Social infrastructure
The literacy rate in the state increased from 65 per cent in 1991 to 77 per
cent in 2001. The state has the second highest literacy rate in the country. Its
education network consists of 10 universities, over 1,800 of higher education
institutions, 67,800 primary and 17,530 secondary schools. Maharashtra has 344
engineering colleges, with an annual intake of over 88,000 students. The state
also has 612 Industrial Training Institutes (ITIs) and 34 architecture colleges
with an annual intake of over 93,000 and 1,000, respectively. It also has one of
the six Indian Institute of Technology (IITs) at Mumbai, part of the country's
renowned network of engineering and technology institutions. IIT Mumbai has 13
departments and various centres for R&D.
This strong network of institutes makes available a pool of qualified
professionals to the numerous businesses and industries in the state and the
country. It has 90 management institutes with an annual intake of over 6,400
students. In addition, there are 26 hotel management institutes with an annual
intake of over 1,450 students. There are 212 medical institutes and 136 nursing
colleges with an annual intake of over 13,000 and 3,500, respectively. In
addition, the state has 163 pharmacy institutes with an annual intake of over
8,800.
Internationally reputed firms including Intel, Texas Instruments and Analog
Devices have collaborated with IIT, Mumbai, to set up world-class laboratory
facilities in areas of digital signal processing and microprocessors.
Maharashtra has a number of reputed national R&D institutions including
Centre for Development of Advanced Computing (C-DAC), Bhabha Atomic Research Centre, National Environmental Engineering Research Institute,
National Chemical Lab, Tata Institute of Fundamental Research, among others.
The network of public and government-aided health facilities in the state
comprise 964 hospitals, 2,081 dispensaries and 1,806 primary health centres. The
number of beds in various public and government-aided health institutions in the
state are 92,106, which is 930 beds per million of the population.
Access infrastructure
The total length of roads in the state is over 267,000 km. The length of
surfaced roads in the state increased from 183,000 km in 1998 to over 209,000 km
in 2002.
|
Growth in road network |
|
Year
|
1998
|
1999
|
2000
|
2001
|
2002
|
|
Total length (in km)
|
236,340
|
252,414
|
258,858
|
261,783
|
267,452
|
|
Surfaced length (in km)
|
183,020
|
195,778
|
198,022
|
203,050
|
209,559
|
Source: Ministry of Road Transport and Highways, GoI
With total road length of 124 km per 100 sq km of geographical area,
Maharashtra stands fourth among the major states in the country.
The total length of national highways passing through the state is 4,176 km.
The length of state highways in Maharashtra is approximately 33,705 km. Under
the on-going National Highway Development Programme (NHDP), a length of 721 km
is being converted into 4/6 lane highways. Of this, over 319 km has already been
upgraded. Highway up-gradation projects covering a length of 61 1 km are also
being undertaken under various other schemes. The total length of railway
network in the state is 5,450 km.
At present, projects aggregating US$ 400 million are under implementation.
These projects cover a length of 1,350 km including five projects for new
railway lines aggregating 450 km. To augment the state's exports, 44 new
infrastructure projects worth US$ 1 17 million will be taken up with Central
assistance. The state has one international and a number of domestic airports.
The aircraft movement, passenger and cargo traffic at the prominent airports is
shown below.
|
Growth in air traffic
|
|
Airport |
Passengers
|
Cargo (tonnes)
|
| 2001-02 |
2002-03 |
2001-02 |
2002-03 |
|
Mumbai |
10,954,308 |
1 1,731,861 |
275,941 |
307,605 |
|
Pune |
372,570 |
410,136 |
3,597 |
5,326 |
|
Nagpur |
187,225 |
229,205 |
1,074 |
1,410 |
|
Aurangabad |
91,957 |
104,896 |
710 |
813 |
|
Total |
11,606,060 |
12,476,098 |
281,322 |
315,154 |
Source: Economic Survey of Maharashtra 2003-04
Maharashtra has two principal ports, at Mumbai and Nhawa Sheva (JNPT). Along
its 720 km coastline, there are 48 smaller ports as well. The details of the
traffic handled at Mumbai and JNPT ports are presented below.
|
Growth in port traffic (million tonnes)
|
|
Year |
1998 |
1999 |
2000 |
2001 |
2002 |
2003 |
|
Mumbai |
32.0 |
39.9 |
30.4 |
27.1 |
26.4 |
26.8 |
|
JNPT |
8.9 |
11.7 |
14.9 |
18.6 |
22.5 |
26.8 |
|
Total |
40.9 |
51.6 |
44.3 |
45.7 |
48.9 |
53.6 |
Source: CMIE, Infrastructure Report 2004
During 2002-03, the 48 smaller ports together handled 8.5 million tonnes of
cargo and 12.6 million passengers. JNPT is the country's largest container port,
with container traffic of over 2.2 million TEUs in 2003-04. It also ranks among
the top 30 container ports in the world. JNPT has a container terminal operated
by P&O, UK, that has been developed through private investment on a
Build-Operate-Transfer (BOT) basis.
The private sector participation in the Mumbai port has been through the following:
The development of Mumbai-Pune expressway has significantly improved
connectivity between the two most important business and industrial sectors in
the state. The expressway shall enable rapid industrial development in the
region.
The road connectivity to the JNPT port shall significantly improve on
completion of the on-going expansion of the national highway. The on-going
National Highway Development Programme includes up-gradation of national
highways aggregating 721 km passing through the state. Further, two additional
national highway projects aggregating 218 km are being upgraded through
public-private partnership. The total investment envisaged in these projects is
approximately US$ 230 million. Projects worth over US$ 215 million are being
undertaken for laying new lines, gauge conversion and doubling of railway
tracks. A 250 km line is being laid between Ahmadnagar and Vaijnath at a cost of
over US$ 1 10 million. Another important new line project is Amravati-Narkher,
138 km in length.
In order to augment the traffic handling capacity of JNPT port, a 29 km, US$
12 million project is currently under implementation to double the Panvel - JNPT
railway link. Airports Authority of India (AAI) is in the process of
restructuring and modernising Mumbai's international airport through private
sector participation. The project envisages formation of a joint venture between
AAI and a private airport operator, with the private player holding a 74 per
cent stake. The airport shall be given on a 30-year lease to the joint venture,
which shall also make the necessary investment to bring the airport to
international standards. The selection process for identifying the private
player is currently underway. AAI has already received Expressions
of Interest and the selection process is expected to be completed in 2005.
The State Government also plans to develop an international hub at Nagpur.
The project envisages upgrading the existing Nagpur airport to international
standards and developing the same as a cargo hub for the Asia-Pacific region.
The detailed feasibility study for the project has been completed.
JNPT port has recently signed a licence agreement with Gateway Terminals
India, a consortium led by Maersk Sealand, for setting up the third container
terminal at the port. The terminal would be set up with an investment of US$ 220
million. It will have a handling capacity of 1.3 million TEUs and will be
operational by 2006. Plans are also underway to develop an international airport
at Pune. The airport shall be developed as a public-private partnership between
the State Government, AAI and the private sector.
Maharashtra Maritime Board has identified seven ports for development during
the next 10-15 years. Currently, ports at Revas, Dighi and Jaigarh are being
developed through private sector participation. The state established its first
Special Economic Zone (SEZ) through the conversion of Santa Cruz Electronic
Export Promotion Zone (SEEPZ) into a SEZ to give a further boost to the
industries present in SEEPZ. SEEPZ commenced operations in 1973-74 with a
developed area of over 100 acres. Initially, it exclusively focused on
electronic items. However, manufacture and export of gems and jewellery items
was permitted in 1987-88. The quantum of exports from SEEPZ reached US$ 1.35
billion in 2003.
Maharashtra is also planning to develop one of the biggest SEZs in the
country near Mumbai. The Maha-Mumbai Integrated SEZ (MiSEZ) shall cover 6,000
hectares. It is expected to cost US$ 1 1 billion for the first phase covering
2,500 hectares. The state has a network of Inland Container Depots (ICDs) and
Container Freight Stations
(CFSs) to facilitate efficient movement of goods for domestic and
international trade. The ICDs are located at Mumbai, Pune, Nagpur and Miraj. The
CFSs are located at Mumbai, Jalgaon, Aurangabad and Dronagiri. All the ICDs and
CFSs are well equipped with modern facilities including a customs department,
shipping companies, handling agencies, banks, customs house agents and carrying
and forwarding agents.
PowerThe state has the largest installed electricity generation capacity in the
country. During 1990-91 and 2002-03, the generation capacity increased from
8,876 MW to 15,152 MW.
Source: Economic Survey of Maharashtra, 2003-04
In addition, the state has a captive electricity generation capacity of 704
MW. During 1990-91 and 2002-03, the total electricity generation in the state
increased from 37,31 1 million kWh to 64,740 million kWh. This represents an
annual average growth rate of 4.7 per cent. Thermal plants account for the
largest share of electricity generation (80.6 per cent) in the state.
The consumption of electricity in the state increased from 29,971 million kWh
in 1990-91 to 49,945 million kWh in 2002-03, with an annual average growth rate
of the 4.3 per cent. The industrial sector was the largest consumer followed by
the domestic and agriculture sector.
Source: Economic Survey of Maharashtra, 2003-04
|
Electricity generation projects under implementation
|
|
Location |
Size (MW) |
|
Parali |
250 |
|
Paras |
250 |
Source: MSEB, PwC research
Further, projects aggregating over 6,300 MW are in the planning stages.
Maharashtra is among the few states in the country with significant presence of
private sector players in the electricity generation and distribution business.
Of the total installed capacity in the state, private sector accounts for 18 per
cent of the generation capacity and 22 per cent of electricity generated. Of the total distribution in the state, private
sector accounts for 28 per cent of the total electricity sold. The number of
consumers served by the private electricity suppliers is over 2 million.
Communications infrastructure
The state witnessed rapid development in telecommunications services during
the past decade. The number of fixed wire telephone subscribers has grown from 2
million in 1995 to over 6 million in 2002.
| Growth in fixed wire telephone lines |
|
Year
|
1995
|
1997
|
1999
|
2001
|
2002
|
|
Fixed wire telephones (in '000)
|
2,008
|
2,884
|
3,887
|
5,324
|
6,071
|
Source: CMIE, Infrastructure Report 2004
The growth in mobile telephony has been equally strong. Since its launch in
1997, the number of subscribers has increased to over 5.85 million in 2004.
Industrial infrastructure
Industrial clustersThe auto components cluster at Pune is one of the 19 industrial
clusters/locations identified by the Government of India for infrastructure
improvement under the Industrial Infrastructure Upgradation Scheme (IIUS). IIUS
would help the cluster in enhancing its competitiveness by providing quality
infrastructure through public-private partnership.
Urban infrastructureGiven the criticality of urban areas to Maharashtra's economy (with almost
half the population living in urban areas), a number of steps are being taken to
improve the urban infrastructure in the state. Important initiatives currently
underway include the following:
Mumbai Urban Transport Project (MUTP)
Mumbai Urban Transport Project (MUTP)
aims to improve the transport infrastructure and services in Mumbai through
investment in suburban railway projects, local bus transport, new roads,
bridges, pedestrian subways and traffic management activities. MUTP is estimated
to cost approximately US$ 943 million. The World Bank has sanctioned a loan of
US$ 542 million for the project.
Mumbai Urban Infrastructure Project (MUIP)
Mumbai Urban Infrastructure
Project (MUIP) is a US$ 600 million project aimed at improving the road network
in the Greater Mumbai region to facilitate efficient traffic management. The
project, funded by the Mumbai Metropolitan Region Development Authority (MMRDA),
envisages construction/improvement of over 450 km of the road network during the
next three years.
Key industrial centres
Navi MumbaiIn order to reduce the development pressure on Mumbai, Navi Mumbai has been
developed as a twin city to Mumbai. Located adjacent to Mumbai, Navi Mumbai
comprises 14 self-contained nodal townships that are strung along the mass rapid
transport corridors. It is designed to minimise travel time and distance between
nodes and neighbouring cities. Navi Mumbai provides a well-planned and laid out
urban area suited to meet the needs of a services economy. It also has adequate
provision for establishment of industrial units in a planned manner. Future
development plans for Navi Mumbai include an IT Park, commuter rail project,
golf courses, amusement park, international convention centre and international
sports complex, among others.
MumbaiMumbai, the capital of Maharashtra, is the most populous city in the country.
Mumbai has an international airport and two major ports, Mumbai and Nhava Sheva.
It is the financial and commercial hub of India with headquarters for most Indian and multinational banks,
financial institutions and insurance companies including Reserve Bank of India,
Merrill Lynch, Goldman Sachs, JP Morgan, Barclays, Duetsche Bank etc.
Most of the top Indian business houses as well as some of the world's top
multinationals such as AT&T, General Motors, Daimler Chrysler, P&G,
Shell, etc. have headquarters in Mumbai. The city is also the main centre for
capital market-related activities and home to the country's two largest stock
exchanges. The major industries in and around Mumbai are chemicals, textiles,
financial services and IT/ITES. Mumbai is the centre of India's film and
entertainment industry with 'Bollywood' (as it is known in India) producing over
800 movies each year. Mumbai is a potential destination for financial services,
IT/ITES, leisure and entertainment industries.
PunePune is the second largest city in Maharashtra and sixth largest city in the
country with a population of 7.2 million. Pune is a prominent hub for automobile
and IT industries. The city houses a large number of national and international
players including Tata Motors, Bajaj Auto, Daimler Chrysler, Fiat, Bharat Forge,
Tata Consultancy Services, Infosys and Wipro, among others. It is also a
prominent education centre with a presence of over 100 colleges and
institutions.
It has 12 industrial areas focusing on automobiles, chemicals, consumer
durables, engineering and Information Technology. Pune is a potential
destination for automobiles and auto components, engineering, food processing,
leisure & entertainment and biotechnology industries located in the state.
NashikNashik is an important commercial and religious centre in the state and has a population
of 4.9 million. It has a significant presence of automobile and auto-components, engineering and grape processing
industries. The major players in Nashik include Mahindra and Mahindra, Schneider
Electric, Siemens and Crompton Greaves. It has seven industrial areas
facilitating the industrial growth in the region, with a focus on engineering
and automobiles. Nashik is a potential destination for engineering, food
processing and biotechnology industries in the state.
Nagpur'Nagpur has a population of approximately 4.5 million. It has excellent road
and rail connectivity to all parts of the country. Its unique location in the
Indian sub continent makes it a viable passenger and cargo hub. It is a growing
industrial centre and has 10 industrial areas. It is home to reputed companies including Indo-Rama Synthetics,
Electrolux and Voltas. It is a potential destination for food processing,
chemicals and engineering industries.
Development potentialGiven the relatively advanced stage of Maharashtra's economic development,
the state is in a position to exploit its strength to increase the pace of
economic development. While the state's dominance in the industrial sector is
increasing, its relatively well-developed infrastructure and the existing
upstream and downstream industrial linkages provide an edge. Maharashtra is also
well placed to significantly benefit from the on-going boom in the services
sector, with its high per capita income and large urban population.
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