Pioneering policy initiatives spur gujarat’s phenomenal growth

Pioneering policy initiatives spur gujarat’s phenomenal growth

Gujarat Chief Minister Anandiben Patel arrives at the ‘Gujarat Investor Summit’ during the ‘Make in India’ week , in Mumbai on 16 February 2016. Photo: ians
The common theme linking the slew of policies announced by the Gujarat government is the state government’s endeavour to raise maximum opportunities for employment, entrepreneurship, empowerment and self-reliance.
In the process of continuous development and improving the quality of governance and delivery, Chief Minister Anandiben Patel’s government announced a number of policy initiatives in February 2016 across diverse sectors. While on the one hand, the announcement focused on technological advancement through IT/ITeS Policy and the Electronics Policy, on the other, it laid out a better defined path for social sector issues through the Cottage and Rural Industries Policy and Sports Policy.
The common theme that binds these policies together is the state government’s endeavour to raise maximum opportunities for employment, entrepreneurship, empowerment and self-reliance. It also reflects the Gujarat government’s honest efforts to incentivise and appreciate hard-working people.
Here’s a summary of some of the key features of all these policies:
IT/ITeS Policy and Incentive Scheme (2016-21)
Launched on 12 February 2016, through this policy, the Gujarat government aims to dramatically scale up the level of investments in the Information Technology sector, and also take ahead Prime Minister Narendra Modi’s “Digital India” mission in Gujarat. Along with increasing employment opportunities for the youth, the new IT policy also lays special emphasis on creating Research and Development schools and institutes in Gujarat, for IT. 
The main objectives of this policy are: 
Increasing the current investment in units related to IT/ITeS service by 10 times. 
Increasing the turnover of IT/ITeS Industry to $15 billion.
Increase exports from IT/ITeS sector by $2 billion.
Create job opportunities for one million youth in the IT sector.
Provide capital subsidy upto Rs 25 crore to IT/ITeS Parks.
IT companies availing assistance under the IT/ITeS policy will have to take interns at a rate of one intern for every 20 employees, on a payment basis.
New Cottage & Rural Industries Policy 2016
In order to both promote cottage and rural industries within the state and also preserve Gujarat’s traditional crafts sector, the Gujarat government has launched the “New Cottage and Rural Industries Policy 2016”. Under this policy, a pilot project known as “One Village One Product” will be started, which aims to preserve and revive Gujarat’s traditional crafts. The major objectives of this policy are: 
Setting up a Crafts Museum to showcase Gujarat’s exquisite arts and crafts. 
Provide focused skill development to artisans through targeted training in design, production process, marketing and business skills, in order to enhance the marketability of their products.
Expanding marketing avenues for artisans and crafts people by promoting craft clusters through tourism.
Improving socio-economic condition of women in this sector by providing them special support and incentives.
Ensure access to credit, comprehensive social security and welfare measures for the people engaged in the sector.
On 29 February 2016, the Gujarat government announced a new Electronics policy, in order to make the trajectory of the state’s growth more technology driven. Through this policy, the government of Chief Minister Anandiben Patel hopes to accomplish Prime Minister Modi’s vision of “Make in India”. Once implemented, Gujarat will become one of India’s leading electronics manufacturers. Special incentives have been announced in the policy to set up Electronic Manufacturing Clusters (EMC) and Electronic System Design & Manufacturing (ESDM) units. Some of the main provisions of this policy are as follows:
Incentives for Clusters
Assistance upto 25% with upper limit of Rs 25 crore for clusters developed in estate with an area up to 200 acres.
100% exemption to be given on stamp duty and registration fee for lease/sale/transfer of land. 
Power tariff subsidy to be given at Rs 1 per unit and 100% electricity duty for a period of 5 years will be reimbursed.
Incentives for Electronic System Design & Manufacturing (ESDM) Units
Capital subsidy will be given at a rate of 10% with upper limit of Rs one crore for ESDM units with capital investment in immovable property like plants; machinery etc. is upto Rs 10 crore.
Capital subsidy will be given at a rate of 5% with upper limit of Rs 25 crore for ESDM units with capital investment in immovable property like plants; machinery etc. is more than Rs. 10 crore and upto Rs 1,000 crore. 
EPF (Employee Provident Fund) contribution will be reimbursed with a limit up to Rs one crore per annum for first five years. It is compulsory that 100% of EPF amount should have been paid in case of female employees and 75% of EPF amount should have been paid in case of male employees.
Employment generation for 5 lakh people is targeted by 2021.
Gujarat Sports Policy 2016
Announced on 9 March, the “Sports Policy 2016” aims to create an incentivised dynamic sports ecosystem, based on transparency, effectiveness, and irreversibility, with inclusivity and equal opportunities for all. The policy envisages putting in place the six fundamental pillars of sports development so that the overall Human Performance Index of the state gets a much-needed boost. The policy will help spread awareness of sports across various sections of society, resulting in character building and inclusive development. Some of the salient features are:
The state government to roll out scholarships and incentives to attract the youth to take up a career in sports and to ensure that high-performance athletes are given jobs.
To provide benefits for players through scholarships, training, sports equipment, travel, sports nutrition, stipend and cash awards.
Motivate Divyang players through Special Khel Mahakumbh and attractive cash prizes.
Creation of sports infrastructure and play fields through open fields, fulfilling land requirement for sports complexes, multipurpose utilization of sports infrastructure for self-sustainability and involving private sector for sports infrastructure. 
Empower local communities through setting up of sports committees in villages and Sports Development Council at Municipal Corporations, Prants, Taluka and District level.
Using Khel MahaKumbh state competition to identify talent at each level and train them at Khele Gujarat Summer Camp.
Emphasis on sports in schools and colleges through inclusion of sports as a subject, qualified physical education teachers, flexibility in attendance for students competing in state-level and bigger competitions etc.
Talent Identification and nurturing through creation District Level Sports Schools (DLSS) in each district and nurture talent in residential sports academies.

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