Telangana State Report - February 2017

11FEBRUARY 2017 For updated information, please visit www.ibef.org

TELANGANA THE 29th STATE OF INDIA

FEBRUARY 2017

22FEBRUARY 2017

❖ Executive Summary………………..……. 3

❖ Advantage State………………...…...…... 4

❖ Telangana Vision ……………...…...……. 5

❖ Telangana – An Introduction…….…...…. 6

❖ Budget 2016-17………………………….. 18

❖ Infrastructure Status……………….…..... 19

❖ Business Opportunities………………..…38

❖ Doing Business in Telangana…...……....52

❖ State Act & Policies……………………….53

For updated information, please visit www.ibef.org


FEBRUARY 2017

33FEBRUARY 2017

EXECUTIVE SUMMARY

Source: Telangana State Statistical Year book,2015

Economic growth driven

by service sector

• At current prices, Telangana’s GSDP was estimated at US$ 89.07 billion during 2015-16.

• Services sector is the major contributor in the GSDP of Telangana.

Hyderabad – The IT

hub of the state

• Hyderabad is the major IT hub of the state across the country. During 2015-16, the value

of IT exports from the state of Telangana was recorded at US$ 10.42 billion. The launch of

T-Hub in November 2015 has created most energetic community of entrepreneurs across

the world for boosting the success stories of the start-ups in India.

Growth in annual

budget• In 2016-17, the overall planned and non-planned allocation for various sectors of the state

amounted to US$ 19.92 billion.

Promoting tourism &

historical past

• In 2014-15, “Telangana Samskruthika Sarathi”, a distinct state level body was created to

generate awareness about the cultural heritage of Telangana and provide information

regarding the various policies and schemes of the Government of Telangana.




Source: Telangana State Statistical Year Book, 2015

GSDP: Gross State Domestic Product

ADVANTAGE: TELANGANA


Growing demandGrowing economy and

improving infrastructure

• Telangana’s GSDP grew at a CAGR of 14.49% between 2004-05 and 2015-16.

• The state government plans to build more airports in the state to improve connectivity.

Rich labour pool

• Majority of the prominent educational universities and institutions Telangana are located in Hyderabad. These institutions provides a massive pool of labour which acts as a catalyst in the development of the state.

• The state government has announced scholarships to attract more youth to these institutions.

Policy and

institutional support

• Under the Department of Information Technology, Electronics & Communications, the Government of Telangana introduced three new policies in 2016, namely, Telangana IT Policy, 2016, Telangana Electronics Policy, 2016 and Telangana Innovation Policy, 2016.

Availability of

readymade capital

• Telangana accounts for easy access to capital along with infrastructure which is benefiting the state.

• Majority of the multinational companies holds production base in Hyderabad.

• Information technology and pharmaceutical sectors are the fastest growing sector of the state and driving the economic development of Telangana.

Advantage

Telangana

June 2016

Installed

power

capacity:

11,568.76

MW

2018

Installed

power

capacity:

23,675 MW


TELANGANA VISION

Vision

Agriculture

Quality of life

of people

Power

Infrastructure

GovernancePromoting

investments

Promoting

research

• Waiver of agricultural loans

up to Rs 1 lakh.

• Technological advancement

in agriculture

• Government to encourage

research in agricultural

universities.

• In next three years, Telangana is

expected to be developed as a

power surplus state

• To develop Hyderabad as a slum

free city.

• Effective implementation of

welfare schemes.

• Hyderabad to have most

advanced infrastructure facilities.

• To have two new airports in

Hyderabad, near Shamirpet,

Jawaharnagar and Ghatkesar.

• Ensure people centric,

transparent and corruption

free development.

• To take steps to eradicate

corruption.

• Plans to announce industrial

policy to encourage

investments in state.

• Setting up of faster

clearances, a single window

system.

• Aim to make Telangana the

Seed Bowl of India. Telangana

is highly suitable for the

growth of seeds.

• Endorsing greenhouse

technology and pilot projects.

Law & order• No negotiation on maintaining

law & order in the state.

• Encouraging people friendly

police officials.

• Installing CCTV cameras for

better vigilance.

Source: Telangana Government



TELANGANA FACT FILE

In June 2014, Telangana was introduced as the 29th state

of the India, Hyderabad is the capital of the state.

Telangana is surrounded by Andhra Pradesh from the south

and east end, Maharashtra and Karnataka from the west,

and Odisha and Chhattisgarh from the north end.

Telugu is the generally spoken language in the state. Hindi,

Urdu and English are also usually spoken.

Mahaboobnagar, Ranga Reddy, Hyderabad, Medak,

Nizamabad, Adilabad, Karimnagar, Warangal, Khammam

and Nalgonda are the 10 districts of Telangana.

Hyderabad, Secunderabad and Warangal are the key cities

in the state.

Source: Population Census 2011,

Telangana State Statistical Abstract, May 2015

Parameters Telangana

Capital Hyderabad

Geographical area (sq km) 114,840

Administrative districts (No) 10

Population density (persons per sq km) 312

Total population (million) 35.2

Male population (million) 17.7

Female population (million) 17.5

Sex ratio (females per 1,000 males) 988

Literacy rate (%) 66.5


Source: Maps of India

77FEBRUARY 2017

Parameter Telangana All states Source

Economy 2015-16 2015-16

GSDP as a percentage of all state’s GSDP 4.30 100.0Directorate of Economics & Statistics of

Telangana, Central Statistics Office

GSDP growth rate (%) 11.70 8.64Directorate of Economics & Statistics of


Per capita GSDP (US$) 2,530.7 1546Directorate of Economics & Statistics of


Physical Infrastructure

Installed power capacity (MW) 11,568.76 304,505.75 Central Electricity Authority, as of June 2016

Wireless subscribers (No) 73,912,8961 1,033,157,014Telecom Regulatory Authority of India, as of

May 2016

National Highway length (km) 2,635.84 100,087.08 NHAI & Roads and Building Department

Airports (No) 12 125 Airports Authority of India


TELANGANA IN FIGURES … (1/2)


1 For undivided State 2International operational airport

88FEBRUARY 2017

Parameter Telangana All states Source

Social Indicators

Literacy rate (%) 66.5 73.0 Census 2011

Birth rate (per 1,000 population) 17.5 21.6 SRS Bulletin

Investment

FDI equity inflows (US$ billion) 11.571 288.51Department of Industrial Policy & Promotion,

from April 2000 to March 2016

Industrial Infrastructure

PPP projects Completed & Operational (No) 13 1,246DEA, Ministry of Finance, Government of India,

as of July 2016

Operational SEZs (No) 26 186Ministry of Commerce & Industry, Department

of Commerce, as of July 2016

1Including Andhra Pradesh, PPP: Public-Private Partnership,

SEZ: Special Economic Zone, SRS: Sample Registration System


TELANGANA IN FIGURES … (2/2)


99FEBRUARY 2017

24.528.1

37.9 41.0 42.9

57.865.2 63.9 65.0

71.1

89.10

200

5-0

6

200

6-0

7

200

7-0

8

200

8-0

9

200

9-1

0

201

0-1

1

201

1-1

2

201

2-1

3

201

3-1

4

201

4-1

5

201

5-1

6



At current prices, Telangana’s GSDP stood at US$ 89.1

billion in 2015-16.

Between 2005-06 and 2015-16, GSDP of the state grew at

a CAGR of 13.79%.

Source: Directorate of Economics & Statistics of Telangana, Central Statistics Office

GSDP* - Socio Economic Outlook 2016

GSDP of Telangana at current prices

(in US$ billion)

ECONOMIC SNAPSHOT – GSDP



At current prices, Telangana’s net state domestic product

(NSDP) was estimated at US$ 81.13 billion in 2015-16.

Between 2005-06 and 2015-16, the average annual NSDP

growth rate was about 14.04%.

NSDP of Telangana at current prices

(in US$ billion)

ECONOMIC SNAPSHOT – NSDP

Source: Directorate of Economics & Statistics of Telangana, Central Statistics Office, Socio Economic Outlook 2016

21.8 24.933.6 36.7 38.1

51.556.8 56.3 57.4

62.7

81.13


ECONOMIC SNAPSHOT – PER CAPITA GSDP


GSDP per capita of Telangana at current

prices (in US$)

Telangana’s per capita GSDP^ increased to US$ 2,530.7

during 2015-16 from US$ 857 over 2005-06.

Average per capita GSDP rose at a CAGR of 14.44%

between 2005-06 and 2015-16.


Per Capita GSDP^ - calculated using GSDP million USD / Population in million

657 739985 1064 1096

14681602 1568 1582

1714

2530.7



Telangana’s per capita NSDP grew from US$ 584 during

2005-06 to US$ 2,184.89 over 2015-16.

Average per capita NSDP increased at a CAGR of 14.1%

between 2005-06 and 2015-16.

NSDP per capita of Telangana at current

prices (in US$)

ECONOMIC SNAPSHOT – PER CAPITA NSDP

Source: Directorate of Economics & Statistics of Telangana, Central Statistics Office, Socio Economic Outlook 2016

584 655873 951 972

1306 1397 1382 13971512

2184.89

1313FEBRUARY 2017

Percentage distribution of GSDP

(Current prices)


ECONOMIC SNAPSHOT – PERCENTAGE DISTRIBUTION OF GSDP



Sector-wise %share of GSDPµ -Geometric mean of YoY calculation from 2004-05 to 2014-15

At a CAGR of 19.08%, services has been the fastest

growing sector among agriculture, industry and services

from 2004-05 to 2015-16.

The industry sector increased at a CAGR of 14.13%

between 2004-05 and 2015-16, followed by agriculture

(CAGR of 17.44%).

In 2015-16, the services sector contributed 61.90% to the

state’s GSDP at current prices. It was followed by the

industry sector (20.40%) and agriculture sector (17.70%).

17.91% 17.70%

28.28%20.40%

53.81%61.90%

2004-05 2015-16

Primary Sector Secondary Sector Tertiary Sector

CAGR

17.44%

19.08%

14.13%

1414FEBRUARY 2017

Source: Telangana Socio Economic Outlook 2016,

Telangana State Budget 2016-17,

Crop

Annual Area

(‘000 hectare)

Annual Production

(‘000 tones)

2014-15 2015-16 2014-15 2015-16

Rice 1,415 951 4,545 2,979

Cereals

& millets2205 1591 6955 4685

Pulses 408 455 263 250

Fruits 2613 2046 7218 4935

Cotton 1693 1778 3583 3608

Telangana is primarily a rain fed state and

experiences irregular distribution of rain.

During 2015-16, 5.56 lakh hectare of area

was under cultivation of maize, whereas

pulses were cultivated over an area of 4.55

lakh hectare, in the state.

Thus, after the divergence, the state is

expected to grasp a leading position in the

production of pulses and coarse grains.

As per state budget 2016-17, two waiver

instalments out of four have been

deposited into the bank accounts whereas

the third instalment is expected to be

unconfined during 2016-17.

The state government has proposed an

amount of US$ 1.03 billion for the

departments of Agriculture and

Cooperation and Marketing.


ECONOMIC SNAPSHOT – AGRICULTURAL PRODUCTION

Annual area & production of key crops


Production of horticulture crops (million MT)

5.28

2.84

9.14

4.072.66

7.46

Production of Fruits Production ofVegetables

Production ofPlantation Crops

2014-15 2015-16

1515FEBRUARY 2017

Source: Department of Industrial Policy & Promotion, Government of India

Ministry of Commerce & Industry, Government of India(1) As of May 2016

(2) Including Andhra Pradesh

IEMs – Industrial Entrepreneur Memoranda

LOIs – Letters of Intent

DILs – Direct Industrial Licences

In June, 2015, the Government of Telangana

introduced a new industrial policy to attract

domestic as well as international investments in

the industrial sector of the state, with emphasis on

core manufacturing sectors.

Additionally, a legal framework has been provided

in the policy to make the existing industries more

competitive, which is expected to boost the quality

of goods manufactured in the state.

Telangana is one of the leading exporters of IT

services in India. In 2014-15, the overall exports

from Telangana were valued at US$ 2.23 billion.

According to the Department of Industrial Policy &

Promotion (DIPP), cumulative FDI inflows(2) in

Telangana from April 2000 to March 2016, totaled

US$ 11.57 billion.

In January 2017, the state government signed

MOUs for several investments and strategic

partnerships, worth USD 503.04 million. The

investment also includes setting up of Life

Sciences Infrastructure Fund in the state.


ECONOMIC SNAPSHOT – INVESTMENTS & EXPORTS

Investment intentions in terms of IEMs filed,

LOIs/DILs issued in Telangana


176 132 132 134 117 14565

2,267.90

2,090.90

1,822.20

1,307.60

1,032.70

1,591.43

1,904.94

2010 2011 2012 2013 2014 2015 2016⁽¹⁾

Number of Investment Inentions Proposed Investments (US$ Million)


ECONOMIC SNAPSHOT – IRRIGATION....(1/2)


The major sources for water for irrigation purpose in the state

are Godavari and Krishna Rivers and branches. Telangana also

uses water from tanks and ponds for irrigation.

During 2015-16, share of Telangana in the water of Godavari

and Krishna was recorded to be 1,250 thousand million cubic

feet. Further, the state also has a share of 150 thousand million

cubic feet in the surplus water. Moreover, Telangana’s Chief

Minister accomplished an understanding with Maharashtra’s

Chief Minister for fulfilling the projects which are estimated to be

developed over Pranahita, Godavari and Penganga rivers.

In addition to these new projects, the state government is also

trying to finish the major and medium projects, which are under

process in the state.

In Telangana, every year around 9,000 tanks are being taken up

for their restoration, and during 2015-16, the restoration of the

tanks was done with the people’s active participation. Moreover,

the phase-II of restoration is expected to be initiated within

coming years.

The state government has proposed an amount of US$ 3.82

million for the construction of the above mentioned projects and

for the fulfilment of Mission Kakatiya during 2016-17.

Source: Irrigation and CAD Department, Government of Telangana

Irrigation projects status (as of October 2015)

Major irrigation projects Numbers

Completed 8

Ongoing 17

Medium irrigation projects Numbers

Completed 34

Ongoing 9

Gross Irrigated Area, Net Irrigated Area (‘000 ha)

2014-15 2015-16 (Kharif)

Gross Irrigated Area 2,529 1,324

Net Irrigated Area 1,726 1,313

Irrigation Intensity

2014-15 1.47

2015-16 (Kharif) 1.01


ECONOMIC SNAPSHOT – IRRIGATION….(2/2)


Source: Telangana State Portal

Major & Minor Irrigation Schemes and Projects being planned by Telangana

Schemes and Projects Salient features

Palamuru-Ranga Reddy Lift

Irrigation Scheme

• To make available drinking water to Hyderabad from Krishna river

• Irrigation of 7 lakh acres in Mahabubnagar, 2.7 lakh acres in Ranga Reddy and 0.3 lakh acres in

Nalgonda districts. This can be done by the lifting of 70 thousand million cubic feet of water from the

Krishna River.

Nakkalagandi Project • With an aim to irrigate area of 3.41 lakh acres in Nalgonda and Mahabubnagar districts as these

districts are affected by fluoride and drought conditions.

Irrigation sector investment - 2015-16 (US$ million)

Projects Investment

Major irrigation 946.26

Medium irrigation 37.74

Minor irrigation (PWD) 295.81

State Irrigation Development Corporation 49.77

Commissioner, CAD-EAP 12.24

Irrigation sector investment- 2015-16 (US$ million)

Projects Investment

Ground Water Department 0.90

Command area development 6.57

Flood control and drainage 59.61


BUDGET 2016-17

Source: Telangana State Portal, Department of Finance


In 2016-17, the overall planned and non-planned allocation amounted to US$ 19.92 billion for various sectors of

Telangana. The allocation of funds was about 3.80% higher in comparison with the 2015-16 budget.

In the state budget for 2016-17, planned allocation amounted to US$ 10.33 billion while non-planned allocation amounted

to US$ 9.59 billion.

Annual Budget (Estimates in US$ million)

Sector 2016-17

Agriculture and allied services 1,032.54

Rural development 1,639.32

Irrigation 3,819.13

Roads & Buildings 578.98

Industries 147.72

Education 1,640.39

Information Technology & Communication 38.80

YA,T&C Department 35.44

Health 911.55



PHYSICAL INFRASTRUCTURE – ROADS

Telangana is surrounded by Andhra Pradesh from the

south and east end, Maharashtra and Karnataka from the

west, and Odisha and Chhattisgarh from the north end. As

of June 2015, state was home to 16 national highways with

total length of 2,592 km. The overall road length for

Telangana state was around 27,240.84 km as of 2015-16.

Of the total road length in the state, 17,076 km of roads are

of single lane, 772 km are of intermediate lane, 7,357 km

are of double lane and the remaining are of 4-lane and

above.

In order to fulfil the purpose of laying double lane and four

lane roads from Mandal headquarters to district

headquarters and for linking every headquarter to

Hyderabad, the department of R&D commenced

construction of 2,570 km long new roads in a phased

manner during 2015-16.

Moreover, the state government has also undertaken

various steps for renovation and repairing of about 4,000

km roads in the state. Further, for the upliftment of roads

and bridges, the Government of Telangana has proposed

an amount of US$ 509.16 million.

In December 2016, the central government approved five

road projects worth US$ 1.18 billion.

Source: Roads & Buildings Department,

Government of Telangana, Budget 2016-17


Road type Road length (km)

National highways 2,635.84

State highways 3,512

Major district roads 12,079

Other district roads 9,014

Total 27,240.84


PHYSICAL INFRASTRUCTURE –RAILWAYS


Source: Telangana State Statistical Yearbook 2015,

News articles


Telangana is well-connected to other parts of the country

through the rail network. During 2014-15, the state had a

railway network of 1,753 km having 228 railway stations.

As per the state annual plan, the Government is planning to

build rapid rail connectivity in the state. The rapid rail line

will connect the capital of Telangana to the new capital of

Andhra Pradesh. For construction of new railway lines in the

state, the government proposed an investment of US$ 7.08

million in 2015-16.

The metro rail project of the state is expected to be

completed by July 2017, and as per the budget 2016-17,

completion of this metro rail and other strategic plans in the

state would help in minimizing traffic congestion across the

state.

Hyderabad Metro Rail project is being implemented through

public private partnership (PPP) mode. Investment of US$

2.1 billion has been approved by private partners and as of

August 2015, combined viability gap funding (VGF) worth

US$ 0.24 billion was approved by the central and state

governments for the state.

The two stretches of Hyderabad Metro Rail Ltd i.e. Miyapur-

SR Nagar (11 km in corridor-I) and Nagole-Begumpet (16

km in corridor-III) sections are expected to get completed by

the end of 2017.


PHYSICAL INFRASTRUCTURE –AIRPORTS…(1/2)

Telangana has one operating airport, Rajiv Gandhi

International Airport (RGIA), Shamshabad owned and

operated by International Airport Limited.

Rajiv Gandhi Hyderabad International Airport Limited

(RGHIAL) is a joint venture. The airport is sponsored by

GMR Group, Malaysia Airports Holding Berhad (MAHB),

State Government and the Airports Authority of India with

shares of 63%,11%,13% and 13% respectively.

The airport has two prime access points, one is the National

Highway NH-7 and another one is Outer Ring Road (ORR)

(western side) and Srisailam State Highway (eastern side).

Warangal Airport is a non-operational airport built over an

area of 748.02 acres. In order to improve the civil aviation

sector, the state government proposed an investment of

US$ 3.30 million in 2015-16. The Government of Telangana

sanctioned an amount of US$ 0.95 million to the Telangana

Aviation Corporation.

An amount of US$ 138.52 thousand and US$ 1.65

thousand has been approved by the Government of

Telangana for the development of Hyderabad airport and

regional airport, respectively. For the development of

Warangal airport, the government proposed an investment

of US$ 165.89 thousand during 2015-16.


Source: Telangana State Statistical Yearbook 2015,

State Budget 2016-17


PHYSICAL INFRASTRUCTURE –AIRPORTS…(2/2)


Hyderabad aircraft movement (nos.)Hyderabad passenger traffic (million)

Source: Airport Authority of India

During 2015-16, Hyderabad airport handled 110,033 tonnes of freight. In March 2016, the volume of freight handled at the airport

stood at 9,876 tonnes.

80,016 82,658

99,01390,151 87,741

94,057

105772

2009-10 2010-11 2011-12 2012-13 2013-14 2014-15 2015-16

6.51

7.608.44 8.30 8.65

10.40

12.38

2009-10 2010-11 2011-12 2012-13 2013-14 2014-15 2015-16

2323FEBRUARY 2017

TSERC is the prime authority for power generation in Telangana.

Telangana Power Generation Corporation Limited (TSGENCO) and

Transmission Corporation of Telangana Limited (TSTRANCO) are

the generation and transmission entities of the state.

As of April 2016, the total installed power capacity of Telangana

state was 11,568.76 MW. Out of this, 6,942.25 MW was contributed

by state utilities, 2,756.01 MW by private utilities and 1,870.50 MW

by central utilities. Thermal power was the largest contributor in the

state’s total installed capacity with 8,389.19 MW, followed by

hydropower with a contribution of 2,135.66 MW, renewable energy

with 895.29 MW and nuclear power with 148.62 MW. The

Government of Telangana is planning to increase the installed

power capacity of the state to 23,912 MW by 2019.

The state holds two power distribution companies which are

Southern Power Distribution Company of Telangana State Limited

(TSSPDCL) and Northern Power Distribution Company of

Telangana Limited (TSNPDCL).

Various new power projects have been taken up in the state during

2015-16, which include Pulichintala, Bhadadri Thermal Power

Station, Lower Jurala, Yadadri Thermal Power Station as well as

Kothagudem Thermal Power Station. These projects have a

capacity of 6,160 MW, collectively. Further, in order to set up

thermal power plants of 6,000 MW capacity across the state, the

state government signed a MoU with Bharat Heavy Electricals, Ltd.

during 2015-16.


PHYSICAL INFRASTRUCTURE – POWER

Source: Central Electricity Authority, State Budget 2016-17, State Portal


Per capita power consumption by district

(all categories) (KWh)

503

554

749

682

716

929

1,209

1,307

1,342

1,439

0 500 1000 1500 2000

Adilabad

Khammam

Nizamabad

Warangal

Karimnagar

Mahaboobnagar

Ranga Reddy

Hyderabad

Nalgonda

Medak

In the state budget for 2016-17, US$ 29.22 million was

allocated for development of power sector in Telangana.

Further, the state government has committed to deliver the

power supply for nine hours from the upcoming kharif

season across the agriculture sector.

BHEL (Bharat Heavy Electricals Ltd) started the first unit

of 4x30MW Pulichintala hydroelectric project in

Telangana, on December 2, 2016.

2424FEBRUARY 2017

Project name Sector Type of PPPProject cost

(US$ million)Stage

Hyderabad Multi-Modal Suburban

Transportation Project - Phase II

Railway track,

tunnel, viaducts,

bridges

Build-Own-Operate-Transfer

(BOOT)58.7

Under

Construction

Roadways between Hyderabad - Bangalore

SectionRoads and bridges Build-Operate-Transfer (BOT) 103.9

Under

Construction

Road Upgradation (Kadtal-Armur NH-7) Project Roads and bridgesBuild-Operate-Transfer (BOT)

Annuity42.0 Operational

Road Upgradation (Islam Nagar-Kadtal NH-7)

ProjectRoads and bridges

Build-Operate-Transfer (BOT)

Annuity79.2 Operational

Road Upgradation (Armur-Adloor Yellareddy)

ProjectRoads and bridges Build-Operate-Transfer (BOT) 58.3 Operational

Municipal Solid Waste to Energy in Hyderabad

(Hyderabad, Gadamaguda, R.R.District)

Solid waste

management


(BOOT)13.0 Operational

Municipal Solid Waste to Energy in HyderabadSolid waste

management



Integrated Solid Waste Management (3800 TPD)

for Hyderabad

Solid waste

management

Design-Build-Finance-Operate-

Transfer (DBFOT)137.0

Under

Construction

Hyderabad-Yadgiri Four-Lane NH-202 Road

ProjectRoads and bridges

Design-Build-Finance-Operate-

Transfer (DBFOT)68.4 Operational

Hyderabad International Airport AirportsBuild-Own-Operate-Transfer



KEY PUBLIC-PRIVATE PARTNERSHIP (PPP) PROJECTS…(1/2)


Source: Ministry of Commerce & Industry, Department of Commerce

NA – Not Available

2525FEBRUARY 2017

Source: Ministry of Commerce & Industry, Department of Commerce


KEY PUBLIC-PRIVATE PARTNERSHIP (PPP) PROJECTS…(2/2)


Project name Sector Type of PPPProject cost

(US$ million)Stage

Three Star Hotel at Madhapur, Hyderabad Tourism Build-Operate-Transfer (BOT) 0.8Under

Construction

Multiplex & Shopping Mall at Secunderabad Tourism Build-Operate-Transfer (BOT) 4.1Under

Construction

HITEC City Cyberabad Hyderabad

Common

infrastructure for

industrial parks,

SEZ

Not Available 68.7 Operational

Golf Course At Naya Quilla Hyderabad Tourism Build-Operate-Transfer (BOT) 1.9Under

Construction

Food Courts Project at Lower Tankbund Road

HyderabadTourism Build-Operate-Transfer (BOT) 1.1

Under

Construction


DEVELOPMENT PROJECTS: SEZs…(1/2)

For the supervision and execution of SEZs in the state,

Telangana State Industrial Infrastructure Corporation is

the concerned authority.

During 2015-16, a SEZ has been developed in Madikonda

village of Warangal district. IT/ITeS, formulation, biotech

and aerospace are the major sectors where SEZs are

operating.

In February 2016, Cognizant Technologies Services Pvt

Ltd sought government approval to set up a special

economic zone (SEZ) in Telangana. Cognizant has

proposed to set up an IT/ITeS SEZ in Ranga Reddy

district of Telangana, over an area of 2.51 hectares.

As of July 2016, Telangana had 123 SEZs; of which, 26

are operational, 44 are notified and 53 are formally

approved.

As of 10th May, 2016, the total utilised area of notified

SEZs in Telangana stood at 1,957.22 hectares.


Source: Ministry of Commerce & Industry, Government of India

Sector-wise operational SEZs in Telangana (2015-16)

20

1

1

11

1 1

IT/ITES

Biotech

Gems & Jewellery

Aviation Sector

Semiconductors

Aerospace EngineeringIndustries

Pharmaceuticals

2727FEBRUARY 2017Source: Ministry of Commerce & Industry, Government of India


DEVELOPMENT PROJECTS: SEZs…(2/2)


Sector-wise Operational SEZs in Telangana

Industry Name of SEZsNo of

SEZs

IT/ITeS

• DivyaSree NSL Infrastructure Private Limited,

RR Dist.\

• DLF Commercial Developers Ltd

Gachibowli,

• APIIC Ltd – Nanakramguda

• Wipro Limited, Gopannapally

• Sundew Properties, Madhapur

• Stargaze Properties Pvt Ltd, RR Dist,

• Serene Properties, Ghatkesar

• JT Holdings Pvt Ltd, RR Dist.

• Divyasree NSL, Raidurga

• Infosys Limited, Pocharam

• Tech Mahindra Limited (Satyam Computers),

Madhapur,

• Tech Mahindra Limited (Satyam Computers),

Bahadurpally

• Maytas Enterprises SEZ Pvt Ltd, Gopannpally

• Indu Techzone Pvt Ltd, Mamidipally

• Lanco Hills Technology, Manikonda

• Wipro Limited, Manikonda

• L&T Phoenix Infoparks, RR Dist

• Navayuga Legala Estates Pvt Ltd,

Serilingampally

• Tata Consultancy Services Limited , RR Dist.

• Hill County SEZ Private Limited , Bachupally

20

Sector-wise Operational SEZs in Telangana

Industry Name of SEZs No of SEZs

Biotechnology APIIC Ltd 1

Gems & jewelleryHyderabad Gems SEZ

Ltd, RR Dist1

Aviation

M/s GMR Hyderabad

Aviation SEZ Limited,

Hyderabad

1

SemiconductorsFAB City SPV (India) Pvt

Ltd, RR Dist1

Aerospace engineering

M/s. APIIC Ltd., Adibatla,

Ibrahim patnam, R .R.

Dist,

1

PharmaceuticalsAPIIC Pharma SEZ -

Jedcherla1



PHYSICAL INFRASTRUCTURE – TELECOM

Telecom infrastructure (As of May 2016)

Wireless subscribers 73,912,896

Wire-line subscribers 1,684,912

Tele-density (in%) 85.39

According to the Telecom Regulatory Authority of India

(TRAI), undivided Andhra Pradesh had nearly 73.91

million wireless subscribers and 1.68 million wireline

subscribers as of May 2016.

As of December 2015, there were 5,780 post offices in

the state.

Airtel launched 4G services in the states with special

focus on Hyderabad. Other players such as BSNL and

Aircel are also entering in the 4G business of the state

In November 2016, Telangana State Road Transport

Corporation, in conjugation with Airtel, announced Wi-

Fi services for passengers of metro luxury buses.

In December 2016, telecom company ‘Idea’

announced investment of US$ 14.7 million for

developing 4G infrastructure in Telangana.

Source: Telecom Regulatory Authority of India, Ministry of

Communications & Information Technology

Telangana Statistical Yearbook - 2015

Performance Status of NOFN Project

(As of April 2016)

No. of GPs in Phase-I 2,097

Pipe laid (km) 4,038

Cabe Laid (km) 3,431

GPs for which cable laid 1,552

No. of GPs lit 106

2929FEBRUARY 2017

Telangana’s share in educational institutions includes:

Three central universities located in Hyderabad:

University of Hyderabad, English and Foreign

Languages University and Maulana Azad

National Urdu University.

Technological institutes such as IIT, IIIT and NIT.

Nalsar Law University, Indian School of

Business as well as private institutes such as

Symbiosis and TISS are located in the locality of

Hyderabad.

The Telangana Government has announced fee

compensations for students who belong to native and

low income backgrounds. During 2015-16, the spend on

the fee reimbursement was US$ 125.5 million.

In 2015-16, the three newly established universities Sri.

P.V. Narasimha Rao Telangana State Veterinary

University, Sri. Konda Laxman Horticulture University

and Prof. Jayashankar Agricultural University have been

allocated with an investment budget of US$ 43.5 million.


SOCIAL INFRASTRUCTURE – EDUCATION … (1/3)

Source: Central Statistics Office, Budget 2016-17, Telangana

Finance Department, News Articles,

IIT: Indian Institute of Technology,

IIIT: International Institute of Information Technology,

NIT: National Institute of Technology,


Literacy rates (%)

Literacy rate 66.5

Male literacy 74.9

Female literacy 57.9

As per budget 2016-17, the state government has

proposed an amount of US$ 258.78 million under plan

and US$ 1.38 billion under the non-plan.

Enrolment of students in Schools (2015-16)

Classes Total

Pre Primary 94,892

(I-V) 3,246,785

(VI-VIII) 1,758,189

(IX-X) 1,058,284

(XI-XII) 33,721



Source: State Budget 2016-17


As per budget 2016-17, the state government set up a total of 70 new English medium residential schools in the state, at an

estimated cost of US$ 53.46 million, for minorities, which are expected to be active by 2016-17.

For medical education, training and research department, the budget allocation during 2016-17 is expected to be US$ 32.18 million.

Budget Allocation for Education Sector in 2015-16 – US$ million

Elementary education 763.35

Secondary education 707.95

Universal and higher education 255.23

Adult education 8.37

Language development 0.69

Technical education 69.14

General 12.09

Total 1,816.81



Source: Telangana State Statistical Abstract


Proposed medical colleges in Telangana with investment (US$ million)

Construction of medical college and hospital at Nizamabad 15.26

Construction of new nursing college at Adilabad 0.11

Construction of new nursing college at Warangal 0.10

Construction of medical college and chest hospital, Hyderabad 0.06

Construction of nursing college and hostel at Gandhi Hospital Premises, Secunderabad 0.33

Construction of nursing college, Hyderabad 1.38

RIMS medical colleges 1.95


SOCIAL INFRASTRUCTURE – HEALTH … (1/2)

Source: Department of Health, Medical & Family Welfare & National

Health Mission, Government of Telangana

Telangana Budget 2016-17


Out of the country’s pharma production, Telangana accounted

for one-third share; the state government plans to enhance it

further by promoting a pharma city.

Some of the initiatives by the state government to promote the

healthcare sector are as follows:

To double the budget allocation for the healthcare sector

from the present 2% and increase public health delivery

services.

Supporting private players who are willing to invest in the

healthcare sector.

The government announced investment of US$ 16.58

billion for establishment of super speciality hospitals in

the state, till 2019. The upcoming hospitals would be

based on the same pattern as Nizam's Institute of

Medical Sciences (NIMS) of Hyderabad.

During 2015-16, Human Development Index of the state

was recorded to be 0.81. Further, as per budget 2016-

17, the main areas of focus in the state are

standardization, consolidation and stabilisation of

services related to medical and health.

In January 2017, Telangana tied up with Cerestra

Advisors to set up country’s 1st Life Sciences Infra Fund,

with a corpus of USD148.74 million.

Health infrastructure (as of November, 2015)

Primary health centres 675

Sub centres 4,863

Community health centres 114

Area hospitals 42

District hospitals 8

Budget allocation for health & family welfare in

2016-17 – US$ million

Urban Health Services 495.88

Rural Health Services 414.67

Total 910.55

For 2016-17, the state government has also proposed

to establish 40 diagnostics and 40 dialysis centres in

the state. Further, the transmission of Community

health centres to Vaidya Vidhana Parishad of

Telangana is also expected to be accomplished during

2016-17.


Source: Department of Health, Medical & Family Welfare &

National Health Mission, Government of Telangana

CHC: Community Health Centres

SOCIAL INFRASTRUCTURE – HEALTH … (2/2)


Primary hospitals in Telangana, by districtDistribution of district hospitals, area

hospitals & CHCs in Telangana

40

52

57

67

71

72

72

75

84

85

0 20 40 60 80 100

Nizamabad

Ranga Reddy

Khammam

Medak

Karimnagar

Nalgonda

Adilabad

Warangal

Mahbubnagar

Hyderabad

The state government proposed an endowment of US$ 91.65 million for purchase or replacement of equipment, US$ 48.27

million for implementing repair of civil works, purchase of diagnostic equipment, etc. and US$ 24.37 million for buying drugs,

disposals and surgical, as per budget 2016-17.

Further, an amount of US$ 8.55 million is also projected to be delivered to Medical and Health Department heads for fulfilling the

growing needs of the healthcare during 2016-17.

3434FEBRUARY 2017

The industrial sector accounted for around 24% share in

overall GVA of the state during 2015-16. In the state

budget 2016-17, the Government of Telangana proposed

an investment of US$ 147.72 million for endorsement of

various industries in the state.

The Telangana Government plans to encourage an

industrial corridor. This industrial corridor would be in

between Hyderabad and Warangal. After this industrial

corridor, the employment opportunities are also expected

to grow. The Telangana state plans to invest in power

plants in a large way to back up its industrial

infrastructure. With the launch of the Industrial policy in

the state, all clearance certificates are being easily issued

to around 1,609 units in the state involving an investment

of US$ 5.06 billion.

These clearances have generated an employment

potential of 120 thousand during 2015-16 in the state.

Across 100 approvals from 1,609 units are associated

with the medium and large industrial units and have

generated the employment potential of around 34

thousand with an investment of US$ 1.29 billion.

Further, for establishing three Aerospace parks in the

state, the state government has been depicting various

proposals out of which the construction work of NIMZ

phase-I is projected to be accomplished during 2016-17.


INDUSTRIAL INFRASTRUCTURE….(1/2)


Source: Telangana State Statistical Year Book, 2015

CETP- Common Effluent Treatment Plants

TSDF- Treatment Storage Disposal Facility

TSIIC-Telangana State Industrial Infrastructure Corporation

Distribution of industrial parks in Telangana

CETPs at Jeedimetla and Patancheru and TSDF at Dundigal

under Jeedimetla Zone are established by the Government.

TSIIC has recognised 150 industrial parks in 10 districts having

land of about 74,133.18 acres with 13,165 units (enterprises).

Under TSIIC, for the execution and monitoring of Infrastructure

projects in the state, the government sanctioned an investment of

US$ 1.65 million.

3535FEBRUARY 2017

Source Telangana State Industrial Infrastructure Corporation (TSIIC)

Ministry of Micro, Small and Medium Enterprises(1) As of July, 2015

Industrial park

nameNo of plots No of sheds Vacant area (sq. m) Proposed industries

Jeedimetla 250 0 1,222,765Automotive based industries, general engineering, steel re

rolling, R&D of biotech, pharmaceuticals, vaccines

Karimnagar 2 0 2,136 General

Patancheru 68 15 345,963 Textile, cargo, edible oils

Shamshabad 376 11 2,098,571 Aerospace, solar equipment, electronic hardware

Warangal 57 1 101,874 IT & ITeS, general

Industrial Parks in Telangana



INDUSTRIAL INFRASTRUCTURE….(2/2)

Prime Minister's Employment Generation Programme (PMEGP) schemes in Telangana

YearMargin money

subsidy released – US$ million

Margin money

subsidy utilised – US$

million

Number of

projects assisted

Estimated employment

generated

(no. of persons)

2014-15 3.17 3.13 604 6,604

2015-16(1) 2.64 0.29 44 606


As of June 2015, five cities of Telangana namely

Hyderabad, Karimnagar, Nalgonda, Nizamabad and

Warangal were announced to be developed as a smart

cities. Out of those five cities, Greater Hyderabad and

Greater Warangal were shortlisted in the list of 98

smart cities to be developed in India.

In 2015, along with the smart cities, 15 cities of the

Telangana state are selected for infrastructure

development under the scheme Atal Mission for

Rejuvenation and Urban Transformation (Amrut).

The central government has approved a budget of US$

8.3 billion for the first phase of the Amrut project.

US$ 1.05 million was allocated to the state of

Telangana for administrative and office expenses

(A&OE) in order to prepare the Service Level

Improvement Plan (SLIP)/Capacity Building (CB). In

July, 2015, the Ministry of Urban Development of

Government of India released US$ 0.46 million as

advance for the 11 cities under Atal Mission for

Rejuvenation and Urban Transformation (AMRUT)

guidelines.

AMRUT & SMART CITIES…(1/2)


Source: TechSci Research


AMRUT AND SMART CITIES…(2/2)


Greater Hyderabad

Greater Warangal

Source: TechSci Research

Smart cities in Telangana

Cities Population

Greater Hyderabad 6,731,790

Greater Warangal 819,406

Cities/towns in Telangana covered under AMRUT

S. No. City/town

1. Khammam

2. GHMC

3. Warangal

4. Nizamabad

5. Karimnagar

6. Ramagundam

7. Mahbubnagar

8. Nalgonda

9. Adilabad

10. Suryapet

11. Miryalaguda

3838FEBRUARY 2017

The Information Technology (IT) and pharmaceuticals

manufacturing sectors are catalysing the growth of Telangana’s

economy. Hyderabad is a major exporter of IT and ITeS

products. Micro, small and medium enterprises are also

strengthening the economic growth of the state. During 2015-

2016, 3,779 MSME units were established in the state with a

cumulative investment of US$ 242.32 million.

The state government is in discussions with Steel Authority of

India (SAIL) for establishing a steel factory comprising a deal of

value US$ 5 billion on the Khammam-Warangal border. The

state government plans to improve cotton rich Warangal, the

second major city after Hyderabad, in all aspects particularly by

establishing textile parks analogous to those in Tirupur in Tamil

Nadu. The state aims to setting up of industry across

Telangana rather than limiting it to any specific city.

Incorporation and implementation of Telangana State Industrial

Project Approval and Self Certification Systems is expected to

increase the investments in the state coming years.


KEY INDUSTRIES

Key industries in Telangana

• Information technology

• Pharmaceuticals manufacturing

• Tourism

• Textile

• Mines and minerals


Source: Socio Economic Outlook 2015, Government of Telangana

MSME- Micro, Small and Medium Enterprises

As per state budget 2016-17, the work on construction

of the textile hub and a new pharma city in Warangal

is under process. Moreover, Government of India has

also provided the state government with final approval

for establishing a food park across the district of

Khammam in coming years. In addition, the state

government has also proposed to establish 3

Aerospace parks in the state during 2016-17.

Incentives for micro & small enterprises from the Government of Telangana:

100% reimbursement of stamp and transfer duty on the purchase of land for industrial use

100% reimbursement of Stamp duty for lease of land/shed/ buildings and also mortgages and hypothecations

25% rebate in land cost limited to US$ 16.58 thousand in industrial estates/ industrial parks


KEY INDUSTRIES – INFORMATION TECHNOLOGY … (1/2)

Source: Telangana Economic Survey 2015- 16,

IT/ITeS: Information Technology/Information

Technology enabled Services Sector,

Information technology is one of the fastest growing sectors

in Telangana, contributing around 21% share in the total

GSDP of the state. The central government has declared the

realisation of an Information Technology Investment Region

(ITIR) near Hyderabad. With the establishment of the ITIR,

the Government plans to generate 1.5 million direct and 5.3

million indirect jobs in the IT sector in the next five years.

Telangana was the first state in India to initiate e-

governance projects in India.

The growth in the total exports of IT and ITeS products in

Telangana is higher than India’s IT and ITeS exports by

2.7%. Hyderabad accounts for a majority of the share in the

exports of IT products in the state. During 2015-16, exports of

IT products of Telangana stood at US$ 10.42 billion.

As of May 2016, out of the 348 approved IT SEZs in India, 40

are situated in Telangana.

Leading IT companies like Facebook, Google, IBM and

Microsoft hold significant presence in Hyderabad.

Continuous growth of these companies in conjunction with

expansion plans is expected to generate 40,000 direct jobs

along with indirect employment of several thousands.

State government signed an MoU to explore cloud, machine

learning with Microsoft Corporation, India, to improve

healthcare and agriculture sectors in the state of Telangana.


IT & ITeS exports from Telangana (US$ million)

2015-16

Exports 10.42

IT Units 1,300

Under the Department of Information Technology,

Electronics & Communications, the Government of

Telangana has introduced Telangana IT Policy, 2016 in

April 2016 for the uplifting the performance of the sector in

the state.

Datawind is going to set up a manufacturing facility in

Hyderabad, with a investment of US$ 15.27 million. In the

first year of inception, the facility has a target of producing

20 lakh tablets and phones.

The state government has set a target of connecting its 23

million residents via internet, by 2018.


KEY INDUSTRIES – INFORMATION TECHNOLOGY … (2/2)

Google

Microsoft

Amazon

• Google’s Hyderabad office played a essential role in the growth of the firm’s main products like

Gmail, Chrome, Calendar and Docs. The engineers at Hyderabad make specially Google

products for native markets and handling structures for agencies in India and other Asia Pacific

markets. In 2015, Google announced plans to establish its largest campus in Hyderabad with an

investment of US$ 166 million.

• In July 2014, Microsoft declared its strategies to develop processes in Hyderabad. The state

government has guaranteed land and other facilities essential for the development of project.

• Microsoft’s CEO Satya Nadella visited Hyderabad in September 2014, and there are

probabilities of discussions with the state government concerning growth of the IT industry in

Hyderabad.

• In 2015, the company announced that it will establish its largest fulfilment centre in Telangana.

Amazon aims to intensify its employee base by more than three fold from the existing 4,000 to

13,500 in phases.


Facebook

• Facebook is a US-based online public networking provision company with set-ups in India.

• The agency in Hyderabad was the first organisation for the company in Asia. Facebook India

has designed a programme to strengthen Digital India and Skills India initiatives of the

Government of India. The program named Small Business Boost was inaugurated by

Telangana’s IT Minister K T Rama Rao in Hyderabad in August 2015. Facebook’s Small

Business Boost initiative will serve as an incredible resource for the growth of these businesses

by offer training on best practices for growing a small business online. The programme will also

aim at encouraging and training the business owners to access international markets by

branding on Facebook platform.


KEY INDUSTRIES – PHARMACEUTICALS … (1/2)

Source: Ministry Of Health And Family Welfare,

Government of India ,State Portal & News articles

Hyderabad accounts for about 20% share in the total export of pharma products

from India. This is making Hyderabad as a centre for the drug production.

Telangana backs nearly one-third of complete pharma manufacture in the

country.

The state government declared establishing a Pharma City to enhance the

pharmaceutical business in Telangana.

As of 2014-15, Telangana had about 429 and 185 pharma companies and bulk

drug units, respectively.

Companies like Dr Reddy’s and Aurobindo are continuously expanding and have

already lined up vast investments for the same.

Total R&D by pharmaceutical enterprises has grown by additional 20.6% in

2014-15, indicating the potential in Telangana.

As per the socio-economic survey 2015-16, at a projected cost of US$ 2.0 billion,

the Hyderabad Pharma City is being established, which will consist of R&D Lab,

university, etc. The park is proposed to be established on 11,000 acres of land at

Mucherla and is expected to create employment opportunities for 70,000 people.


Funds for support for drugs & supplies

under Mission Flexible Pool – 2014-15

(US$ million)

Approved Released

7.94 1.31


KEY INDUSTRIES – PHARMACEUTICALS … (2/2)

Dr Reddy’s

Aurobindo Pharma

• Dr Reddy’s initiated its business processes as an Active Pharmaceutical Ingredients (API)

producer in 1984 and added formulations procedures in 1987.

• The enterprise entered in to international markets in 1991. In 2013-14, the company works with

50 R&D associates through out the world, having three major clusters in the US, Western

Europe and India. In 2014-15, the company generated revenues of US$ 1,660.73 million. From

April-September 2015, the company recorded revenues of US$ 899.53 million.

• Aurobindo Pharma was established in 1986 and turn into a public listed company in 1995.

• The corporation trades its drugs to 125 countries and derives more than 70% of its total returns

from global operations. The company has a group of about 650 scientists who carry out the

operations in research and product development.

• During the third quarter of 2015-16, ending in December 2015, the company recorded total

revenue of US$ 361.26 million.


Divi's Laboratories• Divis Laboratories, started in 1990, produces APIs & intermediates.

• The company has 500 acres of 13 multi-purpose manufacture units in Hyderabad and a plant in

Seemandhra.

• At the end of third quarter of 2015-16, the total revenues recorded by the company were US$

130.29 million.

Granules India Ltd • Granules India is an Indian pharmaceutical company with manufacturing facilities dispersed

across India and China.

• The company assists clienteles across 60 countries with four facilities in India, which include

Hyderabad, and a facility in Jingmen, China. In 2013, it acquired Auctus Pharma for expansion

of business. In 2015-16, the company generated revenues of US$ 218.63 million.


KEY INDUSTRIES – TOURISM….(1/3)

Source: News Articles, Telangana State Statistical Year Book, 2015

Dynasties such as Sathavahanas, Kakatiyas, Chalukyas,

Qutubshahis, Mughals and Asafjahis have ruled the state of

Telangana. Hyderabad, the capital of Telangana, is highly popular

for Charminar, Golconda Fort, pearls and biryani. The Kakatiya

track with Warangal and Karimnagar are recognised as highly

popular tourist places.

Jinnaram near Kawal Tiger Sanctuary and the lake resorts at

Kadem (Adilabad) and Alisagar Lake (Nizamabad) are places

which are extremely popular. Amongst the new tourist spots, the

state has established jungle resorts on the border of Telangana-

Maharashtra. In order to encourage tourism, the state government

has planned listing of a new public limited company, Telangana

State Tourism Development Corporation Limited (TSTDC), under

the Companies Act 2013.

The Government of Telangana has set up Yadagirigutta

Development Authority (YDA) for maintaining the historic Hindu

and Jain monuments at Yadagirigutta and nearby regions. As per

budget 2016-17, for renovation and renewal of historic temples in

the state, the state government proposed an outlay of US$ 7.63

million as a one time grant during 2016-17.

Moreover, the state government allocated an amount of US$ 35.44

million for the development of tourism and culture department

during 2016-17.


51.2

51.8

49.7

91.7

54.2

72.5

94.6

0 20 40 60 80 100

2009

2010

2011

2012

2013

2014

2015

Number of tourist arrivals (Millions)





32.143.0

50.6 50.5 50.4 51.5 49.4

91.4

54.0

72.3

2005 2006 2007 2008 2009 2010 2011 2012 2013 2014

0.47

0.57

0.7 0.72 0.75

0.290.23 0.22

0.150.07

2005 2006 2007 2008 2009 2010 2011 2012 2013 2014

Number of domestic tourist arrivals in Telangana (million)

Number of foreign tourist arrivals in Telangana (thousands)

Key tourist spots

Monuments

• Charminar

• Golconda Fort

• Qutb Shahi Tombs

• Chowmahalla Palace

• Falaknuma Palace

• Bhongir Fort

• Ramoji Film City

Religious Tourism

• Thousand Pillar Temple

• Bhadrachalam Temple

• Nelakondapalli

• Dhulikatta Phanigiri

• Kolanpaka

• Mecca Masjid

Others

• Kuntala waterfall

• Pochera waterfalls

• Nirmal Paintings





Initiatives undertaken by the Government of Telangana:

Creation of “Telangana Samskruthika Sarathi”, a distinct state level body to create awareness regarding the cultural heritage of

Telangana and provide information about various schemes launched by the Government of Telangana and development of

different policies.

Proposal to build a new mega Cinema City to promote the tourism film industry in Telangana. The proposed project is expected to

span over 2,000 acres in the Nalgonda-Ranga Reddy border in Rachakonda.

Proposal to develop “Kaloji Kala Kendram” at Warangal and “Telangana Kala Bharati” at Hyderabad, to promote cultural activities

in the state.

Allocation of US$ 16.59 million for the development of Yadagirigutta Devasthanam. Further, development of Narasimha

Abhyaranyam has been planned in 400 acres of land. Meditation centres, Veda pathshalas, marriage halls, parks and cottages

would be constructed in additional 1,600 acres of land.

4646FEBRUARY 2017

Granite, coal, lime stone, bauxite and mica are the major

mineral resources in Telangana.

Adilabad, Karimnagar, Khammam and Warangal are the

largest producers of coal in the state of Telangana.

The state have high volumes of limestone deposits, which

gratify various cement factories in the region.

Karimnagar, Khammam and Adilabad, are the prime

districts for mining in the state of Telangana. These districts

accounts for 50% share in the mining business of the state.

Karimnagar is considered as strong granite reserve districts

in Telangana. Wide range of granites such as Tan Brown,

Maple Red and Coffee Brown granite are available in the

district.

Telangana holds 426 quarries for colour granite and six

quarries for black granite.

Khammam is emerging as the new growth engine with

around 15,000 acres of land being freed by the state

government in the district.


KEY INDUSTRIES – MINES AND MINERALS…(1/2)

Source: Indian Mineral Scenario – States, Ministry of

Mines, ASSOCHAM India

District Major Minerals

AdilabadLimestone, Coal, Iron ore,

Manganese

KarimnagarLime stone, Coal, Iron ore, laterite

& granite

Khammam

Limestone, Coal, Iron ore, quartz

& granite, Steatite,

Dolomite, Barites, Corrundum

Mahbubnagar Amethyst, Feldspar, laterite, Quart

Medak Amethyst, laterite, Granite

Nalgonda Limestone & Limestone Slabs

Nizambad Quartz, laterite, Granite

Ranga ReddyAmethyst, laterite, Granite,

Limestone

Warangal Amethyst, Granite, Coal


4747FEBRUARY 2017

Coal industry is one of the prime segments for Telangana minerals and mines sector. Telangana coal deposits account for 20% share

in India’s coal deposits. In 2015, a new website for Online Sand Sale Management & Monitoring System has been started and is being

developed by Telangana State Mineral Development Corporation. The purpose of this website is to identify illegal mining of natural

resources and maintain records of the revenues of the mining sector.


KEY INDUSTRIES – MINES AND MINERALS…(2/2)

Source: Ministry of Commerce and Industry, Government of India

Note: 2015-16(1) : till October 2015


Production of major minerals, 2015-16(1)

Minerals Production (tonnes)

Barytes 26,077

Coal 33,116,541

Dolomite 403,743

Feldspar 361,887

Garnet 9

Latarite 1,780,239

Lime Stone 13,166,012

Manganese ore 1,400

Quartz 310,960

Shale 51,700

Stowing Sand 1,333,991

White clay 62,240

Production of minor minerals, 2015-16(1)

Minerals Unit Production

B.Granite Cubic meter 136,992

C. Granite Cubic meter 377,365

Gravel / Earth Cubic meter 17,021,456

Fuller's earth Tonnes 277,025

L. stone slabs Meter Square 1,360,770

Mosaic chips Tonnes 14,890

Road metal Cubic meter 20,786,426

Ordinary sand Cubic meter 1,618,019

4848FEBRUARY 2017

Cotton is grown in almost all districts of the state except

Hyderabad and Nizamabad. The state had 10 lakh spindles as

of 2014-15. Out of these spindles, about 8 lakh spindles utilise

cotton and the rest use synthetic and viscose fibres. In 2014-

15, under Integrated Textile Park scheme, the state

government proposed to set up two textile parks in Warangal

and Sircilla cities. These cities are based in Karimnagar district.

Both parks will be established similar to the parks present at

Tirupur in Tamil Nadu. The Government of Telangana sought

authorization from the central government for the conversion of

forest area in Warangal, which is the largest cotton producing

district in the state, into a mega textile park.

As per the budget 2016-17, the work on textile hub in Warangal

has initiated and is under process. As of March 2015, a new

textile policy was introduced in Telangana. Purpose of this

policy is to provide special incentives to the textiles sector. In

2015-16, the state produced 27 metric tonnes of raw silk, as of

August, 2015. In order to promote the textile sector in the state,

the Government of Telangana is working on a new textile policy

to attract investments in the sector.


KEY INDUSTRIES – APPARELS AND TEXTILES…(1/2)

Source: Telangana Economic Survey 2015-16


Proposed textile parks in Telangana

(as of October 2015)Location

Pochampally Handloom Park LimitedKanumukkala,N

algonda

Whitegold Integrated Spentex Park Ranga Reddy

Avantika Textile ParkMedak

Telengana

Details of Handloom and Textile Industry (2015-16)

Handloom Co-operative Societies Number

Cotton 259

Silk Weaver Cooperative Societies (WCSs) 33

Wool ICSs 44

Power loom WCSs 157

Tailor CSSs/ Garments CSs 122


KEY INDUSTRIES – APPARELS AND TEXTILES…(2/2)

Source: Telangana Annual Plan, 2015-16


0.128

0.234

2014-15 2015-16

Financial assistance to the handloom weavers (in US$ million)


KEY APPROVALS REQUIRED

List of approvals and clearances required Department

Incorporation of company Registrar of Companies

Registration, Industrial Entrepreneurs Memorandum, industrial licences

Commerce and Industries DepartmentPermission for land use

Allotment of land

Site environmental approvalTelangana Pollution Control Board

No-objection Certificate and consent under Water and Pollution Control Act

Registration under States Sales Tax Act and Central and State Excise ActExcise Department

Commercial taxes

Sanction of power

Energy and Power DepartmentPower feasibility

Power connection

Approval for construction activity and building plan Public Works Department

Water and sewerage clearance Water Security & Public Health Engineering

DepartmentWater connection


5151FEBRUARY 2017

Agency Contact information

Industrial Infrastructure Corporation

6th Floor, Parisrama Bhavan, Fateh Maidan Road,Basheerbagh, Hyderabad – 500 004, Telangana, India

Ph: +91-40-23237625, 23237626Fax: +91-40-23240205, 23241385Website: http://telangana.apiic.in/

email: [email protected]

Telangana State Power Generation Corporation

(TSGENCO)

Vidyutsoudha, Khairatabad,Hyderabad-500 082,

Telangana, IndiaPhone: 040-23499000/39839000

Fax: 040-23499101email: [email protected]

Telangana Pollution Control Board

Telangana Pollution Control BoardPayavaran Bhawan, A-III, Industrial Estate,

Sanath Nagar, Hyderabad - A.P.Website: http://appcb.ap.nic.in email: [email protected]


CONTACT LIST


5252FEBRUARY 2017

Parameter Cost estimate

Land price (US$ per sq m) 3.6–254.6

Labour cost (minimum wages per day) US$ 2.9–22.7

Commercial lease rent (US cents per sq ft per month) 5.4–714.3

Electricity (US cents per kWh)Commercial: 9.5–19.4

Industrial: 8.1–11.9

Residential rent (US cents per sq ft per month) 6.7–40.0

Five-star hotel room (US$ per night) 58–330

Water cost (US$)Industrial: 0.8-3 per 1,000 litres

Commercial: 0.7-3 per 1000 litres


COST OF DOING BUSINESS IN TELANGANA

Source: Telangana State Electricity Regulatory Commission, Ministry of Labour,

Telangana State Portal, Property sites, News articles, Travel sites


5353FEBRUARY 2017

Telangana Full Fee Reimbursement Policy 2015

• To confirm a uniform scholarship for each category of study, as well as vocational

training, which is independent of the fees charged. To guarantee that fees are lower

than the subsidy quantities to help students to meet their living expenses. Read moreObjectives

The Telangana Solar Power Policy 2015

• To promote regionalised and dispersed generation of solar energy.

• Effective energy conservation by the stimulation of connected grid and off-grid solar tenders.

• Endorsement of all skills related to solar power generation.

• Addition of solar parksRead more

Objectives


STATE ACTS & POLICIES


Objectives

The New Industrial Policy 2014

Read more

• To improve 6 industrial corridors with emphasis on main industrialised sectors, with life sciences, IT

and hardware being the major benefactors.

• To certify viable & comprehensive industrial development.

Objectives

http://www.newindianexpress.com/states/telangana/Replace-Fee-Reimbursement-with-Jayashankar-Scholarships/2014/07/13/article2328285.ece

https://www.tssouthernpower.com/ShowProperty/CP_CM_REPO/Pages/Hotlinks/TelanganaSolarPowerPolicy/TelanganaSolarPowerPolicy

http://industries.telangana.gov.in/Library/2014INDS_MS29.pdf

5454FEBRUARY 2017

Telangana Electronics Policy 2016

• To entice US$ 3 billion funds for the Electronics sector through 2020.

• To develop an employment potential of around 160 thousand by 2020.

Read moreObjective

Telangana IT Policy 2016

• To make Telangana the most favoured destination for the IT companies.

• To position the state among the leading global hubs for innovation and technology entrepreneurship

in the country.Read more

Objectives


STATE ACTS & POLICIES


Objectives

Telangana Innovation Policy

Read moreObjectives

• To boost the start-ups present across the social and rural enterprises by the provision of additional

incentives to them.

• To endorse the innovative ideas through positive industrial engagement.

Upcoming Policies in Telangana

Telangana Innovation in Multimedia, Animation, Gaming and Entertainment

Policy Telangana Textile and Apparel Policy (T-TAP)

http://www.it.telangana.gov.in/wp-content/uploads/2016/04/Telangana-Electronics-Policy-2016.pdf

http://www.it.telangana.gov.in/wp-content/uploads/2016/04/Telangana-ICT-Policy-Framework-2016.pdf

http://www.it.telangana.gov.in/telangana-innovation-policy-2016/


Telangana

Source: Telangana Economic Survey 2014-15


The capital of Telangana, i.e., Hyderabad is regarded as the IT hub of Telangana on the account of increasing growth in the exports

of IT and ITeS products from the state. The tourism sector in the state is also being promoted by the state government through the

initiative of Telangana Samskruthika Sarathi, which aims in creating awareness regarding the state’s culture among the tourists.

The major mineral resources being produced in the state include coal, granite, lime stone, mica and bauxite. The limestone deposits

in the state are also present at high volume in the state due to which the mines and minerals sector is boosting the economic growth

of Telangana across the country.


CONFERENCES/SUMMITS FOR 2016-17

Source: India Conference Alerts


Summit / ConferenceVenue of Summit /

ConferenceDate

International Conference on Electrical, Electronics, Computer , Civil and

Mechanical Engineering (ICEECCME-16)Warangal 14th August, 2016

International Conference On Applied Science Engineering and

Technology(ICSET-16)Hyderabad 24th September, 2016

International Symposium on Current Research in Mechanical, Mechatronics,

Robotics and Civil Engineering (ISMMRCE-16)Warangal 25th September, 2016

International Conference Digital Information Processing, Data Mining, and

Wireless Communications (ICDIPDMWC-16)Hyderabad 13th November, 2016

5757FEBRUARY 2017

ANNEXURE

Year INR equivalent of one US$

2004-05 44.81

2005-06 44.14

2006-07 45.14

2007-08 40.27

2008-09 46.14

2009-10 47.42

2010-11 45.62

2011-12 46.88

2012-13 54.31

2013-14 60.28

2014-15 60.28

2015-16 65.46

2016-17E 67.23


Average exchange rates


Source: Reserve Bank of India

5858FEBRUARY 2017

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Economy & Finance

Telangana State Report - February 2017