The Hindu Business Line : Infrastructure: Making rapid strides

Gujarat's journey for an all-round development with a holistic approach had begun long before the economic reforms gave its seal for liberalisation, privatisation and globalisation in 1991, thanks to the people's entrepreneurial skill, proactive bureaucracy and the political will in the State.

The State's zeal to outdo the rest of India in different fields began with its bifurcation from bilingual Bombay State in May 1960. Gujarat could not send a Railway Minister to the Centre so far (Ministers of State do not figure in scroll of honour), but can today legitimately claim to be the growth engine of Indian economy.

Progress so far

Despite slow or negative growth or stagnation in certain areas such as inbound tourism fishery, ticklish prohibition policy and threat to small and medium enterprises (SMEs) in this age of globalisation, Gujarat has crossed many milestones.

With just five per cent of the country's population and six per cent of the land mass, it stands first in many aspects.

Although Gujarat got Kandla as the new major port on the western coast in early 1950s as Karachi went to Pakistan, it set up Gujarat Maritime Board as the nodal agency to develop existing small and greenfield ports in the State, which today account for over 80 per cent of cargo handled by non-major ports in the country.

The country's first port in the private sector was set up at Pipavav in 1992.

It had announced its first industrial policy in 1995, with just three coastal districts - Surat, Bharuch and Jamnagar - accounting for three-fourth of total investment in what we now see as huge industrial hubs at Hazira, Dahej and slew of petro-chemical complexes around Jamnagar.

Around the same time was announced the State's New Port Policy, to develop 10 greenfield ports, including Mundra, Dholera and Umargaon.

The State converted the century's worst earthquake on January 26, 2001 into an opportunity, with investments of nearly Rs 40,000-crore coming to the worst-hit Kutch district, albeit with some tax concession, hitherto known only for livestock, embroidery, some lignite mining and the wild ass sanctuary.

The first of its kind Gujarat State Disaster Management Authority was set up after the rescue and relief operations were over. Similar body was set up later at the Centre. The need for such an organisation to be in place was acutely felt during the tsunami.

While the rest of India is still talking about inter-linking of rivers, the perennial river Narmada has already been linked with seven seasonal rivers in northern Gujarat.

With drought frequenting the State at the rate of once every three years, Gujarat has resolved its perennial water shortage problem by constructing a series of check dams or `bori bunds' (meaning improvised bunds of sand-filled gunny bags) across streams and small rivulets through public-private partnership. Such dams not only store water that usually go down into the sea, but also lasts longer and recharge the aquifer as a bonus.

Not to be left behind in the new millennium, Gujarat vies with other developed States for the top slot in industrialisation, FDI, FI and in the latest rush for special economic zones (SEZs).

Even as the Centre has approved 33 SEZs for Gujarat, Mundra Port and Mundra SEZ occupy the pride of place among peers, already humming with activity. Promoted by the Adani Group, the all-weather fully computerised Mundra Port with direct berthing facility for vessels up to 17-metre draft, is projected to handle 50 million tonne by 2009-10. The port has six berths, four for dry bulk cargo and two for containers. A single point mooring (SPM), 9-km from the coast has been commissioned last month to handle VLCC's of up to 350,000 DWT. Indian Oil Corporation has built huge storage tanks.

What's on the anvil

When completed, Multi-Product Mundra SEZ, adjoining the Mundra Port, is planned to be as big in area as Jabel Ali Free Trade Zone in the UAE, and as varied as Sharjah Airport International Free Zone. The Group has constructed 57-km-long dedicated broad gauge railway line to connect the port and SEZ to the existing broad gauge line to Kandla Port. The Adani Group has also promoted the Kutch Railway Company, the country's first railway line built through public-private partnership though a special purpose vehicle, reducing the distance between Kutch and northern India by about 130 km.

Mundra SEZ Ltd has begun constructing 1,500 metres long airstrip for high-end visitors to the SEZ, with provisions for extending it to 3,700 metres for wide-bodied aircraft. Also on the anvil are a multi-level passenger railway terminal, a golf course, a starred hotel with convention centre and a date palm research centre, taking natural advantage of its nearness to the sea.

The SEZ is being developed in two areas. The processing area is designated by the Commissioner of Customs to carry out authorised operations. The non-processing area is to provide social infrastructure and utility services. In the next phase will be developed the high-value global trading hub, agro processing and food, gems & jewellery, drugs and pharmaceuticals parks, light engineering, auto component and chemical and fertiliser parks.