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KNOW INDIA
Pondicherry
Investment Incentives
Policy Framework
Social Infrastructure
Thrust Areas

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INDIAN STATE : PONDICHERRY

Social Infrastructure

Health

Total number of hospitals (including Private) in Pondicherry is 20. In the Union Territory total number of Primary Health Centres (PHCs) is 43 and E.S.I Dispensaries is 12.There are 475 Doctors in Pondicherry and number of Doctors per 100000 persons is 59 as compared to India, which is 45.

Education

Total number of schools in Pondicherry is 863 and has one University. Number of Post Graduate and Graduate colleges is 8 and number of Professional colleges is 18.The number of students passing out every year in Pondicherry is 2095.

Here is a list of some of the renowned educational institutions in Pondicherry

Major Industries

Light Engineering Including Auto Components Industry

Light Engineering Including auto Components Industry is one of the thrust areas in Pondicherry.As the transport sector is growing rapidly in the country, there is considerable potential for this industry to develop. Major players such as Lucas TVS already have a large operation in Pondicherry. As this is a relatively power intensive industry, Pondicherry's low power tariffs could act as an incentive to attract more industries here. Moreover, this industry is compatible with Pondicherry's fragile ecological base.

A fair growth in the automotive industry has been recorded during the year 2006. The production and sales segments in the automotive sector achieved a growth rate of 15-20%. The prospects of the industry are rather impressive. The industry will be foreseeing a modest growth in the production and sales segments

Food Processing Industry

The food processing industry has gain a momentum growth in its performance during the year 2006.The production and sales of the industry increased by 10-15 per cent during the year 2006.The capacity utilization and value of production and the trends inventory levels has increased drastically at a rate of 20-30 percentage points during the same period.

Major industry players have projected a stable performance of this industry. The production and sales level of food processing industry is expected to grow. According to a study the capacity utilization will be at its maximum during the year 2006.

Chemical Industry

Being a major contributor to the economy of Pondicherry the chemical industry has witnessed a persistent growth in the recent years. The industry has seen significant developments with its production level and sales level increasing by 10-12 percent and 15-18 per cent respectively.

An optimistic outlook for the future of this industry is foreseen. The sector is mainly based on capital; therefore there is no further scope for absorbing additional labour force thus, the industry is self-assured for achieving a marginal growth.

Basic Metal and Metal Industries

The basic metal and metal industries have been two of the fastest growing industries in the Union Territory over the last couple of decades. Basic metal and metal industries are complementary industries to each other and are also an important source of components for industries such as the automobile industry. Efforts need to be made, therefore, to facilitate linkages between these industries and consumer goods industries such as the automobile industry.

Leather Products and Footwear Industry

The leather industry is one of the fastest growing industries in the Union Territory. The leather industry is promoted due to its various advantages over other industries: it is to a great extent a small-scale industry with considerable employment potential although it has become much more capital intensive over time. Another major advantage of the leather industry is that it is a major export earner. Though Pondicherry does not need to promote export activity as such, export markets provide another base for the growth of indigenous industry.

Being an export-oriented industry, the leather industry is determined to meet international standards. Another dimension to this is marketing. In order to capture an increasing share of the market, the leather industry with the help of the government is determined to spend considerable effort in promoting leather products.

Textile Industry

Anglo French Textiles was taken over by the Government of Pondicherry under the Anglo French Textiles Limited (Acquisition and Transfer of Textile Undertaking) Act, 1986 on 24.12.1985 and the Management of the Anglo French Textiles was vested with the Pondicherry Textile Corporation Ltd., Government of Pondicherry Undertaking. The Corporation has improved its production performance as a result of sustained efforts by the Management.

The well-managed compact small-scale spinning and power loom units with modern technology are making good business. The labour intensive garment making industry is poised to dominate the international market place.

The industry has recognized the need to remain up-to-date with latest fashion, safety requirements and consumer-sensibilities in order to prosper the industry. Also, Proper locations have been designated for sustainable industrialisation and Industries dependent on locally available raw materials are encouraged.

Information Technology Industry

The Knowledge based sunrise industry growing stronger with time. A large pool of IT professionals, state-of-the-art communications facilities available at Pondicherry.The IT sector has performed well during the year 2006.With an increase in the growth rates of its indicators by 20-30 percent in its revenue, 30 per cent in Overseas billing and 20 per cent in Manpower utilization the industry has shown exceptional improvement. Also, the industry has increased its employment levels to a margin of 10%.

The sector is expected to perform significantly and inclined to touch new heights in the coming years. Parameters like revenue, overseas billing, manpower utilization and demand outlook are expected to contribute largely for the sustainable growth of this sector in Pondicherry. The industry also projected to increase its employment levels to a reasonable percent.

Tourism Industry

Tourism is an increasingly important component of the service sector in Pondicherry. Pondicherry's location on the Coromandel Coast coupled with its French past and spiritual attractions of the Aurobindo Ashram and Auroville provide the Union Territory with multiple tourist attractions. During the year 2006, around 3,35,677 tourists visited Pondicherry of which nearly 22,927 were foreigners. Growth rates in tourism related sectors such as hotels and restaurants and retail and wholesale trade have also increased in the recent years.

Pondicherry has the potential to become a major tourist centre in South India. Concrete efforts are been made by the Government to attract more visitors to Pondicherry and in order to do so Government has enhanced investment subsidy: 25% of the total investment subject to maximum of Rs.100 lakhs per project.

Pondicherry is one of the most popular tourist destinations in India which offers a slew of incentives for investors in tourism infrastructure. Investment opportunities exist to develop star & heritage hotels, amusement parks, multiplexes, food courts, beach resorts, eco-tourism, health spas, art & craft village and other tourism related products.

Incentives include investment subsidies and exemption from luxury tax. Special incentives are also offered for renovation and restoration of heritage buildings. All investments will enjoy unstinting support from the Government.


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