Karnataka March 2015

6th largest state in terms
of GDP size in 2013-14
The state contributed 5.6 per cent to the GSDP of India in 2013-14.
Average GSDP growth rate between 2004-05 and 2013-14 was about 14.9** per cent.
The per capita GSDP increased to US$ 1,585.5, expanding at a CAGR of 13.7** per cent
between 2004-05 and 2013-14.
IT hub of India
Karnataka is the IT hub of India and home to the fourth largest technology cluster in the
world.
The state contributed US$ 29.5 billion to Indias electronics and software exports in 2013
14.
Karnataka has 47 IT/ITeS SEZs, three software technology parks and dedicated IT
investment regions.
Vibrant industrial base
Karnataka has vibrant automobile, agro, aerospace, textile & garment, biotech and heavy
engineering industries.
The state has sector-specific SEZs for key industries such as IT, biotechnology,
engineering, food processing and aerospace. An ITIR, spread across 10,000 acres, is
being developed near BIA.
One of the preferred

investment destinations
A conducive business environment has helped the state rank fifth in terms of attracting
private sector investments in India, as of December 2012.
Total outstanding investments amounted to US$ 171.0*** billion in 2013-14, while
cumulative FDI inflows from April 2000 to November 2014 stood at US$ 14.2 billion, the
fourth highest in India.
Source: Global Investors Meet 2012, Department of IT, BT and S&T, Karnataka, ASSOCHAM Report, Planning Commission Databook 2013-14, DIPP, CMIE
Visvesvaraya Trade Promotion Centre, ITIR, BIA: Bengaluru International Airport, **In Indian rupee terms, ***At 2013-14 rates
Vast natural resource

pool
Karnataka is the sole producer of felsites and the leading producer of iron ore, chromite,
and dunite and contributes 99.5 per cent to India's total gold production.
Karnataka hosts 78.0 per cent of vanadium ore, 74.0 per cent of iron ore (magnetite), 42.0
per cent of tungsten ore and 38.0 per cent of asbestos reserves in India.
Strong knowledge
infrastructure
Karnataka has 43 universities, 4,676 pre-university colleges, 210* engineering colleges

and 297* polytechnics, 46 medical colleges and 38 dental colleges.
The state also houses 401 R&D centres; around 400 of the Fortune Global 500 companies
outsource their IT services to firms in Bengaluru.
Contributes 7 per cent

to the agricultural
production of India
Number 4 in terms of
tourist arrivals in India
Karnataka accounts for 69.3 per cent of the coffee production in India; coffee exports from
Karnataka stood at US$ 596.9 million in 2013-14.
The state is the 5th largest producer of fruits in the country and the fourth largest producer
of spices.
Karnataka is also the third largest producer of plantation crops in the country.
Karnataka boasts of a diverse flora and fauna and a 320 km natural coast line, which
makes it a nature tourist's paradise.
The state has World Heritage Sites at Hampi and Pattadakal.
Source: Indian Minerals Yearbook 2014, Global Investors Meet 2012,

Economic Survey of Karnataka 2013-14, Visvesvarya Industrial Trade Centre, Bounteous Karnataka
* Till March 2013
2013-14
IT exports:
US$ 29.5
billion**
High
economic
growth
Growing
demand
Rich talent pool
GSDP expanded at a CAGR of

14.9* per cent between 2004-05
and 2013-14.
Buoyant services (IT, tourism) and
industries driving economic growth.
Sector specific SEZs and SIRs
facilitating growth.
Infrastructure
Karnataka is termed as the

Knowledge Capital of India.
The state has successfully
attracted skilled labour, especially,
in the knowledge sector.
Karnataka is among the states
that produce a large number of
doctors, engineers and medical
technicians in the country.
Advantage
Karnataka
Well-developed social, physical

and industrial infrastructure.
Good road, rail, water and air
connectivity and substantial port
infrastructure.
Well-developed telecom
infrastructure.
Excellent healthcare facilities.
2020
target
IT exports:
US$ 73.7
billion
Policy support
Wide range of fiscal and policy

incentives for businesses under the
Karnataka Industrial Policy, 2014
19.
Investor-friendly sector-specific
policies to promote industries such
as IT, biotechnology, tourism and
manufacturing.
Simplified procedures for
investment.
Source: Karnataka Udyog Mitra, Planning Commission Databook 201314,

D&B Cluster State Overview, CMIE, Karnataka Vision 2020, Department of Industrial Policy and Promotion, Visvesvaraya Trade Promotion Centre,
*In Indian Rupee terms, **At 2013-14 rates, includes electronics and computer software
Build infrastructure to boost

productive potential of the
economy.
Various metro rail and mono
rail projects are in progress.
Increase rural incomes

through greater viability of
agriculture and allied activities.
Bridge the gap between
Poor and
socially backward and
backward
vulnerable groups and rest
classes
of the people.
Develop the state as a vibrant

knowledge society.
Focus on job oriented growth
through skill development of the
workforce.
Education/
Skill
development
Infrastructure
Governance
Vision
2020
Healthcare/
Social
amenities
Improve access and

availability of quality
healthcare for all.
Industry
Women
empowerment
Tourism
Preserve and promote

Karnatakas rich heritage.
Karnataka Tourism Vision
Group (KTVG) was set up in
October 2013 to advise on
promoting tourism in state.
Better governance through

wider participation and deep
democratic decentralisation.
Encourage transparency and
accountability.
Build and sustain Bangalores

leadership in science,
technology and knowledge
based industries.
Achieve a sustainable and
orderly process of
industrialisation and
urbanisation.
Enhance opportunities and

empower women across
economic, social and
political spheres.
Source: State Planning Department
Some of the prominent cities in the state are Ankola,

Bengaluru, Bagalkot, Belgaum, Bidar, Bijapur, Chikmagalur,
Chitradurga, Dandeli, Hubli-Dharwad, Mangalore, Mysore
and Shimoga.
Karnataka has a tropical climate with three major seasons:
warm and dry from February to May, monsoon from June to
October and winter from November to January.
Parameters
Capital
Source: Maps of India
Karnataka is located in the southern region of India. The

state is surrounded by the Arabian Sea in the west, Goa in
the northwest, Maharashtra in the north, Andhra Pradesh in
the east, Tamil Nadu in the southeast, and Kerala in the
southwest.
Languages spoken are Kannada, Tulu, Kodava, Hindi and
English.
Karnataka
Bengaluru
Geographical area (sq km)
192,000
Administrative districts (No)
30
Population density (persons per sq km)
319
Total population (million)
61.1
Sex ratio (females per 1,000 males)
973
Literacy rate (%)
75.4
Male literacy rate
82.5
Female literacy rate
68.1
Source: Economic Survey of Karnataka 2013-14, Census 2011
Parameter
Karnataka
All states
Economy
2012-13
2013-14
GSDP as a percentage of all states GSDP
5.6
100.0
Planning Commission Databook, 201314,

current prices
GSDP CAGR (%)*
14.9
11.54
Planning Commission Databook, November

2014, current prices
1,585.5
1,833.24
Planning Commission Databook, December

2014, current prices
14,269.8
258,701.45
Central Electricity Authority, as of January 2015
Wireless subscribers (No)
56,514,721
930,200,000
Telecom Regulatory Authority of India, as of

September 2014
Broadband subscribers (No)
3,389,610**
75,730,000
Telecom Regulatory Authority of India, as of

September 2014
National Highway length (km)
6,294.3
96,260
National Highway Authority of India
Major and minor ports (No)
1+10
13+187
Indian Ports Association
Airports (No)
5***
133
Airports Authority of India
Per capita GSDP (US$)
Source
Physical Infrastructure
Installed power capacity (MW)
*In Indian rupee terms for the period 2004-05 to 2013-14, **As of March 2014 indiastat.com, ***Includes only operational airports
Parameter
Karnataka
All states
Source
Literacy rate (%)
75.4
74.0
Planning Commission Databook, June 2014
Birth rate (per 1,000 population)
18.3
21.4
SRS Bulletin (www.censusindia.gov.in),

September 2014
FDI equity inflows (US$ billion)
14.66
238.6
Department of Industrial Policy & Promotion,

April 2000 to December 2014
Outstanding investments (US$ billion)
171.0
2,414.2
CMIE (2013-14)
PPP projects (No)*
134
1,339
www.pppindiadatabase.com
SEZs (No)
39
352
Social Indicators
Investment
Industrial Infrastructure
Notified SEZs as of 5th December 2014,

www.sezindia.nic.in
PPP: Public-Private Partnership, SEZ: Special Economic Zone, SRS: Sample Registration System
*As of January 2011
2012-2013
2013-2014
44.4
96.7
71.2
67.2
67.3
2008-2009
37.2
95.6
90.0
CAGR:
14.9%*
The average GSDP growth rate between 2004-05 and

2013-14 was about 14.9* per cent.
94.6
2011-2012
GSDP of Karnataka at current prices (US$ billion)
2007-2008
At current prices, the Gross State Domestic Product

(GSDP) of Karnataka was about US$ 96.7 billion in 201314.
50.3
2010-2011
2009-2010
2006-2007
2005-2006
2004-2005
Growth has been mainly driven by secondary and tertiary

sectors.
Source: Planning Commission Databook, October 2014

*In Indian Rupee terms
85.1
85.7
2012-2013
2013-2014
63.4
84.5
2011-2012
60.4
80.7
2010-2011
39.6
45.2
2006-2007
2004-2005
33.2
60.3
2009-2010
CAGR:
14.8%*
2008-2009
The average NSDP growth rate between 2004-05 and

2013-14 was 14.8* per cent.
2007-2008
NSDP of Karnataka at current prices (US$ billion)
2005-2006
The Net State Domestic Product (NSDP) of Karnataka was

about US$ 85.7 billion in 2013-14.

The states per capita GSDP in 2013-14 was US$ 1,585.5.
GSDP per capita of Karnataka at current

prices (US$)
The per capita GSDP increased at a Compound Annual

Growth Rate (CAGR) of 13.7* per cent between 2004-05
and 2013-14.
1,522
CAGR:
13.7%*
793
1,582 1,583 1,585
1,216
1,173 1,161
889
2013-2014
2012-2013
2011-2012
2010-2011
2009-2010
2008-2009
2007-2008
2006-2007
2005-2006
2004-2005
673

The states per capita NSDP in 2013-14 was US$ 1,405.3.
NSDP per capita of Karnataka at current

prices (US$)
The per capita NSDP increased at a CAGR of 13.6* per

cent between 2004-05 and 2013-14.
CAGR:
13.6%*
708
1,365
1,414 1,410 1,405
1,053
1,083
1,042
797
2013-2014
2012-2013
2011-2012
2010-2011
2009-2010
2008-2009
2007-2008
2006-2007
2005-2006
2004-2005
600

In 2013-14, the tertiary sector contributed 61.4 per cent to

the states GSDP at current prices, followed by the
secondary sector (23.8 per cent) and primary sector (14.8
per cent).
At a CAGR of 17.3* per cent, the tertiary sector has been
the fastest growing among the three sectors from 2004-05
to 2013-14. The growth has been driven by trade, hotels,
real estate, finance, insurance, transport, communications
and other services.
GSDP composition by sector

CAGR
51.0
17.3*%
29.1
12.4*%
19.9
The secondary sector grew at a CAGR of 12.4* per cent

between 2004-05 and 2013-14. This was driven by
manufacturing, construction and electricity, gas & water
supply.
The primary sector grew at a CAGR of 11.2* per cent
between 2004-05 and 2013-14.
11.2*%
2004-05
Primary Sector
61.4
23.8
14.8
2013-14
Secondary Sector
Tertiary Sector
Source: CMIE
*Growth rate in INR terms
Sugarcane was the major crop of the state with production

estimates of about 40.4 million tonnes in 2013-14.
Crop
The states food grain production is estimated to be 13.1
million tonnes in 2013-14.
Major oilseeds production is estimated to be 1.2 million
tonnes in 2013-14.
Production of cereals and pulses in the state is estimated to
be 11.6 million tonnes and 1.4 million tonnes, respectively,
in 2013-14.
In 2013-14, total production of major fruits in the state is
estimated at 6.9 million tonnes.
Total fruits production in the state is estimated at 6.9 million
tonnes in 2013-14.
Annual production
estimate^ in
2013-14 (000 tonnes)
Sugarcane
40,375
Maize
4,573
Rice
3,823
Banana
2,656
Coconut^^
4,408.3
Sorghum (jowar)
1,391
Cotton*
1,299
Groundnut
564
Wheat
240
Total pulses
1,418
Total major oilseeds
1,168
Source: Economic Survey of Karnataka 2013-14,

Department of Horticulture, Karnataka Agriculture Budget 2013-14
*In bales of 170 kgs each, ^First advance estimates of Agriculture Department,
^^Provisional data for 2011-12 (000 nuts)
Break up of exports by sector (2013-14)
During 2013-14, total exports from the state aggregated

US$ 48.2 billion, which is approximately 12.4 per cent of
Indias total exports.
Karnatakas exports increased at a CAGR of 15.4* per cent

during 2007-08 to 2013-14.
From a sector specific perspective, exports of electronics &
computer software, engineering products; readymade
garments and basic chemicals, pharmaceuticals &
cosmetics increased significantly in 2013-14 compared with
the previous year.
Electronic and software exports from the state reached US$
29.5 billion in 2013-14.
Karnataka exported US$ 5,964.4 million worth of petroleum
and chemical products during 2013-14.
Engineering
products
6.2%
Handloom & textiles

3.5%
Miscellaneous
and others
8.3%
Gems and
jewellery
8.3%
Petroleum
and
chemical
products
12.4%
Electronics &
computer
software
61.3%
Source: Economic Survey of Karnataka 201314,

Visvesvarya Industrial Trade Centre, Government of Karnataka,
*Growth rate in INR terms,
STPI: Software Technology Parks of India
The state has a stable political environment. Successive

state governments have realized the importance of
industries in the state and have provided conducive
business environment to attract domestic as well as foreign
entities.
In 2013-14, outstanding investments in the state totalled
US$ 171.0 billion, representing nearly 7.1 per cent of the
total outstanding investments in India.
Of the total outstanding investments, the manufacturing
sector attracted the most (36.3 per cent), followed by the
services sector (27.1 per cent).
Karnataka is ranked fifth in terms of attracting private sector
investments in India.
According to the Department of Industrial Policy &
Promotion (DIPP), the cumulative FDI inflows from April
2000 to November 2014 amounted to US$ 14.2 billion, the
fourth highest in India.
FDI inflows from April-December 2014 stood at US$ 1.985
billion.
Break up of outstanding investments by sector

(2013-14)
0.6%
Manufacturing
3.7%
16.2%
36.3%
Services
Real Estate
Electricity
16.2%
Irrigation
27.1%
Mining
Source: Composition of outstanding investments across states,

ASSOCHAM, Department of Industrial Policy and Promotion, CMIE
Karnataka attracted investments worth US$ 150.2* billion

during the Global Investors Meet, 2012.
Investment proposals signed at Global Investors Meet

2012
Sector
Amount (US$ billion)*
Energy
52.15
Automobile
1.95
Iron and steel
22.56
Cement and other minerals
10.34
Education and R&D
1.73
Agro, food and horticulture
3.32
Biotech and pharma
0.38
Textiles and apparels
0.99
Tourism
8.30
Housing and urban development
6.87
Industrial infrastructure
9.18
IT & electronics
14.98
Chemicals and petrochemicals
8.87
Engineering
3.29
Aerospace and defence
2.66
Others
2.74
Source: Global Investors Meet, 2012, *At 2012-13 rates
Total budget size for 2014-15 is US$ 23,001.3 million,

around 13.5 per cent higher than previous budget size in
INR terms.
Annual Budget
(Estimates in US$ million)
Karnatakas government has a planned expenditure of US$

10,933.3 million for the year 2014-15
2013-14*
2014-15**
A fiscal deficit of US$ 3,340.2 million, 2.9 per cent of GSDP

is projected for 2014-15
Revenue
receipts
15,638.7
18,506.4
Tax revenue is estimated to be approximately US$ 11,645.0

million witnessing an increase of 13.6 per cent over the
estimates for 2013-14.
Total
expenditure
19,278.7
23,001.3
NA
46.9
Capital expenditure for 2014-15 is estimated to be US$

3,415.0 million, 12.0 per cent higher allocation than 201314.
Revenue A/C
surplus
Budget highlights:
Capital receipts
3,011.3
4,201.7
Tax proposals:
Capital
expenditure
3,049.1
3,415.0
Fiscal deficit
2,894.7
3,340.2
Preparing for the introduction of Goods and Service

Tax (GST) in the state.
Exemption from VAT on paddy, rice, wheat, pulses
and products of rice and wheat to continue for one
more year.
Excise duty on beer increased from 122 per cent to
135 per cent.
Source: Government of Karnataka, Budget 2014-15

*Revised estimates
**Assumed exchange rate of 1 US$= 60.00 INR for 2014-15
Primary education:
Major sector-wise allocation as per budget 2014-15
Reconstitution of expert committees to set up text books

promoting moral and social values
Sector
Annual allocation
(US$ million)
Set up 178 Government High Schools in needy places

under the Rashtriya Maadhyamika Shiksha Abhiyaan
Education department
3,550.8
US$ 2,904.2 million has been allocated for Primary and

Secondary Education Department during 2014-15
Energy
1,948.8
Water resources
1,891.5
Urban development
1,665.8
Social welfare
1,079.2
Health and family welfare
1,003.8
Agriculture:
Provide support to farmers through low interest
agricultural loans, subsidised seeds, fertilisers, nutrients,
agricultural improvements, soil conservation, market
improvements, minimum support price, crop insurance
and other related programmes.
Launch of Krishibhagya scheme for farmers whose
livelihood is dependent on rains. This scheme aims to
provide facilities including conservation, storage and
efficient use of rain water, adoption of profitable cropping
systems, cultivation of high income earning horticultural
crops, and promotion of animal husbandry activities,
among others.
Agriculture and horticulture
899.5
Source: Government of Karnataka, Budget 2014-15

*Revised estimates
*Assumed exchange rate of 1 US$= 60.00 INR for 2014-15
Karnataka plans to construct 100,000 km of roads by 2020;

this entails an investment of US$ 26.0 billion.
In 2013, the central government approved US$ 97.6 million
of two/four laning of Kollegal section national highway
project bordering Kerala.
IRB Infrastructure will develop a road from Kundapur in
coastal region to the states border with Goa in a project
costing US$ 437.8 million.
Road type
Source: Maps of India
The state is well connected to its five neighbouring states

and other parts of India through 15 national highways that
run through the state.
The Karnataka Road Development Corporation Ltd
(KRDCL) has been created as a state-owned enterprise for
the development of road infrastructure facilities in the state.
The Karnataka State Road Transport Corporation (KSRTC),
established in August 1961, provides state road transport
services.
Road length (km)
National Highways
6,294.3
State Highways
20,770
Major district roads
49,959
Municipal roads
8,366
Other roads
148,412

Ministry of Road Transport & Highways, Global Investors Meet 2012,
Department of Tourism, Karnataka,
The National Highways Authority of India,
Public Works Department and RDPR Department
Karnataka is well-connected to other parts of the country

through the railways. The state has a railway network of
3,250 km.
Karnataka Rail Infrastructure Development Corporation (KRIDE) has been set up with the objective of developing and
implementing rail infrastructure projects in Karnataka with
private sector participation wherever feasible.
Karnataka railway network

Type of railway
Length (km)
South Central Railways
268
South Western Railways
2,697
Southern Railways
37
Konkan Railways
248
Total
K-RIDE has a chief executive officer deputed from the

Railways Department and principal secretary, Infrastructure
Development Department, as its chairman.
Bengaluru Metro Rail, also known as Namma Metro (our
metro), is a mass-transit rail system for the city of
Bengaluru. Bengaluru Metro Rail Corporation Limited
(BMRCL), a joint venture of Government of India and
Government of Karnataka, is a special purpose vehicle
(SPV) entrusted with the responsibility of implementation of
Bengaluru Metro Rail Project. Namma Metro started in
October 2011 and Phase II was launched in March 2014.
Eleven railway projects are under implementation in the
state for which the states contribution would be US$ 897.5
million.
3,250
Key proposed new projects

Length
Cost
(US$
million)*
Hassan-Bengaluru (New line)
166
197
Tumkur-Rayadurga (New line)
102
202
Munirabad-Mehboobnagar (New line)
170
177
Bagalkot-Kudachi (New line)
142
170
Tumkur-Davangere (New line)
200
190
Bidar-Gulbarga (New line)
107
77
Hubli-Ankola (New line)
167
483
Bengaluru-Satyamangala (New line)
162
375
Project
Source: Economic Survey of Karnataka 2011-12, Infrastructure Development Department, Karnataka

*At 2011-12 prices
The state has five domestic airports. These are located in

Bengaluru, Mangalore, Hubli, Mysore and Belgaum.
International flights operate from the airports at Bengaluru
and Mangalore.
Bengaluru International Airport; the countrys first greenfield
international airport, has been developed at Devanahalli in
Bengaluru as a passenger and cargo department hub. This
was developed under the PPP model and started
operations in May 2008.
The passenger traffic in Bengaluru International Airport in
2013-14 stood at 12.86* million passengers (domestic
passengers: 10.23 million and international passengers:
2.63 million).
For 2013-14, the airport reported an average of 325 air
traffic movements per day.
Minor airports at Shimoga, Gulbarga, Bijapur and Hassan
are being developed on PPP mode through private
promoters.
The existing airport at Hubli is being upgraded to
international standards.
Source: Global Investors Meet, 2012

*Association of Private Airport Operators
There are 11 ports in Karnataka, of which New Mangalore is

a major port. New Mangalore Port is the ninth major port in
India with the deepest inner harbour on the west coast.
Major cargo have been handled by Karwar, Belikeri, Malpe
and old Mangalore ports in 2010-11. Among them, the
cargo handled by Belikeri port was significantly more than
the other ports.
A new port is being planned at Honnavar at a cost of US$
99.5 million under PPP model.
Ports
Karwar
Port
Major ports
New Mangalore Port
Karwar
Belekeri
Tadri
Honnavar
Bhatkal
Kundapur
Hangarkatta
Malpe
Padubidri
Old Mangalore
New
Mangalore
Port
Minor ports
Source: Global Investors Meet, 2012
13,759
13,978
14,270
2014-15*
13,394
2013-14
CAGR:
7.3%
2012-13
Installed power capacity (MW)
As of November 2014, the state had an installed power

generation capacity of 14,269.8 MW. The state contributed
7,479.4 MW of this capacity, and the private sector
contributed 5,120.0 MW, whereas the central governments
share was 1,670.4 MW.
9,347
2008-09
2009-10
11,546
10,386
2011-12
Of the total installed power generation capacity, 6,430.0

MW was contributed by thermal power. Capacity of 254.9
MW and 3,985.1 MW was contributed by nuclear and
renewable power, respectively, while hydropower
contributed 3,599.8 MW.
2010-11
The installed capacity has increased from 9,346.7 MW in

2009 to 13,977.8 MW in 2013-14.
The government has taken steps to undertake several new

small, medium and large scale power projects.
Karnataka Renewable Energy Development Limited
(KREDL) was established in 1996 to promote the
development of renewable energy sources in the state.
NTPC is developing a 4,000 MW supercritical thermal
power plant at Kudgi village in Bijapur district with an
investment of US$ 2.9 billion. Work has commenced on the
plant and is expected to be commissioned in 2015-16.
Source: Central Electricity Authority

*As of November 2014
The installed capacity will increase by 10,200 MW over the

next three years, as numerous projects are currently under
implementation.
Major power projects to be completed in the next

three years
State-owned power generation in Karnataka is managed by:

Karnataka Power Corporation Limited (KPCL).
Power transmission is overseen by:
Karnataka Power Transmission Corporation Limited
(KPTCL).
Karnataka has five electricity supply companies:
Project
Capacity
Yaramaras Thermal Power Station
2x800 MW
Yadlapura Thermal Power Station
2x800 MW
Godhana Thermal Power Station
2x800 MW
Bidadi (Gas based)
1x700 MW
rd
Bengaluru Electricity Supply Company Limited

(BESCOM).
3 Unit of Bellary Thermal Power

Station
1x700 MW
Mangalore Electricity Supply Company Limited

(MESCOM).
NTPC Project at Kudagi
4000 MW
Hubli Electricity Supply Company Limited

(HESCOM).
Total
Gulbarga Electricity Supply Company Limited

(GESCOM).
Chamundeshwari Electricity Supply Corporation
Limited (CESCOM).
10,200 MW
Source: Central Electricity Authority, Karnataka Budget 2013-14
Leading telecom companies operate in the state in the

sectors of telecommunication network, basic telephony
services (both wire line and wireless) and networking
services for telecommunication equipment.
According to Telecom Regulatory Authority of India (TRAI),
there were 56.5 million wireless connections and 2.3 million
wire-line subscribers in Karnataka, as of November 2014.
The entire state is networked through Optic-Fibre Cables
(OFCs) of the state-owned company, Bharat Sanchar
Nigam Limited (BSNL), as well as private companies such
as Bharti, Reliance, VSNL and TATA Tele Services.
Last mile access is provided by BSNL as well as Tata Tele
Services in various parts of the state. Bharti and Reliance
Communications provide the last-mile access directly to the
customers in all major cities of Karnataka.
Telecom infrastructure (November 2014)

Wireless subscribers
56,514,721
Wire-line subscribers
2,262,584
Broadband subscribers
4,878,430*
Post offices
9,739^
Telephone exchanges
2,802**
Teledensity (in per cent)
92.5**
Major telecom operators in Karnataka

Bharti Airtel
IDEA Cellular
Vodafone Essar
Bharat Sanchar Nigam Limited (BSNL)
Aircel Ltd
Reliance Communications
Tata Teleservices
Source: Telecom Regulatory Authority of India,
Department of Telecommunications, Annual Report 2012-13,
Ministry of Communications and Information Technology,
Economic Survey of Karnataka 201314, India Post,
* As of March 2014 indiastat.com, ^As of July 2014, ** As of May 2014
Under the Jawaharlal Nehru National Urban Renewal

Mission (JNNURM), Bengaluru and Mysore have been
sanctioned 47 projects worth US$ 615.1* million during
200613.
Water supply
KUWSDB has implemented

surface-based drinking
water supply schemes in
187 urban areas to provide
assured safe drinking water.
KUWSDB is implementing
26 schemes for shifting the
source of water from ground
water to assured surface
water. These schemes are
to be completed by 2013.
Some of the key areas of development are roads and

flyovers, water supply, storm-water drainage, sewerage and
urban transport.
A total of 26 projects related to roads, flyovers, water supply
and urban transport located in Bengaluru have been
completed between April 2006 and November 2013, with a
value of US$ 136.6 million.
The Karnataka Urban Water Supply and Drainage Board
(KUWSDB) is responsible for providing water supply and
sewerage facilities in 213 urban areas of the state, except
the areas serviced by the Bruhath Bengaluru Mahanagar
Palike (provides services in Bengaluru city and surrounding
areas).
A total of 71 projects have been sanctioned at an approved
cost of US$ 316.6 million under UIDSSMT programme of
JNNURM as of March 2014.
Cauvery Water Supply

Scheme (CWSS) Stage IV,
Phases IIV are being
implemented to supply 810
MLD of water to about
600,000 connections.
Sewerage system
The Bengaluru
Water Supply and
Sewerage Board
(BWSSB) is
responsible for
providing water
supply, sewerage
system and
sewage disposal
in the Bengaluru
Metropolitan area.
Forty-two urban
areas have been
provided with
Underground
Drainage (UGD)
facilities in the
state.
Source: JNNURM, Ministry of Urban Development, www.urbanindia.nic.in

MLD: Million Litres Per Day
*As of November 2013, at 201213 rates,
UIDSSMT: Urban Infrastructure Development Scheme for Small & Medium Towns
Project name
Investment
(US$ million)
PPP
type
Stage
Bangalore International Airport
320.2
BOOT
In operation
Department of Ports & Inland Water 2nd stage development of modern deep sea port at
Transport (DPIWT), Karnataka
Karwar
130.7
BOOST
Bidding
DPIWT, Karnataka
Honnavar Port Development, Uttar Kannada
182.5
BOOST
Bidding
DPIWT, Karnataka
Development of Malpe Port in Udupi District
224.0
BOOST
Bidding
Construction of Ring Road Around Bengaluru City
497.7
BOT-Toll
EOI
Karnataka Road Development

Corporation (KRDCL)
Development of road from State Highway-17 to

State Highway-19
234.4
BOT-Toll
Bidding
Karnataka Road Development

Corporation (KRDCL)
Development of road Sira-Madugiri-GowribidanurChikkaballapura-Shidalgatta-ChithamaniSrinivasapur-Mulbagal SH-58 and other

connecting roads
243.0
BOT-Toll
Bidding
Contract authority
Airports
Ministry of Civil Aviation
Ports
Roads
Bengaluru Development Authority
Source: www.pppindiadatabase.com
BOOT: Build-Own-Operate-Transfer, BOOST: Build-Own-Operate-Share-Transfer, BOT: Build-Operate-Transfer, EOI: Expression of Interest
Project name
Investment
(US$ million)
PPP
type
Stage
Development of international convention centre

at Devanahalli
174.2
BOTAnnuity
Construction
24x7 urban water supply
292.0
In
implementation
Karnataka Land Army Corporation

Limited (KLAC)
Establishment of KLAC office
182.5
DBFOT
Bidding
Animal Husbandry and Veterinary

Science
Commercial development of animal husbandry

and veterinary science land
41.5
DBFOT
EOI
Transfer station in Bengaluru
14.9
EOI
Contract authority
Tourism
Department of Tourism, Karnataka
Urban development
Karnataka Urban Infrastructure
Development and Finance
Corporation
Bengaluru Mahanagara Palike,

Karnataka
Source: www.pppindiadatabase.com
BOT: Build-Operate-Transfer, DBFOT: Design-Build-Finance-Operate-Transfer, EOI: Expression of Interest
The state has 22 operational, 40 notified SEZs, one valid inprinciple approval and 61 formal approval SEZs, as of July
2013.
Exports from SEZs in Karnataka (US$ billion)

5.3
The Karnataka Industrial Areas Development Board has

developed 141 industrial areas spread across the state. The
state plans to develop and upgrade eight clusters around
Bengaluru with an investment of US$ 348.4 million.
1.7
The Karnataka State Industrial & Infrastructure

Development Corporation has promoted more than 135
start-up ventures in the state through equity participation
and has provided debt to core industries such as steel,
cement, mining and textiles, as well as new sectors such as
IT, aerospace and telecom.
4.1
CAGR:
97.6*%
2.2
0.4
2007-08
2008-09
2009-10
2010-11
2011-12
Exports from SEZs in Karnataka increased at a CAGR of

97.6* per cent from US$ 0.4 billion in 2007-08 to US$ 5.3
billion in 2011-12.
SEZ with valid in-principle approval

Name/Developer
M/s. Ozone SEZ Developers Pvt Ltd
Location
Chikkaballapura
Primary industry
Pharmaceuticals
Source: www.sezindia.nic.in, Department of Industries and Commerce, Karnataka

Some of the operational SEZs in Karnataka

Name/Developer
Manyata Embassy Business Park
Location
Primary industry
Bengaluru
IT/ITeS
Varthur Hobli, Electronic City, Bengaluru
IT
Dakshina, Kannada
IT/ITeS
Vrindavan Tech Villages SEZ (Vikas Telecom Limited)
Bengaluru
IT/ITeS
Cessna Garden Developers Pvt Ltd
Bengaluru
IT/ITeS
Anekal, Bengaluru
Biotechnology
Bengaluru
IT/ITeS
Hasan
Textiles
Information Technology Park Ltd
Bengaluru
IT/ITeS
Primal Projects Private Limited
Bengaluru
IT/ITeS
Bagmane Construction Pvt Ltd
Bengaluru North
IT/ITeS
Udupi
Hi-tech engineering products and

related services
Samudravalli, Sankalapura
Food processing
Whitefield, Bengaluru
IT/ITeS
Belgaum
Precision engineering products
WIPRO Limited
Infosys Technologies SEZ Mangalore
Biocon Limited
HCL Technologies Ltd
KIADB (Textile)
Synefra Eng. & Const. (Suzlon Infrastructure Limited)

KIADB (Food)
Gopalan Enterprises (India) Private Limited
Quest SEZ Development Private Limited
Source: www.sezindia.nic.in
Some of the SEZs with formal approvals

Name/Developer
Location
Primary industry
M/s. Biocon Ltd
Bengaluru
Biotechnology
Karnataka Industrial Areas Development Board
Mangalore
IT/ITeS
Dakshina Kannada
IT/ITeS
Shimoga
Engineering & related industries
Hassan
Food processing and related services
Bengaluru
Biotechnology
Near Mangalore
Port
Port-based for hi-tech engineering products

and related services
Hassan
Pharmaceuticals
Dakshin Kannada
Petrochemicals and petroleum
Quest Machining and Manufacturing Pvt Ltd
Belgaum
Auto, aerospace and industrial engineering
High Street Developers Private Limited
Mandya
IT/ITeS
Opto Infrastructure Limited
Hassan
Electronic hardware & software/ IT/ITeS
Infosys Technologies Limited
Karnataka Biotechnology and Information Technology Services

Suzlon Infrastructure Ltd
Mangalore SEZ Limited
Source: www.sezindia.nic.in
The state has a literacy rate of 75.4 per cent according to

the final data of Census 2011; the male literacy rate is 82.5
per cent and the female literacy rate is 68.1 per cent.
In terms of the number of universities, Karnataka ranks fifth

among all Indian states and union territories, with 43
universities. Of these, 23 are state public universities, 11
private deemed universities, four government deemed
universities, two state private universities, one central
university, one state open university and one institute of
national importance.
Literacy rates (%)

Literacy rate
75.4
Male literacy
82.5
Female literacy
68.1
Educational infrastructure (No)
The state has 4,676 pre-university colleges to impart

general education. There are more than 1 million students
in the pre-university colleges.
There are 297 polytechnics and 210 engineering colleges to

provide technical education in the state.
The state government along with National Skill

Development Corporation will implement the National
Vocational Education Qualification in 100 schools with an
aim to provide certification of vocational skills for improving
employment levels among the youth.
Universities: 43
Pre-university colleges*: 4,676
Engineering colleges**: 210
Polytechnics**: 297
Junior technical schools**: 12
Vocational institutes: 553
Medical colleges: 46
Dental colleges: 38
Ayurvedic colleges: 56
Homeopathy colleges: 11
Unani colleges: 5
Source: Economic Survey of Karnataka 2013-14, Deloitte: Annual Status of

Higher Education of States and UTs in India, University Grants Commission,
Medical Council of India, Census 2011 (final data),
*For 2013-14, **For 2012-13
State participation in primary education is significant as 85.2

per cent of the lower primary and 66.2 per cent of the higher
primary schools are managed by Department of Education.
Karnataka is home to several premier institutions:
Karnataka education statistics (201213)
Number of schools
Lower primary: 25,950

Higher primary: 34,086
Secondary schools:
14,194
School dropout rate

(in per cent)
Lower primary: 2.6

Higher primary: 5.4
Pupil-teacher ratio
Average: 23.4:1
Aided schools: 43:1
Unaided schools: 30.8:1
Indian Statistical Institute.

Indian Institute of Science.
Indian Institute of Management.
National Law School of India University.
Institute for Social and Economic Change.
Source: Economic Survey of Karnataka 201314
University of Agricultural Sciences, Bengaluru.

Kannada University, Hampi.
Three-tier health infrastructure comprising primary health

centres, health units, community health centres and subcentres is available in the state.
The policy of the government is to establish one primary

health centre for every 30,000 inhabitants, one dispensary
for every 15,00020,000 inhabitants and one sub-centre for
every 5,000 inhabitants.
Health infrastructure (as of December 2013)
District hospitals: 20
Other hospitals: 12
Teaching hospitals: 29
Community health centres: 206
Taluk/general hospitals: 146
Beds in community health centres: 20,400
Primary health centres: 2,355
Sub-centres: 8,871
Dispensaries: 659***
Health indicators (2013-14)

Beds per 100,000 population
99
Birth rate*
18.3
Death rate*
7.0
Infant mortality rate**
31
Life expectancy at birth (years)

Male (2012)
63.6
Female (2012)
67.1

Sample Registration System (SRS) Bulletin Sep, 2014
(www.censusindia.gov.in)
*Per thousand persons,
**Per thousand live births,
***As of March 2011
There are several sports complexes in Bengaluru, Mysore, Mangalore and other cities. Cricket, hockey and football are the
major sports, although other games are also popular.
The main sports arenas are the M. Chinnaswamy Stadium and the Sree Kanteerava Stadium in Bengaluru, Chamundi Vihar
Stadium in Mysore and the Mangala Stadium in Mangalore.
The Bengaluru Golf Course and the Karnataka Golf Association are well-known golf courses in the state.
Karnataka is also home to numerous convention centres used for exhibitions, both indoor and outdoor, such as Palace
Grounds and the Bengaluru International Exhibition Centre.
Under the Rural Tourism Project, Anegundi, Kokkare Bellur, Attivari Bird Sanctuary, Gokarna and Kodagu have been
developed. Schemes are being prepared to develop rural tourism at other places also to showcase the rural life, art and
culture and heritage.
Ranga Shankara and Karnataka Chitrakala Parishath form the cultural nexus of Bengaluru and are the performing spaces
for dance, music and theatre artists.
An international mega convention centre, with a seating capacity of 6,000, is being planned near the Bengaluru International
Airport.
The natural resources, policy incentives and infrastructure

in the state favour investments in the IT/ITeS,
biotechnology, engineering, electronics, automotive,
textiles, agri- and food-processing sectors.
Karnatakas favourable policies have encouraged industries
to set up their R&D centres in the state.
Bengaluru has about 401* R&D centres, the most in India.
Karnataka is making significant investments in industrial
infrastructure, such as setting up industrial clusters and
SEZs and PPP projects to provide an impetus to further
industrial development.
Key industries in Karnataka
In November 2013, the Karnataka State High-Level

Clearance Committee (SHLCC) cleared 10 projects with an
investment of over US$ 1.7 billion. The projects are
expected to create 14,105 jobs in 10 districts. In August
2013, SHLCC cleared 19 projects with an investment of
over US$ 2.5 billion. The projects are expected to create
69,746 jobs in 13 districts.
IT and ITeS
Biotechnology
Engineering
Electronics and telecom
Automotive
Textiles and apparel
Agro and food processing (floriculture)
Aerospace
Animation
Electronic hardware
Tourism
Renewable energy
*Source: Zinnov Management Consulting Pvt Ltd
At least 400 Fortune 500 companies have outsourcing

operations in Karnataka.
In September 2013, US-based eBay Inc launched a new
global development centre in India, which is spread across
150,000 sq ft.
2013-14
23.1
17.8
2010-11
Some of the key players
There are 2,160 IT companies in the state.

The state houses 550,000 IT Professionals or 1/3rd of the
total IT professionals in the country.
29.5
19.1
2009-10
Karnataka has 47 IT/ITeS SEZs and dedicated IT

investment regions.
2007-08
The state is Indias largest software exporter, with

electronics and computer software exports totalling US$
29.5 billion in 2013-14.
17.3
28.7
12.5
2006-07
About 50.0 per cent of the world's SEI CMM Level 5

certified companies are located in Bengaluru.
28.2
2012-13
CAGR:
17.0*%
Bengaluru is the fourth largest technological cluster in the

world after Silicon Valley, Boston and London.
2011-12
Electronics and software exports from Karnataka

(US$ billion)
2008-09
Karnataka has emerged as an Information Technology (IT)

hub of India.
Wipro Technologies
Infosys
Genpact
Accenture
Source: Software Technology Parks of India, Global Investors Meet 2012,

KIADB, Department of IT, Government of Karnataka, Karnataka ICT
Group 2020 Report, Visvesvarya Industrial Trade Centre,
Wipro Ltd
Infosys Technologies Ltd
Genpact
Accenture
Wipro Ltd was established in 1945 and posted revenues of US$ 7.3 billion in 2013-14. The company
has presence in areas such as IT services, product engineering, technology infrastructure services,
BPO and other consulting solutions. The company provides services such as application
development, deployment and maintenance, business intelligence and customer relationship
management.
Based in Bengaluru, the company has 72 plus global delivery centres and 50 plus industry-specific
centres of excellence in more than 54 countries. In September 2009, the company launched its centre
of excellence at its Electronic City campus to work with other leading IT firms for developing
innovative IT solutions.
Infosys Technologies Ltd was set up in 1981 and posted revenues of US$ 8.3 billion in 2013-14. The
company operates in areas such as IT consulting, modular global sourcing, process re-engineering
and BPO services.
Infosys has 73 offices and 94 development centres in the US, India, China, Australia, Japan, the UK,
Germany, France and many other countries and has marketing and technological alliances with
companies such as IBM, HP, Microsoft and Oracle. The company has operations at multiple locations
in Bengaluru, Mangalore and Mysore.
Genpact was set up in 1997 in India. Formerly known as GE Capital International Services, the
companys net revenues in 2013-14 stood at US$ 2.1 billion.
The company provides a wide range of business process, technology and knowledge services
including finance and accounting, collections and customer relations, insurance, procurement and
supply chain, analytics, software and IT infrastructure. Genpact employs around 60,200 employees.
The company has one office in Bengaluru in Karnataka.
Accenture is a global management consulting, technology services and outsourcing company with
approximately 275,000 people serving clients in more than 120 countries.
The company has one consulting office and seven delivery centres in Bengaluru.
Karnataka has played a key role in Indias emergence as a

significant player in the global biotechnology industry.
Karnataka is home to nearly 60.0 per cent of the countrys
biotech units.
One-ninety five of the total 340 biotech companies in India
are located in Karnataka. The state has more than 6,800
scientists involved in biotech research.
Premier life sciences institutions such as Indian Institute of
Science, National Centre for Biological Science and
Jawaharlal Nehru Centre for Advanced Scientific Research
are present in the state.
More than 60 per cent of the biotechnology companies in

India have a base in Bangalore and the state drives 50 per
cent of the total revenues in Indias biotechnology sector.
Indias biotechnology industry is expected to reach US$ 100
billion by 2025, with Bangalore forming a significant part of
it.
Sector-focused SEZs have been set up in Mysore,

Mangalore, Hubli-Dharwar, Belgaum, Shimoga, Gulbarga,
Kolar & Mandya.
Twelve biotechnology finishing schools are scheduled for
development under the Millennium Biotech Policy.
An 86-acre biotechnology park, Bengaluru Helix, comprising
the 52-acre Alexandria Knowledge Park in Bengaluru is
currently under development.
Biocon
AstraZeneca India
Jubilant Life Sciences Ltd
GlaxoSmithKline Pharmaceuticals Ltd
Source: Economic Survey of Karnataka 2013-14, Global Investors Meet

2012, Indian Biotechnology Industry Outlook 2012, Analyz Research,
Association of Biotechnology Led Enterprises (ABLE),
Visvesvarya Industrial Trade Centre
Biocon
AstraZeneca India
Jubilant Life
Sciences Ltd
GlaxoSmithKline
Pharmaceuticals Ltd
Biocon India was incorporated in 1978 as a joint venture between Biocon Biochemicals Ltd of
Ireland and an Indian entrepreneur, Kiran Mazumdar-Shaw. The company is among the leaders
in biopharmaceuticals and bioservices. Biocon has its corporate headquarter in Bengaluru.
The companys revenue was about US$ 487 million in 2013-14.
AstraZeneca India was established in 1979. The company is involved in the areas of
manufacturing/marketing of bulk drug chemicals, liquid formulations, tablets and capsules,
injectibles and ointments for various disease segments such as cardiovascular, respiratory and
maternal healthcare.
The companys manufacturing plant is located at Yelhanka and R&D centre is located in
Bengaluru.
Jubilant Life Sciences Limited (formerly Jubilant Organosys Ltd) is an integrated

pharmaceuticals and life sciences company. The company is the largest Custom Research and
Manufacturing Services (CRAMS) company and provides leading drug discovery &
development solutions outside India.
Jubilant has a manufacturing facility in Nanjangud, with around 625 employees.
GlaxoSmithKline Pharmaceuticals Ltd was established in 1924 and is one of the oldest
pharmaceutical companies in India.
The companys revenue was about US$ 438.5 million in 2013 (year ending December 2013).
GSK India product portfolio includes prescription medicines and vaccines. The company has a
clinical development centre in Bengaluru.
The engineering industry in Karnataka has positive

prospects, given its performance.
In 2013-14, the export of engineering products stood at US$
3.0 billion.
Exports include machine tools, industrial machinery, cutting

tools, castings, automotive components, electrodes, welding
equipment, construction and earthmoving equipment, and
helicopter spares.
Numerous engineering exporters are based in Bengaluru,
Hubli, Mysore, Belgaum, Mangalore, and Shimoga.
A 300-acre SEZ has been created in Belgaum to develop a
precision engineering and manufacturing supply chain
ecosystem, which would be a great driver for manufacturing
industries.
Bharat Earth Movers Limited, Hindustan Machine Tools
Limited and Bharat Heavy Electricals Limited are among the
leading companies in this sector in the state.
Bharat Earth Movers Limited (BEML)

Hindustan Machine Tools Limited (HMT)
Bharat Heavy Electricals Limited (BHEL)
Saint-Gobain India
Source: VITC-NCTI Trade Info,

Visvesvarya Trade Promotion Centre
BEML Limited
HMT Ltd
BHEL
Saint-Gobain India
BEML Limited (formerly Bharat Earth Movers Limited) was established in 1964. BEML
manufactures a wide range of earth moving and other heavy industrial equipment for the mining
and civil engineering industries.
BEML has a registered office in Bengaluru and units in Kolar Gold Fields, Mysore and
Bengaluru. The company achieved revenues of US$ 481.7 million in 2013-14.
HMT was established in 1953. The company manufactures various types of machine tools
including watches, tractors, printing machinery, metal forming presses, die casting & plastic
processing machinery, CNC systems & bearings.
HMT has a manufacturing plant in Bengaluru.
Bharat Heavy Electricals Ltd (BHEL) is the largest engineering and manufacturing enterprise in
India in the energy-related/infrastructure sector. The company has 16 manufacturing divisions,
two repair units, four regional offices, eight service centres, eight overseas offices and 15
regional centres.
BHEL has an electronics division at Bengaluru. The company generated revenues of US$ 6.6
billion in 2013-14.
Saint-Gobain India was established in India in 1996. The group comprises eight manufacturing
companies in India for various products ranging from glass to engineering products.
The company has a manufacturing plant in Bengaluru.
Karnataka is a leading state of the country in electronics

and telecommunication.
The state has high-end research and development
organisations such as Indian Institute of Science, Cosmic
Industrial Laboratories Ltd, Indian Space Research
Organisation (ISRO), CSIR Centre for Mathematical
Modelling and Computer Simulation (CMMACS), National
Aerospace Laboratories, Centre for Soft Matter Research
and John F. Welch Technology Centre.
Karnataka has excellent telecom infrastructure with 140 of
170 towns connected by Optic Fibre Cables (OFC) network.
Bengaluru district is the major hub of the electronics and
telecommunications industries. The other districts of
Hassan, Tumkur, Mysore, Mangalore and Shimoga are the
new destinations for promotion of electronics and hardware
industries.
The state houses global giants such as Sanyo, AT&T,
Siemens, GE, Motorola, Sony and Alcatel as well as
national heavyweights such as BPL Limited and Indian
Telephone Industries Limited.
Bharat Electronics Ltd

Nokia
Siemens
Philips Electronics India Ltd
Source: Department of Industries and Commerce
Bharat Electronics Ltd
Bharat Electronics Limited (BEL) was incorporated in 1954 and is a multi-product, multi-unit,
multi-technology company. Products manufactured by BEL are mainly categorised as
systems/turnkey solutions, defence and non-defence products.
The company has a manufacturing unit in Bengaluru. It achieved revenues of US$ 1.1 billion in
2013-14.
Nokia
Siemens
Philips Electronics
India Ltd
Nokia is among the world leaders in mobile technology. The company started its India
operations in 1995. India holds the distinction of being the second largest market for the
company globally.
The company has an R&D facility and a design studio in Bengaluru.
Siemens set up operations in India in 1957. The Siemens Group in India is a unique player in
the field of electrical and electronics engineering. The Group employs approximately 10,933
people and has 23 manufacturing facilities in India. Siemens has several offices in Bengaluru.
The company generated revenues of US$ 1.8 billion in 2013-14 (year ending September).
Philips has been operating in India for more than 75 years. The company is a leader in
consumer electronics, healthcare and lighting systems. Philips employs more than 4,500 people
in India.
The company has an R&D facility Philips Innovation Campus in Bengaluru.
Karnataka has a vibrant auto industry with investments of

around US$ 713.0 million and annual revenues of US$
604.0 million.
The state is the fourth largest state in India in terms of
automotive production. The main locations for automobile
industries are Bengaluru, Ramanagara, Kolar, Shimoga,
Dharwad and Belgaum.
General Motors Technical Centre, located in Bengaluru, is
actively involved in research, design, analysis and
development of vehicles and powertrains for foreign
destinations as well as the domestic market.
Toyota, Volvo, Tata Marcopolo and TVS Motors have set up
vehicle manufacturing units in Karnataka, which has led to
the growth of ancillary units involved in manufacturing tyres,
bearings and other auto spare parts.
The state has three auto clusters, one industrial valve
cluster and one auto component cluster. Two manufacturing
hubs are coming up in Narsapur and Vemagal Industrial
Areas in Kolar District.
The government is in the process of announcing a
Dedicated Automobile Policy.
The sector attracted US$ 2.0 billion* of investments during

the Global Investors Meet 2012.
In September 2013, Bosch (German auto component
manufacturer) announced an investment of US$ 240 million
over the next seven years in Bangalore for expanding its
manufacturing and R&D capacities.
Hero Motor Corp will set up a production unit near Dharwad
at a cost of US$ 240.5 million and plans to manufacture 1.8
million two-wheelers per annum from the unit.
As per the final draft of Karnataka Industrial Policy 2014-19,
the state would study the feasibility of setting up major Auto
Parks at Dharwad, Kolar and Bidadi in Ramanagara district;
and smaller Auto Parks in Belgaum, Shimoga, Mysore and
Gulbarga.
Toyota Kirloskar
Volvo India
TVS Motor Company
Delphi Automotive Systems Pvt Ltd
Source: Global Investors Meet 2012
*At 2011-12 rates
Toyota Kirloskar
Toyota Kirloskar is a joint venture between Kirloskar group and Toyota Motor Corporation.
The company has manufacturing facilities at Bidadi.
Volvo India
TVS Motor Company
Delphi Automotive
Systems Pvt Ltd
Volvo India has a state-of-the-art bus manufacturing unit near Bengaluru. Globally, the Volvo
Group has about 115,000 employees, production facilities in 19 countries, and sales activities in
more than 190 countries.
The company has increased its capacity to around 1,500-1,700 buses per annum in 2013-14
from 1,100 buses per annum earlier.
Volvo India plans to invest US$ 161.6 billion to set up a truck and bus manufacturing facility in
Malur, Kolar.
TVS Motor Company is one of the largest two-wheeler manufacturers in India. The company is
the flagship company of the TVS Group. TVS Motor has four manufacturing plants across India
including Mysore. The company achieved a turnover of US$ 1.4 billion in 2013-14.
Delphi India was incorporated in 1995 as a wholly owned subsidiary of Delphi. The company is
a leading global supplier of electronics and technologies for automotive, commercial vehicles
and other market segments.
Delphi India has a technical centre in Bengaluru, which is the largest technical centre outside
the US.
Karnataka is one of the leading producers of cotton, silk and

wool, which are the key raw materials required for textile
manufacturing units. The state produces 65.0 per cent of
Indias silk.
Karnataka is a major apparel sourcing destination for the
global market. The state accounts for 20.0 per cent of the
national garment production.
The state hosts over one million power looms.
There are approximately 0.38 million manufacturing units
engaged in the textiles and garments sector at the
organised and unorganised level.
Karnataka has 105 skill development centres and 240
private training centres funded by the Department of
Handloom.
In October 2013, the cabinet of Karnataka approved the
New Textile Policy 2013-18.
The Textile Policy offers various incentives for investments
in the textile sector; these include credit linked capital
subsidy, entry tax reimbursement and power subsidy.
The sector has potential for growth. Karnataka has an

apparel park at Dodaballapur near Bengaluru and other
mega textile parks in the other parts of the state.
The state plans to develop a 230-acre textile SEZ in

Hassan; dedicated apparel zones in Bengaluru Rural,
Tumkur, Kolar, Mandya, Belgaum, Bidar, and Dharwad; and
a Silk City in Bengaluru.
Bengaluru houses reputed international companies such as
Nike (India head office), Tommy Hilfiger (operated by Arvind
Murjani brands in Bangalore, India) and GAP (operates
through a liaison office, GAP International Sourcing India
Pvt Ltd).
Gokaldas Exports Limited

Karnataka Silk Industries Corporation (KSIC)
Himatsingka Seide
Shahi Exports Private Limited
Source: VITC-NCTI Trade Info, Global Investors Meet 2012
Gokaldas Exports Ltd
KSIC
Himatsingka Seide
Shahi Exports Pvt Ltd
Gokaldas is one of the largest garment exporters in the country. The company commenced
operations in 1979. In 2013-14, the company generated revenue of US$ 190.3 million.
Headquartered in Bengaluru, the company has 30 factories across India. Gokaldas employs
around 28,000 people and has a manufacturing capacity of 2.5 million garments per month.
Karnataka Silk Industries Corporation (KSIC) is a Government of Karnataka enterprise and is a

leading manufacturer of silk.
The company has two modern factories in T. Narasipura & Mysore, which are engaged in
manufacturing silk goods from raw silk yarn to silk fabrics.
Himatsingka Seide, incorporated in 1985, is a Bengaluru-based company dealing in natural silk

fabric.
The companys focus area is textile designing and manufacturing. Himatsingka Seide has a
spinning division as well as a weaving division. The companys brand Atmosphere is Indias first
luxury home textile brand, with an exclusive collection of more than 2,500 products and an
installed capacity of 25 million meters per annum.
Shahi Exports is among the top home furnishing exporters in the country. The company began
operations in 1974 in Delhi and started manufacturing in Bengaluru in 1988. Shahi Exports has
manufacturing facilities in Delhi, Bengaluru, Salem and Tirupur
Coffee exports from Karnataka (US$ million)
Karnataka, with a good agricultural base including various

food crops, offers immense scope for the development of
food processing industries.
659
CAGR:
18.4%
325
342
2007-08
2008-09
Karnataka is the largest producer of coffee and cocoa in the

country.
651
597
479
300
Government of Karnataka had approved the establishment

of food parks in six districts: Bengaluru rural, Tumkur,
Shimoga, Davangere, Bijapur and Belgaum. These parks
are in advanced stages of implementation.
A spice park is proposed to be developed at Byadagi in
Haveri district.
2013-14
2012-13
2011-12
Most of the civil infrastructure work has been completed in

Malur, Hiriyur, Bagalkot and Jewargi food parks, which had
been approved by Ministry of Food Processing Industries,
Government of India.
2010-11
The state is one of the leading producer of flowers, spices,

fruits and vegetables.
2009-10
The state accounts for around 69.3 per cent of the countrys
total coffee production. In 2013-14, coffee production in the
state was estimated to be at around 211,100 metric tonnes.
Hindustan Unilever Limited

Nestle India
Britannia Industries Limited
United Breweries Group

Visvesvarya Industrial Trade Centre, Global Investors Meet 2012
Hindustan Unilever Ltd
Nestle India
Nestle has been in India for almost a century, with seven production facilities across the
country, including one at Nanjangud, Karnataka. The company produces chocolates and
confectionaries, prepared dishes and cooking aids, beverages and milk products and nutritional
supplements. The company recorded revenues of US$ 1.6 billion in 2014 (year ending
December).
Britannia Industries Ltd
Britannia is a leading food processing company in India. The company manufactures food
products such as biscuits, cheese and bread. Based in Bengaluru, the company had a revenue
base of US$ 1.2 billion in 2013-14.
United Breweries Ltd
Hindustan Unilever Limited (HUL) is India's largest fast-moving consumer goods (FMCG)
company, with leadership in home & personal care products and foods & beverages. The
company recorded revenues of US$ 4.7 billion during 2013-14. HUL employs more than 16,000
people nationwide.
The company has a manufacturing plant and an R&D centre at Bengaluru.
United Breweries Limited (UBL) is a flagship company of the UB Group. The company is also
referred to as the beer division of the UB Group and is based in Bengaluru. UBL recorded a net
turnover of US$ 701.7 million in 2013-14.
The company has around 2,489 employees and manufactures products primarily under the
Kingfisher, London Pilsner and UB Premium Ice brands.
Karnataka produces more than a quarter of Indias aircrafts

and spacecrafts.
Around 984 acres of land is earmarked for an exclusive
industrial area and sector-specific SEZ for aerospace
industries near Bengaluru International Airport.
Boeing
Hindustan Aeronautics Limited
Airbus Engineering Centre
BEML Ltd
Indias first aerospace SEZ of 300 acres is operational at

Belgaum.
Karnataka Aerospace Policy has identified an investment
potential of US$ 12.5* billion in this sector during 201323
and plans to develop aerospace clusters in different regions
of the state.
Companies such as Air India, Boeing and Jupiter
Aerospace have selected Karnataka for the development of
MRO facilities.
The state government plans to develop an aerospace park
spread over 1,000 acres near the Bengaluru International
Airport (BIAL) with an investment of US$ 1.7 billion, with the
intention of attracting global and domestic players in the
Indian aerospace industry.
Source: Global Investors Meet 2012, MRO India, NRI

Forum Karnataka, Karnataka Aerospace Policy 2012
Ministry of Civil Aviation, India
*At 2011-12 rates
Boeing
HAL
Airbus
BEML Ltd
In India, Boeing is represented through its wholly owned subsidiary, Boeing International
Corporation India Private Limited (BICIPL).
Boeing established its first R&D centre in India the Boeing Research & Technology Centre
in Bengaluru in 2009. The centre develops high-end technology solutions, particularly in the
areas of aero structures and avionics.
Hindustan Aeronautics Limited (HAL) is ranked 40th in Flight International's list of the Worlds
Top 100 aerospace companies in 2008.
HAL has 19 production units and nine research and development centres in seven locations
across India; of which, eight production units and four R&D centres are located in Bengaluru.
Airbus industrial cooperation with India began in 1988 when an agreement was reached with
Hindustan Aeronautics Limited (HAL) to manufacture passenger doors for the A320 aircraft.
Specialising in high-tech aeronautical engineering, the Airbus Engineering Centre works handin-hand with other Airbus engineering offices around the world, as well as with the Indian
aviation industry.
Bharat Earth Movers Limited (BEML), a Miniratna-Category-1, plays a pivotal role and serves
Indias core sectors such as defence, rail, power, mining and infrastructure.
BEML is involved in the manufacturing of aircraft components/assemblies and MRO activities
related to aerospace applications.
Source: Global Investors Meet 2012, KUM Karnataka, Airbus, BEML Ltd
In 2012, the state had more than 25,000* students in the

AVGC-related field. The state has 20 institutes imparting
AVGC-related training to more than 10,000 students.
Major suppliers to the industry such as HP, AMD, NVIDIA

and Microsoft are located in Bengaluru.
Technicolor
TATA Elxsi
Zynga
DreamWorks
There has been a considerable increase in AVGC business

outsourcing to Bengaluru.
A great deal of content for global blockbuster animation
movies such as Life of Pi, Harry Potter, Kung Fu Panda,
Prometheus and Pirates of the Caribbean was developed in
Karnataka.
There is a plan to set up AVGC parks similar to the SEZ
model. A plan has been formulated to set up a venture
capital fund and a centre of excellence to provide common
resources for IP creation.
An adequate extent of land is to be earmarked for the
AVGC sector in the proposed Integrated Information
Technology Investment Region (ITIR) near Bengaluru
International Airport.
Source: PwC Report estimates, Karnataka AVGC Policy

*Forecasted, AVGC: Animation, Visual effects, Gaming and Comics
Technicolor
Tata ELXSI
Technicolor is a worldwide technology leader in the media and entertainment sector with
revenues of approximately 3.5 billion in FY2013 (January to December).
Technicolor India offers world-class design and production services in animation and visual
effects for motion pictures and television broadcast productions.
Technicolor has been operating in India since 2007 and employs about 1,238 people.
Tata Elxsi is a listed company and is headquartered in Bengaluru.
The company is a global design company and offers key services including embedded product
design, industrial design, animation & visual effects and systems integration.
The company recorded revenues of US$ 128.5 million in 2013-14.
Zynga Inc
Zynga Inc is the world's leading provider of social gaming services with more than 240 million
monthly active users playing its games, which include CityVille, Zynga Poker and Scramble with
Friends.
Zynga's Bengaluru centre, started in 2010, has rapidly expanded to become the company's
second largest operation in the world after its San Francisco centre.
DreamWorks
DreamWorks Animation creates high-quality entertainment, including CG animated feature

films, television specials and series and live entertainment properties.
DreamWorks Animation has been named one of the 100 Best Companies to Work For by
FORTUNE Magazine for four consecutive years.
The company has theatrically released a total of 25 animated feature films, including the
franchise properties of Shrek, Madagascar, Kung Fu Panda and How to Train Your Dragon.
Source: Technicolor, TATA Elxsi, Zynga, DreamWorks
Eighty of the 120 companies engaged in chip designing in

India are located in Karnataka.
The state has the advantage of having low-cost
skilled/technical manpower compared with other states.
Bengaluru is a global hub for R&D activity in the software
industry, which will greatly aid the electronic hardware
industry.
The ESDM (Electronic System Design & Manufacturing)
Policy is expected to provide for development of three
ESDM innovation centres that will provide complete
infrastructure with the requisite design tools.
ESDM Policy also plans to set up seven high-class ESDM
Manufacturing Clusters (EMC) to provide infrastructure
support including electronic manufacturing services and
component manufacturing by 2020.
In October 2013, the Karnataka government announced to
have a separate single-window agency to approve all
projects, and IT and electronic hardware projects
established in tier II and III cities.
As per the policy, by 2020, ESDM sector is expected to

generate turnover of US$ 400 billion, including exports to
the tune of US$ 80 billion, with an investment of US$ 100
billion.
In February 2014, the central government gave its inprinciple approval for setting up the first ESDM cluster
development in Electronics City, Bangalore.
Intel
AMD
Qualcomm Inc
Nvidia
Source: Department of Electronics and Information Technology, GoI,

Department of IT, BT and S&T, Karnataka,
ESDM Policy 2013, Karnataka
Intel
AMD
Intel, headquartered in Santa Clara, is the worlds largest and highest valued semiconductor
chip maker based on revenue.
The Intel India Development Centre is a critical engineering design and development centre for
key Intel products across CPUs, graphics, platforms and software with strong IT expertise and
factory automation.
Intel Technologies India plans to invest US$ 120 million for its R&D centre in India.
AMD India plays a significant role in the design of microprocessors, AMDs family of Accelerated
Processing Units (APU), SoCs, graphics and media solutions.
AMD has two design centres in India located in Hyderabad and Bengaluru.
Qualcomm Inc
NVIDIA
Qualcomm Incorporated is an America-based global semiconductor company that designs,

manufactures and markets digital wireless telecommunications products and services.
Qualcomm India Private Limited established its India operations in 1996 and has R&D centres
in Bengaluru and Hyderabad.
Nvidia manufactures Graphics Processing Units (GPUs) as well as System-on-a-Chip units
(SOCs) for the mobile computing market.
Nvidia established its design centre in Bengaluru in 2005. The centre includes a state-of-the-art
facility and data centre that facilitates top-to-bottom designing of advanced graphics and digital
media processors for a wide range of platforms.
Source: Intel, AMD, Qualcomm Inc, Nvidia
The sector contributes 15 per cent to GSDP of Karnataka;

plans are afoot to expand to 25 per cent by 2020.
The central government approved US$ 7.5 million for phase
one of the project Coastal Karnataka Tourism Circuit for
developing coastal tourism in the state. The overall cost of
the project is expected to be US$ 82.9 million covering 140
beaches.
2013
38.4
37.5
33.0
38.5
2007
2008
2009
2010
36.7
2006
The state attracted 98.0 million domestic tourists and 0.6

million international tourists in 2013. Tourist arrivals have
increased at a CAGR of 18.6 per cent during 20052013.
25.2
2005
Karnataka has World Heritage Sites at Hampi and

Pattadakal. Good infrastructure in the form of better road
and rail connectivity as well as improving hospitality is also
aiding tourism.
98.6
84.7
CAGR:
18.6%
The Palace on Wheels of South India the Golden Chariot

Train tour has been rated by Vanity Fair, UK, as among
the top seven train journeys in the world.
94.7
2012
Number of tourist arrivals in Karnataka (million)
2011
Karnataka boasts of a diverse flora and fauna and a 320-km

natural coast line, which makes it a nature tourist's
paradise. The state is ranked fourth in terms of the number
of tourist arrivals in India.
Source: Global Investors Meet 2012, Department of Tourism, Karnataka,

Ministry of Tourism, Government of India, Business Standard
Major attractions
Karnataka is Indias most preferred destination for advanced medical care, and is referred
to as the medical tourism hub of India.
The state has the highest number of approved health systems, multi-specialty health
centres and alternative health therapies in India.
Medical tourism
Karnataka represents wide variations in topography high mountains, hills and long
coastal stretches.
The state has five national parks, 26 wild life sanctuaries, pelicanries, heronries and
elephant camps.
Eco tourism
Karnatakas geography provide a vast spectrum of diverse attractions, making it a heaven

for adventure sports and outdoor activities.
Major attractions include white water rafting on the Kali river and aero sports at the Nandi
hills.
Adventure tourism
Source: Visvesvarya Industrial Trade Centre, Global Investors Meet 2012
Renewable energy contributes nearly 25.0 per cent of the states installed power capacity.
Karnataka is endowed with high renewable energy potential such as wind, hydro, solar, tidal and geothermal energy
resources.
The renewable energy potential for the state is estimated at 29.6 GW, primarily from wind, solar, small hydro, co-generation
and biomass sectors.
The government has allotted projects of 18,664.6 MW, amounting to nearly 63.0 per cent of the total potential.
Through the Renewable Energy Policy, the state plans to set up renewable energy economic zones by procuring 10.0 per
cent of the land of SEZs and dedicating it for renewable energy.
The policy also mandates to keep aside 10.0 per cent of barren government land for renewable energy.
No
Renewable energy
source
Renewable energy potential

(MW)
Capacity allotted
(MW)
Capacity commissioned
(MW)
Wind
13,983
12,890.4
2,595.8
Small hydro
3,000
2,919.4
768.7
Biomass
1,000
370.0
113.0
Co-generation
1,500
1,677.4
1,144.6
Municipal solid waste
135
25.5
Solar grid
10,000
782.0
74.0
Grand total
29,618
18,664.6
4,696.1
Source: KREDL, Central Electricity Authority, Karnataka Renewable Energy Policy

http://kredlinfo.in/reprogressreport.aspx
Wind energy
Karnataka wind energy density map
Karnataka has the largest wind energy potential of 13,983

MW in India.
Currently, new projects with a capacity of more than 7,000
MW are at different stages of implementation and projects
of 2595.8 MW of capacity have been commissioned; this
provides a huge opportunity to harness the untapped
potential of the market.
Wind velocity in the state ranges from 0.85 m/s to 8.27 m/s.
Potential areas for wind power plants in the state include

Chitradurga, Gadag, Chikmaglur, Bellary, Davangere,
Koppal, Bijapur, Bagalkot and Belgaum.
Wind power
density W/Sq m
0 100
100 200
200 250
Karnataka is counted among the top five destinations for

wind energy in India.
250 300
300 400
400 500
Source: Centre for Wind Energy, Chennai,

KREDL: http://kredlinfo.in/reprogressreport.aspx
Solar energy
Karnataka solar resource map
The state has a solar energy potential of 10,000 MW.

Karnataka Solar Policy 2014-2021 plans to add solar
generation of minimum 2,000 MW by 2021.
Of the total allocated capacity of 782 MW, capacity of up to
74 MW has already been commissioned.
Many districts, especially coastal areas, receive solar
radiation in the range of 5.1-6.4 kWh/m2 during summer,
which is best suited for solar PV projects.
The central governments policy mandates that solar energy

consumption should increase to 3.0 per cent of the total
consumption by 2022, up from the present requirement of
0.25 per cent.
Karnataka is the only state to have supported solar projects
under the REC (Renewable Energy Certificate) mechanism.
In January 2015, SunEdison signed an MOU with
Karnataka government to develop 5 GW of renewable
energy projects in the state in the next five years.
Source: Karnataka Solar Policy 2014-21, Global Investors Meet 2012, SolarGIS
Agency
Department of
Industries and
Commerce
(DIC)
Karnataka Udyog
Mitra
(KUM)
Description
Contact information
Anchor department for development/establishment of

industries in Karnataka.
Responsible for formulating

industrial policies in the state.
Single contact point for investors in the state
Considers/forwards proposals to concerned agencies

and communicates status to investors.
Monitors implementation of approved projects.
Single point of contact for information on various

aspects including land availability, statutory
approvals and coordination.
and
implementing
No 49, South Block, Khanija Bhavan

Race Course Road
Bengaluru - 560 001
Phone: 91-80 2238 9901-08
Fax: 91-80-2238 9909
E-mail:
commissioner@karnatakaindustry.gov.in
Website: www.karnatakaindustry.gov.in
No 49, South Block, Khanija Bhavan

East Entrance, Race Course Road
Bengaluru - 560 001
Phone: 91-80-2228 2392/5659,
Fax: 91-80-2226 6063
E-mail: md@kumbangalore.com
Website: www.kumbangalore.com
Agency
Description
District Level Single Window

Clearance Committee (DLSWCC)
Functions under the chairmanship of respective Deputy Commissioners for

industrial projects for investments less than US$ 0.65 million.
State Level Single Window

Clearance Committee (SLSWCC)
Functions under the chairmanship of Minister for Large and Medium Industries
for investments that range between US$ 0.6510.9 million.
State High Level Clearance

Committee (SHLCC)
Functions under the chairmanship of the Chief Minister for projects involving
investment of more than US$ 10.9 million.
Nodal agencies for approval of projects at the district level.
Primary focus is to promote small scale, village and cottage industries.
Various sector specific departments such as Department of Tourism, Department

of Information Technology and Biotechnology, Department of Food Processing,
Department of Textiles and Department of Mines and Geology.
District Industries Centres
Other departments
List of approvals and clearances required
Departments to be consulted
Prior to setting up the unit

Registration
Department of Industries and Commerce Department, Karnataka

Udyog Mitra (Single Window Agency)
Allotment of land/shed
Permission for land use
District Authorities
No objection certificate under Water and Air Act
Karnataka State Pollution Control Board
Approval for construction activity and building plan
Development Authority/Urban Local Body
No objection certificate
Fire Department and Directorate of Factories and Boilers
Provisional trade tax registrations
Central and State Excise Departments
Registration under Central Sales Tax Act
List of approvals and clearances required
Departments to be consulted
Before commencement of production

No objection certificate under Water and Air Act
State Pollution Control Board
No objection certificate
Fire Department and Directorate of Factories and Boiler
Permanent Trade Tax registration
Registration under Central Sales Tax Act, 1956
After commencement of production/activity

Registration
Department of Industries and Commerce and respective sector

departments such as IT/BT/Tourism etc.
Stage 1 Clearance of the project/industry
State Level Single Window Agency

(Large/mid-size industries US$ 0.65
10.9 million)
Stage 2 Clearance
High Level Clearance Committee

(Mega industries > US$ 10.9 million
KIADB
(Land acquisition)
Karnataka Udyog Mitra

(Department of Industries and Commerce)
Other sector-specific
departments
KSPCB
(Pollution Board)
KPTCL
(Electricity)
Inspectorate of
Factories and
Boilers
Commercial tax
District Industries
Centre
(Tiny industries < US$
0.65 million)
Investor
Land conversion
BWSSB/KUWSDB
(Water supply)
Source: Karnataka Udyog Mitra, Karnataka Industrial Areas Development Board and Department of Industries & Commerce
Cost parameter
Industrial land (per sq ft)
Power cost (per unit)
Labour (minimum wage per day)
Water (per kilolitre)
Cost estimate
US$ 3.6 to US$ 124.4
Commercial and Industrial: US 7.9 cents to US 9.7 cents
US$ 2.2 to US$ 5.4

Bengaluru Metropolitan Area:
Non-domestic: US 59.7 cents to US 99.5 cents
Industries: US 99.5 cents
Source: Industry sources, Ministry of Labour and Employment, Government of India,

Bengaluru Water Supply and Sewerage Board, Karnataka Electricity Regulatory Commission
Solar Policy 2014-21
Objectives
To add solar generation of at least 2,000MW by 2021 in a phased manner.

To encourage PPP model and R&D and innovation in the sector.
To promote Roof Top Generation and Technologies.
To transform Karnataka into an investor friendly state.
Read more
ESDM Policy 2013

Objective
To facilitate, promote and develop the ESDM sector in Karnataka and make Karnataka a
preferred destination for investment in this sector.
Read more
Aerospace Policy 2012

Objectives
To position Karnataka as a vibrant aerospace hub of Asia and a globally recognized aerospace
destination by enabling the environment for holistic and sustained growth of the aerospace sector.
Increase the contribution of the aerospace sector towards enhancing the share of industry in the
states GSDP from 28.0 per cent to 32.0 per cent by 2022.
Read more
AVGC Policy 2012
Objective
Encourage and support appropriate manpower development, infrastructure development and

business development in the AVGC sector.
Read more
Information and Communication Technology Policy 2011

Objectives
To maintain Karnatakas leadership in outsourced IT services.

To retain Karnatakas position as the state with the largest skilled workforce in India for IT
services, products and R&D.
To enable Karnataka to be the most preferred destination for MSMEs (micro, small and medium
enterprises).
Read more
Integrated Agribusiness Development Policy 2011

Objective
To position Karnataka on a sustained growth path in the field of agricultural and allied sectors
through global technologies and innovative tools by creating enabling frameworks and state-ofthe-art infrastructure facilities, thereby generating higher returns for farming communities.
Read more
Karnataka Renewable Energy Policy 2009-14
Objectives
Development, propagation and promotion of renewable energy resources and technologies.

Creation of a suitable environment for private sector participation in renewable energy power
generation.
Read more
Karnataka Industrial Policy 2014-19

Objective
To make Karnataka the most preferred investment destination through inclusive, sustainable and
balanced growth.
Read more
Karnataka Tourism Policy 2014-19

Objective
To develop Karnataka as a dynamic, sustainable and most-favoured tourism destination by

increasing domestic & international visitations, offering high quality experience to visitors,
facilitating and accelerating investments and improving livelihood opportunities at the local level.
Read more
State Policy for Special Economic Zones 2009
Objective
To facilitate and expedite establishment of SEZs, at the same time safeguarding the environment
and the interests of land owners.
Read more
Millennium Biotech Policy II 2009

Objective
To increase the quality of human resources by supporting education and research institutions like
the Institute of Agri-Biotechnology (IABT), the Institute of Bioinformatics and Applied
Biotechnology (IBAB), the Centre for Human Genetics (CHG) and BT finishing schools; to create
specific infrastructure such as focused biotech parks in the areas of agriculture, marine biotech
and animal husbandry; to provide specific fiscal incentives.
Read more
Karnataka Mineral Policy 2008
Objectives
To optimise the states geological potential by scientific and detailed prospecting. State-of-the-art
techniques will be encouraged by combining the resources of the private and public sectors.
To resolutely pursue the policy of preserving flora, fauna, and bio-diversity and ensure that the
invaluable forest wealth is safeguarded while granting mineral concessions.
To promote transparency in granting mining concessions. The applicants who propose
establishment of industries for value addition within the vicinity of the mineral bearing areas will
be given priority.
Read more
Suvarna Vastra Neethi 2008-13 (Textile Policy)
Objectives
To achieve balanced, higher and sustainable growth in the entire textile value chain.
To facilitate emerging units in critical areas such as production technology, market research, and
development for exploiting global and domestic trade opportunities.
Read more
Infrastructure Policy 2007

Objective
To provide a fair and transparent policy framework for facilitating economic growth and
encouraging PublicPrivate Partnerships (PPP) in infrastructure.
Read more
Average exchange rates
Year
INR equivalent of one US$
2004-05
44.81
2005-06
44.14
2006-07
45.14
2007-08
40.27
2008-09
46.14
2009-10
47.42
2010-11
45.62
2011-12
48.13
2012-13
54.31
2013-14
60.28
2014-15*
60.6
*Average for three quarters
India Brand Equity Foundation (IBEF) engaged Aranca to prepare this presentation and the same has been prepared
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6th largest state in terms

of GDP size in 2013-14

Vibrant industrial base

One of the preferred

Vast natural resource

Karnataka has 43 universities, 4,676 pre-university colleges, 210* engineering colleges

Contributes 7 per cent

Source: Indian Minerals Yearbook 2014, Global Investors Meet 2012,

Rich talent pool

GSDP expanded at a CAGR of

Karnataka is termed as the

Well-developed social, physical

Wide range of fiscal and policy

Source: Karnataka Udyog Mitra, Planning Commission Databook 201314,

Build infrastructure to boost

Increase rural incomes

Develop the state as a vibrant

Improve access and

Preserve and promote

Better governance through

Build and sustain Bangalores

Enhance opportunities and

Source: State Planning Department

Some of the prominent cities in the state are Ankola,

Karnataka is located in the southern region of India. The

Geographical area (sq km)

Administrative districts (No)

Population density (persons per sq km)

Total population (million)

Sex ratio (females per 1,000 males)

Literacy rate (%)

Male literacy rate

Female literacy rate

Source: Economic Survey of Karnataka 2013-14, Census 2011

GSDP as a percentage of all states GSDP

Planning Commission Databook, 201314,

GSDP CAGR (%)*

Planning Commission Databook, November

Planning Commission Databook, December

Central Electricity Authority, as of January 2015

Wireless subscribers (No)

Telecom Regulatory Authority of India, as of

Broadband subscribers (No)

Telecom Regulatory Authority of India, as of

National Highway length (km)

National Highway Authority of India

Major and minor ports (No)

Indian Ports Association

Airports Authority of India

Per capita GSDP (US$)

Literacy rate (%)

Planning Commission Databook, June 2014

Birth rate (per 1,000 population)

SRS Bulletin (www.censusindia.gov.in),

FDI equity inflows (US$ billion)

Department of Industrial Policy & Promotion,

Outstanding investments (US$ billion)

PPP projects (No)*

Notified SEZs as of 5th December 2014,

The average GSDP growth rate between 2004-05 and

GSDP of Karnataka at current prices (US$ billion)

At current prices, the Gross State Domestic Product

Growth has been mainly driven by secondary and tertiary

Source: Planning Commission Databook, October 2014