Patna: Adani Group, Sun Petrochemicals and a host of other companies - big and small - on Friday committed to investing a record Rs 1.81 lakh crore in Bihar, across sectors ranging from renewable energy to cement, food processing and manufacturing.
Hitherto considered a laggard, the state signed investment commitments with 423 companies at its only second investor meet, Bihar Business Connect 2024.
Bihar's Industries and Tourism Minister Nitish Mishra, whose CEO-styled governance was instrumental in pivoting the change in perception about the state as an investment destination, said the first edition of the investor meet in 2023 got an investment commitment of Rs 50,300 crore. "We have today signed MoUs for over Rs 1.8 lakh crore. The numbers are still being complied and this may go up," he said.
Sun Petrochemicals will invest Rs 36,700 crore in renewable energy projects including pump hydro and solar plants. Adani Group, which is the largest private investor in the state, committed to investing about Rs 28,000 crore in setting up an ultra-supercritical thermal power plant as well as expanding cement production capacity, food processing and logistics businesses.
NTPC Green, the renewable energy arm of the state-owned electricity generating giant, is committed to investing Rs 10,000 crore in clean energy projects. SJVN, formerly known as Satluj Jal Vidyut Nigam, committed a similar amount for pump storage projects. Construction and engineering major Ashoka Buildcon promised an investment of Rs 9,000 crore in setting up a green hydrogen unit in the state.
NHPC, India's largest hydroelectric producer, committed an investment of Rs 5,500 crore in setting up a 1,000 MW solar project while SLMG Beverages (a bottler for Coca-Cola) committed Rs 3,000 crore, Shree Cements Rs 800 crore and Haldiram Snacks Pvt Ltd Rs 300 crore. Tata Group, though not signed up for any investment commitment, has pledged to a skilled workforce in the state.
"The state government is committed to develop Bihar into a major destination for investment in the country. I express my heartfelt gratitude to all those who participated and became a part of this new journey of Bihar... I am fully confident that Bihar has the potential to become a major growth engine of the country. We signed MoUs with different investors worth Rs 1.80 lakh crore in different sectors... It's a huge achievement for Bihar," Mishra said.
Speaking on the occasion, Deputy Chief Minister Vijay Kumar Sinha said Bihar is "the land of history and future of the country". At the conclusion of the two-day meeting, Industries Secretary Bandana Preyashi told reporters that the Bihar government has signed MoUs for setting up 423 units with an investment of Rs 1,80,899 crore.
"We are overwhelmed with the response that we have got from the corporates. It is beyond our expectations," she said. Preyashi said the government will now focus on grounding these investments.
In the first edition of the investors summit held last year, the secretary said that MoUs worth Rs 50,300 crore were signed and out of that Rs 38,000 crore have already been grounded. Asked about Adani Group's investment, Preyashi said the Group has announced an investment of Rs 27,900 crore.
The secretary highlighted that the maximum investment proposals have come in the renewable energy sector worth Rs 90,734 crore in 17 units. As many as 57 MoUs were signed in general manufacturing for Rs 55,888 crore, followed by the food processing sector for Rs 13,663 crore in 70 units.
Preyashi informed that 142 MoUs were signed in urban infrastructure with investment proposals of Rs 5,566 crore.
Health sector got Rs 3,360 crore (25 units), followed by tourism and hospitality Rs 2,988 crore (13 units), real estate Rs 2,976 crore (5 units), logistics Rs 2,159 crore (12 units), IT Rs 1,660 crore (43 units), textile and leather Rs 1,259 crore (24 units), and plastics and rubber got investment commitment of Rs 665 crore (5 units).
She said while the amount may sound less in textile and leather, these sectors have the biggest scope for employment generation. The Bihar government is promising fiscal incentives as well as single window clearance to companies investing in the state. Prominent companies pledged big-ticket investments and outlined major plans in the state at the Bihar Business Connect 2024.
Among the pacts signed were Bharat Petroleum (Rs 7,046 crore), Umedh City (Rs 1,500 crore), Avam Beverages (Rs 1,296 crore), Surya International (Rs 1,000 crore), Birla Corporation (Rs 759 crore), JK Cement (Rs 512 crore), and HPCL (Rs 500 crore), among others.
