Economic Master Plan to Develop Surat City-Region as a Growth Hub by 2047

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Economic Master Plan for Surat Economic Region | i
Economic Master Plan for
Surat Economic
Region
September 2024 Disclaimer
This document presents the Economic Master Plan for the Surat Economic Region (SER). It describes the
growth drivers and roadmap that will steer the region to its goal by 2047.
The datasets used in this document have been derived from various public sources and the inputs
received from the state government. The proposed projects and other key interventions laid out in this
document are based on the consultation held with major stakeholders and detailed market analysis.
The project cost, land area, and locations indicated have been determined based on initial analysis and
stakeholder consultation. The respective implementing authorities will need to adhere to the standard
procedures of feasibility studies while implementing the projects outlined in the report. Maps have been
prepared using multiple sources. Locations of infrastructure and proposed projects are illustrative and
not to scale. All images have been sourced from open platforms. Economic Master Plan to develop
Surat city-region
as a Growth-Hub by 2047
September 2024 Table of Contents
Message by
Honorable Chief Minister
of Gujarat
Foreword by
Chief Secretary, Gujarat
Preface by
CEO, NITI Aayog
Acknowledgement
Program Director, Urban,
NITI Aayog
List of Abbreviations
Key Highlights
Chapter 1
Growth-Hub initiative –
planning for city regions
of the future
Chapter 2
Surat is one of the fastest-
growing cities but SER faces
regional and sectoral disparities
Chapter 3
Vision and targets for SER
Chapter 4
Growth drivers and enablers
Chapter 5
Strategic customized approach
for primary growth drivers
Chapter 6
Developing new avenues of
growth
Chapter 7
Making SER an aspirational region
with a strong support system
Chapter 8
Towards achieving sustainability
of SER
Chapter 9
Making SER livable
Chapter 10
Regulatory & governance
framework to achieve the
transformation of SER
Chapter 11
Conclusion
Project Team
Bibliography
Annexures
i
iii
iv
vi
viii
xii
01
09
17
25
29
85
113
125
137
143
149
153
154
157 Message
Honorable Chief Minister of Gujarat
Economic Master Plan for Surat Economic Region | i ii | Economic Master Plan for Surat Economic Region Foreword
Chief Secretary, Gujarat
Economic Master Plan for Surat Economic Region | iii Preface
CEO, NITI Aayog
iv | Economic Master Plan for Surat Economic Region Economic Master Plan for Surat Economic Region | v vi | Economic Master Plan for Surat Economic Region
Acknowledgement
Program Director, Urban, NITI Aayog viii | Economic Master Plan for Surat Economic Region
Abbreviation Description
AI/ML Artificial intelligence/Machine learning
APEDA
Agricultural and Processed Food Products Export Development
Authority
API Active Pharmaceutical Ingredient
ARAugmented Reality
ASI Annual Survey of Industries
B2B Business-to-Business
B2C Business-to-Consumer
B-leisure Business-leisure
BnBillion
CAGR Compound Annual Growth Rate
CEO Chief Executive Officer
CEPI Comprehensive Environmental Pollution Index
CETP Common Effluent Treatment Plant
CoE Center of Excellence
COP Conference of the Parties
C-PACE Central Processing Accelerated Corporate Exit
CPCB Central Pollution Control Board
DCDistrict Collector
DESH Development of Enterprise and Service Hubs
DFC Dedicated Freight Corridor
DME Delhi-Mumbai Expressway
DMIC Delhi-Mumbai Industrial Corridor
DMO Destination Management Organization
DoE Department of Energy
DREAM City Diamond Research and Mercantile City
EDC External Development Charges
EGM Empowered Group of Ministers
EMP Economic Master Plan
EUEuropean Union
EVElectric Vehicle
FDI Foreign Direct Investment
FIMOI Financial Modelling of Offshore wind in India
FPO Farmer Producer Organization
List of Abbreviations Economic Master Plan for Surat Economic Region | ix
Abbreviation Description
FSI Floor Space Index
FTA Free Trade Agreement
FTWZ Free Trade Warehouse Zone
FYFinancial Year/Fiscal Year
G&J Gems & Jewelry
G2G Government-to-Government
GDDP Gross District Domestic Product
GDP Gross Domestic Product
GHG Greenhouse gases
G-Hub Growth Hub
GIGeographical Indication
GIDC Gujarat Industrial Development Corporation
GIFT City Gujarat International Finance Tec-City
GNFSU Gujarat Natural Farming Science University
GoG Government of Gujarat
GoI Government of India
GPS Global Positioning System
GSRTC Gujarat State Road Transport Corporation
GVA Gross Value Added
HSR High-Speed rail
ICCC Integrated Command & Control Centre
IDC Infrastructure Development Charges
IEC Information, Education, and Communication
IFOAM International Federation of Organic Agriculture Movements
IIGJ Indian Institute of Gems & Jewelry
INR Indian Rupee
IoT Internet of Things
ISEG Institute for Sustainability, Employment and Growth
ITI Industrial Training Institute
IWAI Inland Waterways Authority of India
JAS Japanese Agricultural Standards
JCI Joint Commission International
JNPT Jawaharlal Nehru Port Trust
KPI Key Performance Indicator
KSM Key Starting Material
kWh kilowatt-hour x | Economic Master Plan for Surat Economic Region
Abbreviation Description
LCoE Levelized Cost of Energy
LEZ Low Emission Zone
LGD Lab-grown diamonds
LID Low-impact Development
LNG Liquefied Natural Gas
MCM Million Cubic Meters
MICE Meetings, Incentives, Conferences, and Exhibitions
MMF Man-made Fiber
MMR Mumbai Metropolitan Region
MMTH Multi-modal Transport Hub
MnMillion
MNRE Ministry of New & Renewable Energy
MoHUA Ministry of Housing and Urban Affairs
MPI Multidimensional Poverty Index
MRTS Mass Rapid Transit System
MSME Micro, Small, and Medium Enterprises
MWMegawatt
NABH National Accreditation Board for Hospitals
NAU Navsari Agriculture University
NbS Nature-based Solutions
NCONF National Centre for Organic and Natural Farming
NHNational Highway
NHAI National Highways Authority of India
NITI National Institution for Transforming India
NMT Non-motorized Transport
NPOP National Programme for Organic Production
PCB Pollution Control Board
PCPIR Petroleum, Chemicals and Petrochemicals Investment Regions
PHC Primary Health Center
PLI Production Linked Incentive
PMParticulate Matter
PM MITRA PM Mega Integrated Textile Region and Apparel
PMU Project Management Unit
PPP Public-Private Partnership
R&D Research and development Economic Master Plan for Surat Economic Region | xi
Abbreviation Description
RERenewable Energy
RERA Real Estate Regulatory Authority
RESCOs Renewable Energy Service Companies
RoW Right of Way
RTSOI Responsible Tourism Society of India
S.U.R.E Specifications for urban roads execution
SER Surat Economic Region
SEZ Special Economic Zone
SHPSC State High Power Steering Committee
SIR Special investment region
SMC Surat Municipal Corporation
SME Small, and Medium Enterprises
SOP Standard Operating Procedure
SPV Special Purpose Vehicle
SREDA Surat Regional Economic Development Authority
STP Sewage Treatment Plant
SUDA Surat Urban Development Authority
SWOT Strengths, Weaknesses, Opportunities, and Threats analysis
T&A Textile & Apparel
TnTrillion
TOD Transit-oriented Development
ToR Terms of Reference
UAE United Arab Emirates
UKUnited Kingdom
ULB Urban Local Body
UNDRR United Nations Office for Disaster Risk Reduction
USA United States of America
USD United States dollar
USDA United States Department of Agriculture
WDFC Western Dedicated Freight Corridor
WHO World Health Organization
WRI World Resources Institute
$U.S. Dollar
`Indian rupee xii | Economic Master Plan for Surat Economic Region
1. Introduction – cities as engines of growth 
Cities are regarded as the engines of economic growth, serving as hubs for
innovation, industry, and trade that accelerate national development. However,
efficient urban planning and management are crucial to realizing their true
potential. Urban local bodies (ULBs) should aim for inclusive, sustainable growth
and focus on enhancing the quality of life.
Recognizing the crucial role of urban areas in shaping Viksit Bharat by 2047, the
Hon'ble Prime Minister emphasized during a post-budget webinar in 2023 that
‘… Urban planning will determine the fate of our cities in Amrit kaal and it is
only well-planned cities that will determine the fate of India, …’. 
2. Growth Hub (G-Hub) initiative – A paradigm shift 
The ‘G-Hub Initiative’ proposes a new approach for managing urbanization by
going beyond urban boundaries to a regional approach, center-staging economic
master planning and keeping sustainability and livability at the core of the process.
It marks a pivotal step towards inclusive & sustainable development with a multi-
sectoral approach, promoting cities as mega-growth hubs for the nation.
Instead of a reactive approach toward managing urbanization, this initiative
attempts to introduce a proactive approach with economic strategy as a precursor
to the spatial planning.
Surat was one of the four pilot cities taken up by NITI Aayog under the G-Hub
initiative for the preparation of the Economic Master Plan (EMP).
3. Surat Economic Region – Towards a balanced spatial and sectoral growth 
The Surat Economic Region (SER), comprising six districts in southern Gujarat,
is centrally located between 2 major economic hubs of India, namely Mumbai
and Ahmedabad. Although SER accounts for only 10.8% of the state’s total area, it
generates 25% of the state’s GDP and has a per capita GDP of approx. $4,586 (FY
2023), which is 1.2 times higher than the state average and 1.8 times higher than
the national average.
Although SER boasts of significant economic strength, its growth is uneven,
with the Surat district alone accounting for 62% of the region’s GDP. Additionally,
there is a sectoral concentration, with manufacturing making up over 55% of
the region’s GDP and employing approximately 45% of the workforce. These
disparities highlight the urgent need for strategic economic planning to promote
more inclusive and balanced growth across the region.
4. SER Economic Master Planning – Vision and Targets
At its core, the economic master planning of SER is guided by the
ViksitGujarat@2047 vision of ‘earning well’ and ‘living well’ while aligning with its
growth target for a $ 3.5-4 Tn economy.
Key Highlights Economic Master Plan for Surat Economic Region | xiii
By 2047, SER is projected to grow twentyfold, contributing over 35% of Gujarat’s
GSDP. This accelerated growth is expected to be driven by leveraging the region’s
existing endowments, aligning with global and local market demands and
trends, and benefiting from the positive impacts of ongoing and proposed mega
infrastructure projects. 
5. Strategic Growth Drivers - Assessing the potential and shaping future
growth
Based on extensive stakeholder consultations, in-depth analysis of growth
potential, employment opportunities, and future demand projections, a set of
key growth drivers for the 'earning well' theme has been identified, supported by
complementary 'living well' components.
The roadmap outlined in the EMP, aligned with the state’s goals and vision,
ensures a holistic approach by addressing every facet of the economy, society, and
livability. The plan focuses on nine key growth drivers and is structured on 4 pillars,
viz. (a) sustaining and growing manufacturing through strategic interventions; (b)
promoting the service economy through business & trading; (c) developing new
growth avenues; and (d) creating an enabling ecosystem of lifestyle and learning,
making SER an aspirational city region.
5.1 Sustaining and scaling up manufacturing
Position SER as a global Chemical hub and a major national Pharma hub
SER has a competitive edge in the manufacturing of chemicals and
pharmaceuticals at the national level. The EMP aims to capitalize on this
strength and proposes projects and policies to develop SER into a global
Chemical hub. It also has the potential to become a major national Pharma
hub for which specific interventions have been recommended. The proposal
aims to help achieve global size and scale with value-chain advancement
while managing effectively the consequent environmental implications.
Streamlining the existing manufacturing ecosystem & venturing into high-
value apparel and jewelry segments
SER has a competitive edge in manufacturing Man-Made Fibre (MMF) and
the processing (cutting & polishing) of natural diamonds at the global level.
The EMP proposes to streamline the existing manufacturing ecosystem to
increase productivity. Currently, the Textile & Apparel sector in SER focuses
on low-value--high - volume manufacturing that also contributes to
environmental pollution in the region. Meanwhile, although SER is a global
leader in diamond processing, its presence in high-value segments such as
jewelry (design, manufacturing, retail), lab-grown diamonds, etc. remains
limited.
The EMP proposal aims to achieve global size and scale in both sectors
by streamlining supply chains, providing market access to home-grown
products, and attracting international brands. The focus is on transitioning
from low-value to high-value segments and significantly expanding trade by
leveraging SER’s strategic location, positioning it as a global gateway for trade xiv | Economic Master Plan for Surat Economic Region
and services. By providing a robust platform for products manufactured and
sourced from other parts of the country, the EMP aims to position SER as
a global gateway for trade and services. As B2B (Business-to-Business) and
B2C (Business-to-consumer) ecosystems grow, new sectors are expected to
emerge naturally.
5.2 Promoting the service economy through business & trading
The goal is to leverage SER's strengths by proposing projects and policies
that will transform it into a global gateway for trade and services. To shift
from inward-facing operations to outward-facing trade, the EMP proposal
seeks to elevate the T&A and G&J sectors to a global scale by streamlining
supply chains, enhancing market access for local brands, and attracting
international players. The primary focus is on moving from low-value to high-
value segments, and significantly expanding trade by capitalizing on SER’s
strategic location. The approach includes positioning SER as one of India’s
“gateways for trade & services” in the T&A and G&J sectors, with plans for
further expansion to include other sectors. This vision can be realized through
the establishment of “Bharat Bazaar” with dedicated zones for promoting
B2B and B2C functions. The B2C zone is planned within the DREAM city at
Surat, featuring facilities such as T&A and G&J souks and bourses, luxury malls,
an artisan village, a museum, an experience center, expansion of an existing
convention center, hotels, restaurants, an international boarding school, and
more. The B2B zone is proposed in the HSR zone near Surat, with amenities
including wholesale market blocks, warehouses, malls, retail spaces, and
housing & care facilities. Additional business-friendly facilities and support
services have been proposed in both B2B & B2C zones to create a conducive
trading environment. The growth of T&A and G&J sectors in the region may
need to be braced with ancillary capital goods around the SER region. By
providing a robust platform for products manufactured and sourced from
other parts of the country, the EMP aims to position SER as a global gateway
for trade and services.
5.3 Developing new growth avenues
In addition to primary growth drivers, it is also essential to develop new
avenues of growth. Three sectors identified are Tourism, Agriculture, and
Real Estate.
Harness the unexplored opportunities in Tourism
SER, despite having significant tourism potential, has not fully developed
this sector. There are ample opportunities to promote tourism as a key
growth driver, which could significantly boost GVA and create employment
opportunities. The EMP recommends implementing a hub-and-spoke model
for tourism development including a list of projects and policy interventions.
The hub-and-spoke model is supplemented with well-connected nodes
offering diverse travel options for all income groups, prioritizing projects that
reduce travel time and ensure seamless movement between nodes within
three hours. These proposals may help position SER as a business-led leisure Economic Master Plan for Surat Economic Region | xv
tourism destination.
A comprehensive set of interventions has been designed to enhance tourism
in SER by leveraging three key regional assets: (i) business-led leisure
tourism destination, (ii) eco and rural tourism, and (iii) experiential tourism
highlighting natural, spiritual, and architectural heritage and culture. A hub-
and-spoke approach is proposed to advance experiential tourism, with Surat
serving as a business hub offering cruise tourism with well-planned circuits,
multiple docking facilities, and Dang as an eco-tourism hub featuring wildlife
and adventure tourism, homestays, and rural-based activities. Additionally,
unique experiential tourism may include guided heritage walks and tours
centered on Parsi culture and promoting indigenous art and festivals. To
effectively manage tourism, emphasis has been placed on integrating green
practices, skill development, technology, and robust institutional mechanisms
to ensure sustainability and responsibility.
Leverage mega-infrastructure projects for real estate growth
The EMP seeks to invigorate the real estate market, aiming to achieve
a projected $40 billion GDP contribution in the SER region. Enhanced
connectivity, a robust job market, and substantial projected growth in
manufacturing and services will drive this upward trend. This may be
accomplished by demarking land between the high speed rail (HSR) and
Delhi-Mumbai expressway (DME) corridors, with the HSR stations serving as
the focal points for real estate development.
Tailored strategies to enhance the agricultural value chain in SER
SER is poised to grow by 20 times during the next 25 years, largely powered
by the growth of secondary and tertiary sectors. To improve productivity,
predictability, and profitability, the EMP proposes the promotion of agro-
ecological practices across the SER through cluster development and
addressing supply chain and logistic issues in food processing by leveraging
technology.
5.4 Creating an enabling ecosystem of lifestyle and learning
Bridge the skills gap for a future-ready SER
SER is on a rapid growth trajectory, yet it faces a significant skills gap due
to the limited presence of top-level educational, skilling, and research
institutions. SER needs to evolve into a global skilling hub capable of meeting
both regional as well as global demands. The EMP proposes cluster-based
development of educational institutions, upgradation and expansion of
existing facilities, sector-specific centers of excellence, and strong industry-
academia collaboration to create a highly skilled and globally competitive
workforce.
Enhance the healthcare infrastructure of SER
Recent data highlights a shortage of healthcare facilities in SER. The demand xvi | Economic Master Plan for Surat Economic Region
for quality healthcare is expected to rise substantially in the coming years. This
underscores the pressing need to expand healthcare infrastructure, increase
medical personnel, and integrate modern equipment and technologies. The
EMP proposes a comprehensive and multi-faceted approach to strengthen
the region’s healthcare system.
Make SER a benchmark for sustainable living
SER, a rapidly growing urban area, faces challenges affecting the quality of
life of its inhabitants. Further, SER’s targeted economic growth of 20 times
should not result in environmental degradation and human health impacts.
Enhancing sustainability and livability is key to making SER an aspirational
place to live and work. By focusing on climate resilience, sustainable
infrastructure, connectivity, and public health through collaborative efforts,
SER can become a model of urban livability, ensuring long-term resilience
and prosperity for its communities.
The EMP aims to make SER a model region with a strong support system by
addressing environmental and climate risks holistically while improving the
well-being of both people and nature. The sustainability strategy is driven by
two key approaches: harnessing renewable energy and strengthening risk
and disaster management with proposals for offshore wind projects, solar
parks, hybrid energy parks, and floating solar panels. To enhance climate and
disaster resilience, critical measures such as comprehensive disaster plans,
multi-hazard forecasting systems, and robust disaster risk infrastructure
are also recommended. In terms of livability, the key initiatives include:
(i) creating an Edu-city in Surat’s HSR zone, featuring private universities,
Centers of Excellences, international schools, and research institutions; (ii)
expanding and modernizing industrial training programs to supply skilled
labor for key growth sectors; (iii) strengthening the healthcare infrastructure
by establishing multi-specialty hospitals, trauma centers, and primary
healthcare facilities for all segments.
6. From rapidly growing to a globally competitive city-region: Key
interventions
The EMP presents a detailed blueprint for the region’s growth, detailing
recommendations for proposed projects with their possible locations, alongside
several policy interventions. Additionally, it proposes an institutional framework to
ensure efficient and seamless implementation.
7. Proposed implementation framework: To ensure efficient, effective, and
time-bound outcome
A robust institutional framework is crucial for the systematic implementation
of the proposed interventions. A three-tier institutional framework has been
proposed which includes: (i) constitution of the Empowered Group of Ministers
(EGM) chaired by the Hon’ble CM with representatives of state government cabinet
ministers to approve broad policies and regulatory frameworks and monitor
high-level performance and outcomes, (ii) constitution of the State High Power Steering Committee (SHPSC) chaired by the CS to develop long-term strategic
implementation plans aligning with national or state priorities and providing
guidance to the implementing agencies, and (iii) establishing Surat Regional
Economic Development Authority (SREDA) with official representation from all
6 districts in the region as the key responsible entity for the integrated regional
development and implementation of the plan.
Under the SREDA framework, three new institutes and one existing agency
are proposed for implementation, including the G-Hub Crack Unit, which will
coordinate projects and streamline communication across stakeholders. A
Destination Management Organization (DMO) is recommended for promoting
regional tourism, while a Project Management Unit (PMU) will lead project
structuring and financing. Additionally, the existing Surat ICCC can be scaled up
and regional ICCCs established to centralize monitoring and enhance compliance
across SER’s industrial sectors.
The EMP may act as a rolling vision for SER’s economic development, with regular
reviews during implementation. While maintaining the core vision, targets, and
focus areas, the project plans and policy reforms may be revised as necessary to
stay aligned with the evolving conditions. 1 | Economic Master Plan for Surat Economic Region
1
Growth-Hub
initiative: Planning
for city-regions
of the future Economic Master Plan for Surat Economic Region | 2
India needs globally competitive, environmentally sustainable, and
inclusive cities. Negative externalities of inconsistent spatial and economic
aspects of the planning process remain a major bottleneck to realizing the
real potential of urban areas. ‘Growth-Hub Initiative’ presents a structured
approach of harnessing the economic potential of growth through the
preparation of economic master plans of city-regions as a precursor to
spatial planning leading to a growth journey that is accelerated, inclusive,
and sustainable.
1.1 G-Hub: A new approach to managing urbanization
India is home to the second largest urban system globally, accounting for 11% of the
world’s total urban population, as per World Urbanizations Prospects 2018 - United
Nations. Nearly 31% of India’s population lives in urban areas, a figure that is expected
to rise to about 40% by 2036
1
and 50% by 2050
2
. As of 2011, urban areas are estimated
to contribute ~63% of GDP, which is projected to further rise to 75% by 2030
3
. As
engines of growth, Indian cities are poised to play a key role in shaping the nation’s
economic growth story. Rapid urbanization could be beneficial, provided it aligns with
the aspirations of the nation to achieve accelerated growth, employment generation,
inclusive and sustainable development.
Typically, the mushrooming of unplanned urban sprawls, witnessed in urban areas
results from an approach of urban planning that is largely focused on land use and
meeting basic infrastructure needs as a reactive phenomenon. The process devoid
of an economic vision and regional approach fails to present a long-term vision to
realize the potential of urban regions. The need for a more pragmatic approach is
apparent to harness the demographic dividend and realize the true potential of
urban centers. In this context, the need and importance of reimagining the process
of urban planning cannot be overemphasized.
In a post-budget webinar on 1st March 2023, the Hon’ble Prime Minister of India stated
that:
“… Urban planning will determine the fate of our cities in Amrit Kaal and it is only
well-planned cities that will determine the fate of India, …”
For India to achieve the vision of Viksit Bharat by 2047, with a target of a $30 trillion
economy, two transformative shifts in traditional planning practices are essential.
First, transitioning from city planning within municipal boundaries to a more holistic
approach that acknowledges the interconnectedness of urban centers with their
surrounding regions, emphasizing city-region planning. Second, developing an
economic strategy for city-region development as a precursor to land-use planning
at regional, city, and local levels.
Growth Hub, or G-Hub initiative introduces a proactive approach with city regions as
the unit of economic master planning and follows a five-step process based on:
• Identification of economic (and job) growth drivers: Diagnosing and identifying
key sectors that are expected to drive economic growth and create employment 3 | Economic Master Plan for Surat Economic Region
opportunities.
• Defining city endowments and global/national trends that are expected to impact
the growth process: Assessing the city’s inherent strengths, advantages, and
resources, while aligning with global and national trends that could influence
the economy.
• Quantifying resource needs: Determining financial and human resources
(including specific skill sets) that are required in various sectors to achieve the
desired aspirations.
• Identification of measures for boosting the business environment: Creating
a conducive ecosystem for business to thrive, promoting innovations and
entrepreneurship.
• Projectization of ideas/ Interventions: Transforming ideas and interventions to
well-structured actionable projects that can be implemented to drive economic
growth. Also, identifying key policy interventions to realize the goals.
In sum, a synchronization of economic visioning with “economy and job-creation
led” spatial/physical planning, along with a shift in the policy rhetoric from viewing
cities merely as ‘engines of economic growth’ to ‘engines of inclusive development
and sustainable growth’.
Under the G-Hub approach, the focus is on the big swings rather than end-of-pipeline
corrective measures to serve the latent demand of the city-regions. Economic Master Plan for Surat Economic Region | 4
Figure 1. Strategic differentiators of the G-Hub initiative
1.2 NITI Aayog pioneered the G-Hub initiative and selected 4 pilot city-regions to
develop process templates
NITI Aayog conceptualized the G-Hub initiative in 2023 and selected 4 city-regions to
develop process templates. It was recognized that developing an economic growth
strategy for each city-region was a unique exercise but the template would present
a broad process that can be followed for similar initiatives across the country. Urban
development is a state subject, so a collaborative approach was adopted in which pilot
cities were identified in close consultation with the respective state governments,
based on their willingness to undertake this new project. The intended outcome was
to develop a strategic roadmap for promoting economic growth in selected city-
regions as growth hubs.
NITI Aayog onboarded two knowledge partners for this initiative – ISEG Foundation
and WRI India. The city regions selected, viz. Mumbai Metropolitan Region, Varanasi,
Surat, and Visakhapatnam were representatives of different levels of growth. A multi-
tiered team structure was also institutionalized to prepare the economic master plan
an inter-sectoral and vertically integrated effort.
1.3 Multi-tiered team structure established
For implementing the project, a multi-tiered institutional framework was put in
place:
• National level: A National Steering Committee was constituted by NITI Aayog
with representatives from MoHUA and domain experts.
• State level: The Government of Gujarat notified (a) Constitution of a Steering
Committee, (b) Constitution of a G-Hub Crack Unit, (c) dedicated full-time
personnel to work on the said initiative, and (d) Appointment of a Nodal officer
for co-ordination, monitoring and smooth implementation. (Order No. UDUHD/
MSM/e-file/18/2023/8053/DH Section, dated 15.09.2023). 5 | Economic Master Plan for Surat Economic Region
• City-level: Officials of NITI Aayog and WRI India were positioned at Surat
Municipal Corporation to closely work with city and district authorities.
(Details in Annexure I).
1.4 Determining the city-region for Surat
A framework for identifying the immediate economic catchment for the ‘city-regions’
was developed on the principles of contiguity, proximity economic reliability, axes of
growth, logistics, connectivity, and complementarity. On these parameters, as well as
extensive consultations with the State government, the SER was defined as including
6 districts, namely, Surat, Bharuch, Navsari, Tapi, Valsad & Dang.
Map 1. Surat Economic Region (SER)
1.5 Broad process template that guided the preparation of the EMP of SER
Based on a detailed examination of similar initiatives, NITI Aayog adopted a broad 5-stage process for the preparation of the EMP Economic Master Plan for Surat Economic Region | 6
Figure 2. Broad stages of Economic Master Planning 7 | Economic Master Plan for Surat Economic Region
Further towards ensuring a balanced approach for evolving the EMP a three-pronged
guiding principle was established:
Figure 3. Guiding principle for evolving the economic master plan
Each city-region is unique in its geographical context, comparative advantages, and endowments. Therefore, a bespoke and curated EMP of SER has been developed based on the above broad process template. 9 | Economic Master Plan for Surat Economic Region
2
Surat is one of the
fastest-growing
cities but SER faces
regional and
sectoral disparities Economic Master Plan for Surat Economic Region | 10
Surat is and may remain the nucleus of the region. However, it is pertinent
to promote economic activities as per the district level endowments across
SER to achieve balanced and inclusive growth. Presently manufacturing
sector remains the single dominant growth driver
The SER encompasses the southern part of Gujarat, situated along the Gulf of
Khambhat, and shares borders with Maharashtra to the south and Madhya Pradesh
to the east. Strategically positioned on the West Coast, it is close to major economic
hubs like Mumbai Metropolitan Region, Ahmedabad, Nashik, and Aurangabad, all
within approx. 300 km radius.
With Surat as the nucleus of the region, the SER is spread across six districts: Surat,
Bharuch, Navsari, Valsad, Tapi, and Dang, and has a geographical area of 21,217 sq. km.
SER is currently estimated to be a $72 billion (approx.) economy, with a population of
15.7 million and a workforce of 7.7 million (refer to Table 1). Surat Municipal Corporation
(SMC) is the only municipal corporation in the region and there are 18 municipal
councils, viz., Bardoli, Kadodara, Tarsadi, Mandvi, Bharuch, Ankleshwar, Jambusar,
Amod, Navsari-Vijalpor, Bilimora, Gandevi, Vyara, Songadh, Valsad, Vapi, Paradi,
Umargam and Dharampur (refer Figure 4).
Table 1. Economic and Demographic Indicators of SER and Gujarat (2023)
SERGujarat
Population 2023
15.7 Mn
(~22%)
72 Mn
(5%)
Area (Sq. Km)
21,217
(10.8%)
1,96,244
(6%)
GDP (current prices, FY23)
$ 72 Bn*
(~25.6%)
$ 281 Bn
(~8%)
GDP per capita (current prices, FY23)
$ 4,586*
(1.17x)
$ 3,910
(1.5x)
Workforce (FY23)
7.7 Mn*
(22.6%)
34 Mn
(6%)
Worker Population Ratio (FY23)
48.9% *47.2%
Note: Figures in parenthesis are in relation to Gujarat (in SER) and India (in Gujarat)
* Estimated figures 11 | Economic Master Plan for Surat Economic Region
Figure 4. SER with major boundaries and municipal bodies
2.1 Key facts and figures of SER
• The region accounts for 25.6% of Gujarat’s GDP and 22% of its population.
• The region has grown at 8.4% CAGR (FY 2014-22, real), which is higher than
India’s 6.4% CAGR during the same period.
• The region’s per capita GDP stands well at approximately $4,586 (FY 2023), 1.2
times higher than the state average and 1.8 times higher than the national
average.
• As one of the leading industrialized regions, the manufacturing sector alone
contributes nearly 55% of SER’s GDP and 43% of employment. It has several
manufacturing industries such as chemicals, petrochemicals, drugs and
pharmaceuticals, textiles, gems and jewelry.
• The tertiary sector of SER accounts for nearly 38% of its GDP and 40% of
employment (estimated), with key contributions coming from transport,
storage, business, trade and hospitality (refer Figure 5). This sector has the
potential to substantially grow over the years.
• Surat district is the primary economic driver of SER, with a GDP of approx. $45
billion, accounting for 62% of the region’s GDP, while the contributions of other
districts are comparatively modest. Similarly, the job density is also concentrated
in the Surat district (refer to Figure 6). Economic Master Plan for Surat Economic Region | 12
• Tapi and Dang districts, characterized by their large tribal populations and
extensive forest cover, have a comparatively modest contribution to the
region’s GDP.
• Surat UA is the 9
th
most populous city in India
4
, and is projected to be the
fastest growing city in the world by GDP between 2018 and 2035
5
• Over the past decades, Surat city has expanded significantly, as reflected in a
184% growth in built footprint in the SMC area and 245% growth in the Surat
Urban Development Authority (SUDA) from 1995 to 2015 (refer Figure 7).
The SER highlights regional as well as sectoral disparities, warranting targeted
interventions aimed at balanced growth.
Figure 5. Sector-wise GDP and employment of SER, FY 2023 (estimated)
Figure 6. District-wise GDP and population, FY 2023 (estimated) 13 | Economic Master Plan for Surat Economic Region
Figure 7. Built up expansion in Surat Municipal and Development area over the years
Source: World Settlement Footprint evolution 1985-2015, DLR
2.2 Key economic activities
The major sectoral contributors have been identified by analyzing key economic
activities unique to each district. By focusing on these district-specific economic
activities, specific contributors to the region’s overall economic performance were
determined. Economic Master Plan for Surat Economic Region | 14
Table 2. District-wise key economic activities
Districts Existing economic activities
Surat
Textiles, gems & jewelry, basic chemicals, gas and distribution of
gaseous fuels, MSME cluster, port & logistics
Bharuch
Chemical & chemical products, pharmaceuticals, medicinal
chemical & botanical, gas & distribution of gaseous fuels port &
logistics
Navsari
Agri/food processing, power-driven hand tools, textiles, gems &
jewelry
Tapi Agri/food processing, pulp, paper and paperboard, dairy products
Valsad
Chemical products; paper products and printing and publishing;
tertiary sectors viz. trade, and hotels & restaurants; transport &
storage, business services
Dang
Agriculture, forestry & fishing; wood products & cork; electricity,
gas, water supply & other utility services; transport & storage,
business services
2.3 SWOT Analysis
To prioritize economic activities that could drive growth in SER’s economic visioning,
it is essential to understand the key strengths and challenges of the region, as well as
the major growth opportunities that need to be capitalized on.
The SWOT analysis undertaken to provide a comprehensive assessment of these
factors presents the following position:
• Strengths: SER is a leader in sectors like textiles, jewelry, and chemical
manufacturing. Surat city leads the way in sustainability with interventions
towards electric vehicles and solar energy. SER also boasts a top-tier logistic
network featuring high-speed rail, expressways, dedicated freight corridors,
seaports, and an international airport.
• Weaknesses: Spatial and sectoral disparities are highly prevalent. SER has
a high reliance on low-value manufacturing sectors, high GHG emissions
from key industries, and unregulated growth of MSMEs and SMEs, limiting
innovation and scale.
• Opportunities: SER is brimming with opportunities: prime real estate
prospects on account of its strategic location, growing demand for education
and skills, potential for sustainable agriculture with crops like rice, bananas,
and mangoes, and a tourism boom waiting to happen with its stunning
coastline, natural wonders, and rich heritage sites. 15 | Economic Master Plan for Surat Economic Region
• Threats: SER grapples with stiff regional competition, falling short of the
appeal of cities like Ahmedabad and Mumbai, and faces global rivals in
textiles like Bangladesh and China. Additionally, SER is highly vulnerable to
climate threats, like floods, heat stress, and extreme weather while pollution
risks are eroding the quality of life and the overall business environment.
Figure 8. SWOT Analysis of SER 17 | Economic Master Plan for Surat Economic Region
3
Vision and targets
for SER Economic Master Plan for Surat Economic Region | 18
The Economic Master Plan of SER has been aligned with the
Viksit Gujarat@2047.
The drivers have been identified to promote ‘living well’ and ‘earning well’.
SER’s endowments, global trends and mega infrastructure together create a
conducive environment for multiplying the per capita GDP 10 times by 2047.
3.1 Viksit Gujarat@2047: an aspirational vision for the future
Viksit Gujarat@2047 aims for an economy of $3.5-4 trillion from $259 billion in FY22,
with per capita income of over $38,000. The vision is premised on developing an
economy that allows all its citizens to achieve their aspirations for ‘earning well &
living well’. The EMP for the SER has been developed to achieve the same objective.*Nominal growth rate is calculated
in INR
Figure 9. Vision and targets of Viksit Gujarat@2047
6
The key defining parameters of Viksit Gujarat@2047 inter alia include:
• A healthier, more educated, and sustainable society with equitable access to all world-class amenities - clean environment, good quality air and water, sanitation, 24x7 electricity, 100% healthcare coverage, multidisciplinary education and skilling, and a secure society.
• The Services sector is envisioned to see a quantum leap, with the state emerging as the preferred destination for the knowledge economy, tourism, and financial services.
• The industrial sector is expected to continue to be the core strength of the state economy with high exports and a greater share of high-value-adding sectors.
• Gujarat@2047 is aimed to become even stronger as India’s gateway to the Middle East and Europe, thereby emerging as one of the global trade hotspots. This will be powered by developing vibrant logistics corridors and port cities.
• A sustainable society to live in, with net-zero achievement by 2047.
3.2 SER envisioned to achieve a 20 times growth by 2047
By 2047, SER has the potential to grow by 20 times and contribute more than 35% to Gujarat’s overall economic development. Achieving this goal requires a greater emphasis on employment-generating sectors, such as manufacturing and services. 19 | Economic Master Plan for Surat Economic Region
While SER’s current per capita GDP stands at approx. $4,600, there is an ambitious
target to reach over approx. $45,000 by 2047. To realize this ambitious goal, SER needs
to implement robust and coordinated planning efforts.
Note: 1- growth rates are calculated in INR
Figure 10. Economic targets of SER
7
3.3 SER’s contribution to the economy is dominated by the manufacturing sector
Manufacturing is the cornerstone of SER’s economy, accounting for more than half of its total domestic product. The region’s manufacturing sector is particularly dominant within Gujarat, contributing over 40% of the state’s manufacturing gross value added. This trend is expected to continue in the future, with manufacturing estimated to contribute almost half of the GDP growth aspirations while adding about two million jobs by 2047. In line with Gujarat’s broader economic development strategy, SER is poised to witness a significant increase in the contribution of the services sector to its overall economic growth. This expansion is anticipated to be driven primarily by sectors such as tourism, hospitality and other services as well as SER’s development as a trading hub. Economic Master Plan for Surat Economic Region | 20
Figure 11. Projected sectoral GDP and incremental employment targets for SER
3.4 Enablers that support SER to achieve its goals
3.4.1 Endowments
Seven endowments have been identified that would help SER in its
endeavor to become an advanced and growing region. Surat is a rapidly
growing city with multiple endowments that can support regional growth.
Surat has been known for diamond polishing and textile manufacturing for
decades. Bharuch, Surat, and Valsad have a strong ecosystem of chemicals
and pharma. Tapi, Dang and Navsari are rich in horticulture. The baseline
analysis also indicated immense scope for harnessing untapped tourism
potential due to the long coastline and presence of western ghats.
Figure 12. Endowments of SER
1. Rapidly growing city-region
• According to the projections by Oxford Economics (2018), Surat will be the fastest-growing city in the world in terms of GDP from the year 2019 to 2035. Surat’s GDP is currently growing at a CAGR of 8.4% (FY 2014-22), which is much higher than that of Gujarat and India 21 | Economic Master Plan for Surat Economic Region
• Surat city is Gujarat’s 2
nd
most populous city
4
. The present city population
is 6.6 million (with a district population of 9.1 million) and is expected to
grow to approx. 11 million by 2035
2. Diamond hub
• Surat region processes around 90% of the world’s diamonds
8
• By 2027, India’s gems and jewelry (G&J) exports are poised to reach 10%
of the global market ($100 billion)
9
• The existing base in Surat can be upscaled with design & brand building
to capture a larger share of the global G&J market – ‘Designed in India’
& ’Made in India’
3. Chemical hub
• By 2047, India is poised to capture ~12% of the global chemical market
and become a ~ $1 trillion chemical manufacturing hub
10
.
• Gujarat is among the leaders in chemical manufacturing in India, and
SER accounts for 70% of Gujarat’s chemical GVA
• The chemical Industry is well supported by Dahej and Hazira ports in
the catchment area as well as the Mundra and JNPT ports in adjacent
regions
4. Textile hub
• Surat is the second largest textile hub in India, after Tirupur
• It is the largest MMF textile hub of India (65%), and a major producer of
polyester and nylon yarn (90%)
• Surat is known for yarn, fabrics, sarees dress materials, and ethnic wear,
but not for apparel
• Surat has a GI Tag for its unique local Zari work
5. Untapped tourism potential
• With a long coastline, beaches (Dumas, Ubhrat, Dandi, etc.), wildlife
sanctuaries and national park (Dang and Navsari), eco and rural tourism
(Dang, Navsari, Tapi), heritage trails (Parsi), local culture and festivals
(Uttarayan, Saputara Monsoon Festival, Dang Darbar), rivers and dams
(Tapi and Narmada), etc. SER has substantial assets for developing tourism.
• Tapi, Navsari & Bharuch are listed as priority destinations in the Gujarat
Tourism Policy, 2021-25
6. Agro-processing potential
• The Surat-Navsari-Tapi belt is known for its agricultural produce like
mangoes, sugarcane, chikoo, and banana
• The presence of educational organizations such as Navsari Agricultural
University, Veer Narmad South Gujarat University, etc. provides an eco-
system of research and innovation Economic Master Plan for Surat Economic Region | 22
• The Gujarat Agro Infrastructure Mega Food Park, spanning 3 million
square feet and operating on a plug-and-play model, offers a ready
infrastructure for food processing
7. Strategic regional connectivity
• SER benefits from existing multi-modal strategic infrastructure projects
• Several infrastructure projects to further develop the logistics sector
are underway, including the Hazira Port Expansion, Surat Airport
Expansion, and Western Dedicated Freight Corridor (DFC). Further, with
the Mumbai-Ahmedabad High-Speed Rail Corridor (Bullet Train), Surat
will be just one hour away from Mumbai
• Multi-Modal Logistics Parks (MMLPs) are proposed at Dahej (Bharuch),
along with Hazira, Bhatia, and Niyol in Surat
3.4.2 Trends
The endowments have been aligned with the following global, national,
and sub-national growth trends to harness their maximum potential.
Figure 13. Global, national, and sub-national trends
1. India as a global manufacturing hub in select sectors
Proactive initiatives by the Government of India like the PLI (Production Linked Incentive) scheme to promote ‘Make in India’, the China+1 strategy, and targeted interventions to promote R&D in sectors like chemical and pharma, textiles, etc. present significant opportunities to strengthen its position as a global manufacturing hub.
2. Enabling Next-Gen Industrial Workforce
Strong industry-academia partnerships to sync skilling with evolving industry needs and develop a workforce that is being continuously trained.
3. Promoting Business-leisure travel
B-leisure travel, the blend of business and leisure, is reshaping the stay and spending behavior of business travelers, with exploring destinations beyond traditional corporate settings and the industry adapting to both professional and leisure needs.
4. The Green shift
Increasing opportunities and investments in decarbonization, renewables shift, and new technologies like battery storage, hydrogen fuel cells, and carbon capture & storage. 23 | Economic Master Plan for Surat Economic Region
5. Rising Incomes & demographic shifts
The rising working-age population, rising incomes and increasing levels of
consumption vis-à-vis savings can result in consumer spending increasing
from $750 billion in 2022 to $4 trillion by 2030 in India.
3.4.3 Mega-infrastructure & connectivity projects
Figure 14. Ongoing and proposed mega infrastructure projects
Ongoing and proposed mega infrastructure projects will give a further boost to the growth process of the region. The location of Surat and projects like the coastal corridor, Delhi-Mumbai expressway, and Mumbai- Ahmedabad high-speed rail, are all set to be game changers provided they are leveraged effectively.
A detailed description of the existing and on-going infrastructure and
connectivity projects is given in Annexure II. 25 | Economic Master Plan for Surat Economic Region
4
Growth drivers
and enablers Economic Master Plan for Surat Economic Region | 26
A holistic vision of SER has been developed, centering on key growth drivers
aimed at transforming it from a rapidly growing city-region valued at
approximately $72 billion to be globally competitive with an ambitious
target of $1.5 trillion by 2047.
With the targeted transformation across various facets of SER, the growth drivers
have been identified with the aim to achieve the twin goal of ‘earning well’ and ‘living
well’ while aligning them with the vision outlined in Viksit Gujarat@2047.
Figure 15. Growth drivers as sieved from endowments
Aligned with the earning well theme, sectors with strong global demand, significant GDP contributions, and high job creation potential have been classified as ‘primary
growth drivers. The key sectors include Chemicals & Pharma, Apparel, and Jewelry. While Chemicals & Pharma will continue to bolster the manufacturing sector, a transition towards a service-oriented economy is expected, driven by business and trade opportunities in Apparel and Jewelry.
In addition to these core sectors, ‘new avenues for growth’ were identified. These
emerging sectors - Tourism, Real Estate, and Agriculture - were chosen based on
regional endowments and their future potential for GDP contribution, aligning with
broader trends and visionary targets. Together, these sectors (both primary and new
avenues), form a balanced pathway to sustainable economic expansion.
The living well theme has been fundamental towards achieving the aim of enhancing
social, environmental, and economic well-being, which are classified as ‘enablers’.
These components are crucial for supporting the growth drivers and include Higher
Education and targeted Upskilling, Advanced Healthcare, Sustainability (including 27 | Economic Master Plan for Surat Economic Region
renewable energy), and Livability. By fortifying these areas, a robust foundation can
be created that underpins and drives sustainable growth.
All growth drivers and enablers together are expected to propel SER into a thriving
$1.3 - 1.5 trillion economy by 2047, generating an additional ~ 2 million jobs.
Figure 16. Focusing on the specific growth drivers and enablers through G-Hub will therefore
transform SER from ‘Rapidly growing’ to ‘Globally Competitive’
5
Strategic
interventions for
primary growth
drivers Economic Master Plan for Surat Economic Region | 30

For the chemical and pharma sector an expansion in manufacturing
is proposed to achieve size & scale. In case of the other two primary
growth drivers a transition to a high productivity ecosystem with focus on
developing the trade and commerce is proposed.
Box 1. Primary growth drivers
Chemical & Pharma
Textile & apparel
Gems & Jewelry
(particularly Diamonds)
Aim to achieve global size & scale in
production
Aim to bring value addition and
grow service sector by
(i) positioning SER as a ‘Gateway of
trade’, and
(ii) streamlining the existing
manufacturing ecosystem 5.1
Chemical and Pharmaceutical Economic Master Plan for Surat Economic Region | 32

The Economic Master Plan (EMP) envisions SER to be a Global Chemical
Hub and recommends a set of measures that can enable the sector to
achieve 15 times growth by 2047. In addition, measures are being proposed
to make SER a major national pharma hub.
The chemical industry is a cornerstone of modern economies, producing a diverse
array of products essential for sectors like agriculture, pharmaceuticals (pharma),
and electronics. It provides building blocks for several downstream industries, such
as textiles, papers, paints, varnishes, soaps, detergents, pharmaceuticals, etc. It plays
a significant role in the global economy, contributing substantially to GDP and
supporting substantial job creation. Characterized by significant sunk investments
in research and development, the industry drives innovation in material science and
sustainability. However, it also faces much more risk of environmental degradation,
leading to an increased need to focus on the adoption of sustainable practices.
5.1.1 Current Scenario of the Chemical & Pharma Industry
The global chemical industry is led by major players like China, the European Union,
and the United States. China dominates with a 44% share of global chemical sales,
followed by the EU at 14% and the US at 11%. India ranks 6
th
contributing 2-3% of total
production, roughly valued at $113 billion (refer to Figure 17).
Figure 17. Global Chemical production 2021
11

India with a growth rate of 5% p.a. during 2012-22 was slightly below the global average
of 6% but much less than some better-performing countries like Saudi Arabia and China
11
as shown in Figure 18. 33 | Economic Master Plan for Surat Economic Region
Figure 18. Compound Annual Growth Rate (2012-22)
11
India is grappling with a chemical trade deficit, largely driven by the rapid rise in
imports, which is growing at a CAGR of 10%, survpassing the more stable export
growth at 8%.

Figure 19. National Chemical Imports and Exports
12
In 2007, the Government of India (GoI) announced the Petroleum, Chemical, and Petrochemical Investment Regions (PCPIRs) policy to promote chemical production. Economic Master Plan for Surat Economic Region | 34
Box 2. PCPIRs shaping the landscape of Chemical Industry
13
• The PCPIRs were aimed to promote the growth of the Petroleum, Chemicals
and Petrochemical sectors in an integrated and sustainable manner.
Launched by the Indian government in 2007, the PCPIR policy aims to
enhance efficiency through production projects, public utilities, logistics,
Co-siting, shared infrastructure, environmental protection facilities, residential
areas and administrative services.
• Under the policy, each PCPIR was proposed to have a refinery /petrochemical
feedstock company as an anchor tenant. The central government wants to
ensure the availability of external physical infrastructure linkages to the PCPIR
including connectivity through railways, roads, ports, airports, and telecom as
well as provide the necessary funding to make such projects viable, pursuant
to the Viability Gap Funding (VGF) and budgetary support for the creation of
these linkages through respective Ministries.
• Under this policy, 4 PCPIRs were notified:
1. Gujarat- Dahej
2. Andhra Pradesh- spread from Visakhapatnam to Kakinada
3. Odisha- Paradeep
4. Tamil Nadu- spread from Cuddalore to Nagapattinam
Map 2. Spatial distribution of chemical clusters in India
(Note: The map is for illustrative purposes only) 35 | Economic Master Plan for Surat Economic Region
Gujarat dominates the Indian chemical and pharma sector, accounting for 34% and
28% of India’s chemical and pharma GVA respectively as per the Annual Survey of
Industries (ASI) 2019-20.
Figure 20. State-wise Chemical GVA contribution
14
Major manufacturing districts of Gujarat are in Bharuch, Surat, Vadodara, Valsad, Ahmedabad, and Kutch. Each district specializes in different segments, from petrochemicals and fertilizers in Vadodara and Bharuch, to basic chemicals in Ankleshwar and Vapi, and salt-derived chemicals in Kutch. The region houses numerous companies and SMEs, contributing significantly to both state and national exports. Strategic initiatives and industrial zones like Dahej SEZ further enhance Gujarat’s role as a leading chemical manufacturer.
Figure 21. District-wise Chemical & Pharma GVA creation
15
With three of Gujarat’s leading chemical manufacturing districts, SER is the leading chemical hub in the state. Bharuch tops the list, followed by Surat, and Valsad ranks fourth. Together, these districts contribute 70% of the state’s chemical GVA. SER also
accounts for 22% of the state’s pharma GVA
15
. The presence of port infrastructure -
Dahej and Hazira ports - and an extensive network of pipelines give SER a locational advantage to promote the manufacturing ecosystem in this sector. Economic Master Plan for Surat Economic Region | 36
Figure 22. Spatial distribution of Chemical cluster in SER
17
The upstream segment of the chemical & pharma industry is highly capital-intensive
and results in relatively few job opportunities, whereas the downstream segment is 37 | Economic Master Plan for Surat Economic Region
linked to significant job creation. Clusters such as Ankleshwar, Vapi, Sachin, and other
clusters along the National Highway-48 are concentrated in the downstream segment
of the chemical and pharma industry. In contrast, the upstream and midstream
segments are concentrated at Dahej PCPIR, as illustrated in Figure 22.
The region while having a robust ecosystem also presents key gaps. Box 3 gives the
details of the existing infrastructure.
Box 3. Existing ecosystem in SER
1. Dahej PCPIR
• The Ministry of Environment, Forest and Climate Change (MoEF&CC) has
granted Environment and Coastal Regulation Zone (CRZ) clearance for an
area of 44445.18 hectares after excluding forest land i.e. 853.41 hectares for the
development of PCPIR.
• Gujarat PCPIR is under implementation at Dahej in Bharuch district, over an
area of 453 sq. km. The PCPIR has been notified under the Gujarat Special
Investment Region (GSIR) Act, 2009. At the national level, the PCPIR leads
with the highest investment, despite 60% unutilized land, implying scope for
further growth.
• There are no major global companies in the PCPIR, and M/s ONGC Petro
additions Ltd. (OPaL), as the anchor tenant, has set up a dual feed cracker
complex with a production capacity of 1.1 MMTPA.
• Other production units are Reliance Petrochemical Complex, Petronet LNG
Limited, Hindalco Industries Ltd, BASF Styrenics Pvt. Limited, Gujarat Alkalis
and Chemical Limited, etc.
2. Ankleshwar
• Ankleshwar cluster, spread over 11.31 sq. km, is one of the most prominent
MSME chemical clusters in SER, with close to 1,200 MSME units, of which
600 are chemical units, manufacturing various types of chemicals, like dyes,
pigments, insecticides, specialty chemicals, petrochemicals, pharmaceuticals,
and paints
17
.
3. Vapi
• The cluster houses several large-scale and MSME units, manufacturing various
types of chemical products. There are 300+ chemical manufacturing units
located in Vapi, out of which 277 units are presently operational. Most of these
manufacturing units have been operational for the last 20 years.
• Some of these are leading large-scale industries like Aarti Industries Limited,
Bayer Vapi Private Limited, Gujarat Polysol Chemicals Limited and etc.
18 Economic Master Plan for Surat Economic Region | 38
4. Other industrial estates include Paloni (6.9 sq.km), Jhagadia (12.0 sq.km),
Bharuch (0.6 sq.km) and Palej (1.2 sq.km). There is enough capacity of effluent
treatment available in the above clusters including Common Effluent Treatment
Plant (CETP) with marine discharge facilities; Treatment, Storage and Disposal
Facility (TSDF) with incineration facility, etc.
5. Upcoming Bulk Drug Park, Jambusar
It is a major project that would supply essential inputs such as APIs, KSMs, and
raw materials needed for pharmaceutical manufacturing, enabling Gujarat to
further improve its standing in the pharma sector. Spread over a total land area of
2015 hectares, it would provide easy access to world-class common infrastructure
facilities for bulk drug units. In addition, the productivity and efficiency of the
units would be enhanced through access to common infra- structure like water;
CETP with marine discharge facility; Common steam sup- ply facility; TSDF;
common solvent recycling facility and other paraphernalia
19
.
SER’s chemical production and exports are heavily concentrated in basic chemicals,
which are often highly polluting and low-value adding. To correct this imbalance,
SER must pivot towards specialty chemicals, upgrading value chains and developing
more advanced, higher-value products.
Figure 23. Broad Value Chain for the Chemical Industry
5.1.2 Opportunities
The global chemical industry is expected to grow at a rate of 3% annually for the next
25 years, propelled by increasing demand in emerging markets and advancements
in technology.
India’s chemical demand is projected to grow at a strong 9-10% annually over the next
25 years, surpassing the global average of 3% (refer to Figure 24). Rising domestic
demand is expected to provide a significant boost to the sector. Though India
remains a mid-size player in the chemical sector at the global level, through strategic 39 | Economic Master Plan for Surat Economic Region
initiatives and support from international trends like the “China+1” policy, India is well-
positioned to expand its global market share from the current 2-3% to approximately
12% by 2047.
India’s per capita chemical consumption remains low compared to the global average.
However, its large population, rising per capita income, and increasing demand from
end-use industries make India an attractive market for the growth of the chemical sector.
Figure 24. Chemical Demand in $ billion: A) Global; B) National
10
Viksit Gujarat@2047 positions the chemical sector as a cornerstone of its industrial strategy, aiming to establish the state as a leading global chemical hub. The strategy focuses on building global-scale production capabilities, attracting anchor investors, and creating a vibrant MSME ecosystem. Emphasis is placed on sustainable growth, with a green-led approach at the core of all development initiatives.
By leveraging these opportunities, through strategic planning and interventions,
SER is well poised to enhance its global competitiveness and realize its potential as a
global chemical hub.
5.1.3 Inadequate size and scale compared to the global major remains the biggest
challenge in SER
Despite a history of being a chemical hub, SER has not been able to scale up its
chemical industry to match the output, efficiency, and market reach of leading global
hubs, thereby limiting its integration into the global chemical supply chain.
a. Capacity not at global scale
SER requires the significant presence of major global chemical companies, which
typically drive large-scale production, innovation, and global market access.
Without these key players, SER’s chemical industry remains largely focused on
the domestic market, with limited integration into international supply chains. Economic Master Plan for Surat Economic Region | 40
Box 4. SER in comparison with other global leading chemical hubs
Parameters
Ludwigshafen
Chemical Park,
Germany
Jurong Island
Chemical Park,
Singapore
SER,
Gujarat
Area (sq.km)
Land utilization
percentage
10
a
95%
32
b
100%
230
~40% of
manufacturing
zone
Investment (bn $) 8636.59
Cracker capacity
for feedstock
for downstream
industries (in
MMTPA
2
a
>1.5
c
1.1
d
Air Quality Index 64 (Moderate)
e
40 (Good)
e
Average-136
Peak- 205
(Poor)
f
Anchor investor
BASF (private
firm)
Shell Energy
(private firm)
OPaL (Public
sector)
* MMTPA (Million ton per annum)Source:a- BASF SE, Ludwigshafen, 2023, Chemical Parks in Europe b- Jurong Island: Creating A World-Class Energy and Chemical Hub 2021, Centre for Liveable Cities
c- Shell Energy and Chemicals Park Singapore, 2023d- OPaL 2023e- Air Quality Index (AQI), 2023 https://www.aqi.in/f- Ankleshwar AQI is considered for 2022 from Action taken report, 2023 GPCB
b. Inability to integrate into the global supply chain
Infrastructure limitations, outdated technologies, high import duties, and the
absence of major global players have limited the integration of SER into the
global supply chain, leading to a production mix that is more inward-focused
with low-value additions. As shown in Figure 25, India’s higher import tariff on
chemicals compared to countries like the U.S., EU, China, and UAE increases raw
material costs, potentially undermining its position in the global market. 41 | Economic Master Plan for Surat Economic Region
Figure 25. Country-wise import tariff on Chemicals
20
c. Absence of global manufacturing leaders
None of the top 10 chemical companies have a presence in SER. Presently ONGC
Petro Additions Limited (OPaL) is the anchor tenant and is the major source of
feedstock for the downstream industries in the region.
d. Environmental consequences
The environmental degradation caused by the chemical sector in SER is well-
documented. A projected 15-fold growth of the sector, as outlined in the EMP
may face the concerns of stakeholders such as local communities, environmental
groups, and government entities. However, as noted in Box 4, global chemical
hubs have significantly mitigated environmental degradation while achieving a
much larger scale of production. SER requires monitoring and compliance with
its extant environmental norms. As the region besides having stringent norms
also has the necessary infrastructure in place (refer to Annexure III).
e. Lack of quality Human Resource
Despite a large network of ITIs, the chemical sector in SER struggles with the
availability of skilled labor largely on account of an uneven alignment between
the courses offered and the industry's needs. Additionally, the region lacks the
aspirational infrastructure required to attract senior management.
5.1.4 Achieving 15 times Growth to Position SER as a Global Chemical and a Major
National Pharma Hub – the Approach
The EMP aims to capitalize on the manufacturing strength of chemicals &
pharmaceuticals and develop SER into a Global Chemical Hub through increased
production and value-chain advancement while being cognizant of mitigating
environmental implications. The chemical industry of SER can adopt a strategic,
multi-pronged approach centered on transitioning from shifting gears to becoming
a high-value production ecosystem as represented in Figure 26. Economic Master Plan for Surat Economic Region | 42
Figure 26. Approach for Transition
EMP proposes a targeted approach on the following lines to meet the goal of making
SER a global chemical hub:
• Attract global chemical leaders as anchor investors to build a specialty
chemical ecosystem and integrate with the global supply chain: Leverage
unutilized land in Dahej PCPIR to build global-scale capacities, create global
standard common infrastructure facilities within the PCPIR, offer targeted
incentives, and foster a favorable business environment to attract leading global
chemical companies.
• Streamlining the MSME industries: Develop clusters on a plug-and-play model
aimed at increasing efficiencies, and productivity while meeting environmental
fall-out. Also, develop common infrastructure facilities such as CETP, quality
control certification centers, laboratories, stream boilers, fire safety systems,
emergency response rooms, roads, drainage, pipelines, open spaces, power and
other paraphernalia, etc. in all the industrial estates.
• Enhancing Infrastructure: Developing critical infrastructure, including a Free
Trade Warehouse Zone (FTWZ), common-user jetties, establishing an air freight
station, enhanced port capacities and connectivity, and multi-modal logistic
parks, to optimize operations and reduce costs.
• Environmental Management: Scale up the Integrated Command and Control
Centre (ICCC) of Surat to leverage it as a robust center for environmental
monitoring and compliance of entire SER.
• Skill Development: Establish and reinvigorate training centers to cultivate a
workforce equipped to meet the future demands of the chemical industry. 43 | Economic Master Plan for Surat Economic Region
Figure 27. Through strategic planning, SER can aspire to become a
Global Chemical Hub by growing 15x
A list of projects and policy interventions are being proposed to achieve the
above goals. Of the total number of projects proposed, a select few are reflected
in Figure 28. The details of all the interventions are given in Annexure IV.
Figure 28. Spatial distribution of Existing and Proposed Projects Textile & Apparel
Gems & Jewelry (particularly Diamonds) Economic Master Plan for Surat Economic Region | 46

The Textile & Apparel (T&A) and Gems & Jewelry (G&J) sectors form the
backbone of the SER’s economy, contributing to the GVA besides being a
major source of employment generation. Both sectors have the potential to
be primary growth drivers for the future economic growth of the region.
To harness the full potential of both sectors, the following two-pronged
strategy has been recommended to leverage the existing ecosystem and
become a new growth avenue of the future
1. Streamline the existing manufacturing ecosystem, enabling SER to scale
up production and achieve significant growth in terms of quality, size,
and scale.
2. Leverage the locational and infrastructural advantage of the region to
position SER as a ‘global gateway for trade and services.’
The aim is to transition SER as a global hub for commerce that
becomes the window to the world with access to produce from various
clusters in the country, enhance market access for local brands, and
attract international players. Through the development of business-
friendly facilities, support services, development of ancillary capital
goods industries in close vicinity, the region is expected to provide a
robust platform for products manufactured and sourced from other
parts of the country, initially for T&A and G&J and gradually expand to
other goods. 5.2
Textiles and Apparel Economic Master Plan for Surat Economic Region | 48

SER has a competitive edge in Man Made Fiber (MMF); however,
the sector is currently into low value- high volume manufacturing and
contributes to the overall environmental degradation of the region.
The EMP aims to reinvent the sector and position SER as a global
gateway of trade and commerce.
The textile & apparel sector is incredibly diverse and culturally significant. The sector
is also representative of a highly integrated global value chain. It contributes to the
primary as well as the secondary sectors, with substantial value addition across
several stages of processing. Over time, technological advancements have led to the
development of products that go beyond the traditional consumption patterns. The
modern textile industry provides applications in diverse fields like agriculture, sports,
packaging, building construction, waste management, etc. While the sector provides
livelihoods to various categories of workers, particularly women; it also has adverse
environmental implications necessitating close monitoring and management.
5.2.1 Current scenario of the T&A sector
Global T&A trade was around $ 910 billion in 2021 and is expected to grow at a CAGR
of 4% to reach $ 1.2 trillion by 2030
21
.
Box 5. Despite featuring in the top 10 trading countries in different
categories India needs to contribute significantly
Note: All data is from 2022 unless indicated. As per the Annual Report 2022-23 of the Ministry of Textiles, India is
the 3
rd
largest exporter of Textiles & Apparel in the world
China, the European Union, the USA, and Asian countries like India, Bangladesh, and
Vietnam are prominent countries in the sector. As indicated in Box 5 China remains
the major leader in all aspects of the sector, while India does feature in the top few
countries but its share remains small and much less than the leader. 49 | Economic Master Plan for Surat Economic Region
T&A is one of the oldest and most highly diverse manufacturing sectors of India offering
a wide spectrum of products ranging from traditional handloom, handicrafts, wool,
and silk to mass-produced apparel as well as technical textiles. A robust value chain
exists catering to the demand for fiber, yarn, fabric, made-ups, and apparel. There is a
presence of many organized textile industries using capital-intensive technology for
spinning, weaving, processing, and apparel manufacturing for mass production as
well as a large base of MSMEs.
The T&A sector contributes approx. 2.3% of the GDP, 13% of industrial production,
and 12% of exports
22
. It is the second largest employer in the country providing direct
employment to about 45 Mn people and 100 Mn people in allied industries
22
.
The sector has been growing over the years despite challenges primarily on account
of strong domestic demand and has reached an estimated value of approx. $ 161
billion in 2022
21
. As depicted in Figure 29 the industry is upbeat about the prospect
of growth in the T&A sector.
Figure 29. India has ambitious targets to grow its T&A market by 2030
21
At approx. 75% share, India’s T&A market is dominated by domestic trade. The major export destinations for India are the USA, EU-27 and UK, which account for about half of total exports
23
. Despite the endowments, growth and prospects, India
continues to face difficulties in achieving the global size and scale. Production, processing, value-addition, and wholesale are spread across the country. Major apparel manufacturing hubs in the country are located in Tirupur, Ludhiana, Kolkata, Vishakhapatnam, and Bengaluru. Gujarat is a major cotton sourcing hub in addition to Maharashtra, Telangana, Andhra Pradesh, Tamil Nadu, and Madhya Pradesh. The major wholesale hubs include Surat, Delhi, Mumbai, Kolkata, and Jaipur among others.
India’s MMF textile value chain comprises large-scale producers and a highly
fragmented downstream industry comprising spinning, weaving, knitting, and
processing units. Bhiwandi, Bhilwara, Ludhiana, Panipat, Surat, Tarapur, Tirupur Economic Master Plan for Surat Economic Region | 50
and Erode have emerged as the major clusters for processing of MMF textiles. The
Government of India has initiated a PLI scheme for MMF apparel, MMF fabrics & 10
segments of technical textiles with an INR 106.83 billion outlay aimed at achieving
size and scale in the manufacturing sector
22
.
Map 3. T&A in India is a major sector but is dispersed, not having global size & scale
Note: The map is only for illustrative purposes. The information depicted is derived from the Invest
India website and ‘Study to promote the growth of man-made fiber textile industry in India’
Within India, Gujarat has a significant presence in the T&A sector and is known by multiple epithets like the “Textile State of India”, the “Manchester of the East” and the “Denim Capital of India”. It is estimated that the state boasts of India’s 37% cotton production, 65% denim production, and 25% technical textile output.
Figure 30. T&A contribution to Gujarat’s economy 51 | Economic Master Plan for Surat Economic Region
Gujarat is the largest producer of synthetic fiber in India. The domestic MMF industry
mainly comprises two components i.e., polyester and viscose of which about 50% is
produced in Gujarat. Despite this predominance in the Indian context, T&A is not
the leading sector when it comes to contribution to the Gujarat state’s GDP. At 8.8%
manufacturing GVA (2019-2020), T&A is far behind the GVA contributions of sectors
like chemicals, oil and gas.Map 4. Gujarat T&A landscape
Source: Development of Mega Textile Park at Vansi, Navsari, Industrial Parks & Infrastructure,
Vibrant Gujarat, GoG, 2024
Gujarat has a robust manufacturing ecosystem, with 19 textile parks and 3 apparel park SEZs in districts of Bhuj, Ahmedabad and Surat. Also, the state has a strong presence of premier academic institutions like Ahmedabad Textile Industrial Research Association (ATIRA), Man-made Textile Research Association (MANTRA), National Institute of Fashion Technology (NIFT), Apparel and Leather Technics (ALT) Training College, National Institute of Design (NID) and the Surat Education and Research Society.
The state currently has 350+ engineering colleges, 41 polytechnics, and 770+ Industrial
Training Institutes (ITI)
24
.
SER is characterized by a high-volume yet low-value T&A sector as compared to other
clusters in India. Refer to Map 4, The region is endowed with an extensive ecosystem
of textile manufacturing as per South Gujarat Textile Processors Association: Economic Master Plan for Surat Economic Region | 52
a
Under the PM MITRA scheme, Government of India along with state governments establishing 7 PMMITRA Parks with
the aim of developing entire value chain (from farm to fashion) and enhancing exports. Of these, 1 mega-textile park
is proposed in the Navsari district of SER. The Mega Textile Park will be developed in Vansi village of Jalalpore Taluka in
Navsari district in area of 1142 acres (~ 4.6 Sq Km).
• Textile mills > 500 • MMF share in state> 65%
• Dyeing and printing units > 1,000
• Synthetic yarn production ~ 90%
of India
• Garment factories > 5,000
• Known for embroidery, printing &
dyeing
• Weaving units ~ 30,000• GI Tag- Surat Zari embroidery
• Process houses ~ 450 • Employment of ~1.6 million
• Wholesale markets ~ 200• MMF share in state> 65%
• ~ 95% units are MSMEs
• Synthetic yarn production ~ 90%
of India
Figure 31. SER dominates domestically in Fiber, Yarn & finished fabric
Source: South Gujarat Textile Processors Association, SGCCI
A major T&A dominated industrial area, the Surat apparel park SEZ is saturated. Inspired by the 5F vision of the Hon’ble Prime Minister- Farm to Fibre to Factory to Fashion to Foreign - Gujarat Industrial Development Corporation (GIDC) is developing the Mega Textile Park at Vansi, Navsari. This park is to be developed with assistance under the PM MITRA
a
scheme of the Ministry of Textile, Government of India. 53 | Economic Master Plan for Surat Economic Region
Viksit Gujarat@2047 has envisioned T&A amongst ‘Industry of the future’ with a focus
on:
• Building presence in the global value chain
• End-to-end manufacturing ecosystem
• Driving cluster-based growth
• Establishing a vibrant MSME ecosystem
• Carbon-neutral manufacturing processes
• Workforce trained in new-age skills
5.2.2 Several factors present opportunities for growth of the T&A sector in India
a. Geo-political developments can boost India’s chance to become a preferred
manufacturing destination. China has been the ‘factory’ of the world for decades,
dominating the global T&A trade. In recent years, there has been a noticeable
shift in this trend, with several countries seeking to relocate their sourcing.
Vietnam and Bangladesh have benefitted from this shift so far and India needs
to capitalize on its production capacity and attract leading manufacturers to set
up bases in India.
b. Production of high-value apparel offers significant opportunities for growth. Of
about $ 1200 billion global T&A market, the ‘apparel’ segment has the largest
share (~60%) and is the fastest growing @8% CAGR as depicted in Figure 32.
Apparel is currently the largest exported category in India’s exports, followed by
home textile and yarn with 16% and 13% share respectively. However, the global
export share of India in the apparel segment is 5% only. This opportunity needs
to be exploited by developing clusters of apparel manufacturing.
Figure 32. Global T&A market ($ Bn)
21
c. India can tap into the huge potential of technical textiles. The global technical textiles market is estimated at $ 212 bn in 2022 and is expected to reach $ 274 billion by 2027, growing at a CAGR of 5.2 percent during 2022-27
25
. India is the
5
th
largest producer of technical textiles globally. India’s trade of technical textile
products has been steadily growing and the country has been a net exporter. Economic Master Plan for Surat Economic Region | 54
However, there is a significant disparity in size and scale compared to the leading
countries.
• Technical textiles in India focuses on Packtech, which is primarily a low-value
and low-technology product. Manufacturing capabilities need to be created
in high-value technical textile categories like Indutech, Mobiltech, Sportech,
Meditech, Buildtech, etc.
• India needs to focus on promoting trading to improve its standing in the
global T&A sector. Highly dispersed manufacturing clusters and a lack of
global scale trading hubs in the country significantly impede its potential
to effectively get integrated in the global value chain. Besides increasing
mass manufacturing capabilities, creating necessary ecosystems for firms to
trade and distribute their inventories in minimum time and with maximum
profits is critical. Trade hubs that can integrate the supply chains on a hub
and spoke model can help this process. Supply chains encompass the entire
production process, and firms aiming to participate in global supply chains
can look towards such trading hubs as key locations to produce, add value, or
simply trade. The comparative advantage of these hubs lies in their ability to
concentrate a wide spectrum of supply chains within a single geographic area.
This concentration creates economies of scale and network effects that firms
can leverage. Each firm that integrates into a supply chain through a trading
hub enhances the efficiencies that make the hub increasingly attractive.
• Coastal cities with global and hinterland connectivity are rapidly becoming
advanced trading hubs. Dubai and Guangzhou are global benchmarks in
this regard. Creating similar trading hubs in prominent coastal cities of India
can bridge the gap between production and global export while serving as
critical points of access to global supply chains.
These are essential next steps to boost India’s prospects in the T&A sector.
5.2.3 Streamlining the T&A manufacturing ecosystem in SER
SER has a wide ecosystem and historic existence of the T&A sector. It needs to
compete with national and global majors in the apparel sector. This potential remains
unharnessed primarily due to the nature of its manufacturing units, lack of alignment
with global trends, environmental concerns and lack of skilled workforce.
a. There is absence of large-scale units for apparel production. Fragmented
downstream industry dominated by the MSMEs face the typical issues as in
other sectors such as lack of scale and efficiency; inadequate infrastructure
including worker housing, common facilities; lack of innovation;
environmental degradation largely due to non-compliance; etc. Moreover,
most of these units are concentrated in core city of Surat, which besides
being a sub-optimal use of a growing urban center is also exposed to several
environmental distress including exposure to flood risks , facing groundwater
depletion and logistical maneuverability issues. (refer Box 6) 55 | Economic Master Plan for Surat Economic Region
Box 6. Adajan, Mota Varacha, Katargam & Udhna face moderate to high flood risk
while the core city’s underground water tables are over-exploited
Note: Map is not to scale
*
Source: https://journals.sagepub.com/doi/
full/10.1177/0956247813495002 |
Map data: WRI India using IMD, CWC,
WRIS, SRTM, ESA World Cover and multiple
sources detailed in Annexure B.
Note: Map is not to scale
*Source: WRI using Central Ground Water
Board Annual Reports for 2017, 2020 and
2022
b. There is minimal presence in high-value segments and production largely
catering to domestic low-value demand for apparel that is not aligned with
global trends. SER is primarily focused on the mass production of yarn and
fabric; apparel is restricted to niche areas that do not cater to global fashion.
International major players and large subcontractors in apparel segments
are not present in the region.
c. Due to the lack of environmental compliance there are significant concerns
about environmental degradation caused by the manufacturing sector.
As the T&A production and processing involves the use of various types of
chemicals, dyes, pigments, etc., proper treatment and disposal of solid and
liquid waste is a challenge given that the ecosystem is highly fragmented
and dispersed across SER.
d. Like every other sector, the lack of skilled labor that can upscale value addition
remains a challenge. Labour engaged in the sector is migratory in nature
and largely unskilled, which leads to overall costlier operations. Despite the
presence of many research organizations and a network of skilling institutes
(Industrial training Institutes etc.), the skill sets remain disconnected from
industry demands. Moreover, Surat is on the right path but has not yet Economic Master Plan for Surat Economic Region | 56
become an aspirational city that highly skilled individuals would choose
above the rest of the cities to work and live.
The EMP proposes that the existing T&A manufacturing ecosystem of the SER
needs to be streamlined based on the baseline study that indicates the competitive
advantage of SER in textiles and MMF. By overcoming the extant challenges and
developing the PM Mitra at Navsari the manufacturing sector can be streamlined
to increase productivity, efficiency and ride up the value chain.
Based on a detailed examination of the endowments, global, national and
regional trends, as well as the comparative advantage of SER, the EMP proposal
includes:
(a) Development of PM MITRA,
(b) Streamlining of the existing MSME operations to bring in higher
efficiencies. The list of interventions is in Annexure V. 5.3
Gems and Jewelry Sector Economic Master Plan for Surat Economic Region | 58
SER is known globally for its expertise in natural diamond processing
(cutting and polishing). Currently, the sector focuses on low-value segments
of natural diamond processing rather than on high-value segments such
as international standard jewelry retail and manufacturing (including SER
is known globally for its expertise in natural diamond processing (cutting
and polishing). The sector has little presence in the high-value segments
such as international standard jewelry retail and manufacturing (including
silver, gold, natural diamonds, lab-grown diamonds etc.). The EMP aims
to revitalize the sector by streamlining the existing manufacturing
ecosystem through technological interventions in jewelry design,
manufacturing and metallurgy. This approach enables local businesses
and MSMEs to achieve global level quality, size and scale in production.
The Gems and Jewelry (G&J) industry is a vital pillar of the modern global economy,
transforming raw materials such as precious metals, diamonds, gemstones, and other
minerals into high-value and exquisite products. In India, this industry is one of the
oldest and most significant sectors, making a substantial contribution to the nation’s
economy and global trade.
5.3.1 Current Scenario of the G&J Sector
I. The global G&J Industry
The global outlook projects G&J sector to be on a growth path, with more than 50% of
global trade consisting of natural diamonds
26.
Figure 33. India ranks 5th globally in G&J exports, with a market share of 4.7% in FY22
27
Despite its rich heritage in jewelry craftsmanship and being regarded as a global hub for the production, processing, and export of gems and jewelry, India remains a medium player in the low-value segment
26
.
Figure 34. India has a limited presence in the high-value segment of global exports (FY22-23)
26 59 | Economic Master Plan for Surat Economic Region
The G&J market is highly concentrated, within 5 countries - the UAE, Switzerland,
USA, China, and Belgium, accounting for 78% of global imports
12
. The key sourcing
hubs for raw materials include Russia, Canada, Botswana, Brazil, Tanzania etc.
Jewelry manufacturing & retail are the largest and most value addition segment
within the G&J sector, where the brands play a key role. The United States and
the European Union are home to the world’s largest and most influential jewelry
brands, shaping the market at the global scale
9
.
II. India’s Treasure Trove: The Crucial Role of the Gems & Jewelry Sector in
National Prosperity
The G&J sector contributes approx. 7.5% of India’s overall GDP and 14% of its total
merchandise exports
28
.

The Indian G&J market was valued at $78.5 billion in FY21
28
,
with gold jewelry, dominating the market, accounting for a 66% share
29
.

Government of India has set the target of tripling G&J exports from $38 Bn to $100
Bn by 2027
9
.
Figure 35. Export & import stats related to the gems & Jewelry sector of India
12
For FY22-23, key export markets for India’s G&J sector include USA (33.4%), Hong Kong (23.4%), UAE (15.9%), Belgium (6.2%), Singapore (3.5%), and Israel (3.2%)
9
In 2022, India ranked 1
st
in the export of cut and polished diamonds, 1
st
in silver
jewelry, and 7
th
in gold jewelry
26
.
During FY22-23, cut and polished diamonds accounted for the largest share of exports (58.8%) in the G&J segment, followed by gold jewelry (25.1%), silver jewelry (7.8%), and lab-grown diamonds (4.5%)
27
. Economic Master Plan for Surat Economic Region | 60 Figure 36. India Gems & Jewelry exports between
April 2022 - March 2023
27
India’s diamond industry holds a dominant position globally, with a 95% share in cut
and polished diamonds, 90% of which are processed in Surat
30
. The major jewelry
manufacturing hubs in India include Jaipur, Mumbai, Delhi NCR, Kolkata, Rajkot, Thrissur,
and Hyderabad
31
. Mumbai and New Delhi are the primary wholesale and retail hubs.Figure 37. India Gems & Jewelry Imports ($ billion) between April 2022- March 2023
In FY2022-23, India imported $74 billion worth of G&J while exporting $38 billion, resulting in a trade deficit of $36 billion
12
. The primary imports include gold, rough
diamonds, and silver. Notably, India imported 800 tons of gold in this fiscal year
12
.
The gold consumption is highest among the middle-income group in India. The G&J sector employs over 5 million people in India
9
. Availability of skilled labor at low
costs in this sector has helped in establishing the country as a manufacturing hub for the G&J sector.
III. Gujarat, a key player in India’s G&J value chain
Gujarat plays a pivotal role in India’s G&J sector, offering a diverse and comprehensive ecosystem. This sector in Gujarat has a presence across the entire value chain, from raw material sourcing to the manufacturing of finished products. 61 | Economic Master Plan for Surat Economic Region
The state hosts several key clusters for G&J activities, including Surat, Rajkot,
Bhavnagar, & Ahmedabad. Gujarat accounts for almost 9 out of 10 polished
diamonds in India & also accounts for 80% of the country’s diamond exports
32
.
Figure 38. SER as the largest producer of cut & polished diamonds has a dominant position
in the G&J cluster in India. (Note: The map is for illustrative purposes only)
The state is home to a large pool of skilled craftsmen, whose expertise significantly contributes to the high quality and distinctiveness of Gujarat’s G&J products. Furthermore, Gujarat houses prominent educational institutions in the sector, such as the Indian Diamond Institute (IDI) and the International School of Gems & Jewelry (ISGJ).

IV. SER is a global hub for natural diamond processing and exports
Surat is globally recognized for its robust ecosystem in natural diamond processing and related industries. Often referred to as the “Diamond City,” Surat has gained international prominence for its expertise in cut & polished diamonds, lab-grown diamonds (LGDs), and silver jewelry.
SER contributes significantly to India’s diamond exports, mainly in cut and polished
diamonds, accounting for about 53% of India’s total diamond exports
30
. The region
processes around 90% of the world’s natural diamonds and approximately 25%
of the global lab-grown diamonds
30
. The region hosts around 6,000 diamond-
cutting and polishing units, with approximately 70% being MSMEs
33
.The units
are mostly concentrated in the Mota Varachha area. These units employ over 1.5
million people
32
. Surat benefits from the presence of skilled manpower and a good
presence in booming lab-grown diamond industries (Green Lab, Limelight and
Cupid, etc.) Economic Master Plan for Surat Economic Region | 62
Figure 39. SER as the largest producer of cut & polished diamonds has a dominant
position in the G&J cluster in India
Strategic Infrastructure of SER: The development of Special Economic Zones
(SEZs), Gems & Jewelry Parks, and bourses in SER has significantly contributed to
the growth of the G&J sector.
A. Surat Diamond Bourse (SDB): Located in DREAM City, Surat, the SDB is the
world’s largest office building and a premier trading hub for G&J. The Bourse spread
over 36 acres (0.1 Sq Km), consolidates the diamond trading process by bringing
together importers, traders, cutters, polishers, and certifiers, making it a global
attraction and a catalyst for economic growth in the region
30
. 63 | Economic Master Plan for Surat Economic Region
B. Gujarat Hira Bourse (GHB): Situated in Ichchhapore, Surat, the GHB Park
includes a trading hub, convention center, and essential infrastructure, covering
247 acres (1 Sq Km)
30
.
C. Surat SEZ (SuRSEZ): Located in Sachin GIDC, Surat, SuRSEZ hosts over 250
units representing various industry segments, including jewelry making, diamond
processing, engineering, textiles, textile machinery, and pharmaceuticals.
Manufacturers setting up units in SuRSEZ are eligible for various incentives
30
. The
zone spans around 124 acres (0.5 Sq Km).
D. Indian Diamond Institute: Located in Surat, the Indian Diamond Institute
offers educational and training programs, along with gemological laboratory
services, further strengthening the region’s position as a leader in the diamond
industry.
E. Connectivity: The region is well-connected, with an international airport,
proximity to the Hazira port, and a comprehensive transportation network,
making it an attractive destination for investors and manufacturers. The region’s
proximity to the India-Middle East Economic Corridor (IMEC) and India’s Free Trade
Agreements (FTAs) with various countries (e.g., UAE, Australia, Indonesia) further
enhance SER’s appeal.
SER stands out as a vital hub for the global diamond industry, supported by a
strong infrastructure, skilled workforce, and strategic location.
5.3.2 Broad value chain of G&J Sector in SER
Figure 40. SER dominates in natural diamond processing but lacks in Jewelry manufacturing & retail
Source: Surat jewelry manufacturers association (SJMA)
Figure 41. SER presence in G&J Chain
Despite having a rich ecosystem and a long-standing presence in the G&J sector, Surat is unable to compete with global industry players. The global retail jewelry sector is dominated by major brands. Unfortunately, SER lacks the presence of large global brands, limiting its ability to establish a stronger foothold on the global stage. Economic Master Plan for Surat Economic Region | 64
5.3.3 Several factors present opportunities for growth of the G&J sector in India &
SER
The demand for gems and jewelry, both globally and locally, is projected to grow in
the coming years, offering India & SER an opportunity to increase its share in the
global market.
• Global market growth: Factors such as the expansion of the middle class, rising
disposable incomes, increasing demand for lab-grown diamonds, diamond
studded jewelry (in silver and gold), and branded jewelry contribute to this
growth. China and India are anticipated to be the fastest-growing markets due
to favorable demographic and economic factors.
• High-value segments: There is a pressing need to venture into high-value
segments such as jewelry retail and manufacturing (including silver, gold, and
lab grown diamonds). Despite India’s relatively low global export share in various
jewelry segments ~6% in gold jewelry, ~1.4% in imitation jewelry, and ~25% in lab-
grown diamonds there is potential to capture a larger market share. Leveraging
existing infrastructure, expanding jewelry offerings, and attracting leading
jewelry manufacturers to set up operations in India can significantly enhance
India’s global market presence. The trend of “China + 1” is expected to support
this expansion.
• Global-Scale Trading Hubs: To strengthen its position in the global G&J sector,
India must develop global-scale trading hubs. Upgrading jewelry manufacturing
capabilities and creating efficient ecosystems for rapid supply and profitable
trade is crucial. Establishing trade hubs with integrated supply chains and
economies of scale will attract major firms, boost efficiency, and improve India’s
global prospects.
• Government Support: The GoG has designated the G&J sector as a key focus
area for development.
• The Viksit Gujarat @ 2047 vision document further highlights G&J as a priority
sector, emphasizing the need for formal training programs and the attraction of
new talent to drive innovation.
Table 3. Global and National Scenario of gems & jewelry sector
Commodities Global ($ Billion) India ($ Billion) Projection
Gems & Jewelry market
300.4 (2021) 395.74 by 2027
a78.5 (2021)
India to reach 100 $ Billion by 2027d
Gems & Jewelry export
300.4 (2021)
395.74 by 2027
a
38 (FY22-23)
b
Global contribution
4.7% (Rank 5)
India to reach 100 $
Billion by 2027
d 65 | Economic Master Plan for Surat Economic Region
Commodities Global ($ Billion) India ($ Billion) Projection
Cut &
polished
diamonds
export
85.41 (FY21-22)
(Major Importers
- US, Hongkong,
China, UAE,
Belgium,
Switzerland, Israel)
c
26.33 (FY21-22) –
Constitutes 59% of
India’s G&J exports
(India share country
wise – USA 52.1%,
Hongkong 42.5%,
China 34.7%, UAE
32.3%, Belgium –
43.8%)
c
36 US$ Billion
export potential
c
(Potential Markets
-Switzerland, UK,
France Italy)
c
Lab-grown
Diamonds
Export
6.11 (FY21-22)
China produces
56% of global
production, India
15% (2019)
c
2.12 (FY21-22) – 4.5%
of G&J Export
(India share country
wise – USA 67%,
Hongkong 14%)
d
Globally $ 15
billion by 2035
d
-
(Potential markets
-China, Thailand
Korea, Germany,
Vietnam)
c
Gold &
Diamond
Jewelry
Export
54.03 (FY20)
(Major importers-
Hongkong,
Switzerland, UAE,
USA, China)
c
5.4 (FY20)
(India Share country
wise – UAE 34.4%,
USA 23%, Hongkong
7.2%)
c
(Potential markets
- China, France,
Singapore, UK,
Japan, Italy)
c
Silver Jewelry
Export
10.28 (FY21-22)
(Major importers
– USA, Hongkong,
Germany, UK,
France)
c
3.37 (FY21-22) – 7.8%
of G&J Export
(India share country
wise – Hongkong
68.9%, USA 20.7%,
Germany 3%)
c
3.4 $ Billion Export
Potential
c
(Potential markets
– Germany, UK,
France, China, Italy)
c
Source: a - Precision report, b - GJEPC Report, c - Unleashing export potential GJEPC, d - PIB
Leveraging these opportunities will be crucial for SER to enhance its global
competitiveness and realize its potential as a leading Jewelry hub.
5.3.4 Challenges
For the SER to realize these opportunities and consolidate its position as a global
jewelry hub, certain inherent challenges would need to be addressed: Economic Master Plan for Surat Economic Region | 66
a. Output not aligned with global market demands:
• While SER excels in diamond cutting and polishing, it has a limited
presence in high-value segments like jewelry manufacturing, retail, lab-
grown diamonds etc.
• The region falls short in meeting the high-value global and domestic
demand for gold and silver jewelry.
• There is a notable absence of a dedicated jewelry trading bourse hindering
its competitiveness.
b. Absence of global players:
• Major international jewelry retailers and manufacturers are not present
in SER, limiting its global influence.
c. Export/ Import bottlenecks
• Unlike Mumbai and Delhi, SER encounters export/import (including
customs procedures) delays.
• Although Surat is renowned for its diamond industry, it has yet to establish
itself as a major player in the global jewelry market.
d. Human resource constraints
• Although there is sufficient skilling infrastructure (ITIs), these institutes
are not aligned with modern industry needs.
• The region also lacks Centers of Excellence offering specialized courses
that meet global standards in areas such as precious metallurgy, jewelry
design, manufacturing, and modern technologies such as AI & ML. Skill
requirements and course curricula are outdated, failing to keep up with
evolving industry demands.
• There is a shortage of aspirational infrastructure for workers and senior
management, which hampers the recruitment and retention of talent.
• The workforce is primarily migratory and unskilled, leading to higher
operational costs. Moreover, Surat is yet to be developed as a desirable
location for highly skilled professionals.
e. Fragmented Manufacturing ecosystem:
• The G&J manufacturing sector in SER is hindered by its fragmented
structure, with many units primarily focused on natural diamond
processing rather than diversified, high-value jewelry production. The
sector lacks essential capabilities, including advanced design skills,
expertise in metallurgy, and access to high-end machinery/software,
which are critical for meeting global market demands.
• The G&J sector of SER is also dominated by MSMEs that struggle with
issues like lack of scale, efficiency, and inadequate infrastructure,
including worker housing and common facilities.
• The lack of alignment with global trends restricts the sector’s growth
and limits its appeal to major international players. 67 | Economic Master Plan for Surat Economic Region
Addressing these challenges will be crucial for SER to enhance its global
competitiveness and realize its potential as a leading jewelry hub.
The EMP recommends a comprehensive set of proposals aimed at enhancing
value in the G&J sector, intending to achieve high GVA & increase employment
opportunities
To transform SER as a global jewelry hub by 2047, it can adopt a strategic,
multi-pronged approach centered on:
Figure 42. Volume to value transformation
Based on a detailed examination of the endowments, global, national and regional
trends, as well as the comparative advantage of SER, the EMP proposes the existing
ecosystem operations are streamlined to bring in quality & higher efficiencies. The list
of interventions is at Annexure V.
5.3.5 Streamlining the existing manufacturing ecosystem, enabling SER to scale
up production and achieve significant growth in terms of quality, size, and scale
The textile industry is one of the oldest and the most widespread industries in Surat.
It is mainly engaged in the activities of yarn production, weaving, processing as well
as embroidery. This industry creates employment for low and semi-skilled labour
but at the same time is not highly promising in terms of value addition. This has not
been the case with peer countries. This is due to various reasons, such as scattered
units, polluting processes, limited product portfolios that cater largely to low-value
domestic markets, and more.
For SER to retain its historic position in textiles and take it to a greater height,
streamlining the existing fragmented and low-value manufacturing to high-value
manufacturing is required. This will not only add more jobs to the region but also
help in global branding. Economic Master Plan for Surat Economic Region | 68
Figure 43. Manufacturing needs to shift gears from high volume to high value
Graphic Source: www.presentationgo.com
Figure 44. 5T strategy to transition the sector to a higher growth trajectory
Source: Created based on inputs from NID Ahmedabad
This will need a 5T approach- Track, Trend, Train, Transforming processes and Trade
(refer to Figure 44). At State and SER levels, consistent global demand tracking is
required so that the policies and incentives can be oriented toward these trends.
Accordingly, an industrious pool of labour needs to be created to produce competitive
quality products. To manage the environmental fallouts, processes need to be
transformed. Lastly, the port proximity must be harnessed to enable global trade.
A robust ecosystem needs to be created to enable the above-mentioned functions.
(refer to Figure 45). 69 | Economic Master Plan for Surat Economic Region
Figure 45. Streamlining the ecosystem to achieve the transition
from high-volume to high-value businesses
Source: Created based on inputs from NID Ahmedabad
It is proposed that to bring more size, scale, and efficiency to the operation of MSMEs,
a smart ‘plug and play’ facility can be developed in the vicinity of the city where they
are currently operating. Therefore, an industrial park (750 acres ~ 3 Sq Km) for MSMEs
has been proposed at Talangpore near Sachin GIDC at an average distance of 20 km
from the city core. This will cater to both sectors (T&A and G&J). A brief description of
the proposed intervention is as below:
• Infrastructure:
• Large plots for big players
• Sheds for MSMEs
• Mega- common facility centre with
- CETP
- Common Boiler
- Testing and certification
- Warehouses
- Business support centre
- Roads and other support infrastructure for the estate
• Facilities for workers
• Dedicated e-bus service for transport to labour
• Rental housing for workers, particularly women
• Creche and school for children
• Basic amenities- water, sanitation, healthcare
The potential locations of all the proposed activities are depicted in Figure 56.
5.3.6 ‘Bharat Bazaar’ - the trading gateway to India
Despite India’s extensive production capabilities and global standing in both sectors
G&J and T&A, the absence of a major trading hub remains a major drawback.
Currently, both global and domestic value chains remain linear underlining the need
for a strategic shift to a hub and spoke model as depicted in Figure 46. Economic Master Plan for Surat Economic Region | 70
Figure 46. Domestic value chain is largely linear in the absence of a trading hub on a global scale
In addition to scaling up manufacturing, India also requires a conducive ecosystem to
support trade and export of goods. Guangzhou, a coastal city in Southern China, serves
as a prime example of how a city can become a global trade gateway for multiple
sectors, including electronics, textiles, apparel, and more. This transformation has
significantly boosted China’s economy by making Guangzhou both a showcase and
a center of trade.
India currently lacks a comparable trading hub. The markets are dispersed and do not
facilitate procurement and the Indian businesses need to travel abroad to procure
raw materials, products, and services at the necessary scale, increasing production
costs and limiting growth. An ecosystem for B2B & B2C needs to be created to
cater to global & regional markets.
Figure 47. Need to shift from linear to ‘hub & spoke’ model of trade and services
To achieve the Viksit Gujarat@2047 vision, it is crucial that the State aims to brand and promote sectors where it has a comparative advantage, for example, the T&A and G&J.
SER can leverage its locational advantage, multiple mega infrastructure connectivity
projects, and an existing ecosystem to develop a service-led growth model which is
dominated by trade and commerce. By strengthening the infrastructure and providing
a robust platform for products manufactured and sourced from across the country,
SER can position itself as a leading global hub. Achieving this will require building
a strong ecosystem that includes manufacturing, skilling, innovation, infrastructure
development, trade facilitation, and effective branding and promotion.
Proposed Approach for SER:
The EMP proposes to establish SER as a value-added trading hub for various goods.
To begin with, the focus is proposed on the T&A and G&J sectors, where the region
already has a well-established ecosystem. In the future, other categories such as
electronics, furniture etc. can be easily added to it. With the China+1 strategy and
replicating the Guangzhou and Dubai model, India has an opportunity to offer the
Global South a unique B2B and B2C alternative. Box 7 and Box 8 provide a snapshot
of the Guangzhou and Dubai model of trade. 71 | Economic Master Plan for Surat Economic Region
SER has the potential to establish itself as the fashion capital of India. The proposed
approach can also enable to raise the market status of SER in the long run.
Dedicated B2B and B2C zones are proposed to be developed in SER as depicted in
Figure 48.

Based on this approach, dedicated B2B and B2C zones are proposed to be developed in SER as
depicted in the figure below:

Figure 45. Proposed approach for establishing SER as a global gateway of trade and services in T&A and
G&J sectors

SER can become a leading B2B and B2C hub through
a strategic plan that, inter alia needs to include a
suitable incentive package, fiscal and non-fiscal.
It is proposed that based on incentives offered from
globally recognized economic zones like GIFT City,
Guangzhou, and Dubai ; a suitable incentive package
may be developed for Bharat Bazaar that would offer
a competitive edge by fostering an environment
conducive to business growth, innovation, and
international trade. By adopting and customizing these
incentive structures, SER can attract significant foreign
direct investment (FDI), boost local enterprise growth,
and establish itself as a key player in both B2B and B2C
markets.
Figure 48. Proposed approach for establishing SER as a global gateway of trade and services
in T&A and G&J sectors
SER can become a leading B2B and B2C hub through a strategic plan that, inter alia needs to include a suitable incentive package, fiscal and non-fiscal.
It is proposed that based on incentives offered
from globally recognized economic zones like GIFT
City, Guangzhou, and Dubai; a similar incentive
package may be developed for Bharat Bazaar
that would offer a competitive edge by fostering
an environment conducive to business growth,
innovation, and international trade. By adopting
and customizing these incentive structures, SER
can attract significant foreign direct investment
(FDI), boost local enterprise growth, and establish
itself as a key player in both B2B and B2C markets.
A comparable incentive structure, inspired by
those offered by several renowned organizations, is
detailed in Annuxure V.
Figure 49. Potential location of B2B &
B2C zones Economic Master Plan for Surat Economic Region | 72
Dovetailing B2B & B2C functions; SER shall act as the “Gateway of Trade &
Commerce” that offers retail, wholesale, and associated services using a hub-
and-spoke model.
The B2B ecosystem of Guangzhou is well documented as indicated in Box 7
Box 7. How Guangzhou became a major trading hub
Guangzhou, located in southern China at the northern edge of the Pearl River
Delta, has evolved into a prominent global trading hub, often referred to as China’s
“Southern Gate” or “Gateway.” It serves as the core city of the Guangdong-Hong
Kong-Macao Greater Bay Area and the Pan-Pearl River Delta Economic Zone
and is a pivotal hub along the Belt and Road Initiative.
Figure 50. Hub and spoke trading model of Guangzhou
Note: Arrows are indicatively shown to represent the connectivity of Guangzhou with manufacturing zones
Source: https://www.wedoimport.com/wholesale-markets/other-wholesale-market/
Guangzhou hosts over 50 wholesale markets for a wide range of products, including jewelry, apparel, gifts, bags, fabrics, shoes, hotel supplies, auto parts, beauty products, electronics, phone accessories, toys, watches, and eyewear. These products are manufactured in various parts of China and then transported to the Guangzhou region. Major importers include the USA, Europe, India, African nations, and Southeast Asian countries. 73 | Economic Master Plan for Surat Economic Region
beauty products, electronics, phone accessories, toys, watches, and eyewear.
These products are manufactured in various parts of China and then transported
to the Guangzhou region. Major importers include the USA, Europe, India, African
nations, and Southeast Asian countries.
Figure 51. The robust trading ecosystem and multiple offerings in Guangzhou
make it a go-to trading destination
Guangzhou’s transformation into a leading trading hub has been shaped by several key factors over its rich history of more than two millennia:
• Nestled on the Pearl River, Guangzhou enjoys direct access to the South
China Sea, making it a prime port for maritime trade.
• Free Trade Zones: Modern developments, such as free trade zones, provide
tax incentives and streamlined customs procedures, drawing in multinational
corporations.
• Robust Manufacturing: Products manufactured throughout China are
efficiently transported to Guangzhou, which is well-connected to factories in
the hinterland, bolstering its role as an international trading hub.
• Canton Fair: Since 1957, the Canton Fair has been hosted in Guangzhou,
attracting buyers from over 215 countries and regions, further cementing its
status as a global trading hub
b
.
These geographic, fiscal, and non-fiscal factors have established Guangzhou as
a significant trading hub on the coast of South China.
b
https://news.cgtn.com/news/3d3d514d32676a4d31457a6333566d54/index.html Economic Master Plan for Surat Economic Region | 74
Figure 52. Benchmark – Guangzhou wholesale Markets & Dubai Dragon Mart
The establishment of a B2B trading ecosystem in SER would need the following
measures:
1. Development of Infrastructure to support B2B activities.
2. Creation of a support ecosystem by planning and establishing logistics,
trunk infrastructure, and ancillary industries.
3. Enhancement of MSME clusters by streamlining existing MSME clusters
to improve productivity and establishing new clusters to feed into the hub
necessary products where currently there remains a gap in production
capacity in the country.
4. Addressing skilling needs to meet the industry’s requirements to support
growth.
5. Providing incentives to create an investor-friendly environment & attract
major players
In this perspective, a B2B zone is proposed near HSR which can provide an
end-to-end ecosystem to sustain and flourish wholesale function at a global scale
with the following salient features:
• End-to-end business services from trade, cataloging, and communication to
e-commerce
• Facilities: Wholesale market blocks, warehouses, malls & retail space
• Hospitality & Support Facilities: Premium 5-star hotels, business hotels,
restaurants, housing, care facilities, hospitals, green spaces
• Connectivity: Improve transit through multiple bespoke services, including
shuttle services, metro rail, helipads, vertiports etc. to cater to different needs.
• Seamless connectivity with DREAM city, airport & major manufacturing
clusters of India
• Area – 2000 Acres ~ 8.1 Sq Km (approx.)
• Estimated Project cost ~ $ 1 Bn 75 | Economic Master Plan for Surat Economic Region
More detailed information is included in Annexure V. A conceptual 3D view of the B2B
zone is presented in Figure 53
Figure 53. Conceptual 3D view of proposed B2B Zone at HSR Zone, Surat
To effectively become a ‘gateway of trade & commerce, it would be pertinent to focus upon the retail segment. A B2C trading hub is proposed to be established to position SER as the fashion capital in both T&A and G&J. Dubai’s retail ecosystem has been taken as a benchmark to arrive at the proposal for SER. A snapshot of Dubai’s retail is in Box 8. Economic Master Plan for Surat Economic Region | 76
Box 8. Dubai’s retail ecosystem
Dubai has become a global benchmark of the retail ecosystem. It is a vibrant and
dynamic city known for its blend of luxury shopping and innovative e-commerce
solutions. Dubai is renowned globally for its upscale retail experiences, attracting
millions of tourists annually. The city hosts a diverse array of global and regional
brands, from luxury labels like Hermes and Richard Mille to popular consumer
brands like Nike and Adidas
34
. The retail sector is a significant contributor to Dubai’s
economy, creating over 2,50,000 jobs and driving substantial economic growth.
Dubai’s free zones are special economic areas designed to attract foreign
investment and boost economic activities. These zones operate under more liberal
regulations than the mainland, offering unique benefits to businesses.
Advantages
• Tax-free environment with a dollar-based economy
• High standard of living and luxury amenities
• Efficient logistics and global trade opportunities
• Proximity to Europe, and Africa via ports like Jebel Ali
Notable Examples:
Dubai Internet City: A hub for tech companies. 77 | Economic Master Plan for Surat Economic Region
Dubai Multi Commodities Centre: Specializes in gold, diamonds, metals, tea,
and food grains.
Jebel Ali Port: A major logistics and trade hub.
Dubai Airport Free Zone: Facilitates efficient movement of goods.Figure 54. Benchmark – Dubai gold souk & Dubai textile souk
In case of SER following measures would help create a thriving retail ecosystem:
1. Improving ease of doing business
2. Developing retail spaces catering to different segments
3. Establishing a state-of-the-art convention center for exhibitions, fashion shows,
and networking events
4. Creating SER as a hub through a well-curated initiative in a public-private
partnership mode where global brands are incentivized to establish a base in SER
5. Creating the necessary ecosystem for promoting Indian brands
6. Providing an incentive mechanism to create an investor friendly environment
& attract major players
The B2C zone is proposed to be located at DREAM City, Surat with the following
salient features:
• Facilities: G&J souk, textile & apparel souk, jewelry bourse, textile & apparel
bourse, an artisan village, experience centre, museum, upgradation of the
existing convention center, luxury malls, retail spaces, premium 5-star business
hotels, restaurants, IB school, green spaces, public spaces, etc.
• Connectivity- Seamless connectivity with B2B zone via shuttle services, metro
rail, helipads, vertiports etc.
• Area - 310 acres (~ 1.3 Sq Km approx.) (Note: The total area of DREAM city is 1683
acres ~ 6.8 Sq Km)
• Estimated Project cost ~ $ 3Bn
More detailed information is given in Annexure V. A conceptual view of the B2C zone
is presented in Figure 55. Economic Master Plan for Surat Economic Region | 78
Figure 55. Conceptual 3D view of proposed B2C Zone at DREAM City, Surat
Potential locations of all the proposed B2B and B2C zone activities are depicted in the
Figure 56. 79 | Economic Master Plan for Surat Economic Region

Figure 56. Proposed location of projects
5.3.7 Meeting the skilling needs of the industry
Both the T&A and G&J sectors need skilled artisans and professionals. Moreover, with
the proposed ‘Bharat Bazaar’, SER can become a leading B2B and B2C hub. Shortage
of skilled workforce and the need for continuous training and upskilling can be a
challenge. This cannot be left to market forces.
Specific and focused interventions in both sectors are the need of the hour. A non-
exhaustive and illustrative list of skilling interventions is presented in Box 9.
Box 9. Streamlining the ecosystem to achieve the transition from
high-volume to high-value businesses
1. e-Learning Applications for Artisans:
a. Develop mobile apps with bite-sized lessons for on-the-go learning. Enable diamond artisans to access educational content anytime, anywhere, fostering continuous skill development.
b. Establish online platforms connecting Surat’s industries with international experts. Facilitate virtual masterclasses, collaborative projects, and mentorship programs to provide a global perspective on craftsmanship.
c. Develop educational games and interactive learning modules focused on the diamond industry. Gamify the learning process to engage a younger demographic and make skill development enjoyable and accessible. Economic Master Plan for Surat Economic Region | 80
2. Virtual Reality Simulators:
a. Develop a cutting-edge virtual reality (VR) simulator to train artisans.
Allow trainees to practice intricate diamond cutting, embroidery, and
garment techniques in a simulated environment, enhancing skills in a
risk-free setting.
3. Diamond /Jewelry/ Textile Design Courses:
a. Integrate artificial intelligence into design courses. Offer personalized
systems that adapt to individual learning styles, ensuring a comprehensive
understanding of design principles and trends.
b. Launch an apprenticeship program in collaboration with local businesses.
Provide hands-on training and mentorship opportunities for aspiring
artisans, fostering real-world skill development.
c. Introduce courses on sustainable practices in manufacturing. Train
artisans on eco-friendly techniques in textile processing and ethical
sourcing to meet the growing demand for sustainable and responsibly
produced diamonds.
4. Blockchain-Based Certification System:
a. Implement a blockchain-powered certification system for sector industry
skills. Ensure transparency and global recognition of skill certifications,
making SER’s workforce more attractive to international employers.
5. Talent Exchange Program:
a. Establish exchange programs with international research & development
centers to promote cultural exchange and skill development. Allow
artisans to experience different industry practices, expanding their skill
sets and global perspectives.
b. Create a mentorship network connecting experienced industry
professionals with emerging talents. Facilitate knowledge transfer, skill
development, and career guidance to nurture the next generation of
leaders.
c. Introduce research fellowships to attract scholars and scientists to
explore novel applications. Support projects contributing to scientific
understanding and technological advancement in the sectors.
Source: Inputs from Amresh Panigrahi, National Institute of Design, Ahmedabad (2023) 81 | Economic Master Plan for Surat Economic Region
Sector-focused skilling infrastructure interventions are proposed in Edu-city. The
details are in the Education and Skilling section.
5.3.8 Policy interventions to bolster growth in SER
T&A sector:
• Import duties on raw materials: To make the price point of the
commodities manufactured in India globally competitive, the input costs
need to be optimized. Few large firms produce a significant amount of
the synthetic raw materials that are consumed by the T&A sector in India.
Various stakeholders have raised a need to rationalize applicable duties
on synthetic raw materials.
• Skilling: There are multiple skill development schemes at national and the
state level like Samarth 2.0, PMKVY 2.0 & 3.0, and Gujarat Mukhyamantri
Bhavishya Lakshi Kaushal Vikas Yojana. A thorough convergence and
scaling up of interventions are required to address skill gaps in the sector
with a greater focus on industry-academia connect.
G&J sector:
• Resolve Customs Bottlenecks: Stakeholders in Surat face significant
challenges related to customs procedures, particularly in the G&J sector.
These issues impact various aspects of the trade, such as transporting
G&J products for global exhibitions, importing raw materials like lab-
grown diamonds, and exporting finished products. Unlike in Mumbai
and Delhi, where customs clearance can be completed within a day,
Surat’s processes are slower and more cumbersome. This delay not only
hampers the efficiency of businesses but also puts Surat at a competitive
disadvantage in the global market. Streamlining these customs
procedures is crucial for enhancing the city’s trade capabilities and
ensuring that it can compete effectively with other major global hubs
5.3.9 Planning and implementing support ecosystem- logistic & trunk
infrastructure, ancillary industry
To develop a robust B2B and B2C hub for the T&A and G&J sectors, enhancing logistics
and trunk infrastructure across Surat is crucial. This includes leveraging key transport
routes such as the Western Dedicated Freight Corridor, Hazira Port, Delhi-Mumbai
Expressway, Regional Ring Road, and Outer Ring Road. Upgrading Surat Airport will
also be necessary to support these activities. Economic Master Plan for Surat Economic Region | 82
Figure 57. Proposed connectivity interventions to enable the functioning of ‘Bharat Bazaar’
The proposed Multi-Modal Logistics Parks (MMLPs) at Hazira, Olpad, and Niyol will
facilitate efficient goods storage & movement. For seamless connectivity between the
B2B zone at HSR Surat and the B2C zone at DREAM City Surat, regular shuttle buses,
metro lines with stations, and an EVTOL network with vertiports should be established. 83 | Economic Master Plan for Surat Economic Region
5.4 Capital Goods & Ancillary Industry
To establish a comprehensive B2B and B2C hub for the T&A and G&J sectors, the
GoG and the GoI need to focus on developing not only the capital goods sector but
also essential ancillary industries such as packaging, paper-related materials, printing
& dyeing, and metal products, etc. These industries are vital for completing the
ecosystem, enabling SER to become a global hub in these sectors.
Proposed approach
To address current challenges and capitalize on emerging opportunities, a strategic
and coordinated approach is necessary. This involves developing a robust ancillary
industry ecosystem in and around SER, leveraging a cluster-based model. This model
will enhance India’s competitive edge by creating specialized clusters across various
industries, including packaging, printing & dyeing, paper-related materials, metal
products, and medical devices.
Moreover, it is vital to establish connectivity linkages between these clusters and
SER. These linkages will facilitate the smooth movement of goods, services, and
information, ensuring that all components of the ecosystem work in unison. With the
strengthening of these connections, SER can improve supply chain efficiency, reduce
costs, and enhance the overall effectiveness of its B2B and B2C zones.
Proposals
1. Cluster Development:
o Establish new clusters within SER and strengthen existing clusters across
India with a focus on key industries like packaging, printing, & metal
products, etc.
2. Connectivity Linkages:
o Develop and enhance transportation, communication, and digital
infrastructure to establish strong linkages between clusters and the SER.
To enable the seamless flow of goods and services, enhancing operational
efficiency and reducing logistical challenges.
3. Technology Adoption:
o Prioritize the adoption of automation, digitization, and sustainable practices
within the capital goods and ancillary industries to align with global trends
and standards.
By implementing these proposals, SER can transform its Bharat Bazaar into a globally
competitive powerhouse, reducing reliance on imports, boosting exports, and driving
sustainable economic growth. The establishment of connectivity will further enhance
the integration and efficiency of these industries, ensuring that SER’s growth drivers
are well-positioned for future success. Economic Master Plan for Surat Economic Region | 84
Figure 58. Building domestic supply chains of existing capital goods clusters within India 6
Developing new
avenues of growth Economic Master Plan for Surat Economic Region | 86

A set of emerging growth avenues have also been identified as part of the
EMP. The tourism sector is envisioned as a major source of income and
employment by capitalizing on SER’s natural and cultural assets. SER’s
prime location and connectivity infrastructure can be leveraged to ensure
real estate growth by establishing it as a premier destination for high-end
living. Additionally, promotion of natural farming practices to enhance
sustainability and support the well-being of local farmers
Box 10. New Avenues of Growth
Tourism
Real Estate
Agriculture
Leveraging SER’s natural and economic
aspects to develop a holistic & tourism
sector that becomes a major source of
income and employment in the region
Utilizing the locational advantage of SER,
position it as a viable alternative for high-
end living & high-quality living space with
all amenities
Promote natural farming practice
that supports farmers’ well-being and
sustainability 6.1
Tourism Economic Master Plan for Surat Economic Region | 88
SER has not leveraged its immense tourism potential and there remains
significant opportunities to develop tourism as a major growth driver that
would contribute substantially to the GVA, create jobs and help position
SER on the global arena. At the same time, it is necessary to develop
tourism in a manner that is responsible, sustainable and inclusive for the
native population. The EMP proposes a hub-and-spoke model to develop
the tourism sector in SER and give suggestions on managing tourism
Gujarat ranked 5
th
in tourist arrivals in 2022, accounting for 7.5% of domestic tourists
and 20.7% of foreign tourists
35
.
Viksit Gujarat@2047 aims to make Gujarat among the top three tourist destinations
in India and transform the state into a prominent global tourism hub. The Vision aims
at enhancing the share of international tourist visits, boosting the contribution of
tourism to the State’s GVA and Gujarat’s share of India’s tourism GDP, and extending
the average length of stay for visitors.
SER can become a key destination for achieving the goals of Viksit Gujarat@2047.
The region is endowed with several key attractions including a ~200km coastline
36

several hill stations, two wildlife sanctuary, a national park, numerous beaches,
heritage buildings, and ecotourism sites such as campsites, lakes, and botanical
gardens. Despite these diverse attractions, it presently records low tourist footfall.
Among the six districts of SER, only Surat at the 6
th
position
37
features in the top 10
districts of Gujarat recording annual tourist footfall. As an economic hub in the region,
business can be one of the major hooks for attracting visitors. Coupled with its natural
endowments and rich heritage, SER could be positioned as a tourist destination by
making business-led tourism a key plank. The EMP recommends that the region
adopts a hub-and-spoke approach for increasing tourist footfalls, extending average
lengths of stay, and optimizing expenditure by strategically building a linked network
of numerous tourist sites around key major hubs.
In addition to developing tourist sites, there is a need to leverage South Gujarat’s
vibrant heritage and culture to create unique experiences to attract tourists, where
timeless traditions, rich history, and contemporary luxuries come together to create
a symphony of unforgettable experiences across both hubs. Hence, experiential
tourism has been recommended as a separate segment.
The details of this approach is presented in Box 11.
Box 11. Hub and Spoke approach to develop the tourism sector in SER
Developing tourist sites, addressing connectivity issues through bespoke projects,
creating experiences premised on the local heritage and history, and focusing on the
development of soft skills form part of this approach. Additionally, key interventions
to ensure responsible and sustainable tourism have been proposed. The approach
is as follows: 89 | Economic Master Plan for Surat Economic Region
1. Identification of the key tourist attraction centers around which hubs
can be developed
• Existing tourism endowments of the region including cultural & heritage
sites, ecotourism sites, beaches, etc.
• Leveraging existing endowments to unlock their full potential (vast
coastline, adaptive transformation of heritage sites)
2. Planning new projects and experiences complementing existing
attractions to increase footfall and time spent by tourists
• Introducing new activities/experiences (eg. rural tourism with tribal-
based lifestyle experiences, development of homestays; cruise tourism;
theme parks)
• Develop amenities or services (hospitality, recreational facilities)
• Supplementary activities to enhance visitor experience, encourage
longer stays, and cater to a broader range of interests and preferences.
(eg. curated / signature events such as art & craft exhibitions, cultural
festivals, food festivals, and retail experiences)
3. Enhance the tourism sector through skill development and improved
connectivity
4. Implement a structured strategy catering to various tourist demographics
Based on this approach, two hubs have been identified to promote tourism in
SER–
Figure 59. Hub and spoke approach
Narmada, adjacent to SER, can serve as a key spoke for both tourism hubs, potentially benefiting the region by accommodating tourist spillover and enhancing the overall visitor experience. Economic Master Plan for Surat Economic Region | 90
6.1.1 Surat as the business-led tourism hub
Through strategic planning and implementing key interventions, Surat with its
existing endowments and bustling business environment can become a dynamic
tourism destination catering to different segments of tourists. Visitors coming to
Surat for business will have an option to extend their stay to explore various tourist
attractions, combining work with leisure. The following projects are proposed to
position Surat as the business-led tourism hub of SER:
A. Cruise Tourism
By leveraging the vast coastline of the region, a hop-on hop-off cruise service
is proposed. This service will feature a 3–4-day cruise travel with docking points
(inclusive of cruise terminal) every 24 hours. Each cruise terminal will offer activities
targeting tourists within a 2-hour radius and will be linked to other regional tourist
hubs, giving visitors the opportunity to explore and spend additional days at
various destinations.
Box 12 gives details of the project.
A policy would be a prerequisite to ensure that the potential of this initiative is
realized while ensuring that the interests of all stakeholders, viz. government,
private and public are promoted and safeguarded. The policy should present a
regulatory regime under which private participation is enabled in a transparent and
predictable manner, necessary safety and operational conditions are mandated and
user-related issues are addressed with the overarching aim of promoting tourism.
B. Beach Hotels for high-spending tourists
Two beach hotels are proposed near the docking facility at Ubhrat and Tithal beach.
Offering a wide range of facilities and amenities for high-end tourists seeking
leisure, relaxation, and adventure by the sea. The hotels can be proposed on similar
lines like the Kleopatra Beach Hotel in Türkiye and Marina Bay in Singapore.
C. Other resorts & hotels catering to different segments of visitors
15-20 hotels and resorts, including both premium and budget options, with a
total of 1,000-2,000 keys, are proposed near the airport, DREAM City, beaches, and
other major tourist attractions in SER. These establishments will cater to all visitor
segments and offer various accommodations, including rooms, suites, and dorms.
D. Disneyland Theme Park - First Disneyland of South Asia
South Asia does not have an international-level theme park. SER has the necessary
endowments for developing the first major global theme park. The location near
Ubhrat beach has been identified for the theme park for this premier destination
project. Discussion should be initiated with Disney World USA for the development
of the theme park.
E. Beachfront Development
For Suvali, Ubhrat, and Tithal Beaches, multi-activity zones at regular intervals are
proposed, featuring promenades or walkways and dedicated cycling lanes. These
areas will be enriched with public art and cultural spaces, retail and souvenir shops,
along with a variety of restaurants creating vibrant environments to enhance the
visitor experience. 91 | Economic Master Plan for Surat Economic Region
At Nargol Beach in Valsad, nature-based tourism activities can be the primary
emphasis, including guided nature walks, birdwatching tours, and mangrove
exploration excursions. Interpretive centers with informative displays and signage
can be established, alongside eco-trails. Workshops and seminars led by naturalists
and experts will offer educational tours about local ecology and biodiversity.
Policy recommendation: To further enable the projects, the Tourism Policy of
Gujarat can be modified as and when required to enable the provision of land on
lease for categories such as hotels/ resorts /theme parks, etc.
Box 12: Cruise Tourism - Hop-on, hop-off cruise services
Two circuits are proposed for cruise services that will connect Surat with major
destinations.
Circuit 1- Connecting Surat with destinations from west Gujarat and Diu, with a
unique experience at each docking point.
Circuit 2- Connecting Surat with major tourist hubs such as Mumbai and Goa will
help attract major traffic to SER
Figure 60. Suggestive Route for Cruise Tourism
A cruise terminal in SER can be built near Hazira Port or Ubhrat Beach. All docking facilities should be developed under the Sagarmala Programme. Economic Master Plan for Surat Economic Region | 92
6.1.2 Dang as the eco and rural tourism hub
The districts of Dang, Navsari, and Tapi can serve as the core of the eco and rural
tourism hub in SER. These areas have the potential to become premier destination for
eco-conscious travelers, providing authentic experiences while safeguarding nature
and supporting rural livelihoods. Rich in natural beauty, Dang features lush forests,
diverse wildlife, and is the only district in Gujarat with hill stations, while Navsari and
Tapi provide picturesque landscapes, serene rivers, and vibrant flora.
A. Wildlife, forest and eco-tourism
SER is endowed with natural heritage nestled in the Western Ghats of the Sahyadri
range. It is home to significant wildlife and nature reserves, including the Purna
Wildlife Sanctuary in Dang and the Vansda National Park in Navsari as detailed in
Box 13.
Box 13: Details of Purna Wildlife Sanctuary, Dang and Vansda National Park, Navsari
38
What we found
Purna Wildlife Sanctuary, Dang
Vansda National Park, Navsari
Area 160.84 sq. km24 sq. km
Existing key activities
Eco-camping, trekking, walks, mountain biking, site seeing, safari (private vehicles)
Eco-camping, trekking, walks, site seeing
Wildlife
11 species of Owls (including an endangered Forest Owlet), Spotted Deer, Woodpeckers, etc.
Leopards, Hyenas, Spotted Deer, Four-horned Antelopes, etc.
Nearby Attractions
Don Hill Station, Saputara Hill Station, Pandava caves in Anjani Kund , Girmal Waterfall, Gira Falls, Mayadevi Temple, Kosmal Falls, etc.
Waghai Botanical Garden, Gira Falls, Interpretation Center, Mahal Forest
Lodging
Mahal Campsite, at the entrance to the sanctuary
Kilad Eco-tourism Campsite
Despite such rich resources, the tourist footfall remains low and primarily concentrated during summer weekends. The absence of organized safari experiences, campsites, trails, etc. reduces the options for exploring these sites. EMP proposes that projects aimed at attracting tourists with different tastes and interests are put in place that help with the exploration of wildlife sanctuaries, hill stations, water bodies, and other eco sites.
• Organize Open Jungle Safari experiences: Organize open jungle safaris in Purna wildlife Sanctuary and Vansda National Park in line with Jim Corbett National Park, Uttarakhand; Gir National Park, Gujarat. 93 | Economic Master Plan for Surat Economic Region
• Develop Don Hill station: Dang has Saputara and Don Hill stations. While
Saputara is already famous for its hiking trails, paragliding, lake boating,
ropeway rides, and gardens, Don has recently gained attraction. Enhance eco-
tourism and adventure activities can make Don a prominent weekend getaway
destination.
• Develop Ukai Reservoir and surrounding areas: The villages of Thuti, Jamki,
and Narayanpur in Uchchhal taluka offer significant potential for adventure
and water sports, with the Ukai reservoir set amidst picturesque hills, serving
as a popular weekend destination for one-day picnics. Water sports, adventure
activities, and guided nature treks can be developed to potentially capitalize
on Ukai’s rich biodiversity and attract tourists.
• Promote adventure tourism: Enhance existing hiking and trekking trails
such as Karanjawa Trail, Dang (5.3 km); Kala Amba Trek, Navsari (5.6 km); Ukai
Reservoir Trail, Tapi (18.8 km), etc., including promotion and provision of basic
facilities to attract adventure tourists. Upgrade existing eco-campsites such as
Mahal Eco Campsite, Dang; Devinamal Eco Campsite, Ahwa; Ambapani Eco-
Tourism Site, Tapi; etc., or introduce new premium eco-resorts with quality
facilities and amenities and ensure proper marketing through online platforms.
• Develop supporting infrastructure and facilities: Develop wellness spa and
yoga centers, establish visitor centers near eco-tourism sites, and provide
facilities for vehicle rentals to enhance visitor experiences.
B. Rural-based experience tourism: Experience daily life and traditions of rural
South Gujarat
Gujarat Tourism Policy 2021-25 offers a wide spectrum of offerings including
rural-based experience tourism. The villages in Dang, Navsari, and Tapi districts
have significant scope for rural tourism with tribal-based lifestyle experiences.
Notable villages include Dandi, Don, and Thuti, where the local populations are
predominantly tribal communities such as the Dangi, Bhil, Kukanas, Konkani,
Warli, and Kotwalias.
The State Government can promote rural tourism by offering curated packages
to tourists to experience rural areas through:
• Homestays, with good amenities
• Taking local rides and visits to the villages and nearby attractions
• Developing programs around local art and handicraft activities, such as
bamboo work of villages of Dang
• Offer the tourists to experience local cuisine through innovative means like
masterclasses to tourists by local community chefs, food trails, preparation of
local dishes by tourists in rural authentic settings, etc.
• Participate in traditional cultural activities and festivals, such as Dang Darbar
(a tribal festival of Dangis)
• Learn about the way of life of local villagers
• Mango plantation and orchard tourism in Valsad can be developed as a tourist
spot Economic Master Plan for Surat Economic Region | 94
Policy recommendation: It is recommended that Gujarat Tourism should notify
policies to promote adventure, eco-tourism, and rural homestays, on the lines of
National Strategy for Adventure Tourism, 2022; National Strategy for Eco-Tourism,
2022 and National Strategy for Promotion of Rural Homestays - An Initiative
towards Atmanirbhar Bharat, 2022. These policies include regulations, governance,
management, and monitoring mechanism for compliance with various adventure
sports, eco-tourism activities, etc.
6.1.3 Create Experiential Tourism
A. Adaptive transformation of heritage sites
SER has several heritage buildings, most of which are abandoned or in dilapidated
condition. Some notable historic locations are Makaipul, Songadh, and Udvada
which offers significant potential for heritage experiences, showcasing the region’s
rich cultural legacy.

Figure 61. Few examples of existing heritage structures in SER
a
These sites could be easily converted into tourist hot spots which not only increases the tourist footfall but also provides a boost to locals. It is thus proposed that:
• Adaptive reuse of these heritage buildings should be promoted to develop heritage villages, hotels and restaurants, artisan museums and studios, libraries, and cultural centers.
• Restoration of heritage areas undertaken to create event venues and experiential spaces such as exhibition centers, sounds & light shows, etc.
• Steps for restoring and redeveloping heritage sites that balance conservation with commercialization and promotion-
i. Formulate a scheme for the restoration of heritage sites
ii. GoG to identify sites with heritage buildings
iii. Conduct feasibility studies
iv. Lease out to private players on long-term for use and maintenance
Vadnagar, Ahmedabad, and Vadodara heritage conservation models are good examples that can be replicated in SER.
a
Picture credits in sequence: 1. Sahapedia; 2. Lukman E Mansuri; 3. Manisha Mondal/ThePrint 95 | Economic Master Plan for Surat Economic Region
Box 14: Inappropriate preservation efforts can diminish the essence
of heritage sites – A case of Songadh Fort
Songadh Fort, a 16th-century structure situated in Songadh, Tapi, has recently
undergone restoration. The entrance and walls of the fort have been renovated.
Despite the recent restoration, there is still no access road to the fort, basic
amenities such as drinking water, streetlights, and toilets are lacking. Additionally,
there are significant safety and security concerns, and the absence of signage and
informational resources further hampers accessibility. The inadequate preservation
of heritage structures also presents a challenge, highlighting the need for
comprehensive SOP for development and maintenance projects of heritage sites.
Before
b
After
Figure 62. Songadh Fort before and after the restoration work
A comprehensive policy with clear SOPs can be notified by the State Government after due consultation with the wider stakeholders for the restoration of sites in a manner that enhances the rich heritage in an authentic manner. Also, the restoration work should be done by professionals with adherence to heritage standards
B. Tourism circuits- GoG can explore and develop diverse circuits, including religious circuits (Parsi, Jain, Buddhist), food trails, artisan and tribal circuits, etc. EMP proposes developing a Parsi circuit to highlight the rich heritage and cultural contributions of the Parsi community in the region (refer to Box 15).
b
Picture credit: Gopi Vishrolia, 2021 Economic Master Plan for Surat Economic Region | 96 Box 15: Parsi (Zoroastrianism) Circuit
The Parsi circuit can offer guided heritage walks and tours that highlight Parsi culture,
landmarks, cuisine, crafts, and philosophy enhanced by technology. Recognizing
that only the Parsi community is permitted access to certain religious sites, the
Circuit is designed with sensitivity to the community’s sentiments and traditions.



Box 15. Parsi (Zoroastrianism) Circuit

The Parsi circuit can offer guided heritage walks and tours that highlight Parsi culture,
landmarks, cuisine, crafts, and philosophy enhanced by technology. Recognizing that only the
Parsi community is permitted access to certain religious sites, the Circuit is designed with
sensitivity to the community’s sentiments and traditions.




Figure 63. Parsi trail connecting Mumbai-SER
Detailed information on the Parsi Circuit is available in Annexure VI



C. Art, Culture & Festivals
Figure 63. Parsi trail connecting Mumbai-SER
Detailed information on the Parsi Circuit is available in Annexure VI.
C. Art, Culture & Festivals
South Gujarat stands out for its dynamic blend of art, culture, and festivity, where
traditional and modern influences converge seamlessly. This includes the region’s
vibrant festivals and events, such as Dang Darbar and Saputara Monsoon Festival.
Additionally, South Gujarat is renowned for its rich art and cultural traditions,
including bamboo craft, Warli paintings, and Kahadya Dance. EMP proposes
scaling up these intangible heritages of SER, which can further enrich the cultural
tapestry of the region and offer immersive experiences to visitors. 97 | Economic Master Plan for Surat Economic Region
• Dang can be the center of tribal and cultural festivals with the adjoining
tribal areas of Madhya Pradesh and Maharashtra.
• Create a cultural heritage village that promotes indigenous art and dance
forms through commercialization and tourism integration.
• Festivals & events: Promote Dang Darbar, Saputara Monsoon Festival (Megh
Malhar) Tapi Utsav and other local festivals on a wider platform. Scale up the
existing annual kite flying festival, Uttarayan, in Surat with the integration of
safety and sustainability measures.
• Promote indigenous culture like Bamboo in Dang: Covering an area of
3,547 sq km, bamboo is distributed across 15 districts in Gujarat, with the
highest concentrations located in the southern districts of Valsad, Dangs,
Surat, and Narmada (Forest Survey of India, 2021).
• Bamboo is widely used in various applications, including construction, arts
and crafts, furniture, and household items. The name “Dang” in Gujarat means
“bamboo,” reflecting the district’s deep-rooted connection to this versatile
plant. Strategies to make Dang a bamboo hub are detailed in Box 16.
Box 16: Strategies for Bamboo Hub in Dang
Strategy 1: Bamboo Hub in Dang
To promote SER’s cultural heritage and create economic opportunities for the
local community. This hub will serve as a center for artisans, wellness, education,
and ecological tourism, leveraging the abundant bamboo resources in Dang.
Proposed activities include a bamboo-based craft village and artisans’ center,
wellness resorts and ayurvedic retreats, workshops, and educational programs.
A bamboo trail linking the hub with existing trails and bamboo-rich areas such
as the Waghai botanical garden, bamboo-themed accommodations, and an
interpretation center can also be developed.
Figure 64. Examples of bamboo used in various activities
Strategy 2: Annual week-long Dang Bamboo Festival
A national event on world bamboo day (18 September) to highlight the ecological,
cultural, and economic significance of bamboo. The festival aims to bring together
people from across the country to explore and celebrate bamboo’s diverse uses in
design, architecture, cuisine, art, and more. Economic Master Plan for Surat Economic Region | 98
6.1.4 Managing Tourism
A. Making SER the model for responsible tourism in India
Unplanned tourism can result in undesirable outcomes, as evidenced by
examples from other tourist destinations.
Figure 65. Example of unplanned tourism
Picture Credits: a. Mongabay-India; b. DownToEarth: c. Yash Handa
To make tourism responsible, sustainable and viable, EMP proposes that the following is mandated:
• Green building practices- Promote vernacular architecture and green building practices. Example: Hunnarshala Foundation
• Carrying capacity-based planning- Assess and implement the carrying capacity of eco-sensitive areas on the lines of the Lakshadweep model.
• Waste and water management- Establish waste reduction and recycling programs in tourism destinations including provisions for recycling facilities, minimizing the use of water through reuse and recycling where possible, use of water-efficient technology, etc. Example, recycling: SERI (Pune) & Surat
• Green Certifications- Encourage tourism businesses to obtain certifications (e.g., Green Globe, EarthCheck) that recognize sustainable practices in areas such as energy efficiency, waste management, and community engagement.
• Information, Education, and Communication (IEC) campaign- For creating awareness, understanding, and acceptance of sustainable tourism amongst all stakeholders.
B. Leverage technology - Making tourism hassle-free and enjoyable
Providing an enriching experience is key to making SER a tourist destination and technology offers several opportunities that could be leveraged to enhance the tourist experience. It is recommended to:
• Set up phygital tourist facilitation centers to offer information, assistance,
and resources for visitors and ensure smooth navigation of a location or event.
• Deploy Augmented Reality (AR) applications at key sites and in museums to provide immersive historical overlays of ruins or landmarks, including interactive storytelling with characters popping up on screens. 99 | Economic Master Plan for Surat Economic Region
• Social media integration: Use platforms like Instagram, Facebook, or X for
promoting tourist destinations, live events, and user-generated content
sharing.
• Drones: Provide aerial views of tourist attractions for a unique perspective
and offer virtual immersive tours for remote or hard-to-access locations.
C. Development of soft skills to enhance the tourist experience
Generic skilling programs for various service providers engaged in different areas
at tourist sites in addition to specialized skilling courses need to be established.
Some indicative suggestions are:
• Local guides: Multilingual guides and facilitators with good knowledge of
the place and its history
• Drivers: Trustworthy and well-spoken drivers and transportation providers
• Hotel and accommodation staff: Well-spoken and multilingual hotel staff
such as front desk staff, concierge, housekeeping, etc.
• Retail and souvenir shop staff: Product knowledge, sales techniques,
customer service, cross-cultural communication, etc.
• Local artisans: Training on business management skills, product design,
marketing, and quality control to improve the marketability of their craft
• Water and other adventure sports trainers: Well-spoken and certified
sports trainers
D. Branding & Promotion
Branding and marketing with the aim to develop a strong destination brand
that captures the unique identity, culture, and attractions of SER while creating
the mystique that motivates people to visit. This can be effectively achieved
through storytelling and content creation.
• SER as a boutique destination for curated/signature events: curation of
events throughout the year to maintain a dynamic and engaging cultural
calendar. Identifying and utilizing various locations across SER for these
events is also crucial, ensuring that each venue enhances the experience
and showcases the region’s diverse cultural offerings.
• Develop stories and experiences on unique subjects to promote tourism:
An authentic narrative fosters emotional connection with travelers, builds
loyalty, and creates memorable experiences. Leveraging SER’s stories and
folklore as marketing tools can document and share cultural and historical
tales, enriching visitors’ journeys. These stories can be developed on local
cuisine, sites, customs, etc.
• Creating brand recall: Effective promotion can be accomplished through
targeted advertisements and marketing materials. For instance, the
“Khushboo Gujarat ki” campaign successfully highlights the state’s various
theme-based circuits. Engaging content across multiple platforms, including
social media, blogs, videos, and virtual reality, can further boost visibility. Economic Master Plan for Surat Economic Region | 100
E. Projects to ensure seamless connection between nodes
The hub-and-spoke approach can only work if the nodes are adequately
connected offering alternative means of travel to suit different income segments.
Although many significant infrastructure projects are already proposed and
underway, bespoke projects with the objective of optimizing travel time to ensure
that tourists can move between different nodes effortlessly and preferably under
three hours. While these projects would need to be carefully planned based on
technical feasibility, project structuring, etc. some suggestions are:
• Airways: Develop small airports with single runways and helipads and
introduce heli taxis or charter planes for air travel.


motivates people to visit. This can be effectively achieved through storytelling and content
creation.
SER as a boutique destination for curated/signature events: curation of events
throughout the year to maintain a dynamic and engaging cultural calendar. Identifying
and utilizing various locations across SER for these events is also crucial, ensuring that
each venue enhances the experience and showcases the region's diverse cultural
offerings.
Develop stories and experiences on unique subjects to promote tourism: An
authentic narrative fosters emotional connection with travelers, builds loyalty, and
creates memorable experiences. Leveraging SER's stories and folklore as marketing
tools can document and share cultural and historical tales, enriching visitors' journeys.
These stories can be developed on local cuisine, sites, customs, etc.
Creating brand recall: Effective promotion can be accomplished through targeted
advertisements and marketing materials. For instance, the "Khushboo Gujarat ki"
campaign successfully highlights the state's various theme-based circuits. Engaging
content across multiple platforms, including social media, blogs, videos, and virtual
reality, can further boost visibility.

E. Projects to ensure seamless connection between nodes
The hub-and-spoke approach can only work if the nodes are adequately connected offering
alternative means of travel to suit different income segments. Although many significant
infrastructure projects are already proposed and underway, bespoke projects with the
objective of optimizing travel time to ensure that tourists can move between different nodes
effortlessly and preferably under three hours. While these projects would need to be
carefully planned based on technical feasibility, project structuring, etc. some suggestions
are:
Airways: Develop small airports with single runways and helipads and introduce
heli taxis or charter planes for air travel.

Railways: Connect all tourist locations with railway lines based on feasibility and
upgrade the existing Billimora-Waghai (Navsari to Dang) heritage train, which
passes through the vicinity of Vansda National Park for tourism purposes.
Waterways: River cruises in the Tapi and Narmada rivers (IWAI has planned
cruise developments in these rivers) (Ministry of Ports Shipping and Waterways,
2023)
Roadways: Build dedicated roads connecting key nodes, provision of e-
buses/charter buses (eg., connect DREAM City, HSR & airport), pedestrian
walkways, and cycle tracks in all urban areas
• Railways: Connect all tourist locations with railway lines based on feasibility and upgrade the existing Billimora-Waghai (Navsari to Dang) heritage train, which passes through the vicinity of Vansda National Park for tourism purposes.
• Waterways: River cruises in the Tapi and Narmada rivers (IWAI has planned
cruise developments in these rivers)
39
.
• Roadways: Build dedicated roads connecting key nodes, provision of e-buses/charter buses (e.g., connect DREAM City, HSR & airport), pedestrian walkways, and cycle tracks in all urban areas
Figure 66. Existing and proposed transportation network 101 | Economic Master Plan for Surat Economic Region
F. Develop functional zones - differentiated approach to facilitate segmented
tourism
While zoning is a common concept in spatial planning, in the context of tourism
adequate zoning to facilitate and promote segmented tourism is not common
in the Indian context. Designated tourist sites in SER are proposed to position
tourism as a major driver of economic growth. Major tourist sites should be
categorized and designated into zones based on their similar characteristics,
with each zone encompassing several tourist spots. This approach aims to
maximize benefits for local communities while ensuring the preservation of
natural resources, fostering sustainable development, and enhancing the overall
tourism experience in the region. An indicative zoning is proposed which needs
to be further examined and notified for SER (refer Box 17).
Box 17: Functional Zoning Strategy Economic Master Plan for Surat Economic Region | 102
G. Destination Management Organization (DMO) for Tourism Development in SER
Currently, the absence of strategic planning and management of tourist
destinations leads to untapped profit potential. A Destination Management
Organization (DMO) is being proposed as a regulatory intervention to promote
and manage tourist resources tasked to develop, promote, and streamline
tourism activities across SER. For effective on-ground implementation, DMO can
be set up as an empowered body, with the allocation of a dedicated operational
budget from central and/or state governments.
Detailed information on DMO is available in the Institutional Framework section
A detailed list of projects and policy interventions proposed is listed in Annexure VI. 6.2
Real Estate Economic Master Plan for Surat Economic Region | 104
The EMP seeks to invigorate the real estate market, driving substantial
economic growth in SER. This will be accomplished by demarking land
between the HSR and DME corridors, with the HSR stations serving as the
focal points for real estate development.
6.2.1 Real Estate - a prominent sector in India in terms of GDP contribution and
employment generation
Real estate is a key global industry with significant economic impact across various
sectors. In India, it ranks highly among employment generators, employing 18%
40
of
the workforce, after agriculture. The sector is projected to grow from $200 billion in
2021 to $1 trillion (approx.) by 2030
40
. Retail, hospitality, and commercial real estate are
also expanding rapidly, supporting India’s growing infrastructure needs.
Figure 67. Employment contribution to the Real estate sector
40
By 2047, India’s real estate market is expected to reach $5.8 trillion, contributing 15.5% to GDP, up from the current 7.3%. In FY23, the residential property market hit a record high with home sales valued at ₹3.47 lakh crore ($42 billion), a 48% increase from the previous year. This growth was driven by strong demand in the mid-income, premium, and luxury segments
41
. In 2023, real estate developers in major urban
centres completed about 5,58,000 homes, with sales reaching nearly 3,79,000 units, a 36% year-on-year increase.
Figure 68. Market Size in India
42 105 | Economic Master Plan for Surat Economic Region
As of 2024, approximately 1,24,740 projects are registered under RERA in India, with
Gujarat ranking among the top three real estate markets
43
.
Figure 69. Real estate projects under RERA
6.2.2 Affordable but premium markets of Gujarat
The real estate and construction sector in Gujarat contributes about 12% to the state’s total GVA
44
, with an estimated market size of Rs. 2.8 lakh crore as of 2022
45
. This
market is expected to grow at a CAGR of 12-15%, as per ICRA estimate, highlighting its increasing economic significance.
Several factors are driving this growth:
• Higher Per Capita Income: Gujarat’s per capita income is about 37% above the
national average, supporting strong real estate development.
• Infrastructure Focus: The state government is prioritizing infrastructure, with
major projects like the DMIC impacting approx. 62% of Gujarat’s area.
• New-Age Initiatives: Innovative projects such as the Financial Hub at GIFT City,
Dholera City, and Dream City, etc. are paving the way for modern urban growth.
• Emerging Markets: Rapid development in tier 2 & tier 3 cities is expanding the
market.
Gujarat’s primary housing markets include Ahmedabad, Gandhinagar, Surat, and
Vadodara. Ahmedabad, notably, has been recognized as the most affordable real
estate market among tier-one cities according to the Knight Frank Affordability Index.
The Viksit Gujarat @2047 vision emphasizes that growing real estate demand will be
largely driven by the residential sector. The urban population is expected to increase
from about 32 million in 2024 to over 60 million by 2047. A key goal of Gujarat’s 2047
vision is to expand organized real estate beyond industrial and service parks to meet
the rising demand for residential spaces. Economic Master Plan for Surat Economic Region | 106
6.2.3 Growing sector in SER due to high urbanization rates
Surat stands as the most prominent real estate market in the SER region, boasting
an urbanization rate of nearly 80% and contributing approximately 16% to the state’s
GDP. According to Oxford Economics, Surat is forecasted to be one of the fastest-
growing cities globally between 2019 and 2035.
Alongside Surat, Navsari and Vapi are recognized as emerging economic centers
in Viksit Gujarat @2047 vision. The rapid population growth over recent decades
has fueled a surge in construction and expansion of built-up areas. While major
developments between 1985 and 2015 were concentrated within the city’s core, recent
RERA projects are predominantly clustered around the SUDA region.
Figure 70. Built footprint map between 1985-2015Figure 71. RERA Projects
Residential real estate comprises around 41% of the total registered portfolio. The SER region also holds a strategic advantage with four HSR stations. The HSR is expected to significantly reduce travel time between Surat, a key area in SER, and Mumbai, the nearest major city, to just 1 hour. This makes the areas surrounding the HSR stations highly attractive for individuals commuting to Mumbai, presenting a competitive alternative to the Mumbai real estate market.
In addition, future demand for residential real estate in the SER region is expected to
be driven by:
• Strong Job Market: The region hosts several major industries, including textiles,
diamond cutting and polishing, and pharmaceuticals. Surat also has a thriving
startup ecosystem, with numerous incubators and co-working spaces fostering
entrepreneurship and innovation. 107 | Economic Master Plan for Surat Economic Region
• Enhanced Connectivity: The DME and the HSR enhance connectivity
throughout the region, boosting the potential for real estate monetization.
• Future Growth: The Growth Hub initiative forecasts significant expansion in
the manufacturing and tertiary sectors in South Gujarat, which is anticipated to
drive high demand for residential real estate in the SER region.
6.2.4 Proposed Approach for Transformation
To capitalize on the potential of existing pipeline infrastructure projects like the HSR
and DME, and to support future growth and high urbanization levels, it is essential
to prioritize high-quality, sustainable real estate development. The development
strategy should consider the following:
• Close proximity to major urban centers and transport nodes
• Availability of large areas for greenfield development
• Proximity to educational institutions
• A compact city model with all major amenities within a 15-minute reach
• Incorporation of nature-based solutions and the development of low-emission
zones
• Adoption of innovative processes such as the Tender SURE model for basic
infrastructure
• Consider different segments of housing, viz. rental, service apartments,
affordable housing etc.
6.2.5 Proposal - HSR city development a ‘Sustainable Green Field township’
The area marked on the map between the HSR line and DME covers approximately
760 km
2
and is largely undeveloped. This area is expected to benefit from excellent
connectivity within the state and across India in the coming years. The four HSR
stations (Bharuch, Surat, Navsari & Valsad) in the region have the potential to be
developed into multimodal transport hubs, recognized as “Growth Nodes” at the
epicenter of real estate development.
Two sustainable greenfield townships, each spanning 500 acres (2 Sq Km), are
proposed to be planned in the HSR zone near Antroli station, Surat. These townships
will be designed with robust connectivity to the core city and surrounding major
areas.
To attract major real estate players, incentives such as additional developable FSI or
capital subsidies should be offered.
Future scaling: The areas around other stations will be developed based on demand,
feasibility, and land suitability analysis. This development may not be limited to
residential real estate, with the HSR zone earmarked for future expansion. Economic Master Plan for Surat Economic Region | 108
Figure 72. HSR City and Growth Nodes
The following concepts are recommended for consideration while planning the
Townships which are aimed to be sustainable and green:
• 15-Minute City Model: Ensure that all major amenities, such as entertainment
and shopping essentials, are within a 15-minute reach. Enhanced walkability
should be a key focus to make it effective.
• Promote Nature-Based Solutions: Integrate nature-based solutions into
policies and regulatory frameworks. Emphasize ecosystem restoration and
conservation during the township’s development.
• Low Emission Zone: Designate the township as a low emission zone with car-
free areas. Propose internal connectivity through non-motorized transport
(NMT) options.
• Integrated Multi-Modal Public Transport: Enhance external connectivity
by incorporating integrated multi-modal public transport systems.
• Comprehensive Urban Infrastructure: Adopt a comprehensive urban
infrastructure development approach based on the principles of the Tender
SURE (Specifications for Urban Road Execution) model. 6.3
Agriculture & Allied Economic Master Plan for Surat Economic Region | 110
To improve productivity, predictability, and profitability of the agriculture
sector, the EMP proposes promoting agro-ecological practices in SER by
establishing suitable crop clusters and addressing supply chain and logistic
issues in food processing by upgrading the Mega Food Park and leveraging
technology.
6.3.1 Promoting SER as a Natural Farming Hub
Gujarat, a state rich in agricultural diversity, benefits from eight distinct agro-climatic
zones that create ideal conditions for cultivating a wide range of crops, vegetables,
and fruits. It is a leading producer of key crops like tobacco, cotton, groundnut, rice,
wheat, jowar, bajra, maize, tur, and gram. Agriculture contributes significantly to the
state’s economy, with a GVA share of 15.9% in 2022-23
46
. Notably, the CAGR for Gujarat’s
agriculture and allied sectors’ GVA, at 9.7%, surpasses the national average of 5.7%
between 2011 and 2021
47
.
6.3.2 Tailored strategies to enhance the agricultural value chain in SER
SER is poised to grow by 20 times during the next 25 years largely powered by the
growth of secondary and tertiary sectors. To improve productivity, predictability, and
profitability, we propose promoting agro-ecological practices across SER through
cluster development and addressing supply chain and logistic issues in food
processing by leveraging technology.

1. Promote Natural Farming
Support eco-friendly farming practices to maintain
environmental balance while scaling up productivity
2. Boost Food Processing
Transition to food processing to add value to
agricultural produce and increase farmer incomes
Figure 73. Approach for agriculture in SER
Gujarat is committed to promoting sustainable agricultural practices, with over 7 lakh farmers already adopting natural farming and more than 10 lakh receiving training in these practices. Further, SER offers key opportunities to promote Natural Farming. A key achievement of this initiative is the Dang district, recognized as Gujarat’s first ‘100% organic district’. Additionally, the region’s comparatively lower use of chemical fertilizers— except in Surat—points to healthier soil, making it ideal for natural farming. The existing cropping patterns in the region also align well with natural farming practices, creating further opportunities for sustainable agricultural growth. 111 | Economic Master Plan for Surat Economic Region
Figure 74. Ideal crop mix for Natural Farming in SER
Figure 75. Targeted efforts to boost Productivity, Profitability, and Predictability in the agri-sector Economic Master Plan for Surat Economic Region | 112
Figure 75 above presents the overall ecosystem that is proposed to be put in place to
transform the agriculture sector of the region into an efficient economic activity with
the potential of transforming the sector into a new avenue of growth. The proposed
approach leverages the existing endowments, addresses key challenges and
recommends targeted solutions for inclusive and sustainable growth in the sector.
The proposed interventions (refer to Annuxure VIII) begin by establishing production
clusters for high-demand and export-oriented crop varieties that are well adapted to
local soil and climate conditions. These clusters will supply raw produce to the Mega
Food Park in Surat for processing, branding, and retailing. A dedicated marketing
channel will be introduced to secure premium pricing for chemical-free, healthy
food products. A dedicated Center of Excellence will drive research, innovation, and
entrepreneurship across the entire value chain, fostering a thriving start-up ecosystem
that delivers cutting-edge agri-tech solutions for every stage of the supply chain, from
farm production to storage, processing, and transportation. 7
Making SER an
aspirational region
with a strong
support system Economic Master Plan for Surat Economic Region | 114

Transforming SER into an aspirational place to live and work requires a
robust foundation with top-tier education, healthcare, and skilling facilities.
These key enablers will drive the region’s growth, attracting talent and
ensuring a high quality of life for all residents.
Education & Skilling
Healthcare
Box 18. Enablers 7.1
Education and Skilling Economic Master Plan for Surat Economic Region | 116

The EMP proposes advanced education facilities in the SER region, aligned
with the ‘Living Well’ vision of Viksit Gujarat@2047. Enhanced educational
infrastructure and provision of specialized training will help to meet
regional and global needs of skilled workforce & manpower.
Global Outlook on Sector and Major Trends
The global education and skilling sector holds the potential to unlock around $23
trillion of global GDP by 2025 through essential education reforms. However, by 2030,
a significant global talent shortage of 85 million is expected
48
.
Significance of India
India’s education and skilling sector is vital for the nation’s economic and social
goals. Despite progress in expanding educational access, challenges persist in quality
and relevance. With 35-40 million students projected to need higher education by
2030, India must upgrade its infrastructure and curriculum to global standards
49
.
Additionally, the skilling ecosystem must evolve to prepare the workforce for emerging
industries and future demands.
Significance of Gujarat State
Gujarat, a leading industrial state, faces difficulties in education and skilling, with
only 3% of the population aged 15 years and above in formal vocational training.
Despite its manufacturing strength, Gujarat lacks top-tier educational institutions
and specialized skilling facilities. Closing these gaps is crucial for sustaining economic
growth and enhancing competitiveness.
Significance of SER
SER is positioned to emerge as a key industrial center for chemicals, a major trading hub
for textiles, and a prominent destination for gems and jewelry, however, it confronts a
substantial shortage of skilled workers. Based on data from NSDC (2017) for the State
of Gujarat, the additional manpower requirement for the Table 4. Considering the
requirements of top educational and research institutions SER can transform into a
global skilling hub to meet regional needs and position it as an export hub for skilled
labor by 2030. 117 | Economic Master Plan for Surat Economic Region
Table 4. Additional manpower requirement in the region by 2030
S.No Sectors
Additional
Workforce
requirement
Technical Skills Required
(Specific to SER)
1 Textile 78000+
Textile dyeing, printing,
finishing, garment
manufacturing, automation in
textile machinery
2 Chemical 22000+
Process expertise, Automation
& Analysis, Sustainability focus
3
Mineral
Processing &
Fabrication
6500+
Diamond cutting, polishing,
jewelry making, Computer-aided
design for jewelry design
4 Healthcare 18000+
Medical technicians, nurses,
paramedics, healthcare IT
5
Logistic &
Transportation
62000+
Supply chain management,
logistics planning, warehousing
Proposed Approach for Transformation
The transformation of the SER into a premier educational and skilling hub requires
a holistic and sector-wide approach. The strategy should focus on creating a
symbiotic relationship between education, industry, and research across various
sectors. Key elements of this approach include:
• Sector-Specific Centers of Excellence (CoE’s)
• Integration of Education, Industry, and Research
• Development of an Edu-city
• Comprehensive Skilling and Upskilling Programs
• Public-Private Partnerships (PPPs) and Policy Support
Proposals
1. Cluster-Based Educational Development: An Edu-City in the HSR zone of
Surat will house private universities, CoEs, international schools, and research
institutions. The campus will be designed to support multidisciplinary learning,
fostering collaboration across various fields, and creating an ecosystem that
attracts top talent and leading academic and industry partners. The key
components of the EDU-City is given in Table 5. Economic Master Plan for Surat Economic Region | 118
Table 5. Components of EDU-City (Area- 500 Acres, Estimate Project Cost- $2Bn)
Type Component
Educational
Institutes/Centres of Excellence for Skilling (50 Acres)
Private College (20-25 Acres)
International Board School (8-10 Acres)
Niche Branding Institute (4-5 Acres)
Offsite centers for major international skilling institutes
Entertainment
Mall & Retail space
Community centres
Multi sports Hub
Premium 5-star hotels
Supporting
Infrastructure
Dedicated areas for Service apartments
Rental Housing
Elder housing
Care Hostels
Figure 76. Landscape of Education and Skilling Infrastructure 119 | Economic Master Plan for Surat Economic Region
Figure 77. Conceptual 3D view of proposed EDU-City in HSR Zone, Surat
2. Policy Interventions: Introduce flexible school fee regulation policies
to attract anchor investors and international educational institutions.
Additionally, promote Public-Private Partnerships (PPP) in setting up public
schools and skilling centers across SER.
3. Upgrade and Expand: Revise the curriculum of the 80+ existing ITIs to align
with global dynamics and modern industry needs, with a special focus on
integrating modern technologies and trends. Establish specialized labs,
studios, and workshops for key sectors such as textiles, gems & jewelry,
chemicals, and tourism. The skill requirements and course curricula should
be regularly re-evaluated to meet evolving industry demands. Economic Master Plan for Surat Economic Region | 120
4. Industry-Academia Collaboration: : Foster collaboration between academic
institutions and industry players to create demand-driven courses,
internships, and apprenticeships, ensuring graduates are industry-ready and
equipped with practical skills. The skill requirements and course curriculum
should focus on integrating modern technologies (such as AI and ML) and
be regularly re-evaluated to meet evolving industry demands.
5. Infrastructure Development: Develop supporting infrastructure such
as housing, healthcare, and entertainment within educational clusters.
Establish strong connectivity linkages between these clusters and major
industrial hubs within SER to facilitate seamless integration of education
and industry.
By implementing these proposals, the SER can emerge as a leader in education
and skilling, catering to both regional and global demands. This transformation
will not only enhance the quality of life within the region but also contribute
significantly to India’s economic growth by creating a highly skilled and globally
competitive workforce. 7.2
Healthcare Economic Master Plan for Surat Economic Region | 122

The Economic Master Plan aims to propose comprehensive health
facilities in the SER region, aligned with the ‘Living Well’ vision outlined
in Viksit Gujarat@2047. Enhanced access to healthcare will be ensured
by increasing the bed-to-population ratio in underserved districts and by
providing healthcare services to workers
India needs an additional 2.4 million hospital beds to reach the WHO-recommended
ratio of 3 beds per 1,000 people. Currently, the country has only 0.6 beds per 1,000
population, whereas countries like China have 4.3, and the European Union has 4.6.
India has an estimated 70,000 hospitals, with nearly 63% of them in the private sector
50
.
In Gujarat, there are 12 doctors per 10,000 population
51
, compared to 39 in countries
like Germany, the UK, and Australia
50
. Additionally, there is a 52% shortfall in Primary
Health Centers (PHCs) in the state.
Despite a higher GDP per capita of $4,865 in the SER region, cities like Mumbai and
Ahmedabad are still preferred destinations for healthcare services.
The SER region currently requires over 3,200 additional hospital beds, and this demand
is projected to increase nearly 13-fold by 2047, with a need for over 12,000 beds by
2030 and more than 42,000 by 2047 as per Viksit Gujarat@2047. While the region has
2.8 beds per 1,000 population, only Surat and Navsari are performing well in terms of
healthcare infrastructure. The SER region has just four multi-specialty hospitals with
a total bed capacity of only 1,750, which is a critical shortfall.
Furthermore, there are no Joint Commission International (JCI) accredited hospitals in
the SER region, whereas Ahmedabad has two, and Gandhinagar has one. In terms of
(National Accreditation Board for Hospitals & Healthcare Provider) NABH-accredited
hospitals, there are around 20 within a 100-kilometer radius and an additional 17
within 200 kilometers.
Healthcare amid environmental challenges
Extreme heat events in the region have become more frequent, severe, and prolonged,
leading to 36,167 deaths over the past 12 years
52
. A health risk analysis of air pollution
in 2019, revealed that it was responsible for 2,914 premature deaths
53
. According to the
Clean Air Action Plan, transboundary air pollution accounts for 36% of health risks,
followed by industrial emissions (24%) and the transport sector (13%).
In Surat, 36,167 deaths were reported over 961 summer days from 2001 to 2012, with
a mean daily mortality rate of 37.6 ± 9.4 during this period, as outlined in the Heat
Action Plan (2018). 123 | Economic Master Plan for Surat Economic Region
Figure 78. Maximum Air temperature in SER
These findings underscore the urgent need to increase the number of healthcare staff,
adopt modern equipment and technology, and enhance healthcare infrastructure.
Proposed Approach
The primary focus of the proposal is to enhance the health landscape in the region
to meet the rising demand. Based on identified gaps, risks, and projected needs, the
following key recommendations have been outlined:
• Development of multi-specialty hospitals
• Establishment of trauma centers
• Provision of healthcare facilities for workers Economic Master Plan for Surat Economic Region | 124
Proposals
• Multi-Specialty Hospital in Surat: To increase the number of hospital beds
in the region and align with other interventions, two private multi-specialty
hospitals are proposed around Surat city. One hospital, with approx. 450 beds,
are planned for the HSR Zone, while the other, with about 300 beds, is proposed
near Dream City. Each facility is to be located on 8-12 acres, with an estimated
project cost of $25 million. To meet the requirement of the region additional
beds may be added in the coming year.
• Multi-Specialty & Trauma Center in Bharuch: A multi-specialty hospital with
a trauma center is proposed near Bharuch, with a capacity of approx. 300
beds. The recommended location is 15 acres near the PCPIR Bharuch, with an
investment of $10-12 million.
• Healthcare Facilities for Workers: With the increase in manufacturing there
is a need for equitable distribution of healthcare facilities across the region to
ensure 100% coverage for workers.
Figure 79. Proposal of Health care sector 8
Towards
sustainable
growth of SER Economic Master Plan for Surat Economic Region | 126

While addressing environmental and climate risks in a holistic manner,
there is a need to focus on implementation involving effective monitoring
and regulation to plug gaps. The resultant impact on enhancing the health
and well-being of both people and nature would be crucial in achieving the
goal of ‘Living Well” as enshrined in Viksit Gujarat@2047.
To realize Viksit Gujarat@2047 of ‘living well’, SER needs to prioritize sustainability
and enhance livability as a key defining parameter. These efforts would be vital for
achieving a greener earth, ensuring the well-being and improving resilience of the
people.
Surat city has taken steps towards environmental sustainability but these need to
be scaled up for the entire SER. Therefore, initiating steps towards (a) having plans &
institutions (such as energy efficiency cell, resilience strategy, heat action plan, etc.), (b)
targeting 100% treated wastewater (TWW) by 2035, (c) enabling proactive adoption of
renewable energy, and (d) being early-mover in electric vehicle (EV) implementation,
are some of the key steps which may be prioritized for SER.
Viksit Gujarat@2047 center stages the growth of the manufacturing sector to achieve
the targeted growth of both GDP and employment. However, within this sector,
industries like chemicals and textiles, are also two major sources that contribute to
greenhouse gas (GHG) emissions in the state.
Figure 80. GHG Emissions Trend by Top Industries in Gujarat (2018)
54
The EMP of the SER aims at achieving about 20 times growth of the economy and without a considered plan to ensure sustainability, this could lead to increased 127 | Economic Master Plan for Surat Economic Region
congestion, degraded environment, increased pollution, and unmanageable waste,
etc. Additionally, disaster and risk management issues would also need to be
addressed to strengthen SER’s resilience against both manmade and natural hazards,
safeguarding the future of the region while fostering sustainable development. It is
for this purpose, that sustainability under the ‘living well’ component remains crucial
in the SER economic planning. The two main themes covered under sustainability
are: (i) leveraging clean power and energy, and (ii) risk and disaster management.
8.1 Leveraging clean power and energy
Investing in clean energy (renewable energy) is crucial for reducing GHG emissions,
slowing the pace of climate change, mitigating its adverse effects, helping curb
environmental degradation, enhancing energy security, and supporting sustainable
economic growth. This shift is essential for creating a healthier planet and ensuring a
stable climate for future generations.
a. Renewable Energy (RE) presents significant potential in Gujarat
At COP26, the global commitment to achieve net-zero emissions by 2050 was
affirmed, with India setting 2070 as the target year. India also aims to meet 50% of its
energy needs through renewable energy by 2030 and 90% by 2047.
Gujarat, holding the second-highest renewable energy potential in India after
Rajasthan, is focused on expanding its renewable energy potential. Under the
Viksit Gujarat@2047 initiative, the state is committed to reaching net-zero carbon
emissions by 2047 through significantly boosting its renewable energy and clean
energy capacity. The plan includes expanding projects in wind, solar, and wind-solar
hybrid technologies to maximize its renewable energy resources.
Gujarat also has a minor RE potential of hydro – 590 MW and small hydro – 202 MW
Figure 81. Gujarat RE potentials: highest in wind, 6
th
highest in solar and 4
th
highest in bio-energy
55
b. SER would need to maximize its potential for RE capacity to help Gujarat achieve the net-zero target of Viksit Gujarat by 2047
While Western Gujarat boasts a substantial renewable energy capacity, SER’s
installed capacity is comparatively modest, accounting for only 1% of the state’s
total, highlighting an opportunity for SER to expand its renewable energy footprint. Economic Master Plan for Surat Economic Region | 128
However, SER has the opportunity to significantly boost its renewable energy share,
and increase its current capacity from 30% to approximately 60% by 2047. Several
renewable energy projects are already in the pipeline to support this growth (Table 6).
Figure 82. Energy produced by RE (MU) in Gujarat and SER
55
Figure 83. Power capacity currently installed in SER (MW)
55
Table 6. Existing pipeline of RE projects in SER
RE Projects
Capacity
(MW)
Investment
($ million)
•Solar park, Bharuch250 120.41
•Hybrid park, Bharuch500 662.24
∅Gandhar Solar, Bharuch20 270.91
∅Kawas Solar, Surat56 11.64
∅Tapi Pumped Hydro Energy Storage System2400 1380.76
• Projects announced in Viksit Gujarat@2047
∅ Other proposed projects/under implementation 129 | Economic Master Plan for Surat Economic Region
c. In the Economic Master Plan for SER the following projects for RE are proposed:
1. Off-shore wind power plants
Offshore wind provides an effective way to produce electricity and has a high
capacity utilization factor. Gujarat has been identified as one of the two states in
India, where offshore wind will be explored in the next 5 years
6
. Global research
suggests that due to the growing challenges in securing land for renewable
energy projects, offshore projects despite their higher costs may be a viable
option (see Box 19). Gujarat has substantial potential for source and SER could
consider developing captive plants utilizing offshore wind technology.
Box 19: Installation cost for offshore wind projects
The global average installed cost of offshore wind energy projects has declined
significantly, making it a more financially viable option. From 2010 to 2021, capital
costs for offshore wind projects fell by over 41%, indicating a substantial reduction
in expenses. This decrease in capital costs has made offshore wind energy a
more appealing investment, reflecting the evolving trends in renewable energy
development.
Source: GWEC Global Wind Report; *Wind Europe Financing and Investment Trends 2021 Report; **
US DoE Wind Market Reports 2022
The installed costs and Levelized Cost of Energy (LCoE) for offshore wind energy projects vary across different markets due to technical specifications, geographical location, and other factors.
Currently, offshore wind development in India is planned without incorporating
storage components, as outlined in the MNRE strategy paper
a
. Therefore, offshore
wind storage is not being considered at this stage. Given that offshore wind turbines
are situated in deep waters, the generated power is first transmitted to an offshore
substation before being relayed to an onshore substation. Storage options would
only become feasible once the power reaches the onshore substation.
a
Preliminary assessment by MNRE suggest offshore prospects in India along the coastline of the states of Tamil Nadu,
Gujarat, Maharashtra, Kerala, Karnataka and Goa. Under the FOWIND (Facilitating Offshore Wind in India) project, a
roadmap was developed for offshore wind development in India, with a focus on the states of Gujarat and Tamil Nadu. Economic Master Plan for Surat Economic Region | 130
Estimated LCoE for Gujarat’s Offshore Wind Projects: A FIMOI Initiative (Financial
Modelling of Offshore wind in India)
Source: Cost estimations of first offshore windfarms in India (coe-osw.org)
The estimation exercise carried out as part of FIMOI considers:
• Declining trend in capital expenditure levels
• Usage of wind turbines of capacity up to 15 MW over the coming years
• Technological evolution is expected to push the operational life of projects up to 30 years from commissioning
Taking all these variables and trends into consideration, the estimated LCoE arrived at by FIMOI shows a clear downward trend. LCoE is expected to reach levels acceptable to the end consumers by the end of this decade.
Two off-shore wind energy projects each of 500 MW are proposed for Surat and Bharuch by 2047. To support these projects, there is a need for improved surveying, the development of local supply chains, skilled labor, and grid upgrades.
2. Solar power park
These are captive plants with significant development potential. To meet a 24/7 energy demand, it is estimated that around three times the current solar energy capacity will be needed. Therefore, in addition to the existing and planned solar projects in SER, a new 400 MW solar park is proposed in Bharuch. Furthermore, a hybrid model combining solar with either pumped storage or battery storage is recommended for a four-hour duration.
If land availability poses a challenge, alternative solutions would need to be
considered. For instance, installing ground-mounted solar panels in agricultural
fields could benefit both energy production and agriculture. These panels can
provide shade, cooling crops and vegetation during the day while keeping them
warmer at night, potentially increasing farmers’ income. 131 | Economic Master Plan for Surat Economic Region
3. Hybrid Park
Hybrid energy sources are effective in managing peak-time energy demand.
Combining solar power with hybrid systems such as wind, battery, and hydro can
offer up to 4 hours of storage. A 100 MW hybrid park is proposed in Bharuch. If
land procurement challenges arise, innovative alternatives like those explored for
solar parks would need to be considered.
4. Floating or canal-based solar projects
Floating and canal-based solar projects offer innovative solutions for harnessing
solar energy while conserving valuable water resources. SER, with its water bodies
like the Tapi and Narmada rivers, is well-positioned for such initiatives. A floating
solar project is proposed on the UKAI dam at Tapi. Additionally, a second floating
solar project is planned for the Narmada River, though its feasibility requires
further detailed assessment.
5. Waste-to-energy plants
Waste-to-energy plants offer significant benefits by reducing landfill waste,
creating usable by-products, contributing sustainable electricity to the grid, and
lowering emissions from waste management. Four waste-to-energy plants, each
of 5 MW, are proposed at multiple locations across SER. It is important to note
that a strong waste collection system is required to ensure proper disposal and
better segregation. Further, a PPP model can be considered to build these plants.
Table 7. Proposed RE projects
Sl
no.
Project
Capacity
(MW)
Location
Note: The proposed locations are
tentative and subject to change
Figure 84. Locations of proposed RE projects
1
Off-shore
wind power
plants
2*500
Surat and
Bharuch
2
Solar power
park
400
Near Aladar,
Bharuch
3
Hybrid
(solar+wind)
park
100
Near Samoj,
Bharuch
4
Floating
or canal-
based solar
projects
2*5
Tapi and
Narmada River
5
Waste to
energy
plants
4*15
Surat &
Bharuch
Landfills and/or
STPs Economic Master Plan for Surat Economic Region | 132
In the EMP of SER, the following policy interventions are recommended to realize
the goals set for the RE sector
1. Policy support to install solar rooftops at MSME cluster level
India is home to 63.3 million MSMEs, with 31% engaged in manufacturing
56
. These
manufacturing units consume 25% of the industrial sector’s energy. Advancing
clean energy measures within the MSME sector could significantly contribute to
India’s clean energy transition.
The government can play a pivotal role by aggregating demand for MSME solar
rooftops at the cluster level across SER. Additionally, Renewable Energy Service
Companies (RESCOs) can be enlisted to implement solar rooftop projects with
minimal upfront costs.
2. Implement green building techniques
Green building techniques such as green roofs and reflective surfaces on rooftops
are already suggested in the Surat Heat Action Plan. These can be extended to
heat stress and flood-resilient building design codes, integrating green-blue-grey-
infrastructure, and nature-based solutions. The guidelines can be drafted by the
Government of Gujarat, on similar lines as the Green Roof Policy of Ahmedabad
and Telangana, and implemented by Local Authorities.
8.2 Risk and Disaster Management
The region faces a wide range of man-made and natural risks, making it highly
vulnerable to environmental challenges and climate hazards such as flooding, heat
stress, and groundwater depletion. Additionally, industrial activity in the region
contributes to negative externalities, including GHG emissions, unsustainable 133 | Economic Master Plan for Surat Economic Region
extractive practices, and pollution of air, land, and water. Mitigating these impacts is
essential to ensure long-term social welfare and environmental sustainability.
Some major environmental and climate risks affecting SER are:
Figure 85. SER vulnerable to multiple environment and climate hazards
Source: Processed by WRI India using IMD, CWC, WRIS, SRTM, ESA World Cover and
several other multiple sources
A. Climate Hazards: SER is vulnerable to extreme weather events like flooding, heat
stress, rising temperatures, increased storm intensity, and shifting rainfall patterns.
The region also experiences significant environmental stress, including air and
water pollution, unmanaged waste, and degraded land.
B. Groundwater Depletion: More than 60% of the SER suffers from chronic
c
drought
d
,
with rainfall deficits occurring approximately once every five years
e
. Over 70% of
the population and jobs within the Surat Municipal Corporation (SMC) area are
impacted by groundwater overexploitation
b
.
b
Processed by WRI India using Central Ground Water Board Annual Reports for 2017, 2020 and 2022
c
Areas with more than 20% chance of annual meteorological drought probability are referred as ‘chronically affected’
as per IMD.
d
Processed by WRI India WRI India using Annual Rainfall between 1985 to 2020 (Yearly Gridded Rainfall, IMD)
e
As per IMD gridded rainfall data, between 1985-2020, annual met-drought probability in the SER is an average 26%
and above. Economic Master Plan for Surat Economic Region | 134
Figure 86. Groundwater development stage (2022)
Source: Processed by WRI India using Central Ground Water Board Annual Reports for 2017, 2020 and 2022
C. Air Pollution: More than 95% of SER is exposed to air pollution levels beyond
the permissible limits set by the Central Pollution Control Board (CPCB)
f
. The high
concentration of PM2.5 particles poses significant health risks across the region.
Figure 87. Concentration of PM 2.5
Source: Processed by WRI India using Monthly Surface PM 2.5 (1998-2021)
(Atmospheric Composition Analysis Group, Washington University)
f
Processed by WRI India using Monthly Surface PM 2.5 (1998-2021) (Atmospheric Composition Analysis Group,
Washington University) 135 | Economic Master Plan for Surat Economic Region
Table 8. Summary of population susceptibility to environment and climate hazards in SER
D. Flooding and Water Stress: Surat, in particular, is highly susceptible to flooding,
while Surat, Bharuch, and Tapi face significant water stress. Additionally, the eco
regions of Dang, Tapi, and Valsad are prone to landslides, posing a serious threat to
these areas.
Ensuring environmental sustainability in SER
Strategic interventions are critical to addressing these environmental and climate
challenges effectively. The focus should be on minimizing the adverse impacts on
the economy and the well-being of residents. The EMP recommends the following
key measures for ensuring environmental sustainability:
• Comprehensive plans for environmental degradation and disaster management
Each region must integrate disaster mitigation plans into its broader land-use
policies and master planning efforts. This will ensure that risks are managed
holistically within the city/region’s development framework.
• Multi-Hazard fore casting, early warning system study and project identification
Effective disaster management requires systematic data collection and risk
assessment to detect, analyze, and forecast hazards. Timely, accurate warnings from
official sources are crucial to keep the public informed. Preparedness at all levels, as
outlined in UNDRR guidelines, is key to ensuring an effective response to hazards.
• Developing resilient infrastructures
Building resilient infrastructure, such as electric grids, water supply systems,
sewerage lines, and street networks, is essential to prevent disruption during
climate-related events. 9 Making SER livable Economic Master Plan for Surat Economic Region | 138
Improving livability – making SER an aspirational region that retains its best, attracts
the best, and promotes inclusive development of all segments of the residents
SER has several rapidly developing urban area facing significant challenges that
impact the quality of life of its residents. The growth of city-regions with a human
lens entails ensuring improvement in the livability of all segments of the population
while making SER an aspirational place to live and work to attract talent from outside
of the region.
SER geographically has some challenges which over time have got exacerbated by
the nature of the economic activity in the region. Therefore, today it not only has to
contend with extreme heat and floods but also air pollution
57
. Approximately 70% of
SER experiences annual maximum temperatures exceeding 46°C
58
, resulting in severe
urban heat island effects and associated health risks. High pollution levels, particularly
in urban areas, are exacerbated by vehicle emissions, posing serious threats to public
health and the environment.
While ensuring that economic growth there is need to adopt sustainable practice that
help in abating the consequent environmental degradation is an integral part of the
EMP, taking affirmative action through enhanced urban infrastructure to effectively
address other aspects in order to improve livability, is also key part of the proposals.
The current urban infrastructure with inefficient transportation systems, inadequate
public spaces, and insufficient green areas, present systems that lack integration and
resilience, that lead to further intensification of various environmental challenges.
Additionally, the focus on inclusive growth necessitates programs and policies
that address the needs of all segments of the population. There is an urgent need
for affordable and inclusive housing that meets the diverse needs of the populace,
alongside sustainable urban development practices. 139 | Economic Master Plan for Surat Economic Region
Figure 88. Maximum Air temperature in SER
9.1 Making SER a benchmark for sustainable living
While there are multiple definitions and concepts related to the idea of “livability”,
many are closely linked to the United Nations Sustainable Development Goals
(SDGs). For the purpose of this report, livability is broadly used to refer to people’s
satisfaction with their surrounding physical conditions and their interaction with the
environment. The drive to improve livability extends beyond enhancing the well-being
and satisfaction of the residents; it also aims to attract new talent and investment,
thereby strengthening the region’s position in the global competitive landscape.
Although there is no single globally accepted metric for measuring livability, the
final output might refer to certain indices such as the EIU Global Livability Index,
and the World Happiness Index, and adapt existing concepts like the “Livability Economic Master Plan for Surat Economic Region | 140
Standards in Cities” (developed by MoHUA) to incorporate emerging frameworks
like Environmental, Social, and Governance (ESG) assessments. These frameworks
and metrics, though theoretical, are crucial as they provide benchmarks or guiding
principles to steer SER’s development in the right direction, influencing sectors
beyond those covered in the EMP.
The EMP aims to make SER an aspirational region which not only ensures that all
segments of the population can benefit from its growth but also attracts global and
national businesses, employment opportunities, and tourists. To achieve this, SER
must excel in livability metrics, creating a thriving urban area that ensures holistic
development. The proposed interventions are designed to create a region that not
only draws residents and businesses but also sets a benchmark for sustainable urban
living. Through collaborative efforts and a commitment to these strategies, SER can
transform into a model of urban livability, ensuring long-term resilience and prosperity
for its communities.
The EMP seeks to define the entire spectrum of livability in a holistic manner and
proposes a comprehensive, multi-dimensional approach to address this aspect of
urban living, with a focus on climate resilience, sustainable infrastructure, connectivity,
and public health.
9.2 Making SER greener, smarter, and more inclusive
This section presents detailed interventions toward making SER an aspirational
region that retains its best, attracts the best, and promotes inclusive development of
all segments of the residents.
9.2.1 Climate Action and Urban Greening to improve quality of life
Designate Low Emission Zones (LEZs): Establish LEZs in high-risk areas
with targeted approaches such as clean air zones and emission-based vehicle
restrictions.
Expand Urban Green Spaces: Increase the number of green spaces, promote
green roofs, and develop interconnected blue-green corridors across SER.
Implement Nature-Based Solutions (NbS): Integrate NbS into urban planning
to address climate risks, enhance cooling, and manage stormwater effectively.
9.2.2 Public Space and Connectivity Improvements
Complete Streets Policy: Adopt a complete streets policy that includes
dedicated lanes for various modes of transport, street furniture, and safety
measures.
Public Transport Integration: Strengthen public transport networks with
integrated fare systems, last-mile connectivity, and partnerships with local
institutions.
Placemaking Programs: Initiate placemaking programs and historic
preservation efforts to enrich public spaces and promote cultural heritage. 141 | Economic Master Plan for Surat Economic Region
9.2.3 Housing and Sustainable Development to foster inclusivity
Affordable and Inclusive Housing: Develop targeted housing strategies that
provide affordable and rental housing options. Promote inclusive policies that
ensure all residents have access to safe and sustainable living conditions.
Green Building Practices: Encourage the adoption of energy-efficient designs,
sustainable building materials, and practices in new housing developments to
reduce environmental impact.
Urban Infrastructure on Tender SURE Model: Implement the Tender SURE
(Specifications for Urban Road Execution) model to ensure comprehensive
urban infrastructure development, with coordinated utilities and high standards
for construction and maintenance. Economic Master Plan for Surat Economic Region | 142 Regulatory &
governance
framework to
achieve the
transformation
of SER
10 Economic Master Plan for Surat Economic Region | 144
A robust implementation framework will be crucial for the success of the plan by
ensuring that the objectives are met efficiently, effectively, and in a time-bound
manner. Without a clear and systematic implementation strategy, even the most
well-intentioned plans can fail, resulting in inefficiencies, wasted resources, and
unachieved objectives.
The EMP under the G-Hub initiative introduces a novel approach to drive economic
development across key sectors, catalyzing regional prosperity. This plan encompasses
a range of projects and policy measures that will require an overarching mechanism
for operationalization through multi-stakeholder efforts. For making SER approx. $1.5
trillion economy by 2047, as envisaged in the EMP, it is crucial to have a robust and
responsive institutional mechanism, adopt an outcome-oriented holistic approach,
carefully selection of the most suitable project structuring mode, and address the
enablers that promote “Living Well” with inter-generational equity beyond the
economic aspects. G-Hub initiatives bring in a paradigm shift in urban planning by
adopting a regional approach through an economic lens. This would require revisiting
the extant institutional mechanism, breaking the silos, and having outcome-oriented
overarching bodies.
This chapter presents an indicative framework designed to facilitate the
implementation of the proposed EMP for SER covering all essential components.
10.1 Institutional Framework
The core institutional structure proposed features a three-tier framework, with a
constitution of new institutions at the regional level.
Figure 89. Core institutional framework 145 | Economic Master Plan for Surat Economic Region
The Surat Regional Economic Development Authority (SREDA) will play a pivotal
role by performing an overarching and coordinating role being responsible for the
integrated regional development including 6 different districts. It would have official
representation from all 6 districts in the region, including Surat Urban Development
Authority (SUDA) and other development authorities in the region and all Urban Local
Bodies (ULBs).
The primary responsibility of SREDA will include coordinating regional infrastructure
development, overseeing project development companies, and assisting in project
structuring and implementation. It will also play a key role in regional marketing and
investment promotion, ensuring alignment with regional goals through inputs to
city master plans and pre-approval processes. Additionally, the authority would guide
the implementation of city growth plans and manage regional planning, including
transportation planning, to support sustainable development.
SREDA would need to have its own income stream. It is proposed that this may inter alia
include External Development Charges (EDC)/Infrastructure Development Charges
(IDC)/Transit Oriented Development (TOD) charges or any other developmental
charges in designated Command Areas; a pre-approved percentage of stamp duty
collections in designated Command Areas and all proceeds from disinvestment/
monetization projects or land auctions, among others.
To streamline implementation, it may be suggested to establish three new institutes
under SREDA and strengthen one existing agency, as outlined Figure 90.
Figure 90. Key implementation framework Economic Master Plan for Surat Economic Region | 146
The G-Hub Crack Unit may act as the initial touchpoint for all project-related
inquiries, issues, and coordination efforts, ensuring streamlined communication and
quick resolution of challenges. It will be responsible for coordinating across different
departments, agencies, and stakeholders, conducting regular progress monitoring
with detailed reporting on KPIs and milestones, and overseeing the allocation of
resources, including financial, human, and technical resources.
Destination Management Organization (DMO) is a specialized entity focusing on
promoting and managing tourism at a regional or local level. Its primary role is to
create synergy and convergence in the efforts of all the stakeholders by coordinating
marketing efforts, developing tourism infrastructure, and promoting partnerships
among local communities, businesses, government and private agencies.
For sustainable management and inclusive tourism growth, a DMO is being proposed
to be set up and operationalized covering the administrative jurisdiction of SREDA. The
key responsibilities of the DMO would include (i) destination marketing by creating
and maintaining a compelling brand image for the destination and promotion, (ii)
fostering stakeholder coordination and cooperation among Government agencies
and private sector, (iii) visitor experience management by providing customer and
information services, (iv) develop long-term strategic plans and advocate for policies
and regulations for tourism development and sustainability, (v) crisis management to
address emergencies or crises that may impact tourism, such as natural disasters or
health outbreaks.
Figure 91. DMO Operating structure
A Project Management Unit (PMU) will be established to lead ground-level
implementation through effective project structuring and financing. Its key responsibilities will include conducting feasibility assessments, developing business models, and actively engaging stakeholders. The PMU will determine the most suitable 147 | Economic Master Plan for Surat Economic Region
project structures, whether Government-to-Government (G2G), Public-Private
Partnership (PPP), or private sector-led. Additionally, it will develop comprehensive
financial plans, covering budgeting, and projections, and identifying diverse funding
sources such as public funds, private investments, and grants. The PMU will also
ensure that all legal and financial agreements comply with local laws and conduct
thorough due diligence to meet regulatory standards.
The existing Integrated Command and Control Centre (ICCC) of Surat Smart City can
be scaled up for SER & new regional ICCC can be developed at the major industrial
estates such as Dahej, Ankleshwar, Sachin & Vapi. The Surat ICCC will serve as the
headquarters, receiving and monitoring data from all regional ICCCs.
Currently, ICCC of Surat gathers real-time data from various departments and
the citizens, that can be scaled up for hazard and pollution control measures in
the region. Automated sensors transmit a wide range of datasets to the ICCC for
analysis, supporting informed decision-making. Operating within the framework
of the Pollution Control Authority, the ICCC is crucial for driving innovation, refining
regulatory practices, and tackling emerging environmental challenges. Depending
on technical feasibility and financial viability, multiple regional ICCCs could also be
established across SER under SREDA to ensure centralized monitoring and regulation
of the industrial sector, thereby enhancing overall compliance.
Figure 92. Scaling up the functions of Integrated Command and Control Centre
10.2 Monitoring Framework
The plan is built around participatory monitoring, engaging key stakeholders such as State Governments and Development Authorities, and reinforcing the principles of cooperative federalism. It may be suggested to develop project-specific trackers to enable real-time progress updates, ensuring continuous monitoring. Additionally, an online dynamic dashboard can be created, offering information at different levels of Economic Master Plan for Surat Economic Region | 148
granularity to cater to different users, including the Hon’ble Chief Minister, relevant
ministers, SHPSC members, departmental heads, SREDA, DCs, and others. This
dashboard will facilitate efficient decision-making and ensure accountability across
all levels of governance.
The plan will serve as a rolling vision for the region’s economic development activities,
undergoing reviews at regular intervals throughout the implementation phase with
enabling frameworks and processes for course correction. While the core vision,
targets, and key focus areas will remain consistent, project planning aspects and
policy reforms will be updated as necessary to adapt to changing circumstances and
ensure ongoing relevance. Conclusion
11 Economic Master Plan for Surat Economic Region | 150
Hon’ble Prime Minister during the launch of ‘ViksitBharat@2047: Voice of Youth’ in
2023 underlined the importance of the times that we live in, stating that ‘this is the
period in the history of India when the country is going to take a quantum leap’,
towards becoming ViksitBharat@2047
59
, with the ambitious goal of building a $30
trillion economy. However, achieving the ambitious growth targets while ensuring
that it remains holistic and inclusive would demand a bottom-up approach. In this
context, special focus needs to be given to cities as these are traditionally regarded as
growth hubs.
The EMP for SER is a pioneering attempt to introduce a transformative shift in India’s
existing development planning practices for the urban centers and their surrounding
areas. The plan is expected to deliver several positive outcomes, including achieving
balanced growth, reducing regional disparities in infrastructure, employment
generation, equitable resource access, optimum utilization of land and natural
resources, and ensuring better-planned infrastructure connectivity. At its core the
plan is guided by ViksitGujarat@2047 and outlines a clear roadmap for SER’s future. It
aims at transforming SER’s economy from ‘Rapidly Growing’ to a ‘Globally Competitive’
region through a set of tailor-made strategic proposals.
The EMP outlines several proposed projects and policy recommendations for the
Surat Economic Region, summarized in Box 20.
Box 20. Proposed projects & policy interventions 151 | Economic Master Plan for Surat Economic Region


This plan outlines the region’s future growth trajectory focusing on priority
interventions. However, flexibility will be key to navigating unpredictable shifts and
uncertainties while ensuring the core objectives and vision are achieved. By staying
committed to the three principles of the EMP, viz. economy & investment, promoting
sustainability, and quality of life & inclusivity as the underlying long-term goals and at
the same time ensuring flexibility to adapt to changing market forces, technological
advancements, and social demands makes this plan to remain relevant for building a
society that is pro-people, pro- planet and pro- prosperity. Economic Master Plan for Surat Economic Region | 152
153 | Economic Master Plan for Surat Economic Region
Managing Urbanization Vertical – NITI Aayog
Team Lead
• Ms. Anna Roy, Principal Economic Adviser & Programme Director
Team Members
• Ms. Urmila, Director
• Ms. Anshika Gupta, Specialist
• Mr. Arunava Dey, Research Officer
• Mr. Gangala Sandeep Kumar, Young Professional
• Mr. Anchal Saxena, Young Professional
• Ms. Tsomo Wangchuk, Young Professional
• Ms. Swati Pradhan, Young Professional
• Mr. Prasanna Arun Bhangdia, Young Professional
• Mr. Kaustubh Srivastava, Young Professional
• Mr. Akshat Thakore, Young Professional
Project Team Economic Master Plan for Surat Economic Region | 154
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Annexure I
Multi-tiered institutional framework
I. National Steering Committee at NITI Aayog
Chairperson:
• Shri B.V.R. Subrahmanyam, CEO, NITI Aayog
Members:
• Prof. Dr. O.P. Agarwal, Dean, Indian School of Public Policy & Senior Fellow, NITI
Aayog
• Dr. Shirish Sankhe, Institute of Sustainability, Employment and Growth
Foundation (ISeG)
• Representative of MoHUA of the rank of Joint Secretary or above
• Mr. Madhav Pai, CEO, India Resources Trust (functionally known as WRI India)
• Ms. Anna Roy, Principal Economic Adviser, Managing Urbanization Vertical,
NITI Aayog (Member Convener)
Terms of Reference (ToR):
Providing advisory on:
• Identifying the city-regions to be covered under the said initiative
• Designing of the methodology and template for the economic growth
strategy for Growth Hubs
• Designing the structural arrangements to implement the initiative in each
city/state
• Processes to be followed for implementing the strategy in the Growth Hubs
• Monitoring the progress in each Growth Hub
• Based on learnings from the pilot phase, finalize the blueprint for scaling-up
the interventions for other identified city regions
II. State level Steering Committee
Table 9. State level steering committee members
S.No.DesignationPosition
1 Chief Secretary, Government of GujaratChairman
2 Additional Chief secretary / Principal secretary, Finance Department, Government of Gujarat
Member
Annexures Economic Master Plan for Surat Economic Region | 158
3 Additional Chief Secretary/Principal Secretary,
Industry and Mines Department, Government
of Gujarat
Member
4 Additional Chief Secretary/Principal Secretary,
Urban Development and Urban Housing
Department, Government of Gujarat
Member
5 Secretary (Planning), General Administration
Department, Government of Gujarat
Member
6 Secretary (Economic Affairs), Finance
Department, Government of Gujarat
Member
7 Municipal Commissioner, Surat Municipal
Corporation
Member
8 Chief Executive Authority, Surat Urban
Development Authority
Member
9 Collector, SuratMember
10 Officer on Special Duty, Urban Development
and Urban Housing Department
Member
11 External expert decided by chairmanMember
Table 10. G-hub crack unit
S.No.DesignationPosition
1. Additional Chief Secretary/Principal Secretary, Urban Development and Urban Housing Department, Government of Gujarat
Chairman
2. Municipal Commissioner, Surat Municipal Corporation
Member
3. Chief Executive Authority, Surat Urban Development Authority
Member
4. Collector, SuratMember
5. Deputy Municipal Commissioner, Surat Municipal Corporation
Member
6. City Engineer, Surat Municipal CorporationMember
7. Chief Town Planner, Surat Municipal Corporation
Member
IV. 3-4 full time personnel to work on the G-Hub initiative
State government constituted the G-Hub crack unit
V. Nodal officer in the Government of Gujarat
Additional Chief Secretary/Principal Secretary, Urban Development and Urban Housing Department, Government of Gujarat  159 | Economic Master Plan for Surat Economic Region
Annexure II
Mega-infrastructure projects in SER
The details of the existing and on-going infrastructure and connectivity projects are
given below:
(i) Connectivity and Logistics
• Road
Major national highways such as NH-53, NH-48, NH-64 and state highways
pass through Surat. Ongoing road infrastructure projects include:
1. Dedicated freight corridor (Partially operational)
Gujarat contributes 38% of the total length of the Dedicated Freight Corridor
(DFC) in the government’s plan to link major cities, including Delhi, Mumbai,
Kolkata and Chennai in different phases. Western DFC (WDFC) is 1506 km
long and extends from Jawaharlal Nehru Port (JNPT) near Mumbai to Rewari-
Dadri near Delhi and traverses through the states of Uttar Pradesh, Delhi NCR,
Haryana, Rajasthan, Gujarat, and Maharashtra, ultimately linking Dadri in the
Delhi NCR to Jawaharlal Nehru Port (JNPT) near Mumbai.
The WDFC currently operates across 938 km from Dadri to Sanand, 244 km
from Makarpura to Gholvad and 77 km from Gholvad to Vaitarna; the 138 km
Sanand-Makarpura section is about to be operational (India Briefing, 2024).
2. Delhi-Mumbai Expressway (Partially operational)
The Delhi-Mumbai Expressway (DME), built by the National Highway Authority
of India (NHAI), spans approximately 1350 km. The expressway is set to be one
of the longest expressways in the country. Running through Dausa, Kota,
Ratlam, Vadodara and Surat, it links Jawaharlal Nehru Port in Maharashtra to
the Sohna elevated corridor in Delhi.
3. Parikrama Path (North-South coastal corridor) (Conceptual stage)
The Gujarat Government has outlined a blueprint for a seamless peripheral
road project that will run along the state’s borders with neighboring states
and its coastline. This 3,533 km project, aimed at connecting missing linkages
between national and state highways along the borders, is projected to
cost ₹2,000 crore. Similarly, a coastal highway project is planned, which will
eventually be integrated with the Parikrama Path. This highway will connect
Valsad to Bharuch along the coastline and will be instrumental in boosting
trade, improving transportation, and enhancing coastal connectivity across
four districts (Valsad, Navsari, Surat, and Bharuch), thereby fostering regional
growth
4. Bharatmala Pariyojana Phase -1 (in pipeline)
Bharatmala Pariyojana Phase-I comprising of 24,800 km. of various categories
of roads and about 10,000 km of residual NHDP projects to be completed by
2027-28. Two corridors are crossing SER: Delhi-Mumbai and Surat-Nashik-
Ahmednagar-Solapur expressways. Economic Master Plan for Surat Economic Region | 160
5. Regional ring road (in pipeline)
A regional ring road of 120 m wide, spanning 116 km proposed for construction
within the SUDA area will serve as a critical gateway for traffic heading and
supply chain logistics to Mumbai and Ahmedabad.
6. Other notable projects:
»The government is focusing on improving connectivity and economic
activity in Southern and Tribal Zone (Dang, Tapi, Navsari). Key projects
include a road from Saputara to the Statue of Unity, passing through
Dang and Tapi districts, to enhance tourism and economic development.
Additionally, the government is focusing on tribal areas with road widening,
resurfacing, and bridge construction.
»The 74.4 km Uchhal-Nizar Road will be widened to reduce congestion and
improve links to Maharashtra.
»The four-laning of the Tithal-Valsad-Dharampur Road will boost access
to Dharampur Taluka and strengthen interstate connections with
Maharashtra.
»Industrial Corridor (Surat, Navsari, Bharuch): The government is upgrading
key industrial corridors to support economic growth. The six-laning of the
Surat-Navsari stretch will boost industrial expansion and ease transportation.
»The four-laning of the 38.4 km Sanvalla-Tankal Road will accommodate
heavy quarry traffic, enhancing Navsari’s mining output.
»In Bharuch, the Ankleshwar-Rajpipala–Statue of Unity High-Speed Corridor
will connect Ankleshwar’s chemical industries and boost both economic
and tourism sectors.
»The ongoing construction of a bridge over the Mindhola River will connect
Surat with Navsari, easing movement between the cities. This corridor will
link Surat’s PM-Mitra Textile Park and Diamond Burj, boosting the textile,
gems, and jewelry sectors and helping reduce industrial concentration in
Surat.
»Vapi, strategically located near Mumbai, will see further growth with the
Mumbai-Surat bullet train and a new four-lane ROB, enhancing connectivity
of the region
• Rail
1. The Mumbai-Ahmedabad High Speed Rail (MAHSR) Corridor also known
as Bullet Train Project, will join the economic and financial hub of India.
The first phase connecting Surat and Bilimora will be functional by August
2026.
2. The Surat railway station is set to transform into a Multi-Modal Transport
Hub (MMTH) by December 2026, integrating railways, the GSRTC city bus
terminal, the metro, and more for seamless connectivity. 161 | Economic Master Plan for Surat Economic Region
3. Surat Metro with 2 lines and 37 stations is an under-construction mass rapid
transit system (MRTS). Surat Metro Phase 1 project’s DPR (Detailed Project
Report) with a network length of 40.35 km (Corridor 1: Sarthana to Dream
City 21.61 km, Corridor 2: Bhesan to Saroli 18.74 km) was approved by the
Gujarat state government in January 2017 and by the Central Government’s
cabinet in March 2019.
• Air
SER has one domestic airport in Surat which has been upgraded to an
international airport in December 2023. As of now, it has direct flights to
Hyderabad, Delhi, Kolkata, Pune, Diu, Chennai, Indore, Bengaluru, Goa, Sharjah,
Dubai, and Bangkok. Further, there is Surat International Airport’s Domestic
Cargo Terminal (DCT), which started in 2020. The 1,400 square meter terminal
can handle up to 50,000 metric tons of cargo per year.
• Sea
There are two minor ports located in SER: Hazira and Dahej; and one lighterage
port: Magdala port. Further, a Nargol port in Valsad is under planning.
a. Dahej port: Dahej port is a deep water, multi-cargo port which is located in
the Gulf of Khambhat. It is strategically situated on international maritime
routes and provides easy access to the dense industrial hubs of Gujarat,
Maharashtra and Madhya Pradesh (Source- Gujarat maritime cluster
report- 2022).
• Cargo: LNG, Coal, POL Chemicals, and others are provided by different
private players
• Jetty: Dahej Port has captive jetties and a private port used by various
private players
• Cargo handling capacity: 30-35 MMT p.a
b. Hazira Port: Hazira Port is a deep-water liquefied natural gas terminal and
multi-cargo facility located in Surat.
• Cargo: Liquid Natural Gas, Ethylene, SPM EDC-RoRO and GAS, Cement,
sponge iron LPG
• Cargo handling capacity: 32 MMT p.a
c. Magdalla port: Magdalla Port, a lighterage port on the west coast of India
in southern Gujarat, is located 16 km upstream on the southern bank of the
river Tapi. It features a deep-water anchorage 15 nautical miles southwest
and a 16 km long, 150 m wide approach channel marked by lighted buoys.
• Cargo: Coal, cement, clinker, crude oil, steel, naphtha, fertilizer,
limestone, iron ore, LNG, container cargo, rock phosphate
• Cargo handling capacity: 38.05 MMT p.a
d. Nargol Port (under planning): Nargol Port, a Greenfield port proposed
in Valsad, is currently in the planning stage. Considering the strategic Economic Master Plan for Surat Economic Region | 162
location of Nargol and its proximity to the Dedicated Freight Corridor (DFC)
and the Delhi Mumbai Industrial Corridor (DMIC), the port is estimated to
handle sizable traffic of containers, dry bulk and liquid bulk cargo.
• Multi-modal logistic parks
SER has 4 Multimodal Logistics Parks proposed in Dahej, Hazira, Bhatia, Niyol.
(ii) Dedicated zones:
• Diamond Research and Mercantile (DREAM) City & Surat Diamond Bourse
To support the swift development of the Diamond Trading business, the
Gujarat Government established a Special Purpose Vehicle (SPV) called DREAM
(Diamond Research and Mercantile) City Limited, with an initial paid-up share
capital of Rs. 100 crores. DREAM City spans 6.85 sq.km. located south of Surat;
abutting 90 m wide outer ring road in proximity of Surat Airport.
Surat Diamond Bourse (SDB) is the anchor tenant of the project with a campus
measuring approximately 0.14 sq.km. of land. It contains more than 4200 offices
which will give employment to nearly 1.5 lakh people. The complex is a pre- certified
green building by the Indian Green Building Council. Surat Diamond Bourse
is the world’s largest office building and has the potential to develop a global-
level diamond trading hub, thereby driving growth in Surat.
• Surat Industrial Growth Region (SIGR) zone (proposed in Surat Development
Plan 2035)
Surat Development Plan, 2035 was prepared considering the demand of the
projected population of the next two decades. The preparation of ‘Development
Plan 2035’ was initiated in 2013. The development area of SUDA is 985 sq.km.
SUDA has conceived a plan to develop an industrial growth region of about 30
km long, having a 1.45 km width from Hazira to the existing BG Delhi Mumbai
railway line near Gothan admeasuring about 40 sq.km., which is 5.09% of the
total urbanized area proposed in the development plan.
• Greenfield Mega Textile and Apparel Park (under PM MITRA), Vansi, Navsari
a
(in-pipeline)
Navsari will be one of the seven Mega Integrated Textile Region and Apparel
Parks in India. The area the identified site is approximately 4.65 sq.km. The
Expression of Interest (EoI) was floated by GoG in 2023 on a Design, Build,
Finance, Operate and Transfer (DBFOT) basis. Facilities like office complex,
a
For development of Greenfield PM MITRA and Brownfield PM Park, there is a provision of Development Capital
Support (DCS) @30% of the project cost with a maximum support of INR 500 Cr and INR 200 Crore per park for
Greenfield and Brownfield PM MITRA respectively from the Government of India. This support is for creation of Core
Infrastructure e.g. Developed Factory Sites, Plug & Play facility, Incubation Centre, Roads, Power, Water and Waste
water system and Support infrastructure e.g. Common Processing House & CETP, Workers’ Hostels & Housing,
Logistics Park, Warehousing, Medical Facilities, Training & Skill Development facilities. There is a provision to use 10%
of the park’s area for Commercial Development e.g. Shops & Offices, Shopping Malls, Hotels & Convention Centers.
Source: Expression of Interest (EoI) for Selection of Master Developer for Development, Operation and Maintenance of
PM MITRA (Pradhan Mantri Mega Integrated Textile Region and Apparel) Park on Design, Build, Finance, Operate and
Transfer (DBFOT) basis in Vansi, Navsari, Gujarat, GIDC, 2023 163 | Economic Master Plan for Surat Economic Region
commercial complexes, ITI and skill development center Exhibition/ convention
center, testing and research labs, hotel complexes and firefighting systems are
proposed to be developed as common facilities.
• Dahej Promotion of Petroleum, Chemicals and Petrochemical Investment
Regions (PCPIR)
Dahej PCPIR region has been notified under the Gujarat Special Investment
Region (GSIR) Act, 2009. The total area is 452.98 sq.km with a processing area
of 230 sq.km. (approx. 51% of total area). M/s ONGC Petro additions Ltd. (OPaL)
is the anchor tenant and has set up a dual feed cracker complex at Dahej SEZ.
Dahej PCPIR is being integrated with WDFC with spur line and Delhi-Mumbai
Expressway. The common infrastructure facilities include a common effluent
treatment plant with 40 MLD capacity (expansion capacity with other 40 MLD)
with marine discharge facilities; treatment, storage, and disposal facility (TSDF)
with incineration facility, 100 MLD desalination plant, firefighting systems and
independent power plant.
• Bulk Drug Park, Jambusar, Bharuch (in-pipeline)
The project spans 2000 acres (approx.), overseen by GIDC, with 8% of the
land dedicated to roads. The water requirement is 64 MLD, sourced from the
Narmada Main Canal, with a 15 MLD water reservoir planned. A 54 MLD CETP
will handle effluent disposal, and power needs of 350 MW will be supplied
by GETCO/MGVCL. The development includes essential infrastructure like
security, utilities, health facilities, training centers, and a fire station, alongside
common utilities such as steam supply, effluent and sewage treatment plants,
and waste management. The total project cost is estimated at ₹3500 crores
(approx.).
• Gujarat Agro Infrastructure Mega Food Park Pvt Ltd, Mangrol, Surat
(operational)
The project, approved as a Mega Food Park by the Ministry of Food Processing
Industries (MoFPI) under the Pradhan Mantri Kisan Sampada Yojana (PMKSY),
received final approval on May 22, 2014. With a total cost of ₹121.86 crores and
a ₹50 crore grant, the project includes infrastructure like internal roads, power
supply, ETP & STP, and weighbridges. Core processing facilities such as sorting,
grading, packaging, cold chain infrastructure, and QC labs are also part of
the plan, along with plug-and-play sheds for small enterprises and non-core
facilities like admin buildings and training centers.
  Economic Master Plan for Surat Economic Region | 164
Annexure III
Global Marine Effluent Discharge Standards
Table 11. Global marine effluent discharge standards
Parameters Units India USA EPA* China
Class 1, 2 & 3
SER Port of
Houston
Port of
Shanghai
pHValue 6-9 6-9 6-9
COD mg/l 250 4333 100-500
BOD mg/l 100 2466 100-300
TSS mg/l 100 2033 -
Oil & Grease mg/l 20205-20
* Measured at receiving end (seawater sample) while other countries measure at the
discharge end point of CETP
  165 | Economic Master Plan for Surat Economic Region
Annexure IV
Shaping the Future: Proposed Projects and Policies for SER’s Chemical and
Pharma Industry
PROJECTS
1.1.1 Creating capacity at a global scale
1. Develop industrial estate for Global Anchor Investors
- Location
- Area
-Approx investment Dahej PCPIR
20,000 - 25 ,000 acres (~ 101 Sq Km)
$15 - 20 billion
Details
GIDC to invite one of the top global companies to be
the anchor investor for the production of specialty
chemicals.
Attract global players such as Aramco, Exxon Mobil,
SABIC etc.
2. Develop a new Free Trade Warehouse Zone (FTWZ)
- Location
- Area
-Approx investment
Dahej PCPIR
2,500 acres (~ 10.1 Sq Km)
$2.5 billion
Details
To support the seamless supply of duty-free storage,
trade, and value-addition activities
3. Establish a tank farm project on the PPP model at Dahej
- Location
- Area
-Approx investment
Dahej PCPIR
1,000 acres (~ 4 Sq Km)
$1 billion
Details
1.
To supplement the existing facility at Hazira (0.19
MCM) which is insufficient
2. To meet the demand generated at Dahej as
existing infra located 100 km from Dahej PCPIR
1.1.2 Additional infrastructure
1. Enhance port capacities
LocationDahej and Hazira Ports
Details
1. Increasing the liquid cargo handling capacities
(current 32 MMT.pa) to cater future Chemical
market (approx. $150 billion)
2. Expedite the outer-harbour port at Hazira with
infrastructure like pumping stations, tanker berths,and blending and mixing facilities. Economic Master Plan for Surat Economic Region | 166
2. Develop a common-user Jetty
LocationDahej Ports
Details
As all the jetties at Dahej are captive in nature, to
support the non-major chemical players a common-
user jetty in exports and imports
3. Connect Hazira port with the rail network
LocationHazira Port
Details
Extension of Indian railways line from National
Thermal Power Corporation (NTPC) to Hazira Port
& connecting Dedicated Freight Corridor (DFC) to
ensure seamless transfer of freight between port and
railways
4. Develop a Multi-Modal Logistic Park (MMLP)
LocationPCPIR Dahej
Details
Customs facilities, Freight aggregation and
distribution, Integrated storage and warehousing, and
value-added services
5. North-South coastal roads
Location
Connecting Dahej port and Hazira port with
Expressways and NHs
Details
60M Right of way (ROW) Green and Brownfield
development
Note: The area and investment for the proposed interventions are tentative.
1.1.3 Streamline the MSMEs
To develop common infrastructure facilities such as CETP, quality control certification
centers, laboratories, stream boilers, fire safety systems, emergency response rooms,
intra roads, drainage, pipelines, open spaces, power and other paraphernalia etc. in
all the industrial estates.
1.1.4 For containing environmental fallouts
Upgrading the Surat, Integrated Command Control Centre (ICCC) to enable real-time
monitoring of environmental compliance and automated generation of fines for
violations of emission standards. In addition, establishing regional ICCCs at prominent
Industrial estates will feed data into the central ICCC at Surat. 167 | Economic Master Plan for Surat Economic Region
1.1.5 Up-scaling pharma industries
1. Establish an Air Freight Station
LocationSurat Airport
Details
Currently, approximately 20% of pharma exports from
SER are processed through Mumbai and Ahmedabad
airports. To reduce logistical costs and streamline the
export process, developing an air freight station within
the SER region is essential.
2. Develop a new Pharma ancillary industrial estate
LocationNear Alipor village, Bilimora
Details
The pharmaceutical industry relies heavily on various
packaging materials, including glass bottles, aluminum
strips, and plastics. Creating an ancillary industrial
estate in Navsari would facilitate the local production of
these essential packaging components, streamlining
the supply chain for pharmaceutical manufacturers
and reducing overall costs.
1.2 Policy recommendations:
InterventionProposed action
Monitoring
Improve compliance by leveraging technology to improve monitoring
ICCC of Surat is to be designated as the nodal monitoring entity for SER to ensure environment compliance by leveraging technology to monitor and levy penalties with PCB as the appellate
Regulations
DESH bill and Draft India REACH Rules are currently under review with the Ministry of Commerce
State Govt. to request for early passage of the DESH bill and Draft India REACH (Chemical Management and Safety) Rules
Streamline the process for unlocking land under sick units
Establish a Centre for Processing Accelerated Corporate Exit (C-PACE) at the state level (iNDEXTb) on similar lines to C-PACE at the Ministry of Corporate Affairs
Green Chemicals
Global trend toward Green Chemicals
Incentivize the production of green chemicals and focus on energy-efficient fuels Economic Master Plan for Surat Economic Region | 168
Annexure V
Shaping the Future: Targeted Projects and Policies for SER’s T&A and G&J Industries
Key interventions to make Surat ‘Bharat Bazaar’ replicating the Guangzhou &
Dubai model
1. Development of B2C hub in DREAM City for end-to-end in Textile & Apparel
and Gems & Jewelry
1.1 Bourses for Textile & Apparel and Gems & Jewelry
LocationDREAM City, Surat
DetailsArea: 40 acres (~ 0.2 Sq Km) each; Approx. Investment: $1 bn
Business facilities: A wholesale B2B trading marketplace for
T&A and G&J. Offices for national and international traders,
Product display areas, banks, retail shops, and dedicated
customs clearance house for import and export. Attracting
major players such as Nike, LV, Gucci, Adidas, Tiffany & co,
Malabar etc.
Common facilities: conference halls, multi-purpose halls,
restaurants, parking, security, landscaped gardens etc.
1.2 Apparel & Jewelry souk for retail
LocationDREAM City, Surat
DetailsArea: 50 acres (~ 0.2 Sq Km), Approx. Investment: $60 Mn
Develop a retail and shopping souk street, inspired by the
Gold Souk in Dubai with luxury malls, high-end restaurants
Key Provision: Market area containing shops dedicated to
apparel & jewelry products
1.3 Luxury Mall
LocationDREAM City, Surat
DetailsArea: 50 acres (~ 0.2 Sq Km), Approx. Investment: $120 Mn
Develop a luxury mall catering high end brands & shopping
centre on the lines of Dubai mall
1.4 Artisan Village, Experience centre & Museum
LocationDREAM City, Surat
DetailsArea: 100 acres (~ 0.4 Sq Km), Approx. Investment: $120 Mn
1.5 International convention Centre for branding & promotional activities
LocationSarsana, Surat
DetailsArea: 50 acres (~ 0.2 Sq Km), Approx. Investment: $0.2 bn
Artisan Village & Museum based on Textile, Apparel, jewelry
etc. Experience centre for branding & promotional activities
Expansion/upgradation of the existing convention center to
organize international expos & fashion shows for branding &
promotional activities
Note: The area and investment for the proposed interventions are tentative & subject to change. 169 | Economic Master Plan for Surat Economic Region
2. Development of B2B hub in HSR node for Textile & Apparel and Gems & Jewelry
2.1 B2B Zone for T&A and G&J
LocationHSR zone, Surat
DetailsArea: 2000 acres (~ 8 Sq Km), Approx. Investment: $1 Bn
Develop a B2B Zone for T&A and G&J on the lines of the
Guangzhou model following environmental norms.
Provision of wholesale market blocks, warehouses under
FTWZ, business hotels, Malls, restaurants, housing, care
facilities, Shuttle services, helipads, and vertiports. Seamless
connectivity with DREAM city, airport & major manufacturing
clusters of India. End to End business services from trade,
cataloguing, and communication to e-commerce
3. Streamlining and strengthening existing production facilities
3.1 Textile & G&J MSME Cluster
LocationTalangpore village near Sachin SEZ, Surat
DetailsArea : 750 acres (~ 3 Sq Km), Approx. Investment: $0.4 bn
It was considered that to bring more size, scale and efficiency
in the operation of MSMEs, a smart ‘plug and play’ facility
must be developed in vicinity of the city where they are
currently operating. Therefore, an Industrial Park for MSMEs
has been proposed at an average distance of 20 km from the
city core.
Salient features
• Large plots for big players
• Sheds for MSMEs
• Mega- common facility centre with
»CETP
»Common Boiler
»Testing and certification
»Warehouses
»Business support centre
»Material testing
»Warehousing
»Parking
»Fire safety Economic Master Plan for Surat Economic Region | 170
DetailsLogistics infrastructure: Raw Material / Finished Goods
Warehouses, truck parking
• Facilities for workers including
»Dedicated e-bus service for transport
»Workers’ Hostel (Specially for women workers)
»Rental housing for workers, particularly women
»Creche for children
»Schools
»Basic amenities- water supply, sanitation, healthcare
»EV Transportation Facilities, Truck driver facilities
»Other paraphernalia
Real estate: Hotels, Residential, Commercial complexes/malls,
etc.
3.2 Surat international Airport expansion
LocationSurat international airport
DetailsCapacity expansion Surat airport which includes: 1. Vault
facility for gems & jewelry 2. Cargo mega terminals 3. Airport
free zone 4. Warehouses & Logistic
Note: Area and investment for proposed intervention is tentative & subject to change.
Incentives for B2B & B2C Zones
The Surat Economic Region is poised to become a leading B2B and B2C hub,
leveraging strategic incentives from globally recognized economic zones like GIFT
City, Guangzhou, and Dubai. These incentives offer a competitive edge by fostering
an environment conducive to business growth, innovation, and international trade.
By adopting and customizing these incentive structures, SER can attract significant
foreign direct investment (FDI), boost local enterprise growth, and establish itself as
a key player in both B2B and B2C markets. The following sections outline the specific
incentives available in GIFT City, Guangzhou, and Dubai, which can serve as a model
for SER’s development.
1. GIFT City Incentives
• Operating Expense Subsidy: 15% subsidy on operating expenses for 5 years.
• Interest Subsidy: Up to 7% on term loans for 5 years, with a maximum of INR
10 million per annum.
• State Subsidies: Subsidies on lease rental, PF contribution, and electricity
charges.
• CSR Exemption: Corporate Social Responsibility (CSR) provisions are not
applicable for 5 years from commencement.
• Employment Cost Reimbursement: 50% reimbursement of one month’s
employment cost (one-time) up to INR 50,000 for men and INR 60,000 for women. 171 | Economic Master Plan for Surat Economic Region
• Electricity Duty Reimbursement: 100% reimbursement for 5 years.
• R&D Support: One-time support for establishing R&D institutes.
• Capex Support: 25% subsidy for capital expenditure on IT City/Township
projects.
• Audit and Compliance Exemptions: No requirement to set up an Audit
Committee, Nominations, and Remuneration Committee. Internal audit is
required only if specified in the Articles of Association (AOA).
• Exemptions for Foreign Companies: Exemptions from subscription offerings
in securities and related prospectus requirements.
• Provident Fund Reimbursement: 100% reimbursement of Provident Fund
contributions by the employer for 5 years.
• Capital Subsidy: 25% of capital expenditure as a subsidy.
2. Guangzhou Incentives
• Corporate Income Tax (CIT) Reduction: 15% CIT rate for qualified businesses in
the Intensive Cooperation Zone (ICZ) and other development zones.
• Investment Deduction: 70% deduction of the investment amount from
taxable income for qualified enterprises investing in seed-stage or technology
startups.
• Fixed Asset Investment Reward: One-time rewards of up to 50 million RMB
for new fixed asset investments by headquarters-based enterprises.
• Cross-Border E-Commerce Reward: 100,000 RMB reward for cross-border
e-commerce enterprises with over $5 million in annual imports/exports.
• Small Business Tax Reduction: 50% reduction on urban maintenance and
construction tax, property tax, stamp tax, etc.
3. Dubai Incentives
• Establishment of Free Zones: Special economic areas designed to attract
foreign investment and boost economic activities.
• 100% Foreign Ownership: Full ownership by foreign entities within free zones.
• Tax Exemptions: 100% exemption from Corporate and Income Taxes, as well
as Customs Duty.
• Zero Tax on Imports and Exports: No tax liabilities on importing or exporting
goods.
• Single Window Clearance: Streamlined and simplified business setup
procedures.
• Repatriation of Profits: 100% repatriation of profits to foreign entities.
• Long-Term Leases: Typically, 99-year leases ensure business stability.
• Support Services for Ease of Doing Business (EoDB): Additional services to
simplify and accelerate business operations.
• Investment Promotion and Protection Agreements (IPPAs): Agreements to
safeguard foreign investments. Economic Master Plan for Surat Economic Region | 172
Conclusion
The incentives outlined by GIFT City, Guangzhou, and Dubai offer a robust
framework that can be adapted to SER to establish a thriving B2B and B2C hub.
These incentives will not only enhance the region’s competitiveness but also
solidify its position as a major economic powerhouse within the broader regional
and global markets.
  173 | Economic Master Plan for Surat Economic Region
Annexure VI
Parsi Circuit
A. Mumbai Circuit: Tracing the eternal flame- a journey through Mumbai’s Parsi
heritage
i. Heritage Walk in South Mumbai
Discover the timeless tales of Parsi resilience and legacy amidst historic
sites like J.N. Petit Library, and K.R. Cama Oriental Institute. Create a virtual
reality experience to step into the shoes of Parsi pioneers with a mesmerizing
journey through time and learn about the successful Parsi businesses and
the journeys to elevation
ii. Visit to Bombay House
Uncover the entrepreneurial spirit of Mumbai’s Parsi community at the heart
of Tata Group’s historic headquarters. The Tata Experience Centre takes the
people to the world of building Tata businesses.
iii. Lunch at Britannia & Co. Restaurant | Jimmy Boy
Savor the flavors of Parsi culture at Britannia & Co., where each dish tells a
delicious story of tradition and taste. Indulge in an authentic wedding feast
at Jimmy Boy.
iv. Dr. Bhau Daji Lad Museum, Byculla
Explore the solemn legacy of the Tower of Silence (exhibit), a poignant
symbol of Parsi funerary traditions & other Parsi exhibits (additional curation
required). Stop by the Khada Parsi statue on the way.
v. Dadar Athornan Institute (DAI)
Recreate the fire temple and ritual understanding at one of the oldest
training institutes for priests. This can be added for people seeking a greater
understanding of the religious practices without needing to enter an actual
fire temple.
vi. Walk along Marine Drive
Take a leisurely evening stroll towards Marine Drive, passing by various Parsi
statutes each with a tale. Enjoy the sea breeze whispering tales of Parsi
heritage against the backdrop of Mumbai’s skyline. Have an authentic natural
ice cream from K. Rustoms, a legendary Parsi ice cream place, or Sweet Curd
& Mithai at Parsi Dairy Farm
B. Mumbai - Surat Circuit: From gateway to gateway-traversing the trail of Parsi
heritage
i. Day 1: Complete the Mumbai circuit
Rest at a luxury hotel after the completion of the Mumbai circuit. There are
several high-quality F&B opportunities along the highway & pit stops that
can be on-boarded. Economic Master Plan for Surat Economic Region | 174
ii. Day 2: Transit to Bordi, immersion into the life of the Parsi community,
and chikoo farm safari
Experience the warm Parsi hospitality perfumed with the subtly intoxicating
aroma of the sea and flora. The add-on experience of the fine art of honey
production in an apiary (bee-keeping) is recommended. To add to the thrill
of the field trip, the local brew can be savored, and mulberry and chikoos
plucking from trees can be covered.
iii. Bonfire and star gazing night
What better way to end an enriching and exciting day than with a bonfire
and a cool breeze blowing, under the stars of a moonlit night, feeling close to
the galaxy and constellations of stars with a light touch of Parsi music. Stay at
the farm or heritage houses.
iv. Day 3: Visit the Parsi Stambh, trek to Bahrot Caves, relax at Devka
• The Parsi stambh at Sanjan, Umargam taluka, Valsad has the time capsule
buried & lends to storytelling. Trek to the Bahrot Caves which lie in the
Bahrot Hills, create a VR experience to show the journey of the original fire
before being finally housed at Udwada. The hills rise to 1,500 feet and are
sacred to the Parsi community. Zoroastrians hid the holy fire for 12+ years
in these mountains after an invasion of their settlement at Sanjan.
• Transit to a luxury resort at Devka and enjoy the evening at Daman.
• The drive is along scenic coastal roads seeing local architecture, optional
stop at Udwada.
v. Day 4: Arrive at Navsari/Surat and complete the circuit
End the circuit by arriving at Navsari/Surat
C. Navsari Circuit: In the footsteps of ancestors- navigating Navsari’s Parsi
legacy
i. Arrival at Navsari
A traditional Parsi welcome ceremony with garlands and refreshments at a
designated luxury lounge / Parsi bungalow.
ii. Dastoor Meherjirana Library
A guided tour of one of the oldest Parsi libraries, housing ancient manuscripts
and religious texts. Special access to rare collections and an insightful
discussion with a Parsi scholar.
iii. Historic Navsari tour
• Walking Tour: A guided tour showcasing old Parsi homes, community
centers, and significant landmarks such as Jamshed Baug and various
statues and memorials of notable Parsi figures like Jamshedji Tata.
• Heritage Parsi homes: Visit historic Parsi homes and meet with local Parsi
families to hear personal stories and insights about their way of life. 175 | Economic Master Plan for Surat Economic Region
iv. Lunch at a heritage Parsi house or Parsi bungalow
Gourmet Parsi Meal: A lavish, authentic Parsi lunch hosted at a beautifully
restored heritage house. The meal includes traditional vegetarian/non-
vegetarian dishes exhibiting traditional Parsi hospitality & culture
v. Parsi Anjuman and Cultural center
Cultural Insights: Visit the Parsi Anjuman and Cultural Center to learn about
community activities, social programs, and the role of the Parsi Anjuman in
preserving Parsi heritage
vi. Walk through sites and promenade (local market)
• A leisurely walk through other notable Parsi sites, including lesser-known
temples.
• Experience a Parsi promenade in Sanjan, Valsad comprising of Parsi
heritage along the way with local products, bakeries, and other hospitality
services.
• Kolah vinegar & pickles are a must-visit
vii. Cultural performance
Enjoy a traditional Parsi cultural performance, including music and dance,
providing a rich cultural immersion with F&B
D. Surat circuit: Jewels of Parsi heritage- unveiling the timeless treasures at
the experience center
Surat’s rich historical significance as an early settlement for Parsis, coupled with
its vibrant Parsi community, tourism potential, accessibility, economic growth,
and educational value, makes it an ideal location for an experience center focused
on preserving and promoting Parsi heritage. The experience center will have
shopping opportunities for amazing Parsi food and cultural artifacts like glass
beads/silver torans and Gara/Embroidery. Explore the local Surat market on a
guided walking or car tour, indulging in traditional Dotivala sweets and namkeen.
Visit historic fire-temples or institutions supported by esteemed organizations,
followed by lunch at a charming heritage bungalow and a showcase of iconic
Parsi architecture.
Parsi Irani Zoroastrian Experience Center
Develop a Parsi Irani Zoroastrian Experience Center near Kapletha, Surat. Design
the center with elements reflecting traditional Parsi architecture, ensuring a
blend of heritage and modern amenities.
• Historical and cultural exhibits - Showcase artifacts, photographs, and a short
movie/documentary tracing the history of the Parsi community in India
• Interactive experiences - Incorporate VR tours, interactive kiosks, and storytelling
sessions to engage visitors of all ages
• Workshops and classes - Offer workshops on traditional Parsi arts, drama
traditionally called the natak, crafts, cuisine, and language. Economic Master Plan for Surat Economic Region | 176
• Festivals and events - Host celebrations of Parsi festivals like Navroz and Parsi
New Year and other lesser-known cultural traditions
• Community involvement - Engage local Parsi organizations and community
leaders and establish volunteer programs for active participation.
 
E. Promenade development in Sanjan, Valsad
The Promenade will celebrate the region's heritage with Parsi-inspired
architecture, featuring intricately designed shops offering handcrafted products
and antiques. A vibrant food zone will showcase authentic Parsi cuisine. Cozy
parsi-style cafes and cultural elements will make it a lively hub for shopping,
dining, and leisure, blending tradition with modern vibrancy. 177 | Economic Master Plan for Surat Economic Region
Annexure VII
List of Tourism Projects and Policy Interventions
1. Surat as the business-led Tourism hub
1.1 Surat as a docking point for Cruise Tourism (GMB, Private)
LocationHazira Port or Near Ubhrat Beach
DetailsKey facilities such as berthing facilities, passenger terminals,
waiting areas, F&B outlets, information center, etc. to ensure
smooth operations and pleasant experience for passengers
1.2 Beach Hotels (State Tourism Department, Private)
LocationNear docking facility in Hazira/Ubhrat and Tithal beach
DetailsFor high-spending tourists with a wide range of facilities and
amenities, accommodation and dining options, recreation
facilities, kids and entertainment zones, etc.
1.3 Hotels & Resorts (State Tourism Department, Development Authority, Private)
LocationNear docking point and airport, DREAM city, beaches, and
other tourist attractions in SER (Tapi, Navsari, Dang, Valsad)
Details15-20 hotels and resorts (including premium and budget,
total 1,000-2,000 keys) catering to all segments of visitors
with accommodation options, restaurants and dining areas,
recreational facilities, etc.
1.4 Disneyland Theme Park (MoT, State Tourism Department, Private)
LocationNear the docking point in Hazira/Ubhrat
DetailsGoI to invite Disney to develop the park, the State to demarcate
the land and provide on lease and facilitate clearances
With theme-based recreational activities, musical fountains,
landscaped areas, facilities for live entertainment & stage
shows, event spaces, food outlets, retail outlets, spas, basic
amenities
1.5 Beach Front Development (Development Authority/Tourism department)
LocationSuvali, Ubhrat, Tithal and Nargol Beach
DetailsBeach front development (in Suvali, Ubhrat, and Tithal) with
infrastructure development and engaging activities.
Nature-Based Tourism Activities at Nargol Beach, Valsad
2. Dang as the eco and rural tourism hub
2.1. Purna Wildlife Sanctuary, Dang and Vansda National Park, Navsari (Forest
Department, Tourism Department, Private)
LocationDang and Navsari
DetailsDevelop premium eco-resorts, organized day and night
safaris, rental facilities for vehicles and cycling, wellness
ayurvedic spa and yoga center, and visitors center. Promote
‘Owling in Dang’. Economic Master Plan for Surat Economic Region | 178
2.2. Adventure tourism (Forest Department, Tourism Department, Private)
LocationDang, Navsari and Tapi
DetailsUpgrade existing trails with the provision of key facilities and
develop premium eco-campsites for high-spending tourists.
The government can hold hand agencies to prepare a 2-3 day
itinerary for promoting organized camping and hiking.
2.3. Rural-based experience tourism (Tourism Department, DRDA, Private)
LocationDang, Navsari, Tapi and Valsad
Detail1. Develop rural homestays with good amenities and
availability of local rides for visits to the villages and
nearby attractions
2. Promote traditional activities such as local art and
handicraft activities (bamboo handicrafts, warli paintings,
etc.), ethnic cuisines (including their preparation) along
with the provision of continental and fusion cuisines, and
other cultural activities and local festivals.
3. Develop Mango plantation and orchard tourism in
Valsad.
2.4. Don Hill Station (Forest Department, Tourism Department, Private)
LocationDon (Dang)
DetailsDevelopment of Don Hill Station with adventure sports
activities like paragliding, zip-lining, rock climbing, and
mountain biking; wellness and spa resorts, cultural
experiences, and tribal markets, eco-lodges and wilderness
campsites, food festivals, and culinary events.
2.5. Ukai Reservoir and the catchment area (Forest Department, Tourism
Department, Private)
LocationThuti, Jamki, Narayanpur Villages in Ukai Taluka, Tapi
DetailsDevelop Nature trails and guided treks, adventure activities
like boating and kayaking, camping and bonfires, water
sports such as jet skiing and water scooters and fishing
experiences along with supporting infrastructure such as
visitor, information centers, eco-lodges, etc.
3. Experiential Tourism in SER
3.1 Adaptive reuse of Heritage buildings (Tourism Department, Development
Authority, Private)
LocationIn all the dilapidated heritage buildings in SER
DetailsRestore and redevelop heritage sites into hotels and
restaurants, artisan museums & studios, library & cultural
centers, event venues, and experiential spaces, etc. that
balance conservation with commercialization and promotion 179 | Economic Master Plan for Surat Economic Region
3.2 Parsi (Zoroastrianism) Circuit (MoT, Tourism Department, Private)
LocationParsi tourist attractions in SER and Mumbai
Details1. Parsi Irani Zoroastrian Experience Center in Surat.
2. Featuring guided heritage tours, a state-of-the-art
museum, wellness centers, recreation, and retail hubs,
and targeted destination branding along the trail offering
a rich cultural and immersive experience.
3. Promenade in Sanjan, Valsad.
3.3 Festivals & events (Tourism Department, Private)
LocationAcross the region
Details1. Scale up and promote existing festivals (Dang Darbar,
Saputara Monsoon festival, etc.) on a wider scale.
2. An annual week-long Dang Bamboo Festival on World
Bamboo Day (18 September) in Dang to bring people from
across the country to explore and celebrate bamboo’s
diverse uses.
3.4 Art & Culture (Tourism Department, Private)
LocationAcross the region
Details1. Create a cultural heritage village showcasing timeless
traditions, art, and culture.
2. Promote Warli art and paintings on a wider scale through
commercialization and tourism integration.
3. Cultural programs and performances of local dance and
music forms such as the Kahadya dance of Dang.
4. Bamboo Hub in Dang - a center for artisans, wellness,
education, and ecological tourism, leveraging the
abundant bamboo resources
3.5 Boutique events destination (Tourism Department, Private)
LocationAcross the region
DetailsCurate events related to arts & crafts, cultural festivals, food
festivals, textile heritage fashion fiesta, gems & jewelry fairs,
etc. Economic Master Plan for Surat Economic Region | 180
Policy Interventions
• Cruise Tourism Policy comprising of regulatory and safety framework to address
the quality and regulatory gaps, including cruise policies and standards for cruise
terminals and docking facilities.
• Gujarat Tourism to promote adventure, eco-tourism, and rural homestays, in
lines with National Strategy for Adventure Tourism, 2022; National Strategy for
Eco-Tourism, 2022 and National Strategy for Promotion of Rural Homestays - An
Initiative towards Atmanirbhar Bharat, 2022. These policies include regulations,
governance, management, and monitoring mechanisms to ensure compliance
with various adventure sports, eco-tourism activities, etc..
• Requisite policy regulations on assessing carrying capacity for eco-sensitive
areas, such as Dang, with provisions for ensuring compliance.
• The Tourism Policy of Gujarat can be modified for the provision of land on lease
for categories such as hotels, resorts, theme parks, etc
• Formulate a scheme for restoring and redeveloping heritage sites that balances
conservation with commercialization and promotion.
• Include zoning for regions comprising several destinations in the Gujarat tourism
policy. 181 | Economic Master Plan for Surat Economic Region
Annexure VIII
List of Agriculture & Allied Interventions
Proposed interventions for enhancing the value addition from the
agriculture sector in SER
1. Establishing natural farming production clusters at suitable locations with
appropriate cropping pattern
Proposed Location Multiple locations
Project details • 100% coverage through micro irrigation at each cluster
• Common bio input resource centers for Organic Seeds &
Fertilizers
• Local collection and storage facilities with primary
grading and sorting
• Transport and logistics support to the processing center
• Coordination with existing FPOs offering end-to-end
support and capacity building of farmers
2. Address supply chain and logistic issues in food processing by upgrading
the capacity and efficiency of the Mega Food Park
Proposed Location Mega Food Park at Mangrol, Surat
Project details • Set up collection centers and cold chain logistics with
refrigerated vehicles
• Laboratory for food testing & quality check
• Third-party certification by Accredited Certification
Agencies including IFOAM, USDA Organic, EU Organic,
JAS, NPOP
• Develop tailored facilities aligning with the needs of
identified crops like dry warehouses, cold storage,
specialized packaging & branding facility
• Encourage SMEs to set up facilities on a shared basis
increasing occupancy
3. Promote R&D and innovation and leverage agri-technology
Proposed Location Navsari Agricultural University
Project details • Establish a Center of Excellence focusing on certifications,
branding, training, and R&D for advanced farming, crop
varieties, and multi-cropping patterns in collaboration
with NCONF, GNFSU and APEDA
• Promote agri-tech services to monitor farming aspects
like quality control and predictive maintenance using AI,
use of IoT-enabled equipment like sensors, drones, and
cameras for agri data collection, blockchain technology
for traceability, and supply chain transparency Economic Master Plan for Surat Economic Region | 182
Figure 93. Proposals to promote a Cluster-based Model for Natural Farming in SER
Some examples of Production Clusters*
• Mango: Tapi, Navsari & Valsad
• Banana/ Vegetables: Bharuch
• Organic Vegetables: Tapi
• Rain-fed multi-crop
(Ragi + Mango + Vegetables + Cashew nut): Dang
* Cluster locations are indicative and suggested based on district-level production data only