Maharashtra signs MoUs worth Rs4.8 trillion at Magnetic Maharashtra summit

Mumbai: Maharashtra signed investment commitments worth around Rs4.85 trillion with a number of global and domestic companies on Monday, the second day of the Magnetic Maharashtra Global Investors Summit. Chief minister Devendra Fadnavis said the state was likely to exceed its target of signing memoranda of understanding (MoUs) worth Rs10 trillion.

Ahead of the three-day summit, the state had set a target of signing nearly 4,000 MoUs that would create 3.5 million jobs. On Monday, the state entered into 36 agreements which would create around 2.9 million jobs.

The MoUs signed on Monday include one between the Pune Metropolitan Region Development Authority (PMRDA) and Virgin Hyperloop One (Virgin Group) to develop hyperloop connectivity between Mumbai and Pune at an investment of Rs40,000 crore, creating 13,000 jobs.

“Looking at the overwhelming response, we are likely to sign investment commitments worth Rs12 trillion by the end of the investors’ summit. What is particularly remarkable about the MoUs that we have signed today is that many of the investors have chosen to put their money in the industrially backward tier III places like Nandurbar in North Maharashtra, Nanded and Parbhani in Marathwada, and Wardha in Vidarbha,” Fadnavis said in an informal chat after signing of the MoUs.

“We have some substantial agreements in the defence and aerospace sector in Pune, Nagpur, Nashik, and Ahmednagar. On the other hand, there are marque investment like the Hyperloop agreement with Virgin Group, future industry proposals like electric vehicles plant Lamborghini is setting up with Kinetic at Supe near Ahmednagar,” the chief minister said.

He added that South Korean company Hyosung had agreed to sign an MoU with the Maharashtra Industrial Development Corporation (MIDC) to develop a textile township near Shendra in Aurangabad. “This would be the first FDI (foreign direct investment) in Delhi-Mumbai Industrial Corridor,” he said.

In addition to this, Reliance Industries Ltd (RIL) chairman Mukesh Ambani and Mahindra Group chairman Anand Mahindra announced their investment commitments on Sunday. Ambani said RIL would invest Rs60,000 crore over 10 years in an integrated industrial area to establish convergence of physical, digital, and biological spheres.

Mahindra spoke about plans to set up a film and entertainment destination on Mahindra land in the Kandivali suburb of Mumbai and Rs500 crore in an electric vehicle plant.

In the power sector, Maharashtra signed MoUs with Tata Power Co. Ltd and ReNew Power Ventures Ltd for investments of Rs15,560 crore and Rs14,000 crore, respectively. The Gems and Jewellery Export Promotion Council has signed an agreement to develop a gems and jewellery park in Raigad district for an investment of Rs13,800 crore.

The bulk of investment will come into the affordable housing sector with a number of developers committing an investment of nearly Rs3.75 trillion in building more than 1.6 million affordable houses in the Mumbai Metropolitan Region and near Pune, according to a statement issued by MIDC.

Investment in the affordable housing sector is expected to create around 2.6 million jobs, according to a copy of the agreement signed on Monday.

Niranjan Hiranandani, managing director of the Hiranandani Group, said all these houses would be less than 60 square metres and meet the parameters set under the Pradhan Mantri Awaas Yojana. He said the developers would get incentives as listed by the Maharashtra government in the revised integrated urban area policy.

K. Raheja Developers signed an agreement to develop a warehousing and logistics special economic zone (location not specified) for an investment of Rs4,l850 crore.livemint