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Sector ProfileSector Profile
CHEMICALS AND PHARMACEUTICALS
Global Scenario
Indian Scenario
Government Support
Chemical and Pharma Sector in Haryana
Haryana Enterprise Policy Support:
Ease of doing Business
Indian Pharmaceutical Industry
Indian Chemical Sector: Salient Features
Indian Pharma Sector: Salient Features
Export-Import Scenario
Competitive Scenario
Growth Drivers
Domestic and External Demand Driver Growth
Government Initiatives
Introduction
Enablers for the Chemical Industry
Advantage Haryana
Existing Clusters
Impressive Infrastructure
Availability of skilled labour
Established industrial base for end customers
Investment Opportunities
Attractive Incentives
Approvals and clearances
Single Roof System for time-bound clearances
Allotment of land and investor relationship
Flexibility in existing labour, inspection and environmental reforms
Labour
Inspection
Environment
Grievance redressal and dispute resolution
Contents1
7
8
11
12
The chemical industry is one of the world's largest industry and has significant influence on many other industries. Total global
chemical shipments are worth an enormous 5 billion U.S. dollars. Many products used in everyday life include organic
substances generated by the petrochemical industry. Colorants, plastics, coatings, detergents, synthetic fibers and medicines
are the most prominent examples.
The global chemical industry consists of a very diverse range of products. In terms of revenue, it is one of the world's largest
markets. The majority of consumer products that are used every day trace back their connectionto the chemical industry.
Global chemical market size was estimated at USD 3.9 trillion in 2013 and is expected to grow at 3-4% per annum over the next 5 1years to reach USD 4.7 trillion by 2018 .
GLOBAL SCENARIO
Chemicals
Agro - Chemicals Basic Chemicals Specialty Chemicals
Organic Inorganic
Bulk PetrochemicalsIntermediatesPlastic Resins
Synthetic RubberMan-made fibers
Dyes and pigmentsPrinting Inks
PaintAdhesives
Electronics chemicalsFlavors and Fragrances
Rubber processing additivesPaper additives
Industrial cleanersSealantsCoatings
Pesticides
Fertilisers
1
1 Indian Chemical and Petrochemical Sector, India Chem 2014
INDIAN SCENARIOGlobal Industry Revenue
Industry Revenue in India
Estimated Industry
Revenue in India (2020)
Total Production of
Indian Chemicals Industry
(FY14)
Contribution to India’s
GDP (FY 2015)
CAGR of Revenue in India
(2008 - 2013)
Direct and Indirect
Employment (FY 2012)
Share in India’s exports
US $3.9 trillion
US $144 billion
US $300 billion
19,308 (Thousand MT)
2.5%
13% (Chemicals),
1 million
9%
A traditional capital and knowledge intensive sector of the Indian industry,
it includes basic chemicals, derived products, petrochemicals, fertilizers,
paints, varnishes, gases, soaps, perfumes, and toiletries. With an industry
revenue of 144 billion USD, India contributes only about 3% to the world's
output. Globally, India ranks 3rd in terms of volume and 14th in terms
of value.
With about 70,000 different products, it is one of the most diversified
sectors of the Indian economy. It is also the building block of many
associated industries such as textiles, papers, paints, soaps, detergents,
pharmaceuticals, varnish etc. It is one of the oldest industries in India and
has made immense contribution to the industrial and agricultural
development of India.
At present, India is the net importer of chemicals. The percentage share of
the net import of chemicals & petrochemicals in the total national net 2imports increased from 1.9% to 7.6% during FY07 and FY14.
The chemical industry in India is a key constituent of Indian economy,
accounting for about 2.11 per cent of the GDP. India's growing per capita
consumption and demand for agriculture related chemicals offers huge
scope of growth for the sector in the future.
India, with its skilled manpower and presence of many end-user industries
which are consistently growing, is at the right position to emerge as the global hub for chemical manufacturing.
Chemical industry is broadly classified as the following sub groups:
1. Bulk Chemicals: It includes basic organic chemicals (methanol, acetic acid etc.) and basic inorganic chemicals (caustic soda,
soda ash and Liquid Chlorine are also classified as alkali chemicals)
2. Specialty Chemicals: Specialty Chemicals, also known as performance chemicals, are low-volume but high-value
compounds. These chemicals are derived from basic chemicals and are sold on the basis of their function. Paint, adhesives,
electronic chemicals, oilfield chemicals are some examples of specialty chemicals.
3. Agro Chemicals: Chemicals essentially meant for protecting agriculture crops against insecticides and pesticides are
covered under this sub-group.
4. Petrochemicals: Petrochemicals are chemical products derived from petroleum.
5. Fertilizers: Fertilizer is any organic or inorganic substance which supplies chemical elements required for plant growth.
Fertilizer sector manufactures critical raw materials for agriculture which is a major occupation of the country
Of the five segments, Bulk chemicals has 39 percent share are the largest followed by agro chemicals at 20 percent and then 3specialty chemicals contributing 20 percent.
Globally, bulk chemicals are the most traded chemicals (in terms of
volume). In terms of potential growth, specialty chemicals are the fastest
growing segment followed by bulk chemicals.
2
2 Assocham, Make in India
3 Department of Chemical and Petrochemical and Tata strategic management group report
Bulk
Chemicals,
39%
Bio Technology, 4%
Pharma, 17%
Specialty
Chemical, 20%
Agro
Chemical, 20%
Market Size Breakdown-Indian Chemical Industry
Market size in USD 139 bn
Indian Pharmaceutical IndustryCurrently topping the science based industries in India, the
Pharmaceutical sector is an industry with over 20,000 registered
units. This sector is one of the nation's prestigious sectors with a
global reputation for its cost-effective quality. Ranked highly
specially among the third world countries, it ranges from generic
drugs to formulations to patented products. Currently, it is
expanding majorly in the biotech segment.
Majorly competitive in nature, the sector is also regulated by
government in terms of price controls. 70% of the nation's demand
for drugs and formulations is met by this domestic industry. About
250 large and 8000 MSMEs dominate this sector in India.
India is among the top 5 emerging pharma markets. With increase in health awareness and dispensable incomes, the domestic
consumption of medicines is also increasing. Domestic pharma market is expected to grow by 10-15% in FY15. The
pharmaceutical industry in India meets around 70 percent of the country's demand for bulk drugs, drug intermediates,
pharmaceutical formulations, chemicals, tablets, capsules, orals and injectables.
4Indian Chemical Sector: Salient Features
Indian Pharma Sector: Salient Features
• Eighth largest producer worldwide.
• Third largest producer in Asia5• The estimated size of market in 2014 is USD 100 Billion
• Fourth largest global producer of agro chemicals.
• India accounts for approximately 16 percent of the world production of dyestuff and dye intermediates.
• Third largest pharmaceuticals market by 2020 in terms of incremental growth.
• 20% of global exports in generics, making it the largest provider of generic medicines globally.
• Industry revenues are expected to grow by a CAGR of 12% during 2012-20 and reach USD 45 Billion.
6
3
4 Make in India, GoI
5 Department of Chemical and Petrochemical, GoI and Make in India, Chemical Sector
6 Make in India, GoI
3.7 4.76.1
7.58.8
11.3
15.8 16
19.521.7 22.5
27.3
FY 03
FY 04
FY 05
FY 06
FY 07
FY 08
FY 09
FY 10
FY 11
FY 12
FY 13
FY 14
India's Chemical Imports (USD billion)
3.5 4.1 5.16.3
7.79.1
11.2 11.413
15.4 15.5
19.2
India's Chemical Export (USD billion)
FY 03
FY 04
FY 05
FY 06
FY 07
FY 08
FY 09
FY 10
FY 11
FY 12
FY 13
FY 14
Export-Import Scenario:With the increase in industrial activity, the demand for chemicals also increased, which resulted in higher international trade.
Despite a growth in domestic manufacturing capacity, India remained a net importer of chemicals as chemical imports being
cheaper than those produced within the country.
* Total exports of chemicals grew from USD3.5 billion in FY03 to USD19.2 billion in FY14, a CAGR of 16.9 per cent. Exports of the 7Indian chemical industry stood at USD19.2 billion for FY14
8* Total imports of chemicals grew from USD3.7 billion in FY03 to USD27.3 billion in FY14, a CAGR of 19.8 per cent
64%7%
13%
16%
Shares in exports of chemicals in FY14
Organic
Inorganic
Dyes
Miscellaneous Chemicals
62%18%
6%
Share of imports of Chemicals FY14
Organic
Inorganic
Dyes
Miscellaneous Chemicals
14%
During FY14, organic chemicals constituted 64 per cent of India's total chemical exports, followed by miscellaneous chemical at 916 per cent.
10Organic chemicals also dominate imports, with a share of 62 per cent, followed by inorganic chemicals at 18 per cent in FY14.
Competitive ScenarioThe majority of the chemical industry manufacturers a represent in the bulk chemical segment. This industry requires a high capital
investment which creates an entry barrier for smaller firms. As a result, there are only a few large players in the basic chemical
segment. Smaller manufacturers tend to focus on a small number of basic chemicals and mostly have only regional presence.
In specialty chemicals, the focus is mostly on technological prowess, R&D skills, employee skills, and strength of patents. For
these two segments there is high need to invest in technology and R&D. Unlike the bulk segment, companies manufacturing
specialty chemicals face a higher risk of failure.
Some of the major chemical manufacturers in India are:
4
7 Ministry of Commerce
8 Ministry of Commerce, Data up to September 2013
9 Department of Chemicals and Petrochemicals
10 Department of Chemicals and Petrochemicals
19.8%16.9%
Growth DriversChemicalsarethefoundationformanufacturingawiderangeofproductsincludingtextiles,paper,pharmaceuticalproducts,plastics,s
yntheticrubbertoagrochemicals
1. A large population, huge domestic market dependence on agriculture and strong export demand are the key growth
drivers for the industry.
2. Rise in GDP and purchasing power generates huge growth potential for the domestic market
3. A global shift towards Asia as the world's chemicals manufacturing hub. Per capita consumption of chemicals in India is
lower as compared to western countries, so immense scope for new investments.
4. Low-cost manufacturing.
The key end-user sectors driving growth include:
1. Pesticide Manufacturers: Increased awareness about advantages of using pesticides, growth in the number of farmers able
to afford pesticides and growth in access to the pesticides has helped push its demand in the country. In addition, India has
emerged as a major manufacturing hub for pesticides due to its low cost advantage that has led to its growth, building up
exports contribution as well.
2. Pharmaceutical Sector: India has emerged as a key manufacturing hub of Active Pharmaceutical Ingredients (APIs) and
generic formulations. As a result, the demand for input chemicals has increased. Domestic demand is expected to remain
strong as number of patients having access to healthcare services increases. With pharmaceutical companies taking steps
to meet US Food and Drug Administration (USFDA) norms, export growth is expected to pick up.
3. Consumer Product Manufacturers: Chemicals are used in the manufacture of a wide range of consumer products ranging
from cosmetics, body care, hair care, and home care products
4. Fertilizer Manufacturers: Some inorganic chemicals like ammonia, sulphuric acid, and phosphorus are widely used in
fertilizer manufacturing. Since the Green Revolution, fertilizer consumption has picked up due to a combination of socio-
economic factors like higher subsidies by government, increased affordability of farmers and wider availability of products.
5. Glass Manufacturers: Indian market for glass products has increased steadily on the back of a higher demand for
automobiles, commercial and residential space, as well as for rigid packaging products.
5
Structural
Advantage
Growing market and purchasing power, expected growth rate of this industry is 10-15%. Growing dispensable income increases demand for consumption of paints, textiles, adhesives and constructions, all of which require chemicals in the growing stage.
High Domestic
ConsumptionThis industry is the largest consumer of its own products, consuming about 33% of the total output.
Supporting
Govt Policies
Diversified Industry,
Shared Synergies
The sector has over 70,000 diversified products across several industry segments. Besides, it has synergies with sectors such as pharmaceuticals, plastic, automobiles, ESDM.
Export Potential
Growth Drivers of the Sector in India
Drivers
Growth in
end-user
industries
Packaging
(15% growth
expected)
Electronics(12% growthexpected)
Domestic and External Demand Driver Growth
6. Manufacturers of Soaps & Detergents: Increased awareness in personal detergents, higher disposable income, increase in
consumption of consumer products and wider access to consumer products due to the growth in retail sector has resulted
in a higher consumption of soaps & detergents. Consequently demand for soda ash from soap & detergent manufacturers
have gone up.
7. Manufacturers of Paper & Pulp Manufacturers: Globally paper & pulp industry is the largest consumer of caustic soda.
Consumption scenario is similar in India too where the INR 500 bn paper industry is the largest consumer of caustic soda. 11Approximately 12 Mn tonnes of paper is estimated to have been produced in the country in the fiscal year 2015 while
domestic consumption reached close to 13.3 Mn tonnes per annum. Demand for paper is expected to remain strong in the
coming years, which in turn would keep the demand for caustic soda high.
8. Aluminum Manufacturers: India is the fifth largest aluminum producer in the world, producing about 1.6 Mn tonnes per
annum (in FY 2015). Aluminum manufacturers have emerged as a key consumer group of caustic soda in the country. As
key user industries in the country, particularly construction and automobile, pick up speed, the demand for caustic soda and
other chemicals will follow suit.
• Total production in the Indian chemical industry was 8,839 MT in FY14, 12clocking a CAGR of 2 per cent between FY07-14
• Favorable demographics and strong economic growth drive the demand for
chemicals
• India's growing per capita consumption and demand for agriculture-related
chemicals offers a huge scope of growth for the sector in the future
• With 71 per cent of the total production share, alkali chemicals form the
largest segment in the Indian chemical industry
* Per capita consumption of most of the chemicals is much lower than
global averages, thus, it is expected that the sector growth will be
primarily driven by domestic consumption.
* Domestic demand is further strengthened by higher discretionary
spending by the newly emerged affluent middle class. The increased
focus on lifestyle, hygiene, asset creation, health infrastructure access etc. is likely to keep the demand up from the
consumer end.
* Attracted by the existing and latent size of the industry, foreign firms have increasingly strengthened presence in India.
7713
7945
7564
7895
8509
8730 86908839
FY 07 FY 08 FY 09 FY 10 FY 11 FY 12 FY 13 FY 14
Total production of major chemicals (000‟ MT)
6
11 Department of Chemicals and Petrochemicals
12 Department of Chemicals and Petrochemicals
GOVERNMENT SUPPORTGovernment InitiativesThe Chemical and Petrochemicals sector is one of the key focus sectors under the 'Make in India' initiative of the government. As
a result, the central regulatory environment is favorable and lays strong emphasis on the growth of this sector through a
conductive policy frame work.
The Government of India is working towards formulating the National Chemical Policy to accelerate manufacturing in the
chemical sector in order to meet the growing internal and external demands. The proposed policy is expected to help
India's chemicals sector grow and become more competitive as well as place a framework for promoting safety and security of
chemical facilities.
The salient features of the Draft Government Policy for this sector have been mentioned below:
1. Sector Policy
a. The Government of India has de-licensed the manufacturing of most chemical products except for certain hazardous
chemicals. It also provides infrastructure support for setting up of petroleum, chemicals and petrochemicals
investment regions by building roads, ports and other similar facilities.
b. The government provides duty protection to domestic manufacturers by levying anti-dumping duties on imports.
c. The government is continuously reducing the list of reserved chemical items for production in the MSME sector. 20
items which were earlier exclusively reserved for MSME sector have been de-reserved, thus opening up the sector for
greater investment, better technologies so as to enhance competition in Indian and global markets.
d. The government offers incentives for chemical manufacturing units in SEZ/ NIMZ as specified in respective Acts or
setting up projects in special areas like the North-east, Jammu & Kashmir, Himachal Pradesh & Uttarakhand.
e. To promote investment in the Chemicals and Petrochemical industry, the government has allowed setting up of
Petroleum, Chemicals &Petrochemical Investment Regions (PCPIRs). PCPIR would be a specifically delineated
investment region with an area of around 250 square kilometers planned for the establishment of manufacturing
facilities for domestic and export led production in petroleum, chemicals & petrochemicals.
2. FDI Policy
a. The government allows 100% Foreign Direct Investment (FDI) under the automatic route in the chemicals sector, subject
to all the applicable regulations and laws.
7
Implementation of strategy for sourcing and allocation
of feedstock
Development of an innovation roadmap for chemicals
sector and setting up of R&D fund under PPP model.
Granting of permission for setting up an integrated
cluster of 250 km PCPIR
Industrial Licensing has been virtually eliminated in the
sector except for hazardous chemicals
Figure 1: Make in India Roadmap
Augmenting existing testing centres to act as certifying
agencies for testing plastic prodcuts and raw materials
to meet BIS standards.
Reduction of customs duty on many products under
PCPIR
Tax deduction given for investment in R&D, Several
export incentives, Focus product schemes
Introduction:Chemical and Chemical products are one of the major industries in Haryana. The state has more than 45000 working factories
13producing chemicals and chemical products. He sector registered a growth of 2% in 2013-14 and about 5% in 2014-15.
The Enterprises Promotion Policy 2015, Government of Haryana lists the Chemical and Pharmaceutical sector as one of the focus
sectors for development and investment, the state government has also introduced procedural reforms in connection with
grant and renewal of manufacturing licenses to remove bottle necks.
CHEMICAL AND PHARMA SECTOR IN HARYANA
Enablers for the Chemical Industry
3. R&D Policy
a. For R&D sector, the government allows weighted tax deduction of 200% under Section 35 (2AA) of the Income Tax Act.
To avail this benefit, the assesse should have made payments to a national laboratory, university or institute of
technology for conducting scientific research which is duly approved by the prescribed authority
b. In addition to the above, a weighted tax deduction of 200% under Section 35 (2AB) of the Income Tax Act is allowed for
both capital and revenue expenditure incurred on scientific research and development
c The government is planning to launch a R&D fund under Public Private Partnership model for this sector
4. Export Incentives
To encourage exports in this sector, the government provides export incentives mentioned below -
a. Export promotion capital goods scheme (EPCG) - EPCG Scheme permits chemical manufacturers to import capital
goods at zero percent customs duty with an obligation to export 6 times of the amount of duty saved in 6 years.
b. Service Exports from India Scheme (SFIS) - SFIS scheme extends benefit of duty exemption of 5% to service providers
engaged in R&D services in the chemical sector in India
Connectivity and linkage to market
Government policy and incentives
Avalibality of land
Avalibility of raw material and skilled manpower
Haryana Ecosystem
8
13 Economic Survey of Haryana 2014-15
Advantage Haryana:Raw Material Availability·
• Panipat Refinery at Baholi village, Panipat, is Indian Oil's 7th refinery, with an integrated
petrochemical complex. The refinery's output serves the entire North West region
including Punjab, Himachal, J&K, Chandigarh, Rajasthan besides Haryana
• The capacity of the plant has been augmented to 15MMTPA and can handle both
indigenous and imported crude
• The output of the refinery include various polymers which feed as raw materials for home
furnishings, textile, tyre, etc units.
Figure: Specifics of the Panipat Refinery
Existing Clusters
• There is a pharma cluster present in the district of Karnal
• Petro-chemical hub and an upcoming Plastic Park in vicinity of Indian Oil Corporation Refinery at Panipat
• India's first Styrene Butadiene Rubber plant has come up in the petro hub, providing top quality rubber for end-user
industries such as Tyre, Conveyor Belts, Other producers.
Impressive Infrastructure
• Haryana ranks fourth in the infrastructure Index developed by the Central for Monitoring Indian Economy (CMIE) 2012.
• Entire State is within 250 kms radius of the International Airport at New Delhi & Domestic Airport at Chandigarh
• The entire State falls in the influence zone of the two major industrial corridors – DMIC & AKIC
• 13 districts of the state are a part of the National Capital Region (NCR) - A prominent trade and consumption center.
9
Parameter Capacity
Total Capacity 6+6+3 MMTPA, Expected to become 20.2 MT by 2020
Receives crude from Salaya Mathura Pipeline
Units Hydrocracker, Resid Fluid Catalytic Unit, Coking Unit, Bitumen, Sulphur Block
Petro outputs Paraxylene, PTA, Benzene, Polyethylene, Monoethylene Glycol
Relevant streams No. of institutes Intake
Engineering colleges 159 54,241
Polytechnics 187 58,915
MBA colleges 171 12,875
ITIs 123 39,140
Availability of skilled labour
• Haryana is home to 23 universities with more than 159 engineering colleges and 187 polytechnics, producing 1.5 lakh
trained professionals each year. These include leading educational institutions including IIT, IIM, NIT, etc.
Established industrial base for end customers
• 8 major diversified Industrial Clusters with 1,356 large and medium industries
• The state is also an Automobile hub: ~50% of India's passenger cars are manufactured in the state. It also houses the world's
largest motor-cycle factory
• Upcoming large scale projects: DMIC, Gurgaon-Manesar Bawal investment region
• Several sector-specific parks across food, textiles, integrated industrial parks, each of which uses chemicals, dyes, colourants
and paints.
Investment OpportunitiesSome of the key players in the state in the chemical and pharma segment are as follows:
Investment opportunities in the chemical sector in Haryana will come in form of growth of end-user industries which depend on
this industry for supplies. All of these end users are focus sectors for the state and have incentives for their growth. Primary
among them are:
• Automotive and automobile that depend on the sector for specialty paints
• Housing and Construction depending on the sector for paints and other chemicals
• Textiles industry that depend on dyes and pigments besides man-made fibres
• Footwear industry that sources dyes and pigments for its products especially leather based
• Agro and Food Processing industry that sources pesticides and fertilisers (Agro chemicals)
• Other manufacturing industries such as rubber, tyre, etc
1. Speciality and Pharma Chemicals:
The specialty chemicals market has witnessed a growth of 14 percent in the last five years. India's specialty chemical market 14currently valued at USD23 billion, is expected to grow at CAGR of 14 per cent per annum.
India is currently the world's third largest consumer of polymers and growth in plastic demand will drive up consumption
further.
Growth drivers:
• A growing construction industry
• Adoption of advanced coating, ceiling and polymer-based reinforcing material in construction
• Plastics, paints and coatings for the automotive sector.
• Huge demand for specialty chemicals in automotive, water treatment and construction.
2. Agro Chemicals
Agrochemical industry in India is set to grow at a significant pace; increasing population, decreasing per capita availability
of arable land and focus on increasing agricultural yield will fuel the demand for agrochemicals
3. Colourant Chemicals
The Indian colourant industry is valued at USD 6.8 Billion, with exports accounting for nearly 75%. India accounts for 16% of
global industry share and this figure is expected to further increase. The Indian pigment market size stands at USD970 15million, with a production capacity of 0.7million tonnes per annum in FY12 . Exports contribute around 85 per cent of total
consumption, which shows a tremendous potential in colourant segment.
4. Plastic Park
Plastic industry is highly fragmented and disorganized. Most units are in the small and medium category. While they are
producing and processing plastic, there is no hub where one can source it at one place. Government of Haryana is setting up
plastic park at Panipat which will act as a hub for manufacturers of telecom or automobile and other users to source the material.
10
14 India Chem 2013
15 India Chem
The Government of India scheme under Ministry of Petroleum, Chemical and Fertilizer and Textile would be suitably leveraged
for creation of downstream petro-chemical hub and Plastic Park in vicinity of Indian Oil Corporation Refinery at Panipat.
The Pharma Sector has a vast growth potential in the country and the State recognizes the need for development of this Sector
on a sustainable basis. The State would explore the possibility of setting up a Pharma Park.
a. Investment Subsidy in lieu of VAT/SGST: It is estimated to provide this incentive to the tune of Rs.200 crore yearly, @ 50% -
75% of VAT/ SGST net paid for 8-10 years.
b. Transfer Property Tax:
Exemption from Transfer Property Tax in case of Dyes & Chemicals purchased from outside the state being used in process
house.
c. Interest Subsidy: It is estimated to provide this incentive to the tune of Rs.100 crore yearly, @ 5% - 6% on term loan for 3-5
years.
d. Contribution to CGTMSE: The State Government shall contribute an amount of Rs.100 crore in CGTMSE fund, which will
provide window opportunities to new as well as existing Micro and Small Enterprises for availing collateral free loan to the
extent of Rs.1 crore from Lending Institutions.
e. Land Related Incentives: Reduced EDC charges @ 50% and Stamp Duty refund @ 50% - 100%.
Attractive Incentives
HARYANA ENTERPRISE POLICY SUPPORT:
11
EASE OF DOING BUSINESSApprovals and clearancesSingle Roof System for time-bound clearances
- Deemed acceptance of key approvals in case of delay
- Different empowered committees to give approval on the basis of scale of project
- Enactment of Right to Public Service Act for time bound delivery of service with 119 services to Industries notified under the act
Allotment of land and investor relationship
- Allotment of industrial plots based on objective criteria
- Removal of requirement of CLU (Change of Land Use) in 31 industrial blocks
- Provision of automatic CLU in 75 industrial blocks
- Individual relationship managers for every large investor
12
Flexibility in existing labour, inspection and
environmental reformsLabour
- Limit of workers under Retrenchment, Lay-Off & Closure Limit under IDA 1947 raised from 100 to 300
- Increase in overtime working hours from 50 hrs/quarter to 50 hrs/month
- Number of contract labor for applicability of Contract Labor Act 1970 to be increased to 100
- Amendment to allow women to work in night shifts is under consideration
- Self-Certification for compliance management; no checking/inspection
- Self-regulation by companies for working hours
- Only state to have clear guidelines for night time working hours
- Web enablement of all services – registrations, certifications, payments
Inspection
- 5% random selection for inspection in a year
- Inspections to be done after 5 years
- No ad-hoc inspections except for cases in which violation is there or complaint has been filed
- Selection of units for inspections shall be determined based on nature of hazard, time period since last inspection and no. of
workers
- 15 days prior notice of inspection indicating that of team members
- Inspection report to be prepared and uploaded within 72 hours
Environment
- Certifications valid for 5 years for Red category and 10 years for Orange & Green category industries
- NOC and consent to establish not required for industries in Green and Non-Red category
- Inspection required only for consent to operate
- Online monitoring for regular updates; inspection only in cases of specific incidents
- 14 Private Labs recognized for renewal inspections
- Web enablement to file consent to establish, consent to operate, fee payment and downloading certificates
- NOC on self-declaration for all category of industries
Grievance redressal and dispute resolution
- Creation of policy implementation, monitoring & grievance redressal structure
- Enterprise Assistance Group – Correction plan to detect stress and corrective plan
Minister – Industries & Commerce
Haryana Civil Secretariat, Sector-1, Chandigarh, INDIA, T: 0172-2740212
Principal Secretary - Industries & Commerce
Haryana Civil Secretariat, Sector-1, Chandigarh, INDIA, T: 0172-2740009
Managing Director
Haryana State Industrial & Infrastructure Development Corporation Limited,
Plot No: C-13-14, Sector 6, Panchkula-134109 , Haryana, INDIA,
T: +91-172-2590324, +91-172-2590475 E: [email protected]
Director General
Department of Industries & Commerce, Haryana. 1st Floor, 30 Bays Building, Sector17,
Chandigarh, INDIA, T: 0172-2701344 E: [email protected]
Knowledge Partner Communications Partner