Development on the Agenda: Highlights of Vibrant Gujarat Summit
Development on the Agenda: Highlights of Vibrant Gujarat Summit
The Vibrant Gujarat Summit began on Sunday,11th January 2015 at the Gujarati city of Gandhinagar. A total of 8 countries including Canada, Japan, China, Australia, South Africa, The Netherlands, the US and Singapore are establishing a partnership with the state and were present at the 3 day summit.
The Vibrant Gujarat Summit 2015 is a biennial event which is being held since the year 2003. Bilateral engagements with world leaders and leading heads of organisations was also on the anvil. The summit was attended by US Secretary of State John Kerry, UN Secretary General Ban ki-moon and World Bank President Mr. Jim.
Corporate Investments in Gujarat
Corporates such as RIL, Adani Group and Birlas were at the forefront of the summit when it came to investing in the Gujarat growth story. Corporate conglomerate Adani Group has signed an agreement with Australian energy firm Woodside. This is for sourcing of LNG and cooperation in oil and gas exploration plus production.
“Adani Enterprises Ltd (AEL), the flagship company of Adani Group, a global infrastructure conglomerate, has signed a Memorandum of Understanding (MoU) with Australian energy major Woodside Energy for cooperation for exploring business opportunities across a broad spectrum in oil and gas sector in India, as part of the Vibrant Gujarat initiative,” a statement issued by the Adani Group said.
An MoU was signed between Adani Group Chairman Gautam Adani and Woodside Energy CEO Peter Coleman. Adani Enterprises also established an agreement with SunEdison for investing INR 25,000 crore for a solar park in Gujarat. This will create 20,000 jobs in the state. The agreement has been signed and the companies will be forming a joint venture for the creation of the largest vertically integrated solar photovoltaic manufacturing facility in the country.
“The facility will create enough solar panels to fuel substantial solar growth in India, furthering India’s goals for clean, renewable energy independence. India has embarked on an ambitious program to become a world leader in power generation from renewable technologies, and sees solar as a key part in realising that goal,” Adani Power CEO has indicated in an official statement to the media.
Aditya Birla Group Chairman Mr. Kumaramangalam Birla has said that he had a “personal bias” for investing in Gujarat and that his corporate group will be investing in INR 20,000 crore over a lengthy duration of time to improve facilities and amenities. “We will be continuing to grow our businesses here. On the anvil are brownfield expansions at our cement plant in Sevagram, the VSF plants in Vilayat and Bharuch, and along with that, expansion in metal plants (among others) here. Our investments will be close to Rs 20,000 crore, as we see it,” he said during the Vibrant Gujarat Summit in Gandhinagar in this state. “We’re greatly impressed by proactive approach of government of Gujarat...I have a personal bias for it,” Mr. Birla was quoted as saying.
RIL issued a statement saying that an investment of INR 1,00,000 crore across different businesses such as the Gujarat petrochemical complex within the previous 18 months as per a company statement. During a proceeding of the Vibrant Gujarat summit in Gandhinagar, Gujarat, Mr. Mukesh Ambani indicated that “We will invest over Rs.1,00,000 crore in the next 12-18 months in contributing to the Make In India and Digital India initiatives,” Mr. Ambani said during the 7th Vibrant Gujarat Summit, adding that “Reliance has been an inseparable part of Gujarat’s success story. Over the last three decades, we have invested again and again to convert a business vision into a reality.”
Foreign Investments and Bilateral Engagement
British energy conglomerate OPG Power Ventures will also invest 1.5 billion pounds in Gujarat as per a visiting UK minister. "UK's company OPG Power Ventures will increase their power production from 300 MW to 2,300 MW with a further investment of 1.5 billion pounds in Gujarat," British Minister of State for Trade and Investment Lord Livingston also added.
The US business delegation USIBC or US India Business Council also attended the event. Ease of doing business was rated as very high in Gujarat and USIBC noted a potential investment target of USD 41 billion.
PM Narendra Modi also met UN Secretary General Ban Ki Moon on the sidelines of the summit and discussed issues pertaining to climate change, clean energy and environment and adequate action in the clean and renewable energy sectors.
US Secretary of State John Kerry also met the PM and discussed the way forward for adding momentum to the India-US strategic partnership. Issues pertaining to WTO Trade Facilitation were also resolved and the talks also focussed on counter terrorism operations, economic matters and regional issues.
Countering terror cooperation was also a major theme in the PM’s meeting with the Canadian Minister of Citizenship and Immigration Chris Alexander. Israel’s agriculture minister, Mr. Yair Shamir was also met by the PM and both sides sought further cooperation in the agriculture sector. The Make in India initiative was also promoted during the summit. PM Narendra Modi also met the Senior Advisor to President of Iran.
Dr. Akbar Torkan and both sides reviewed the implementation of the Chahbahar Port Project. Energy cooperation as well as regional issues were also discussed. During a meeting with the President of the World Bank Jim Yong Kim, climate change and clean energy were also matters which came up for discussion.
PM Modi also held a meeting with the PM of Macedonia, wherein both sides agreed to enhance trade as well as investment ties. Russia’s Governor of Astrakhan Alexander Zhilkin also encourages investment from India during the meeting with the PM.
Important Quotes of the Summit
During the course of the three day summit, India’s PM Shri. Narendra Modi said that “there are immense possibilities in India for global investors.” Mr. Ushering Tobgay, the Bhutanese PM said, “First, I am here on my economic pilgrimage and I am delighted to participate in Vibrant Gujarat 2015.” Mr. Nikola Gruevski, Prime Minister, Republic of Macedonia stated that “During recession time India has aided in Global Economy.”
Shri Rajnath Singh, Minister of Home Affairs, India said that he was “surprised and astonished to see that 110 countries participated in this event.”Smt. Anandiben Patel,CM, of Gujarat also said “The summit is not only for collaboration and investment, but it is also for cultural exchange. Gujarat has truly become a Global Business Hub.” Shri Saurabh Patel,Minister, Gujarat was quoted as saying that “The best businesses are those which established their roots and gone deep into the heart of nation.”
Mr. Ban Ki Moon, Secretary General, United Nations said that “Gujarat can be the crossroad for development.” Mr. Jim Yong Kim, President, World Bank said that, “We believe India should be the leader in eliminating poverty; it’s a radical and unique opportunity over the next decade.” Mr. John Kerry US Secretary of State said that “The moment has never been more right to tab the incredible possibilities between India and the US.”
Mr. Chris Alexander, Minister of Citizenship & immigration, Govt. of Canada said that “India, a major trading partner that shares common values.”Mr. S Iswaran, Minister Govt. of Singapore was reported as saying, “We are excited with the PM Modi’s vision of smart cities.” Lord Livingston, Minister for Trade & Development, Govt. of United Kingdom said, “UK looks to strengthen, deepen its relations with India.”
Mr. Ajaypal Singh Banga, President, USIBC said that, “US Investors want to be in India; here to bridge the gap between what we do and what we are capable of doing.” Mr. Sam Walsh, CEO, Rio Tinto, Australia committed to job creation saying that, “We will add 30,000 jobs in diamond cutting industry in Gujarat. Looking forward to impetus that Vibrant Gujarat will provide.” Mr. Mukesh Ambani,
Chairman, Reliance Industries Ltd. said that “I urge each and every investor to follow our path and invest in Gujarat, just as we did.”
According to Mr. Osamu Suzuki, Chairman and CEO, Suzuki Motor Corporation, “Gujarat is superior in terms of Infrastructure and administration.”Mr. Kumarmangalam Birla,
Chairman, Aditya Birla Group said “We will be continuing to expand our business in the state with investments worth - 20,000 crores.” Shri Cyrus Mistry Chairman, TATA Group indicated that “As the chairman of the group, I reassure sustainable growth of the state.”
Mr. Gautam Adani, Chairman, Adani Group said “During Vibrant Gujarat Summit, we pledged for sustainable and inclusive growth.” Mr. Patrick Brown, Canada said that “Vibrant Gujarat is not just the incubator for ideas of jobs, but it's incubator for ideas for growth.” Mr. Rana Kapoor, Founder and CEO, YesBank said that “Dedication Determination and Die-hard Gujarati spirit led by Smt. Anandiben Patel fuels growth.”
Smart Cities on the Rise
As the government established a blueprint of 100 smart cities, the concept of smart city has been a huge hit at the summit as well. The Dholera Special Investment Region/SIR is one of the main investment attractions in the city apart from the GIFT city which is the Gujarat International Finance Tec City. GIFT is also home to India’s first international stock exchange as per the BSE which will be investing INR 150 crore in the city for the establishment of the same.
