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India By State - Jharkhand - Business Opportunities

Business Opportunities



Jharkhand is a popular state for its agricultural and industrial life, which is also accountable for the economic boom in the state. Although not one of the most advanced states, Jharkhand is the first state to have the most valuable industries in coal mining, farming and iron industries due to the richness of natural minerals.

Below are a collection of key industry sectors which are currently thriving in Jharkhand, and provide substantial potential for investment. The most prominent among these are leisure & tourism, biotechnology and food processing.

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Key Industries

Mining and Metals Industry

Jharkhand is a mineral-rich state; about 40 per cent of India's mineral reserves are available in the state. Jharkhand's mineral reserves include iron ore, coal, mica, copper, bauxite, uranium and limestone.

The principal export destinations for Jharkhand's minerals are Bangladesh, Nepal, South Africa and Saudi Arabia.

Mica belts of the state are located in the Koderma reserve forest area, Chatkri, Dhab, JhumriTilaiya and Giridih town.

Copper deposits are mostly concentrated in the Rakha, Kendadih, Surda, Pathargora and Mosaboniareas of the East Singhbhum district.

Engineering Industry

The major growth drivers of engineering industry in Jharkhand are availability of raw material (iron and steel, aluminium, copper and other metals and non-metals), power, water and industrial labour.

A number of heavy-engineering companies located in the state produce equipment and provide turn-key and consulting services to the existing metal and mining industry.

Cement Industry

Jharkhand has around 5.1 million tonnes per annum (MTPA) of installed cement capacity. The total cement production in Jharkhand was 4.61 MTPA in 2009. Between 2001 and 2009, the industry in Jharkhand has grown by about 20 per cent, in terms of consumption.

The major cement companies in Jharkhand are ACC and Lafarge.

Automotive Industry

The automotive industry in Jharkhand includes original equipment manufacturers as well as auto component production units.

The auto components produced range from simple items such as nuts and bolts to complex ones such as shafts, radiators, and axles.

Agro based Industry

Jharkhand has a varied agricultural product-base that supports a host of agro-based industries. The state's soil and climatic conditions also support the cultivation of ornamental plants, mushrooms, spices and tea.

The state also has a large sericulture base and accounts for 40 per cent of the country's production of tussar, a non-mulberry silk.

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Key Players

Hindustan Copper Limited

Hindustan Copper Limited was incorporated in 1967 to take over plants and mines in Rajasthan and Jharkhand from the National Mineral Development Corporation Limited.

The company is engaged in activities ranging from mining, beneficiation, smelting, refining and production of cathodes, wire bars and continuous cast rods.

It operates the Indian Copper Complex with capacity of 19,000 tonnes per annum (TPA) at Ghatsilain Jharkhand.

Tata Steel

Established in 1907, Tata Steel is Asia's first and India's largest private sector steel company.

It has captive raw material resources and a state-of-the-art plant in Jamshedpur with a capacity of 5.84 million tonnes per annum (MTPA). In 2008-09, the company produced 5.37 million tonnes of saleable steel.

Steel Authority of India Limited (SAIL)

SAIL is one of the leading steel-making company in India and owned by the Government of India.

The company operates a steel plant at Bokaroin Jharkhand where the production capacity is being increased from 4.5 MTPA to 7.4 MTPA.

SAIL has a well-equipped Research and Development Centre for Iron and Steel (RDCIS) as well as an in-house centre for engineering and technology, a management training institute and a safety organisation at Ranchi.

Hindalco Industries Limited

HIL, a part of the Aditya Birla Group, is one of the largest producers of primary aluminium and copper in Asia.

Hindalco's alumina refinery with 450,000 TPA capacity is located at Muri. It has the distinction of being the first alumina refinery in India. The company also has a 30 mega watt captive power plant.

Jindal Steel & Power Limited (JSPL)

JSPL is a leading player in steel, power, mining, oil and gas and infrastructure, with an annual turnover of over US$ 2.1 billion.

The company is setting up a 6.0 million tonnes per annum (MTPA) steel plant and 1,609 mega watt captive power plant at Patratuand it plans to set up a 5.0 MTPA steel plant and a 1,000 mega watt captive power plant at Asanboni, Jharkhand.

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SNL Bearings Limited (SNL)

SNL is a major needle-bearings manufacturer. It was promoted as a joint venture between the ShriramGroup and the INA Bearings Group of Germany. In June 2000, the company's name was changed to SNL Bearings Limited after it was acquired by NRB Bearings.

SNL is equipped with state-of-the-art technology because of its technical collaboration (from 1983 until 1997) with INA Germany. The company has a plant for manufacturing needle bearings at Ranchi; the unit employs about 200 people.

SNL has successfully developed and introduced cage-guided drawn-cup needle bearings, connecting rod needle cages for piston-pin and crank-pin applications along with other types and ranges of needle bearings.

Heavy Engineering Corporation (HEC)

HEC was established as a public sector undertaking by the Government of India in 1958.

The company has a heavy machine building plant, a foundry forge plant and a heavy machine tools plant all at Hatia, Ranchi.

McNally Bharat Engineering Company Limited (MBE)

MBE is one of the leading engineering companies in India. It is engaged in providing turnkey solutions in the areas of power, steel, alumina and material handling.

Over 250 plants have been constructed on turnkey basis by MBE.

One of its heavy fabrication units and the machine shop facility is based at Kumardhubi in Jharkhand.

Aditya Birla Chemicals (India) Limited

AdityaBirlaChemicals (India) Limited (formerly, known as Bihar Caustic and Chemicals Limited) is one of the leading chlor-alkali companies in India.

The plant was commissioned in 1984 and is located in the Palamaudistrict of Jharkhand.

Its product range includes caustic soda lye, liquid chlorine, hydrochloric acid, sodium hypo-chlorite, compressed hydrogen gas, aluminium chloride and stable bleaching powder.

The company also has a state-of-the-art 30 mega watt captive power plant for uninterrupted power supply.

Tata Pigments

Formed in 1927, Tata Pigments Limited is one of the largest producers of synthetic iron oxide pigments in India.

The company has a manufacturing plant in Jamshedpur. In 2008-09, it produced 3,411 tonnes of oxides of iron in its Jharkhand plant. The company has nine sales offices across the country.

ACC Limited

ACC Limited is one of the largest cement manufacturer in India with a country-wide network of factories and marketing offices.

The company has two plants in Jharkhand -one at Chaibasa with capacity of 870,000 tonnes per annum (TPA) and another at Sindri with a capacity of 910,000 TPA.

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Export profile

Jharkhand's exports increased at a CAGR of about 15.6 per cent between 2000-01 and 2008-09.

The state's major exports are engineering goods and services, auto-components and chemicals.

annual export growth

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More Information on Jharkhand

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