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India By State - Uttar Pradesh - Business Opportunities


Business Opportunities

Key Industries

Manufacturing

The driving factors of manufacturing industry in Uttar Pradesh are industrial infrastructure, which includes growth centres and industrial parks, extensive railway and road network, availability of work force and incentives offered by the State Government.

A number of manufacturing units have been set up in industrial areas of Shahibabad and Noida, which enjoys proximity to Delhi and excellent transportation network with the rest of the country

Consumer Goods

The key incentives for consumer goods companies to set up manufacturing unit in the state are access to large consumer markets and proximity to raw material sources.

The consumer goods companies that have their manufacturing facilities in the state are Dabur, ITC and Godfrey Phillips India.

Electronics

A number of major multinational companies such as LG Electronics, Samsung and Xerox have their operations in the state. The major incentives for the companies are industrial infrastructure and access to consumer markets of Uttar Pradesh and National Capital Region.

Majority of the companies are located in Noida and Ghaziabad.

Petroleum, Chemicals and Fertilisers

Uttar Pradesh is one of the largest consumers of fertilisers in India, owing to its large size and agricultural activities, with a total consumption of 3.75 million tonnes in 2008.

Apart from fertilisers, a number of manufacturing units spanning petroleum (Indian Oil), gas (GAIL), basic chemicals (Tata Chemicals) and paint (Kansai Nerolac) are located in the state.

Cement

In 2009, the total installed capacity of cement in Uttar Pradesh was around 8.3 million tonnes per annum.

The production of cement in the state was around six million tonnes in 2009, which has grown at around 7.3 per cent per annum over the last three years. Uttar Pradesh, being a large state, has huge demand for cement. In 2009, demand for cement was around 18 million tonnes, which has grown at 7.9 per cent per annum.

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Auto and Auto Components

One of the country's auto-clusters is located in Delhi-Gurgaon-Noida-Ghaziabad, part of which belongs to the Western Uttar Pradesh.

A number of original equipment manufacturers and auto component suppliers are located at Noida and Ghaziabad in Uttar Pradesh.

Under National Automotive Testing and Ramp;&D Infrastructure Project (NATRIP), a centre is being set up at Rae Bareilly in Uttar Pradesh, which will provide complete homologation service to agri-tractors, off-road vehicles, diesel generation sets, as per Indian and global standard and, a driver training centre.

The centre will also have a centre for excellence for accident data analysis.

Sugar

Uttar Pradesh is one of the largest producers of sugarcane in India.

In 2008-09, 2.14 million hectare of area in the state was under sugarcane cultivation and total preproduction was 115 million tonnes.

In 2008-09, the total crushing capacity of 131 sugar mills in the state was 764,000 tonnes per day and the production of sugar was pegged at 6.2 million tonnes.

As per annual plan 2009-10, the state plans to produce 140 million tonnes of sugarcane and increase crushing capacity to 775,000 tonnes per day, to produce 7.6 million tonnes of sugar.

Bajaj Hindustan Limited, one of the largest sugar producers in the country has its plants in Uttar Pradesh.

IT and ITeS

The driving factors of IT and ITeS industry in the state are industrial infrastructure in areas such as Noida and Greater Noida, proximity to Delhi, international connectivity and talent pool.

There are three operational SEZ in Noida and Greater Noida, which are primarily dedicated for IT/ITeS industries.

Eleven more SEZs have been notified in the area for IT/ITeS industries.

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Key Players

Reliance (ADAG)

The Reliance Group (ADAG), has a major presence in the State through Reliance Energy which has its corporate headquarters in Noida. Reliance is setting up world's largest gas based power project of 3,500 MW in Dadri.

The interests of the Group range from communications and financial services to generation, transmission and distribution of power, infrastructure and entertainment expansion of Indo-Gulf Fertilizers.

Honda SIEL Cars India Ltd

Honda Siel Cars India Ltd., (HSCI) was incorporated in December 1995 as a joint venture between Honda Motor Co. Ltd., Japan and Siel Limited The total investment made by the company in India till date is over US$ 186 million and has its manufacturing unit in Greater Noida, UP.

LML Scooters

LML Limited, with a turnover of US$ 192 million, is in collaboration with Piaggio and has a manufacturing unit in Kanpur.

Yamaha India Ltd (YML)

Yamaha Motor India (YMI) was incorporated in India in August 2001 with manufacturing facilities in India comprising of 2 state-of-the-art plants, including one at Surajpur (UP).

The two plants support production of motorcycles and spares for both, the domestic as well as the overseas market

Dabur

Dabur India Limited is the 4th largest FMCG Company in India with interests in Health Care, Personal Care and Food Products. Dabur Pharma Limited, a US$ 250 million healthcare company, has a strong presence in UP.

The Group has a turnover of US$ 520 million with powerful brands like Dabur Amla, Dabur Chyawanprash, Vatika, Hajmola & Real. Dabur is headquartered in Ghaziabad and one of its key manufacturing units in India is in Sahibabad in UP

Birlasoft Ltd

Part of the global US$ 1.2 billion CK Birla Group, one of India's premier commercial and industrial houses.

Birlasoft, with its corporate office in Noida, provides software application development and support services

LG Electronics India Ltd (LGEIL)

Market leader in consumer durables and recognized as a leading technology innovator in Home Appliances, Consumer Durables, Digital Display products, GSM mobile phones etc.

In 1998 LG set up its first state-of-the-art manufacturing unit at its head quarter in Greater Noida, UP

Jubilant Organosys Ltd.

Jubilant Organosys is a part of the Jubilant Corporation which has a turnover of US$ 233 million

With its corporate office in Noida, it is one of India's leading and fastest growing companies with presence in chemicals, biotechnology, IT, food, etc. One of its five manufacturing units is located in Jyotiba Phoole Nagar, UP

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Sahara

The Sahara Group is one of India's largest business groups is headquartered in Lucknow.

An asset base of over US$ 10.87 billion, with diversified business interests that include: Finance, Infrastructure & Housing, Media ∓ Entertainment, Tourism & Hospitality, Consumables, Manufacturing & Services and Trading

Kothari Products Limited

The Kothari Group with a turnover of US$ 70 million has its headquarters in Kanpur.

It is the manufacturer of the popular Pan Parag and other pan masalas

Triveni Engineering & Industries

With its registered office in Saharanpur district, it has core competencies in the area of sugar and engineering.

The US$ 233 million company has two plants in the state, a sugar plant in Muzaffarnagar district and a wastewater treatment plant in Noida

Flex Industries

Established in 1983 and with its headquarters in Noida, Flex industries has become the largest flexible packaging company in India with an annual turnover of more than US$ 150 million.

One of the leading companies in the Asia-Pacitic region, Flex has 25000 TPA strong converting capacity and dedicated workforce of 1,600 employees

HCL Infosystems

With its corporate office in Noida, HCL Infosystems Ltd. is the one-stop-shop for hardware products and solutions in the area of IT.

With a turnover of US$ 2.7 billion it has developed and implemented solutions for multiple market segments

Motherson Sumi Systems Ltd.

Is a Flagship company of Sumi Motherson Group, with headquarters in Noida With sales worth US$ 107 million, MSSL is the largest manufacturer of wiring harnesses in India, serving the entire automotive industry.

EXL Service Holdings Inc

Established in 1999 and having its corporate office and four delivery centres in Noida, EXL offers comprehensive business process outsourcing services. As per the Nasscom 2002 survey, EXL is the leading BPO service provider in India

Computer Sciences Corporation (CSC)

CSC is a leading global IT services company. Its Indian operations started in 1991 in Noida.

With over 15,500 professionals, it is one of the fastest growing companies in India and also the second largest division within CSC.

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Adobe Systems India Pvt Ltd

Adobe India commenced its operations in India in 1998 and has its headquarters in Noida. The company has invested US$ 100 million in India till date and accounts for more than 20% of Adobe's annual revenues.

Adobe Systems India Pvt Ltd

Adobe India commenced its operations in India in 1998 and has its headquarters in Noida. The company has invested US$ 100 million in India till date and accounts for more than 20% of Adobe's annual revenues.

Delphi Automotive System

Delphi is a leading global supplier of mobile electronics and transportation systems with global sales of US$ 26.4 billion in 2006, Michigan based Delphi has its branch office in Noida, UP.

In spite of these, labour efficiency is higher in UP at (26) than the National Average of (25). Following are some of the important industrial hubs in the state:

Kanpur is the largest shoe-manufacturing centre in the country. NOIDA and Lucknow are among the top IT (Information Technology) destinations of the country. Meerut, a manufacturing centre of sports goods, sharp tools like scissors and also of gold ornaments, is regularly listed among the top tax-paying cities in the country.

Mirzapur and Bhadohi are manufacturing centres and worldwide exporters of carpets and cotton durries. Moradabad, a famous production centre of traditional 'Moradabadi' metalware, has emerged now as a major producer and exporter of stainless steel utensils also.

Aligarh is a manufacturing hub of brass, zinc, aluminium, iron door fittings and is also famous for its padlocks. These items are supplied all over the world. Aligarh is also a manufacturing hub of plastic toy pistols. Agra was visited by more than 8 million domestic and 825,000 foreign tourists in 2006, followed by Varanasi, Lucknow, Allahabad, Vrindaban and Mathura.

 

Export profile

Investments and FDI inflows

Foreign direct investment (FDI) inflows from April 2000 to October 2009 amounted to US$ 46.73* million. FDI inflows are majorly in pharmaceuticals, chemicals, mining and mineral sectors.

The highest share of investments was in the electricity/energy sector, accounting for more than one-third (around 40.5 per cent) of the total outstanding investments in 2008. This was followed by 31.6 per cent in the services sector and 18.3 per cent in the construction sector.

Manufacturing, mining and irrigation sectors accounted for less than 10 per cent of the total outstanding investments

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More Information on Uttar Pradesh

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