Maha investment took a hit in three years: Survey

The industrial investment of the state has gone down in the past three years, according to the economic survey 2019-20 presented by deputy chief minister Ajit Pawar

The industrial investment of the state has gone down in the past three years, according to the economic survey 2019-20 presented by deputy chief minister Ajit Pawar in the state Assembly on Thursday.

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The report has revealed in 2019, 249 projects worth ₹26,540 crore were registered in the state and by August just one, worth ₹37 crore of investment, could be implemented. In 2018, 426 projects worth ₹86,163 crore were registered and 37 projects worth ₹1976 crore were implemented. In 2017, 354 projects worth ₹48,581 crore were registered and 158 projects worth ₹17,566 crore were implemented, states the report. As a result, the state could generate new jobs for only 60 people till August 2019 compared to 18,353 jobs in 2018 and 63,573 jobs in 2017, said the report.

This is despite the erstwhile BJP-led government’s initiatives such as ‘Make in Maharashtra’ and ‘Magnetic Maharashtra Convergence’, where 2984 MoUs worth ₹8 lakh crore and 3965 investment proposals worth Rs 13 lakh crore were signed, respectively.

The foreign direct investment (FDI), too, registered a fall compared to the previous year. In 2019-20 (till September), the state received ₹25,316 crore as FDI, whereas in 2018-19, it received ₹80,013 crore as FDI. In 2017-18, FDI was even more — ₹86,244 crore. However, the state is still the favourite destination for FDI, with a share of about 29% of the total FDI inflow across the country.

Between April 2000 and September 2019, Maharashtra got ₹7.39 lakh crore as FDI, highest among all states so far.

Officials from industries department said it is the low figure is owing to documentation. “Investors file Part A that signifies the intent to invest, but many of them don’t file Part B to confirm its implementation at the time of commencement of commercial production as it is not mandatory. So the number of implemented projects is low,” said a senior official, wishing not to be named. Industries commissioner Harshdeep Kamble said the FDI figures quoted in the economic survey report are half yearly and will rise in the second half of the year. The unemployment rate in the state is 7.4 in urban areas and 3.3 in rural parts of the state.

Meanwhile, the FDI inflow of neighboring state Gujarat is increasing. In 2019-20, its FDI inflow was ₹24,012 crore (till September), whereas in 2018-19 it was only ₹12,618 crore. PWD minister Ashok Chavan, who is from the Congress said, “We have no objection even if Gujarat goes ahead than Maharashtra in FDI. In the past five years, the BJP was in power in the state and its leadership gave priority to Gujarat over Maharashtra.”