'Investment climate' a must to attract investors

On several parameters of development UP is doing better than many states, however, the perception about the deteriorating law and order situation in the state needs to be improved so that the real picture is presented to the investors and they can be attracted for setting up of manufacturing units. Anil Shukla writes.

On several parameters of development UP is doing better than many states, however, the perception about the deteriorating law and order situation in the state needs to be improved so that the real picture is presented to the investors and they can be attracted for setting up of manufacturing units. The state has to show hunger and come out openly and extend invitation to potential investors.

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Agriculture and food processing
Uttar Pradesh has immense potential of development of agriculture sector and improving the income of farmers by adopting value addition techniques in agro processing. To increase the efficiency of the food distribution system, private initiative in production, marketing, and distribution needs to be fostered.

This is achievable through:
* Facilitating the setting up of large scale food processing units
* Facilitating the development of supply chain for storage and food processing
* Enacting APMC Act

Roads
Movement of goods within the industrial estates of Uttar Pradesh is extremely challenging. The roads within industrial area of Kanpur, Bhadohi, Sahibabad, Ghaziabad and Hapur are in a bad state causing lot of difficulties in the movement of heavy vehicles. The investment on these roads will yield good results and will help in cutting down the cost of production in UP.

Power
The power situation in UP has been bad for industry for a long time. This lead UP's industry to be less competitive compared to our neighbors. The state is reeling under a short fall of approx 3500 MW. The state needs to ensure that the MOUs signed with the private investors are executed in a timely and cost effective manner.

Tourism
The state could be an ideal tourism destination hub. More than 50% of the tourist inflow in the country flocks to UP. No other state has such an advantage of numerous heritage destinations as Uttar Pradesh. The four golden destinations of Agra, Varanasi, Allahabad and Lucknow are much sought after. It is suggested to develop these cities to promote tourism.

IT & ITES
This sector is the most revenue generating sector in the present time and needs relatively smaller investment in setting up businesses. Also, 12-13 % of IT professionals in India belong to this belt but we are not able to tap this pool of intellectuals to the benefit of the state. Facilitation in setting up the exclusive IT parks in major cities such as Lucknow, Kanpur, Varanasi, Allahabad, Jhansi etc., will give an immediate boost to the revenue and much needed employment generation to the masses.

Industrial clusters
For product clusters in UP Khurja (ceramics), Secundrabad (glass beads), Varanasi (brasslate), Aligarh (Locks) and Firozabad (Glass Bangles) there is an immediate need to provide the Gas Pipeline. This will improve upon the productivity & quality and simultaneously reduce the overall cost of the products by 12-15%.

Connectivity (Lucknow – Kanpur)
Night landing facility at the Chakeri airport, Kanpur with expansion of runway should to be undertaken. Also, hourly, not-stop and air-conditioned luxury coaches to be started between Lucknow airport and Kanpur city centre with one hour commuting time

Waste disposal
An inadequate and outdated waste disposal system prevails in most parts of the State. Major problem of drainage and sanitation exists leading to all kinds of diseases and epidemics. To reduce and curb the same, modern and updated drainage system could be provided in all parts.

Skill development
Various skill development schemes are under implementation in UP at root level. ITIs and other technical institutions are being upgraded to provide quality training to artisans. There is need to ensure that the pace of skill continues without compromising with the quality of the product.

Health
Requisite steps need to be taken to increase access to health services in selected areas that have the greatest needs. Efforts must be taken to identify voluntary organisations at the state, district and block levels which are capable of taking up, in collaboration with government agencies, health education, primary health care services and operational research.

Synergy among the project implementing bodies
Better coordination between Government and other agencies involved in urban infrastructure and utilities jobs like roads, sewerage, sanitation, water works, power and telecom thru an action group headed by the Divisional Commissioner.

About the author
An MBA from the Edinburgh University UK and Mechanical Engineer from REC Kurukshetra (now known as NIT), Anil Shukla is also a fellow of the Sugar Technologists' Association of India and member of the Institution of Engineers and Academic Council of IILM Academy of Higher Learning Lucknow. He has a managerial experience of over 18 years in dealing with technical, commercial and consulting assignments in India and abroad. He has also worked in North and Central America, the Caribbean Islands, East Africa, Europe, and the Middle East. Shukla also has hands-on experience in operations, maintenance and modernisation of sugar and plastic moulding industry. Besides, he has also carried out a study of core issues for the Government of UP for industrial development in Uttar Pradesh. Shukla has also managed a project for UNICEF on 'Iodine Deficiency Disorders' in UP and has also made presentations to the World Bank. In addition to this, he is the co-author of the UNICEF publication – 'State of UP's Children. Atul Shukla is presently working as Head – CII UP State Office.