Gujarat`s industrial growth next only to China

In terms of industrial growh, Gujarat is second only to China, claimed the state government. While China recorded a Gross State Domestic Product (GSDP) growth of 13.2 per cent during the decade from 1992 to 2002, Gujarat has posted a 8.2 per cent growth, which is higher than any other country in the world, said the state government.

Gujarat’s growth rate is higher than that of any other state in the country. While Maharashtra clocked a 6.8 per cent growth during the last decade, Tamil Nadu and Karnataka grew at 6.7 per cent and Kerala registered a a 6.1 per cent growth. “Gujarat’s strength is the manufacturing sector, which has helped the state achieve the GSDP growth of 8.2 per cent” said Arvind Aggarwal, state industries commissioner. “Gujarat will be the growth engine of India in the 21st century” said Anil Patel, minister of industries.

That sentiment is well supported by the investment figures in the engineering sector. While the investment in the sector was just around Rs 57 crore in 1998-1999, it grew to Rs 1,109 crore in 2002-2003.

The chemicals and petrochemical sector has seen an increase in the number of projects in the last five years. From just 14 projects in 1998-1999, the number has gone up to 68 in 2003-2004. The sector has seen an increase in the investment front too. From Rs 250 crore in 1998-1999, it has grown to Rs 3,648 crore in 2003-2004. The food processing sector has grown from a Rs 137 crore industry in 1998-1999 to Rs 915 crore industry in 2003-2004. The investment in the textile sector went up to Rs 296 crore in 2003-04 from Rs 100 crore in 1998-1999.

While the finance commission has projected a growth of 10.2 per cent over the next five years, government officials expect to achieve that growth in a year.