Home | Contact Us | Site Map
Indo-American Chamber Of Commerce
Karnataka Advantages

One of the top five industrialised states of India, Karnataka is emerging as an undisputed investment destination for investors. Available opportunities and subsequent benefits along with the investor-friendly policy of the Government make the state an ideal  location for business and residence

Major Strengths

  • Good infrastructure readily available land, quality power and water
  • Highly skilled technical manpower base, a large number of engineering / technical institutions and centers of  excellence
  • A host of reputed multinational industrial and research organisations
  • Technology savvy work force with proficiency in English Language
  • Conducive environment, salubrious climate, cultural diversity and cosmopolitan lifestyle
  • Excellent healthcare facilities, connectivity, effective law and order and cordial industrial relations
  • Fast Growing markets and organised retail network with emphasis on new economy sectors
  •  Investor friendly governance combined with excellent logistics support and effective e-governance 

Focus Sectors

Information Technology

  • India’s preferred IT Destination with ov er 2,025 IT companies and globad outsourcing hub for IT and ITES
  • About 700 MNC’s and 87 Global Fortune 500 companies
  • Home to the highest number of CMM Level  5 companies in the world
  • Exclusive industrial area for electronic hardware and IT/ITES under development near Bangalore International Airport
  • IT & BT zones in Mysore, Dakshina Kannada, Dharwad, Belgaum, Shimoga, Gulbarga, Kolar and Mandya Districts on the anvil
  • Setting up of IT parks in Tier II and Tier III cities like Hubli-DHarward, Belgaum, Shimoga, Gulbarge, Davangere, Mangalore etc

Bio-Technology and nanotechnology

  • Set to be the prime mover in nanotechnology
  • Active State encouragement to nanotechnology through organizing related events
  • Leading the biotechnology revolution, attracting large investments
  • 197 of 320 of domestic biotech firms in India, 172 in Bangalore
  • Major biotech players and exporters : Sami Labs, Biocon, Sartorius, Aurigene, Astra Zeneca, Strand Genomics, Avesthagen
  • 106- acre Bio Techn Park near Electronic City, Bangalore
  • Pharma Special Economic Zone at Hassan 

Automobiles & auto components

  • Manufacturing hub for auto majors like Volvo, Toyota Kirloskar, TVS Suzuki, Telco, L&T Komatsu, BEML and auto component companies like BOSCH, Delphi, Denso, Siemens, Escorts and Rane
  • Sector Specific SE for auto components in Shimoga
  • Automobile zone spread across Ramanagara, Shimoga, Dharwad and Kolar Districts
  • The State has an ideal eco system for automobile industries.
  • Karnataka is home to a Vibrant Auto Industry with investments of US $ 713 million and an revenues from the State’s auto sector stood at US $ 604 million.
  • Karnataka is the hub for construction equipment in the country
  • Engineering exports increased as much as 60% from 2002 and constitute four percent of the exports of the State. 

Apparel/ Textiles/Garments

  • Manufacturing base for several leading international apparel brands. Exports worth over Rs.86.94 billion in 2007-08
  • Sourcing hub for international apparel brands like Nike, Tommy Hilfiger, GAP, Walmart. Over 300 manufacturing units in the state
  • Sector specific special economic zone for textiles at Hassan
  • Textile park at Doddaballapur, Bangalore Rural District
  • Suvarna Vastra Neethi ( Textile Policy 2008-13) to boost textile based industries
  • Sector specific industrial zones for readymade garments proposed in Bangalore Rural, Tumkur, Kolar, Mandya, Belgaum, Bidar and Dharwad Districts.
  • Karnataka’s share of national garment production is 20% and that of exports is about 8%.
  • Current garment exports of the state is valued at 0.88 bilion USD, accounting for 15% of the State's total exports
  • 1500 garment units of different sizes concentrated in and around Bangalore with an annual turnover exceeding 1 billion USD.
  • Bellary is emerging as the second largest center for the garment industry, next to Bangalore, particularly for jeans.
  • Over 6 lakh people are employed in garment industries in the state
  • In Sericulture, the State produces 65% of the Country’s raw silk 

Mineral, Steel and Cement

  • Abundant mineral resources- Pink and pink multi-coloured granite, gray granite, black and green granite, yellow granite, iron ore, manganese, soap stone, sand stone, moulding sand, limestone/dolomite, quartzite, aluminous laterite etc
  • Karnataka Mineral Policy 2008 providing fillip to mineral based industries
  • Annual production of over 10.13 million tonnes of cement and 7.29 million tonnes of steel. 25 million tonnes of steel production targeted by 2010.
  • Iron ore and mineral exports worth US $ 2.42 billion during 2007-08 

Food Processing

  • Vast agriculture and horticulture resources serve as raw material for a wide range of food processing industries
  • The only state blessed with 10 agro-climatic zones and nine distinct soil types ideal for growing virtually any agriculture and horticulture crops
  • International Flower Auction Board in Bangalore, facilitating flower export
  • Food processing SEZ at Hassan. Five agro-food processing industrial parks under development
  • Food processing zone encompassing Bangalore Rural, Kolar, Belgaum, Gadag, Koppal, Shimoga, Bagalkot, Bijapur, Davangere, Mandya  and Dharwad districts on the anvil
  • Karnataka Grape Processing and Wine Policy 2007 providing impetus to the production and marketing of wine and fetching better remuneration to farmers 

Aerospace

  • India aerospace Industry to cross US $ 100 billion mark in the next 20 years
  • Several reputed aerospace organizations like HAL, NAL, ISRO, DRDO, ADA, DARE,CAIR & BEL located in Bangalore
  • Presence of Global R&D giants- BAE systems, Boeing, Rolls Royce, Honeywell, Snecma, General Electric and Turbomeca enchancing the competency in design, production and maintenance
  • An aerospace park with facilty for aircraft component manufacturing and MRO facilities being developed near Bangalore International Airport
  • Karnataka produces a quarter of aircrafts produced in the country
  • BIAL is the first airport in the country under the PPP model
  • Four Airports taken up for Development on a PPP basis at Gulbarga, Shimoga, Bijapur and Hasan.
  • Karnataka has top Research and Development Centers for the Aerospace Industry
  • Karnataka is the first state in the country to have a SEZ for Aerospace 

Oil refining and Petrochemicals

  • Excellent infrastructure network in terms of connectivity- port, road and rail
  • Mangalore, Refineries & Petrochemicals Limited – the first joint venture oil refinery in India
  • An exclusive SEZ for petroleum and petrochemicals at Mangalore 

Tourism

  • Ranks 4th most popular tourist destination among the states of India
  • 507 centrally protected monuments of grand total of 3,600 in India. Additional 750 monuments protected by the state
  • Major attractions Mysore Palace, Bijapur Gol Gumbaz, erstwhile Vijaynagara capital Hampi, Belur Halebidu sculptures, Jog Falls etc
  • Recent initiative include the introduction of “The Golden Chariot”, a train connecting popular tourist destinations in Karnataka and Goa.
  • The richness of culture, tradition and hospitality of Karnataka fascinating millions of tourists from all over the globe
  • Karnataka’s tourism industry needs more than 25,000 rooms across various destinations and categories
  • The new Tourism Policy is aimed at encouraging investments to meet these requirements
  • Land Bank has been developed for tourism projects across  the State.
  • New Focus areas : Heli Tourism, Cruise Tourism, Caravan Tourism 

Healthcare and Medical Tourism

  • Largest number of doctors, nurses and paramedical staff coming out every year
  • Ample scope for healthcare industry to be driven by software and robotics 

Contract research and R&D

  • Vast pool of scientific and technical manpower
  • An emerging hub for collaborative and outsourced R&D in drug development, biotechnology and chemicals
  • Research and Development facilities of several Fortune 500 companies including GE, GM, Intel , Texas Instruments, Motorola, SAP , Oracle, IBM etc 

MSME’s

  • Stable Presence of micro, small and medium enterprises playing a pivotal role in the balanced and holistic industrial development of the state
  • MSME’s generating employement, adding value to the products and services while encouraging entrepreneurship
  • A strong base of over 3.76 lakh registered MSMEs with investments of about Rs. 100 billion, employing more than 20 lakh persons

International Events

  • IT.in – a premier annual ICT event in Asia during November
  • Bangalore Bio – an annual biotech event during June
  • EXCON – a bi annual excavation and construction equipment show during December
  • STONA – a bi annual international stone and granite expo during January
  • Aero India a bi annual international air show during February
  • Digital Lifestyle – an annual international digital products and hardware event during October
  • IMTEX – an annual international machine tools exhibition during January
  • Bangalore Nano – An annual event evoking tremendous response

Resource Center
Doing Business in India »
Doing Business in USA »
Indo US Trade Info »
Fact Sheets »
read more »
B2B and E-Commerce
IACC Members Interested in B2B »
Members Area »
Events »
Login Now »
Newsletters
Home | About Us | Regions and Branches | Forum and Initiatives | Research and Publications
Events | Media Room | Contact Us | Site Map | Credits
All Rights Reserved 2014 - Indo American Chamber of Commerce (IACC)