Gujarat put it up for display for foreign investments at a time when the country moans in economic gloom post-demonetisation. The eighth edition of the Vibrant Gujarat Global Summit touched a record 25,578 MOUs as the curtains closed on the biennial business meet held at Mahatma Mandir, Gandhinagar. The number of MoUs signed are suggested to touch 3,000 more than last time's event, and the committed investment is most likely to cross £300 billion. VGGS 2017 also saw Prime Minister Narendra Modi, who is often eulogized by industry captains and international guests at every summit, got the biggest compliment when several global leaders sought to see him take centrestage internationally.
The three-day affair partnered by 12 countries saw participation of 2,743 delegates from nearly 100 countries. Addressing the valedictory function, Chief Minister Vijay Rupani said, "One of the biggest takeaways from this year's VGGS is that all the foreign delegates would act as brand ambassadors of Gujarat in their respective countries." This year saw a couple of firsts, including the participation of two Muslim countries- Saudi Arabia and the United Arab Emirates. Two of the richest countries in the world, they actively participated and put forth keen desire to forge business ties with Gujarat. Defence Minister Manohar Parrikar, who was the chief guest at the valedictory function, praised the state for its innovative, ease of business, progressive and forwards looking approach. "It can become an important hub for defence manufacturing. There are varieties of products being developed by defence and Gujarat government can be interested in aerospace technology," he said.
Overall, VGGS 2017 was rife with investment promises, as Indian corporates, multinationals, educational institutions, and state-run enterprises pledged over £200 billion. "In all, 50 MoUs committing at least £400 million and 133 for investment between £100 million and £400 million were signed," said deputy chief minister Nitin Patel. Among those notable, was France's Airbus Group, which signed an MoU to develop an aerospace cluster including a helicopter manufacturing plant in Dholera special investment region.
Adani Group, Welspun Group and MRF Group announced collective investments worth almost £1.65 billion. Welspun will invest £200 million in setting up an integrated textile manufacturing zone, and will also invest £100 million on capacity enhancement of its technical textile business and its advanced textile arm that makes specialised materials for aerospace, defence, and automobiles. In this meet, the maximum number of Memorandums of Understanding came micro, small and medium enterprises which had faced wrath of demonetisation.
Adani signed an MoU to invest £420 million for a solar plant in Mundra and £170 million in information technology. PK Taneja, additional chief secretary, industry & mines, said, "So far, 24,835 MoUs have been signed for various sectors besides a number of strategic tie-ups." The total amount is likely to cross £300 billion-mark. Japan, which is associated with VGGS since 2003, is keen to set up a dedicated industrial park. China's Tshingshan Holding Group has also proposed a £ 550 million steel plant while another, Taishan Fibreglass Inc, signed an MoU to set up £170 million fibre glass plant.
The state home department has also entered a strategic partnership with a Russian agency for electronic surveillance system.
World's first Khadi Textile Park recieves Rs 550 Crore in funds
London-based Nachiket Joshi, whose business deals in contemporary clothes made in Khadi, in Gujarat, and sold overseas in Europe, Australia, and America, signed an MoU with the state government to establish India's first Khadi Textile Park. Participating in the VGGS 2017, with a sole purpose of signing an MoU, Joshi said, "I have been in the business of making Khadi clothes and selling it overseas. If current fashioned clothes are made out of the cloth and put up in the market overseas, it can easily flourish. To help our Khadi business grow, I have signed an MoU worth Rs 550 Crore to develop a park near Surendranagar. I will open overseas markets for state-run Khadi stores, and other departments."
Life sciences key to UK-India links
This year the UK brought one of the largest business delegations, 35 companies, to the Vibrant Gujarat Summit with a clear focus on life sciences. British high commissioner to India, Dominic Asquith, who is leading the delegation said the acquisition of Actavis UK Ltd and Actavis Ireland Ltd by Gujarat-based Intas Pharmaceuticals Ltd was a catalyst to a closer association with Gujarat. The British high commissioner also said that British life sciences companies are also looking at greater collaboration with Indian companies in clinical trials, for development of new drugs that suit the market in India.
Asquith explained that at the CEO forum during the India-UK Tech summit last November, there was greater emphasis on developing collaborations on clinical trials for developing new drugs. “The UK-India CEOs discussed how they can collaborate on clinical trials to get discovered medicines to the market quicker. Both British and Indian companies are working on that,” said Asquith. He added, “There are talks on about ways to collaborate during phase 1 and phase 2 of clinical trials between Indian and UK companies. In Britain, there are 5,500 companies in the life sciences sector generating 60 billion pounds each year. Gujarat's role in the Indian pharma industry is one of the largest and the most significant. It makes sense to be here,” said Asquith. He added, “Gujarat's Cadila Pharma for instance is working closely with their British counterpart on real challenges facing us. For instance, antimicrobial drug resistance, precision medicine and collaborating in industrial biotechnology. UK is one of the best innovators in this field. You see, 25 of every 100 prescription drugs in the world today were developed in UK,” says Asquith.
