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Odisha, which has drawn considerable investment in the metals and mining sectors over the past decade, is now keen to lure investors to set up industries that can run without dependence on its rich mineral resources.
“We are endeavouring to diversify Odisha’s investment base by focusing on sectors not dependent on natural resources, such as agribusiness, tourism and information technology. Extremely forward-looking policies are under formulation for the fishery and poultry sectors,” said Chief Minister Naveen Patnaik at the Business Standard Odisha Round Table, 2014, here.
He hoped once these policies were in place, they would attract large commercial investments in these sectors.
Odisha has turned out to be the El Dorado for investors who sought to exploit its mineral resources. The state has about 28 per cent of India’s iron ore, 24 per cent of coal, 59 per cent of bauxite and 98 per cent of chromite. Odisha has attracted investments worth Rs 14 lakh crore, the bulk of that in metals and mining.
But a stricter regulatory environment, growing concerns over the ecological fallout and negative externalities of mineral-based industries, and resistance offered by affected people have prompted the state government to veer towards smoke-free development.
Patnaik said the key objective of his government was to progressively address the task of achieving sustainable and inclusive economic growth and accelerating human development in the state. “This places greater emphasis on upgrade and improvement of the infrastructure base in the state and efficient delivery of public services,” he added.
“We realise that infrastructure development alone will make our multi-faceted schemes and programmes in different socio-economic sectors sustainable, leading to greater growth multipliers. Public-private partnerships will play a key role in achievement of this vision,” he said.
The state has targeted attracting investment of at least Rs 5,000 crore in infrastructure through PPPs during the 12th Plan period. “We are well on track to achieve this target,” said the chief minister.
Several initiatives have commenced in municipal corporations for solid waste management and street lighting through PPPs. Dedicated budgetary provisions had been made for viability-gap funding, which would catalyse the geographic spread of PPPs in Odisha, Patnaik said.
Understanding the need for road, rail and air connectivity, the state has lined up big investments in these critical infrastructure sectors.
The Odisha State Highways Development Project has been launched for widening of all state highways over a period three years. Road projects are being implemented through external assistance, as well as PPPs.
The state government has been investing in special-purpose vehicles for faster execution of railway projects of economic importance. Patnaik said Business Standard Round Table, 2014, would provide valuable policy inputs that could be useful for putting the state on a sustainable growth trajectory. The forum deliberated on ways to help transform Odisha into an economic powerhouse.
