-based sectors.
Udyog Vihar, Gurgaon
Kundli (Phases I, II and export promotion industrial park (EPIP) are complete, further expansion has been planned).
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Existing industrial estates (2/2)

Estate/location Faridabad Murthal Ambala Brief description

Located about 20 km from New Delhi, on the Delhi-Mathura highway. Has industrial units from the light engineering sector. Located about 50 km from New Delhi, on NH-1. Has industrial units from the general engineering, malt, chemicals and cycle parts sectors. Located about 200 km from New Delhi, on NH-1. Has industrial units from the scientific instruments, electronic and light engineering sectors. It also has a United Nation Development Program (UNDP) assisted instrument design and development centre. Located about 50 km from New Delhi. Has industrial units from the agriculture implements, foundry and light engineering sectors. Located about 120 km from New Delhi. Has process house and light engineering units. Located about 70 km from New Delhi. Has light engineering and foundry units. Located about 35 km from New Delhi. A food park has been developed here. Located at about 210 km from New Delhi, very close to Panchkula.
Tohana Jind Samalkha Rai (expansion is being planned) Barwala (expansion is being planned)
Other industrial estates under implementation are ancillary estates at Panchkula, Kalka, Murthal, integrated infrastructure development centre at Sirsa, built-up sheds near Sohna, and estates at Mankaputa in Yamuna Nagar.
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Upcoming industrial estates

Estate/location Kundli (expansion project) Brief description

Land has been acquired and the development work is in progress. Located about 40 km from Delhi. HSIIDC has acquired land for setting up an industrial estate in Bahadurgarh (Jhajjar district). Located about 180 km from Delhi. Land has been acquired and developed, of which about 17 per cent has been developed for the food processing industry. A hosiery and textile park already exists in Barhi near Ganaur, in Sonepat district, industrial complex is being planned as part of expansion.
Bahadurgarh
Industrial Growth Centre, Saha Hosiery complex in Barhi (expansion is being planned)
In addition, three more townships are being planned at Sampla, Badli-Jahangirpur and Ganaur-Samalkha.
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Cultural infrastructure
Various dance forms of the state include phag, dhamal, ratvai, khoria, ghoomar and ganguar. Important festivals of the state are lohri, basant panchami, holi, gangore, baisakhi, nirjala akadshi, gugga naumi and navrathri. Fairs held in Haryana include Gopal-Mochan, Masani, Basdoda,Surajkund and the Kartik Cultural Festival.
Museums in the state include Urusvati museum of folklore (Gurgaon), Sanskriti museum (Gurgaon), Museum of folk and tribal art (Gurgaon), Sri Krishna museum (Kurukshetra) and City museum (Chandigarh).
Prominent stadiums in the state include Tejli Sports Complex (Yamunanagar), Nahar Singh stadium (Faridabad),Tau Devi Lal stadium (Panchkula) and Nehru Stadium (Gurgaon). Kingdom of Dreams is Indias first live entertainment and leisure destination located in Gurgaon. The Epicentre in Gurgaon has been developed as an arts and culture centre.
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STATE POLICIES AND INCENTIVES Haryana November 2010
Sector-specific policies (1/9)

Haryana Special Economic Zone (Amendment) Act, 2010 Aim: To amend the Haryana Special Economic Zone Act, 2005 Amendment: Stamp duty paid by the developer in respect of the transactions of immovable property entered into, after the commencement of the Haryana Special Economic Zone (SEZ) Act, 2005 but prior to the notification of the area as SEZ shall be refunded after the SEZ is notified. Haryana Special Economic Zone (SEZ) Act, 2005 Aim: To promote industrial townships with world-class infrastructure and create a conducive investment climate for export promotion. Key requirements: Approval from the Project Approval Committee, which approves, modifies or rejects the application for setting-up the SEZ. The developer is bound to provide rehabilitation of population by providing built-up houses, residential plots and amenities. Key incentives: Exemption from payment of any tax, duty, fee, cess and other levies provided. The following units are exempt from payment of any tax, duty, fees, cess or any other levies under any existing state law: Any goods exported out of or imported into the SEZ. Inter-unit transaction of goods within the SEZ. Goods from the SEZ sent for value addition to the domestic tariff area and returned to the SEZ thereafter, and Services that provide value addition to a product within the SEZ. All transactions and transfers of immovable property or documents related thereto within the SEZ are exempt from stamp duty payment.
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Haryana Tourism Policy, 2008 Aim: To increase the earnings from tourism inflow at the rate of 10 per cent, annually, and promote sustainable tourism by encouraging a constructive and mutually beneficial partnership between the public and private sectors for economic development and employment generation. Policy focus:
To promote tourism as a major engine of economic growth and capitalise on the potential of sustainable tourism for economic and employment generation. To acknowledge the critical role of private sector in development of tourism with the government working as a proactive facilitator and catalyst. The objective is to broaden and diversify the concept of tourism from only highway-tourism to ecotourism, adventure-tourism, pilgrim-tourism, farm-tourism, golf-tourism, medical-tourism and heritage-tourism, etc., in order to meet new market requirements. To enhance the infrastructure, particularly, in the NCR. To enhance professional excellence in training human resources and providing infrastructure for human resource development. Develop a sustained and effective marketing strategy and plan.. To use technology to achieve the goals mentioned above.
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Haryana Tourism Policy, 2008 (continued) Key incentives: Incentives for new mega-projects :
Mega projects with investment of US$ 21.7 million and above or any project employing more than 500 persons irrespective of investment would be extended the facility of financial assistance to be quantified at 50 per cent of the tax paid under the Haryana Value Added Tax Act, 2003, for a period of seven years from the date of start, as interest-free loan repayable after a period of five years from the date of grant of loan. Exemption from Local Area Development Tax (LADT) for a period of five years.
Incentives for new small projects:
Hotel/tourism projects with investments up to US$ 600,000 would be extended financial assistance in the shape of interest-free loan to be quantified at 50 per cent of the tax paid under the Haryana Value Added Tax Act, 2003, for a period of five years from the start-date, to be repayable after a period of five years.
Exemption from electricity duty:
Exemption from electricity duty to the new tourism/hotel projects for a period of five years from the date of release of electric connection or from the date of eligibility.
45

Industrial Policy, 2005 Aim: To provide an efficient and investor friendly environment with speedy clearances of new projects, and encourage private sector participation in developing infrastructure. Key features and initiatives:
Developing economic-hubs and encouraging PPPs in the development of infrastructure. Focusing on commercial activities where the state enjoys comparative advantage (such as food processing and IT). Developing the services sector (i.e., tourism, transport, education, healthcare and financial services). Creating an investor-focused approach in administrative processes and strengthening the grievance-redress mechanism. Providing subsidy to electronics units, agro and food processing units, and projects being set-up in the backward areas. Exemption from payment of electricity duty for a period of five years to all new industrial units except those on the negative list.
46

Industrial Policy, 2005 (continued) Key incentives:
Incentives for mega projects in backward areas:
Mega projects, with investment of US$ 21.7 million and above or any project therein, employing more than 500 persons irrespective of investment would be extended assistance of 50 per cent of the tax paid on the sale of goods produced by such industrial units, under the Haryana Value Added Tax Act, 2003, for a period of seven years from the date of start of commercial production, as interest-free loan repayable after a period of five years from the date of grant of loan. Exemption from Local Area Development Tax Act (LADT) for a period of five years.
Incentives for small scale industries (SSI) in backward areas:
New SSI units in the backward areas would be extended the facility of financial assistance in the form of interest-free loan of 50 per cent of the tax paid on the sale of goods produced in such industrial units, under the Haryana Value Added Tax Act, 2003, for a period of five years from the date of start of commercial production, to be repayable after a period of five years.
Incentives for exporting units:
In order to boost exports and enhance competitiveness of exporting units, subsidy shall be given up to 1 per cent of the free-on-board (FOB) value of exports, subject to maximum of US$ 200,000 per annum.
47

Industrial Policy, 2005 (continued)

Incentives for food processing industries: Food processing industries, except those in wheat and rice, will be considered as seasonal industry and exempted from payment of minimum demand charges for electricity. No market fee shall be levied on agriculture and horticulture produce used as raw material by food processing industries within the state, except rice, wheat, mustard oil and cotton.
Interest-free loan of 75 per cent of the tax paid on the sale of goods produced in such industrial units shall be given under the Haryana Value Added Tax Act, 2003, for a period of five years from the date of start of commercial production. This would be repayable after a period of five years.
Charges for change of land use for food processing units shall be levied at 50 per cent of normal rates in state-declared backward areas. Wines, liquors, brandy, etc., made from 100 per cent fruits produced in the backward areas will be exempt from the excise duty. Special priority shall be given for release of electric connection to mega projects, 100 per cent export-oriented units (EOUs), IT industries and FDI projects.
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Information Technology Policy (IT Policy), 2000 Aim: To encourage replacement of traditional public-service delivery systems by IT-driven governance, with the private sector providing the infrastructure, framework and enabling environment. Key initiatives: Constitution of a state-level steering committee responsible for developing priority sectors to be taken-up for computerisation, progress review of various government departments and approval of related budget.
Setting-up of a separate secretariat for IT to monitor implementation of IT initiatives. Setting-up of a facilitation committee of State Government officials and people from the IT industry to coordinate and facilitate private investments in the industry. Establishing an IT-initiative fund, with an initial corpus of US$ 2.1 million for e-governance, to develop replicable and reusable models of e-governance and application of enabling technologies. Preferential treatment for allotment of land and power to IT units in all industrial areas, exemption from payment of duty on electricity for captive-power sets installed by the IT industry. Escort services and single-desk clearance for obtaining easy clearances and approvals, with on-line clearance and support network linking all the related departments.
49

IT Policy, 2000 (continued) Key incentives:
Preferential allotment of land for the IT industry: The State Government shall give preferential treatment for allotment of land to the IT industries on an ongoing basis in all industrial areas developed by state agencies. Continuous uninterrupted power supply for IT industry: The state government shall endeavour to provide continuous and uninterrupted power supply for IT industries and shall exempt them from scheduled power cuts. Encouragement to captive power generation in IT parks/IT locations shall be given. Facilities on generator sets: Captive power-generation sets installed by the IT Industry will be eligible for total exemption from payment of electricity duty without any time limit. Liberal change of existing industry to IT: The state government shall permit setting-up of IT software units/IT parks in urban areas and change of existing industry to IT/IT parks. Floor area regulation (FAR): Relaxation in FAR shall be permitted up to 100 per cent for IT units and in all IT parks. Clearances and support : Escort services and single desk clearance for obtaining easy clearances and approval from various government departments shall be facilitated for the IT industries. On-line Clearance and Support Network (OCSN) will be established linking all the related departments/organisations. The secretariat for IT shall coordinate approvals and facilitation.
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IT Policy, 2000 (continued)
Key incentives:
Rebate on registration and transfer of property charges and exemption from stamp duty on a tapering scale shall be given for sale/ lease of built-up space to the IT Industry establishing facilities in private software technology parks (STPs), government STPs, and IT parks. The rebate would be applicable on the combined levy of registration fee, stamp duty and transfer of property duty. This concession would be available only for the first transaction, when the first sale by the infrastructure company is made to an IT industry.
Sales tax concession to new units and for expansion/diversification will remain same as already provided for in the Industrial Policy. IT software industry will be totally exempted from payment of sales tax. The applicable rate of sales tax on computers and computer peripherals shall be reduced to 0.25 per cent. IT software and IT services shall be considered as a priority sector by the state-level financial institutions for lending assistance. IT software industry shall be exempted from the purview of no objection certificate (NOC) and consent regime of the Haryana State Pollution Control Board, except in respect of power generation sets of more than 10 kilo Volt ampere. Self-certification/exemption for the IT software industry shall be permitted regarding requirement of the Factories Act, employment exchange (Notification of Vacancies Act), Payment of Wages Act, Minimum Wages Act, Contract Labour (regulation and abolition) Act , Workmen Compensation Act , Haryana Shops and Establishments Act and Employees State Insurance Act.
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HARYANA
November 2010
Contents
Company logos cited in this section are registered trademarks of the respective companies
52
BUSINESS OPPORTUNITIES Haryana November 2010
Automotive industry
Haryana is a preferred destination for auto majors and auto-component manufacturers, and the state is a host to many large automotive players. The state produces half of the passenger cars and two-wheelers in the country.
Key players

Maruti Suzuki Hero Honda Motors Limited
Honda Motorcycle and Scooter India

Sona Koyo Steering Systems Yamaha Group Escorts Munjal Showa Delphi Automotives Systems Private Limited
A significant percentage the states workforce is engaged in the automotive industry; important automobile centres are Gurgaon and Faridabad.
The International Centre for Automotive Technology (iCAT) has been set-up at Manesar as a part of the National Automotive Testing and Research and Development (R&D) Infrastructure Project (NATRIP). It provides testing and R&D services to the industry.
Talbros Automotive Components

Rico Auto Industries Omax Auto Motherson Automotive Technologies & Engineering Asahi India Safety Glass General Motors India Private Limited
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Automotive company profiles (1/3)

Maruti Suzuki India
Maruti Suzuki India has a market share of over 50 per cent in the Indian passenger car market. Its Gurgaon facility has three integrated plants with a production capacity of 630,000 cars per year, the fourth plant is at Manesar. The Gurgaon plant will eventually serve as a base for engine assembly and machining, while automobile assembly is done at the Manesar plant. Hero Honda is worlds single-largest motorcycle company. It has built two world-class manufacturing facilities at Dharuhera and Gurgaon, with an annual production capacity of 3 million bikes per year. HMSI is a100 per cent subsidiary of Honda Motor Company, Japan. It has a factory at Manesar with an installed capacity of 600,000 scooters and 400,000 motorcycles per annum. The cumulative investment of the company in the state has reached US$ 124 million. It has established its R&D facility at Gurgaon; one of three such facilities, globally. Escorts is a leading engineering conglomerate in high growth sectors of agri machinery, construction and material handling equipment, railway equipment and auto-components. It has its corporate headquarters and manufacturing facilities for tractor assembly, transmission and engines, crankshaft and hydraulics in Faridabad. Yamaha Motors is a100 per cent subsidiary of Yamaha Motor Company Limited, Japan. The company has around 2,000 employees and has a countrywide network of over 400 dealers. It has manufacturing plant in Faridabad, which supplies bikes to the domestic as well as overseas market.
Hero Honda Motors Limited
Honda Motorcycle & Scooter India (HMSI)
Escorts
Yamaha Motors
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Sona Koyo Steering Systems
Sona Koyo Steering Systems is one of the large manufacturers of steering gears in India, with a 50 per cent market share. It is a leading supplier of hydraulic power steering systems, manual rack and pinion steering systems, collapsible, tilt and rigid steering columns, rear axle assemblies and propeller shafts. It has a manufacturing facility in Gurgaon. Delphi is a100 per cent subsidiary of the US based, Delphi Automotives. The Haryana facility is in Gurgaon and manufactures catalytic converters and evaporator canisters and has one of the large operations of its kind in the country. Talbros is a manufacturer of automotive and industrial gaskets in India. The companys manufacturing facilities in Haryana are located at Faridabad, Gurgaon, Bawal and Sohna. Munjal Showa manufactures shock absorbers and struts for leading two-wheelers and four-wheelers. It has a manufacturing plant in Gurgaon. Omax Auto is among the top domestic auto-ancillary players in India. It manufactures sheet metal, tubular and machined components and sprockets for two-wheelers and fourwheelers at its two plants in Dharuhera (Haryana).
Delphi Automotive Systems Private Limited Talbros Automotive Components
Munjal Showa
Omax Auto
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Motherson Automotive Technologies & Engineering (MATE)
MATE is a division of Motherson Sumi Systems Limited (MSSL). It specialises in manufacturing large-size injection moulding, blow moulding, compression moulding and vacuum forming. MATE also manufactures a wide-range of plastic components for the automotive and the non-automotive industry. The manufacturing capacity of MATE is located at Manesar in Gurgaon. Asahis product range includes basic glass, tinted, reflective, mirror, auto and some other new products and services. The office of Asahi is located at Global Business Park, Mehrauli-Gurgaon Road in Haryana. The company caters to the glass products requirement of the automotive industry. Rico is an engineering company supplying a range of high precision fully machined aluminum and ferrous components and assemblies to automotive original equipment manufacturers (OEM) across the globe with a turnover of US$ 187 million during 2009-2010. Rico is headquartered at Gurgaon and has a plant at Dharuhera, both situated in Haryana. General Motors India Private Limited, founded in 1995, is a wholly-owned subsidiary of General Motors and is engaged in the automobile business in India. Its subsidiaries are Opel India Private Limited and Chevrolet Sales India Private Limited. The company employs around 4,000 people. It has its headquarters in Gurgaon.
Asahi India Safety Glass Limited
Rico Auto Industries
General Motors India Private Limited
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IT/ITeS industry
Gurgaon has emerged as a preferred destination for the IT Industry in north India.

Key players IBM Daksh Convergys India Services Genpact Tata Consultancy Services WNS Wipro Infotech Evalueserve Accenture Technology Solutions Microsoft Google Oracle Polaris Holdings Limited HCL Hughes Communications India Limited Alcatel-Lucent IBM Siemens National Informatics Centre
Haryana is among the leading states in terms of IT exports. In 2008-09, software exports were valued at US$ 4.7 billion.
Haryana is the first state to have implemented its state wide area network (SWAN) for voice, data and video transmission.The SWAN vertical connectivity at the state network management centre, district network management centres (DNMC) and block network management centres (BNMC) has been completed and is in operation.
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IT/ITeS company profiles (1/5)

IBM Daksh
IBM Daksh is a leading provider of business process solutions, with its corporate office in Gurgaon. The company has 25 service delivery centres at nine locations in India and Philippines, and employs more than 30,000 persons, making it the second-largest business process outsourcing (BPO) vendor in India, in terms of headcount. Convergys has three operating centres in Gurgaon at DLF Atria, Orchid Square and Unitech Trade Centre. The company offers diverse portfolio of customer care solutions, including customer care services, simple-to-complex technical support solutions, marketing sales programs and back-office BPO. Tata Consultancy Services (TCS) is among the large providers of IT and business process outsourcing (BPO) services in India. The companys clients are in the banking, financial services, healthcare and life sciences, insurance, manufacturing, media, entertainment, transportation, travel and hospitality, retail, utilities and energy resources sectors. It commenced operations at Gurgaon in 1995. WNS is among the pioneers in offshore BPO. It serves clients in domains such as travel and transport, insurance, healthcare, shared services and knowledge services. WNS achieved revenues of US$ 390.5 million in 2009-2010. 1t has a 40,000 sq ft facility in Gurgaon with a capacity of 3,500 associates.
Convergys India Services
Tata Consultancy Services (TCS)
WNS
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Genpact
Genpact is among the largest business services and technology solutions company in India; operates in the BPO and knowledge process outsourcing (KPO) domains. It provides a wide range of services, including finance and accounting, collections and customer service, insurance, supply chain and procurement, analytics, enterprise applications, IT infrastructure and management. It is headquartered in Gurgaon with over 7,000 employees. Wipro Infotech is one of the largest IT firms in the country. It has clients in many of the fortune1,000 and global 500 companies. Its revenues were about US$ 5.7 billion during 2009-2010. The call centre at Gurgaon has a capacity of 2,000 seats. It is a leading provider of KPO services. It provides custom market research, business research, analytics, investment research, intellectual property research and marketing and sales support services from its global research centres. It has three operation centres in India, all located in Gurgaon. ATS is a subsidiary of Accenture, and provides technology solutions to the client. The solutions work is mainly off-shored to India, Philippines and Romania . The technologies developed here include enterprise packages such as SAP R/3, Siebel, PeopleSoft, Oracle, Microsoft, Java/J2EE and Mainframes based platforms. Accenture India Delivery Centre (IDC) is an off shore development centre of ATS. All the India delivery centres are CMMI Level-5 certified. IDCs in India are located at Bengaluru, Chennai, Hyderabad, Mumbai , Pune and Gurgaon.
Wipro Infotech
Evalueserve (EVS)
Accenture Technology Solutions (ATS)
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Microsoft
Microsoft entered India in 1990 and works closely with the Indian government, IT industry, academia and the local developer community. Microsoft has offices in 16 cities: Ahmedabad, Bengaluru, Chandigarh, Chennai, Coimbatore, Hyderabad, Indore, Jaipur, Jamshedpur, Kochi, Kolkata, Lucknow, Mumbai, Nagpur, New Delhi and Pune. Microsoft in India employs about 5,000 people and the six business units in India represent the complete Microsoft product lifecycle. In Haryana, Microsoft has two offices, both at Gurgaon. Google, a web-based search engine, is the flagship product owned by Google Inc. The special features offered by Google include synonyms, weather forecasts, time zones, stock quotes, maps, earthquake data, movie-show times, airports, home listings and sports scores, etc. Google has a sales office in Gurgaon. It is a direct sales organisation and helps the world's biggest advertisers to enjoy immediate and accountable communication with the consumer. The sales teams here are structured according to industry verticals. Oracle Corporation specialises in developing and marketing enterprise software products - particularly database management systems. Its flagship product, is the Oracle database. Besides, the company also builds tools for database development and systems of middle-tier software, enterprise resource planning software (ERP), customer relationship management software (CRM) and supply chain management (SCM) software. Oracle is located in Gurgaon in Haryana.
Google
Oracle
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Polaris Holdings Limited
Polaris Holdings was founded in 1993 and is a banking and insurance software company. It offers solutions for core banking, corporate banking, wealth and asset management and insurance sectors. The Polaris Enterprise Solutions Center is located in Udyog Vihar, Gurgaon. HCL Technologies is a global IT Services company headquartered in Noida. HCL Technologies, along with its subsidiaries, had consolidated revenue of US$ 2.6 billion during 2009-2010 and employed 54,443 persons. It has centres located in Udyog Vihar. HCLs key services include custom applications, enterprise applications, enterprise transformation, engineering and R&D services, infrastructure management and BPO.
HCL
Hughes Communications India Limited (HCIL)
HCIL a subsidiary of Hughes Communications Inc, USA, and is among the largest satellite service operators in India. It is located in the Electronic City, Gurgaon.
HCIL was incorporated in 1992. It deals in all aspect of broadband technology, network solutions and services. IBM opened its office in Gurgaon in June 2000. It is spread over an area of over 10,000 sq ft The e-business software centre is conceived as a focal point of IBM's activities to enable e-business in India.
IBM
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Alcatel-Lucent
Alcatel-Lucent provides solutions to enable service providers, enterprises and governments worldwide in delivering voice, data and video communication services to end-users. Its India headquarters are in Gurgaon. Alcatel-Lucent operates in three countries: India, Bhutan and Nepal. It is engaged in R&D, sales, marketing, customer support, services, operations and development of embedded as well as application software for telecom networks in the region. Siemens has been active in India for over 50 years and it holds leading positions in energy, industry and healthcare sectors. Siemens has over 17,200 employees in India. In Gurgaon, Siemens has several offices of Siemens Limited, Software Development & Engineering Centre, Siemens Building Technologies Private Limited, Siemens Information Systems Limited, Siemens Power Engineering Private Limited, Siemens Product Life Cycle Management Software India Private Limited and Siemens Automation and Drives. NIC is located in the mini secretariat building and was established in 1988. It serves the district administration and the office of divisional commissioner of Gurgaon Division. Backed by the technical expertise of NIC, the district has executed some of the best valued IT projects. Key projects include Online Treasury Information System (OTIS), Haryana Registration Information System (HARIS), Haryana Pension Information System (HaPIS), and the Motor Vehicle Registration System and Driving License Information System.
Siemens
National Informatics Centre (NIC)
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Agro-based industry
Agriculture is one of the biggest employment generators in rural Haryana with strong potential for value addition and exports. The Department of Horticulture is encouraging a cluster approach for the development of fruit cultivation. Dairy farming has huge potential in rural areas and is being promoted as a self-employment venture, the per capita milk availability in Haryana is among the top three states in the country. Haryana aggressively promotes organic farming; financial assistance is provided to farmers for production and use of vermi-compost. Use of greenhouse technology is being encouraged to promote disease-free nursery and production of offseason fruits and vegetables.
Key players

Yakult Danone GlaxoSmithKline Consumer Healthcare Limited Perfetti Van Melle India Nestle India Haldirams PepsiCo
Key organisation
National Dairy Research Institute (NDRI)
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Agro-based industry company profiles (1/2)

Nestle India
Nestle India, is a subsidiary of Nestle SA, Switzerland. It has its Indian headquarter at Gurgaon in Haryana. It has famous brand names in India such as Nescafe, Maggi, Milkybar, Milo, Kit Kat, Bar-One, Milkmaid, Nestea, Nestle Milk, Nestle Fresh 'n' Natural Dahi and Nestle Jeera Raita. The company has factory at Samalkha in Panipat, which was commissioned in 1993, to manufacture milk products. Yakult is a global probiotic drink manufacturer. The company is a 50:50 joint venture between Japan's Yakult Honsha and Group Danone of France. The company plans to expand its business in India. It has a state-of-the-art manufacturing facility at Rai in Sonepat. Indian group company of GlaxoSmithKline UK, and one of the largest players in the healthfood drinks industry in the country, GSK has a factory at village Khera in Sonepat; has a capacity of 26,000 tonnes per annum for its health foods brand, Horlicks. Perfetti Van Melle, India, started operations in India in 1992; the company has a factory at Manesar. It launched its first popular candy brand, Center Fresh, in the Indian market in 1994. It leads the Indian sugar confectionery market with more than 25 per cent of the value share.
Yakult Danone India Private Limited
GlaxoSmithKline Consumer Healthcare Limited (GSK)
Perfetti Van Melle India
Haldirams
Haldiram's was started in Bikaner and, is one of India's largest sweets and snacks manufacturers. It sells packaged products which are not only consumed in domestic markets but also exported to various countries viz., Pakistan, Canada, Australia, Sri Lanka, Singapore, Malaysia, South Africa, Indonesia, Qatar, Hong Kong, Japan, Kenya, Libya and South Korea. Haldiram also has its own outlets where it sells sweets and eatables. In Haryana, Haldi Ram Manufacturing Co Private Limited is located in village Kherki Duala on the Delhi-Jaipur highway.
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Agro-based industry company profiles (2/2)

PepsiCo
PepsiCo established its business operations in India in 1989. The company has a diverse range of products including carbonated drinks, potato chips, etc. It provides direct and indirect employment to 150,000 people in India. It has 41 bottling plants in India, of which 13 are company-owned and 28 are franchisee-owned. It has its corporate office in Haryana at Gurgaon. National Dairy Research Institute provides R&D support for dairy development programmes of the nation. The institute was opened in Bengaluru in 1923 and in 1955, its headquarters were shifted to Karnal, Haryana at the location, formerly, called Central Cattle Breeding Farm. The Institute at Karnal is located on 560 hectare of land, of which 360 hectare is used for fodder cultivation. The unique facilities provided here include various research divisions, national library in dairying, the cattle yard, embryo biotechnology centre, animal biotechnology division, agricultural technology information centre (ATIC), artificial breeding complex, farm and maintenance sections, krishi vigyan kendra, trainers' training centre, computer centre, and a dairy plant. The institute offers various teaching programmes at graduate, post-graduate and doctorate level in order to develop trained man power in dairying to meet human resource challenges at national and international level.
National Dairy Research Institute (NDRI)
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Textiles
Abundant availability of raw material gives Haryana a competitive advantage in the textile sector cotton production in 2009-2010 was around 1.9 million bales and 1.8 million bales in 2008-09. Cotton productivity in 2009 (Kharif season) was 646 kg per hectare. Production of textiles (including ready-made garments) in Haryana is roughly US$ 1 billion business, annually, and almost one-third of this is exported. A cluster of high-fashion readymade garments units have come up in the well-developed industrial area of Udyog Vihar, Gurgaon.
Key players

DCM Textiles Orient Craft Limited Benetton India YKK India Private Limited Pearl Global GIVO
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Textile company profiles (1/2)

DCM Textiles
The company is engaged in the manufacturing of 100 per cent grey cotton yarn and melange yarn. It has a spinning mill located in Hisar with an installed capacity of 74,436 spindles. The company is exporting to Spain, Portugal, Egypt, South Korea, Brazil, Hong Kong, Italy and Israel. Benetton India is a wholly-owned subsidiary of the Benetton Group, Italy. United Colors of Benetton is among the market leaders in branded apparel, with more than 106 stores across 45 cities. Its manufacturing unit in Gurgaon manufactures almost 50 per cent of the garments supplied to the Indian stores. The company is located in Gurgaon and employs 3,000 people; has established itself as a premium exporter of textiles from Haryana. It has embarked on an initiative to setup a textile-focused SEZ spread over 334 acres in Manesar. This SEZ will provide employment to 50,000 people when fully operational in 2011; the first phase of the project is expected to be complete in 2010. YKK India is a subsidiary of YKK Japan, which operates in over 50 countries with more than 200 factories. The factory located at Bawal produces a range of zippers and caters to the large domestic market for garments and footwear and also exporters.
Benetton India
Orient Craft Limited
YKK India Private Limited
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Textile company profiles (2/2)

GIVO
GIVO has been set up with technical and financial collaboration of Marzotto Spa of Italy and it supplies classic men's-wear, using state-of-art-equipment imported from Europe. Givo exports a major portion of its production to USA, Canada, Europe and Middle East. In Gurgaon, the registered office is located at 42nd Milestone, Kherki Daula. Pearl Global limited is the subsidiary of House of Pearl Fashions Limited Group, which is among the pioneers of ready-to-wear apparel industry in India. The company has six fully-integrated manufacturing plants in Gurgaon, which are capable of producing valueadded woven and knitted garments. The total factory area in north India covers more than 310,000 sq ft of space. The installed capacity on a single-shift basis stands at 10 million pieces per annum. The units specialize in casual-wear dresses, ladies blouses in both woven and knits. The important customers of the company include Gap Inc, JC Penney, Kohls, Next, H&M, and Esprit.
Pearl Global
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Petrochemicals
The upcoming petrochemicals-hub at Panipat is expected to drive the growth of the petrochemicals industry in north India; through the 5,000-acre project, which is jointly set-up by HSIIDC and Indian Oil Corporation Limited (IOCL). The new complex is a dedicated industrial zone for downstream industries and is likely to attract an investment of US$ 3.26 billion. The state government, in collaboration with the central government, aims to set up the 'Central Institute of Plastic and Engineering Technology' to undertake R&D and create skilled manpower for the development of petrochemicals industry.
Indian Oil Corporation Limited (IOCL)
Indian Oil Corporation Limited (IOCL) manufactures petroleum products, crude oil, lubricants, grease, oil base, additives and others. IOCL has a refinery at Panipat which is its seventh refinery. The refinery was set up in 1998 at a cost of US$ 830 million with a capacity of 6 million metric tonnes per annum (MMTPA). Its capacity has further been increased to 15 MMTPA during April 2010. It has announced the setting-up of the US$ 67 million Mundra-Panipat pipeline and napthacracker complex at Panipat. Naphtha cracker and polymer complex adjacent to the Panipat refinery are being set-up with an investment of US$ 3.14 billion.
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Real estate and construction
The real estate and construction industry has been growing at a rapid pace in Haryana, growth in real estate encompasses activities in the residential, commercial and hospitality space. Real Estate Development Council (REDCO) is the apex body for all stakeholders in the housing and construction industry, it was launched jointly by the Government of Haryana and the Ministry for Urban Development, Government of India. The aim is to make Gurgaon one among the top-ten cities of the world in a period of 10 years starting from 2010. Gurgaon accounts for more than 70 per cent of the new commercial space coming up in the National Capital Region (NCR).
Key players

DLF Group Unitech Group Ansal Group Emaar MGF Vipul Group
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Real estate and construction company profiles (1/2)

DLF Group
DLF Group is one of the largest real estate players in India. The group is responsible for the development of 22 urban colonies, as well as an entire integrated 3,000-acre township - DLF City in Gurgaon. In August 2009, the foundation stone was laid for the first private metro rail project in the country. It is to be developed in Gurgaon by the DLF-IL&FS consortium. The 6.1 km project is to be completed within the period of 30 months from the day of the signing of the agreement. Unitech is a large real estate player, which has executed projects in Gurgaon with world-class service facilities. They include Nirvana Country, Unitech World, Unitech Trade Centre, Unitech Business Park, Millennium Plaza (jointly developed with Vipul), Signature Towers and Global Business Park (jointly developed with Vipul). Vipul Group has over 3 million sq ft in the residential and commercial real estate space, with prestigious projects in Gurgaon such as the Vipul Square, Global Business Park (jointly developed with Unitech), Vipul Agora, Vipul Plaza and Millennium Plaza (jointly developed with Unitech).
Unitech Group
Vipul Group
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Real estate and construction company profiles (2/2)

Ansal Group
Ansal Group has expanded its activities from real estate development to high-value construction. It is present in Gurgaon through several projects in both the residential and commercial space. The group presently employs over 5,000 persons. Emaar MGF is a joint venture between Emaar Properties PJSC Dubai, a leading global real estate company, and MGF Development Limited, Indias leading real estate developer. Has several housing and commercial projects in the state.
Emaar MGF
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Biotechnology
The mandate for developing a Biotech City along the states Kundli-Manesar-Palwal (KMP) Expressway has been given to private sector consulting companies. Establishment of research centres and laboratories in collaboration with the private sector is being encouraged. Haryana is setting up biotechnology science clusters at Faridabad at an investment of US$ 0.2 billion during the 11th and 12th plan period.
Key players

Proagro Seeds Company Private Limited Eli Lilly Company (India) Private Limited Ranbaxy Laboratories
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Biotechnology company profiles

Proagro Seeds Company Private Limited
Proagro Seeds Company Private Limited is a company of the Bayer CropScience Group. Proagro seeds is a leading seed company in India. It is engaged in breeding, development, production and marketing of high quality hybrid field seeds. The company has a biotech laboratory in Gurgaon where genetic markers, DNA finger printers and other tested techniques are used to support the companys plant breeding efforts. Eli Lilly and Company (India) Private Limited is a subsidiary of the US pharmaceutical major, Eli Lilly and Co. It focuses primarily on therapeutic areas such as neurological disorders, endocrine disorders, cancer, cardiovascular diseases, bone and inflammation and gene regulation and has 500 employees across the country. In India, Eli Lilly has based its operations in Gurgaon and conducts clinical trials of biotech drugs from its global portfolio, in India. The company manufactures and markets branded and generic pharmaceuticals and active pharmaceutical ingredients (API). In 2009-2010, the company recorded global sales of US$ 21.6 billion. It is based in Gurgaon, has over 12,000 employees worldwide with over 1,200 scientists for research. The R&D centres in Gurgaon focus on novel drug delivery systems, new drug discovery and development functions. Ranbaxy is acquiring the Bengaluru-based Biovel Lifesciences for an undisclosed amount.
Eli Lilly and Company (India) Private Limited
Ranbaxy Laboratories
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Contents
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DOING BUSINESS IN HARYANA Haryana November 2010
Key approvals required

Approvals and clearances required Site clearances and noobjection certificate Department Estimated time
Department of Environment
Site and/or environment clearance: 60 days No-objection certificate to establish: 7 days No-objection certificate to operate: 21 days Renewal of consent: 30 days
Letter of intent/industrial license: 15 days Permanent registration as SSI: 7 days Grant benefit of sales tax concessions: 90 days Allotment of plot: 30 days Change of industrial land: 30-60 days Sanction at local level: 30 days Sanction at headquarter/state-level: 45 days Load up to 20 KW: 36 days Load up to 70 KW: 66 days Load above 250 KW: 90 days Load above 1 MW: 105 days Sanction of loan: 30 to 45 days
Licence, registration and change of industrial land
Department of Industries
Incentives
Department of Industries
Release of power connection Sanction of loans
Haryana State Electricity Board HSIIDC/HFC
76
Cost of doing business in Haryana

Cost parameter Industrial land purchase (per sq m) Office space rent (per sq ft) Cost estimate US$ 350 to US$ 375 at IMT, Manesar US$ 435 to US$ 1,000 in Gurgaon Gurgaon: US$ 1.4 to US$ 3.1 per month Industry sources Industry sources Source
Residential rent (2,000 sq ft)

Five-star hotel room rent Power (Commercial and industrial) Water (per 1,000 litres)
Gurgaon: US$ 400 to US$ 825 per month

US$ 140 to US$ 200 per room night US 9.5 cents per kilo Watt hour US 6 cents Labour cost in Haryana Industry Agriculture Construction of roads and building Food Products industry Other Industries
Industry sources
Leading hotels in the state Haryana Electricity Regulatory Commission Water supply and sanitation department
Category of workers Un-skilled Skilled Un-skilled Skilled Un-skilled Skilled
Minimum wages (US$/per day) 3.5 3.7 4.0 3.5 3.8 3.5 3.7-4.2
Source: Labour Department, Government of Haryana
77
Single-window clearance mechanism
Single-window clearance mechanism was established under the Haryana Industrial Promotion Act, 2005. It has a three-tier structure to grant exemption/relaxation from any of the provisions/rules of the Act. The investment promotion centres (IPC) located in New Delhi and Chandigarh and the district industries centres (DIC) at the district level act as the nodal agencies and provide support to the committees.
Investment handled
Greater than US$ 7.14 million High Powered Clearance Committee
Under the chairmanship of

Principal Secretary to Chief Minister
Nodal agency
IPC State Level DIC District Level
US$ 1.19 to US$ 7.14 million
State Level Clearance Committee
Principal Secretary Industries
Less than US$ 1.19 million
District Level Clearance Committee
Deputy Commissioner
78
Key investment promotion offices

Haryana State Industrial and Infrastructure Development Corporation Limited (HSIIDC)

Focuses on the development of medium and large-scale industries. Provides financial assistance by way of term loans, equipment re-finance, equipment leasing and working capital. Has been engaged in trading activities such as sale of seeds, fertilizers, pesticides, tractors and other agricultural machinery at economical prices to the farming community. It is the nodal agency of the Haryana government for promoting electronics and IT industries. It offers its expertise in infrastructure development as well as promotion of projects. Is responsible for promoting and securing development of urban areas; responsibilities include land acquisition, development, and sale of property for residential, industrial and commercial purposes. Meets the credit needs of small and medium scale industrial units by advancing term loans.
Haryana Agro Industries Corporation Limited (HAIC)

Haryana State Electronics Development Corporation Limited (HARTRON) Haryana Urban Development Authority (HUDA) Haryana Finance Corporation (HFC)
79
Contact list
Agency Haryana State Industrial and Infrastructure Development Corporation Limited (HSIIDC) Contact information Plot No C-13-14, Sector 6, Panchkula-134109 Phone: 91-172-2590 481 Fax: 91-172-2590 474 C-3, Sector-6, Panchkula Phone: 91-172-2560 024 Website: http://huda.nic.in Bays 17-18-19, Sector 17-A, Chandigarh-160017 Phone: 91-172-2702 755-57 Fax: 91-172-2702 666 E-mail: mdhfc@airtelmail.in SCO-111-113, Sector 17-B, Chandigarh -160017 E-mail: hartron@hartron.org
Haryana Urban Development Authority (HUDA)
Haryana Finance Corporation (HFC)
Haryana State Electronics Development Corporation Limited (HARTRON)
80
Annexure
Exchange rates
Year
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010
INR equivalent of one US$

46.6 48.3 48.0 45.6 43.7 45.2 45.0 42.0 40.2 46.0 47.4
Average for the year
81
HARYANA
November 2010
DISCLAIMER
India Brand Equity Foundation (IBEF) engaged ICRA Management Consulting Services Limited (IMaCS) to prepare this presentation and the same has been prepared by IMaCS in consultation with IBEF. All rights reserved. All copyright in this presentation and related works is solely and exclusively owned by IBEF. The same may not be reproduced, wholly or in part in any material form (including photocopying or storing it in any medium by electronic means and whether or not transiently or incidentally to some other use of this presentation), modified or in any manner communicated to any third party except with the written approval of IBEF. This presentation is for information purposes only. While due care has been taken during the compilation of this presentation to ensure that the information is accurate to the best of IMaCSs and IBEFs knowledge and belief, the content is not to be construed in any manner whatsoever as a substitute for professional advice. IMaCS and IBEF neither recommend nor endorse any specific products or services that may have been mentioned in this presentation and nor do they assume any liability or responsibility for the outcome of decisions taken as a result of any reliance placed on this presentation. Neither IMaCS nor IBEF shall be liable for any direct or indirect damages that may arise due to any act or omission on the part of the user due to any reliance placed or guidance taken from any portion of this presentation.
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HARYANA

Investment climate of a state is determined by a mix of factors

Investment climate of a state

ADVANTAGE HARYANA Haryana November 2010

Haryana State profile

ADVANTAGE HARYANA Haryana November 2010

Advantage Haryana (1/2)

Policy and fiscal incentives

Rich labour pool

ADVANTAGE HARYANA Haryana November 2010

Advantage Haryana (2/2)

Stable political environment

Source: Maps of India

ADVANTAGE HARYANA Haryana November 2010

Haryana in figures (1/2)

Broadband subscribers (No)

Birth rate (per 1,000 population)

ADVANTAGE HARYANA Haryana November 2010

Haryana in figures (2/2)

Parameter Policy support Sectors with specific policies Availability of labour

Industry (overall), IT and ITeS, Tourism Adequate skilled labour available

ADVANTAGE HARYANA Haryana November 2010

Key industries with policy thrust and factor advantages

Medium Factor advantage

STATE ECONOMY AND SOCIO-ECONOMIC PROFILE Haryana November 2010

Socio-economic snapshot of Haryana

STATE ECONOMY AND SOCIO-ECONOMIC PROFILE Haryana November 2010

US$ billion Source: CMIE

STATE ECONOMY AND SOCIO-ECONOMIC PROFILE Haryana November 2010

US$ billion Source: CMIE

STATE ECONOMY AND SOCIO-ECONOMIC PROFILE Haryana November 2010

The tertiary sector has the highest share in Haryanas economy

Percentage distribution of GSDP

32.0 1999-00 Primary Sector Secondary Sector

21.2 2009-10 Tertiary Sector

STATE ECONOMY AND SOCIO-ECONOMIC PROFILE Haryana November 2010

Per capita GSDP

STATE ECONOMY AND SOCIO-ECONOMIC PROFILE Haryana November 2010

Consumer expenditure on household goods and services

Haryana is ahead compared to all-India in share of per capita expenditure on education.

60.0% 50.0% 40.0% 30.0% 20.0% 10.0% 0.0%

4.0% 3.6% Durable goods

Source: Household Consumer Expenditure in India, 2007-08 NSS 64th Round

STATE ECONOMY AND SOCIO-ECONOMIC PROFILE Haryana November 2010

Key industries in Haryana

Key industries in Haryana

STATE ECONOMY AND SOCIO-ECONOMIC PROFILE Haryana November 2010

Haryana is among the three largest food-grain producing states in India

*As of 2007-08 Source: CMIE

STATE ECONOMY AND SOCIO-ECONOMIC PROFILE Haryana November 2010

Investments and FDI inflows

Services (other than financial) Electricity

Food & beverages Others

STATE ECONOMY AND SOCIO-ECONOMIC PROFILE Haryana November 2010

Haryanas exports trends

INFRASTRUCTURE STATUS Haryana November 2010

Road map of Haryana

Source: Maps of India

INFRASTRUCTURE STATUS Haryana November 2010

INFRASTRUCTURE STATUS Haryana November 2010

Airports and urban infrastructure

Domestic airport Civil aerodrome

INFRASTRUCTURE STATUS Haryana November 2010

Major telecom operators in Haryana