Alkesh Sharma

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Land of Immense Opportunities
Alkesh Sharma Secretary Industries Managing
Director KSIDC Ltd
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Gods Own Country
Investors Own Destination
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Kerala - a Fact files

• Area - 38,863 Sq. Km.
• Population 31.8 mn
• Literacy rate 92
• Climate Moderate tropical
• Language Malayalam English widely spoken
• Rich in agricultural produce Mineral deposits
• International seaport at Cochin
• 3 International airports
• Excellent road network
• 14 Minor Ports

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Kerala - unique advantages

• Ranked 2nd in India in investment climate index
  (World Bank study 2009)
• Comparatively lower salaries and operational
  costs
• Rentals much lower in comparison with other
  Indian states
• Power and water tariff among the lowest in the
  country
• Human Development Index at par with the Developed
  countries
• 3 international airports (Thiruvananthapuram,
  Kochi and Kozhikode) and an international seaport
  at Kochi
•  Highest density of science and technology
  personnel in India
•  Lowest employee attrition rate in the country -
  lt5
• Ranked best in India in terms of PQLI
• Man-days lost in labour strike one of the
  lowest in India

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Kerala - the real picture
Source Overseas Development Council, USA
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Kerala Logistical Advantage

• Strategic location on the trans-national trade
  corridor
• International sea port at Kochi
• International Container Transshipment Terminal,
  Vallarpadam, Kochi
• 14 Minor Ports

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Kerala Logistical Advantage

• 3 International Airports (Thiruvananthapuram,
  Kochi and Kozhikode)
• Excellent road network
• Well Integrated communication network Submarine
  Cable Landing at Cochin, South East Asia-Middle
  East-Western Europe 3, South Asia Far East

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Kerala - New Policy Initiatives

• High and sustainable economic growth by
  accelerating growth in Service sector
• Higher Productivity
• Thrust given to Electronics IT, Commercial
  Orientation and Healthcare
• Thrust on Agro-food and Seafood Processing
• Thrust given to commercial orientation (Grand
  Kerala Shopping Festival a unique all Kerala
  shopping festival)
• Convert Kerala into a world class commercial hub

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Kerala - Excellent RD Facility

• Tropical Botanical Garden Research Institute
  (TBGRI)
• Rajiv Gandhi Centre for Biotechnology (RGCB)
• Indian Institute of Spices Research, Kozhikode
  (IISR)
• Sri Chitra Tirunal Institute for Medical Sciences
  Technology (SCTIMST)
• Central Marine Fisheries Research
  Institute(CMFRI)
• Central Plantation Crops Research Institute,
  Kasaragod (CPCRI)
• Central Tuber Crops Research Institute,
  Thiruvananthapuram (CTCRI)
• National Institute for Interdisciplinary Science
  Technology, Thiruvananthapuram (NIIST)
• Centre of Cardamom Research Institute, Idukki
  (CCRI)
• Vikram Sarabhai Space Centre (VSSC)

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Thrust Areas

• Tourism
• IT/ITES/Electronics
• Healthcare
• Retail
• Infotainment
• Manufacturing
• Food processing Seafood
• Infrastructure
• Logistics
• Knowledge Centres
• Development of Technology

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Investment Opportunities Kerala
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Growth Indicators
Tourism

• Eight times winner of Best Tourism State award
  from Government of India, in the last nine years
• Enchanting hill stations
• 600 kms Shoreline with exotic beaches
• Extensive stretches of backwaters across the State

• Foreign Tourist arrival to Kerala increased by
  16.11 during 2008.
• Domestic Tourist arrival increased by 14.28 .
• Foreign exchange earnings growth of 16.11 .
• Total Revenue increased by 14.84.

Source Economic Review 2009
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TourismOpportunities

• World class hotels / resorts / Convention centres
  (Cost ranging from Rs.10 crores to Rs.100
  crores)
• Tourism related educational institutions (Rs.3
  crore to Rs.10 crores)
• Aquarium / Oceanarium (Rs.10 crore to Rs.400
  crores)
• Cruise Tourism (Rs.3 crore to Rs.20 crores)
• House Boats (Rs.1 crore to 5 crores)
• Adventure Tourism (Rs.10 lakhs to Rs.1 crore)
• Theme Parks (Rs.2 crore to Rs.30 crores)
• Health tourism services
• Trekking services

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Healthcare

• Indias best healthcare indices
• Around 27 multi / super specialty Hospitals
• 15 medical colleges
• Medical tourism is a fast emerging sector
• High density of healthcare professionals

Opportunities

• World class super-specialty hospitals (Cost of
  project Rs.50 crores)
• Ayurveda resorts and spas (Rs.3 crores and above)
• Clinical RD facility (Rs.2 crores and above)
• Healthcare city (Rs.2000 crores)
• Medicine manufacturing (Rs.10 crores and above)
• Medical Tourism services

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IT/ITES

• Fastest growing sector, offering immense
  investment potential
• World class plug-and-play IT infrastructure
• TECHNOPARK Thiruvananthapuram The first
  technopolis, 300 acres with 3.2 million sq. ft.
  of built-up space, hosts over 140 IT and ITES
  companies employing over 16,000 IT professionals.
• INFOPARK Kochi 100 acres with 2.57million sq.
  ft. of built-up space, hosts over 55 IT and ITES
  companies employing over 8,000 IT professionals.

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IT/ITES
Opportunities
BO IT / ITES projects costing Rs.25 lakhs and
above in the following parks

• TECHNOPARK Phase III
• 86 acres
• Land under SEZ scheme for IT/ITES companies
  and developers
• 1 Million sq.ft. Built-up space to be ready
  by 2011
• TECHNOCITY Thiruvananthapuram
• 450 acres
• SEZ /Non-SEZ land for IT/ITES Companies and
  or developers
• SEZ Built-up space to be available by 2011.
• TECHNOPARK Kollam
• 40 acres, area 1,00,000 sq.ft
• SEZ Land available for IT/ITES Companies
  and/or developers on long lease
• SEZ Built-up space available on monthly
  rental basis to be ready by 2010
• UL Cyber Park Kozhikode
• 25 acres
• 4.88 laks sq.ft. will be ready 2012.
• 12 acres for development

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Manufacturing

• Highly skilled workers and low operating costs
• A number of MNCs operating from the CSEZ

Opportunities

• ICTT at Kochi is set to spur the manufacturing
  sector
• Industry-specific Parks and SEZs /FTWZs
• Availability of LNG, KOCHI COIMBATORE and KOCHI
  MANGALORE industrial corridor
• High speed rail corridor freight corridor
• Logistics

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Investment Opportunities

• INKEL JV With KSIDC / KINFRA
• Multi Products and Services Park, Angamaly (25
  acres )
• a) BO Industrial/High Tech Non polluting
  Industries-
• -Agri food Processing (Bio Ingredients, Natural
  Extracts, Flavours, Nutrients, Probiotics)
• -Avionics ,Strategic/High Tech Electronics
• b)BO Service Lead Industries-
• -Health Care RD (Specialty Hospital, Wellness
  Center, Industrial RD, Incubation Centers)
• c)BO Education-
• -Business School, Nursing School, Hospital
  Management
• d)BO Support Facilities-
• -Logistics, Commercial, Residential
• Hi Tech Standard Design Facrtory (5,00,000
  SqFt SDF)
• BO Non-polluting, environment friendly Small and
  Medium Scale Enterprises
• INKEL invite long term loan from strategic
  investors Rs. 60 crores

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INKEL JV With KSIDC / KINFRA (contd)

• Edu Health City- Malappuram Project cost Rs.
  2,000 crores
• - BO offer for Education, healthcare,
  hospitality, multi service park, residential zone
• - INKEL invite long term loan from
  strategic investors Rs.100 crores
• Five Star Hotel Banquet Hall, Kozhikode.
• Opportunity for management contract to run the
  hotel
• INKEL invite long term loan from strategic
  investors Rs. 72 crores
• Advanced Technology Park, Ramanattukara ( 80
  acres )
• BO offer for electronics, bio tech,nano tech,
  pharma, IT / ITES, services, hospitality, tourism
  projects
• INKEL invite long term loan from strategic
  investors Rs. 100 crores

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Kerala Mega Projects on the AnvilInvestment
Opportunities

• High speed Rail Corridor - Project cost Rs.
  50,000 crores PPP development mode
• 2400 MW Power project at Kasargod (Gas Coal
  based) - Project cost Rs. 12,000 crores - PPP
  development mode
• Electronic Hub at Kochi - Project cost Rs. 300
  crores - PPP infrastructure development mode
• Opportunity for individual project investment for
  electronic H/W S/W
• Life Sciences Park at Thiruvananthapuram
  Project cost Rs. 300 crores - PPP infrastructure
  development mode
• Opportunity for individual project investment for
  Biotechnology, Nanotechnology Life sciences
• Natural Gas Pipeline Project (GAIL Ltd) Project
  cost Rs. 3,700 crores
• Opportunity for contractors
• City Gas Distribution Project, Kochi Project
  cost Rs. 5,000 crores Strategic investors
  required. JV with KSIDC GAIL
• Oceanarium at Kochi Project cost Rs. 350 crores
  - PPP development mode

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Kerala Mega Projects on the AnvilInvestment
Opportunities

• Kochi Metro Rail Project cost Rs. 7,000 crores
  - PPP development mode
• Petrochemical Complex (BPCL others) -
  Propylene-based petrochemical complex at a cost
  of 700 crores PPP development mode
• Industrial Corridor Project cost Rs. 5,000
  crores - PPP development mode - Designed to
  utilise the existing and new infrastructure like
  LNG Terminal, ICTT, LNG Pipelines and High Speed
  Rail Corridor
• Opportunity for individual investment for any
  industrial project
• Pravasi Gramam Project cost 500 crores - PPP
  development mode
• Trade Convention Centre, Kochi - Project cost
  400 crores PPP
  development mode
• Convention Centre Resort, Kozhikode - Project
  cost 50 crores - PPP development mode
• Minor port development at Beypore (Rs. 180
  crores), Azhikal (Rs. 420 crores), Kollam (Rs.
  160 crores) and Ponnani (Rs. 760 crores)
  PPP/ BOT development mode

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Land Availability

• Industrial land with KSIDC KINFRA
• KSIDC
• IGC Kannur 264 acres
• SSI park, Apparel park, Rubber park
• IGC Kozhikode 308 acres
• Footwear park, Food Park, Healthcare multi
  purpose hub
• IGC Malappuram 258 acres
• Educational hub, Multi purpose industrial hub,
  Healthcare multi purpose hub JV with INKEL
• IGC Alappuzha 270 acres
• Multipurpose industrial hub
• LE Park, Palakkad 34 acres

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Land Availability

• KINFRA New Projects
• Marine park (22 acres), Food park (100 acres),
  Knowledge based advanced Technology park (85
  acres) at Kozhikode
• Mega Food park at Waynad (398 acres)
• Industrial parks at Palakkad (140 acres), Kannur
  (140 acres), Malappuram (60 acres) Punalur (100
  acres)
• KINFRA park at Thrissur ( 100 acres)
• Rural Apparel parks at Kozhikode, Kannur,
  Malappuram Pathanamthitta Idukki
• Availability of land / built up area at existing
  parks
• KINFRA Park Kasaragod (2 acres), Thalassery (4.5
  acres), Mazhuvannur (3 acres), Adoor (30 acres)
  Waynad (12 acres)
• KINFRA Textile Centre, Nadukani, Kannur (58
  acres)
• KINFRA Film Video park , Thiruvananthapuram (12
  acres 85,000 sqft built up area)
• Apparel Park, Thiruvananthapuram (6 acres)

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KSIDC Objectives and Activities

• Identification of Investment Ideas
• Translating ideas into concrete proposals
• Feasibility Study, Project Evaluation
• Financial Structuring, Loan Syndication
• Assisting in Central and State Govt. Clearances
• Development and Administration of Industrial
  Growth Centers
• Industrial infrastructure development

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KSIDC - Services Offered

• Single Window Clearance
• Consultancy services
• Liaison with Central State Governments
• Marketing assistance
• Facilitation for starting new ventures
• Project Lending
• Industrial projects - 1.51 DER
• Logistics 1.51 DER
• Infrastructure 21 DER
• Media Entertainment 0.401 DER
• Knowledge centres 1.51 DER
• Retail 11 DER
• Equipment Loan
• Developed Land
• Loan syndication

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Your Single Point Contact in Kerala

• Kerala State Industrial Development Corporation
• Email ksidc_at_vsnl.com,
  ksidckochi_at_eth.net
• www.ksidc.org

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Thank You