Rs 87,155 cr deals inked on Day 1

Vibrant Gujarat Global Investors' Summit kicks off

Deals worth a whopping 87,155 crore were signed on the first day of Vibrant Gujarat - Global Investors' Summit 2005.

However, many of these projects have either been announced earlier or are already at some stage of implementation.

While the government claims that all these projects would be implemented within a year, industry watchers call this an attempt by the Gujarat government to sell old wine in a new bottle.

Principal secretary, industries and mines, Gujarat government, D Rajagopalan, said on Wednesday evening that, excluding the proposed investments announced by the Reliance group (which has not provided a figure for the investments it intends to make), MoUs worth Rs 87,155 crore were signed on the first day of the summit.

Some of the projects that have been announced for the first time on Wednesday include Reliance's setting up a port-based SEZ, Reliance providing piped gas to 22 cities in the state, Reliance setting up a science and technology university, Essar setting up a power plant, Videocon announcing a CTV manufacturing unit in Kutch and expansion of its Bharuch facility, L&T setting up a power plant at Utran near Surat and Arvind Mills setting up a unit in garment SEZ at Ahmedabad.

However, several other projects like the Essar group expanding the capacity of its steel manufacturing facility at Hazira from three million tonnes per annum to seven million tonnes per annum with an investment of Rs 6000 crore have already begun.

Similarly, Shell Hazira's announcement on Wednesday to double capacity of its LNG terminal to 5 million tonne and then to 10 million tonne with an investment of Rs 3500 crore has been talked about for about a year now.

Even the announcement by the Ahmedabad based Torrent group of investing Rs 6000 crore in power generation and distribution and pharma, have been reported earlier.

Announcements by the Adani group on Wednesday to invest in the expansion of the Mundra port and the Mundra SEZ have been made earlier too. However, a new port cum SEZ at Maroli/Umergaon is a new announcement.

General Motors too pitched in on Wednesday with an MoU to invest Rs 300 crore to double its car making capacity at the Halol unit. However, GM officials have announced this intention several times in the past ten months.

Also, announcements made by Welspun group to invest into its textile unit, have been reported earlier.

SIDELIGHTS
Where's my car, dude?
At the end of the inaugural function of Vibrant Gujarat Global Investors' Summit 2005 it looked as if locating an investor was more easy than locating parked cars. Most of the BJP MLA's and MPs were finding it difficult to locate their cars. While some were trying to locate their drivers, others were attempting to get the names of their drivers be beamed over the public information system.

It's a free ride
Global Investors' Summit also attracted school children in large number. They were here to watch the exhibitions as part of the Summit, at the Gujarat Science city. Taking the advantage of the free bus ride arranged by the state government, not just school kids but just about anyone who had some time to while away reached the Science city.

Modi in high spirits
Chief minister Narendra Modi was unusually cheerful on Wednesday. After the inaugural function, Modi brushed aside NSG commandos and walked to the exhibition area than use his official car. He waved at school children and visitors and spent almost an hour at the exhibition area.

(Compiled by Meghdoot Sharon)