Jharkhand August 2014
Jharkhand August 2014
Jharkhand August 2014
• Jharkhand is one of the richest mineral zones in the world. The state boasts of 40 per cent
Mineral-rich state
and 29 per cent of India’s mineral and coal reserves, respectively.
• With 26 per cent of the total iron ore (hematite) reserves, Jharkhand ranks second among
Second largest iron ore
the states. During 2012-13, the state accounted for 13.2 per cent of the total iron ore
deposits produced in India.
• During 2012-13, the value of minerals produced in Jharkhand was US$ 3.0 billion. The
Leading producer of
state had a 7.4 per cent share in the total value of minerals (excluding atomic and minor
minerals in India minerals) produced in India.
Sole producer of coking • Jharkhand is the only state in India to produce cooking coal, uranium and pyrite. The state
coal, uranium and pyrite is also a leading producer of coal, mica, kyanite and copper
Largest producer of • Jharkhand is the largest producer of tussar (a non-mulberry silk) in India, with 63 per cent
tussar silk share in the total output.
• Jharkhand is home to one of the largest steel plants in India and accounts for 17.6 per
Leading steel producer
cent of the steel production in the country.
Parameters Jharkhand
Capital Ranchi
Jharkhand is located in the eastern part of India. The state Geographical area (sq km) 79,714
shares its borders with West Bengal in the east, Uttar Administrative districts (No) 24
Pradesh and Chhattisgarh in the west, Bihar in the north
and Odisha in the south. Population density (persons per sq km) 414
Commonly spoken languages of the state are Hindi and Total population (million) 33.0
Santhali; Urdu and Bengali are also prevalent. English is Male population (million) 16.9
the primary medium of education.
Female population (million) 16.1
Forests and woodlands occupy more than 29 per cent of the
state. Sex ratio (females per 1,000 males) 948
During 2012-13, Jharkhand reported an increase of 1.6 per Literacy rate (%) 66.4
cent in the value of mineral production compared with the
previous year.
Source: Government of Jharkhand, Indian Bureau of Mines,
Ministry of Mines, Census 2011
Parameter Jharkhand All States Source
National highway length (km) 2,996.6 79,116.0 Ministry of Road Transport & Highways
Social indicators
Literacy rate (%) 66.4 73.0 Census 2011
Investments
Department of Industrial Policy & Promotion,
FDI equity inflows (US$ million)* 44 223,011
April 2000 to May 2014
Industrial Infrastructure
PPP: Public-Private Partnership, SEZ: Special Economic Zone, SRS: Sample Registration System
*Includes Bihar
At current prices, the Gross State Domestic Product GSDP at current prices (in US$ billion)
(GSDP) of Jharkhand for 2013-14* is estimated to have
been US$ 31.4 billion. 31.4
30.7 30.4
CAGR 27.9
13.7%**
Between 2004-05 and 2013-14, the average annual GSDP
20.8 19.0 21.2
growth is estimated to have been about 13.7** per cent.
13.8 14.8
13.3
2004-05
2005-06
2006-07
2007-08
2008-09
2009-10
2010-11
2011-12
2012-13
2013-14
Source: Planning Commission Databook, June 2014
*Advanced estimates, **In Indian Rupee terms
The Net State Domestic Product (NSDP) of Jharkhand for NSDP at current prices (in US$ billion)
2013-14* is estimated to have been US$ 31.4 billion.
27.1
Between 2004-05 and 2013-14, the average NSDP growth CAGR 26.2 26.1
23.8
rate is estimated to have been about 13.3 per cent. 13.3%**
18.5 16.5 18.4
12.1 13.0
11.8
2004-05
2005-06
2006-07
2007-08
2008-09
2009-10
2010-11
2011-12
2012-13
2013-14
Source: Planning Commission Databook, June 2014
*Advanced estimates, **In Indian Rupee terms
Jharkhand’s per capita GSDP is estimated to have been GSDP per capita at current prices (in US$)
US$ 963.2 in 2013-14* compared with US$ 465.2 in 2004-
05.
963.2
CAGR 891.7 967.5 943.9
Jharkhand’s per capita GSDP is estimated to have 12.1%**
increased at a compound annual growth rate (CAGR) of 694.6 625.1 687.5
12.1 per cent between 2004-05 and 2013-14.
465.2 473.9 501.5
2004-05
2005-06
2006-07
2007-08
2008-09
2009-10
2010-11
2011-12
2012-13
2013-14
Source: Planning Commission Databook, June 2014
*Advanced estimates, **In Indian Rupee terms
Jharkhand’s per capita NSDP is estimated to have been NSDP per capita at current prices (in US$)
US$ 831.5 in 2013-14* compared with US$ 413.0 in 2004-
05.
CAGR 831.5
826.9 810.9
Jharkhand’s per capita NSDP is estimated to have 11.7%** 761.2
increased at a CAGR of 11.7 per cent between 2004-05 and
615.5
2013-14. 542.8 595.2
438.4
413.0 415.2
2004-05
2005-06
2006-07
2007-08
2008-09
2009-10
2010-11
2011-12
2012-13
2013-14
Source: Planning Commission Databook, June 2014
*Advanced estimates, **In Indian Rupee terms
During 2013-14, the tertiary sector contributed 44.0 per cent GSDP composition by sector
to the state’s GSDP at current prices. It was followed by the
secondary sector (28.5 per cent) and the primary sector
(27.5 per cent). CAGR**
32.9%
17.4% 44.0%
With a CAGR of 17.4 per cent, the tertiary sector has grown
the fastest among the three sectors from 2004-05 to 2013-
14. The growth has been driven by trade, hotels, real estate, 41.2%
9.1% 28.5%
finance, insurance, transport, communications and other
services.
25.8% 14.5% 27.5%
Between 2004–05 and 2013-14, the primary and secondary
sectors expanded at a CAGR of 14.5 per cent and 9.1 per 2004-05 2013-14
cent, respectively.
Primary Sector Secondary Sector Tertiary Sector
The industry sector showed a growth rate of 4.3 per cent. Agriculture & allied sector 8.0%
Among these sectors, the lowest growth rate was observed
in the manufacturing sector.
Industry sector 4.3%
2013-14 2014-15
Revenue expenditure is US$ 6.4 billion and capital
expenditure US$ 1.8 billion.
Total expenditure 6,387 8,183
The fiscal deficit for 2014-15 is US$ 798 million (2.3 per Capital expenditure 1,468 1,770
cent of GSDP).
Fiscal deficit 677 798
GSDP is expected to grow 14.8 per cent in the FY 2014–15.
Power 138
Agriculture 131
Mining
34.7% 54.7%
Services
Others
Source: CMIE
Others include real estate and irrigation
In July 2010, the state government entered into an
agreement with Asian Development Bank (ADB) for a loan
of US$ 200 million to fund a two-lane road project.
The state has earmarked an investment of US$ 2.8 billion through planned expenditure and US$ 2.3 billion through the PPP
model for road development under the 12th Five Year Plan.
Under the ADB agreement, the state government has undertaken four construction works, stretching 311 km between
Govindpur (near Dhanbad) and Sahebganj. As of April 2013, around 50 per cent of the physical work was completed.
The Road Ministry of India has announced plans to expand highways in Jharkhand under the PPP model with an estimated
investment of US$ 272.5 million.
The state government has signed an MoU with the Airports Domestic airport
Authority of India to develop a new international airport at
Deoghar by 2014, at an estimated cost of US$ 64.4 million Air strip (Charter Flight Service)
to promote tourism in the state.
Source: Maps of India
2,579.9
Backed by large coal reserves in the state, about 91.4 per
2,152.5 2,152.6 2,269.9
cent of the total installed power generation capacity in the 1,942.9 1,983.8
state is coal based thermal power (2,358.9 MW).
Department of Urban Development of the state government has schemes for development of urban transport, water supply,
sewerage, solid waste management and other civic amenities. The state has proposed an outlay of US$ 1.2 billion for urban
development in its 12th Five Year Plan (2012–17).
• As per City Development Plant (CDP) of Ranchi, the • Solid-waste generation is expected to increase to
demand for water is expected to increase to 751 million
602 tonnes per day (TPD) in 2,026.
Ranchi litres per day (MLD) by 2036.
• Around US$ 24.7 million of investment has been
• Around US$ 61.7 million of investment has been
envisaged up to 2013.
envisaged up to 2013.
• As per CDP of Dhanbad, the demand for water is • Solid-waste generation is expected to increase to
expected to increase to 413 MLD by 2026. 776 TPD in 2026.
Dhanbad • •
Around US$ 85.1 million of investment has been Around US$ 12.2 million of investment has been
envisaged up to 2013. envisaged up to 2013.
National Games Housing Complex, Ranchi Urban development Lease 41.5 Construction
• To facilitate the purchases from MSEs by government departments and institutions including aided agencies
• To ensure procurement of minimum 20 per cent of total annual purchases of products and 15 per cent of services.
• To procure maximum goods and services without compromising quality, competitiveness and cost effectiveness
Jharkhand procurement policy 2013 shall be applicable to manufacturing units located within the state of Jharkhand, the
head/corporate office of the unit is within territorial jurisdiction of Jharkhand, and the units are registered under Jharkhand
VAT 2005 act/ CST act.
The MSEs will be given special price preference of 2-3 per cent depending upon their certifications/accreditations.
The rate of various items is fixed via Rate Contract System, which is revised on an annual basis.
Goods and services that do not fall under the exclusive list or Rate Contract System can be purchased using Open Tender
System.
Jharkhand has a literacy rate of 66.4 per cent according to
the data of Census 2011; the male literacy rate is 76.8 per Education infrastructure in Jharkhand
cent and the female literacy rate is 55.4 per cent.
Universities 5
Since March 2009, the Central University of Jharkhand has Constituent colleges 65
been offering courses in Mass Communication, Business Medical colleges 6
Administration, Mathematics, and English, among others.
Engineering colleges 18
Birla Institute of Technology (Ranchi), National Institute of Polytechnics 20
Technology (Jamshedpur) and Indian School of Mines
Industrial training institutes 158
(Dhanbad) are among the well-known engineering colleges
in the country. The Xavier Labour Relations Institute in Government primary schools 25,379
Jamshedpur is one of the premier business schools in India.
Government upper primary schools 13,418
The state has five reputed research institutes, which are Total secondary schools 2,425
involved in research in the fields of iron and steel, mining
and metallurgy.
Literacy rates (%)
The state government has earmarked an investment of US$ Literacy rate 66.4
4.8 billion under the 12th Five Year Plan to strengthen the
education infrastructure. Male literacy 76.8
Referral hospitals 32
The Jharkhand government has drafted a policy for
establishment of super-speciality hospitals, medical and Sub-divisional hospitals 10
nursing colleges and paramedical institutes.
Primary health centres 445
The state government has built a 500-bed hospital at Community health centres 128
Ranchi. Moreover, two hospitals are coming up at Dumka
and Seraikella-Kharsawan districts. Sub-centres 3,388
• The government has signed MoU with International Finance Corporation (IFC) to provide advisory services for project.
• IFC will help the state government in development and operation of the hospital campus under the PPP model.
• The state plans to set up a 100-seat medical college in the hospital campus.
• Sadar Hospital Project is estimated to cost US$ 526,840 and is expected to be completed by mid-2014.
• The state government plans to operate two other hospital as well as a few district hospitals under the PPP model.
The state government has established Chhau Dance (a form of folk dance) Centre at Saraikela and Bharatiya Nritya Kala
Mandir at Ranchi and Dumka.
Jharkhand has some well-known historic and pre-historic sites such as Maluti Temple, Palamu Fort, Tanginath Temple and
Haradih Temple, which are being conserved by the Archaeological Survey of India. There are two museums in the state,
one each at Ranchi and Dumka.
There are six sports training centres – three for hockey, two for athletics and one for football – located at Ranchi, Gumla and
Latehar. Ranchi also has an 18-hole golf course.
Jamshedpur is the original industrial town in the state where
the Tata Group set up their first steel plant, more than a Industrial areas
century ago. It is a privately run township and currently has Palamu-Garhwa Industrial Area
several types of industrial units including automotive,
metals, chemicals, electrical and electronic goods. Lohardaga Industrial Area
Jharkhand has three industrial area development authorities with headquarters at Adityapur, Bokaro and Ranchi. Another
such development authority is being formed at Santhal Pargana.
These authorities are responsible for acquisition of land and development of infrastructure facilities such as roads, drainage,
parks, water supply and public utilities within their jurisdiction.
Under its industrial policy, the state government has Medium scale and large
618.1 8,338
planned to promote cluster development of industries under scale
existing schemes of the central government. Mega industries 7,263.6 5300
Mega investment
Over the past decade, 26 mega industries, 106 large and 2,078.6 NA
(being implemented)
medium industries, and 18,109 micro and small industries
have been set up in Jharkhand, with an estimated IPP – Power plant 6,338.4 NA
investment of US$ 6.3 billion. These have provided
Information technology 66.7 2815
employment opportunities to 63,000 persons.
Total investment 16,459.1 69,583
Sector Investments^
Tata Steel 4,388.9
Electro Steel 1,755.5
Jindal Steel 438.9
Tata Motors 263.3
J P Cement 208.5
The Government of Jharkhand has undertaken initiatives to Quartz Singhbhum, Dumka, Hazaribag,
attract investment in the sector by simplifying procedures for (silica sand) Deogarh, Palamu, Sahibganj
granting mining leases, encouraging joint venture projects
with Jharkhand State Mineral Development Corporation,
and rapid clearance of mining lease applications. Source: Economic Survey of Jharkhand 2013-14,
Department of Mines & Geology, Government of Jharkhand,
Jharkhand State Mineral Development Corporation
Jharkhand’s mineral reserves include coal, iron ore, bauxite, Jharkhand’s share in India’s mineral reserves
copper, mica, graphite, manganese, rock phosphate, silver,
uranium and limestone. 40%
36%
Coal is the principal mineral produced in Jharkhand. It
29%
accounts for more than 88 per cent of the total value of 26% 30%
minerals produced in the state and 29 per cent of the total
coal reserves in the country. 18%
Jindal Steel & Power • JSPL is a leading player in steel, power, mining, oil and gas, cement and infrastructure. The
Ltd (JSPL) company recorded revenues of US$ 3.3 billion in 2013-14.
• The company plans to invest US$10 billion in setting up a 12-MTPA integrated steel plant and a
2,640-MW captive power plant in the state. A 3-MTPA steel plant at Patratu near Ranchi is
expected to be commissioned by 2016.
Hindalco Industries • HIL, a part of the Aditya Birla Group, is the world's largest aluminium rolling company and one
Ltd (HIL) of the biggest producers of primary aluminium in Asia.
• Hindalco's alumina refinery with 450,000 TPA capacity is located at Muri. It has the distinction of
being the first alumina refinery in India. The company also has a 30 MW, coal-based captive
power plant. It generated revenues of US$ 14.5 million in the FY 2013-14.
Steel Authority of India • SAIL is one of the leading steel-making companies in India. It is owned by the Government of
Ltd (SAIL) India. The company operates a steel plant at Bokaro in Jharkhand.
• SAIL has the well-equipped Research and Development Centre for Iron and Steel (RDCIS) as
well as an in-house centre for engineering and technology, a management training institute and
a safety organisation at Ranchi. It generated revenue of US$ 7.8 billion in the FY 2013-14.
The major growth drivers of the engineering industry in
Jharkhand are availability of raw material (iron and steel, Some of the key players
aluminium, copper and other metals and non-metals), • McNally Bharat Engineering Company Ltd
power, water and industrial labour.
• TRF Ltd
• Timken India Ltd
Numerous heavy engineering companies located in the
• Mecon Ltd
state produce equipment and provide turnkey and
consulting services to the existing metal and mining
industry.
• TRF Limited (formerly, Tata Robins Fraser Limited), was incorporated in 1962 and is part of the
TRF Ltd Tata Group. It provides solutions for material handling systems and equipment in infrastructure
sectors such as steel, power, port and mining.
• In 2013-14, total revenues of TRF were around US$ 195.0 million.
• The manufacturing facility of the company at Jamshedpur is spread over around 22 acres,
which includes six covered manufacturing bays spanning around 21,250 sq m.
Timken India Ltd • Timken India Limited is a subsidiary of The Timken Company, US.
• The company’s principal activity is production of tapered roller bearings at its Jamshedpur plant.
Timken provides friction management solutions for a wide range of industry applications. In
2013-14, total revenues of the company were around US$ 11.9 million.
• Mecon Limited is a public sector undertaking under the Ministry of Steel (Government of India),
Mecon Ltd with interest in the metals, power, oil and gas, and infrastructure sectors.
• Mecon is an engineering, consultancy and contracting organisation and offers a range of
services required for setting up of projects from concept to commissioning, including turnkey
execution.
• The company employs around 1,285 engineers, scientists and technologists. Mecon has its
head office in Ranchi.
The chemical industries in Jharkhand produce a wide range
of chemicals such as caustic soda, dye and pigments and Key players
industrial and medical gas. The industry has developed to • Aditya Birla Chemicals (India) Ltd
serve other manufacturing units in the region and the
• Tata Pigments Ltd
markets of eastern India.
• BOC India
• BOC India started operations in 1935 as Indian Oxygen and Acetylene Company and is now a
BOC India subsidiary of the Linde Group.
• The company produces industrial gas, medical gas and specialty gas that it supplies across the
country. BOC also carries out special projects.
• BOC India is constructing a 2,550-tonnes per day Air Separation Unit (ASU) for Tata Steel at
Jamshedpur.
During 2013-14, cement production in Jharkhand totalled
1.1 million tonnes. Key players
• ACC Ltd
Jharkhand has a vast track of crystalline limestone, starting • Lafarge India
from Garhwa district to Bokaro district. Exploration of • Jaypee Group
limestone in this area will help in developing cement plants
in the state.
With the reserves of cement grade lime stone, this region is Source: Economic Survey of Jharkhand 2013-14,
Department of Mines & Geology, Department of Industry,
well suited for creating additional capacities, both in large Government of Jharkhand,
and mini cement plants.
Lafarge India • Lafarge India is a subsidiary of the French building materials major. The company entered the
Indian cement market in 1999 with the acquisition of the cement business of Tata Steel.
• Lafarge has four cement plants in India, of which one is located at Jharkhand.
• The plant serves the cement market in eastern and central India.
• Jaypee Group is the third largest cement producer in the country and produces a special blend
Jaypee Group of Portland Pozzolana cement under the brand name ‘Jaypee Cement’. Its cement division
currently operates modern, computerised process control cement plants with an aggregate
installed capacity of 28 MTPA.
• Jaypee Group incorporated a joint venture company (Bokaro Jaypee Cement Limited) with SAIL
to set up a 2.1 million tonnes per annum cement plant at Bokaro. The plant was commissioned
in 2011.
• JMT manufactures automobile ancillaries, ancillary gear boxes, axle components, gearboxes
JMT Auto Ltd and excavator components. Its plant is located at Adityapur in Jharkhand.
• The company exports products to Malaysia, Dubai, the US, Brazil and other countries, besides
supplying to large industries such as Tata Motors, Telcon, TAFE, L&T-Komatsu Ltd, Tata
Cummins and Caterpillar in India.
Jharkhand has a varied agricultural product base that
supports a host of agro-based industries. The state’s soil Key players
and climatic conditions also support the cultivation of
• Swastik Group
ornamental plants, mushrooms, spices and tea.
• We Group Mushroom
Birla Institute of Technology (BIT), Ranchi, conducts a
three-year undergraduate course on food processing
technology. The institute, in collaboration with Department MSME: Micro, Small and Medium Enterprises
of Welfare, Government of Jharkhand, conducts training
programmes on food processing techniques.
We Group Mushroom
• Established in 2001, We Group is a food processing unit in the small scale sector. It produces
We Group and distributes fresh mushrooms, mushroom seeds and pickles.
Mushroom • We Group has a plant in Dhanbad.
Jharkhand has a large sericulture base. The state is the largest producer of tussar (a non-mulberry silk) in the country, with
63 per cent share in the total output.
The state produced 1,090 tonnes of silk during 2012-13. It targets to increase output to 8,000 tonnes over the next five
years.
Jharkhand primarily exports tussar silk to the US, the UK, Germany, France, Turkey, Japan, Australia, Sweden and
Switzerland.
State-run Jharkhand Silk, Textile and Handloom Corporation Limited (JHARCRAFT) is responsible for the promotion of
handicrafts and silk in the state. The company generated revenues of US$ 146.0 million during 2011-12.
JHARCRAFT is planning to create a silk park in the Ranchi, Saraikela-Kharsawan, Giridih and Deoghar districts.
Ranchi Silk Park, with estimated investments of US$ 25.8 million, would comprise facilities such as loom centres, dyeing
halls, laboratories, design centres, dispensary, exhibition hall, retail sales division and godowns.
Source: www.csb.gov.in
MSME: Micro, Small and Medium Enterprises
The Government of Jharkhand has implemented a single-
window clearance system (SWS) for faster and one-point
clearance of industrial projects, single-point dissemination
of industrial project-related information and streamlining of State-level Single Window
Chief Secretary of
inspection of industries by different agencies/authorities. Clearance and Monitoring
Jharkhand
Authority
At the state level, a committee has been formed under the
chairmanship of the Chief Secretary, with secretaries from
all departments concerned and representatives from banks
and financial institutions as members, to facilitate speedy
clearances for mega projects (investment above US$ 8.5
million).
• The department formulates plans, policies, acts and rules, and undertakes developmental
activities.
Department of • It is responsible for the expansion of generation, transmission and use of electricity.
Energy • The department has different corporations, authorities and undertakings such as Jharkhand State
Electricity Board (JSEB), Tenughat Vidyut Nigam Limited, Jharkhand Renewable Energy
Development Authority and the Electricity Licensing Board, under its supervision.
• The Adityapur Industrial Area is situated in the district of Seraikela Kharsawan, near Jamshedpur.
• AIADA controls an area of about 53 sq miles.
Adityapur Industrial • It has so far developed 1,365 plots and 142 industrial sheds.
Area Development • There are 1,102 operating units in the AIADA-controlled area, which provide employment to about
Authority (AIADA) 27,900 persons.
• AIADA provides land, water, electricity and technical expertise to assist in the setting up of units in
the industrial area.
Agency Description
Bokaro Industrial • BIADA is located in Bokaro Steel City, which has several small-scale industrial (SSI) units.
Area Development • BIADA provides most of the industrial supplies for SAIL’s Bokaro steel plant, which is the catalyst
Authority (BIADA) for the industrial units in BIADA.
• RIADA controls industrial areas spread over the nine districts of Ranchi, Hazaribagh, Koderma,
Ranchi Industrial
Palamu, Garhwa, Lohardagga, Khunti, Ramgarh and Gumla.
Area Development
• A total of 20 industrial estates have been developed by RIADA.
Authority (RIADA)
• RIADA provides land, water, electricity and technical expertise to assist in setting up industries.
• After the formation of Jharkhand in 2000, JSEB was formed as a separate entity from the Bihar
Jharkhand State
State Electricity Board (BSEB).
Electricity Board
• Apart from generating electricity, JSEB is involved in transmission and distribution throughout the
(JSEB)
state.
Agency Contact information
Vikas Bhawan
Adityapur,
Adityapur Industrial Area Jamshedpur – 831013, Jharkhand
Development Authority (AIADA) Phone: 91-657-2371 646/460
E-mail: md@aiada.in
Website: www.aiada.in
Approval of building plan Industrial Area Development Authority and Local Bodies
Release of water supply State Water Supply Board and Industrial Area Authority
Registration under Shops and Establishments Act Labour Department, Government of Jharkhand
Hotel costs (per room per night) US$ 75 to US$ 150 Leading hotels in the state
• To establish linkages between large industries and MSME/ancillary industries and convert the
Objectives
state into a favoured destination for investors.
• To facilitate optimal utilisation of the state’s mineral and other natural resources.
Read more
• To provide a comprehensive framework for the operation and sustainability of SEZs in the state.
Objective
Read more
IT Policy
2005-06 44.14
2006-07 45.14
2007-08 40.27
2008-09 46.14
2009-10 47.42
2010-11 45.62
2011-12 46.88
2012-13 54.31
2013-14 60.28
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