The government of Gujarat on Sunday unveiled its new industrial policy.

The plan, called Industrial Policy 2003, aims to provide an impetus to the petroleum and gas sector, agro processing and port-linked industrial development, garment apparel and diamond industries.

The policy comes in the wake of the Vibrant Gujarat - Global Investors' Summit 2003, which will begin on October 25.

Announcing the policy, chief minister Narendra Modi said that a sincere attempt has been made to ensure that investors get the most favourable environment even as the benefits of development and growth are provided to marginalised sections of the society.

"While the Planning Commission has fixed the annual growth rate for the country at eight per cent, the rate fixed for Gujarat is 10.2 per cent. We are confident that with this policy, the overall development of Gujarat and thereby the country will be accelerated," Modi said.

"The industrial policy is employment-oriented, and employment is production-oriented. While production is growth-oriented, growth is development oriented," he said.

The state government took two months to frame the policy.

Commenting on the GNG and LNG businesses, Modi said a 1,500 km gas grid is already being set up and 600 km have been completed already.

"Our first priority will be to ensure that fertiliser and ceramic industries get gas at a cheap cost. With two LNG terminals coming up in Gujarat, there will be no shortage of gas as a fuel," Modi said.

He was speaking about the LNG Petronet's plant at Dahej and Shell's LNG terminal at Hazira near Surat.

He said with the Narmada water project nearing completion, the production of agro products is expected to witness a manifold increase in production.

"We have begun to set up the post-harvest agro-processing infrastructure right from now. In fact, with the availability of cool energy (LNG is natural gas cooled to a temperature of minus 160 degrees Celsius), Asia's biggest cold storage can be set up in Gujarat," Modi said.

Also, the District Industries Centres (DICs) have been re-arranged and will now be called District Industrial Development Centres.

The state government proposes to put up information kiosks at each DICs and other centres to provide all required information to industries and entrepreneurs.

Necessary amendments in legal provisions will be made to empower the DICs to function as a single-window mechanism through an inter-departmental committee headed by the district collector.

Stating that the government was adopting an integrated growth approach for existing industries as well, Modi cited an example of cotton farming in Gujarat.

"When cotton is sown over large areas of land and the output is good, there will be a system where industries along the production chain are strengthened. Even setting up of an apparel park is a move in this direction," he said.

Highlights of the policy

• Petroleum and gas poised to play key role in the economic development. A 1,500-km gas grid is being laid. Public transport vehicles to be converted to CNG.
• With Narmada water available almost all over the state, agro industry zones to be set up for different agricultural produces.
• Production of bio-fuel to be stepped up. Talks are on with the Railways to plant 'ratanjyot' saplings along rail tracks.
• Development of port-linked special exports zones with private sector participation.
• Apparel parks to be set up in Ahmedabad and Surat. A gems and jewellery park in Surat will boost the diamond industry.
• The agriculture university to be divided into four separate universities, catering to different agro-climatic zones. Courses like port management, marine engineering and the like to be introduced in universities.