Eighty kilometres from Shimla lies little Baddi. For long, its only visitors were men who came looking for a place to kill time. But all that’s folklore now. In a little over a year, Baddi has emerged as Himachal’s hottest spot, a dream investment address where visiting cards read HLL, Godrej, GlaxoSmithKline, Cadbury’s, Pepsi Foods… name them, they are there.
After the Himachal government offered incentives to set up industry in the state, fortunes in Baddi-Barotiwala belt changed rapidly. It’s a boom town today, every second industrialist hitting the road to Baddi. The chances are that this town of 50,000 would soon be employing double the number.
Over 1,000 companies have set up shop and more are opening. Those already there include Wipro Infotech, Colgate-Palmolive, Lee Cooper, Godrej Soaps and Chemicals, Shyam Telecom Hutch, Pepsi Foods, Cadbury’s India, HLL, Ranbaxy, Havell, Dr Reddy’s Laboratories, GlaxoSmithKline, Torrent Pharmaceuticals, Cipla, Cadila, Alembic.
Within a year of the government announcing special packages for industry in the state, at least 600 new units registered, attracting investment of Rs 2270.24 crore. Some have already started operating.
Says Chand Sharma, member secretary, Single Window Clearance Agency, Department of Industry: ‘‘There were 525 units in the belt with capital investment of Rs 1040.39 crore. Over 18,000 people have been employed in these units. Once the new units start functioning, over 40,000 more jobs will be generated.’’
Explaining the Baddi rush, Lokender Thakur, general manager Industries, Solan, says that in addition to the incentives announced, Himachal Pradesh offers better facilities to industrialists: 100 per cent exemption from Central Excise duty for a period of 10 years; 100 per cent Income Tax exemption for the initial five years; 30 per cent I-T exemption for companies and 25 per cent exemption for others for the next five years.
Those who have already entered Baddi are upbeat. Rajesh Chandra, Godrej Consumer Care unit head, says: ‘‘Baddi gives us the logistic advantage of covering Jammu and Kashmir, Punjab, Himachal Pradesh and parts of Uttar Pradesh. We have already started production. One process line has been commissioned.’’ The target: ‘‘To produce 30,000 tonne of toilet soap every year.’’
Balraj Nandwani, CEO, Himalaya Group, recalls the time he came to Baddi some eight years ago: ‘‘There were sick units here. But all that has changed. Baddi today is a recognised industrial area. It will boom further. The town is suitably located and will benefit Delhi, Punjab businessmen too.’’
According to Pramod Chandra, assistant general manager commercial, Morepen Laboratories Limited, the ‘‘simplification of procedures’’ no red tape has helped attract industrialists. He says if you look at the government’s policies, it appears that the administration means business. And to do business is precisely why everyone’s in Baddi.
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