90 out of 1045 MoUs signed during the UP Investors Summit start production

Lucknow: 90 out of the 1,045 projects intended to be developed during the Uttar Pradesh Investors Summit two years ago have started commercial production, putting on ground investment of about Rs 39,000 crore, the UP government said on Thursday in the legislative assembly.

This makes for little less than 9% of the projects committed.

UP minister for industrial development, Satish Mahana said 90 projects out of the total 1,045 memorandum of understandings (MoUs) signed during the state's first investors summit that took place in February 2018, have started commercial production up till January this year. The much touted investment summit had seen investment intents worth Rs 4.28 lakh crore out of which about Rs 39,000 crore worth investments have initiated production.


Foundation for a total of 371 projects had been laid over the two successive 'Groundbreaking ceremonies' in 2018 and 2019. Apart from the ones who have already started producing, 164 projects are at various levels of setting up industry, concluding their civil work etc, and production from these is expected to begin in the next six months, converting investment commitment worth Rs 55,000 crore into production on ground, said Mahana. 8 projects have been cancelled due to "lack of finances" and 112 projects have obtained clearances but are yet to begin work.

"While investor summits are necessary to give states an opportunity to interact with industrial leaders, all the MoUs during these summits rarely fructify. Compared to states like Maharshtra and Gujarat which have better infrastructural facilities or Odisha which is minerally well endowed, UP has always been on the back foot... considering that, 9% conversion on ground is not a bad start," Madan Sabnavis, chief economist at Care Ratings told ET.

The UP government is also holding a Global Investors Summit during October-November this year in a bid to position the state as an attractive investment destination internationally.