Table of Contents
TN Total Mous
- TN Global Investors Meet 2024 attracts record investments of ₹6.64-lakh crore
- More than 26 lakh jobs are expected to be generated from these investments, says TN Chief Minister
- Tamil Nadu Global Investors Meet 2024 records unprecedented investments of ₹6.64 lakh crore.
- Exceeds the estimated sum by ₹1.64 lakh crore, surpassing expectations.
- Marks a significant increase from the previous GIM in 2019, doubling the investment attracted.
- Chief Minister MK Stalin’s vision of the State becoming a $1-trillion economy by 2030 receives a major boost.
- The investment commitment is crucial for realizing the economic goals set by the Chief Minister.
- The announcement precedes the Vibrant Gujarat investors conclave scheduled in Gandhinagar from Wednesday.
- Tamil Nadu hosted global investors’ meetings in 2015 and 2019 during the AIADMK regime.
- In 2015, under Chief Minister J Jayalalithaa, the meeting secured investments worth ₹2.42 lakh crore.
- The 2019 edition, held during Chief Minister Edapaddi K Palaniswami’s tenure, witnessed an increase, attracting ₹3 lakh crore in investments.
- These events reflect the state’s consistent efforts to attract substantial investments and promote economic development.
Leading the pack
- Tata Power emerges as a frontrunner among nearly 600 companies inking MoUs with the Tamil Nadu government during the two-day event.
- The conglomerate plans a substantial expansion with a total investment of ₹70,800 crore.
- The investment will be allocated across various locations, with Tirunelveli being one of the key areas of focus.
- This move signifies Tata Power’s commitment to expanding its presence and contributing to the economic growth of Tamil Nadu.
- Adani Group emerges as the second-highest investor in Tamil Nadu, committing ₹42,768 crore, with key contributions from Adani Green Energy (₹24,500 crore), Ambuja Cements (₹3,500 crore), Adani Connex (₹13,200 crore), and Adani Total Gas & CNG (₹1,568 crore).
- Singapore’s Sembcorp follows as the third-highest investor, outlining plans to invest ₹36,238 crore.
- Leap Green announces a substantial investment of ₹22,000 crore, focusing on Thoothukudi and Tiruvannamalai districts.
- Chief Minister Stalin, at the valedictory function, announces an unprecedented total investment of ₹6,64,180 crore, expecting to generate 26,90,657 jobs, including direct employment for 14,54,712 individuals.
- Other notable investments include CPCL Ltd with ₹17,000 crore for Nagapattinam, L&T Innovation with ₹3,500 crore for Chennai, Saint Gobain with ₹3,400 crore, and Royal Enfield with ₹3,000 crore for Kanchipuram, according to government data.
- On the first day, VinFast pledges ₹16,000 crore for an integrated electric vehicle factory in Thoothukudi, while Tata Electronics plans to invest ₹12,082 crore for its facility expansion in Krishnagiri. Pegatron commits ₹1,000 crore, and TVS allocates ₹5,000 crore for its expansion plans.
- Chief Minister Stalin announces the release of the Public-Private-Partnership (PPP) policy during the event.
- Recognizing the challenges in fully financing large infrastructure projects, the government aims to facilitate collaboration with the private sector through joint ventures.
- The PPP policy is designed to attract investments by combining the best practices of both the private and public sectors.
- This strategic move aims to foster cooperation between the government and the private industry in undertaking and financing significant infrastructure projects for the benefit of the state.
- Vibrant Summit ends with staggering 26.33 lakh crore investment pledges: Gujarat Government
- The 10th edition of the Vibrant Gujarat Global Summit concluded on January 12, marking the conclusion of a significant event.
- A total of 41,299 Memorandums of Understanding (MoUs) were signed during the summit.
- These MoUs represent potential investment proposals amounting to a substantial ₹26.33 lakh crore.
- The summit showcased a multitude of projects, reflecting the strong interest and commitment from various sectors for investment and development in Gujarat.
- On the concluding day, Gujarat-based Torrent Group announced investments of ₹47,350 crore in various projects, including around 4500 MW renewable energy projects, development of a solar park in North Gujarat, ramping up power distribution network in Gujarat and setting up hydrogen manufacturing facilities in the State.
- “In line with our strategic priorities and encouraged by our positive experience of working in Gujarat, I am pleased to share that Torrent Group has signed 4 MOUs during Vibrant Gujarat 2024, entailing a total investment of ₹47,350 crores,” Sudhir Mehta, Chairman Emeritus of the diversified Torrent Group, said in his speech at the valedictory session.
- Gujarat Chief Minister Bhupendra Patel posted on social media platform X that the biennial summit attracted huge investments in sectors like green hydrogen, renewable power, e-mobility, semiconductors and financial services and fintech at the GIFT city.
Vibrant Gujarat Summit 2024 Sets New Records
1. Cumulative Investment Proposals:
- Chief Minister reveals that combining MoUs from the postponed 2022 summit and the recent one in 2024 totals 98,540 agreements.
- These agreements boast investment proposals exceeding ₹45 lakh crore.
2. Sector-wise Distribution:
- Investor Facilitation Portal (IFP) records details of 98,540 projects with a total proposed investment of ₹45.20 lakh crore.
- Sectors such as urban development, minerals, chemicals, petrochemicals, animal husbandry, power, oil and gas, agro, food processing, textile, and apparels lead in the number of investment proposals.
3. Diverse Sectors and MoUs:
- MoUs signed between 2019 and 2024 cover various sectors, including environment, forest, climate change, rural and urban development, education, engineering, auto, healthcare, pharma, and tourism.
4. Global Participation:
- The summit, inaugurated by Prime Minister Narendra Modi, witnesses participation from 61,000+ delegates representing 140+ countries.
- UAE President Mohammed bin Zayed Al Nahyan, along with Presidents from Mozambique, Timor-Leste, and the Czech Republic, contributes to the summit’s global significance.
5. Corporate Announcements:
- Business leaders like Mukesh Ambani, Gautam Adani, N. Chandrasekaran, and others announce substantial investments in new projects and expansion in Gujarat.
- Japanese automaker Suzuki Motors and UAE-based DP World unveil plans for a new car factory and a mega port terminal and logistics facility, respectively.
Comparing Gujarat and Tamil Nadu as investment destinations in 2024 is a complex topic, and the best choice for you will depend heavily on your specific industry, risk tolerance, and investment goals. Both states offer unique advantages and drawbacks, and recent developments have made the competition even more interesting.
Here’s a breakdown of some key factors to consider:
- Recent record investment: As you mentioned, Tamil Nadu just secured a staggering Rs 6.64 lakh crore in commitments at the GIM 2024, significantly exceeding their targets and highlighting strong investor confidence.
- Strong manufacturing base: Tamil Nadu boasts a well-developed infrastructure for manufacturing, particularly in automobiles, textiles, and electronics.
- Skilled workforce: The state has a large pool of skilled and educated labor, thanks to its emphasis on education and technical training.
- Strategic location: Situated on the eastern coast with major ports and a focus on developing trade corridors, Tamil Nadu offers good connectivity advantages.
- Higher political uncertainties: Recent political changes in the state could raise concerns about policy stability for some investors.
- Land acquisition challenges: Obtaining land for projects can be slower and more expensive compared to Gujarat.
- Costlier labor: Wages in Tamil Nadu are generally higher than in Gujarat, though skilled labor remains cost-effective compared to other parts of India.
- Proven track record: Gujarat has consistently attracted significant investments and boasts a business-friendly environment for many years.
- Strong government support: The state government actively promotes industrial development and offers attractive incentives for investors.
- Excellent infrastructure: Gujarat boasts well-developed roads, ports, and power grids, providing a strong foundation for industrial activity.
- Lower land and labor costs: Land acquisition and labor costs are generally lower compared to Tamil Nadu, making it potentially more attractive for specific industries.
- Water scarcity: Water availability can be a concern for some industries, particularly in certain regions of the state.
- Bureaucracy: While improving, administrative hurdles can still present challenges for establishing businesses in Gujarat.
- Focus on heavy industries: The state’s industrial landscape is traditionally dominated by heavy industries, which may not be optimal for all sectors.
- Vibrant Gujarat Summit 2024: As of today, the event is ongoing, so it’s too early to assess its impact on investment comparisons. However, the buzz surrounding it highlights the ongoing competition between the states.
- Focus on sustainability: Both states are increasingly emphasizing sustainable development, which might open up new avenues for green investments.
Ultimately, the best investment destination depends on your specific needs and priorities. Consider conducting further research tailored to your industry and speaking with experts in both states to gain a deeper understanding of the local business environment.
I hope this information gives you a starting point for your investment decision. Please let me know if you have any specific questions about either state or your industry.
When was Vibrant Gujarat ?
It was held on 10th till 12th Jan
when was Tamil Nadu Investor summit?
January 7th and 8th, 2024, making it a major event for the state’s economic future.
total Investment in Tamil Nadu
The total investment in Tamil Nadu is rupees 6.63 lakh crores.
Total investment before Vibrant Gujarat ?
Staggering, 7 Lakh crore rupees.
Investment during Vibrant Gujarat?
Impressive and record breaking rupees 26.33 Lakh crore.
total Investment MOUs signed in vibrant Gujarat?
Record shattering 33.33 Lakh crore.
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