UPSIDC — A Catalyst in UP’s Industrial Growth

Ranvir Prasad
Managing Director, Uttar Pradesh State
Industrial Development Corporation

Uttar Pradesh has been a leader in the industrial sector, and we have achieved this position with consistent efforts, taking right steps to execute that. And, in effect, industries are not just coming to Uttar Pradesh from other States. But huge investment is flowing from overseas as well, says Ranvir Prasad, Managing Director, Uttar Pradesh State Industrial Development Corporation (UPSIDC), Commissioner and Director Industries, in an interview with Arpit Gupta of Elets News Network (ENN).

“Stating foreign investors are eager to invest in various sectors in the State after being convinced of the change in culture and ease of doing business.”

What e-Governance and ICT initiatives have been undertaken by the UPSIDC to ensure transparency and efficiency in the corporation?

The core job of UPSIDC is land acquisition for establishment of industrial area or integrated industrial townships. UPSIDC has been spearheading the industrial promotion in the State and has been instrumental in keeping the State at the numero uno position among the States for several decades now.

Till date, UPSIDC has developed a record of 154 industrial areas on approximately 43,788.54 acres of land across Uttar Pradesh. We have 40,000 acre of land, of which 12,000 acre is allottable and 28,000 acre have been allotted. Allottees have to undergo different processes such as they have to deposit maintenance charges etc. Likewise, as and when land is vacant, we re-allot it. A simplified system has been put in place to ensure investors do not face hurdle. All clearances will be given through a single window system. Earlier, the allotment process was decentralised and regional offices were involved in the process which used to cause a lot of delays up to three to four months. Now, we have implemented an e-allotment process through which the entrepreneurs can apply for allotment online. This process has helped us to get rid of interview process.

There shall be calling of points on different parameters. If there is more than one application for the same plot, we always go by the priority of whoever scores more marks.

We finalise the allotment maximum in one month from the date of application submitted. Land allotment process is open-ended. Anybody can apply for land online depending on the availability of land. This is basically discretion with respect to allotment. Interview process was highly discretionary and we have eliminated it to the large extent. The time limit for allotment has also been reduced.

We are going to launch around 1,800 plots and have requested the Chief Minister for time to discuss on the same. As and when we get time, we will launch this for the entire State. This allotment will become an open-ended process. People will not wait for the advertisements to apply.

UP Government is planning to launch ‘Make in UP’ initiative on the lines of Government of India’s Make in India drive. Would you elaborate?

As far as Make in India and Make in UP are concerned, the primary responsibility of UPSIDC will be investment promotion and allotment of land. We have identified various pockets of land available with us, which can be given to industries for establishing different kind of clusters i.e. defence food processing (EMC) electronic manufacturing cluster.

We are in the process of finalising requirements of an Enterprise resource planning (ERP) for our organisation and all end-to- end processes of UPSIDC shall be put on ERP. Its implementation will create seamless process for industrialists, our employees and citizens. We look forward to implement ERP in another five to six months and after that we shall be expanding our work to provide different services to industrialists.

Uttar Pradesh cabinet has approved the new Industrial Investment and Employment Policy, 2017? What is it aimed for”

The government aimed to bag investments through the new industrial policy and have various kinds of incentives in it. The innovation, is that the definition of mega projects which qualify for incentives has been modified. They have also added requirement of labour.

If any industry does not invest that much in plant and machinery, but is able to provide employment to large population up to 1,000 is able to qualify for mega projects which itself is a great innovation. Secondly, we have also made a provision to provide incentives to private industrial parks.

These days, it has become difficult for government institutions to acquire land for industrial parks as we have to pay four times of the market rates, which makes industrial land very expensive.

But, now any private party can apply and get loan and interest subsidy from government on the purchase of that land for industrial park. We intend to provide various kinds of facilitation so that anybody can buy 50 acres of land and set up industrial park. This is also one of the innovations and we expect lot many industries will come in the forefront.

What all sectors do you feel have more opportunities to invest in UP?

There are lot many advantages of investing in UP. As, we have one of the largest number of MSMEs across the country and I expect addition to sectors like leather, hosiery, garments, plastic, manufacturing etc.

As far as heavy industry are concerned, I expect investments from industries like electronics manufacturing, defence clusters, chemical and textile industry investment, etc.

As observed, lot many mobile companies are coming up, so to provide ancillary support to those companies lot of electronics manufacturing cluster will come up, and I see opportunity for this industry.

The sectors to be focussed upon include information technology, ITeS, electronics manufacturing, agro and food processing, dairy, green energy, handloom, textile and tourism.