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Thursday, March 04, 2010
Orissa implementing 32.6% investment proposals : Assocham
state government, which is higher compared to other states, according to the Associated Chambers of Commerce and Industry of India (ASSOCHAM). Releasing a Paper titled ASSOCHAM Strategy : “Creating and Sustaining Growth Momentum in Orissa” here on Wednesday at a press conference here by Assocham President, Swati Piramal and Secretary General, D S Rawat, however, said at the end of September 2009, the state had 486 live investment projects worth Rs 9.4 lakh crore. “This is 27% higher than the live investment reported as on September 2008”, Dr Piramal said adding that the respective shares of electricity, manufacturing, mining and services sector in total live investment are respectively 42.8%, 34.7, 56.6% and 6.3%. The Paper says that it is indicative of the fact that electricity, manufacturing and mining activities would become more prominent in Orissa in near future. “Projects that are presently put to implementation account for nearly 32.6% of total investments. During the three months period to September 2009, only one project involving Rs 24 crore was completed”, Dr. Pirama pointed out. Explaining the reason for the state having more than 65% of investment proposals at announcement stages, the Paper clarifies that lower implementation rate of projects, of late, has become a phenomenon across states in India. “ It may be noted that owing to the prevalence of global recessionary trends and slow down of the Indian economy investments across states have been kept on hold during 2008 and 2009. This explains the announcement stage of the major portion of investments announced. In case of Orissa, besides the slow down of the economy, the land acquisition has become a major hurdle of implementation of investment projects”, the Paper says.
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