Under the dynamic leadership of Chief Minister Naveen Patnaik, Odisha has been transformed into an ideal investment destination. For investors, the major factors in favour of the state are its political stability, good governance and the availability of a pool of skilled personnel. Odisha has also done extremely well in delineating specific sectors and developing them. The reason for Odisha’s political stability is Patnaik’s record four terms of uninterrupted leadership.
Patnaik is clear about his priorities for Odisha. “To usher in balanced socio- economic growth of Odisha that hinges on sustainable development with strong fundamentals of industrial growth, right harnessing of natural resources and actualisation of sustainable employment potential,” is what he seeks. His efforts are already showing. Odisha now accounts for an 18% share of India’s FDI proposals. It has achieved 8.78% GDP growth during 2014-15, 20% higher than India’s GDP growth rate, and is poised to grow at around 12% by 2020, according to Dun & Bradstreet.
Industry body ASSOCHAM on 25 March 2016 said that Odisha has secured the top position, accounting for the highest share in total “live investments” attracted by the manufacturing sector in India which is worth around Rs 33 lakh crore. “Odisha has a 17% share in total live investments. Gujarat has ranked second in terms of share in total outstanding investments attracted by the manufacturing sector followed by Karnataka (11%), Jharkhand (9%) and Chhattisgarh (7%),” noted the study titled “Impact analysis of delay in investment implementation in manufacturing”, conducted by ASSOCHAM.
Ease Of Doing Business
Odisha has been a pioneer in introducing the “Single Window Clearance System”. The Orissa Industries (Facilitation) Act 2004 was one of the first legislations for single window clearance system in the country. According to the World Bank, Bhubaneswar is among the most business-friendly destinations in the country and the “third best city in India to do business”. Odisha is the eastern gateway to the ASEAN region with the network of national and state highways connecting the hinterland of resource-rich regions and mother plants to the largest ports on the east coast, thus facilitating easy access to the markets of the ASEAN region. The Paradip Port is the largest in the country in terms of cargo handling capacity, networked with other ports at Dhamra and Gopalpur. The state government has undertaken sweeping reforms to improve the investment climate — from allotment of land to renewal of licences.
Odisha Industrial Development Plan 2025
The Odisha government has formulated “Vision 2025: Odisha Industrial Development Plan” with focused attention to five sectors. According to Chief Minster Naveen Patnaik: “This has thrown open new opportunities to investors from across the world. We have alongside implemented business reforms to ensure that all the projects receive approvals within 30 days or less. We are already recognised as one of the leading investment destinations and aspire to be the Numero Uno destination in the country by 2020.” The “Odisha Industrial Development Plan 2025” (OIDP) has been developed keeping in mind the strategic advantages of the state and the opportunities that exist. It is a future-looking plan and will lead to the creation of an additional 10 lakh jobs with an investment of Rs 2.5 lakh crore, Odisha as a leader in manufacturing in eastern India. The OIDP gives special emphasis on five focus sectors critical to Odisha’s success. They are (a) agro and food processing (b) chemicals and petrochemicals (c) textiles (d) downstream and ancillary industries and (e) ESDM (Electronic System Design and Manufacturing) and IT/ITeS.