2nd largest mineral producer in India

During 2011-12, Chhattisgarh ranked second in terms of value of minerals produced in India, with a 9.15 per cent share. During the same period, the states mineral production increased by 36.2 per cent, the highest among all states in India.

Sole producer of tin in India

Chhattisgarh is the only state in India that produced tin concentrates.

Largest producer of coal, iron ore, and dolomite

Chhattisgarh is the leading producer of minerals such as coal, iron ore and dolomite and accounts for around 21 per cent, 16 per cent, and 11 per cent of Indias production, respectively. Iron ore from the Bailadila mines in the state is considered to be among the best in the world in terms of quality. Korba district in Chhattisgarh is known as the power capital of India. In the 12th Five-year Plan, it is planned to increase power generation capacity by 30,000 MW during the plan period of 2012-17. Around 97.2 per cent of the villages are electrified in the state as of 2011-12. Naya Raipur is considered as Indias fourth planned city spread over 8,000 hectares with world-class amenities. The city has been selected as a demonstration city under the Global Environmental Facility (GEF) and World Bank-assisted Sustainable Urban Transport Project (SUTP).
Source: Economic Survey of Chhattisgarh, 201213, Credible Chhattisgarh, Ministry of Mines, Annual Report 201112, Aranca Research

Korba Power capital of India

Naya Raipur Indias 4th planned city

Biggest herbal and medicinal park in India

The government of Chhattisgarh has proposed to develop India's largest herbal & medicinal park in Dhamtari on around 250 acres of land.

Leading producer of other minerals

The state accounts for 30 per cent of aluminium production and 27 per cent of steel/sponge iron production in India. Moreover, considerable reserves of bauxite, limestone and quartzite are available in the state.

Leading investment destination in India

Chhattisgarh has emerged as one of the most preferred investment destinations in the country. The state has been acclaimed as one of the best fiscally managed states by the Reserve Bank of India (RBI).

One of the richest biospheres in India

The state is home to more than 1,500 varieties of medicinal plants and is one of the three richest biospheres in the country.

Highest freight loading zone

Chhattisgarh has the highest freight loading in India and contributes to around one-sixth of the total revenues of Indian Railways.
Source: Economic Survey of Chhattisgarh, 201213, Credible Chhattisgarh, Department of Commerce and Industries, Aranca Research

FY 09

Mineral resources Growing demand

Policy and fiscal incentives

FY17E
GSDP US$ 46.8 billion

GSDP US$ 21.1 billion

Mineral resources are Chhattisgarhs biggest strength It has deposits of limestone, iron ore, copper, bauxite, dolomite and coal. Chhattisgarh accounts for about 17.0 per cent of the nations coal reserves.

A wide range of fiscal and policy incentives for businesses have been announced under its Industrial Policy, 200914 Additionally, the state has welldrafted policies for the IT/ITeS, minerals and energy sectors.

Advantage Chhattisgarh

Energy rich

Chhattisgarh is presently one of the few states that have surplus power. It is also among the few profitable states in terms of utility-based electricity Presence of coal makes Chhattisgarh an ideal location for setting up pit-head-based thermal power plants for both merchant sales and state consumption

The engineering sector is delicensed; 100 per cent FDI is allowed in the Chhattisgarh has a high workersector participation rate (both male and female) Due to policy support, there was The state also has one of the lowest cumulative FDI of USD14.0 billion into reported losses of man-days the sector over April 2000 February attributed to labour problems the 2012, making up 8.6 per cent ofin total country. FDI into the country in that period

Rich labour pool

Sources: Economic Survey of Chhattisgarh 2012-13 Note- GSDP - Gross State Domestic Product on current prices

Chhattisgarh has a tropical climate with three major seasons: summer (April to June), monsoon (July to September) and winter (October to March).

Parameters
Capital Geographical area (sq km) Administrative districts (No)
Source: Maps of India

Chhattisgarh
Raipur 135,191 27 189 25.5 12.8 12.7 991 71.0

Population density (persons per sq km)* Total population (million)* Male population (million)* Female population (million)* Sex ratio (females per 1,000 males)*

Chhattisgarh is located in Central India. The state shares its border with Madhya Pradesh and Maharashtra in the west, Uttar Pradesh in the north, Odisha and Jharkhand in the east and Andhra Pradesh in the south. The languages spoken are Chhattisgarhi and its local dialects, Hindi and English.

Literacy rate (%)*

Bhilai, Durg, Bilaspur, Korba and Rajnandgaon are some of the major cities of the state.

Sources: Government of Chhattisgarh website, http://cg.gov.in/, *Census 2011

Parameter Economy
GSDP as a percentage of all states GSDP Average GSDP growth rate (%)* Per capita GSDP (US$)

Chhattisgarh

All-States

Source

1.7 16.3 1,134.34

100 15.6 1,414.22

Economic Survey, 2012-13, current prices Economic Survey, 2004-05 to 2012-13, current prices Economic Survey, 2012-13, current prices

Physical Infrastructure
Installed power capacity (MW)
Wireless subscribers (No) Broadband subscribers (No)

6,261.9
52,164,292^ 95,499**

225,133.1
867,803,583 15,050,000

Central Electricity Authority, as of May 2013 Telecom Regulatory Authority of India, as of March 2013
Telecom Regulatory Authority of India, as of March 2013 Ministry of Road Transport & Highways, as of March 2013 Airports Authority of India

National highway length (km) Airports (No)

2,289 2

79,116 133

*Calculated in Indian rupee terms, ^Including Madhya Pradesh, **As of December 2011

Parameter Social Indicators

Literacy rate (%) Birth rate (per 1,000 population)

Chhattisgarh

All-States

Source

71.0 24.9

74.0 21.8

Census 2011 SRS Bulletin (www.censusindia.gov.in), 2012

Investments
FDI equity inflows (US$ billion)
Outstanding investments (US$ billion)

1.0*
323.0

193.4
10,499.2

Department of Industrial Policy & Promotion, April 2000 to March 2013 CMIE (2012-13)

Industrial Infrastructure
PPP projects (No) SEZs (No) 4 1 881 385 www.pppindiadatabase.com Notified as of January 2013, www.sezindia.nic.in

SRS: Sample Registration System, SEZ: Special Economic Zone, PPP: Public-Private Partnership, *Including Madhya Pradesh

At current prices, the gross state domestic product (GSDP) of Chhattisgarh was estimated at US$ 29.5* billion in 201213. The average GSDP growth rate between 2004-05 and 2012-13 was about 16.3** per cent.

GSDP of Chhattisgarh at current prices (in US$ billion)

29 26 29

CAGR 16.3%**
15 12

20

21

21

11

Source: Economic Survey of Chhattisgarh, 2012-13 *Advanced estimates, **In Indian rupee terms

2012-2013*

2004-2005

2005-2006

2006-2007

2007-2008

2008-2009

2009-2010

2010-2011

2011-2012

In 2012-13, the net state domestic product (NSDP) of Chhattisgarh was about US$ 25.2 billion. The average NSDP growth rate between 2004-05 and 2012-13 was about 16.1** per cent.

NSDP of Chhattisgarh at current prices (in US$ billion)

25 22 25

CAGR 16.1%**
13 10 9

17

18

18

Source: Economic Survey of Chhattisgarh, 2012-13 *Advanced estimates, **In Indian rupee terms

2012-2013*

2004-2005

2005-2006

2006-2007

2007-2008

2008-2009

2009-2010

2010-2011

2011-2012

In 2012-13, the states per capita GSDP was US$ 1,134.3. The per capita GSDP increased at a compound annual growth rate (CAGR) of 14.1** per cent between 2004-05 and 2012-13.

GSDP per capita of Chhattisgarh at current prices (in US$)

1,141 1,036 1,134

CAGR 14.1%**
637 531 477

845

876

855

Source: Economic Survey of Chhattisgarh, 201213 *Advanced estimates, **In Indian rupee terms

2012-2013*

2004-2005

2005-2006

2006-2007

2007-2008

2008-2009

2009-2010

2010-2011

2011-2012

The states per capita NSDP in 2012-13 was US$ 970.1 compared with US$ 412.8 in 2004-05. The per capita NSDP increased at an average rate of 13.9** per cent between 2004-05 and 2012-13.

NSDP per capita of Chhattisgarh at current prices (in US$)

CAGR 13.9%**
730 548 454 413 748 725 970

975 881

Source: Economic Survey of Chhattisgarh, 2012-13 * Advanced estimates, ** In Indian rupee terms

2012-2013*

2004-2005

2005-2006

2006-2007

2007-2008

2008-2009

2009-2010

2010-2011

2011-2012

In 2012-13, the tertiary sector contributed the highest to Chhattisgarhs GSDP, at current prices, at 39.9 per cent (US$ 11.8 billion). It was followed by the primary sector contributing 30.2 per cent (US$ 8.9 billion) and the secondary sector contributing 29.9 per cent (US$ 8.8 billion). At a CAGR of 18.5** per cent, the tertiary sector has been the fastest-growing among the three sectors from 2004-05 to 2012-13. The growth has been driven by trade, hotels, real estate, banking, insurance, transport, communications and other services. The primary sector grew at a CAGR of 15.3** per cent between 2004-05 and 2012-13. The secondary sector grew at a CAGR of 14.8** per cent between 2004-05 and 2012-13. It was driven by manufacturing, construction and electricity, gas & water supply.

GSDP composition by sector

CAGR**
34.5%

18.5%

39.9%

33.1%
14.8%

29.9%

32.4%

15.3%

30.2%

2004-05 Primary Sector

Secondary sector

2012-13* Tertiary sector

Source: Economic Survey of Chhattisgarh, 201213 *Advanced estimates, **In Indian rupee terms

Rice is the major crop of the state. The total rice production of the state was 6.0 million tonnes in 2011-12. In 2011-12, total food grains production in the state was 7.2 million tonnes. Maize, wheat, pulses and oilseeds are some of the other major crops of the state. In 2011-12, total oilseeds production in the state was 177,000 tonnes. In 2011-12, total gram production in the state was 260,700 tonnes. In 2012-13, total fruits production in the state was around 1.7 million tonnes.
Rice

Crop

Annual production 201112 (000 metric tonnes)

6,028.4 260.7

Gram

Maize
Wheat Soybean Total oilseeds Total pulses Total food grains

177.9
135.1 84.6 177.0 539.6 7,205.0

Sources: Economic Survey of Chhattisgarh 2012-13, Reserve Bank of India

According to the Department of Industrial Policy & Promotion (DIPP), the cumulative FDI inflows from April 2000 to March 2013 amounted to US$ 997 million*. In 2012-13, the outstanding investments in the state were US$ 323.0 billion. Of the total outstanding investments, the electricity sector accounted for around 62.7 per cent, followed by manufacturing sector (27.4 per cent).

Break up of outstanding investments by sectors (2012-13)

4% 6% Electricity

Manufacturing 27% Mining 63% Others

Others includes services, irrigation and real estate *Including Madhya Pradesh Source: CMIE

Chhattisgarhs total exports expanded at CAGR of 16.5* per cent over 2005-06 to 2010-11 and reached US$ 768.7 million. Nearly 75 per cent of exports come from Bhilai and the remaining from Urla, Bhanpuri, Sirgitti, etc. The major exports products include steel, handicrafts, handlooms, blended yarn, food and agri-products, iron, aluminium, cement, minerals and engineering products. Chhattisgarh State Industrial Development Corporation Ltd (CSIDC) is the nodal agency of the Government of Chhattisgarh for export promotion in the state.
368

Exports from Chhattisgarh (in US$ million)

769

CAGR 16.5%*
553

645

353 351

2005-06

2006-07

2007-08

2008-09

2009-10

2010-11

Source: Chhattisgarh State Industrial Development Corporation, www.crediblechhattisgarh.com * In Indian rupee terms

In 2012-13 (until September 2012), 711.2 km of roads and 37 bridges were constructed in the state. As of 2011-12, the total length of other district rural roads in the state was 13,798 km. The state had a road density of 69.51 km per 100 sq km of area, as of March 2011.

Road type
Source: Maps of India

Road length (km)

2,289 5,240 10,539 31,803

National highways State highways

The twelve national highways of Chhattisgarh together constitute 2,289 km of roads in the state. The state highways and major district roads account for another 15,779 km. Chhattisgarh has an excellent road network. All district headquarters, tehsils and development blocks are connected with good all weather roads.

Major district roads Total road length

Sources: Economic Survey of Chhattisgarh, 201213, Ministry of Road Transport & Highways

Chhattisgarhs railways sector falls under the jurisdiction of the South East Central Railways. The state is well connected to the rest of the country via the railways. Raipur and Bilaspur are the two major railway stations. The significant mining and industrial activity in the state was a major reason behind the setting up of the South East Central Railways in 1998. It is headquartered in Bilaspur. The state has the highest freight loading capacity in the country and one-sixth of Indian Railway's revenues come from Chhattisgarh. The length of rail network in the state is 1,187 km. Direct trains to many cities like Ahmedabad, Allahabad, Varanasi, Bengaluru, Cochin, Pune and Hyderabad are also available. The state government has signed a memorandum of understanding (MoU) with South Eastern Coalfields Ltd (SECL) and IRCON International Ltd for the construction of about 300 km of rail network in the state. The project would have two rail corridors East Corridor and East-West Corridor.

Source: Maps of India

The state has two domestic airports; one at Raipur and the other at Bilaspur. Chhattisgarh also has eight air strips located at Bhilai, Bilaspur, Korba, Raigarh, Jagdalpur, Ambikapur, Jashpur Nagar and Sarangarh. Raipur is linked by regular flights with New Delhi, Mumbai, Kolkata, Bhubaneswar, Nagpur, Bhopal, Indore, Ahmedabad & Hyderabad. Raipur Airport received 810,435 passengers and handled 10,496 flights during 2012-13. The Airports Authority of India (AAI) is mooting a plan to construct two new airports at Raigarh and Bilaspur in the state. AAI has provided approval to Raigarh airport with an estimated cost of US$ 48.8 million and the state government is progressing towards the signing of a memorandum of understanding (MoU) with AAI.
ODISH A

Domestic airport

As of March 2013, Chhattisgarh had a total installed power generation capacity of 6,261.9 MW, which comprised 2,271.9 MW under private sector, 2,452.0 MW under state utilities and 1,538.0 MW under the central utilities. Chhattisgarh is one of the few power surplus states in the country.

Installed power capacity (MW)

6,531.9 6,261.9 5,347.3 4,769.5 4,882.4

Over 89 per cent of private sector power capacity and over 93 per cent of state-owned power capacity is provided by coal-based power plants.
Korba in Chhattisgarh is termed as the one of the power capitals of India with National Thermal Power Corporations (NTPC) super thermal power plant working at around 79 per cent plant load factor (PLF). The state's huge coal reserves present a large opportunity for electricity generation in the state. In the hydropower sector, the Hasdeo Bango reservoir offers a relatively cheaper source of power generation.

3,607.1

2008-09

2009-10

2010-11

2011-12

2012-13

2013-14*

Source: Central Electricity Authority *As of May, 2013

Chhattisgarhs power is generated by the Chhattisgarh State Power Generation Company Ltd (CSPGCL), and by independent power producers (IPPs) such as LANCO and Jindal Power. The state is an emerging power hub as it is planning to add another 30,000 MW of capacity during the 12th Five-Year Plan (2012-17). UK-based KSK Power Venture Plc has invested over US$ 3.5 billion to set up a 3,600 MW thermal plant in the state. The plant is presently under construction. The state has declared renewable energy power generation as a priority sector under the state industrial policy and estimates solar PV grid potential based on identified sites at approximately 1000 MW. As of 2011-12, the state had achieved 97.2 per cent of village electrification.

Segment
Power generation

Company name
Chhattisgarh State Power Generation Company Ltd (CSPGCL) Chhattisgarh State Power Transmission Company Ltd (CSPTCL) Chhattisgarh State Power Distribution Company Ltd (CSPDCL)

Power transmission

Power supply

The state is in the process of implementing the State Wireless Area Network (SWAN), which will be a hybrid of wireless and wireline access supporting voice, data and video traffic. According to the Telecom Regulatory Authority of India (TRAI), Chhattisgarh had 52.2 million^ wireless connections and 1.1 million^ wireline subscribers as of March 2013. The total number of broadband users in the state, as of December 2011, was 95,499. As of December 2011, Chhattisgarh had 566 telephone exchanges. As of January 2013, the state had 3,119 post offices.

Telecom infrastructure (as of March 2013)

Wireless connections^ Wireline connections^ Broadband subscribers Post offices Telephone exchanges 52,164,292 1,120,350 95,499* 3,119** 566*

Some of the major telecom operators in Chhattisgarh

Bharat Sanchar Nigam Ltd (BSNL) Bharti Airtel Vodafone Essar Idea Cellular Reliance Communications Tata Teleservices

Sources: Telecom Regulatory Authority of India, Department of Telecommunications, Annual Report 201112, Ministry of Communications and Information Technology, India Post ^Including Madhya Pradesh, *As of December 2011, **As of January 2013

Chhattisgarh is aiming to become a logistics hub with worldclass rail, road and aviation networks. Under the Jawaharlal Nehru National Urban Renewal Mission (JNNURM), Raipur is one of the 63 identified cities for comprehensive development. Under JNNURM, one project, costing US$ 67.0 million, has been sanctioned for Raipur for augmenting the water supply schemes, including the extended area of RMC. As of March 2013, 98 per cent of the work had been completed. Under the Urban Infrastructure Development Scheme for Small and Medium Towns (UIDSSMT), US$ 55.17 million has been allocated for development of water-supply and sewerage systems in the state. The state has municipalities. 10 municipal corporations and 32

Naya Raipur land use plan

Sources: Naya Raipur Development Authority, Government of Chhattisgarh, JNNURM, Ministry of Urban Development, Government of India, http://www.crediblechhattisgarh.com

Maharashtras City and Industrial Development Corporation (CIDCO) has been appointed as the advisor to upgrade the capital city of Raipur and create a new planned city, called Naya Raipur. The project includes the following: A water supply project for meeting the requirements of an estimated 2.5 million population by 2031.

Naya Raipur city development Models

A transport hub in the city.

Naya Raipur Development Authority (NRDA) has been set up as the nodal agency for comprehensive development of the greenfield city. Under the Global Environment Facility and the World Bankassisted Sustainable Urban Transport Project (SUTP), Naya Raipur has been selected as a demonstration city. New townships, such as Merlin Projects integrated township at Raipur, Singapore City, and Vananchal City by Amrapali Group at Bhilai, are in the planning stage.

Sources: Naya Raipur Development Authority, Government of Chhattisgarh

4th planned city in India

Naya Raipur has been pegged as the fourth planned city in the country after Chandigarh, Gandhinagar and Bhubaneswar. The city has been planned over 8,000 hectares.

Social infrastructure

Designated areas have been planned for hospitals, educational institutes and recreation. The city would include large city parks, water bodies, jungle safari and botanical garden.

World-class amenities

Under the plans, the city will include a 18-hole golf course, theme township, luxury hotels, convention centre, IT SEZ, shopping malls, multiplexes and cricket stadium.

Bus rapid transport system

A bus rapid transport system (BRTS) has been planned for the city at a cost of approximately US$ 37.3 million.

Sources: Naya Raipur Development Authority, Government of Chhattisgarh

Contract authority Roads

Project

Investment (US$ million)

Project type

Status

Aurang-Raipur Durg Bypass National Highways Authority of India (NHAI) End of Durg Bypass on Chhattisgarh-Maharashtra Border Raipur-Durg Expressway

39.6 17.3

Road, BOT-Toll Road, BOT-Toll

Under construction In operation

115.3

Road, BOT-Toll

Under construction

28.3

Road, BOT-Toll

In operation

Gems and jewellery

Chhattisgarh Infrastructure Development Corporation Ltd Gems & Jewellery Special Economic Zone 41.5 Special Economic Zone In-principle approval received

Source: pppindiadatabase.com, Chhattisgarh Infrastructure Development Corporation Ltd BOT: Build-Own-Transfer

As of January 2013, the state had two formally-approved SEZs. The state has important industrial areas in Bhilai, which is home to iron and steel ancillary units, and Korba, which is home to well known companies in the power and aluminium sectors.

Industry

Location

SEZ (No)

ODISH A

SEZs with formal approval

IT/ITeS Solar Naya Raipur Rajnandgaon 1 1

SEZ with in-principle approval

Industrial area Growth centre Industrial park
Source: sezindia.nic.in, as of January 2013

Gems and jewellery

Raipur

Chhattisgarh has a literacy rate of 71.0 per cent; the male literacy rate is 81.5 per cent and the female literacy rate is 60.6 per cent. The state has 14 universities, 641 colleges, 24 MBA colleges, 23 polytechnics, 50 engineering colleges, 10 MCA colleges and three medical colleges. Reputed educational institutions in the state are the National Institute of Technology in Raipur, and the Bhilai Institute of Technology in Durg. Indian Institute of Management (IIM) at Raipur was established by Government of India in 2010. The state government is planning to start a new medical college in Raigarh, which is subject to approval from Union health ministry. The number of seats for the MBBS course in the state could jump up to 500 on the approval of the Raigarh medical college.

Literacy rates (%)

Literacy rate Male literacy Female literacy 71.0 81.5 60.6

Educational infrastructure (as of 2011-12)

Universities Colleges MBA colleges Polytechnics Engineering colleges 14 641* 24 23 50 10 3**

Chhattisgarh primary education statistics

Primary: Number of schools (2011-12) Middle High & higher secondary schools Average dropout rate (2009-10) Primary level: 5.37 38,398 16,364 6,143

MCA colleges Medical colleges

Source: Economic Survey of Chhattisgarh, 201213, University Grants Commission, Medical Council of India District Information System for Education (DISE) 201011 Census 2011, MBA: Master of Business Administration, MCA: Master of Computer Applications *As of 201011, **As of December 2012

Chhattisgarhs health infrastructure comprises 27 district hospitals, 155 community health centres, 764 primary health centres and 5,136 sub-centres. As of July 2011, the state had 43 licensed blood banks. As of December 2012, the state had seven ayurvedic hospitals; 693 ayurvedic, homeopathic, and unani dispensaries; and 460 specialty therapy and Ayush centres.

Health infrastructure (as of December 2012)

Civil hospitals 14

District hospitals
Community health centres Primary health centres Sub-centres

27
155 764 5,136

Health indicators (2011)

Population served per government hospital^ Population served per government hospital bed^ Birth rate* 105,202 2,433 24.9
Sources: Central Bureau of Health Intelligence, Government of India, Sample Registration System (SRS) Bulletin 2012 Economic Survey of Chhattisgarh, 201213 *Per thousand persons, **Per thousand live births ^As of January 2009

Death rate*
Infant mortality rate**

7.9
48

There are several sports complexes in Chhattisgarh. Football, cricket, hockey, basketball and kabaddi are the major sports of the state. The main sports arenas are the Ravishankar Shukla Stadium in Durg, the Priyadarshini Indira Stadium in Korba, and the Digvijaya Stadium in Rajnandgaon. Hockey is a popular sport in the state and the Digvijaya Stadium is known as the nursery of hockey. The key hotels in the state are the Royal Palace in Kanker, Kawardha Palace in Kawardha, Hotel Piccadilly in Raipur and Rainbow Hotel in Jagdalpur. Chhattisgarh is renowned for its heritage tourism; Bhoramdeo, Dantewada, Deepadih, Dongargarh, Jogibhatta, Rajim, Sirpur, Malhar, Sita Bhengra and Sheorinarayan are some of the popular heritage sites. A five-star hotel with a large convention centre is slated to come up at Naya Raipur, the Chhattisgarh Governments new administrative capital.

The Chhattisgarh State Industrial Development Corporation Ltd (CSIDC) is the industrial development department of the state government.

Industrial infrastructure

Type and location

District

Size

Investment requirement (US$ million)

19.1 5.8

Metal park Apparel park Industrial parks (ongoing projects) Herbal & medicinal park Food processing park

Raipur Bhanpuri, Raipur

101.7 hectares 4 hectares

Dhamtari

250 acres

5.4 to 7.6*

Rajnandgaon

303 acres

17.4*

Engineering park
Integrated Infrastructure Development Centres (IIDCs)

Bhilai

120 hectares
All between 20-90 hectares

2.0
-

Harinchhapara (Kabirdham), Birkoni (Masamund), Girwarganj (Surguja)

Sources: Economic Survey of Chhattisgarh, 201213, CSIDC website *PPP (Public-Private Partnership) mode

Raipur region

Rich reserves of minerals, limestone and coal 58 large- and middle-scale industries, with prominent players such as Monnet Ispat, Century Cement, Lafarge and Ambuja Cement

Durg-Bhilai region

Rich in mineral deposits, especially iron ore, limestone and quartzite Major players include Bhilai Steel, the Steel Authority of India (SAIL) and Associated Cement Company (ACC)

Bilaspur region

Railway zone and the headquarters of South Eastern Coalfields Ltd Indias second-largest power plant of NTPC is located at Sipat, with an operational capacity of 1,660 MW Host to many ancillary units, mainly in agro-based, garments, wooden-based furniture and mineral-based industries

Korba region

Known as the industrial hub of Chhattisgarh and the power capital of India Four thermal power plants (KSTPS, BCPP, CSEB East, and CSEB West) together generate 3,650 MW of electricity; a hydro electric power station is located at Bango The region is blessed with abundant reserves of coal and bauxite.
Sources: CSIDC website, Korba district website

Industrial infrastructure

Type and location

District

Size (hectares)
1,185 451 375 338 200 795 1,730 1,466

Investment requirements (US$ million)

157.1 29.8 93.2 98.0 NA 12.9 38.8 20.0

Siltara Borai Growth centres (established) Urla Sirgitti Bhanpuri-Rawabhata

Raipur Durg Raipur Bilaspur Raipur Bilaspur

Large industrial areas (new projects)

Raipur Raigarh

Source: CSIDC website

Key Industrial Areas

9 Urla (Raipur) 8 Siltara (Raipur) 3 Sirgitti (Bilaspur) 11 Borai (Durg) 21 Bhanpuri-Rawabhata (Raipur) 29 Tifra (Bilaspur) 2 Rani Durgawati (Pendraroad) 14 Heavy & Light I/A, Bhilai

Large Industrial Areas 5 Dagori (Bilaspur) 7 Tilda (Raipur) 19 Lara (Raigarh) 31 Silpahari (Bilaspur) Key Industrial Parks 13 Food processing park (Indawani) 26 Herbal & medicinal park (Raipur) 25 Gems & jewellery SEZ (Raipur) 23 Metal park (Rawabhata) 24 Apparel park (Raipur) 10 Engineering park (Bhilai) 28 Aluminium park (Korba)
Source: CSIDC Website Note Numbers refer to position on the map

The natural resources, policy incentives and infrastructure in the state support investments in the iron and steel, cement and power sectors. Chhattisgarh is among the richest Indian states in terms of mineral wealth, with 28 varieties of major minerals, including diamonds. Almost 80.0 per cent of the population is dependent on agriculture or agriculture-related occupations. Chhattisgarh is making significant investments in industrial infrastructure. The Chhattisgarh State Industrial Development Corporation (CSIDC) has set up industrial growth centres, five industrial parks and three integrated infrastructure development centres (IIDC). The state has a notified special economic zone (SEZ) in Rajnandgaon District.

Key industries in Chhattisgarh

Mining Iron and steel Cement Power IT and ITeS Biotechnology Food processing Gems and jewellery Apparel

The state is rich in mineral resources and one of the leading mineral producing states in the country. CSIDC has proposed to set up six new industrial parks, including aluminium at Kirba, engineering at Durg, plastic, gramodyog (village industry), pharmaceutical, etc. The states exports were valued at US$ 768.7 million in 2010-11. There were 121 memorandums of understanding (MoU) with proposed investment of US$ 35.3 billion signed over 2001-12.

Chhattisgarhs share in Indias mineral production

100%

30%

32% 21% 16% 15%

Tin

Aluminum

Steel/ Sponge Iron

Coal

Iron Ore

Cement

Source: Commerce and Industries Department, Government of Chhattisgarh, Economic Survey of Chhattisgarh, 201213

Chhattisgarh is among the richest Indian states in terms of mineral wealth, with 28 varieties of major minerals including diamonds. Chhattisgarh is ranked second in terms of value of mineral production in India with a 9.15 per cent share in 2011-12. The state holds around 17 per cent of coal deposits in India, which has led to its 'power hub' aspirations. Rich deposits of bauxite, limestone, dolomite and corundum are also found in the state, making it the ideal location for low-cost production of end products such as cement and aluminium. It is the only state in India to produce tin concentrates and accounts for 36 per cent of the countrys tin ore reserves. The state accounts for 4 per cent and 11 per cent of the countrys diamond and dolomite reserves, respectively.

Chhattisgarhs mineral production (in million tonnes)

Mineral
Coal Iron ore Limestone Dolomite Bauxite Tin (concentrate)

Production 2011-12^
113.92 31.78 20.23 1.53 2.39 48,766*

Source: Chhattisgarhs Directorate of Geology and Mining Economic Survey of Chhattisgarh, 201213 ^Provisional, *In kilogram

About one-fifth of the iron ore in the country is mined in the state and high quality, iron ore deposits (among the best in the world) are found at the Bailadila mines in the south of Chhattisgarh, from where they are exported to Japan and other countries. The value of mineral production in the state was at around US$ 3.3 billion in 2011-12. During 2012-13 (up to December 2012), the state had generated US$ 449.8 million in revenues from minerals.

Value of mineral production (in US$ million) Mineral

Coal Iron ore Limestone Secondary minerals Bauxite

Value of production 201112^

1,216.8 1,913.6 62.0 69.9 22.1

Source: Chhattisgarhs Directorate of Geology and Mining Economic Survey of Chhattisgarh, 201213 ^Provisional

NMDC is the countrys single-largest iron ore producer and exporter. It produces about 30 million tonnes of iron ore from its fully-mechanised mines. The company operates two mines at Bailadila in Chhattisgarh. Iron ore from this region is considered the best for manufacturing steel as it has more than 66.0 per cent super high-grade iron content that is free from sulphur and other deleterious materials. In 2011-12, the company had a revenue of US$ 2.35 billion and an employee base of 5,924. NMDC plans to increase its total iron ore production capacity to around 50 million tonnes per annum (MTPA) by 2014-15. It is gearing up to enhance production capabilities of existing mines and open up new mine deposit 11B in Bailadila sector and Kumaraswamy in Donimalai sector. The company is in the process of developing a 3 MTPA steel plant at Jagdalpur and two pellet plants at Donimalai (1.2 MTPA) and Bacheli (2 MTPA).

NMDC Ltd

Jayaswal Neco Industries Ltd

Jayaswal Neco Industries Ltd, started in 1976, is a flagship company of Neco Group of Industries. It has three divisions; steel plant, foundry and mining.
The company owns a coal mine with reserves of about 38.84 MT in Raigarh district and produces 0.48 MTPA of coal mineral.

The state is the iron and steel hub of the country. The Bhilai steel plant of Steel Authority of India Ltd (SAIL) produces more than 3.2 million tonnes of saleable steel per annum. In addition, substantial capacities have been set up by the private sector. Additionally, projects having steel production capacity of 9.5 million tonnes are under development. Chhattisgarh contributes 32.0 steel/sponge iron production. per cent to India's

Steel modernisation and expansion plan (in million tonnes)

Material Current measured capacity
4.1 3.9 2.6 0.5

Capacity after expansion

7.5 7.0 5.9 0.7

Hot metal Crude steel Finished steel

The state is one of the leading iron ore producing states in India. In 2011-12, the state produced around 31.78 million tonnes of iron ore. Projects under development as of 2011-12 had the potential to add 7.5 million tonnes of sponge iron production capacity.

Semis

Saleable steel

3.2

6.6

Some of the key players

Steel Authority of India Ltd Tata Steel Essar Steel Godawari Power & Ispat Ltd

Sources: Chhattisgarh State Industrial Development Corporation, Department of Commerce and Industries Chhattisgarh, Economic Survey of Chhattisgarh, 2012-13, Chhattisgarhs Directorate of Geology and Mining

Steel Authority of India Ltd (SAIL)

SAIL is the countrys largest steel producer and the Bhilai Steel Plant is one of its largest integrated steel plants. It is a large producer of rails and heavy steel plates and is the countrys sole supplier for 260-m long railway tracks. With an annual production capacity of 3.15 MT of saleable steel, it also specialises in other products such as wire rods and merchant products. It is accredited with ISO 9001:2000, Quality Management System Standard and ISO-14001 certification for its environment management systems. In 2011-12, SAIL recorded revenues of US$ 10.5 billion. Established in 1907, Tata Steel is Asia's first and one of India's largest private sector steel companies. It is among the lowest-cost producers of steel in the world and features in the select list of global steel companies. In 2011-12, Tata Steel Groups consolidated turnover was US$ 26.13 billion. It has an annual crude steel production capacity of 30 million tonnes. The company has signed an MoU with the state government for setting up of a 5 MTPA greenfield integrated steel plant in Bastar.

Tata Steel

Essar Steel

Essar Steel is a large steel producer with offices in India, Canada, the USA, Middle East and Asia. The company is fully integrated, from iron ore mining to steel retail. It is also a leader in cold rolled, galvanised and pre-coated steel products. It is in the process of making significant investments in setting up steel plants across the world. The company has an iron ore-beneficiation plant at Bailadila, with an annual production capacity of 8 million tonnes. A flagship company of the Hira Group of Industries, Godawari Power is an integrated steel producer of mild steel wires. It also produces sponge iron, billets, ferro-alloys, wire rods, steel wires, fly-ash bricks etc. The company had revenues of US$ 429.79 million in 201112. GPIL has started its operations in Raipur, Chhattisgarh, as a sponge iron manufacturer in the year 2001 and has also been granted two mining leases by the state at Ari Dongri and Boria Tibu.

Godawari Power & Ispat Ltd

Jindal Steel and Power Limited (JSPL)

JSPL is one of the major steel producers in India with presence in diversified sectors such as mining, power generation and infrastructure. The company operates the worlds largest coal-based sponge iron plant and is the largest producer of coal-based sponge iron in India. JSPL has an installed capacity of 3 MTPA of steel at Raigarh in Chhattisgarh. Furthermore, the company is setting up a 7 MTPA steel plant, 2 MTPA cement plant and 1600 MW captive power plant with a total investment of around US$ 6 billion. Visa Steel Limited is engaged in the production of special steel and ferro chrome. The company has signed an MoU with the government of Chhattisgarh for setting up a 2.5 MTPA integrated carbon steel plant at Kotarlia in Raigarh district. Presently, the land acquisition process for this plant is underway.

Visa Steel

The state has abundant limestone reserves that support a strong cement sector.

Some of the key players

Chhattisgarh accounts for around 5.0 per cent of the total limestone reserves in India. In 2011-12, Chhattisgarh accounted for around 8.0 per cent of the total limestone produced in India. In 2011-12, the state produced around 20.2 million tonnes of limestone. The state has eight major and twelve minor operational cement units; a majority of the cement production units are concentrated in the Raipur area, Baloda Bazar, Durg and Champa. Cement projects with production capacity of around 10.5 million tonnes are under development.

ACC Ltd Lafarge India JK Lakshmi Cement Ltd UltraTech Cement Ltd

Source: Economic Survey of Chhattisgarh, 2012-13

ACC Ltd

ACC is one of the large cement manufacturing companies in India with a production capacity of 30 MTPA. It is also among the largest research and consultancy organisations in the Indian cement sector and a pioneer in the area of advanced materials. ACC has a cement plant at Jamul in the Korba district, with an annual production capacity of 1.58 million tonnes. The company had a revenue of US$ 2.05 billion in 2012. Lafarge India is a unit of the Lafarge Group the world's leading cement and construction material company. The total cement manufacturing capacity of Lafarge India is over 8 million tonnes per annum (MTPA). It has two cement plants, located at Sonadih and Arasmeta. JK Lakshmi Cement Ltd is a renowned and well-established name in the Indian cement industry. JK Lakshmi Cement comes in three variants: Cement 53 blended, 53 grade OPC and 43 grade OPC. It is coming up with a new greenfield project at Durg (Chhattisgarh), which will enhance the installed capacity of the company to 8.5 million tonnes per annum. The plant is expected to be commissioned by the end of 2013. The company had a revenue of US$ 414.06 million in 2011-12. UltraTech Cement is also a part of the Aditya Birla Group and has an annual capacity of 52 million tonnes. It manufactures ordinary portland cement, portland blast-furnace slag cement, portland pozzolana cement, ready mix concrete and building products and building solutions. The company has 11 integrated plants and 15 grinding units in India. Its Chhattisgarh plants are located at Hirmi and Rawan.

Lafarge India

JK Lakshmi Cement Ltd

UltraTech Cement Ltd

The states position as the Rice Bowl of Central India and its reliance on agriculture have led to the identification of the food processing industry as a special-thrust industry. Over 43 per cent of the states total geographical area is under agricultural cultivation. Food grains production in Chhattisgarh stood at 7.2 million tonnes in 2011-12.

Horticulture production in Chhattisgarh (in 000 tonnes)

Major type of crops
Spices

Production (2011-12)
5,414

Key crops
Turmeric, ginger, chilly Banana, papaya, cashew nut, mango and guava Tomato, potato

The government of Chhattisgarh is setting up a food processing park in the state. The park will be located in district Rajnandgaon (45 km from Raipur) on around 120 hectares of land. Project development is in full swing and is being implemented in the PPP mode by Ramky Infrastructure Ltd. The park is expected to be fully functional by October 2014.
The state government is setting up an agro mega food park at Kharoda and a mega food park at Tilda in the state. The state government has provided facilities for grading and processing of horticulture products and has set up 25 production units for value added services such as grading, processing, waxing, extraction and distillation.

Fruits

1,569

Vegetables Flowers

349 328

Rose, gerbera, gladiola, marigold

Aloe vera, lemon grass, citridora, khus

Medicinal and aromatics

914

Source: Economic Survey of Chhattisgarh, 2012-13 Credible Chhattisgarh 2012

Proposed clusters under PPP model

It has been proposed to develop a herbal-medicinal park at the Banjari and Bagaudh villages of Kurudh tehsil (30 km from Raipur) in Dhamtari, on about 250 acres of land. The project development cost of the park is estimated to be between US$ 5.4 million and US$ 7.6 million. The park will have about 500 units with a project cost of US$ 21.1 million. The project will be implemented through the PPP mode and is being developed by Ramky Infrastructure Ltd. It is expected to be completed by 2014. The state accounts for 17.0 per cent of Indias total exports of herbs and medicinal plants.
Investments (in US$ 000)
4,300 800 400

Districts
Bilaspur, Durg, Raipur Kanker Surguja

Projects
Ayurvedic medicines & herbal extracts Lac processing project Mahul leaves processing & oil extraction Tamarind processing & oil extraction

Biodiversity, a dedicated biotechnology policy, and abundance of medicinal plants of over 1,500 varieties are some of the factors that make the state a natural destination for the herbal-medicinal industry. Forests cover 44 per cent of the total geographical area of Chhattisgarh, and the state supplies 17 per cent of the total raw material consumed by AYUSH industries in India.

Bastar

600

Source: Credible Chhattisgarh, 2012 PPP: Public-Private Partnership

Chhattisgarh is one of the richest mineral sources in the country, including precious minerals such as gold and diamonds. The state is projected to emerge as one of the 22 economical diamond mines in the world, once production commences. The states gold reserves are estimated to be around 3 tonnes. Global mining companies such as ACC Rio Tinto and Geomysore Services Pvt Ltd are engaged in reconnaissance and prospecting operations for gold deposits in the state. Moreover, the state has reserves of alexandrite, a rare gem mineral, as well as other gemstones such as garnet, beryl, rosy quartz and amethyst. The state has received in-principle approval to establish a gems and jewellery special economic zone (SEZ) to carry out value addition within the state and attract new investments in the sector. The gems and jewellery SEZ will be developed on about 70 acres in Naya Raipur. Work is in progress and is expected to be completed by 2014. All India Gem & Jewellery Federation (GJF) organised Abhushanam, a unique networking meet for jewellers across Chhattisgarh in Raipur in October 2012. The state has an in-principle approved SEZ for gems & jewellery at Raipur.

Sources: Chhattisgarhs Directorate of Geology and Mining

Chhattisgarh is one of the leading producers of tussar and kosa silks in the country and has the potential to be a strong player in the Indian apparel industry. The CSIDC is establishing an apparel park on about four hectares for the development of textile and textile-based industries and to attract new investments in the sector. With the help of Apparel Export Promotion Council, three apparel training & designing centres (ATDC) have been set up in Chhattisgarh at Bilaspur, Raipur and Bhilai. These training centres are providing manpower to apparel industries in the state.
Source: Chhattisgarh State Industrial Development Corporation (CSIDC)

Chhattisgarhs rich mineral profile and the presence of large iron and steel players have prompted the state to develop the metals sector as a whole. Besides other large domestic and international iron and steel manufacturers, Bharat Aluminium Company Ltd (BALCO) has a large plant in the state. An aluminium park in the Korba district on approximately 140 hectares of land is proposed as one of the growth engines to promote value addition in the aluminium sector.

Source: Chhattisgarh State Industrial Development Corporation

Prior to setting up business in the state, certain approvals are required from different departments. The approvals are to be taken from the state government in the following order: Step 1: Allotment of plots/built-up sheds CSIDC allots the plot for setting up a project depending on the nature of industry and scale of investment. Step 2: Signing of the lease deed The lease deed is signed between the CSIDC and land applicant. Step 3: Water connection The completed application form should be submitted to CSIDC, which is also responsible for providing the water connection. Step 4: Electricity connection CSIDC is responsible for providing an electricity connection. Step 5: Pollution clearance Application in prescribed format is submitted to the District Trade & Industries Centre (for investment up to US$ 2.19 million)/State Investment Promotion Board (for investment above US$ 2.19 million) with environment impact assessment report.

Name of clearance/activity
Preliminary meeting with the convener after expression of intent by investor Arranging site visit for identification of land for investor's project after preliminary meeting Provisional registration of small scale industry at District Trade & Industries Centre Issuance of letter-of-intent for allotment of CSIDC industrial land Forwarding of investor's proposal by CSIDC/Directorate of Industries to District Collector for transfer of government land Forwarding investor's proposal by CSIDC/Directorate of Industries to the government for acquisition of private land Approval by government on land acquisition proposal

No of days
7 21 3 21

21

21 30

Source: Chhattisgarh Industrial Investment Promotion Rules 2004, State Investment Promotion Board, Government of Chhattisgarh

Name of clearance/activity
Issuance of notification by the District Collector under Section 4 of the Land Acquisition Act, 1894 : a) Intimation of anticipated compensation amount to the investor b) Publication of Section 4 Notification After deposit of anticipated compensation amount Issuance of certificate for exemption from payment of stamp duty by: a) District Trade & Industries Centre b) Directorate of Industries Issue of no-objection certificate (NOC) from local bodies for establishment of industry Grant of permission for building construction from Gram Panchayat Grant of permission for development of land under the Chhattisgarh Nagar Tatha Gram Nivesh Adhiniyam, 1973 Grant of permission of land diversion Grant of permission to develop, erect, re-erect or to make alteration in any place in a building under Chhattisgarh Nagar Tatha Gram Nivesh Adhiniyam, 1973 Sanction of allotment of water from Water Resource Department: a) At the applied site b) At different site

No of days
a) 30 b) 7

a) 7 b) 15 30 30 60 90 30

a) 60 b) 90 30

Issuance of power availability certificate by CSEB

Source: Chhattisgarh Industrial Investment Promotion Rules 2004, State Investment Promotion Board, Government of Chhattisgarh

Name of clearance/activity
Sanction of power supply for low tension (LT) connection by CSEB Sanction of power supply for high tension (HT) connection by CSEB Approval of drawings by Electrical Inspector Environment consent for small scale industry under simplified procedures by District Trade & Industries Centre Consent for establishment of industry under Water (Prevention & Control of Pollution) Act, 1974 Consent for establishment of industry under the Air (Prevention & Control of Pollution) Act, 1981 Registration and grant of license under the Factories Act, 1948 Sanction of power supply for low tension (LT) connection by CSEB Sanction of power supply for high tension (HT) connection by CSEB Approval of plans and permission to construct/extend or take into use any building as a factory under the Factories Act, 1948 Approval of site for hazardous process factory under the Factories Act, 1948 Registration of establishment under the Contract Labour (Regulation & Abolition) Act, 1970

No of days
45 60 15 10 120 120 90 45 60 90 90 30

Source: Chhattisgarh Industrial Investment Promotion Rules 2004, State Investment Promotion Board, Government of Chhattisgarh

Name of clearance/activity
Registration of boiler under Indian Boiler Act, 1953

No of days
30

Registration under Chhattisgarh Vanijyik Kar Adhiniyam, 1994

Registration under the Central Sales Tax Act, 1956 Permission for use of forest land for non-forest purposes under Forest (Conservation) Act, 1980 a) New application b) Renewal of application Permanent registration of small scale industry at the District Trade & Industries Centre Production certificate for medium and large scale industry from the District Trade & Industries Centre

1
1 a) 90 b) 30 21 21

Source: Chhattisgarh Industrial Investment Promotion Rules 2004, State Investment Promotion Board, Government of Chhattisgarh

Agency

Contact information
LIC Campus, Pandri, Raipur Phone: 91-771-2583 793/4070 534/2583 789 Fax: 91-771-2583794 E-mail: csidc.cg@nic.in Website: www.csidc.in Near Mantralaya, Renuka Dwar, Shastri Chowk, Raipur, Chhattisgarh - 492 001 Phone: 91-771-4066351,4066352 Fax: 91-771-4066315 E-mail: sipb.cg@nic.in

Chhattisgarh State Industrial Development Corporation (CSIDC)

State Investment Promotion Board

Cost parameter
Industrial land (per sq ft) Office space rent (per sq ft) Power cost ( per kWh) US$ 6 to US$ 25

Cost estimate

US 70 cents to US$ 3.2 per month Commercial: US 4.5 cents to US 10.4 cents Industrial: US 5 cents to US 11.4 cents

Labour cost (minimum wage per day)

US$ 3.2 to US$ 3.8

Sources: Industry Sources, Ministry of Labour and Employment, Government of India, Chhattisgarh State Electricity Regulatory Commission

Chhattisgarh Solar Policy 2012

Objective

To encourage, develop and promote solar power generation in the state with a view to meet the growing demand for power in an environmentally and economically sustainable manner.

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IT / ITeS Investment Policy of Chhattisgarh 2012-2017 Objectives

To develop the ecosystem for a knowledge economy in the state. To promote the state as an investment destination.

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Agro & Food Processing Industries Policy 2012 Objectives

To enhance the income of the farmers of the state. To encourage farmers of the state to diversify for farming of fruits & vegetables and other cash horticulture crops as alternatives to paddy by development of the agro & food processing industries.

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Automotive Industries Policy - 2012

Objective

To take initiative for promotion of a non-core sector in the state to encourage the establishment of non-core sector industries in future.

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Industrial Policy 2009-2014

Objectives

To accelerate the pace of industrialisation in the state. To create an enabling environment and infrastructure for encouraging exports from the state. To promote private sector participation for the development of basic and industrial infrastructure.

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Mineral Policy 2001 Objective

To establish an investor-friendly business environment in the mining sector in order to attract both domestic and international private sector investors.

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Energy Policy 2001 Objective

Chhattisgarh has immense potential for coal-based thermal power generation. The policy aims to accelerate the pace of development of the sector, bring it at par with other developed states, and ensure the availability of reliable and cheap electricity to every section of society; both in the rural and urban areas.

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Biotechnology Policy
Objectives

To enable the local communities to get optimal advantages of their natural, bio-cultural and bioknowledge heritage in a sustainable manner. To institutionalise major capabilities in biotechnology research and development in general, with particular focus on indigenous knowledge systems and their applications in furthering socioeconomic growth. To facilitate an environment for research through development of infrastructure and appropriate incentives.

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Exchange rates Year

2004-05 2005-06 2006-07 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13

INR equivalent of one US$

44.95 44.28 45.28 40.24 45.91 47.41 45.57 47.94 54.31
Average for the year

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