baroda knowledge city © (it / ites sez) © dr rajesh khajuria, mba, phd, cmc, fimc, miod (london)...
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Baroda Knowledge City©
(IT / ITES SEZ)
© Dr Rajesh Khajuria, MBA, PhD, CMC, FIMC, MIoD (London)
Building Knowledge Bridge©
(NASA Satellite Image - ‘Ram Bridge’ between India and Sri Lanka)
BRG Group
Dr R Khajuria TEAM 2
Baroda Knowledge City?
• 150 SEZ proposed / applied to Central Govt.– Including 50 IT/ITES SEZ – None in Gujarat!– 120 SEZ Approved by 17.03.2006*– 11 Operational SEZ, converted from FTZ– 50 SEZ Coming up all over India, 12 in Gujarat– Biotech Park at Savli, Baroda coming up
• Yes, Baroda Knowledge City» IT = Information Technology» ITES = IT Enabled Services (including BPO / KPO etc)» * Source: BOA, Government of India meeting» Image courtesy: TATA Broadband
Dr R Khajuria TEAM 3
Baroda is a Knowledge City
• Baroda is traditionally a Knowledge City, grown substantially by Legendry Maharaja Sayajirao (MS) Gaekwad of Baroda
• That is why he set up MS University of Baroda with unique educational programs, unparallel to any Tier II city of India
• Fusion Indian Enterprise with World Class Knowledge, and we have …………………………..Baroda Knowledge City
Dr R Khajuria TEAM 4
Baroda: An Edutainment City
• Baroda has everything that a Knowledge City wants….– Knowledge Capital of Gujarat– Cosmopolitan well developed city– Educated talented cultured young Graduates– Gardens, Health Clubs, Sports: Golf, Cricket, etc – Multiplex Cinema Theatres: Ionx, Chandan, Deep– Throbbing NRIs and – High Speed Internet backbone
• That’s why Baroda Knowledge City….
Dr R Khajuria TEAM 5
Baroda: A Knowledge Source
• Large pool of 100,000 Graduates p.a. from 11 Universities in 200 miles periphery:– Baroda (MSU), Vallabh Vidyanagar (SPU),
Nadiad (DDIT), Surat (SGU, NIT), Ahmedabad (GU, Nirma University, DAIIT), North Gujarat (NGU), Rajkot (SU) and Bhavnagar (BU)
• World Class IT Professionals from Baroda – Sam Pitroda, Dr Madhu Mehta, Dewang Mehta (NASCOM), Many more…
Dr R Khajuria TEAM 6
Baroda: Emerging Finance City
• Vibrant Stock Exchange• International Banks: Citibank, HSBC, Standard
Chartered, ABN Amro• Indian Banks: Bank of Baroda, State Bank of
India, Central Bank, Dena Bank, Union Bank, HDFC, ICICI, UTI, Yes, Kotak – 30 Banks
• Large Corporations: IPCL, IOC Refinery, GSFC• Security & Safety• Cheapest Space in India!
Dr R Khajuria TEAM 7
Destination: Baroda K-City
• Recently, 193 MSU Graduates offered job by Progen, BPO arm of Infosys at Pune, through Technology Promotion Trust (TPT)
• The Indian and Multinational IT / ITES firms are eager to come to a location, which has high speed internet backbone, highly Educated Graduates in abundance, IT environment, Vibrant Stock Exchange, International and Indian Banks, Security & Safety, and Cheapest Space in India!
• That’s why Baroda Knowledge City….
Dr R Khajuria TEAM 8
Baroda K-City to house
• Companies / Firms / SMEs in -• BPO (Business Process Outsourcing)• Information Technology• Software• Hardware, Software Embedded Hardware• Multimedia, Graphics, Animation• Banking & Finance• Advertising, Marketing and Publishing• Training and Consulting
Dr R Khajuria TEAM 9
Baroda K-City Project
• 50 - 100 Acres Land proposed (Viability based)• ½ Acre Plot x 100 - 200 Plots• 5 - 10 Towers• Phase I: 100,000 Sq ft Construction
– 1,000 to 20,000 Sq ft Modular Office Space
• Phase II: 100,000 Sq ft Construction• Phase III: 100,000 Sq ft Construction• Open Developed and Fibre Optic wired Plots
Dr R Khajuria TEAM 10
Technology Infrastructure
• SEZ (Special Economic Zone) Status• Internet backbone Tower with Satellite connectivity
for direct Software Export & Communication• Wi-Fi Technology or Wireless Fidelity connectivity
– Voice & Data transfer rate @ 11 Mbps (802.11b) and 54 Mbps (802.11a). More to come
• PC Ready Air-conditioned Floors or Buildings for Large Software Exporters and BPO / KPOs
• SME Tower: PC Ready A.C. Offices for Software/BPO SMEs
Dr R Khajuria TEAM 11
Knowledge Infrastructure• Wired Developed Plots for Multinationals to construct
buildings as per their design and needs• IT Forum Vadodara• Institute of Software Management & Training• Institute of BPO Management & Training• Institute of Knowledge Management & Training• Institute of Consulting Management & Training• 3 / 4 / 5 Star Hotels with Health Spa• Service Apartments, Bachelors Hostel• Indoor and Outdoor Sports & Entertainment
Dr R Khajuria TEAM 12
Basic Infrastructure
• Green Projects (No Pollution)• Recreation and Health Clubs, Swimming Pools• Landscaped Gardens with Fountains• 24/365 Power from GEB / Wind Farm / Gas• Clean Water / RO System• Several Hardware Suppliers, Transport• Banks with Finance and ATMs• Full Security and Safety• Access to Airport, Rail, Roads in 20 minute
Dr R Khajuria TEAM 13
SEZ Benefits: Imagine!
• A designated duty free enclave, treated as foreign territory for trade operations and duties and tariffs.
• 100% Tax-free Import, Export, Excise Duty and Sales Tax (Norms)
• 100% Income Tax Free to all Units in SEZ for 5 years, 50% free for next 5 years on Reinvestment of Profits
• 100% Foreign Investment permitted• No Licence Required for manufacturing
Dr R Khajuria TEAM 14
Knowledge City Project Cost
(Rs Crore) Phase I. Total 3 Phases
• Land & Roads 100 Acres 04.00 14.00
• Buildings 100,000 Sq ft 20.00 60.00
• Equipment & Electrification 04.00 12.00
• Internet Backbone & Wi-Fi 01.00 04.00
• Misc Assets & Fees 01.00 10.00
• TOTAL Project Cost Phase-I 30.00
• Phase II and III 70.00 100.00
Dr R Khajuria TEAM 15
Sources of Finance (Rs Crore) Phase I
• Equity Capital: BRG @ 75% 07.50• Associates / NRIs @ 25% 02.50• Total Equity Capital @ 33.33% 10.00• Capital Subsidy: Govt of Gujarat 05.00• Term Loan from Bank @ 50%/66.67% 15.00• TOTAL Project Cost Phase I (100%) 30.00
• Funds for Phase II and III shall be raised from suitable Debt/Equity leverage
Dr R Khajuria TEAM 16
Funds & Permissions
• Bank Loan for Rs 20 Crore (Including Subsidy)• Application to Chief Secretary and • Secretary Science & Technology of State• State Govt commitment and Subsidy• Clearance by State Government• State Govt forwards to Department of Commerce,
Govt of India• Notification issued as SEZ by Central Government• Single Point Clearance to all Units coming to SEZ
Dr R Khajuria TEAM 17
Promoters• Sargam Infrastructure Pvt Ltd - SPV to implement
project– BRG Group of Baroda – Promoters of Educational Institutions and Real Estate– Bakulesh Gupta & Associates @ 75% Equity– Associates / NRIs @ 25% Equity proposed
• International Investors will be invited in Phase II• High level Professional Team to advise,
implement, market and manage Knowledge City• Baroda Knowledge City Pvt Ltd to maintain
Dr R Khajuria TEAM 18
Invitee Companies• Telecom Sector
– TATA Indicom– Reliance Infocom– BSNL– British Telecom (BT) UK– Airtel, Hutch (Essar), SingTel Singapore,
• Software Sector– L & T Design Services– TATA Consultancy Services (TCS)– Wipro, Infosys– Technosoft (Baroda/Mumbai/UK/USA)– Gujarat-based 500 Software companies
Dr R Khajuria TEAM 19
Invitee Companies• BPO Sector
– Doshi Accounting Services, Baroda (subsidiary of London UK firm of Chartered Accountants)
– ProGen / Infosys– Mphasis– IBM Consulting– Gujarati / NRI firms from India and UK, Europe, USA,
Singapore, Australia, Middle East and Africa– Foreign Software / BPO / KPO firms
• Film Software– Animation, Computer Aided Design (CAD), Graphics
Dr R Khajuria TEAM 20
Invitee Companies• Banking Sector BPOs
– HSBC / Citibank / Standard Charted Bank– ICICI / HDFC / Private Banks– State Bank of India / BoB / Public Sector Banks– NBFCs (Non Banking Finance Companies) and smaller Banks
• Consulting Firms– Payroll, Accounting, Medical Transcription, Finance
• Advertising, Marketing and Publishing Houses• Technical Software and CAD• Hardware manufacturers and maintenance
Dr R Khajuria TEAM 21
Target Countries• India: Gujarat, Mumbai, Pune, Bangalore,
Chennai, Hyderabad• USA: Silicon Valley, New York, other cities • Europe: UK, Germany, France – 25 Countries• Singapore • Australia • Malaysia • Japan • Africa?
Dr R Khajuria TEAM 22
Development Strategies• Make Baroda a Happening Place like Inox
– E.g. RC Dutt Road for only walking @ 7-11 PM like a European city
• Set up large scale Training Centres in Baroda to create BPO trained Manpower– TPT, MSU, IT Forum and Private Sector have started– Other University cities of Gujarat should replicate– Educational Programs to start in BPO Operations &
Management
• Announce a big project with a big bang!– This will attract large players from India, abroad
Dr R Khajuria TEAM 23
Development Strategies• Pre-feasibility Study & Report
– Location selection– Prima-facie opinion of State Government
• Detailed Techno-economic Feasibility Study• Fund / Loan Raising on competitive terms• Office, Team formation, Design • Marketing, Tie-ups, Brochure, Website• Development & Construction of Phase I• Time is critical: 1+5+12=18 Months for Phase I
– 3 Years permitted
Dr R Khajuria TEAM 24
Knowledge Partners
TEAMPro Limited, LondonDr Rajesh Khajuria, DirectorEmail: [email protected]
Web: www.TeamPro.orgVadodara T: 94260 75402
London T: +44-20-8866 4345 (Sunil Vaghani)
Building Knowledge Bridge©