Industrial Scenario

Gujarat has registered an impressive industrial development since its formation as a separate state in 1960. As per the results of the Annual Survey of Industry (ASI), 2011-12 carried out by the Central Statistical Organization (CSO), under Ministry of Statistics and Program Implementation, Government of India, the findings are as shown below.

The number of workers and employees increased by 6.83% and 6.83% respectively in the State during 2010-11 to 2011-12.

The fixed capital and invested capital increased by 14.99% and 14.37% respectively in the State during 2010-11 to 2011-12.

  • The total input and total output increased by 27.36% and 23.75% respectively in the State during 2010-11 to 2011-12.
  • Total emoluments increased by 18.93% in the State during 2010-11 compared to 2011-12.
  • The net value added decreased by 1.96% in the State during 2011-12 compared to 2010-11. The Gujarat State holds 3rd rank in respect of net value added in the country.
  • Out of 22,220 total number of factories 21,427 (96.43%) are registered in Manufacturing sector.
  • Manufacturing of chemicals & chemical products, Manufacturing of coke & refined petroleum products and Manufacturing of Food Product are main industry groups of Gujarat State. The aggregate shares of these three groups are fixed capital (49%), input (62%), output (61%) and net value added (51%) respectively.
  • Manufacturing of chemicals & chemical products industry group has only 2058 factories (9.26%). However the shares added to these industry groups are of this industry group in fixed capital (16.52%), input (11.83%), output (13.28%) and net value added (25.49%) respectively.
  • ‘The Manufacturing of textiles’ was earlier leading industry group in the Gujarat state. Now it ranked 6th in terms of share in net value added with Rs. 5,310 crore, (6.05% to total NVA) but it is ranked first in providing workers. (i.e. 20.01%).
  • Out of all NIC-2 digit levels industry groups, main seven industry group namely (1)Manufacturing of chemicals & chemical products, (2)Manufacturing of coke & refined petroleum products, (3)Manufacturing of food product, (4) Manufacturing of machinery and equipment n.e.c, (5)Manufacturing of other non- metallic mineral products, (6) Manufacturing of textiles, (7)Manufacturing of pharmaceuticals, medicinal chemical & botanical have accounted 54.15% of total number of factories, 66.56% of fixed capital, 74.04% of total input, 74.24% of total output and 75.94% net value added of the State.

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.


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