Industrial Infrastructure
Facilities - State Government Bodies
Haryana - Industrial Development
Corporation
Haryana State Industrial Development
Corporation (HSIDC) is the leading contributor to
the well-being and progress of the State of Haryana.
HSIDC has been instrumental in bringing about a major
change in the lives of the people of Haryana over the
years. The pioneering zeal of HSIDC has
facilitated the transformation of
Haryana from a primarily agrarian
society to one of the most highly industrialised
states of modern India.
Established in 1967, HSIDC is a Public
Limited Company wholly owned by the Government
of Haryana, set up as a catalyst for
promoting and accelerating the pace of industrialisation
in the state. The Corporation provides a wide
spectrum of financial services under one roof- the concept
being "Total Financial Support" for its clientele. Being
an intrinsically customer-oriented organization, HSIDC
has often gone beyond the call of duty in helping
to give concrete shape to the destiny and vision
of thousands of entrepreneurs. It
has generally taken on the role of a
trusted friend and guide, providing crucial support
and most important of all, creating
an environment where nascent projects
are able to attain their fruition and become vibrant
industries. Some of the important estates and park developed
by HSIDC are :
Today, HSIDC is a well-knit
team of highly experienced financial
experts, engineers, professionals, administrators
and technicians, HSIDC comprises of very
dedicated personnel, all of whom thrive
on team work and a cohesive work spirit.
HSIDC
Objectives
Identification and promotion of
large and medium sector projects.
Providing financial
assistance by way of
term loans/direct participation in equity.
Facilitating infrastructural development.
Performing Agency
functions on behalf
of the State Government /IDBI
/SIDBI.
Providing financial
services to entrepreneurs and
established industries for enhancement of capacity/modernisation.
The role and scope of HSIDC has widened
and adapted itself to suit the growing needs of industry.
The services now being provided include:
Infrastructural Development
Project Promotion through Equity
Participation
Term Lending
Equipment Finance
Equipment Leasing Scheme/Leasing
Syndication
Merchant Banking*
Underwriting of Public/Rights
Issues*
Appraisal for the Purpose of Public/Rights
Issues*
Seed Capital Scheme
Bridge Loans Against State Subsidy/Working
Capital
Term Loan Assistance Outside Refinance
Scheme of IDBI
Working Capital Term Loans
Bill Discounting
Forex Advisory Services*
Investment Banking*
Bought out deals
* These services are
also available to industrial concerns outside the
state of Haryana.
Infrastructural
Development: Being an apex institution
HSIDC is developing industrial estates at strategic
locations in Haryana. It has 4205 fully developed
industrial plots for small and medium projects spread
over 33 estates. Industrial estates assist in
the process of expanding, strengthening and locating
small and medium scale industries both
in industrially advanced and backward areas.
The basic infrastructure provided
in these estates comprises internal roads, water,
electricity, sewerage,drainage and essential
civic amenities. A fully developed industrial plot
or a built up shed helps in speedier execution of
the project.
HSIDC has developed industrial complexes/ancillary
estates at a number of locations. The Corporation
is also setting up an ultra
modern commercial complex `VANIJYA NIKUNJ'
with a capital cost of around Rs.70
crore at Udyog Vihar, Gurgaon. Apart
from several commercial buildings, the
complex will also house the `Udyog Minar'
from where all Stage agencies involved
in industrial promotion shall work
in close coordination with each other.
An Export Promotion Industrial
Park (EPIP) is being set up at Kundliwith assistance
from the Ministry of Commerce, Government of India.
A Growth Centre `INVESTATE' at
Bawal has also been set
up with assistance from the Government of India,
where multinational companies and large business houses
are setting up their hi-tech projects.
In addition, mini-industrial
estates (Udyog Kunj) at selected focal villages in
the State are also being established to provide opportunities
for self-employment to the unemployed rural youth.
Allotment procedures have been simplified
for faster implementation of industrial projects.
The available infrastructure in the industrialestates
has also been refurbished for smoother functioning.
Identification
And Promotion Of Projects :Project promotion
is done either by inhouse identification of
viable projects or through a Memorandum
of Understanding (MoU) with private parties for
implementation of their schemes/projects. In
both cases, projects are implemented in Joint/Assisted
Sector.
In case the identification
of project is done by HSIDC, the selection of
a co-promoter is done
by inviting applications
through advertisements in the
press. In the Assisted
Sector,HSIDC participates in equity share capital
to an extent which may vary from 1% to 15% on
a case-to-case basis, taking into account the financial
resources of the co-promoters, priority and
importance of the project etc.
In the Joint Sector,
normally upto 26% of the equity base is held by HSIDC.
The co-promoters in either case
are required to hold 25% of total share
capital in such projects and also bring in funds
to meet the gap in the promoters contribution
as may be stipulated by the financial
institutions.
A foreign company or
a company covered under MRTP
Act can also associate with HSIDC, provided
it obtains necessary approvals from the Government
of India. The scheme
envisages disinvestment of
shareholding upto a period of three
years from the commissioning of the project
or five years after incorporation
of the company by selling
HSIDC's shares to the
co-promoter under a buy-back
arrangement.
As a promotional organization,
HSIDC extends its support to the co- promoter
in implementing the project
expeditiously and all its technical,
managerial and financial skills are freely available
to the company.
The management of the
new company rests with the co-promoter though HSIDC
nominates one or two directors on
the Board of the Company in case of Assisted Sector
and four directors in case of Joint Sector.
In view of the new policy
announced by the Govt.of India, it has been decided
that HSIDC would prefer projects
which have been restricted for licensing or those
with higher potentials for employment, exports of
import substitute with high technology tie-up.
With Rs. 35.56 crore of its paid
up capital deployed in the service of industry, the
Corporation ended the year 1995-96 with a turnover
of Rs. 138.85 crore.
49 projects so
far have been successfully
set up in the Public/Joint/Assisted
Sectors, with an equity
participation of Rs.26.10 crore, catalysing
an investment of Rs.544.70 crore, producing goods
worth Rs.900 crore every year.
HSIDC's financial performance
has recorded an all-time high income of Rs. 2505 lakh
and a gross profit of Rs.606 lakh in 1995-96.
From Rs. 2114 lakh in 1988-89
to Rs. 5485 lakh in 1995-96, HSIDC's net worth
has increased many times over,
reflecting its growth-oriented philosophy.
33 fully developed and self-sufficient
industrial estates have been developed, epitomising
HSIDC's commitment to galvanise industrialisation.
8,000 jobs have been created through
HSIDC-assisted projects.
HSIDC's Public Deposit Scheme
has been rated as `MA' by ICRA,signifying
adequate safety of funds.
Merchant Banking Services have
been started on an all India basis.
Underwriting support is now being
provided on an all India basis.
Permission to participate in term
lending in projects costing upto Rs. 10 crore
has been obtained from IDBI. Projects
with higher cost can also be considered with and without
refinance.
Bill discounting schemes started.
Direct investment in public issues
of companies.
The Japanese JICA (Japanese International
Cooperation Agency) have selected Haryana for the
first Industrial Model Township in India.
HSIDC has been nominated as the
nodal agency for the development of mini industrial
estates `Udyog Kunj' in each district.
Haryana's first export promotion
industrial park being set up at Kundli with assistance
from Ministry of Commerce, Govt. of India.
First industrial growth centre
set up at Bawal with assistance from Govt. of India.
An ultra modern commercial complex
`Vanijya Nikunj' being set up at Udyog Vihar Gurgaon.
The HSIDC Corporate Headquarters
are situated in Chandigarh with
branch offices in Delhi, Faridabad, Panipat, Hisar and
Gurgaon. It has field offices at Gurgaon,
Faridabad, Kalka, Ambala, Yamuna Nagar,
Karnal, Jind, Tohana, Murthal and Panchkula, Barwala
and Bawal.
