 Gujarat has registered an impressive industrial development since its formation as a separate state in 1960. The industrial sector at present comprises of over 1200 large industries and over 3,45,000 micro, small and medium industries. As per the results of the Annual Survey of Industry (ASI), 2005-06 carried out by the Central Statistical Organization (CSO), under Ministry of Statistics and Program Implementation, Government of India, Gujarat accounts for 19.69% of fixed capital investment, 16.13% of gross output and 15.35% of net value added in industrial sector in India. This survey further reinforced the position of Gujarat as the most industrially developed state in India in respect of first ranking in industrial investment and second in terms of value of production and value addition in industrial sector.
Over the years, Gujarat has diversified its industrial base substantially. In the year 1960-61, textiles and auxiliaries were the major contributor to industrial economy of the state. In the span of over 49 years, the industrial spectrum has completely transformed and today 12 major industry groups together account for 86% of factories, 96% of fixed capital investment, 94% of value of output and 95% of value addition in the state’s industrial economy. In the recent years, refined petroleum products has emerged as one of the largest industrial groups having 33% share, followed by chemicals having 21% share. Other important groups include agro and food products (8.5%), textiles and apparel (6.9%), basic metals (6.2%), machinery and equipment (2.7%), non-metallic mineral based products (2.5%), plastic and rubber products (1.8%), furniture industry (1.4%), fabricated metal products (1.4%), electrical machinery (1.2%) and paper and paper products (1.1%). The industries in Gujarat produce a wide variety of products. The products which have substantial contribution in terms of production in India include: Soda Ash having 94% share, Salt (80%), Processed Diamond (80%), Polyester Filament Yarn (63%), Caustic Soda (42%), Phosphatic Fertilizers (37%), Sponge iron (35%), Textile Fabrics (34%), Refined Petroleum Products (33%), Nitrogenous Fertilizers (19.5%), Cement (10%) and so on.
Over a period of time, Gujarat has also succeeded in widening its industrial base. At the time of inception in 1960, the industrial development was confined only to four major cities namely Ahmedabad, Baroda, Surat and Rajkot and some isolated locations such as Mithapur and Valsad. Today, almost all the districts of the state have witnessed industrial development in varying degree.Such a massive scale of industrial development has been possible on account of judicious exploitation of natural resources, such as minerals, oil and gas, marine, agriculture and animal wealth. The discovery of oil and gas in Gujarat in the decade of 60s has played an important role in setting up of petroleum refineries, fertilizer plants and petrochemical complexes. During the same period, the state government has also established a strong institutional network. Gujarat Industrial Development Corporation (GIDC), established industrial estates providing developed plots and ready built-up sheds to industries all across the state. Institutions were also set up to provide term finance, assistance for purchase of raw materials, plant and equipment and marketing of products. Later, District Industries Centers (DICs) were set up in all the districts to provide assistance in setting up industrial units in the form of support services. The state also developed infrastructure facilities required for industries, such as power, roads, ports, water supply and technical education institutions. The Government also introduced incentive schemes, from time to time, to promote industries mainly in the under-developed areas of the state to correct regional imbalances. All these initiatives have made Gujarat to emerge as the highly industrialized state in the country today. |
