Government of Karnataka is conducting a mega event “Invest Karnataka 2016 ” to attract and promote investments in the state.

1. INVESTMENT
OPPORTUNITIES
IN KARNATAKA
Government of Karnataka
Commerce & Industries Department

2. Agenda
Advantage Karnataka
Karnataka Drivers
Focus Sectors
Invest Karnataka 2016
Government Support and facilitation

3. Advantage Karnataka

4. Knowledge, Innovation and R&D Capital
Hub for hi-tech sectors
One of the largest Global Tech Hubs
Future is being made in Karnataka

5. 3th largest contributor to GVA in the country
Source: Economic Survey Reports 2014-2015, GoK. 1$ = INR 65
Karnataka: Thriving Economic Hub
Ranks 4th in terms of cumulative FDI (USD 17 Bn from 2000 to 2015)
State GDP at US$120 billion (Growing at 7% P.A.)
Industrial output - US$ 61.5 billion
Literacy rate – 76%; Workforce – 860,000
$€£¥
Total Exports - US$ 52 billion (13% of India exports)
Cumulative FDI – US$ 17.5 billion (2000 to 2015)

6. Karnataka Drivers

7. Karnataka: Key drivers
Locational Advantage
Knowledge Capital
Excellent place to live and work

8. Locational Advantage

9. Largest Biotechnology hub
Largest No. of Software Technology Parks
Largest No. of Medical institutes
Largest number of Industrial Training Institutes
Largest no. of R&D centers - 367
3rd largest no. of Engineering Colleges
Knowledge
Hub of India
Section title
Knowledge Capital

10. Excellent Place to Live and Work

11. Focus Sectors

12. Manufacturing Technology
Energy &
Infrastructure
Tourism
Agri business &
Food
Processing
 Aerospace
 Automotive
 Machine tools &
Heavy Engineering
 Textiles &
Garments
 Pharmaceuticals
 Electronics
 Information
Technology
 Bio Technology
 Audio Visual
Gaming and
Comics
 Conventional
Energy
 Non-conventional
Energy
 Transportation
Infrastructure
 Urban
Infrastructure
 Industrial
Infrastructure
 Logistics
Infrastructure
 Agriculture
 Horticulture
 Fisheries &
Marine
 Dairy & Animal
Husbandry
 Heritage
 City
 Adventure &
Recreational
Focus Sectors and Investment Opportunities

13. • Produces more than a quarter of India's aircraft and spacecraft
• Exports 65% of all aerospace related products from India
• Strong lower tier supplier base
• Home to top R&D centers –
 Indian Space Research Organization (ISRO)
 Defence Research and Development Organization (DRDO)
 Boeing Research & Technology centre
 Airbus Engineering Centre
Aerospace
Snapshot
Bangalore
Belgaum
Aerospace clusters

14. Aerospace
• Integrated Aerospace Special Processes facility at Bangalore
• Aerospace Technology Centre at Bangalore
• Partnering opportunities with SMEs
• Greenfield airport development - Shimoga, Bijapur, Hassan and
Gulbarga through the PPP model
Investment Opportunities

15. Auto & Auto Components
• One of the largest auto component manufacturers
• Presence of major OEMs (Toyota, Volvo,
Honda Scania, TVS)
• Tier 1 & 2 players (DENSO, Aisin Seiki, BOSCH,
APEX auto, Faurecia)
Snapshot Dharwad
Cluster
Hoskote
Cluster
Bidadi Cluster
Belgavi
Cluster
Shivamogga
Cluster
Existing Auto clusters

16. Auto & Auto Components
• Auto parks/Industrial infrastructure development on PPP mode
• Manufacturing of Motor vehicles (2-wheelers, 3-wheelers, passenger vehicles)
• Auto ancillaries/auto parts manufacturing
Investment Opportunities

17. Electronic System Design & Manufacturing (ESDM)
• 85+ Chip Design houses located in Karnataka
• 3500 ESDM skilled personnel available through
Skill development training centres per year
• Advantage of state as the hub of Knowledge
based industries
Snapshot
Brownfield
ESDM
common
facilitation
centre,
Mysore
Brownfield
ESDM
common
facilitation
centre,
Bangalore
1. ESDM
Cluster
along with
CLIK,
Doddaballap
ura (20
acres)
2. Hardware
Park + IT
Park,
Devanhalli
Greenfield
cluster at
Vasantana
raspura
Upcoming ESDM
clusters

18. • ESDM cluster development, Electronics City
• Brownfield ESDM common facilitation center, Mysore
• Greenfield cluster, Vasanthnarsapura
• ESDM Cluster, Doddaballapura
• Hardware Park + IT Park, Devanhalli
Investment Opportunities
Electronic System Design & Manufacturing

19. Machine Tools & Heavy Engineering
• Fastest growing sector of the state at CAGR of 21.3%
• Engineering exports from Karnataka of around US $ 3.5 billion
• Foundry industry in Karnataka valued at US $ 10.41 billion
• Engineering items exported to Germany, China, South Korea,
Brazil, USA, Malaysia, Thailand, South Africa, Singapore
Snapshot
Tumkur
Mangalore
Belgaum
Existing & Upcoming
parks Existing
Upcoming

20. • Dedicated Machine Tool Park proposed at Vasanthnarasapura
• Proposed cluster, Tumakuru
• General Engineering SEZ at Mangalore
Investment Opportunities
Machine Tools & Heavy Engineering

21. Pharmaceuticals
• Presence of exclusive Pharma SEZ, Pharma
industrial areas and R&D Centres
• Home to 221 formulation units and 74 bulk
drug units
• Exports 40% of its pharma produce
Snapshot
Yadgir Pharma
SEZ
Vemgal
World’s Largest
drug formulation
units
Hassan
Pharma SEZ
Existing Pharmaceutical
Clusters

22. • Expansion of Yadgir SEZ
• PPP based pharma SEZs and technology parks
• Development of Innovation and incubation centres
• Skill Development and sector specific research centres
Investment Opportunities
Pharmaceuticals

23. Textiles and Garments
• Produces 35% of raw silk and 11% of wool
• 2nd largest garment exporter in India
• Sourcing hub for prominent brands like Nike,
Tommy Hilfiger, Adidas, Allen Solly
• Presence of 144 skill development centers and 168
private training centers
Snapshot
Doddaballapur
Tumkur
Kalburgi
Bellary
Sira
Yadgir
Chamrajnagar
Existing and upcoming
Textile zones
Existing Upcoming

24. • Areas of investment-Technical textiles and garmenting industry
• Development of cluster parks-Support in common infrastructure
for green field and brown field parks
• Setting up of specific textile zones
Investment Opportunities
Textiles and Garments

25. Agri-Business and Food Processing
• Total value output of US$ 10 billion
• Growing at 20% CAGR, outperforming national average
• 10 agro climatic zones
• Leaders in Horticulture production and exports
• Largest producer of Coffee, Silk, Arecanut, Pomegranate
and Gherkins
• Presence of 7 national level R&D institutes in Agriculture
and Horticulture
• 7 Food Parks and 1 Spices Park in operation
Snapshot
Bangalore Rural
Kolar
Bangalore Rural
Chtiradurga
Tumkur
Bijapur
Gulbarga
Bagalkot
Haveri
Shimoga
Shimoga
Operational Food Park
at Kolar, Bagalkot,
Chitradurga, Gulbarga &
Tumkur
Upcoming Food Park
At Bijapur & Shimoga &
Spice park at Haveri
Land available (apart from
Food Park)

26. • 1 Rice technology park and 1 Sea Food Park on the anvil
• Solar roof top project on State warehouses in PPP basis – An estimated
150MW across 7 regions.
• PPP projects for Operation and Management (O&M) of State warehouse
• Innovative PPP project for Integrated Horticulture Development as FPOs
Investment Opportunities
Agri-Business and Food Processing

27. Information Technology
• US$ 50 Billion IT-BPM revenue
• Growing at CAGR 24%
• 3500+ companies and 743 Multinational Companies
providing direct employment to 1 Million
• Bangalore - Start-up capital of India
• With 367 R&D centers - largest R&D hub in India
Snapshot
Bangalore,
Peenya
Mysore
Hubli
IT SEZ,
Mangalore
Shivamogg
a
Gulbarga
Haliyal
Proposed areas of
development

28. • Incubators on PPP mode
• Bangalore IT Park at Devanahalli
• Hardware Park at Devanahalli
• EPIP Park at Dakshina Kannada District
• IT SEZ at Mangalore
• Aryabhatta Park at Hubli
Investment Opportunities
Information Technology

29. Biotechnology
• Presence of more than 60% country’s Biotech units
• Contributes 2nd largest revenue in India’s Biotech
industry
• Leading biotech institutions and training centres-
IISc, NCBS, IBAB, BTFS, IABT, BBC & CHG
• Bangalore-India’s Best place for Innovative Biotech
start-ups
Snapshot
Bangalore,
Peenya
Mysore
Hubli
IT SEZ,
Mangalore
Shivamogga
Gulbarga
Haliyal
Proposed Bio innovation
centres (US$ 20 Mn each)
Animal BT Park /
Vivarium, Bidar
Bangalore Bio-
Innovation centre
Nutri / Nutraceutical and
Phyto-Pharmaceutical
Park (N2P2), Mysore
Marine
Biotech Park,
Mangalore
Agri Biotech
Park, Dharwad

30. • Agriculture (cotton, rice, sugarcane)
• Pharma (vaccines, R&D Synthetic)
• Energy and Environment (Conversion of CGH, waste to biodegradable polymers)
• Hitech-Biotechnology parks
• Innovation and incubation centres
Investment Opportunities
Biotechnology

31. Energy
• 24x7 power to all by 2020
• Highest installed capacity of 3.6GW for hydro power
• Potential of 7.9 GW of pumped storage hydro power
• Best online customer service practices in India
Snapshot
Proposed Projects
Energy Centre of
excellence &
incubation centres,
Bangalore
Repowering of
Old wind mills,
Chitradurga

32. • Development of solar parks limited to 200 MW
• Repowering of old wind mills
• Micro/mini grid solutions for electrifying villages
• Harnessing the 7.9 GW potential of pumped storage based hydro power
(Krishna river and Kaveri river basin)
• Implementation of smart grid in all ESCOMs
• Implementation of an “Energy Centre of excellence and Incubation Centre”
Investment Opportunities
Energy

33. Infrastructure
• Successive participation from World Bank in highways
development
• Bengaluru airport is busiest airport in South India and 3rd
busiest in India
• Railways- Joint venture projects in partnership with Indian
Railways (GoK-GoI partnership)
• Undertaken projects with PSU’s in Intercity Gas pipelines
• Only state with 2 Industrial/Economic corridors – CBEC and
BMEC
Snapshot

34. • City Cluster development project to develop water, power and other support
infrastructure in 8 locations around Bengaluru
• Small airport development across the state and promotion of air taxi services
• Tadadi seaport development INR 3800 crore investment opportunity
• New road projects – 23 projects with more than 1500 km opportunity for development
• Project shelf across sectors including 80 projects
• International Convention Centre – 6000 seating capacity; largest in India – INR 1000
Crore investment (PPP)
Investment Opportunities
Infrastructure

35. Tourism
• Largest number (319) of tourist destinations in India
• Encompasses Heritage, Wildlife, Spirituality, Adventure,
Cities, waterfalls, Rivers
• Recorded 100 Million tourists with a growth of 50% in the
past five years
• Remarkable connectivity with 2 International and 3
Domestic airports, excellent bus and rail network
Snapshot
Bidar
World Watch
Monuments Fund List
Hampi
UNESCO World
Heritage Sites
Mysore
Heritage,
Wildlife
Coorg
Waterfalls, river,
National Park
Mangalore
Coastal
Udipi
Spiritual,waterfalls
Pattadakal
UNESCO World
Heritage Sites

36. • Cruise Tourism: Karwar, Belekeri, Tadri, Malpe, Old & New Mangalore
• Tourism related infrastructure: Malaprabha Dam-Belagavi, Hidkal Dam-
Belgavi, Manapalla Lake-Udupi, Gorur Dam-Hassan
• Theme parks: Bhadra Dam, Chickmagalur; Bangalore; Almatti Dam,Bagalkot
• Cable Cars: Chamundi Hills, Nandi Hills, Kemmannugundi hills, Madhugiri
• Adventure Sport facilities: Davangere, Mandya, Shimoga, Udupi
Investment Opportunities
Tourism

37. Government support
and facilitation

38. Automobile
Apparel
Steel
Cement
Food processing
Pharmaceutical/
Biotech
Power
Industrial clusters Industrial estates

39. Size of Investment
 Large
 Mega
 Super Mega
 Ultra Mega
Type of Enterprise
 SME
 SC/ST
 Women entrepreneurs
 Ex-Armed Forces
Promoting Industrial Dispersal
 Zone 1
 Zone 2
 Zone 3
 Zone 4
Sectorwise
 Manufacturing
 Agri business & food processing
 Technology and Startups
 Energy & Infrastructure
 Tourism
Industrial Policy 2014-19

40.  Bringing processes online
 Finance
 Pollution Control
 Labour
 Facilitation services - Nodal officers of Karnataka Udyog
Mitra (KUM) assigned to help ground investments
 Single portal for all information - www.ebizkarnataka.gov.in
 Single Window Clearances through High Power Committee
Approachable Accessible Hands on
Easy to do business

41. Invest Karnataka 2016

43. Thank You!!!Thank You!!!