Gujarat emerges as top investment destination in India: ASSOCHAM

NEW DELHI: Gujarat has become the most sought after investment destination in India luring recommendations more than Rs 16.28 lakh crore, said industry chamber Associated Chambers of Commerce and Industry of India (ASSOCHAM).

ASSOCHAM General Secretary DS Rawat said, “Clocking a share of 13.52% in total inestments of over Rs 120.34 lakh crore across 20 states (till 2011-end), Gujarat has emerged as the most lucrative investment destination attracting highest number of proposals (MoUs), worth over Rs 16.28 lakh crore.”

Out of the net investment recommendations, Gujarat lured 39.2% investment in electricity, 24.2% in manufacturing, 16.2% in serices, 14.3% in real estate, 5.2% in irrigation and 0.9% in mining space, accoprding to Chairperson of Assocham Gujarat Council Bhagyesh Soneji.

Jharkhand, Gujarat, Uttar Pradesh, Tamil Nadu and Madhya Pradesh have posted poor project implementation rates.

ASSOCHAM has also said that the services sector is not progressing on fast pace in Gujarat. The big brands in IT/ITeS don't enjoy significant presence in the state. Out of 20 Indian states, the main five have been Gujarat, Maharashtra, Andhra Pradesh, Orissa and Karnataka were responsible for 54% of the overall investment proposals (Rs 120.34 lakh crore) till December 2011.

Out of the 20 emerging industrial States in India, Gujarat tops in terms of investments, followed by Maharashtra, Andhra Pradesh, Odisha and Karnataka which, together, attracted 54 per cent of all investments in India during the last seven years, according to an Assocham report, released here on Tuesday.