Investments worth ₹4.32 tn expected in North-east, states to offer incentives: Jyotiraditya Scindia
Scindia said the Central government is doubling down on the strategic development of the region and is stepping up connectivity.
Guwahati and Agartala are being made into international gateways to cities like Singapore and the government is working steadfastly on the trilateral highway connecting India, Thailand and Myanmar, the minister said.
Better infrastructure connectivity will also help the country, and the region tap new opportunities from the $122-billion trade among South-east Asian nations, Scindia said.
Development of the eight North-eastern states, described by Prime Minister Narendra Modi as 'Ashta Lakshmi,' is a priority for the government given the region's strategic location, economic potential and the need for inclusive national growth.
Scindia said the two-day summit that ended on 24 May was the culmination of extensive work, including roadshows in which state chief ministers and ambassadors participated and multiple meetings with industrial groups.
At the end of it, the eight states together received investment proposals worth ₹ 4.32 trillion, Scindia said.
This covers investments in all eight states and encompasses multiple sectors including manufacturing, fast moving consumer goods, hydropower, information technology, agriculture, horticulture, floriculture, tourism, textiles, perfumes and bamboo.
'It is a very widely diversified investment basket,' the minister said.
Scindia said he has worked with the chief ministers of all the eight states–Arunachal Pradesh, Assam, Manipur, Meghalaya, Mizoram, Nagaland, Sikkim and Tripura–and their governments to build state-specific plans.
'We have also recommended each of the states to set up investment promotion authorities (IPAs) and all the eight states have either done so or are in the process of doing so where an incentive structure, industry wise, will be outlined by each of the state governments.'
'We have also worked on a logistics policy for every state looking across 12 parameters, where each state stands vis-a-vis the others and presented that to each state government and each of them will come out with individual logistics policies. Therefore, it is a very streamlined and facilitatory partnership driven approach.'
The minister added that the incentive regime that each of the states will come up with, will depend on what investors are looking for in that state. It is not a one-size-fits-all approach.
The minister described the North-east as India's engine of growth.
'The global average GDP growth rate is close to about 2-2.5% and India is growing at 6.5-7%. So, we are growing at almost 2.5 to 3 times the world average. The North-east—not one state, not two, not five, or seven, but all the eight states—in the last decade have grown at a decadal growth rate of 12 to 13%. North-eastern states are growing at almost twice the rate of India and close to five times the global growth rate,' said Scindia.
Development of the region is of strategic importance to India given that it shares international borders with China, Myanmar, Bangladesh, Bhutan and Nepal, which makes it a priority region for national security and regional diplomacy.
Referring to the infrastructure creation in the region in the last ten years, Scindia said the North-east is unique in geo-strategic positioning.
'The flying time from Guwahati to Mumbai is equal to the flying time from Guwahati to Singapore. The flying time from Agartala to Chennai is the same as from Agartala to Bangkok. Therefore, we are thinking of making sure Guwahati and Agartala are made into international gateways,' the minister said.
Scindia said 70% of the over-1,400 km India-Myanmar-Thailand trilateral highway has been completed and that New Delhi was working steadfastly for finishing the work. The government is also developing multimodal connectivity in the region.
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