From Our Special Correspondent
Daijiworld Media Network - Bengaluru

Updated

Bengaluru, Feb 3: Karnataka’s ambitious three-day global investors’ summit, Invest Karnataka 2016, got off to a rousing start with the Centre led by Union Finance Minister Arun Jaitely and the trio of Venkaiah Naidu, Nitin Gadkari and Ananth Kumar promising complete cooperation and a slew of mega investment commitments to the State in the true spirit of cooperative federalism while the captains of industry announcing huge projects to boost the infrastructure.

Jaitely, in his inaugural address after switching on the glittering robot operated display of the diverse facets that have made Karnataka the place where the State’s and the country’s future is made, set the tone and task by strongly underscoring the need for the State to exceed the national growth rate by at least 2 to 3 % if Prime Minister Narendra Modi’s goal of Make in India and Start Up India were to be achieved.

"This is one of the greatest challenges to Karnataka with its first rate human resource potential and natural resources," he said.

"One of the best things that happened to Karnataka over the last 2-3 decades was that even at the age of regulated economy, some wisdom dawned on this country and we decided to leave the IT sector alone. Since we left the IT sector alone free from any interference of the government, they prospered. They became in fact a face of India’s growth potential," Jaitley added.

With natural innovation, start-ups growing in the state, and a lot more potential in aerospace, the state should look at large manufacturing investment potential, he suggested.

"Manufacturing is where jobs are... if we are able to concentrate on this with natural advantage of R&D centres worldwide coming into the state, I think we can exploit all these potential and really convert Karnataka into a destination of investment of economic activity of growth," Jaitley added. ''I think every rupee that goes into Karnataka, investment goes into India's growth..."

Given his pre-occupation with the preparation of the Modi regime’s third budget and understandably the need to be reticent, it was left to Union Road Transport and Shipping Minister Nitin Gadkari, Urban Development Minister M Venkaiah Naidu and Union Chemicals and Fertilisers Minister H N Ananth Kumar, who hails from Karnataka, to be more forthcoming to give a big boost for the Invest Karnataka global summit by announcing a series of mega investments for different projects pertaining to their respective departments in the State.

The galaxy of dignitaries on the dais, including the quartet of Union Ministers – Arun Jaitely, Venkaiah Naidu, Nitin Gadkari and Ananth Kumar – as well as the captains of industry and doyens of entrepreneurs ranging from Ratan Tata, Anil Ambani, Sajjan Jindal, Kumar Mangalam Birla, N R Narayana Murthy, Gautam Adani, Kiran Mazumdar Shaw, Uday Kotak and others as well as foreign ambassadors and other dignitaries, showered warm appreciation for the dynamism, visionary and pro-active leadership of Karnataka Chief Minister

Siddaramaiah and Large and Medium Industries Minister R V Deshpande as well as other ministers and bureaucrats of the State.

Responding to the major concern of the industrialists and investors on the need for good infrastructure facilities, Gadkari said his department would be executing projects for expanding the present national highway network of 9,632 kms by another 4,000 kms by spending Rs 60,000 crore by the end of December and another Rs 40,000 crore for the road network next year.

The capacity of the Karnataka’s all-weather New Mangalore Port would be doubled at a cost of Rs 10,000 crore taking the total investment by his ministry in the State to Rs 1,10,000 crore, he said.

Urban Development Minister Venkaiah Naidu underscored the need for development and welfare to go hand in hand to ensure the success of Modi’s mantra of "SabkaSaath, SabkaVikas," and housing for all by 2022 was the Centre’s goal.

Naidu helped in elevating the mood of the over 5000 delegates from India and abroad as well as the people of Karnataka by declaring complete support from the Centre for executing the peripheral ring road, suburban railway system and expanding the metro rail network in and around Bengaluru.

Union Chemicals and Fertiliser Minister Ananth Kumar said a State-of-the-art Research and Development (R&D) Centre would be set up in Bengaluru for the establishment of Central Institute of Plastic Technology (CEPT). The National Institute of Pharma Education and Research (NIPER), the second such centre of excellence after the first one in Maharashtra established last year, was also proposed to be set up in Bengaluru.

Kumar said the Centre proposed to set up a mega fertilizer plant in North Karnataka with a capacity of manufacturing 13 lakh tonnes per annum of urea if the State Government provided land.

In his reply to Kumar, the Chief Minister in his presidential address said the State Government had already offered to provide 500 acres of land for setting up the fertilizer plant in any of the four places of Vijayapura, Bagalakote, Dharwad or Raichur in North Karnataka. The Government has also offered 5 acres of land free of cost in the City and financial assistance of Rs 43.5 crore for the proposed SIPET and 100 acres of land for the NIPER either in Mysuru or Mangaluru.

CM promises 500 acres for setting up fertiliser plant in N Karnataka

The Karnataka Government has offered to provide 500 acres for setting up a fertilizer (urea) plant in north Karnataka and 100 acres for establishment of a centre of the National Institute of Pharmaceutical Education and Research (NIPER) either in Mysuru or Mangaluru.

Making announcement at the opening day of the ‘Invest-Karnataka-2016’ Global Investors Meet in Bengaluru on Wednesday, Karnataka Chief Minister Siddaramaiah said five acres would be granted for establishing a R&D centre of the Central Institute of Plastics Engineering& Technology (CEPET) in Bengaluru.

Responding to the demands of allotment of lands for the urea factory made by Union Minister for Chemicals and Fertilizers Ananth Kumar, Siddaramaiah said 500 acres would be allocated for urea factory in any one of the four districts – Vijayapura, Bagalkote, Dharwad and Raichur – in North Karnataka.

"We will provide whatever the quantity of land required to set up the urea plant and other institutions”, Siddaramaiah told Kumar amidst applause from a vast number of delegates representing the industry.

Presiding over his Government’s maiden investors meet, Siddaramaiah said in order to promote ease of doing business, the government would set up an Industry-Government Partnership entity, which can provide and promote a host of services under ‘Invest Karnataka’ brand.

"Karnataka is a $120 billon economy. Let us make it a $ 700 billion economy by 2035. If India aspires to grow at 9 per cent let us aspire Karnataka to grow at 10 per cent,” he said.

The World Economic Forum has identified Karnataka among the top four innovation hubs in the world and Bengaluru ranked as the fourth largest global tech cluster after Silicon Valley, Boston and London.

Over 400 of the biggest Fortune 500 Companies have made Karnataka their home and continue to invest in the state, the chief minister noted in his 12 page address to the summit.

The State houses more than 400 R&D institutions and innovation centres of global brands – perhaps, no other region in the world can boast of such a concentration of brands, he said.

As per the Global Startup Eco System ranking report 2015, Bengaluru is the only Indian city to be ranked among the top 20 startup eco-systems in the world, Siddaramaiah said.

What the industry captains said Invest Karnataka Summit

Ratan Tata, chairman of Tata Group

Karnataka has always been and will remain at the centre of IT/BT and Electronics, aircraft and aerospace industrial sectors, said Ratan Tata, chairman of the Tata Group.

Recalling the Tata Group’s long and fruitful relations with Karnataka and pro-active, visionary and industry-friendly government and the helpful bureaucrats, the Tata Group chairman said it was a privilege to be associated with the State and said investors and industrialists should consider the State for their investment proposals.

"India has a huge market, potential for capital and skills. With the increased coordination between government, business and industries was essential," he said and felt Karnataka was the best place for investment.

N R Narayana Murthy, co-founder and chairman Emeritus of Infoysis

"Karnataka Government, KSSIIDC and KSFC are responsible for the birth and growth of Infosys," said N R Narayana Murthy, co-founder and chairman emeritus of Infosys, recalling that leading banks had refused to sanction a loan of Rs 50 lakh for starting his company in 1983 and it was KSSIIDC and KSFC that came to the rescue by sanctioning the loan and releasing the money within a week.

Infosys has today grown into IT bellwether company and has established three development centres in Bengaluru, Mysuru and Mangaluru and the fourth centre is being started at Hubballi in Karnataka, he said.

He said Bengaluru’s contribution to India’s IT industry revenue was 38 % and the contribution to GDP was US $ 35 billion with exports to the tune of US $ 27 to 28 billion. Karnataka would progress leaps and bounds, especially Bengaluru, with better infrastructure facilities.

Azim Premji, chairman of Wipro

With diverse investments and presence in IT sector, consumer care, engineering and aerospace along with the education sector employing over 55,000 persons in the State, AzimPremji said Karnataka was a very hospitable and progressive State. A major expansion in Wipro would provide additional employment to 20,000 persons.

Kumara Mangalam Birla, chairman of Aditya Birla Group

The Birla Group has invested Rs 30,000 crore in the IT sector in the State during the last two years. An investment of Rs 5,000 crore on the cement plant and a Rs 1000 crore will be invested on plantation farming at Harihar, said Kumar Mangalam Birla, chairman of Aditya Birla Group.

The Birla Group will also be aggressively investing in the solar energy sector, telecom, apparel and also in the start-up sectors besides taking up CSR projects in over 100 villages of Karnataka, he said.

Anil Ambani, chairman of Anil Dhirubhai Ambani Group

The Anil DhirubhaiAmbani Group will be setting up the DhirubhaiAmbani Innovation and Space Research Centre at Whitefield which would help in developing cutting edge technology in aerospace and defense sectors to help the country to become the undisputed leader, Anil Ambani, Chairman of Anil DhirubhaiAmbani Group said.

Sajjan Jindal, chairman of JSW Group

The JSW Group has already invested Rs 60,000 crore in its Steel Plant in Hosapete, Ballary and would be expanding the plant by investing another Rs 35,000 crore in the next 3 to 5 years, said Sajjan Jindal, Chairman of JSW Group.

Gautam Adani, founder chairman of Adani Group

The Adani Group with its strong presence in the energy, transport and shipping sectors, would expanding its vegetable oil refinery in Mangaluru to touch 4 lakh MTPA to become the largest in India. The 1200 mw Udupi thermal plant acquired by the Group last year would expanded to produce another 1600 mw generation capacity with an additional investment of Rs 11,500 crore. This would entail additional investment for the expansion of the Mangaluru port, he said.

The Tadri port in Uttara Kannada district would be modernized with modern facilities at a cost Rs 2000 crore, while the renewable energy generation capacity of the Group will be raised to by 1000 mw in the solar energy sector with an investment of Rs 7,000 crore to help reduce Karnataka’s energy deficit, Adani added.

Earlier Report

Reliance Group announces aerospace centre in Bengaluru

Bengaluru, Feb 3 (IANS): Reliance Group chairman Anil Ambani on Wednesday announced an aerospace centre here for research, development and innovation in the field, promising some 1,500 highly skilled jobs.

"We've invested nearly Rs.5,000 crore in Karnataka across a wide array of sectors from telecom to energy to entertainment to financial services and now defence and created nearly 5,000 jobs," Ambani told the inaugural event of the "Invest Karnataka Summit".

"But we are ready for much more. And I am here today to make a big commitment in that direction by announcing the Dhirubhai Ambani Centre for Innovation and Research in Aerospace," Ambani added.

According to him the new initiative, to come up under the Reliance Defence banner, will be a knowledge-driven technology venture to symbolise the "Bengaluru spirit" of innovation. It is slated to come up at Whitefield on the outskirts of this tech-driven city.

"The aerospace industry has always taken the lead in the rapidly changing technology. While we are talking about 5th generation fighter aircraft, 6th generation technologies are already finding applications," he said.

Last year the group had announced the Dhirubhai Ambani Aerospace Park, spread over 400 acres at the multi-modal international cargo hub and airport at Nagpur, to create an ecosystem for the indigenous manufacture of aerospace components.

It intends to form a cluster of manufacturers for major aircraft components, spares and avionics requirements of the aerospace industry.