Gujarat attracted maximum investment proposals compared to any of the 20 industrial states in India. According to the recent study undertaken by ASSOCHAM, Gujarat attracted investment proposals of Rs 16.28 lakh crore in year 2011.
After Gujarat, Maharashtra was the most preferred destination followed by Andhra Pradesh, Odisha and Karnataka.
Most Preferred Investment Destination states in India
| Rank | State | Investment amount ( in Lakh Crore) |
| 1 | Gujarat | 16.28 |
| 2 | Maharashtra | 14.14 |
| 3 | Andhra Pradesh | 12.09 |
| 4 | Odisha | 12.09 |
| 5 | Karnataka | 9.85 |
| 6 | Tamil Nadu | 9.13 |
| 7 | Jharkhand | 7.16 |
| 8 | West Bengal | 6.23 |
| 9 | Madhya Pradesh | 5.65 |
| 10 | Uttar Pradesh | 5.38 |
| 11 | Haryana | 4.98 |
| 12 | Chhattisgarh | 4.56 |
| 13 | Rajasthan | 2.54 |
| 14 | Bihar | 2.38 |
| 15 | Punjab | 2.16 |
| 16 | Kerala | 2.12 |
| 17 | Jammu & Kashmir | 1.11 |
| 18 | Uttarkhand | 1.07 |
| 19 | Himachal Pradesh | 0.84 |
| 20 | Assam | 0.58 |
Investments by Sectors (Percentage)
Key Highlights of Investments in India
– The Top 5 states of Gujarat, Maharashtra, Andhra Pradesh, Odisha and Karnataka cornered close to 54% of total live investments worth Rs 120.34 lakh crore.
– Maharashtra, Tamil Nadu, Gujarat, Karnataka and Andhra Pradesh received highest share in live investments in Services Sector
– Haryana was a major destination the real estate sector as it attracted 49.7% of all investment proposals.
– Odisha, Andhra Pradesh, Jharkhand, Chhattisgarh and Madhya Pradesh received highest share in live investments in Mining Sector
– Odisha, Jharkhand, Gujarat, Karnataka, and West Bengal received highest share in live investments in manufacturing Sector
– Gujarat, Odisha, Maharashtra, Andhra Pradesh and Tamil Nadu received highest share in live investments in Electricity Sector.
– Gujarat, of the total proposals worth Rs 16.28 lakh crore, attracted 39.2% electricity, 24.2% in manufacturing, 16.2% in services, 14.3% in real estate, 5.2% in irrigation and 0.9% in mining.
– Maharashtra, of the total proposals worth Rs 14.14 lakh crore, attracted 37.1% in services, 31.7% in electricity, 18.7% in real estate, 11% in manufacturing, 1.1% in irrigation and 0.5% in mining.
ODISHA IS THE TOP INVESTMENT DESTINATION IN INDIA BEACUSE ODISHA IS RICHEST MINERAL STATE IN INDIA
real estate is the best option in karnataka.
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With love to all those Gujarat-baiters… :)
With love to all those Gujarat-baiters… :)
What I have been observing all these years is the conversion rate of these proposals to actual investments.
Out of the 100 proposals, mostly 10% come forward to put up investment.
Out of the 100 serious proponents, 10 remain after all the red tapism, burocracy, approvals from hundreds of govt depts, licences etc.
Out of the 100 investment plans cleared, only 10 come up actually after some of the investors get cold feet over roits, disturbances etc.
Most of the investments which materialize are those of already existing plants / businesses which plan to expand.
May be due to its efficiency, Gujarat gets to convert the proposal to actual investment the max.
All other states lag behind in the conversion.
Just imagine, if instead of 10% conversion, if they make 20% conversion, the next year they dont need to go with begging bowls to US and Europe to invite enterprenuers. The CMs, state ministers make lot of hamgama, spend lots of money to organize convensions, forign tours (to invite investors). When they come, they are subjected to all kinds of red tape and burocracy. Those who are disappointed swear never to come back and leave.
Just my two paisa :
Altaf, Completely agree with what you said about conversions. Infact, red tapism and bureaucracy are probably the biggest impediments of growth today of which Corruption is an integral part as well.
However, the purpose of this post was to just let the readers know the preferred destinations for investors when it came to setting up their projects.
Agree with you. We can see these investments on paper only not on ground level very much.