Dholera infra is ready, waiting for anchor investor: Gujarat chief secy

The infrastructure has been laid, plotting has been done. We have created water and power. There is a solar manufacturing unit as well, Kumar said

Gujarat is being proactive in reaching out to investors and trying to create an enabling environment for companies, the state’s chief secretary Raj Kumar (pictured) said. In a conversation with Ruchika Chitravanshi in Gandhinagar, Kumar talked about the Dholera smart city project, Foxconn investment, Tesla’s India entry, tourism and more. Edited excerpts:

After Foxconn walked away from the semiconductor joint venture with Vedanta, is the Taiwanese major separately talking to the Gujarat government for setting up a chip plant on its own or with other partners?
 

The scheme is of the government of India and maximum subsidy is by the government. Top-up is being provided by us. The investor looks at alternatives and they must be doing an assessment of what the state is offering. They have been talking to us.
 

What is the status of the MoU you had with Foxconn and Vedanta?
 

The MoU was contingent on their proposal being approved by the government of India. In the absence of that, and companies parting ways, that proposal is perhaps no longer alive.
 

How would you describe the progress in the Dholera smart city project? Because its located in low-lying area, 

some companies have been hesitant to invest here. Isn’t it?
 

The infrastructure has been laid, plotting has been done. We have created water and power. There is a solar manufacturing unit as well. Some activity is going on, infrastructure is in place. That was the reason why initially Foxconn and Vedanta had selected that place. We are just waiting for some anchor investor.
 

What about the Indian majors? Is the Tata Group investing in Dholera? 
 

Tata Chemical already has land there and we are waiting for further details from them. We are also looking at an opportunity for investment in aerospace because Dholera is also going to have an international airport. So, alongside the airport, there will be opportunities for manufacturing of aircraft, MRO (maintenance, repair, operations). All these opportunities have now opened up and we are looking at those investments also.
 

But Tata is not your anchor investor in Dholera….

They have not become one. But we would like them to become our anchor investor in aerospace. They have shown some interest. 
 

Tesla has shown interest in investing in India. Is Gujarat on its horizon?
 

If Tesla is planning to come to India, Gujarat is definitely the topmost destination which you can offer them. We will be reaching out to them. You have to market yourself.
 

What are you doing to make Gujarat a better destination compared to other states? 
 

What does the investor want? For their investment to become productive in the least possible time, they look for an enabling environment such as access to various infrastructure, communication facilities, and law and order. Some people also look at incentives that we offer.They are also looking at availability of water and power. We are about the chemical, petrochemical, pharmaceutical industry, and they need access to effluent treatment plants. We are providing that infra to them and creating this enabling environment. 
 

What is your goal for the manufacturing sector?
 

Right now 36 per cent of the state's GDP comes from manufacturing and we want to increase it to 50 per cent by 2030. This growth will come from these new technology sectors, green ammonia, nitrogen, renewable energy. We are also looking at semiconductor space and defence. These are the areas we are looking at for future investment in the manufacturing sector. Our strategy is also to develop world class tourist destinations such as Rann of Kutch, Gir sanctuary, Smriti Van, Maritime Hertiage Museum. Tourism sector is very important to us. 
 

What do you see as the big challenge for Gujarat?
 

It is not about Gujarat; whatever perception people have of our country, we are sailing in the same boat. If everybody thinks that China plus one is a way forward, then we are promoting Gujarat as the preferred destination for China plus one strategy. Some of our areas of strength are for instance, chemicals, pharmaceuticals, petrochemicals, renewable energy.