Telangana attracted over ₹1.96 lakh crore investments in the five years since the launch of its TS-iPASS industrial policy. Of the 12,021 projects approved under the policy, 9,021 or 75% have commenced operations. The projects have provided employment to about 13.90 lakh people, according to 2019-20 annual report of the State’s Industries and Commerce Department.
A release from the office of Industries Minister K.T. Rama Rao, who released the report on Tuesday, said upcoming mega investment projects worth ₹45,848 crore, with a potential to generate 83,000 employment opportunities, are in the pipeline across sectors, including information technology, automotive, textiles, electronics, life sciences, construction components and food processing. Mr. Rao said the cumulative investments attracted by TS-iPASS is ₹1,96,404 crore and the State continued to undertaken Ease of Doing Business (EODB) reforms. The Telangana State Industrial Infrastructure Corporation allotted 1,520 acres to 526 industries during the fiscal with an expected investment of ₹4,859 crore and employment for nearly 8,500 persons.
Growth rate
According to the report, Telangana’s Gross State Domestic Product, at constant (2011-12) prices, grew 8.2% in 2019-20 to an estimated ₹6.63 lakh crore. At current prices, the GSDP grew 12.6%, year on year, to an estimated ₹9.70 lakh crore. In doing so, the State continued to clock a rate of growth well above the national average, which in 2019-20 is estimated to be 5% growth at constant prices and 7.5% at current prices.
The rate of growth, however, was less compared to the 2018-19 rate which was 9.5% at constant prices and 14.3% at current prices. This despite the GSDP in value terms being higher as compared to the previous fiscal. The contribution of primary sector to the Gross State Value Added (GSVA) was 18.6%, while that of secondary was 16.2% tertiary sector the remaining 65.2% to the GSVA in 2019-20.
The share of Telangana’s economy in national GDP increased by 21 basis point to 4.76% (4.55% in 2018-19). The per capita income of the State was ₹2,28,216, while the national average is ₹1,34,432 at current prices. Telangana share of exports from the country went up from 10.61% in 2018-19 to 11.58% in 2019-20.
Listing out major investments across sectors, the report said with more than 800 pharma, biotech and medical technology companies in the State, Telangana has a combined enterprise value of $50 billion. The State government has envisioned to grow the industry from $50 billion to $100 billion and create 4 lakh new jobs by 2030. In the food processing sector, projects with investments of over ₹ 3,000 crore are under implementation.
Mr.Rao said in the recent months “we have been going through very unusual and difficult times due to the spread of COVID-19 virus. This situation is unprecedented for all of us. However, Telangana government is well prepared and handling the situation with aplomb. Although there has been very little economic activity countrywide, in the last 1-2 months, we are fast reaching a situation where bulk of the activities are being normalised.”
