District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

District wise skill gap study for the

State of Gujarat (2012-17, 2017-22)

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Disclaimer for the Skill Gap Report:

NSDC engaged KPMG (KPMG Advisory Services Pvt Ltd) to prepare this report, which is based on independent
research and analysis done by KPMG. This report is not based or derived from any other report or research paper. Any
similarity with any other paper may purely be a co-incidence. All rights reserved. All copyright in this report and
related works is solely and exclusively owned by NSDC. The same may not be reproduced, wholly or in part in any
material form (including photocopying or storing it in any medium by electronic means and whether or not transiently
or incidentally to some other use of this presentation), modified or in any manner communicated to any third party
except with the written approval of NSDC.
This report is for information purposes only. While due care has been taken during the compilation of this report to ensure that
the information is accurate to the best of KPMG’s and NSDC’s knowledge and belief, the content is not to be construed in any
manner whatsoever as a substitute for professional advice.

KPMG and NSDC neither recommend nor endorse any specific products or services that may have been mentioned in this report
and nor do they assume any liability or responsibility for the outcome of decisions taken as a result of any reliance placed in this
report.

Neither KPMG nor NSDC shall be liable for any direct or indirect damages that may arise due to any act or omission on the part
of the user due to any reliance placed or guidance taken from any portion of this report.

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Table of Contents

S. No Contents Page
No
1 Executive Summary 6
2 Report Structure 16
3 Acknowledgement 18
4 Study Objectives 19
5 Approach and Methodology 20
6 Skill Gap Assessment of Gujarat 27
6.1 Socioeconomic Profile of Gujarat 27
6.1.1 Administrative Profile 27
6.1.2 Demographic Profile 24
6.1.3 Economic Profile 37
6.1.3.1 Investment Scenario 41
6.1.3.2 Key Growth Sectors in Gujarat 44
6.2 Workforce Distribution in the State 56
6.3 Human Resource Supply Scenario in the state 58
6.4 Human Resource Requirement in the State 63
6.4.1 Incremental Manpower Requirement Projections(2012-17,2017,22) 63
6.4.2 Summary of Skill Requirements in High Growth Sectors 67
6.5 Human Resource Training Potential in the State 73
6.5.1 School Education 73
6.5.2 Higher and Technical Education 74
6.5.3 Vocational Education 76
6.5.4 Key Government Initiatives 76
6.5.5 Challenges in the Current Education System 79
6.6 Demand-Supply Gap Analysis for the State 82
6.7 Skill Development Potential through Government Endowments 86
6.8 Youth Aspirations in Gujarat 89
6.9 Institutional Recommendations for Skill Development in the State 92
6.10 District Wise Skill Gap Assessment 99
6.10.1 Skill Gap Study of District of Ahmedabad 99
6.10.2 Skill Gap Study of District of Junagadh 118
6.10.3 Skill Gap Study of District of Kutch 136
6.10.4 Skill Gap Study of District of Kheda 156
6.10.5 Skill Gap Study of District of Mehsana 174
6.10.6 Skill Gap Study of District of Narmada 191
6.10.7 Skill Gap Study of District of Amreli 206
6.10.8 Skill Gap Study of District of Banas Kantha 223
6.10.9 Skill Gap Study of District of Bharuch 240
6.10.10 Skill Gap Study of District of Bhavnagar 258
6.10.11 Skill Gap Study of District of The Dangs 275
6.10.12 Skill Gap Study of District of Dahod 286
6.10.13 Skill Gap Study of District of Gandhinagar 302
6.10.14 Skill Gap Study of District of Jamnagar 319
6.10.15 Skill Gap Study of District of Sabar Kantha 336

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

6.10.16 Skill Gap Study of District of Surat 353

6.10.17 Skill Gap Study of District of Surendranagar 370
6.10.18 Skill Gap Study of District of Tapi 387
6.10.19 Skill Gap Study of District of Vadodara 401
6.10.20 Skill Gap Study of District of Valasad 419
6.10.21 Skill Gap Study of District of Navsari 436
6.10.22 Skill Gap Study of District of Panchmahal 453
6.10.23 Skill Gap Study of District of Patan 470
6.10.24 Skill Gap Study of District of Porbandar 487
6.10.25 Skill Gap Study of District of Rajkot 503
6.10.26 Skill Gap Study of District of Anand 521
7 Glossary 539

List of Figures

S. No Title Page
No
1 Administrative Map of Gujarat 27
2 Regional Distribution of Population in Gujarat 29
3 Regional Variations in Population Density Among the Districts of Gujarat 30
4 Regional Variations in Level of Urbanization Among the Districts of Gujarat 31
5 Regional Variations in Composition of Scheduled Categories Population Among the Districts 32
of Gujarat
6 Regional Variations in Gender Composition of Population Among the Districts of Gujarat 33
7 Regional Variations in Literacy Rates Among the Districts of Gujarat 34
8 Regional Variations in Decadal Population Growth Rates Among the Districts of Gujarat 35
9 Gujarat Economic Performance(GSDP at Current Prices) 38
10 Distribution of GSDP Among key Economic Activities in Gujarat (2011-12) 39
11 Investment Growth Trend in Gujarat 42
12 Regional Distribution of Investments in Gujarat 43
13 Category Wise Employment Outlook in MSME Manufacturing Units of Gujarat 44
14 Tertiary Sector Growth in Gujarat 47
15 Category Wise Contribution to Services Economy in Gujarat 48
16 Regional Variations in Worker Participation Rates Among the Districts of Gujarat 55
17 Comparison of WorkForce Distribution in Gujarat with India 56
18 Regional Distribution of Organized Industrial Employment in Gujarat 57
19 Gujarat Demographic Estimates 58
20 Expected Demographic Composition in Gujarat 2017 and 2022 59
21 Penetration of Higher Education in key Indian States 75
22 Enrollment in Gujarat Across Education Levels 80
23 Human Resource Demand- Supply Gap in Gujarat 83-84
24 Skill Development Matrix for Gujarat 91

List of Tables

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

S. No Title Page
No
1 Human Resource Requirement Estimation Approach-Secondary Sector 21
2 Human Resource Requirement Estimation Approach-Tertiary Sector 22
3 Human Resource Requirement Estimation Approach-Primary Sector 24
4 Demographic Comparison of Gujarat with India 28
5 Comparison of Economic Performance of Gujarat with India 37
6 Regional Penetration of Healthcare Facilities in Gujarat 51
7 District Wise Labour Force Estimations 59
8 District Wise Incremental Human Resource Supply in Gujarat 2012-22 61
9 Incremental Human Resource Requirement in Gujarat 65
10 Current Status of School Education in Gujarat 73
11 Vocational Education Capacities in Gujarat 81
12 District Wise Demand-Supply Estimations in Gujarat 2012-22 85
13 Government Scheme Training Details-Gujarat 86

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

1. Executive Summary

National Skill Development Corporation (NSDC) had mandated KPMG Advisory Services Pvt Ltd to undertake a
District-level Skill Gap Study of the state of Gujarat, involving various Departments of the Government of Gujarat, and
Industry Bodies, as key stakeholders. The study focused on identifying district-wise incremental skilling requirements
in Gujarat during the period 2012-22, for the potential growth sectors in the state. A roadmap for skill development
initiatives in the state is proposed, with recommendations for key stakeholders. Extensive district level primary
interactions including discussions with industries, vocational training providers and Government officers, were
conducted. Focused group discussions were organized to understand youth aspirations towards employment. Global
and Indian best practices in skill training have also been studied.

The demographic and social profile of Gujarat presents a unique human resource opportunity for economic growth
through manpower skilling. As per KPMG estimates, Gujarat has a significant demographic dividend in the near term,
with a rising working age population. Between 2012 and 2017, an additional 60.51 lakh 1 are expected to enter the
working age group population followed by another 56.67 lakh during 2017-22 2 (these are Gross numbers, without
netting off retirees). Considering the historical trends in labour participation rates of Gujarat, the state would witness
a gross addition of 35.15 lakh and 32.90 lakh people to labour force (i.e. portion of the working age population willing
to seek employment and work) during 2012-17 and 2017-22 periods respectively. Accommodating for retirement from
the existing pool of labour force, Gujarat is expected to register a net addition of 20.41 lakh to the labour force during
2012-17, and another 15.83 lakhs during 2017-22.

Demand for Gross Addition to

Gross Addition Net Addition to Gap between
Human Resource Working Age
Period to Labour Force Labour Force- Demand & Net
due to new jobs Population-Supply
– Supply (Lakhs) Supply (Lakhs) Supply (Lakhs)
created (Lakhs) (Lakhs)
2012-17 30.95 60.51 35.15 20.41 10.54
2017-22 26.34 56.67 32.90 15.83 10.51

Manpower supply has regional variations along social and gender dimensions in Gujarat. District-wise incremental
supply estimates indicate significant regional concentration in the leading six districts of Ahmedabad, Surat,
Vadodara, Rajkot, Banas Kantha, Bhavnagar and Junagadh, accounting for nearly half of the total supply. Tribal
regions like The Dangs, Narmada, Dohad, Navsar and Valsad have to be given special focus, considering the seasonal
work-related migration, stemming from socio-economic backwardness and lack of sustainable local
livelihood/employment opportunities in these areas. Role of women in capacity building – especially in improving
labour participation rates - cannot be undermined, with a high proportion of rural female engaged in agri-allied
activities in the rural districts of Dahod (91.01 percent rural population), Tapi (90.21 per cent rural population) and
Narmada (89.56 percent rural population). Considerations of industry towards employing female workforce in
manufacturing enterprises, specifically in medium-small scale category, should be addressed through suitable

1
KPMG Analysis
2
KPMG Analysis

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

awareness creation and policy initiatives that can help improve labour participation rates of women and help Gujarat
bridge its human resource demand-supply gap in future. Further, there is a need to emphasize special focus on
skilling and empowering of women in districts like Surat with a low proportion of female population.

Keeping in view the current position of the state, along with possible economic growth that could be facilitated in
various sectors through favorable policies, an estimate of the additional increase in incremental manpower
requirement during XII plan (2012-17) and XIII plan (2017-22) periods, would be over 3 million and 2.63 million
respectively. In XII plan period, the targets of job opportunities to be created per annum, could be set at around six
lakhs on an annualized basis.

Incremental human resource requirements in the state have significant geographical and sectoral variations. Priority
sectors from a manpower development perspective include Textiles and Apparel, Chemical and Chemical Products,
Auto and Auto Components, Engineering Goods, Port based industries, Banking and Financial Services, Transportation
and Logistics, Retail and IT/ITES. Priority districts from a manpower development perspective include Ahmedabad,
Vadodara, Surat, Kutch, Rajkot, Jamnagar, Gandhinagar and Bharuch.

District Incremental Incremental Focus Sectors

Manpower Manpower
Requirement Requirement
2012-17 2017-22
Textiles and Apparel, chemicals & chemical products, Drugs
and Pharmaceuticals, Agro and Food Processing,
Ahmedabad 403,268 344,929
Automobiles, Engineering, Electronics, IT-ITES, Hospitality,
Banking & Financial Services
Textiles & Apparels, Gems & Jewelry, Chemicals &
Surat 379,442 328,062
Petrochemicals, Ports and IT- ITES
Vadodara 261,543 223,794 Chemicals & Petrochemicals, Pharmaceuticals, Biotechnology
Engineering & electronics, Textiles & apparel, Chemicals,
Rajkot 200,565 173,261
Infrastructure
Minerals, Port based industries, Marine Chemicals,
Kutch 154,526 131,970 Engineering, Infrastructure Projects, Chemicals, Ceramics and
Textiles
Valasad 134,276 114,841 Chemicals, textiles, horticulture and paper industry
Diamond cutting & polishing, cement &
gypsum, inorganic salt-based and marine chemicals,
Bhavnagar 133,884 113,537 shipbuilding,
ship-repairs, oxygen, foundry, re-rolling, ceramics, fabrication
and food processing industries
Gandhinagar 125,415 104,313 Food Processing, Electronics, Textiles, IT -ITES
Chemicals, Petrochemicals & Pharmaceuticals, Engineering,
Bharuch 122,874 105,740
Ports & Ship building, Textiles
Agriculture, Mineral-based
Kheda 109,427 92,949
industries, Plastics, Engineering and IT-ITES
Mehsana 108,073 92,158 Cultivation, Engineering Industry and Food processing

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Food Processing, Tourism, Mineral Based Industries,

Banas Kantha 103,264 88,783
Construction material
Mineral based cement industry, Fish processing industry,
Junagadh 102,474 89,401
Agriculture based industry, Power sector
Jamnagar 99,648 85,788 Brass Parts, Petroleum and Petrochemicals, Salt and Ports
Agriculture, ceramics,
Sabar Kantha 94,737 81,790
chemicals and milk processing
Tourism, minerals, engineering &
Panchmahal 85,765 74,370
automobiles, irrigation projects, dairy farming
Food & Agriculture, Engineering & Auto parts, Chemicals, Port
Anand 76,021 64,703 & Ship
Building, Minerals, Cement
Textiles, chemicals, and
Surendranagar 71,283 60,950
Ceramics
Food products, rubber and
Dahod 64,919 56,323
plastic products, and mineral based industries
Navsari 61,337 52,061 Food processing, textiles, drugs & pharmaceuticals
Engineering Goods, Port and Ship
Amreli 56,666 48,645
building, Mineral Processing and Cement
Patan 46,027 39,067 food processing, paper and pulp and cotton-based industry
Port and Ship Building, Cement industry, Mineral-based
Porbandar 28,898 23,643
Industries
Tapi 28,162 24,077 Agro-based industries, Textiles
Narmada 26,332 22,020 Textiles, food & agriculture and chemicals
Agri- Allied Activities, wood & wooden products, food
The Dangs 17,610 15,218
processing

An overview of the current enrollment status across levels of education, helps provide an estimate of emerging
capacity gaps over the next decade or so. With current primary enrollments (5 years) in Gujarat standing at 58 lakhs,
there is a need to increase higher education capacity, to accommodate this population as they graduate from school,
in line with the GER targets (set at 30% by the end of 12th plan period 2012-17, pan-India). Even on conservative
estimates, Gujarat will need to nearly double higher education capacity by 2017, to achieve this.

Our estimates also indicate that the human resource demand-supply gap will be quite high in the semi-skilled
category, and a portion of those with higher education degrees, would also get absorbed in this category of jobs.
Hence vocational education needs to be provided to them as well.

Enrollments in Gujarat across Education Levels 3

3
KPMG Analysis

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Vocational education has a key role to play in the educational system of Gujarat, which has a relatively low capacity
in higher education. While significant drop out rates are witnessed after school education across the state, resulting
in low enrollments in higher education, districts of The Dangs, Narmada and Tapi have considerably high dropouts
even at the school level. Interventions in vocational education to bridge the gaps in the educational system (within
the schooling stage itself) and provide seamless options for students to pursue vocational education, would be crucial
in developing a holistic approach to address the skilling needs of the state. A comparison of vocational education
capacities in the state would show that density of vocational infrastructure measured as number of seats available
for 1000 people is high in the districts of Navsari, Bharuch, Sabar Kantha, Gandhinagar and low in Porbandar, Surat
and Bhavnagar. Level of private participation is low in The Dangs, Navsari, Porbandar and Jamnagar districts.
Capacity expansion in vocational education and augmentation of private participation is needed through region
specific initiatives considering the current level of variations among the districts.

Assessment of existing training infrastructure in comparison to human resource demand over XII Plan period,
indicates significant capacity expansion requirement for semi-skilled category through vocational education. Demand-
Supply gap estimates indicates a need to improve participation rates in semi-skilled categories along with providing
vocational skills to high skilled labour force as well, considering the high level of employment opportunities in semi
skilled category within the state. Further, employability of highly skilled graduates is an issue owing to misalignment
of courses with industry needs and poor quality of institutes. Issue of low employability of graduates has to be
addressed through suitable up-skilling considering local industrial requirements in order to ensure availability of
industry ready manpower.

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Gujarat Human Resource Supply-Demand Gap Estimations for 2012-17

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Gujarat Human Resource Supply-Demand Gap Estimations for 2017-22

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

District level variations in Demand-Supply gap indicate the need for geography specific initiatives to address the
skilling issues. Skill Category wise Demand-Supply gap estimations for the districts of Gujarat are presented in the
table below.

District Wise Supply- Demand Gap in Gujarat (2012-22)

2012-17 2017-22
Semi Minimally Semi Minimally
Region Skilled Total Skilled Total
Skilled skilled Skilled skilled

Gujarat (1,637) 939,383 116,890 915,489 (58,092) 651,365 457,174 1,067,007

Kachchh 1,326 46,100 48,944 (42,733) 159 35,366 51,289 86,813

Banaskantha (11,355) 14,068 (4,332) (1,620) (11,883) 5,133 14,094 7,350

Patan (2,896) 9,002 (11,270) (5,168) (3,955) 4,337 (1,064) (685)

Mehsana (2,179) 29,969 713 28,505 (4,499) 20,438 17,465 30,379

Sabarkantha (5,973) 19,336 (8,942) 4,416 (6,665) 12,358 5,972 11,664

Gandhinagar 13,215 55,324 3,643 72,175 8,775 41,340 12,861 62,980

Ahmadabad 4,134 139,893 66,247 210,268 (2,250) 105,400 91,935 195,078

Surendranagar (2,834) 17,243 (5,317) 9,089 (4,307) 10,729 6,240 12,663

Rajkot 792 64,624 15,601 81,018 (2,509) 49,060 33,892 80,440

Jamnagar 133 28,472 481 29,083 (1,683) 20,918 11,759 30,996

Porbandar 1,267 11,576 (4,617) 8,224 (57) 7,654 (6) 7,590

Junagadh (5,777) 22,715 (10,811) 6,127 (8,707) (11,297) 9,375 14,568

Amreli (2,225) 14,117 (12,924) (1,034) (3,816) 8,686 (1,025) 3,846

Bhavnagar (332) 41,645 1,848 43,161 (3,765) 27,723 19,139 43,094

Anand (3,610) 16,009 (11,734) 658 (5,505) 8,751 2,950 6,192

Kheda (4,462) 28,316 (1,653) 22,199 (6,279) 19,037 16,015 25,223

PanchMahal (6,614) 15,347 (16,840) (8,109) (7,379) 8,708 151 1,474

Dohad (7,713) 8,767 (14,398) (13,345) (6,874) 4,179 (1,754) (4,448)

Vadodara

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

8,650 94,358 12,656 115,664 3,542 72,254 34,736 110,530

Narmada 238 7,741 (6,554) 1,427 (550) 5,050 (1,819) 2,681

Bharuch 3,791 40,887 23,383 68,062 1,114 31,324 32,788 63,183

The Dangs 1,910 7,493 (724) 8,678 1,748 5,951 585 8,285

Navsari (2,818) 16,674 (4,885) 8,972 (4,941) 10,175 6,168 11,404

Valsad 864 44,916 26,047 71,826 1,043 35,984 29,330 66,351

Surat 12,523 132,032 55,495 200,046 550 98,239 89,986 188,772

Tapi 172 6,451 (8,654) (2,036) (520) 4,222 (3,070) 634

*(Indicates excess supply)

The state has significant scheme training opportunities through Government schemes. During the five year period
2012-17 major schemes have a potential to train nearly 19 lakh people with SJSRY, SDI-MES and Agricultural
training program accounting for a major share of this. Details of scheme/department wise training targets are
presented in the table.

Key Schemes with Training Mandate Estimated Potential Training

Capacity in Gujarat (2012-17)
SJSRY 375,000
SDI-MES 300,000
M/O Agriculture 250,000
SGSY 200,000
Using Construction Cess 190,000
ISDS – Textiles 125,000
Others 115,000
D/O IT 110,000
ART - M/o Tribal Affairs 50,000
SCA under TSP - M/o Tribal Affairs 30,000
Hunar Se Rozgar 25,000
CSR Funds from Central PSUs 25,000
Credit Scheme 105,000

Youth aspiration study indicates a clear mismatch between student aspiration and job opportunities available in the
state. Sectors such as retail, construction, agri-allied activities, textile and transportation and logistics need to work
on building a positive image, and providing the right working environment/perks, to attract talent.

Increasing entrepreneurial activity in the state of Gujarat has to be matched with appropriately skilled managerial
and technical workforce. Interactions with industry in the state, have revealed that challenges are often related to
quality of the workforce, rather than quantity. Most of the industry personnel opined that quality issues in the state

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

are two-fold - technical knowledge and soft skills/behavioral aspects - with prospective employees lacking in either,
or both of them. Manufacturing industries are facing serious issues to employ appropriate manpower, as most skilled
graduates prefer to work in services sector than in manufacturing.

Recommendations for stakeholders (Government, NSDC/SSC, Industry and Training Institutes) are aimed at
developing a comprehensive approach for the skill development activities in Gujarat.

Key recommendations for the Government include:

• Building systematic mechanisms to identify and assist potential school dropouts transition into vocational
programs
• Developing the Gujarat Skill Development Mission in line with its charter, as a focal agency for skilling
• Focus on Enhancing Skill Training Capacities in Districts With Low Penetration of Vocational Education
• Setting up Anchor Institutes in more focus industries and broadening their scope

Key recommendations for the Industry/Industry Bodies include:

• Aligning CSR Goals (especially mandatory 2% CSR requirement) towards skilling, and play an active role in
PPP initiatives. Share annual plan of recruitment with government and industry nodal agencies for skilling
• Support training institutes in development/delivery of programs
• Align recruitment policies to ensure hiring certified manpower from Govt/SSC accredited training
institutions
• Invest in up-skilling of existing manpower and formulate formal HR policies and mechanisms to encourage
employees to train in institutions

Key recommendations for NSDC include:

• Facilitating development of Curriculum and Standards for Focus Sectors/ Vocational Courses in Schools
• Promoting Private Sector Participation in Focus Sectors & Supply Clusters

Key recommendations for Training Institutes include:

• Focus on high growth/ aspirational sectors where student acquisition is easier -Transportation & Logistics,
IT-ITES, Banking & Financial Services, Healthcare, Auto & Auto Components, Tourism & Hospitality and
Retail
• Create capacities in districts with lower penetration of training infrastructure - Kutch, Vadodara, Patan,
Jamnagar, Anand, Valsad, Banas Kantha, Rajkot, Ahmedabad, Narmada, Bhavnagar, Surat & Porbandar.
Districts where low penetration of training infra is coupled with high industry growth, are high potential for
future growth of skilling
• Explore scheme-based training potential to address the skilling needs of under privileged/BPL population -
key schemes with high training potential are SJSRY, MES, SGSY, Textile Department and Construction Cess
• Emphasize offering accredited programs (SSC certifications) to ensure industry acceptance for certifications
• Leverage existing infrastructure to build optimal delivery models (ITI premises, GIDC space where offered,
industrial space during lean production hours etc)

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

• Build industry linkages in areas of development and delivery of training programs- placements, curriculum
formulation, apprenticeships, faculty training
• Engage credible local networks (SHGs, NGOs, student groups such as UDISHA groups) for student
acquisition

District wise skill gap details and further detailed recommendations, are provided in the full report. We suggest that
the recommendations of the study should be treated in toto by all the stakeholders, to realize the intended objective
of a robust skill development ecosystem in Gujarat.

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

2. Report Structure

The report is structured in the following manner

• Part I includes Foreword, Acknowledgements, Study Objectives, Approach and Methodology and Study Limitations

• Part II concentrates on the profile of Gujarat from a socio-economic and human capital perspective and state-level
recommendation on skill development in Gujarat

• Part III consists of detailed analysis of all districts of Gujarat from a socio-economic and human capital perspective
and specific district-level recommendations

• Part IV consists of Appendix

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

PART- I

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

3. Acknowledgement

We are grateful to the Government of Gujarat and its various departments for their contribution towards the
successful completion of the study. Our special thanks to Shri Maheshwar Sahu (I.A.S), Shri P. Panneervel (I.A.S.),
Smt. Sonal Mishra (I.A.S), Dr Chandan Chatterjee and Shri Parekh who gave their time for focused and intense
discussions, guided the study, and facilitated our information gathering and interactions with the Government of
Gujarat.

We acknowledge with gratitude, the support provided by the skill Training Institutions, NGOs, Industry
Representatives and the youth of the state, for their contribution towards the study.

We would like to thank all industry association partners, training partners for their active support for this study. The
success of the study has been possible through their collaborative efforts.

In addition, we convey our gratitude to all those who have, in some way or other, contributed towards the successful
completion of this study.

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

4. Study Objectives

National Skill Development Corporation (NSDC) had mandated KPMG Advisory Services Pvt Ltd to undertake the
District level Skill Gap Study of the state of Gujarat.

Study objectives included the following at the state as well as district levels:

• Socio-economic profile – demography, economic profile of district by industry, state of education.

• Identify developmental opportunities keeping in mind, factor endowments and stakeholder perspectives.
• Identify specific developmental initiatives/projects which have an impact on employment generation.
• Articulate the aspirations of the youth.
• Identify the current and future (2012- to 2017) skills and manpower requirements by industry and estimate
the existing gap
• Study the existing VT infrastructure both in the private sector, and the government domain.
• Suggest suitable interventions/recommendations to address the skills gap.
• Recommendations were to be specific and actionable.
• Recommendations were also to include specific initiatives that NSDC can take based on the mandate of the
organization.
• Create an action plan with indicative timelines.

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

5. Approach and Methodology

KPMG has adopted a structured methodology to study the skill ecosystem in Gujarat, assess incremental manpower
needs, and collate insights, to arrive at recommendations to address the manpower skill gaps in the districts of the
state – which in turn provides a picture of the manpower skill gaps in the entire state.

The approach involved understanding skill gaps for formal/informal employment in both private and public enterprises
among key manufacturing and services sectors in Gujarat.

Salient features of the study

Socio-economic Profile: Detailed analysis of demographic and socio economic factors such as population,
population growth trends, population density, urbanization, overall literacy, female literacy, healthcare indices, school
education, higher/vocational education, dropout rates, domestic product, per capita income, labour force
participation, worker participation rate, migration, primary, secondary & tertiary sector profiles at a state and district
level.

Sectoral Focus: The study focused on analyzing manpower skilling requirements from the perspective of high
growth sectors of the state, along with localized sectors that have a good growth potential at the level of the district.
Since over two-thirds of the population of Gujarat is involved in agriculture and agri-allied activities, the study also
focused on manpower skilling requirements in these areas. Government policies of related sectors were studied to
understand thrust and growth targets for different sectors in the state, which would translate to priority sectors from
the perspective of investment in manpower skilling as well.

Voice of Stakeholders: Detailed interactions were undertaken with various stakeholders, such as youth, private
skill training providers, Government departments with skill training mandate and industry players - to understand
their perspectives on manpower training and placement.

Manpower Demand-Supply Gap: Manpower Demand-Supply gap would be the difference between projected
workforce participation and industrial manpower requirements, estimated for 2017 and further for 2022.

Estimation of Manpower Supply: Based on estimations of population growth rate, working age group population
and labour force participation, manpower supply in 2017 and 2022 has been estimated at district and state level.

Assessment of Existing Skill Training Capacity: Existing skill training capacity has been calculated based on
sanctioned intake and enrolment in formal skill training institutions – government and private institutions offering
Higher Education, Vocational Education (ITI/ ITC) and Diploma programs, at both the state and district levels along
with Government sponsored training schemes. A dipstick study was undertaken at the district level, to understand the
institutional readiness of skill training institutions.

Computation of Incremental Employment Potential: District level and state level data on categories of
investment and employment were analyzed to arrive at the composition of economic activity, and their respective
growth rate in each district. The proposed sectoral growth rate for the state of Gujarat and its districts, have been
estimated based on a triangulation of several factors such as past growth trend, state government’s policy impetus to

20
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

sectors, inputs from industry personnel, presence of industrial infrastructure, besides a state-comparable analysis.
Labour elasticity estimates have been used to determine sector wise employment growth projections at the district
and state level. Based on industry inputs and published literature, incremental employment potential has been
classified as highly skilled, skilled, semi skilled and minimally skilled. Further, critical skills required for the focus
sectors have been highlighted, keeping in view the adoption of technology in industries.

Detailed approach for the human resource requirement estimation is given below.

Table 1: Human Resource Requirement Estimation Approach-Secondary Sector

Sub Sectors Factors considered for estimation of district Key stakeholders
wise incremental manpower during 2012-22
Large Scale • Estimated district wise/sector wise investment Gujarat Industries and Mining
Industries during 2012-22 in a district from sector wise Department, Index-Tb, Industries
projected investment, estimated based on an Commissionerate-Gujarat, Industry
analysis of bodies/key players in sectors including
• Gujarat Manufacturing Policy Targets, • Petroleum and petroleum products
Investment Trends from Vibrant Gujarat • Chemicals
Summits, Proposed Investments(IEM) from • Basic Metal Industries
Index-Tb • Electrical Tele & Electronics
• Achievability of targets from interaction with • Glass, Ceramic & Cement
nodal bodies for identified priority sectors, • Pharmaceuticals
historical trends (IEM data) and • Food processing
commissioning rates of proposed • Textiles
investments • Machinery and equipment
• Estimated sector wise manpower intensity based • Non-metallic mineral based
on historical trends for investment to products
employment ratio (IEM data) and inputs from • Plastic and rubber products
industry bodies. • Fabricated metal products
• Auto and auto components
• Gems and Jewellery
• Energy(Conventional/Green)
• Salt Industry

MSMEs(Medium- • Estimated sector wise MSME growth potential in Industries Commissionerate, District
Small Scale the district from analysis of Industries Officers, Promoters of MSME
Enterprises) • Inputs from DIC on potential MSME sectors units from key identified sectors
in the district including
• Historical trends in sector wise MSME • Textile and textile articles
growth from Entrepreneurship • Wood cork, thermocol , paper
Memorandum-II (EM-II) • products
• Qualitative inputs from MSME units. • Metal Processing
• Employment generation capacity in MSME units • Chemical and Chemical Products
based on analysis of • Ore /Mineral Processing
• EM-II data • Railway/Ship manufacturing parts
• Qualitative inputs from MSME units from • District specific MSME units
identified priority clusters

21
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Table 2: Human Resource Requirement Estimation Approach-Tertiary Sector

Sub Sectors Factors considered for estimation of district Key stakeholders
wise incremental manpower during 2012-22
IT-ITES • Estimated district wise IT-ITES output(IT-ITES • Department of Information
Exports/Domestic) growth during 2012-22 based Technology
on analysis of • IT-ITES Industry bodies
• Output growth targets from Department of IT • Key IT-ITES Players in Gujarat
• Historic achievement of growth targets,
• Interaction with IT-ITES industry bodies and
key IT Players in Gujarat
• Estimated Manpower intensity in IT-ITES industry
based on:
• Inputs from IT-ITES industry bodies
• Historic trends in output linked employment
generation potential in IT-ITES Industry
Tourism • Estimated growth in number of tourist visits to • Department of Tourism, Govt of
major tourist destinations in the district during Gujarat
2012-22 based on analysis of
• Growth targets from Department of Tourism
• Historic tourist arrival trends,
• Interactions with Tourism Industry Players.
• Employment generation potential for tourist visits
based on interactions with regional tourism
development bodies
Hospitality • District wise estimated growth in number of • Hotel and Restaurant Associations
hotel rooms/restaurants during 2012-22, based
on analysis of
• Growth of hospitality sector in the district
based on contribution to district GDDP
• Inputs from State/Regional Hotel and
Restaurant Associations
• Key growth drivers for hospitality like trends
in per capita income, life style patterns.
• Employment potential estimates in hospitality
industry
Healthcare • District wise estimated growth of healthcare • Department of healthcare along
institutions during 2012-22, estimated based on with nodal agencies for
analysis • Primary healthcare
• Universal healthcare access targets(number • Secondary healthcare
of PHCs/CHCs/SHCs/ beds /healthcare • Tertiary healthcare
professionals per 1000 population) • Private healthcare institutions in
• Achievability of targets from proposed key districts.
healthcare sector allocation and historic
spending pattern
• Estimated manpower intensity in healthcare
institutions based on requirement of healthcare
professionals (Number of

22
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

doctors/nurses/technician per number of hospital

beds)
Education • Estimated district wise growth of education • Department of School Education,
institutions during 2012-22 based on analysis Government of Gujarat
• Universal and state level penetration targets • Department of Higher Education,
for educational institutes (Schools/Higher Government of Gujarat
Education Institutions /Vocational Education • Department of Technical Education
Institutions) & Training, Government of Gujarat
• Achievability of targets from proposed fund • Department of Employment and
allocation towards education Training, Government of Gujarat
• Manpower intensity in educational institutions,
estimated based on human resource requirement
in educational institutions(student to teacher
ratio)
Logistics • Projected contribution from logistics sector to the
district economy based on analysis of
• Historic growth trends in logistics sector to
the district economy
• Investment into logistics hubs
(Railways/Roadways/Airways)
• Interaction with key Logistics players
• Employment potential in logistics industry based
on analysis of
• Current employment patterns in logistics
industry
• Inputs from key logistics players in Gujarat
Transportation • Estimated district wise growth in number of • Transportation Companies
commercial vehicles during 2012-22 based on
analysis of historic trends in commercial vehicle
registrations in the district and interactions with
transportation companies
• Estimated requirement of manpower per vehicle
based on Inputs from transportation companies
Retail • District wise estimated growth in organized/un- • Key organized retail players in
organized retail sector Gujarat
• Penetration of organized retail
• Key growth drivers like per capita income
trends, spending patterns
• Employment generation potential estimates
Banking Sector • Estimated district wise growth in number of bank
branches during 2012-22 based on analysis of
• Financial inclusion targets
• Historic growth trends in deposits/loans
• Manpower requirements in banking outlets
Financial • Estimated growth in Non Banking Financial
Services Companies (NBFC) in the district
• Projected growth trends in bank

23
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

deposits/loans
• Historic growth trends in NBFC operations
• Manpower intensity in NBFCs

Table 3: Human Resource Requirement Estimation Approach-Primary Sector

Sub Sectors Factors considered for estimation of district Key Stakeholders
wise incremental manpower during 2012-22
Agriculture • Based on analysis of district level crop pattern, • Department of Agriculture,
irrigation pattern and extent of mechanization, • District Agricultural Officers,
the training potential in agriculture has been Agricultural promotion councils in
estimated major agro clusters of Gujarat

Agriculture Allied • District wise/category wise estimated growth in • Nodal Agencies for Individual Allied
Activities Agri-Allied output by 2022 based on analysis of Sectors
• Growth targets from Nodal Agencies for key • Horticultural
Allied activities in Gujarat • Sericulture Department
• Historic growth trends, funding allocation • Fisheries Department
from nodal agencies
• Category wise employment potential in Agri-
Allied activities

Assessment of Manpower Demand-Supply Gap: Demand-Supply gap at the district and state level is estimated
from the incremental manpower supply and projected employment growth during 2012-17 and 2017-22.

Research Methodology of the Study

The study was carried out through both primary and secondary research methodology, as well as qualitative and
quantitative techniques.

Primary Research: Primary research inputs were collected through research techniques such as in-depth
discussions, formal interviews, and Focus Group Discussions (FGD). Interview schedules, FGD Guidelines and points
for field observations were developed in accordance to the study objectives. Consultation meetings were conducted
with the following stakeholders to understand their perspectives on skill development.

Activity Number of Interviews

Primary Interviews 300
FGDs across Gujarat 26
Number of Participating Students 730

State Government Officials: Department of Employment & Training, Department of Mining & Industries, Industries
Commissionerate, Gujarat Skill Development Mission, Department of Rural Development, Gujarat Higher Education
Commission, Department of Transportation, Department of Tourism, Department of School Education.

District Administration Officials: District Collector, Officials from Department of Rural Development, District
Employment Officer, Sarpanch/Patwari from a sample of villages.

24
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Skill Training Providers: Government ITI Principals and Training Officers, Private ITC Principals and Training
Officers, KVK Coordinators, CED coordinators, NGOs involved in Skill Training.

Skill Training Beneficiaries: Students who are currently pursuing vocational education, and focus groups such as
BPL women trained under government programs.

Industry Representatives: HR and Operations personnel from key industries and members representing industry
associations in the respective districts.

Migrant Labor: Dipstick survey in tribal belts and non-tribal belts of Gujarat.

Focus Group Discussions (FGDs) were conducted with groups of 20-25 students in each district to understand their
aspirations in terms of social life, career, expected economic standards of living and work related mobility - and the
outcome was correlated to the level of industrialization of the district. The group discussions were carried out in a
systematic manner with both skill training beneficiaries and skill training providers. The discussions were designed to
be participatory in nature, and evoke inputs from all stakeholders, with due representation from various sections of
trades and courses besides gender, both at trainer and trainee level.

Secondary Research: Secondary Data were collected from a number of sources including central, state and district
government/administration agencies, especially the Department of Industries and Department of Planning and
Statistics and program specific information from departments with a mandate in skill training, and from studies
commissioned by funding agencies, NGOs etc.

25
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Part II

26
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

6. Skill Gap Assessment of Gujarat

6.1. Socioeconomic Profile
6.1.1. Administrative Profile

Gujarat is situated in the western part of India shares borders with Rajasthan, Maharashtra, Gujarat, Arabian Sea
and Pakistan. The state has a geographical area of 2,03,800 sq.km 4 with Gandhinagar as the capital city. While
Gujarati is the official language in the state many local languages in tribal regions are prominent. Administratively,
Gujarat is distributed into 26 districts 5 with Gandhinagar, Ahmedabad, Baroda, Vadodara, Surat and Kutch being the
key districts. Geographical spread of the districts varies significantly within the state ranging from Kutch-45,652
sq.km 6 (largest district in India) to The Dangs- 1,764 sq.km 7.

Figure 1: Administrative Map of Gujarat 8

6.1.2. Demographic Profile

Gujarat is a moderately populated state in India. As per Census 2011 estimates, state has a population of 6.04 Crore 9
accounting for 5.00 percent of India population 10. Decadal growth of population has normalized to 17.64 percent 11

4
State Economic Review 2012-13
5
State Economic Review 2012-13
6
State Economic Review 2012-13
7
State Economic Review 2012-13
8
Gujarat State Profile, State Economic Review 2012-13, KPMG Analysis
9
Census 2011 Data, Government of India

27
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

during 2001-11, from 21.53 percent 12 during 1991-2001, in line with the drop of decadal growth rate across Indian
states. Successful implementation of population control schemes is a partial reason for the reduced decadal growth
rate - along with literacy and changing socioeconomic scenarios. Study of population distribution along socio,
regional, gender, education attainment and concentration dimensions, would be crucial to understand the
demographics in the state. Summary of key demographic indicators in Gujarat, and comparison with national level
indicators, is presented in the table.

Table 4: Demographic Comparison of Gujarat with India 13

Indicator Gujarat India

Population(2011) 6,03,83,628 121,01,93,422
Gender Ratio- Females Per 1000 Males(2011) 918 940
Percentage of Children in Overall
Population(2011) 12.41% 13.12%
Population Density-Persons Per Sq.km(2011) 308 382
Level of Urbanization(2011) 42.50% 31.10%
Decadal Growth Rate(2001-11) 19.17% 17.64%
Decadal Growth Rate-Urban(2001-11) 35.80% 31.80%
Decadal Growth Rate-Rural(2001-11) 9.23% 12.18%
Percentage of SC Population(2001) 7.09% 16.20%
Percentage of ST Population 14.76% 8.20%
Literacy Rate(2011) 79.31% 74.04%
Male Literacy Rate(2011) 87.23% 82.14%
Female Literacy Rate(2011) 70.73% 65.46%
Urban Literacy Rate(2011) 87.58% 84.98%
Rural Literacy Rate(2011) 73.00% 68.91%
Number of Districts 26 640
Number of Talukas 224 5,924
Number of Towns 153 3,894
Number of Villages 18,225 6,40,867

Key Demographic Characteristics in Gujarat:

Regional Distribution: Over six crore population in the state, is unevenly distributed across the districts.
Ahmedabad, Surat, Vadodara, Rajkot, Banas Kantha, Bhavnagar and Junagadh districts account for almost half of the
total state population. Industrial growth-led migration, large geographical spread and historical factors, are the prime

10
Census 2011 Data, Government of India
11
Census 2011 Data, Government of India
12
Census 2011 Data, Government of India
13
Census 2011, 2001 statistics

28
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

reasons for high human resource composition in these districts. On the other hand, The Dangs, Porbandar, Narmada
and Tapi have significantly low population of less than 10 lakhs 14 in each district, owing to low geographical spread.

Figure 2: Regional Distribution of Population in Gujarat (2011) 15

Ahmadabad 7,208,200
Surat 6,079,231
Vadodara 4,157,568
Rajkot 3,799,770
Banas Kantha 3,116,045
Bhavnagar 2,877,961
Junagadh 2,742,291
Sabar Kantha 2,427,346
Panch mahals 2,388,267
Kheda 2,298,934
Jamnagar 2,159,130
Dohad 2,126,558
Kachchh 2,090,313
Anand 2,090,276
Mahesana 2,027,727
Surendranagar 1,755,873
Valsad 1,703,068
Bharuch 1,550,822
Amreli 1,513,614
Gandhinagar 1,387,478
Patan 1,342,746
Navsari 1,330,711
Tapi 806,489
Narmada 590,379
Porbandar 586,062
The Dangs 226,769

Population Intensity: Over six crores population of Gujarat is distributed in the state at an average of 308 persons
per sq.km 16. Population density of the state is significantly lower than the national average of 382 persons per
sq.km 17. Lower human resource intensity in the state, coupled with increasing employment opportunities across
organized and unorganized sectors, has played a crucial role in promoting inward migration of skilled workers
predominantly from Uttar Pradesh, Bihar, Rajasthan and Gujarat.

Further, concentration of population has intra state variations with the districts of Surat and Ahmedabad having
highest density on one hand, and Kutch and The Dangs having the lowest density on the other hand. While the state
has a population density less than the national average, the eleven most-densely populated districts in the state,
have higher densities than the national average. Classification of districts based on distribution of population as per
average population density as high intensity, medium intensity and low intensity regions, would indicate the human
resource intensity in these regions. High population intensity districts have evolved with gradual migration of

14
Census 2011 Data, Government of India
15
Census 2011 Data, Government of India
16
Census 2011 Data, Government of India
17
Census 2011 Data, Government of India

29
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

workforce into these clusters from industrially less-developed regions within the state, as well as from outside the
state.

Figure 3: Regional variations in population density among the districts of Gujarat 18

Level of Urbanization: Human resource intensity in a region is closely related to level of urbanization. Growth of
industrial and commercial activity in urban regions has led to a high population increase in urban population over the
last few decades in Gujarat. Level of urbanization in Gujarat has reached 42.58 percent 19 in 2011, in comparison to
national average of 31.2 percent 20. Rapid growth of urban population in Gujarat during 2001-11 driven by rural-urban
migration, is the key reason for high urbanization within the state. Urban population in the state has witnessed 35.83
percent growth during 2001-11 in comparison to 9.23 percent growth in rural population during the same period.
Valsad district has recorded the highest decadal growth rate in urban areas at 66.35 per cent 21 and Surat district has
shown the lowest decadal growth rate in rural areas at (-)8.43 per cent 22, both indicating the rapid urbanization
trends in the state. While there is a clear trend of urbanization in certain regions, districts like Dohad (91.01 percent
rural population), Tapi (90.21 per cent 23 rural population) and Narmada (89.56 percent rural population) are still

18
Census 2011 Data, Government of India
19
Census 2011 Data, Government of India
20
Census 2011 Data, Government of India
21
Census 2011 Data, Government of India
22
Census 2011 Data, Government of India
23
Census 2011 Data, Government of India

30
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

predominantly rural. Urban regions are usually associated with high employment intensity in commercial and services
sectors and higher proportion of affluent population.

Figure 4: Regional variations in level of urbanization among the districts of Gujarat 24

Proportion of backward communities: As the reserved categories’ population statistics based on 2011 Census
are not available, 2001 statistics are analyzed to understand the historical characteristics in the population of
marginalized communities in Gujarat. As per 2001 estimates, 21.85 percent 25 of total population comprised of
backward classes. While Scheduled Tribes account for 14.76 percent 26, Scheduled Castes account for 7.09 percent 27
of the total population. Considering the high proportion of STs in the state population, adequate focus should be
given for the upliftment of these communities targeting regions with high concentration of tribals. Bhil is the major
scheduled tribe in Gujarat accounting for 46 percent 28 of the total ST population. In terms of regional concentration,
The Dangs, Narmada, Dohad, Navsar and Valsad have a high proportion of STs in the overall district population. On
expected lines, major share of ST population (91.8 percent) 29 in Gujarat lives in rural areas. Analysis of regional
distribution of SC/ST population would help understand the occupational patterns and social relevance of these
activities. Policy interventions for the welfare of these marginalized communities through skilling and empowerment
have to address these concerns at large.

24
Census 2011 Data, Government of India
25
Census 2001Data, Government of India
26
Census 2001Data, Government of India
27
Census 2001Data, Government of India
28
Census 2001Data, Government of India
29
Census 2001Data, Government of India

31
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Figure 5: Regional variations in composition of scheduled categories population among the districts of
Gujarat 30

Gender Composition: Gender is another important demographic parameter which has relevance to education,
occupational characteristics of the population considering the social compulsions in communities. Trends in the
gender composition in Gujarat do not present a promising picture. Proportion of females in overall population has
decreased from 920 females per 1000 males 31 in 2001 to 918 females per 1000 males in 2011. While the gender ratio
in the state is skewed to a greater degree than the national average (940 females per 1000 males), declining
proportion of female population is another major concern for the state. Social and economic conditions are among the
reasons for gender bias. Further, district of Surat, which has been witnessing high degree of migrant worker influx,
has an alarmingly low at 757 females per 1000 males. Characteristics of migration and occupational patterns are key
reasons for the low proportion of female population in Surat. On the other hand, districts of The Dangs and Tapi have
more female population than males. Considering these gender variations in population is important for any inclusive
framework of manpower development. While districts with skewed gender composition need attention towards
creating equity, districts with high female proportion would require women-centric initiatives for education and
employment generation.

30
Census 2001Data, Government of India
31
Census 2011 Data, Government of India

32
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Figure 6: Regional variations in gender composition of population among the districts of Gujarat 32

Education Attainment: Literacy rate is a good measure for the attainment of basic education in a region. As per
2011 Census, Gujarat has registered a literacy rate of 79.31 percent 33 in comparison to national average of 74.02
percent 34. During 2001-11, the literacy rate has improved from 69.11 percent 35 to the current levels - increasing the
number of literates to 4,19,48,677 36. Growth in overall literacy of the state is attributed to successful implementation
of mass education schemes at school level along with settlement of educated migrants in Gujarat in various
organized/ unorganized sectors across the state. Education attainment has to be analyzed through gender, regional
and social dimensions to identify the focus areas for improvement.

Literacy rate in Gujarat has significant regional variations with the districts of Ahmadabad, Surat, Anand and
Gandhinagar, on one side, having high literacy rate of over 85% - and Dohad, Banas Kantha and Tapi having lower
rates. District of Dohad has the lowest literacy rate of 61%. Literacy rate variations in districts are attributed to level
of urbanization with continuing disparities in urban-rural literacy rates over the years. As per 2011 literacy estimates,
the state has a urban-rural literacy gap of 16.75% indicating an immediate need to address the issues and look at
inclusivity.

32
Census 2011 Data, Government of India
33
Census 2011 Data, Government of India
34
Census 2011 Data, Government of India
35
Census 2011 Data, Government of India
36
Census 2011 Data, Government of India

33
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Figure 7: Regional variations in literacy rates among the districts of Gujarat 37

Further, gender linked analysis of literacy rates presents the case of gender based disparities in the education
attainment. Female literacy rate of Gujarat standing at 70.73 percent 38 is better than the national average female
literacy rate of 65.46 percent 39. However, there is a substantial gender literacy disparity within Gujarat with a male-
female literacy rate gap of 16.5 percent 40 which is comparable to the urban-rural disparity (urban-rural literacy gap-
16.75%).There is a wide gap of 20.69 per cent in literacy rates of rural males and rural females due to socio economic
reasons. Disparities in education attainment arising from region, gender and social dimensions have to be considered
to develop a holistic growth map for the state in creating a knowledge economy.

Healthcare: Gujarat has performed significantly well across key healthcare parameters- Crude Birth Rate (CBR),
Crude Death Rate (CDR) and Infant Mortality Rate (IMR) in comparison to the national averages. Focus on primary
health care has helped the state in overcoming some critical challenges in producing healthy workforce. Details of
healthcare infrastructure would be covered in healthcare sector which is a priority sector for human resource growth
in the state. A comparative view of Gujarat with India in select health indicators is presented in the table 41.

37
Census 2011 Data, Government of India
38
Census 2011 Data, Government of India
39
Census 2011 Data, Government of India
40
Census 2011 Data, Government of India
41
Annual Health Survey India 2010

34
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Health Indicators-2010 Gujarat India

Birth Rate 22.7 22.1
Death Rate 5.5 7.2
Infant Mortality Rate(IMR) 7 47

Migration: Migration in Gujarat in both forms is a common phenomenon. Post globalization Gujaratis started
migrating to other counties like US, UK and middle eastern economies for jobs. Migration in Gujarat can be classified
into major categories including; seasonal migration, outward migration from less fertile hilly regions like The Dangs,
migration to coastal regions into fisheries and salt fields, migration into industrial clusters of Surat, Ahmedabad,
Kutch and Bhavnagar. Decadal population growth trends indicate a pattern in migration with Gujarat though often
interstate migration and seasonal migration are not visible in Census Statistics with the labour not accounted for
permanent population living in a region. Classification of districts by the decadal population growth indicates that
districts of Surat and Kutch have witnessed high level of permanent migration while Navsari, Amreli and Tapi have
seen significant outward displacement of population.

Figure 8: Regional variations in decadal population growth rates among the districts of Gujarat 42

Gujarat has emerged as an industrial agglomerate. Over the years, it has been a preferred destination for in-ward
migration. Along with Delhi, Haryana and Maharashtra, Gujarat has recorded positive net migration resulting in a
growth of population. While agrarian based rural to rural migration is significant in the state, Industrial driven rural to
urban and urban to urban migration has gained prominence over the years. Migrant workers from neighboring states
like Rajasthan, especially tribal women, come to work in cotton fields, tobacco units and other major industries.

42
Census 2011 Data, Government of India

35
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Inward migration from other states has socio-regional characteristics, with Orissa being a major source for migrant
workers in Handloom industries in Surat and Port based industries in the Kutch region. A high proportion of migrant
workers come from a select few districts of Orissa mostly through referrals by relatives/ family members. This type of
migration does not involve relocating families owing to the culture of joint families allowing husbands to go on work-
related migration leaving their families back home. However, families from Kerala come to work in salt fields in
Kutch, Bhavnagar region. Increased mechanization and usage of earth moving equipment has curtailed such migratory
patterns. Factory work in Gujarat is preferred by upper caste migrants who often refrain from choosing manual labor
work.

Non availability of skilled professionals for ship building and ship breaking industries force industrial units to acquire
skilled professionals from southern states like Tamil Nadu. While an even higher proportion of workers come as
groups from Uttar Pradesh, Bihar and Gujarat as contract workers for working in the industry. Adequate skilling of
local youth in related segments could provide local employment opportunities and reduce job based outward
migration from these niche industrial clusters like Bhavnagar.

Rural areas in Gujarat have witnessed significant instances of intra state seasonal to permanent migration due to low
employment opportunities for skilled professionals. However in recent years there has been an increase in the level
of average employment and reduction in migration from rural areas. Growth in number of commercial units in rural
areas like cyber cafes, fax and photocopying shops along with employment in MNREGA activities during offseason
periods have had widespread socioeconomic benefits in these regions resulting in curtailing of migration. Growing
efforts towards developing rural industries have helped workers and skilled personnel from industrial belts to reverse
migration trends in order to setup their own manufacturing/servicing units in villages. Reverse migration led by the
promotion of industrial activities is observed in diamond polishing, textile, dairy farming, flour and rice mills,
fisheries, rubber/plastic processing and lathe based units.

36
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

6.1.3. State Economic Profile

Gujarat continues to occupy a distinctive position in the Indian economy. A state with nearly 5 percent of the
country’s population and 6 percent of the country’s geographical area, Gujarat contributes to 7.39 percent 43 of Gross
Domestic Product of India. As per quick estimate, Gross State Domestic Product (GSDP) at factor cost at current
prices in 2011-11 has been estimated at INR 6,11,767 crore 44 as against INR 2,83, 693 crore 45 in 2005-06,
registering a cumulative growth of 16.61 percent 46 during the five year period. However, GSDP estimation at constant
prices of base year which is a measure of real growth in the state output has grown at 9.5 percent during the same
period. A comparison of Gujarat with India on select economic parameters is shown in the table.

Table 5: Comparison of Economic Performance of Gujarat with India 47

Indicator Gujarat India

GDP in INR Cr (At Current Prices-2012) 6,11,767 83,53,495
Net Domestic Product in INR Cr (At Current
Prices-2012) 5,33,390 74,76,764
Per Capita Income in INR(At Current Prices-
2011) 89,668 61,564
Monthly Per Capita Consumer Expenditure in
INR (NSS 66th Round)
Rural 1,065 953
Urban 1,914 1,856
Population in BPL Category (NSS 61st Round) 16.80% 27.50%
Primary Sector
Total Cropped Area(h.a) 11,571 1,95,104
Net Irrigated Area(h.a) 4,238 63,196
Area Under Horticultural Land(h.a) 1,054 20,875
Total Livestock in 000s 23,515 5,29,698
Fish Production in 000 tonnes(2009-10) 771 7853
Value of Mineral Production in INR Cr(2009-10) 13,701 1,87,717
Secondary and Manufacturing Sector
Number of Factories(2010-11) 21,282 2,11,660
Output Value in INR Cr(2010-11) 8,06,783 46,85,213
Industrial Employment in Lakhs (2010-11) 19.12 287.10
Services and Tertiary Sector
Number of Scheduled Banks(2012) 5,076 92,960
Total Road Length in km 1,46,630 30,47,783

43
Directorate of Economics & Statistics, Government of Gujarat
44
Directorate of Economics & Statistics, Government of Gujarat
45
Directorate of Economics & Statistics, Government of Gujarat
46
Directorate of Economics & Statistics, Government of Gujarat
47
Directorate of Economics & Statistics, Govt of Gujarat

37
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Total Railway Length(2008) 5,328 63,273

Ports 42 199
Villages Served Per PHC(2012) 16 27
Villages Served Per CHC(2012) 60 133

Macroeconomic statistics look more impressive on a closer look at the subsector composition of the State Domestic
Product. The share of primary, secondary and tertiary sectors has been reported at 21.8 percent, 36.1 percent and
42.1 percent respectively to the total GSDP in 2011-12 at current prices. Contribution of secondary sector comprising
manufacturing, electricity, energy and construction is significant among the Indian states indicating the crucial role
that the sector has played to the growth of the state. As per 2011-12 estimates, contribution of secondary sector to
the state GDP stood at 36.1 percent as against national average of 23.69 percent. Share of manufacturing in the
overall economy remained constant over the years indicating the uniform growth across three major economic
activities.

Figure 9: Gujarat Economic Performance (GSDP at Current Prices-INR Cr) 48

611,767
530,430

431,262 42.1%
367,912 41.4%
329,285
283,693 42.6%
44.0%
42.4% 36.1%
42.2% 36.8%
39.5%
37.3% 37.4%
37.3%
21.8% 21.8%
20.6% 20.3% 18.6% 17.9%

2006-07 2007-08 2008-09 2009-10(P) 2010-11(Q) 2011-12(Q)

Primary Sector Secondary Sector Tertiary Sector

Sectoral Analysis-GSDP: Accounting for 27 percent 49 of the total state GDP, manufacturing is a leading contributor
to the state economy among the seven key economic sub sectors in Gujarat. Along with manufacturing, agriculture
and allied activities account for a significant portion of the state output. However, assessment of economic output of

48
Directorate of Economics & Statistics, Government of Gujarat
49
Directorate of Economics & Statistics, Government of Gujarat

38
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

a subsector along with employment intensity would be critical to understand the growth of human capital in these
economic activities.

Figure 10: Distribution of GSDP among key economic activities (2011-12) 50

Banking & Public Agriculture,

insurance, real administration forestry,fisherie
estate, and other s and animal
ownership of services husbandry
dwellings and 8% 18%
business
services
11% Mining and
quarrying
3%

Trade, hotels & Manufacturing

restaurents, 27%
transportation, Electricity,
gas,construction
storage and
and water
communication
24% supply
9%

Non availability of District Level GDP Estimations:

While district-level income estimates are a crucial input for policy making, few states publish these estimates at this
level. And even if some states have taken the initiative to publishing these estimates, there have been time lags
involved.

For several states and UT’s of India district level GDP estimates have been made available across primary, secondary
and tertiary sector. District-level GDP estimations are arrived by broadly following the methodology published by CSO
with appropriate changes, wherever required due to inconsistency in data availability across time, districts and states
using data sources used for the analysis are NAS, CSO, RBI, Census (2001), National Sample Survey Organization,
NDSSPI, etc. Income estimates across districts can be helpful in recognizing industries/sectors that are driving or
retarding economic growth at the district level. Also, these estimates can be very much useful in facilitating better
resource management for policy implementation at micro and macro levels and to remove the constraints imposed by
lack of reliable data on latest situation at the district level.

From the perspective of the corporate sector, this can help in understanding the vast Indian market and its wide
variations within districts. Last but not the least, this can provide valuable background information to credit
facilitating companies and investors to prioritize locations for further investment. However, for Gujarat official GDDP
(Gross District Domestic Product) estimates are not available. Hence, our study focuses on using other forms of
economic data including investments, banking, public expenditure at district level to understand the economic state
of various districts and assess inter district comparisons.

50
Directorate of Economics & Statistics, Government of Gujarat

39
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Accounting for 17.3 percent (As per 2009-10 CSO estimates) of the industrial production of India, Gujarat has
demonstrated leadership in many areas of manufacturing and infrastructure sectors. Almost 50 percent of the
country’s refined petroleum products and 45 percent of the drugs and pharmaceuticals are from Gujarat. The State’s
exports stand at 14 percent of India’s total exports, exhibiting a strong global orientation of the industrial structure.
The above indicators are a result of the economy’s robust foundation. Focus on some key growth accelerators for the
Gujarat economy would help understand the ramifications of these accelerators and future outlook of the economy.
Over the period of time for any economy the desired push in their growth journey would depend on trade,
infrastructure, policy, demographics and technology. Even in Gujarat, at a broad level these five components have
been primarily responsible for the economic vibrancy of the State. An analysis of the four indicators, excluding
demographics, is covered in the following sections.

Trade: Historically trade, driven by traditional comparative advantage, has been a key growth accelerator for
economic expansion and national differentiation. As economies advance and diversify internally, trade helps to bring
economies of scale, better market access and well integrated supply chain for various economic agents of any nation.
Singapore and Dubai are good examples of nations which have fully leveraged their geography and made trade the
basis of growth and development. Gujarat has also taken this path after the emergence of key ports in the state
leading to growth of various allied sectors. Kandla, Mundra ports have seen phenomenal growth of trade over the
recent years. However the state has relatively low exposure to air trade due to limited airports operating with
integrated cargo facilities. Regions under Delhi- Mumbai corridor have started witnessing considerable jump in trade
over the recent past. Supportive policies are crucial to drive the trade in an economy and globalization through free
trade is a path that countries like Dubai have adopted. Steps in this direction would have a long lasting impact in
making the trade flourish in the state.

Favorable Policy Environment fostering Industrial Growth

Policy-led development entails direct and proactive public intervention to build economic capacity leading to
increased investment and/or productive growth. ASEAN countries in the second half of the last century followed a
focused export led growth with active support and encouragement from their policy environment.

Gujarat is among the few Indian states which have initiated adequate policy thrust to develop the manufacturing
sector. While the other Indian state economies are predominantly service based, a flourishing manufacturing sector
has been the building block for Gujarat’s economy. These imperatives have positioned Gujarat not just as a leading
State of India, but also put forth the focus to design its growth story similar to those of other developed countries. A
lot of policy initiatives that have been implemented and are underway would make the State a strong contender for
becoming a model state at the global level.

Various governments at the state and center have placed a greater emphasis on developing the manufacturing sector
as evident from the National manufacturing policy. Formulated in 2011, the National Manufacturing Policy aims to
increase the present share of manufacturing sector in GDP from 18% to 25% by 2025 at an all India level. In Gujarat,
considering the high and diversified industrial base, the state has set up ambitious growth targets for the next five
years. The State Government plans to increase the current share of manufacturing sector to state GDP to 32% by
2017 through specific interventions in the sub sector of technical textiles, food and agro business park, auto and

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

components, specialty and fine chemicals, solar and wind equipments manufacturing and electronic system design
and manufacturing (ESDM).
The government of Gujarat has introduced a modified scheme to provide financial assistance to Industrial Park with a
view to promote and encourage the establishment of Industrial Parks by private institutions to accelerate industrial
infrastructure in the state.

Development of Special Investment Regions (SIR): The process of making land available for economic development
through the process of land acquisition is becoming difficult day by day. The Government of Gujarat has decided
some interventions for land aggregation through the enactment of Special Investment Regional Act. The process is a
win-win situation for the farmers, the State and the stake holders in the integrated economic development. The rich
experience of Gujarat in preparation of Development Plan (DP) and Town Plans (TP) is being used in the process of
land aggregation. The process is under implementation in the Dholera SIR.

The government of Gujarat has introduced Investment Facilitation Portal (IFP). The portal is helpful in investor
facilitation and monitoring of projects. IFP portal captures most of the data of investment intention since Vibrant
Gujarat 2003 to Vibrant Gujarat 2013 event. As far as implementation of these investment intentions are concerned
the projects commissioned and under implementation stands at 57.43% of all the investment intentions of Vibrant
Gujarat 2003 to Vibrant Gujarat 2011. Making available industry responsive manpower is very critical to the growth of
industry in Gujarat.

Micro, Small and Medium Enterprises: MSME, the back bone of industrial development, has always been accorded
high priority. Before the inception of the MSMED Act 2006 there were 312752 SSI units registered 51 generating
1489216 jobs in Gujarat. A total of 140587 MSME enterprises 52 were acknowledged between 1/10/2006 to
31/12/2012. Thus, the total MSME stood at 453339 53 on 31/12/2012 providing employment to 2504856 people 54. The
Vibrant Gujarat 2011 Summit saw over 54% MoUs being signed by SMEs. Vibrant Gujarat 2013 saw an over
encouraging response of 72.72% of the MoUs signed by SMEs.

The Government of Gujarat has announced a new textile policy in 2012 to enhance the growth of cotton farms, to
strengthen the whole value chain, to facilitate the state to be a leader in manufacturing of yarn, fabric and garment. .

6.1.3.1. Investment Scenario

Traditionally, Gujarat has been able to attract some of the highest levels of investments, including Foreign Direct
Investments (FDI) in India. The Vibrant Gujarat Summit has acted as an effective catalyst in the journey of growth of
industry in Gujarat. Year on year investment growth trends in industrial and large scale service enterprises, according
to IEM data, indicates a clear shift in the investment outlook since 2006. Over the last five years, the state has
witnessed over Rupees One lakh Crore of investments 55 proposed per year as shown in the chart. This impressive

51
MSME Part-II statistics, Industries Department, Govt of Gujarat
52
MSME Part-II statistics, Industries Department, Govt of Gujarat
53
MSME Part-II statistics, Industries Department, Govt of Gujarat
54
MSME Part-II statistics, Industries Department, Govt of Gujarat
55
IEM Data, Index-Tb, Gandhinagar

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

investment focus has been a prime driver for Gujarat to generate and sustain accelerated economic and employment
growth in the state 56.

Figure 11: Investment Growth Trend in Gujarat 57

3000 147,791 160000

141,021 140,474
140000
2500 121,852
Number of Units Proposed

120000
103,871

Investment in INR Cr
2000
100000

1500 71,776 80000

61,809
56,892
60000
1000

25,819 40000
500 17,426 19,682
860 20000
691 617
425 524 496 541
369 383 382 373
0 0
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012

Large Scale Units Investments

Analysis of regional distribution of investments in Gujarat indicates that the industrial development is concentrated
around few districts of Kutch, Bharuch, Surat, Vadodara, Bhavnagar, Banas Kantha, Rajkot, Jamnagar while other
regions including The Dangs, Narmada, Dahod, Navsari remain backward in terms of industrial development. Over the
recent years State Government has initiated measures to enhance the industrial growth in backward districts across
the state through suitable incentives leading to an increased investment potential of these regions over the next
decade. Details of region wise large scale investments in Gujarat till 2012 is presented in the chart.

56
IEM Data, Index-Tb, Gandhinagar
57
IEM Data, Index-Tb, Gandhinagar

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Figure 12: Regional Distribution of Investments in Gujarat (INR Cr) 58

Kachchh 524,795
Bharuch 178,609
Surat 97,956
Jamnagar 75,777
Vadodara 32,409
Banas Kantha 26,726
Junagadh 26,155
Amreli 25,431
Rajkot 23,082
Ahmedabad 15,801
Valsad 15,257
Bhavnagar 10,246
Surendranagar 9,825
Panchmahals 9,442
Patan 8,599
Gandhinagar 6,709
Mehsana 6,014
Tapi 3,703
Kheda 2,762
Sabar Kantha 2,565
Porbandar 1,767
Anand 1,524
Navsari 631
Narmada 379
Dohad 25

Rapid growth of industrialization in the state has widened the scope for establishment of ancillary units in the MSME
segment. Ancillary Industries in Mechanical sectors are services & repairing, auto parts, spares, rubber parts,
plastics components and parts for auto industries are prominent in the state along with allied services activities.
District wise details of MSME categories and investment trends are presented in the respective district sections of
this report. Composition of MSME enterprises in terms of number of employment opportunities generated, indicates
that Textile & Apparel, Manufacturing of Engineering Goods (Auto/Auto Components), Chemical & Chemical
Products, Mineral Processing & Fabrication units, are the prominent MSME sectors in the state of Gujarat. However,
significant regional variations are observed among the districts, which are analyzed in the respective district sections.
Details of category wise MSME employment breakup is presented in the chart 59.

58
IEM Data, Index-Tb, Gandhinagar
59
MSME Part-II statistics, Industries Department, Govt of Gujarat

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Figure 13: Category wise Employment Outlook in MSME Manufacturing Units 60

Drugs and
Manufacturing of Pharmaceuticals
Manufacturing of Construction 2%
Engineering Material
Goods 6%
12%

Eletrical & Textile & Apparel

Eletronics 32%
6%

Mineral
Prosessing &
Fabrication Wooden Products
12% & Furniture
4%
Chemical &
Chemical Paper & Paper
Rubber & Plastics Products Products
4% 19% 3%

6.1.3.2. Key Growth Sectors in Gujarat

The future economic growth of Gujarat will depend in large part, on fostering excellence in key traditional industrial
and services segments, and being a pioneer in emerging sectors. In this section, we have tried to give a deeper
understanding that reflects not just the statistical facts, but also the enablers, constraints and imperatives linked to
each sector, and cover aspects of regional concentration of sectors leading to cluster development.

Secondary Sector
1) Port and Logistics:

Gujarat is one of the fast growing states in India in the maritime sector. The state has witnessed significant growth
of non-major ports over the years. Gujarat Maritime Board (GMB) manages 41 non-major ports in the state with a
traffic handling capacity of 323 MMT. During the year 2011-12, non-major ports in the State together handled about
259 million tonnes of cargo, which accounted for 28 percent of the total cargo handled by all the ports of India.
Further, capacity handling in these ports has been registering a healthy growth rate over the recent years. The cargo
handled during the year 2011-12 has increased by 12%, compared to 2010-11. Growth in cargo trade is expected to
be sustained, driven by conducive export policies and industrial activity in the state over the next decade.

Gujarat Maritime Board has embarked on various measures to stimulate the growth in port sector through Private/
Joint Sector Ports, Private Jetties, Captive Jetties and GMB Jetties along with identifying 10 regions for developing
Greenfield Ports.

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MSME Part-II statistics, Industries Department, Govt of Gujarat

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Captive Jetties on BOMT (Build, Operate, Maintain and Transfer) basis are operational in Hazira, Sikka, Dahej,
Muldwaraka, Pipavav, Okha, Mandvi. Twenty seven captive jetties operational along the coast of Gujarat have
accounted for as high as 56% of total capacity handled during 2011-12. Development of Captive Jetties has realized
private investment to the tune of INR 750 Cr in 2011-12. Further, GMB has identified Private Port locations that can
be operated under BOOT model in Mundra, Hazira, Dahej, Dholera and Poshitra, Simar, Vansi-Borsi, Nargol, Bedi
along with Kachchigadh, Mahuva, Khambhat, Dahej (north of DHIL jetty) and Modhawa for future development.
Pipav, Dahej, Mundra, Hazira are key regions for the growth of the industry with significant expansion plans including
specialty terminals. Increasing cargo activity and port capacities, would result in high demand for specific skills in
core and allied areas.

2) Chemical & Chemical Products:

Gujarat is looking at moving forward to become the ‘Petro capital’ of India. Gujarat accounts for more than half of
India’s onshore crude Production. The State offers immense opportunities across the energy value chain. Progressive
and investor friendly industrial policies, including rationalization of tax regime, power reforms and SEZ development
coupled with the logistical proximity to Middle East gas resources, are among the significant growth enablers for the
sector. The State contributes to around 20 percent of India’s total chemical production. It produces about 98 percent
of total soda ash, 90 percent of liquid chlorine and 66 percent of phosphatic fertilizers. Gujarat also houses India’s
only chemical port terminal, which has a capacity of 3 million metric tonnes.

Gujarat has a well-established distribution gas network and the LNG terminals at Hazira and Dahej have led to a
strong local consumer base. Presence of cooperatives such as IIFCO, KRIBHCO, power companies like NTPC and GEB
and industrial majors such as Reliance, have led to a vibrant energy sector in Gujarat. The Jamnagar refinery is the
largest in India in terms of refining capacity, and is also considered the biggest grassroots refinery in the world.
Gujarat has oil & gas reserves located at Ankleshwar, Mehsana, Tapti High, Hazira, Bharuch, Gandhar, Dahej,
Jambussar, Palej, Kalol and isolated gas fields around Ahmadabad. In addition to this, it has discovered oil reserves
in Dholka and Khambat.

3) Drugs & Pharmaceuticals:

The state of Gujarat accounts for 40 percent of India’s total pharmaceutical production and 17 percent of its exports.
There exist over 3,000 drug manufacturing units. The State houses several established companies such as Torrent
Pharma, Zydus Cadila, Alembic Pharma, Sun Pharma and Dishman Pharmaceuticals, that have operations in the
world’s major pharma markets.

Several factors have contributed to Gujarat’s well-established pharmaceutical industry. Gujarat is a strong
pharmaceutical manufacturing hub having a large number of small and medium manufacturing units. Its rich base of
supply of active pharmaceutical ingredients has attracted several multinational players such as Wyeth, Sanofi-
Aventis and Abbott to set up facilities in Gujarat. There are several pharma clusters around Ahmedabad, Baroda, and
Vapi. Over 300 large projects in the sector have already been commissioned; while over 100 are under
implementation. Gujarat has a strong infrastructure backbone with good connectivity of road, rail, air and water. The
well established linkages with raw material and machinery suppliers are significant growth drivers for the industry.

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

4) Gems & Jewellery:

The Gems & Jewellery industry is a fascinating industry in many ways: traditional, on one hand and glamorous on the
other. It is undergoing a gradual change from an object of investment to a fashion accessory. It is one of the fastest
growing industries in the country, and contributes to about 15 percent of India’s total exports. With diamond and
jewellery units located in the cities of Gujarat –– Ahmedabad, Palanpur, Bhavnagar, Valsad, Navsari and Surat ––
the state becomes one of the main contributors to the gems & jewellery industry in India.

Almost 80 percent of the cutting & polishing of diamonds (processing) is done in Gujarat. Ninety percent of total
diamonds in Gujarat are processed by about 10,000 diamond units located in and around Surat, alone. Gujarat’s Gems
& Jewellery sector is expected to grow at a rate of 15-20 percent in the current financial year. The future growth is
likely to be driven by increased exports to US and other international markets and through domestic consumption.

Gujarat offers a unique combination of demographics, supply base, government initiatives and production capacity.
Gujarat has the talent pool needed to support this industry. India’s leading institutes in this field, such as Indian
Diamond Institute and National Institute of Fashion Technology, are located in Gujarat. In addition to this, skilled
labour is easily available and the labour costs are relatively lower as compared to other states in India. Gujarat offers
economies of scale for capacity expansion due to large number of units and technology upgradation.

5) Textile:

The textile Industry is one of the oldest and the most important sectors of the Indian economy. Gujarat’s textile
industry contributes in a big way to the industrialization of the State. About 33 percent of cotton production in the
country is from Gujarat, and the state contributes to about 35 percent of the woven fabrics from the organized sector
in India. The city of Surat alone, contributes 40 percent of art silk fabric produced in India, and is the largest
production base for man-made fabrics. Further, 23 percent of the State GDP comes from textiles. Gujarat contributes
around 20 percent of textile exports from India and 6 percent of garments export in India.

In the early 1990s, Gujarat saw a dramatic change in the textile industry scenario with the entry of denim
manufacturing. Arvind Mills, Soma Textiles, Modern Denim started manufacturing denim in Gujarat, and soon the
State was known as ‘India’s land of denim’.

Large availability of raw material like cotton has significantly contributed to the growth of textile sector in Gujarat.
Proximity to ports and other modes of transport, liberal labour policies, cheap raw material and well developed textile
machinery industry, are all factors attracting companies to set up units in Gujarat. In recent times, there has been a
shift in the textile hub from Mumbai to Gujarat, largely due to lower cost of real estate in Gujarat. The State is also
supporting development of SEZs by giving tax incentives.

6) Food Processing:

The Indian farming sector has come a long way since independence. India is the world's second largest producer of
food, next only to China. Over the last few years, a shift has been observed in the Indian food consumption pattern.

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 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

These changes have given rise to the emerging industry of food processing. This industry is one of the largest
industries in India; as it constitutes about 13 percent of manufacturing GDP and employs over 12 million people.
Gujarat has witnessed an impressive agricultural growth in the last five years and is the largest producer of castor
and tobacco in India. Gujarat boasts of being the leader in exports of processed food and vegetables in India with a
strong base of 3,700 small scale and 150 large & medium scale food processing units. Companies such as ITC, Amul,
Hindustan Lever, McCain have explored the potential of this sector in Gujarat.

Gujarat with a strong agricultural base, 3.6 million hectares of irrigated land and well developed agro research
capabilities is well positioned to drive the growth of food processing industry. Gujarat offers a large number of
incentives to set up food processing units. Hassle free policies such as single window clearance, a strong agricultural
marketing network with over 200 Agricultural Produce Marketing Committees (APMCs) and over 110 cold storages,
are some of the enablers that have facilitated the rapid growth of this industry. The State also provides financial
incentives by offering interest subsidies to agro-industrial units and air & sea freight subsidies for agro exports.

Tertiary Sector

Tertiary sector is a key economic sector in the Gujarat economy contributing to 43 percent of total Gross State
Domestic Product. The net income from the tertiary sector has witnessed a CAGR of 16.3 percent between 2004-05 to
2010-11 61. Growth trends of tertiary sector income in the state are presented in the chart 62.

Figure 14: Tertiary Sector Growth in Gujarat 63

200.0 70%
Net Income from Tertiary Sector At Current

180.0
60%
160.0
50%
Prices (In INR '000 Cr)

140.0 44% 44% 44% 43%

42% 42% 42%
120.0

Percentage
222 40%
100.0
188
30%
80.0 162
140
60.0 120 20%
103
40.0 89
10%
20.0

0.0 0%
2004-05 2005-06 2006-07 2007-08 2008-09 (P) 2009-10 (P) 2010-11 (Q)

Net Income from Tertiary Sector Percentage Contribution to State Net Income

61
Directorate of Economics & Statistics, Government of Gujarat
62
Directorate of Economics & Statistics, Government of Gujarat
63
Directorate of Economics & Statistics, Government of Gujarat

47
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Note: The numbers for 2009-10 and 2010-11 are provisional (P) and the number for 2010-11 is quick estimate (Q)

The growth of the tertiary sector in Gujarat can be majorly attributed to trade, hotels and restaurants, transport,
storage and communication. Breakup of the contribution of the different sectors towards the total state services
income is presented in the following chart.

Figure 15: Category wise Contribution to Services Economy in Gujarat (2010-11) 64

Other services
Public 11%
administration
Trade, Hotels &
7%
Restaurants
43%

Real Estate
14%

Transport,
Banking &
Storage &
Financial
Communications
Services
14%
11%

The Gujarat government has devised the Blueprint for Infrastructure in Gujarat 2020 (BIG 2020) for industrial
development and targets to expand the service sector and stimulate the per capita income of Gujarat. The Vibrant
Gujarat Global Investment Summit (VGGIS) which are held twice in a year, have been successful in projecting Gujarat,
as a preferred investment destination. Further, the Gujarat Government has been granted approval by the central
government for setting up the Gujarat International Finance Tec-City (GIFT) SEZ, Gandhinagar which would be the first
operational International Financial Services Centre (IFSC) in India. This promises high growth for the services sector.

7) IT/ITES:

Currently, there are more than 1000 ICT and BPO firms operating in Gujarat. Apart from that, 1250 firms are
registered with Gujarat Electronics & Software Industries Association (GESIA). IT exports from Gujarat are estimated
to be Rs. 1150 Cr for the year 2010-11. IT exports have risen by 11 percent as against the for the numbers in 2009-10.
While there are IT and ITES firms like TCS, Patni Computers Ltd and Mphasis which are already present in the State,
there are other firms including Collabera, Syntel Inc, Vora Technology Park, e-Infochips and others which are
expected to set up and expand their operations in the state.

Total investment planned in terms of the various IT projects has been estimated to be around 4,289 Cr INR by 2020.
Special Economic Zones (SEZs) have been planned for IT/ITES industry out of which 7 are notified SEZs and 7 have

64
Directorate of Economics & Statistics, Government of Gujarat

48
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

been granted formal approval. Of the 7 notified SEZs, 4 are in Gandhinagar, 2 are in Ahmadabad and 1 is in Vadodara.
Of the 7 SEZs which have been granted formal approval, 4 are in Ahmadabad, 2 are in Vadodara and 1 is in Valsad.

The IT Policy in Gujarat has been formulated with the following key features -
1. Provision of employment to 200,000 persons.
2. Identification of land and reserve for setting up of IT Industry/ IT Parks.
3. Assistance to IT industry/infrastructure for land acquisition.
4. Advisory to Municipal Corporations for designing of town planning schemes to accommodate IT parks.
5. Grant of SEZ status to IT Parks.

Apart from the above policies, there have been policies to provide capital subsidy to new IT units, turnover incentives
for IT units and reduction of sales tax for purchase of computer hardware and peripherals. There are other initiatives
taken by The Gujarat government in the form of Gujarat State Wide Area Network which is the largest internet
protocol-based network to connect the capital, districts and block HQs, creation of comprehensive directory of
Gujarat’s ICT industry and formation of IT Program Implementation Committee in Department of Science &
Technology. Apart from the above initiatives, the govt. of Gujarat has planned to develop the Gujarat International
Finance Tec-City as global financial hub which opens up multiple promising opportunities in IT/ITES sector.

Gujarat has a couple of IT parks – Infocity in Gandhinagar and GNFC Infotower in Ahmedabad. Two recently set up IT
SEZs viz., "Mindspace", Gandhinagar by M/s K Raheja and "Knowledge Park", Vadodara by M/s L&T, have also
become operational. Further, Ahmedabad – Gandhinagar knowledge corridor is going to be an IT SEZ hub. According
to Mr. Som Mittal, former President of NASSCOM, the IT industry in Gujarat is expected to grow at 15 percent over
the next 10 years.

8) Tourism and Hospitality:

Gujarat has witnessed strong growth in the tourism industry with an 85 percent growth in tourist arrivals from 2005-
2011. The total tourist arrival as of 2010-11 has been around 19 million. The overall growth in the total tourist arrivals
on a YoY (Year on Year) basis has been higher than the national figures which underlines the strong performance by
Gujarat tourism.

The international tourist arrivals has grown at a CAGR of 15% from 2005 which has been boosted by the growth
importance of the state as a global business hub.

Gujarat comprises of five major tourism circuits – Kutch circuit, North Gujarat circuit, Ahmedabad Circuit, Saurashtra
Circuit and South Gujarat Circuit.

The tourism potential of Gujarat is amazingly multi-faceted. It comprises of –

a. Religious and spiritual destinations - Dwarka, Somnath and Akshardham Temple at Gandhinagar

b. Wildlife tourism – 4 National Parks and 21 Sanctuaries

c. Beaches – One of the longest coastlines along Ahmedpur Mandvi and Surat

49
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

d. Hill Stations – Saputara and Pavagadh

e. Heritage Sites – World Heritage Site at Champaner, archaeological sites at Kutch and historical forts at
Junagarh

f. Rural tourism site – Kutch

g. Cultural Festivals – Navratri celebrations (Longest dance festival in the world), Modhera dance festival

Tourism sector in Gujarat is governed by the Tourism Corporation of Gujarat Limited (TCGL) which has setup Gujarat
Tourism Opportunities Limited (GUJTOP) for the development of tourist sites and Guj-Tour Development Company Ltd
(GUJTOUR) to develop, create and market tourism-related infrastructure and projects. Further, the Gujarat
government has appointed Amitabh Bachchan as the brand ambassador of Gujarat tourism. Apart from the above
initiatives, the budgetary allocation towards tourism sector has also increased from Rs. 183 crore in FY11 to Rs. 200
crore in FY 12.

9) Trade and Retail:

The retail sector in Gujarat has grown with the increase in the per capita income and changes in consumer behavior.
There is a mix of unorganized and organized retail players in Gujarat. There have been multiple entries of big private
retail firms like Champion Agro, Future Group and ACIL Cotton Industries. Further, food retail chains like Food Bazaar,
Reliance Fresh and Spencer have setup operations in Gujarat with sourcing from local farmers. The government has
spearheaded the initiative to strengthen the rural sector in Gujarat with setup of Village Malls where fair prices
shops are setup to cater to the needs of local population. There has also been support from the government for firms
to setup firms in rural Gujarat.

10) Transport and Logistics:

As of Jan 2013, the total road length in the state is 74,038 km out of which National Highways account for 3,229 km
(4 percent of total road length) and State Highways account for 18,556 km (25 percent of total road length). Further,
out of 18,066 villages in Gujarat, 17,856 villages (98.84 percent) are connected with pucca roads 65. Hence, 98.84%
villages are connected by "pucca" roads. Gujarat has a total rail route of 5,271 km (as of 2010-11) which is the fourth
highest in the country after Uttar Pradesh (8,763 km), Rajasthan (5,784 km) and Maharashtra (5.602 km). The state
government has taken up various steps to improve transport options. These include conversion of existing railway
lines from narrow/meter gauge to broad gauge and setting up new railway lines to connect the industry points,
logistic hubs and ports. Apart from the railways and roads, Gujarat has 41 minor and intermediate ports. The ports in
Gujarat handle a total traffic of 342 MMT as of 2011-12, which accounts for 37 percent of total traffic 66.

65
Directorate of Road Transportation, Gujarat
66
India Port Statistics 2012-13

50
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Category Infrastructure
Rail 5271 km length 67
Total Road Length 74038 km 68
National highway = 3229 km
State Highway = 18556 km
Major District Road = 20641 km
Other District Road = 10493 km
Village Road = 21119 km
Non Plan Roads = 28463 km
Road Density 38 km per 100 sq.km
Airways 12 Domestic Airports and 1 International Airport
Ports 4 Major Ports – Kandla, Jamnagar, Sikka and Okha

11) Medical Services:

Penetration of medical institutions has been calculated as the number of people who can avail the services of a
medical institution. Considering that there are 1,823 hospitals for a total population of 6.04 crores, the penetration of
medical services stands at one medical institution per 33,123 people. Coverage of healthcare in Gujarat as against
national average can be better understood from the indicators of density of PHCs and CHCs. As per 2012 estimates,
Gujarat has one PHC serving 16 villages in comparison to 27 in India while one CHC in Gujarat served 60 villages as
against 133 in India. Both these indicators show better penetration of healthcare services in Gujarat. However,
district wise analysis presents regional variations within the state, highlighting the need to enhance Government
focus on improving healthcare accessibility in those regions. While coverage of healthcare infrastructure in rural
areas is crucial, urban regions would have significant private participation to compensate for the low accessibility of
Government healthcare institutions. Districts of Surat, Ahmedabad and Vadodara seem to have significantly high
private participation in Gujarat. Details of district wise healthcare penetration comparisons are presented in the
table 69.

Table 6: Regional Penetration of Healthcare Facilities in Gujarat

Classification Region Penetration of Medical Institutions in the Economy
(Number of people/ medical institution) 70
Tapi 20162
The Dangs 20615
Gandhinagar 22378
High Penetration Regions
Narmada 22706
Sabar Kantha 24518
Mehsana 25033

67
State wise Railways Statistics, Govt of India
68
Directorate of Road Transportation, Gujarat
69
Directorate of Healthcare, Govt of Gujarat
70
Directorate of Healthcare, Govt of Gujarat

51
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Navsari 25107
Panch Mahal 25680
Amreli 26096
Bharuch 27207
Dohad 27981
Valsad 29363
Kheda 29856
Medium Penetration
Banas Kantha 29961
Regions
Junagadh 30469
Patan 30516
Kutch 31671
Surendranagar 31924
Vadodara 32996
Anand 33178
Bhavnagar 35974
Jamnagar 37226
Low Penetration Regions
Rajkot 40423
Porbandar 41861
Ahmadabad 50761
Surat 63325

The government of Gujarat has introduced various health sector reforms like (a) E-Mamta to minimize mother-infant
death rate through provision of health services at pre and post delivery times. (b) School Health Programme (SHP)
aimed at better health for school children and Chiranjeevi Yojana in providing safe deliveries to women primarily from
financially weaker sections of society. Apart from the above initiatives, the government has also come up with social
health insurance schemes, community health welfare schemes and employee state insurance schemes. The key
industry players in healthcare are Sterling, Apollo, Fortis, Wockhardt and Mayflower.

12) Financial Services:

As on March 2012, there is a presence of 5,279 scheduled commercial banks in Gujarat out of which 1,099 banks
belong to SBI and its associates, 3,012 are nationalized banks and 476 are regional rural banks. As of March 2012,
Gujarat has a total deposit of Rs. 3,06,113 crores and a total credit of Rs. 2,13,447 crores. Penetration of Banking and
Financial Services has been calculated as the number of people who can avail the services of a bank. Considering
that there are 5,279 banks for a total population of 6.04 crores, the penetration of banking and financial services
stands at a 15,782 number of people per bank as against national average of 13,379. District wise penetration in
Gujarat has significant variations with Navsari having the highest penetration with 7,393 people having access to a
bank and Dohad having the least penetration with 28,354 people having access to a bank. Details of district and state
penetration comparisons are presented in the table 71.

71
RBI Statistics, 2012-13

52
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Classification Region Penetration of Financial

Services in the Economy
(Number of people/ bank)
Navsari 7,393
Kutch 7,858
Ahmadabad 8,247
Vadodara 8,590
High Penetration
Bharuch 8,811
Anand 9,088
Gandhinagar 9,375
Porbandar 9,608
Jamnagar 10,532
Rajkot 10,555
Mehsana 10,843
Amreli 11,296
Valsad 11,665
Medium Penetration
Surendranagar 12,724
Surat 12,990
Kheda 13,289
Junagadh 13,643
Bhavnagar 14,177
Sabar Kantha 15,077
Narmada 15,536
Patan 15,797
Low Penetration Panch mahal 20,069
Tapi 21,223
The Dangs 22,677
Banas Kantha 26,185
Dohad 28,354

Primary Sector

Agriculture and Allied activities have a significant place in the economy of the state. The geographical regions of
Gujarat can be divided into three distinct regions, a corridor having the industrial mainland, the peninsular region of
Saurashtra and the Kutch region consisting of desert and marshland. The state has a number of rivers like Narmada
Sabarmati, Tapi, Purna, Damanganga and Rukmavati flowing through it which helps in the development of irrigation
facilities and fishery. The climatic zones of the state based on the location have the following specifications 72:

Agro climatic zone Type of soil Rain fall (mm)

South Gujarat (Heavy Rain Deep black with few patches of coastal alluvial, laterite and 1500 and more

72
Directorate of Agriculture, Government of Gujarat

53
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Area) medium black

South Gujarat Deep black clayey 1000-1500
Middle Gujarat Deep black, medium black to loamy sand 800-1000
North Gujarat Sandy loam to sandy 625-875
Bhal & Coastal Area. Medium black, poorly drained and saline 625-1000
South Saurashtra Shallow medium black calcareous 625-750
North Saurashtra Shallow medium black 400-700
North West Zone Sandy and saline 250-500

The state has a prominent agriculture profile with 60.62 percent of the net geographical area under cultivation.
Kheda, Mehsana, Amreli, Surat, Gandhinagar, Anand, Patan, Bhavnagar and Banaskantha districts have more than 70
percent of their net geographical area under cultivation. The state lags behind in irrigation facilities with only 36.33
percent of the net cultivated lands under irrigation although regions like Anand have 89.49 percent of the net sown
area under irrigation. Open wells and bore wells are the major sources of irrigation responsible for 71 percent of the
net irrigated land. The presence of several rivers in the state opens several opportunities for the improvement of
irrigation facilities in the state. Large scope for the operation and maintenance of pumps and tube wells would
mandate requirement of skilled manpower with skilling on repair and maintenance. Further there is an increasing
need to promote micro irrigation and water management programs in the district.

The soil fertility index of the state soil is moderate for agriculture. Most of the districts have low organic carbon,
nitrogen and phosphorus content indicating large scale usage of nitrogen rich fertilizers. Awareness levels of organic
farming and vermi compost methods are low, indicating a need to improve the same in order to promote sustainable
agricultural practices.

Wheat, Paddy, Sugarcane, Ground nut, Cotton, Castor, Bajra, and Pulses, are the main crops in Gujarat which covered
74,49,176 Ha. in Kharif and Rabi seasons. The major horticulture crops in Gujarat state are Mango, Sapota, Citrus,
Banana (Fruit crops), Brinjal, Potato, Onion, Cabbage, Cucurbits (Vegetables) Cumin, etc. There are 23 taluka seed
farms in the district, targeted to improve the availability of quality seeds.

The state has around 10 percent of its net area under forest cover consisting of tropical deciduous, tropical thorn and
tropical swamp forest. Tropical moist Deciduous Forest in the Southern most part of the state, forms the main source
of commercial timber in the state.

Cow and buffalos are the main cattle varieties in Gujarat with their population being 83,75,672 and 81,15,062
respectively 73. Other prominent domestic animals under animal husbandry activities are sheep and goat. Availability
of large pasture lands indicates significant potential to promote animal husbandry in the district. Along with
strengthening animal husbandry activities among small and marginal farmers through advanced rearing training,
there is a need for integrating animal husbandry with promotion of organic farming.

Educating farmer communities/ groups on marketing and processing would be crucial to enhance the revenue
benefits to marginal communities by limiting the role of middlemen. Government initiatives to set up agricultural
collection centers towards achieving this objective have to be supplemented by relevant training programs.
73
Gujarat Animal Census 2006-07

54
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

6.2. Work Force Distribution in the State

Gujarat has witnessed significantly high participation of working age group in economic activities. As per NSSO 66th
Round Employment Survey, Labour Participation Rate (LPR) per 1000 persons from 15-59 age group in the state, based
on current daily status, stood at 581 - in comparison to the national average of 546. While the overall LPR has been
better than national average, low female participation across both urban and rural areas is a key concern. Urban
female participation in the labor force is lower than rural regions due to dependency on agricultural and allied
activities among rural female population. Low female labor force participation in urban areas is linked to limited
employment opportunities available to minimally skilled/semi skilled women. This represents enormous
opportunities to create additional employment - especially in household industries through specific training and
support.

Worker Participation Rate (WPR) per 1000 persons from 15-59 age group in Gujarat at 552 is higher than the national
average of 509 in line with Labour Participation Rate. While there is a significant difference in participation rates
across urban and rural regions with the participation rates better in rural areas, seasonal nature of agricultural work
would mean underemployment for a significant section of the agricultural workforce force in the state especially in
Saurashtra region. Proportion of unemployed youth in the working age group standing at 30 persons per 1000 people
in 15-59 age groups is lower than the national average of 37. Issue of unemployment has to be addressed through
skill development initiatives aimed at ensuring employability. District wise variations in participation rates are
significant in Gujarat. As per 2001 estimates, rural districts of Narmada, Dahod, The Dangs have registered high
participation rates while urban areas of Ahmedabad, Jamnagar and Rajkot have registered lower participation rates.
High participation rates in rural regions are attributed to high dependency on agriculture and allied activities.
Detailed classification of districts into high, medium and low worker participation regions is presented in the chart.

Figure 16: Regional variations in worker participation rates among the districts of Gujarat 74.

74
Census Workforce Estimations, 2001

55
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Category-wise employment intensity in Gujarat according to usual status approach among employment
categories of NIC -2004 industry classification, indicates considerable deviation from the national average.
While agriculture and allied activities still remain prime source of livelihood for a majority of the workforce, the
state has a high dependency on manufacturing, retail and series activities in comparison to national standards.
Detailed industry wise classification of workforce in Gujarat and India as per NSSO 66th Employment Survey is
presented in the chart.

Figure 17: Comparison of Workforce Distribution in Gujarat with India 75

Agriculture, hunting and forestry 529

428

Manufacturing 110
190

Wholesale and retail trade; repair of motor vehicles, 95

motorcycles and personal and household goods 120

Construction 96
60

Transport, storage and communications 43

56

Education 26
31

Activities of private households 8

19

Other service activities 19

19
India Gujarat
Public administration 21
19

Hotels and restaurants 13

15

Fishing 3
10

Health and social work 8

9

Real estate, renting and business activities 13

9

Financial intermediation 8
7

Mining and quarrying 6

7

Electricity, gas and water supply 3

2

75
NSSO 66th Round Employment, Unemployment Sample Survey

56
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Regional and sectoral analysis of large scale industrial employment indicates a clear concentration of employment in
key sectors within key districts. Ahmedabad, Kutch, Bharuch, Vadodara, Surat and Rajkot account for a majority share
of employment in this category, while other districts like Dahod, Narmada and Patan have lower levels of industrial
employment opportunities. Regional break up of large scale industrial employment is presented in the chart 76

Figure 18: Regional Distribution of Organized Industrial Employment in Gujarat 77

Ahmedabad 276,980
Kachchh 247,358
Surat 244,390
Bharuch 211,430
Vadodara 143,547
Valsad 108,892
Rajkot 78,119
Mehsana 66,995
Gandhinagar 52,252
Jamnagar 49,830
Panchmahals 33,600
Bhavnagar 24,637
Junagadh 24,491
Surendranagar 21,487
Navsari 18,585
Anand 14,645
Sabar Kantha 14,072
Amreli 9,690
Kheda 7,806
Banas Kantha 7,723
Porbandar 4,902
Tapi 3,423
Patan 2,143
Narmada 994
Dohad 228

76
IEM Data, Index-Tb, Gandhinagar
77
Gujarat IEM Data, MSME Part II Details, KPMG Analysis

57
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

6.3. Human Resource Supply Scenario in the state (2012-17, 2017-22)

The demographic composition of Gujarat has been witnessing significant changes largely due to control of population
growth and regional migration of working age. As per KPMG estimations, in the near term, Gujarat has significant
demographic dividend, with a rising working age population. Between 2012 and 2017, an additional 60.51 lakh 78 are
expected to enter the working age group population followed by another 56.67 lakh during 2017-22 79. However, with
significant population entering the 60+ age group proportion of working age population is expected to show a
marginal growth over the next decade. Demographic composition trends in state population are presented in the
chart.

Figure 19: Gujarat Demographic Estimations 80

6.82 Cr
6.49 Cr
6.11 Cr

6,686,266
5,455,769
5,081,377

0-14 Yrs
56.67 lakh
entrants into
60.51 lakh working age 44,620,592
38,391,580 41,892,509 15-59 Yrs
entrants into group
working age
group
Above 60 Yrs

17,639,927 17,536,399 16,920,347

2012 2017(e) 2022(e)

Availability of working age group population in a district is an indication of human resource potential present in the
economy. However, migration would play a crucial role in determining the exact composition of the population.
Ensuring adequate skilling of the available workforce is necessary to increase productivity in the economy, and thus
propel state economic growth.

Gujarat workforce projections for 2012, 2017 and 2022 are estimated considering the WPR from the NSSO 66th
Round Employment Survey, and applying it over the estimated population in the 15-59 age group for these periods.

78
KPMG Analysis
79
KPMG Analysis
80
KPMG Analysis

58
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

The overall workforce numbers would change because of the change in working age group population (15-59 age
population). Availability of working age population measured from the 15-59 age group population is estimated to
grow to 419 lakhs by 2017 and 446 lakhs by 2022. Labour force measured from number of people looking for
employment in the working age group is expected to reach 259 million 81 by 2022, increasing the need for employment
creation over the next decade even to sustain the current levels of labour force and worker participation rates.

Figure 20: Expected Demographic Composition in Gujarat 2017 and 2022 82

2017 2022

District-wise incremental supply estimates were arrived based on Planning Commission Population Estimates from
the 2001 population, extrapolated considering birth rate, death rate and life expectancy. Further, districts were
classified into high growth, medium growth, low growth categories based on incremental supply during 2012-22.

Table 7: District Wise Labour Force Estimations

Region 2012-17 2017-22

Gross
Addition Gross Net
to Gross Addition to Gross Addition to
Working Addition Net Addition Working Addition Labour
Age to Labour to Labour Age to Labour Force-
Population Force Force-Supply Population Force Supply

Gujarat 6,051,859 3,553,511 2,041,412 5,667,176 3,336,960 1,585,016

Kachchh 200,506 95,295 58,158 219,075 101,138 45,156

81
KPMG Analysis
82
KPMG Analysis

59
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Banaskantha 371,356 214,245 104,882 368,150 209,703 81,434

Patan 150,654 99,015 51,192 137,952 92,064 39,747

Mehsana 204,983 138,966 79,569 179,565 124,973 61,780

Sabarkantha 255,224 163,435 90,320 250,323 161,398 70,127

Gandhinagar 149,895 99,164 53,237 127,768 85,902 41,334

Ahmadabad 621,668 285,647 192,997 599,899 273,742 149,849

Surendranagar 196,756 119,975 62,191 180,122 110,788 48,287

Rajkot 338,798 183,119 119,548 320,481 172,910 92,821

Jamnagar 216,295 121,793 70,519 196,327 112,300 54,753

Porbandar 59,866 36,474 20,659 51,111 32,039 16,040

Junagadh 289,452 175,045 96,115 243,561 150,229 74,627

Amreli 153,029 100,860 57,697 133,421 90,641 44,798

Bhavnagar 317,500 172,242 90,720 286,459 156,483 70,438

Anand 204,570 127,216 75,362 187,353 118,634 58,513

Kheda 236,245 154,598 87,227 214,336 142,759 67,726

PanchMahal 269,503 182,042 93,808 260,708 176,672 72,836

Dohad 257,486 161,955 78,233 283,596 174,005 60,743

Vadodara 393,227 237,767 145,880 363,174 222,577 113,266

Narmada 63,600 46,179 24,884 57,987 42,601 19,321

Bharuch 154,681 94,267 54,812 134,876 83,558 42,558

The Dangs 163,983 110,855 8,931 184,351 123,919 6,934

Navsari 81,807 55,675 52,366 73,451 51,584 40,658

Valsad 116,878 73,594 62,450 140,361 88,032 48,488

Surat 507,976 255,044 179,396 406,154 194,431 139,288

60
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Tapi 75,920 49,042 30,195 66,615 43,881 23,444

Incremental skill category wise supply for the periods 2012-17 and 2017-22 in the districts are estimated based on
net output from higher education institutions (skilled), vocational training(semi skilled), minimally skilled for periods
2012-17 and 2017-22 considering the LPR estimations for the districts in 15-59 age group and retirement of labour
force. District wise incremental supply estimations for 2012-22 are provided in the table below.

Table 8: District Wise Incremental Manpower Supply in Gujarat (2012-22)

2012-17 2017-22
Region Skilled Semi Minimall Total Skilled Semi Minimall Total
Skilled y skilled Skilled y skilled

Gujarat 297,057 230,302 1,514,053 2,041,412 326,746 283,419 974,851 1,585,016

Kachchh 12,967 10,053 35,138 58,158 12,620 10,947 21,589 45,156

Banaskantha 18,257 14,154 72,471 104,882 19,267 16,712 45,455 81,434

Patan 7,103 5,506 38,583 51,192 7,890 6,844 25,013 39,747

Mehsana 10,788 8,364 60,417 79,569 12,391 10,748 38,641 61,780

Sabarkantha 12,856 9,967 67,498 90,320 13,446 11,663 45,018 70,127

Gandhinagar 7,100 5,504 40,632 53,237 8,466 7,343 25,525 41,334

Ahmadabad 34,352 26,633 132,012 192,997 37,026 32,116 80,706 149,849

Surendranagar 9,014 6,988 46,190 62,191 10,082 8,745 29,460 48,287

Rajkot 18,055 13,998 87,495 119,548 19,751 17,132 55,939 92,821

Jamnagar 8,478 6,573 55,467 70,519 9,498 8,238 37,017 54,753

Porbandar 2,973 2,305 15,380 20,659 3,496 3,033 9,511 16,040

Junagadh 13,589 10,536 71,990 96,115 16,356 14,187 44,085 74,627

Amreli 7,575 5,873 44,249 57,697 8,707 7,552 28,539 44,798

Bhavnagar 15,146 11,742 63,832 90,720 17,220 14,936 38,281 70,438

Anand 11,034 8,554 55,774 75,362 12,221 10,601 35,691 58,513

Kheda 11,514 8,926 66,787 87,227 12,879 11,171 43,676 67,726

61
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

PanchMahal 12,734 9,873 71,201 93,808 13,553 11,756 47,526 72,836

Dohad 12,063 9,353 56,817 78,233 11,598 10,060 39,085 60,743

Vadodara 19,754 15,315 110,811 145,880 21,797 18,907 72,562 113,266

Narmada 2,790 2,163 19,931 24,884 3,124 2,709 13,487 19,321

Bharuch 7,828 6,069 40,915 54,812 9,122 7,913 25,523 42,558

The Dangs 326 253 8,351 8,931 302 262 6,371 6,934

Navsari 9,869 7,651 34,845 52,366 11,002 9,544 20,112 40,658

Valsad 12,878 9,984 39,587 62,450 11,121 9,646 27,721 48,488

Surat 23,664 18,346 137,385 179,396 32,063 27,811 79,414 139,288

Tapi 2,486 1,927 25,782 30,195 2,869 2,489 18,086 23,444

62
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

6.4. Human Resource Requirement in the State

6.4.1. Incremental Manpower Requirement Projections (2012-17, 2017-22)

Incremental manpower requirement in Gujarat has been estimated based on several parameters such as investment
trends, national level benchmarks on industrial growth across sectors, state manufacturing policy targets,
performance of state against economy targets, national level inclusion targets for certain sectors, employment
generation potential of various sectors based on labour elasticity and market based insights from discussions with
industries in Gujarat. Based on the analysis of current state of workforce distribution and potential employment
opportunities in various sectors incremental manpower requirement in key primary, secondary and tertiary segments
is estimated for the periods 2012-17 and 2017-22. Further, manpower requirement is classified into skilled, semi
skilled and minimally skilled categories considering the present level of employment in these categories for
respective sectors and analysis of expected developments in the industry that would lead to significant realignment
of the categories. Detailed approach for manpower estimations is presented in the appendix and specific factors for
estimation are discussed below.

Primary Sector:

Considering the increasing level of farm mechanization and sharing agricultural land usage, period between 2012 and
2022 would witness a net out flux of workforce from the agricultural activities. Agricultural workforce displacement is
expected to be significant in the marginal workers category. A significant portion of the workforce would engage in
agri-allied activities depending on the availability of allied resources and migrational constraints. Incremental
manpower requirement for the agri- allied activities is estimated considering the following parameters

• Current level of employment in agricultural activities (farmers, agricultural labourers).

• Estimated displacement factors for agricultural workforce based on Planning Commission Projections for
2012-17 and 2017-22 periods and analysis of level of mechanization and allied factors in Gujarat.
• Employment potential in agri-allied activities in the state considering the level of involvement in the
respective activities and regional conditions.

Manufacturing Sector:

Manpower requirement in the secondary sector is driven by investments and output growth. Various factors including
analysis of manufacturing, sub sector policies, investment trends, availability of resources, are considered for the
incremental manpower estimation in different subsectors of manufacturing in the state. Human resource requirement
projections for manufacturing sub sectors in the state are estimated considering the following parameters

• Manufacturing growth targets for Gujarat for 2012-17 and 2017-22(Increasing secondary sector share in
GSDP to 32% by 2017)
• Identifying key growth sub segments within Gujarat based on a study of the existing industrial base and
primary interactions with experts
• Estimation of growth targets for Gujarat based on analysis of investment trends, state comparable analysis,
available infrastructure, policy thrust on key manufacturing segments identified
• Labour elasticity factors in the potential sectors.

63
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Tertiary Sector:

Employment growth in some of the services sectors is driven by Government thrust in terms of budgetary allocations
to achieve inclusion targets in education, healthcare and banking, while the other segments including hospitality and
tourism, financial intermediation, communication, retail would depend on the level of economic activity in the region
resulting in high or low spending capacity of population. Also, segments like IT-ITES, transportation & logistics are
driven by investments into infrastructure and manpower. Hence human resource requirement projections for services
sub sectors would have specific approaches depending on the growth drivers for the segments in the district.
Detailed methodology for estimation of manpower in services sub segments is presented in the appendix.

Based on the analysis of socio economic conditions, investment scenario and availability resources incremental
manpower requirement has been estimated for the following sectors.

Primary Sector

• Agriculture & Allied Activities( Horticulture, Sericulture, Animal Husbandry and Fisheries)

Secondary Sector

• Textile and Apparel

• Manufacturing of Engineering Goods( Including Auto & Auto Components)
• Chemical & Chemical Products(Including Petro Chemicals)
• Drugs & Pharmaceuticals
• Agro & Food Processing
• Electrical and Electronics
• Mineral Processing & Fabrication
• Construction Material(Cement, Ceramics)
• Rubber & Plastics
• Paper & Paper Products
• Infrastructure(Construction)

Tertiary Sector

• IT-ITES
• Transportation & Logistics(including port based logistics)
• Banking & Financial Services
• Organized Retail
• Hospitality & Tourism
• Healthcare
• Education & Training

Manpower growth in the districts of Gujarat is driven by secondary and tertiary sectors. Incremental manpower
requirement in the state is dependent on the setting up of new industries, and on expansion of existing industries
along with the trend of workforce migration. According to KPMG estimates, an additional increase in incremental
manpower requirement during XII plan and XIII plan periods will be 3 million and 2.65 million. Significant portion of

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

the new jobs created, especially in Agri-Allied activities (0.42 million during XII Plan), Construction (0.26 million
during XII Plan), Trade & Retail (0.21 million during XII Plan) and Textiles (0.16 million during XII Plan) would witness
mere realignment of workforce displaced from agriculture - due to the expected impact of mechanization on
cultivation activities.

Skilled workers category denotes those skills acquired through professional degrees (study duration greater than 5
years after Std X), Semi Skilled Category denotes skills acquired through vocational training (study duration greater
than 3 years after Std X) and Minimally skilled category requires basic understanding of job which require minimal or
no formal training. Details of sector wise skill requirements during 2012-22 are presented in the table 83.

Table 9: Incremental Human Resource Requirement in Gujarat (2012-22)

2012-17 2017-22
Sector Skilled Semi Minimally Total Skilled Semi Minimally Total
Skilled skilled Skilled skilled
Agriculture & Allied NA NA 426677 426677 NA NA 357322 357322
Activities
Agro & Food 3655 14619 18273 36547 3272 13089 16362 32723
Processing
Textile & Apparel 16564 66254 82818 165635 14815 59260 74075 148150
Wooden Products & 1801 7004 10205 19010 1671 6336 9407 17414
Furniture
Paper & Paper 1358 5431 6789 13578 1214 4858 6072 12145
Products
Chemical & Chemical 9692 38769 48461 96922 8669 34676 43345 86690
Products
Rubber & Plastics 2266 9063 11329 22658 2027 8106 10133 20266
Mineral Processing & 6471 25884 32355 64710 5788 23152 28939 57879
Fabrication
Electrical & 3192 12769 15962 31924 2855 11421 14277 28553
Electronics
Manufacturing of 5990 23962 29952 59904 5358 21432 26790 53580
Engineering Goods
Manufacturing of 2885 11541 14426 28853 2581 10323 12904 25807
Construction Material
Drugs and 1168 4670 5838 11676 1044 4177 5222 10443
Pharmaceuticals
Misc. Manufacturing 2263 9051 11314 22627 2024 8095 10119 20239
Construction 13392 26785 227669 267846 11979 23957 203635 239570
Trade, Retail 21632 32447 162237 216316 23646 35469 177347 236463
Transportation & 17976 285441 339601 643019 14707 233543 277856 526106
Logistics
IT-ITES 60000 150000 NA 210000 50000 120000 NA 170000
Hospitality & Tourism 24963 37445 187223 249630 19970 29956 149778 199704
Banking & Financial 64000 192000 NA 256000 44800 134400 NA 179200

83
KPMG Analysis

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 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Services
Healthcare 12080 54359 NA 66438 16093 80466 NA 96559
Education & Training 24116 162346 NA 186462 36174 97408 NA 133581

Further, the state has significant regional variations in incremental manpower requirements with the districts of
Ahmedabad, Surat, Vadodara, Rajkot, Kutch, Bhavnagar and Gandhinagar expected to drive the employment growth
during 2012-22. On the other hand, The Dangs, Narmada, Tapi would have low potential to absorb trained youth,
indicating that these regions could become training ground for skilled manpower to be placed in industrial clusters of
Ahmedabad, Surat, Vadodara. Details of district wise incremental manpower break up along with key sectors
accounting for the major employment share are presented in the table 84.

Region Incremental Incremental Focus Sectors

Manpower Manpower
Requirement Requirement
2012-17 2017-22
Textiles and Apparel, chemicals & chemical products, Drugs and
Pharmaceuticals, Agro and Food Processing, Automobiles,
Engineering, Electronics, IT-ITES, Hospitality, Banking & Financial
Ahmedabad 403,268 344,929 Services
Textiles & Apparels, Gems & Jewelry, Chemicals & Petrochemicals,
Surat 379,442 328,062 Ports and IT- ITES
Vadodara 261,543 223,794 Chemicals & Petrochemicals, Pharmaceuticals, Biotechnology
Engineering & electronics, Textiles & apparel, Chemicals,
Rajkot 200,565 173,261 Infrastructure
Minerals, Port based industries, Marine Chemicals, Engineering,
Kutch 154,526 131,970 Infrastructure Projects, Chemicals, Ceramics and Textiles
Valasad 134,276 114,841 Chemicals, textiles, horticulture and paper industry
Diamond cutting & polishing, cement &
gypsum, inorganic salt-based and marine chemicals, shipbuilding,
ship-repairs, oxygen, foundry, re-rolling, ceramics, fabrication and
Bhavnagar 133,884 113,537 food processing industries
Gandhinagar 125,415 104,313 Food Processing, Electronics, Textiles, IT -ITES
Chemicals, Petrochemicals & Pharmaceuticals, Engineering, Ports &
Bharuch 122,874 105,740 Ship building, Textiles
Agriculture, Mineral-based
Kheda 109,427 92,949 industries, Plastics, Engineering and IT-ITES
Mehsana 108,073 92,158 Cultivation, Engineering Industry and Food processing
Food Processing, Tourism, Mineral Based Industries, Construction
Banas Kantha 103,264 88,783 material
Mineral based cement industry, Fish processing industry, Agriculture
Junagadh 102,474 89,401 based industry, Power sector
Jamnagar 99,648 85,788 Brass Parts, Petroleum and Petrochemicals, Salt and Ports
Sabar Kantha 94,737 81,790 Agriculture, ceramics,

84
KPMG Analysis

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 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

chemicals and milk processing

Tourism, minerals, engineering &
Panchmahal 85,765 74,370 automobiles, irrigation projects, dairy farming
Food & Agriculture, Engineering & Auto parts, Chemicals, Port & Ship
Anand 76,021 64,703 Building, Minerals, Cement
Textiles, chemicals, and
Surendranagar 71,283 60,950 Ceramics
Food products, rubber and
Dahod 64,919 56,323 plastic products, and mineral based industries
Navsari 61,337 52,061 Food processing, textiles, drugs & pharmaceuticals
Engineering Goods, Port and Ship
Amreli 56,666 48,645 building, Mineral Processing and Cement
Patan 46,027 39,067 food processing, paper and pulp and cotton-based industry
Porbandar 28,898 23,643 Port and Ship Building, Cement industry, Mineral-based Industries
Tapi 28,162 24,077 Agro-based industries, Textiles
Narmada 26,332 22,020 Textiles, food & agriculture and chemicals
The Dangs 17,610 15,218 Agri- Allied Activities, wood & wooden products, food processing

6.4.2. Summary of Skill Requirements in High Growth Sectors

Skill requirements in key growth sectors have been analyzed based on industry interactions to understand the
detailed manpower needs. Sector level skill interventions are indicated in the section below 85.

Secondary Sector (Manufacturing, Construction & Energy):

• Port Based Logistics:

Category of Skills Skills
Electrical Technician(Distribution, Cabling, Instrumentation, Maintenance,
Core Skills Automation, PLC, HMI Equipments), Mechanical Technician(Lubrication,
Hydraulic Systems, Pneumatic Systems, Gear Systems), Crane Operators,
Conveyor Belt Operators, Earthmoving Equipment Operator, Locomotive Engine
Operator, LMB Driver, HMB Driver, Machine Operators(MVU, Baking, Stacker
Reclaimer)
Skilled Fireman, Radio Officer, Under water divers, Minimally skilled Marine
Allied Skills Crew, Project Management Workforce (Surveyor, Draftsman Civil, Construction
Workers, Auto CAD Engineers)
Marine Engineers, Instrumentation, Advanced Equipment Technicians, Crane&
Skills with acute shortage Machine Operators, Radio Officer , Skilled Fireman

• Auto & Auto Components

Subsector Skills

Auto Assembling and Component Core Skills: Motor Mechanic, Diesel Mechanic, Fitter, Welder, Fabricators

85
KPMG Analysis

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 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Manufacturing
Allied Skills: Electrician, Wireman

Acute Skill Deficits: Specialized welders in Arc welding who can work in
extreme conditions on advanced fabrication equipments

Auto/Industrial Manufacturing Core Skills: Shop floor technical workers

Allied Skills: Maintenance(Mechanical, Electrical, mechatronics, automobile

electronics)

Acute Skill Deficits: Painting, Body Building (spot welding), Sheet Metal
Work, Machining & Casting.

• Ship Building:
Subsector Skills
Hull Construction(Heavy metal fabrication with latest technology), QC, Painting,
Core Skills Piping, Electricals/ Electronics, A/C and Refrigerator(pertaining to marine
industry), Riggers

Allied Skills Basic computer knowledge, Accounting, Store Management

Fire fighting, Safety systems knowledge
Skills with acute shortage

• Textile & Apparel:

Category of Skills Skills

Core Skills Ring frame operator, weaver, processing operator (CDR, BDR, Stuntor), Bar-
coding machine operator

Electrician, Wireman, Fitter

Allied Skills
The industry has high attrition rates in operator roles (semi skilled) owing to
Skills with acute shortage extreme working conditions.

• Food Processing:
Category of Skills Skills

Core Skills Fitter, Electrician, Wireman, Instrumentation, Lab Technician

Allied Skills Instrumentation, Packaging (Jar, Pouch) Operator, AOCP, Lab Attendant, Boiler
Operator, QC Chemists

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 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Skills with acute shortage PPO is required in industries having in house packing development.

• Chemical & Chemical Products:

Category of Skills Skills

Core Skills Mechanical, Electrical skills

Allied Skills Instrumentation, boiler attendant, AOCP, lab attendants

Skills with acute shortage MSc/BSc chemists, Electronic Automation with understanding of PLC systems

• Electrical & Electronics:

Category of Skills Skills

Core Skills Electronics, PPO, Electrical, Instrumentation

Allied Skills Fitter

Skills with acute shortage PPO trade is a key deficit in all industries involving plastic processing

Electronics and Instrumentation

• Metal & Mineral Processing:

Category of Skills Skills
Core Skills Fitter, Welder, Turner, Electrician

Allied Skills Melter, Boiler Operator

Skills with acute shortage PCB instrumentation

• Drugs & Pharmaceuticals:

Category of Skills Skills

Core Skills Process Operator, Packaging Operator, Process Technicians, Lab QC
Technicians -Lab Technicians (Analytical), R&D Technicians
Allied Skills Electrician, Instrumentation

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 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Skills with acute shortage Bio-instrumentation

• Thermal Power:
Category of Skills Skills
Core Skills Mechanical, Electrical, Instrumentation& Control, Master Chemists, Civil
Engineers
Allied Skills Fitter, Electrician ITI trades

Skills with acute shortage Instrumentation, Chemists

• Pipe Industry:
Category of Skills Skills
Core Skills Welder, Fitter, Electrician, Wireman, Machinist,

Allied Skills PPO, CNC Operators, Gas Cutter, Turner

Skills with acute shortage ID & OD Welding, CNC Machinist, Crane Operators, PPO, Gas Cutter trades

• Wind Farm Equipment:

Category of Skills Skills
Core Skills Fitter, Welder, Plastic Polymer Operator(PPO)

Allied Skills Electrician, Wireman

Skills with acute shortage PPO, Advanced Welding(TIG, MIG) trade candidates are not available in the
district

• Construction:
Category of Skills Skills
Core Skills Electricians, carpenters, barbenders, welders and masons

Allied Skills Minimally skilled workers

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 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Skills with acute shortage Machine operators

• Salt Production:
Category of Skills Skills
Core Skills Earth moving equipment operators, tractor drivers

Allied Skills Minimally skilled workers

Skills with acute shortage Chemists

Services:
• Banking & Financial Services:
Category of Skills Skills
Core Skills Knowledge on core banking/mobile/internet platforms

Allied Skills Sales & Marketing

Skills with acute shortage insurance underwriting, claims management

• Transportation :
Category of Skills Skills
Core Skills Heavy vehicle drivers, logistics management

Allied Skills Administrative, computer data management

Skills with acute shortage Scheduling and logistics planning

• Healthcare :
Category of Skills Skills
Core Skills MBBS Doctors, MD/MS specialists, Physician Assistants/Compounders,
Radiologists, Dialysis technician, Respiratory technician and OT Assistants &
Perfusionist.

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 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Allied Skills Lab technicians, pharmacists

Skills with acute shortage Physiotherapists, Biomedical Instrumentation technicians

• Organized Retail:
Category of Skills Skills
Core Skills Shop floor executives/supervisors, computer operator

Allied Skills Transportation & logistics staff

Skills with acute shortage Store management, stock planning

• Education:
Category of Skills Skills
Core Skills School teachers, higher education faculty

Allied Skills Knowledge on advanced teaching tools

Skills with acute shortage Technical education trainers

Primary Sector:

• Cultivation:
Category of Skills Skills
Core Skills Awareness about high yield varieties, micro nutrients and pest Control, Organic
farming and Vermi compost methods, Micro irrigation techniques
Allied Skills Knowledge on food processing techniques and related procedures to extract
greater value from farm produce

Skills with acute shortage Usage and repair of farm equipments, Marketing and management practice

• Agri- Allied Activities:

Category of Skills Skills
Core Skills Modern rearing techniques of live stock, piggery, goatery and fisheries

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 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Allied Skills Knowledge on processing techniques

Skills with acute shortage Marketing and distribution of forest/animal husbandry produce

6.5. Human Resource Development Scenario in Gujarat

In order to promote economic and industrial development in a state, the essential requirement is the capacity to
develop skilled manpower of good quality in adequate number. Gujarat being an industrially developed state with
significant opportunities for organized employment, there is an ever increasing need for graduates and skilled
professionals. Further, considering the entrepreneurial aspirations of the youth, education would play a crucial role to
develop professionally trained human resources in the area of entrepreneurship, to augment the industrial
development in the state. While historically, Gujarat has been a knowledge society with educational infrastructure
comparable to the national average, the situation has changed very rapidly during 2001-11 as the Government of
Gujarat has embarked on various initiatives in higher education and technical education. Continuous efforts directed
towards enhancing the capacity and quality of education has resulted in substantial increase in number of students
from other states coming to Gujarat to access quality education.

6.5.1. School Education

The State has witnessed a steady decline in the number of enrollments across the levels of primary, upper primary,
secondary and higher secondary levels 86. While Ahmadabad has the highest number of total enrollments across the
various levels, The Dangs has had the lowest number of enrollments in the period of 2010-11. District wise details of
school statistics are presented in the table 87.

Table 10: Current Status of School Education in Gujarat

Total Enrollments (2010-11) 88

Primary Upper Primary Secondary Higher
Districts
Level Level Level Secondary Level Total
(Std 1-5) (Std 6-8) (Std 9-10) (Std 11-12)
Ahmadabad 571,571 207,119 262,964 96,665 1,138,319
Amreli 148,865 57,157 57,264 51,858 315,144
Anand 209,387 83,366 110,054 15,389 418,196
Banas Kantha 419,256 116,532 97,535 26,477 659,800
Bharuch 151,347 57,999 64,896 18,617 292,859
Bhavnagar 323,269 112,873 123,506 27,635 587,283

86
District Education Statistics 2010-11
87
District Education Statistics 2010-11
88
District Education Statistics 2010-11

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 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Dohad 280,744 78,269 72,666 25,635 457,314

Gandhinagar 148,675 54,510 78,623 44,199 326,007
Jamnagar 164,614 57,171 64,190 20,518 306,493
Junagadh 278,225 112,561 120,062 57,894 568,742
Kutch 238,859 67,351 57,808 13,447 377,465
Kheda 229,403 95,482 97,560 32,987 455,432
Mahesana 211,809 75,040 93,930 37,235 418,014
Narmada 58,202 23,096 21,710 6,078 109,086
Navsari 117,958 46,806 63,351 21,623 249,738
Panch Mahals 277,805 92,875 99,436 28,618 498,734
Patan 154,436 47,169 20,540 39,839 261,984
Porbandar 59,015 23,166 23,134 6,243 111,558
Rajkot 310,906 120,586 172,556 48,785 652,833
Sabar Kantha 261,508 93,517 118,793 40,537 514,355
Surat 423,591 152,406 170,293 85,146 831,436
Surendranagar 195,476 65,131 57,653 18,452 336,712
The Dangs 45,532 9,431 6,701 2,528 64,192
Vadodara 361,952 122,543 153,505 58,235 696,235
Valsad 170,612 57,541 62,366 27,603 318,122
Gujarat 5,813,017 2,029,697 2,271,096 852,243 10,966,053

6.5.2. Higher and Technical Education

As per 2010-11 statistics, Gujarat has over 8.9 lakh enrollments in higher education across streams standing eighth
among the states in India. Penetration of higher education in a region is better indicated by number of enrollments
per 1000 population. While Gujarat has a marginally better penetration of higher education compared to national
average, other progressive knowledge economies like Andhra Pradesh, Tamil Nadu and Karnataka have higher
penetration than Gujarat. Comparison of Gujarat with other Indian states and national average is shown in the chart.

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Figure 21: Penetration of Higher Education in Key Indian States (Number of Enrollments per 1000
Population) 89

Andhra Pradesh 21.8

TamilNadu 20.5

Maharashtra 17.4

Karnataka 16.4

Gujarat 14.8

All India Average 14.0

Madhya Pradesh 12.8

Uttar Pradesh 12.4

West Bengal 10.3

Faculty wise breakup of enrollments in Gujarat brings out clear focus that the state has laid down on improving
technical education over the years with Engineering/Technology enrollment proportions higher than the national
average. Another striking difference is in the state impetus to develop quality faculty across education streams
primarily in schools through graduate/post graduate programs (B.Ed/M.Ed) in education. State has a significantly high
proportion of 8.5% total enrollments in education in comparison to national average of 3.2%. High focus on training
adequate faculty is crucial to try and solve the issues of faculty shortages in schools over the next decade.

In Gujarat the institutional framework consists of Universities established by an Act of Parliament (Central
Universities) or of a State Legislature (State Universities), Deemed Universities (institutions which have been
accorded the status of a university with authority to award their own degrees through central government
notification), Institutes of National Importance (prestigious institutions awarded the said status by Parliament), and
Institutions established by State Legislative Act and colleges affiliated with the University (both government-aided
and unaided). Overview of educational institutions in Gujarat is presented in the table.

Category Number of Institutions 90

Universities, Research Institutes, Institutes of National 62(Including IIT Gandhinagar, IIM Ahmedabad and NIT
Importance Surat)
Govt Colleges 71
Grant in Aid Colleges 356
Self financed institutions 605

Technical education governed by AICTE is treated as a separate segment at the state level and is monitored by
Directorate of Technical Education. Gujarat has leading technical education institutions like IIM Ahmedabad, IIT
Gandhinagar, NIT Surat, NID, NIFT, IIT-RAM along with GTU (Gujarat Technical University) set up by the State
Government. These eminent institutions provide immense opportunities to leverage their research capabilities to
mentor other institutions in related domains. Intake of engineering institutions has witnessed significant growth from

89
MHRD Statistics 2012
90
Gujarat Higher education Commission

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

2006-07 to 2010-11 reaching the current levels of over one lakh seats in both degree and diploma categories.
Overview of technical education institutions in Gujarat is presented in the table 91.

Category of Institutions Number of Institutions Intake

Engineering Degree 114 53,773
Engineering Diploma 102 56,918
MBA 132 13,365
Degree Pharmacy 80 5,005

Gujarat currently has about 20 universities of which 10 are private universities (6 already existing and 4 new have
been approved and will commence operations soon). Gujarat has over 900 institutions of higher learning and research
which educate approximately 551,398 students. Gujarat has instituted approximately 34,323 engineering seats and
approximately 47,753 diploma engineering seats. At the post-graduation (Masters) level approximately 10,492 seats
are available across various disciplines. While Gujarat has made tremendous progress in terms of industrial
development and is considered to be one of the fastest developing states, the higher education system in Gujarat has
had challenges in delivering graduates fit to be readily employed in the market.

6.5.3. Vocational Education

Vocational Education is another stream of higher education in Gujarat catering to the ever increasing manpower
needs of burgeoning industrial growth in the state. Public and private polytechnics and vocational training institutions
(ITI s/ ITCs / VTPs) exist in the state which are controlled and supervised by National Council for Vocational Training
(NCVT) and Gujarat Council for Vocational Training (GCVT). Training capacities in Government institutions still forms
major share (73.8 percent) of overall vocational training capacity. Vocational training infrastructure in institutions
offering accredited courses under NCVT/GCVT is presented in the table 92.

Category of Institutions Training Capacity

ITI s 1,01,973
ITCs 14,864
VTPs 21,269
All Vocational Training Institutions 1,38,106

6.5.4. Key Government Initiatives

Gujarat Government has embarked various initiatives to augment capacity in higher and technical education along
with improving quality of education and focusing on employability of youth. Engaging the private sector more actively
in both formal and non formal modes of education is a key initiative considering the financial constraints for
Government expenditure on education. The key initiatives of the government to improve the quality and further the
development of higher education in Gujarat, are as follows:

Attracting Private Investments into Education:

91
Gujarat Technical Education Statistics, 2012
92
Directorate of Labour & Training Gujarat

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

• Private Universities Bill: The Government of Gujarat has passed the Private Universities Bill allowing the
formation of private universities without having to pass legislation through the Assembly. Any private
institution applying for a private university would be evaluated by the Department of Education and the
Department would amend the schedule of the Private Universities Bill on meeting eligibility criteria. This
initiative is aimed at enabling hassle free processing of applications there by attracting private investments.
• PPP Initiatives: Public Private Partnerships are initiated in higher education and vocational education in areas
of capacity building, training and faculty training
• Promotional Schemes under Industries Department for Manpower Development: Government of Gujarat has
initiated promotional schemes through Center for Entrepreneurship Development (CED) aimed at increasing
private participation in vocational education. Schemes for (i) setting up extension centers/Skill Up gradation
Centers(SUCs) at GIDC estates, ITI premises, industrial clusters, industrial parks, SEZs, investment regions (ii)
Specialized Skill Development Centers, providing financial assistance towards capital expenditure
(building/land/equipment), are currently undertaken by the Government.

Prominent private vocational institutes including NSDC, partners have setup training centers in Gujarat under
these schemes. Currently there are 49 approved SUCs in the state. Everonn Skill Development Limited (12
centers), Gurukul Online Learning Solution(16 centers), Teamlease Services Ltd(4 centers), EdServe(3
centers), CIDC(3 centers), TOPS(3 centers), New Horizon India Pvt Ltd(3 centers), Kohinoor Technical Institute
Pvt Ltd(2 centers), Centum(1) have started training centers. Currently 11 proposals have been approved for
SDCs with prominent industrial players and training institutes like Apollo Tyres, ABG Shipyard and
Ahmedabad Textile Industry’s Research Association (ATIRA).

These initiatives are a significant step towards garnering higher private participation in the vocation
education stream and reducing the burden on Government in capacity building to cope up with the increasing
demand for skilled professionals in the state. Performance details of these schemes from the date of
inception are given in the table 93.

No of training programs No of trainers

Scheme
conducted till date skilled till date
Extension centers/Skill Upgradation Centers(SUCs)
at GIDC estates, ITI premises, industrial clusters, 156 4282
industrial parks, SEZs, investment regions
Skill Development Centers(SDCs) 98 2123

Promoting Industrial Participation in Education and Training

Government of Gujarat has initiated promotional scheme through Center for Entrepreneurship Development
(CED) for running Short Term Bridge Courses in PPP mode. This scheme provides interested industrial players
with options to either run existing courses or implement special programs in partner institutes. Currently

93
CED Gujarat

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

seven PPP initiatives have been approved with players including General Motors, Tata Motors Pvt Ltd and
Powai Labs. Performance status of the scheme till date is presented in the table 94
No of training programs conducted No of trainers skilled till
Scheme
till date date
Short Term Bridge Courses
5 110
under PPP mod

Introducing Flexible Curriculum:

State has implemented measures to provide flexibility in curriculum selection for students across levels of higher
education
• Introducing Choice Based Credit System (CBCS) allowing students to choose courses as electives from
different streams in UG/PG programs
• Introducing CoE in vocational education targeting multi skilled workforce suitable for the current industry
needs
• Active Learning Methodology(ALM)- Student centric practical learning approach in teaching at higher
education institutions

Improving Quality of Education:

State Government in Gujarat has initiated various measures aimed at enhancing the quality of learning at higher
education institutes like
• Introducing ICT in teaching and learning processes in classrooms through initiatives like SANDHAN
• Introduced Academic and Administrative Audit (AAA) to monitor the quality of higher education institutions
• Initiated implementation of TEQUIP-I in technical education institutions
• University Granth Nirman Board- Providing quality educational resources in local languages at affordable
prices
• Setting up of GEIC(Gujarat Educational Innovations Commission) with district, block and cluster level
cascading structure integrating schools with higher education to promote the innovation in education

Improving Employability of Students

Employability enhancement measures through initiatives like UDISHA (Universal Development of Integrated
Employability Skills through Higher Education Agencies) and finishing school, language training programs
(SCOPE) are undertaken by the state Government.
• Initiated in 2008 UDISHA is targeted to improve employability of students in higher education institutes
across Gujarat by organizing career development programs, training for the clubs through faculty incharges
• Technoseva and Viswakarma Yojana provide earning opportunities to students by engaging them in social
sector projects in rural and urban areas
• SCOPE- Targeted to train 5 lakh youth in English proficiency over a period of 5 years through PPP and
education institutions

94
MHRD Statistics 2012

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

• Started in 2008 emPower provides basic computer training to youth in schools, higher education institutions,
ITI s/ ITPs and also through employment exchanges, KVKs (Kaushal Vikas Kendras) and PPP. Initiative has
trained over 3.3 lakh youth till 2012
• Finishing School and Life Skills programs under Gujarat Knowledge society

Inclusion measures in education

Government has ensured special focus on improving accessibility of education and training for disadvantaged
sections on regional, social and gender basis
• Special training programs for girls in schools through Gujarat Knowledge Society in collaboration with
training partners like IL&FS, NIIT and HCL.
• Girl Child Education Program providing free education to girls in technical education institutions.
• Tuition fee waiver for students from economically backward communities in Technical Education.
• Developing community colleges for skill development.
• Setting up of Kaushalya Vikas Kendras in rural areas for skilling local youth on livelihood trades.

Institutional Collaboration

Special thrust has been given to improving opportunities for inter institute collaborations through the use of ICT.
Some of the initiatives include
• Anchor Institutes initiative through CED providing financial assistance to support research and faculty
training in respective sectors. So far, six Anchor Institutes have been selected under the scheme in
Engineering and Auto, Gems & Jewellery, Textile, Garment & Apparel, Plastic and Packaging, Chemical and
Infrastructure. A review committee headed by IIT Gandhinagar is set up to monitor the performance of the
anchor institutes. Across sectors, around 400 training programs have been conducted training over 10,000
trainers/students till date.
• Mission Mode Implementation initiative to promote inter collage collaboration has been initiated in 2009.
State/district/zonal level networks are crated to conduct faculty training, knowledge sharing and research

6.5.5. Challenges in the Current Education System

Demand-Supply Gap:

Successful implementation of universal education programs at school level has triggered the need to expand higher
education facilities across India, and more specifically in Gujarat, which has witnessed a steep raise in school
enrollments over the last decade. While the higher education capacities have registered significant growth,
considering the low base of higher education institutes, gaps in the educational system continued to exist. Capacity
gaps and affordability are key reasons for drop outs. A measure of the spread of higher education is the Gross
Enrolment Rate (GER). GER is an index which measures the enrolment in higher education of the population in the age
group of 18-24. GER scenario in Gujarat is on par with of the national average as per 2007-08 estimates. However, if
we compare the GER of other countries like China - 22 per cent, Brazil-73 per cent, UK-59 per cent and USA-82 per
cent, Gujarat has a long way to improve on this front through strategic interventions in capacity building to augment
private participation.

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

A view of the current enrollment status across levels of education would provide a picture of emerging capacity gaps
over the next decade or so. Current primary enrollments (5 years) in Gujarat standing at 58 lakhs would indicate that
in the next decade when this age group moves into the stage of higher education, there would be only opportunities
for 8.9 lakhs, depriving the other students of higher education access. It would suggest that current capacities can
match a GER of only 15.35 by the end of the next decade. This is a serious concern faced by a majority of the states in
India. Considering the need to create trained manpower for growing industries and to develop Gujarat into a
knowledge economy, significant capacity expansion is required in higher education. On conservative estimates, if the
GER targets for India (30% by the end of 12th plan period 2012-17) have to be matched, current education
infrastructure in the state has to nearly be doubled by 2017.

Figure 22: Enrollments in Gujarat across Education Levels 95

Low Penetration of Vocational Education:

Vocational education can play the role of bridging the skill gap. The vocational educational system in Gujarat needs
significant growth in order to match the standards of some leading countries that focus on vocational education like
Germany, Singapore and China.. The state should emphasize improving the vocational education infrastructure.

Regional imbalances in Capacities:

Concerns of inclusion across regions are central to the expansion of education and training in Gujarat as is the case
with other states in India. Historically, private institutions have focused on urban regions while in rural areas it is
predominantly Governments that drive the education system. Low affordability for private education in rural areas is
the key reason for limited interest from private players. Government policies on capacity creation have been
traditionally based on population prorate basis in a region. This has resulted in limited capacities across rural areas
leading to fewer graduating students due to either non-enrolment in higher education or high drop-out rate at the
school level. A comparison of vocational education capacities in the state would show that density of vocational
infrastructure measured as number of seats available for 1000 people is high in the districts of Navsari, Bharuch,
Sabar Kantha, Gandhinagar and low in Porbandar, Surat and Bhavnagar. Level of private participation is low in The
Dangs, Navsari, Porbandar and Jamnagar districts. Capacity expansion in vocational education and augmentation of

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

private participation has to initiate region specific initiatives considering the current level of variations among the
districts. Details of district wise variations in vocational training infrastructure are presented in the table.

Table 11: Vocation Education Capacities in Gujarat

No. of ITI/ Seat NSDC Partners Vocational

Penetration Region
ITCs/VTP Capacity Institutes Capacity Training. Density*
Navsari 15 6,125 4.60
Bharuch 21 6,256 3 886 4.03
Sabar Kantha 47 8,382 5 87 3.45
High
Gandhinagar 29 4,666 2 26 3.36
Mahesana 37 6,377 3.14
Panchmahals 45 7,488 3 247 3.14
Kheda 31 6,803 5 188 2.96
Junagadh 63 8,051 1 28 2.94
Dohad 38 5,770 2 221 2.71
The Dangs 1 600 1 45 2.66
Amreli 18 3,940 2.60
Surendranagar 27 4,356 2.48
Medium
Tapi 7 1,930 2.39
Kachchh 19 4,712 2.25
Vadodara 48 9,168 4 143 2.21
Patan 12 2,952 2.20
Jamnagar 17 4,656 2.16
Anand 29 4,230 2 24 2.02
Valsad 11 3,319 3 173 1.95
Banas Kantha 32 5,676 1 80 1.82
Rajkot 36 6,920 1 43 1.82
Ahmedabad 61 12,141 24 1926 1.68
Low
Narmada 6 932 2 156 1.58
Bhavnagar 28 4,346 1 21 1.51
Surat 30 7,750 1 20 1.27
Porbandar 3 560 0.96
Gujarat 711 138,106 61 4,314 2.36

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6.6. Demand-Supply Gap Analysis for the State

Demand supply gap based on assessment of existing training infrastructure in comparison to human resource
demand, highlights opportunities for implementing a suitable skill development strategy for the state. While the
approach can be used for estimating the needs of a decade, considering the possibility of changes in training
infrastructure and employment prospects, the current study has analyzed the demand supply gap for a five year term.
Estimation of demand supply gap over XII plan period indicates the significance of Gujarat as an employment hub for
the workforce in semi skilled category, considering the high level of industrial growth to provide employment
opportunities to the semi skilled workforce. Human resource surplus is observed in skilled category considering the
current level of industrial growth. However, the future state of industrial development could potentially change the
scenario. Considering the limitations to the inclusiveness of informal and unorganized sector employment, the
minimally skilled segment would be a human resource deficit category with potential opportunities for migration from
other states. For the XII plan period, the state needs to focus on improving the current state of training infrastructure
for semi skilled workers both in formal and informal segments along with undertaking suitable measures to promote
entrepreneurship among skilled workers considering the surplus scenario in the segment.

Assessment of existing training infrastructure in comparison to human resource demand over XII Plan period,
indicates significant capacity expansion requirement for semi-skilled category through vocational education. Supply
Demand-Supply gap estimates indicates a need to improve participation rates in semi-skilled categories along with
providing vocational skills to high skilled and minimally skilled labour force to ensure adequate considering the high
level of employment opportunities in semi skilled category within the state. Further, employability of highly skilled
graduates is an issue owing to misalignment of courses with industry needs and poor quality of institutes. Issue of
low employability of graduates has to be addressed through suitable up skilling considering local industrial
requirements in order to ensure availability of industry ready manpower.

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Figure 23 A: Gujarat Supply Demand Gap Estimations for 2012-17

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Figure 23 B: Gujarat Supply Demand Gap Estimations for 2017-22

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

District level variations in Demand-Supply gap indicate the need for geography specific initiatives to address the
skilling issues. Category wise Demand-Supply gap estimations for the districts of Gujarat are presented in the table
below.

Table 12: District Wise Variations in Demand- Supply Gap for Gujarat

District Wise Supply- Demand Gap in Gujarat (2012-22)

2012-17 2017-22
Region Skilled Semi Minimally Total Skilled Semi Minimally Total
Skilled skilled Skilled skilled

Gujarat (1,637) 939,383 116,890 915,489 (58,092) 651,365 457,174 1,067,007

Kachchh 1,326 46,100 48,944 (42,733) 159 35,366 51,289 86,813

Banaskantha (11,355) 14,068 (4,332) (1,620) (11,883) 5,133 14,094 7,350

Patan (2,896) 9,002 (11,270) (5,168) (3,955) 4,337 (1,064) (685)

Mahesana (2,179) 29,969 713 28,505 (4,499) 20,438 17,465 30,379

Sabarkantha (5,973) 19,336 (8,942) 4,416 (6,665) 12,358 5,972 11,664

Gandhinagar 13,215 55,324 3,643 72,175 8,775 41,340 12,861 62,980

Ahmadabad 4,134 139,893 66,247 210,268 (2,250) 105,400 91,935 195,078

Surendranagar (2,834) 17,243 (5,317) 9,089 (4,307) 10,729 6,240 12,663

Rajkot 792 64,624 15,601 81,018 (2,509) 49,060 33,892 80,440

Jamnagar 133 28,472 481 29,083 (1,683) 20,918 11,759 30,996

Porbandar 1,267 11,576 (4,617) 8,224 (57) 7,654 (6) 7,590

Junagadh (5,777) 22,715 (10,811) 6,127 (8,707) (11,297) 9,375 14,568

Amreli (2,225) 14,117 (12,924) (1,034) (3,816) 8,686 (1,025) 3,846

Bhavnagar (332) 41,645 1,848 43,161 (3,765) 27,723 19,139 43,094

Anand (3,610) 16,009 (11,734) 658 (5,505) 8,751 2,950 6,192

Kheda (4,462) 28,316 (1,653) 22,199 (6,279) 19,037 16,015 25,223

PanchMahals (6,614) 15,347 (16,840) (8,109) (7,379) 8,708 151 1,474

Dohad

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

(7,713) 8,767 (14,398) (13,345) (6,874) 4,179 (1,754) (4,448)

Vadodara 8,650 94,358 12,656 115,664 3,542 72,254 34,736 110,530

Narmada 238 7,741 (6,554) 1,427 (550) 5,050 (1,819) 2,681

Bharuch 3,791 40,887 23,383 68,062 1,114 31,324 32,788 63,183

The Dangs 1,910 7,493 (724) 8,678 1,748 5,951 585 8,285

Navsari (2,818) 16,674 (4,885) 8,972 (4,941) 10,175 6,168 11,404

Valsad 864 44,916 26,047 71,826 1,043 35,984 29,330 66,351

Surat 12,523 132,032 55,495 200,046 550 98,239 89,986 188,772

Tapi 172 6,451 (8,654) (2,036) (520) 4,222 (3,070) 634

*(Indicates excess supply)

6.7. Skill Training through Government Endowments

Skill development is one of the national priorities for the Government of India. In the Central Government, around 20
Ministries are closely involved with skill development initiatives either through setting up their own skill training
capacity (done by Ministry of Labour and Employment, Ministry of Higher Education etc) or by providing per-trainee
costs of training for specific target populations (done by Ministry of Housing and Urban Poverty Alleviation, Ministry
of Rural Development, Ministry of Minority Affairs etc). While some schemes target state level training mandates on
a population prorate basis others would be linked to sectoral development of respective ministries. Detailed summary
of key Government schemes with training mandate is presented in the table 96.

Table 13: Scheme Training Details-Gujarat

Ministry under Training Scheme Details

Central Govt.
Building and Other Skill Training for Construction Activity based on the availability of Construction Cess with
Construction Workers' the State Government, of which around 50% can be deployed in manpower training
Welfare Cess initiatives.
Ministry of Agriculture Skill Training for agri and allied sectors based on national targets of the sector and state’s
employment share in the agriculture and allied activities.

Ministry of Labour The state is expected to receive funds based on national targets set for Modular
Employability Scheme under Skill Development Initiative Scheme, proportionate to its
contribution to secondary sector activities.
Ministry of Scheme wise national targets for software export industry including setting up of

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National Skill Development Mission

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Communication and IT DOEACC Centers/RIELIT and up gradation of existing centre, Special Manpower
Development Programme in the area of VLSI Design and related software (SMDP-II).
Estimations are based on national targets and the state’s aspiration to sectoral growth in
IT/ITEs.
Ministry of MSME National MSME manpower development targets apportioned to state based on state’s
employment share in MSME segment.
Ministry of HUPA Physical training targets from an estimated allocation of INR 38.86 crores towards skill
training component STEP-UP under Swarna Jayanthi Shahari Rozgar Yojana.
Ministry of Textiles Manpower training targets under Integrated Skill Development Scheme for Textiles and
Apparel Sector including Jute and Handicrafts, apportioned based on state’s contribution
to textile sector.
Ministry of Higher Manpower training targets apportioned based on state’s population in higher education
Education age group.

Ministry of Health and Scheme training targets for ASHA Training, Personnel trained on IMNCI, Doctors trained
Family Welfare on LSAS, Doctors trained on EMoC, ANMs/SNs/LHVs trained as SBA and Navjat Shishu
Suraksha Karyakram (NSSK); apportioned based on state’s share of national population.
Ministry of Women Training targets under Women Empowerment Scheme apportioned based on female
and Child Development population in the state.
Ministry of Road Training targets under “Refresher training to drivers” apportioned based on state’s share
Transport and in national highway length.
Highways
Ministry of Social Training targets apportioned based on state’s share of Scheduled Caste population.
Justice and
Empowerment
Ministry of Food Training targets apportioned based on state’s share of contribution to food processing
Processing sector.
Ministry of Chemicals Training targets apportioned based on state’s share of employment in manufacturing
and Fertilizers segment.
Ministry of Tourism Estimated funding of INR 1.54 Cr towards flagship“ Hunar se Rozgar” scheme, based on
the state’s contribution to tourism industry.

Ministry of Minority Training targets under Leadership Development of Minority Women apportioned based on
Affairs state’s share of minority population.
Heavy Industries Training targets apportioned based state’s employment share in manufacturing segment.

National level scheme funding targets demarcated for Skill Development are apportioned to Gujarat considering the
following parameters-population, industrial output, land, economic output and social composition of population.
Based on indicated cost per trainee for the identified schemes state level scheme wise training potential has been
estimated for the period 2012-17. During the five year period 2012-17 major schemes have a potential to train nearly

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19 lakh people with SJSRY, SDI-MES and Agricultural training program accounting for a major share of this. Details
of scheme/department wise training targets are presented in the table 97.

Key Schemes with Training Mandate Estimated Potential Training

Capacity in Gujarat (2012-17)
SJSRY 375,000
SDI-MES 300,000
M/O Agriculture 250,000
SGSY 200,000
Using Construction Cess 190,000
ISDS – Textiles 125,000
Others 115,000
D/O IT 110,000
ART - M/o Tribal Affairs 50,000
SCA under TSP - M/o Tribal Affairs 30,000
Hunar Se Rozgar 25,000
CSR Funds from Central PSUs 25,000
Credit Scheme 105,000

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National Skill Development Misssion, KPMG Analysis

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6.8. Youth Aspirations in Gujarat

Having estimated the skill requirements from an industry perspective, it is important to understand the career
aspirations of youth, who would be the ultimate beneficiaries of employment generation in the state.

Preference for Employment Vs Entrepreneurship: Several factors such as entry level salaries, work environment,
job location, and socio-cultural factors, seem to influence youth preferences towards employment. While certain
communities have established preferences for entrepreneurship in skilled/minimally skilled businesses, low entry
level salaries in industries is another key factor influencing youth preference. Youth in semi urban and rural areas
have expressed higher level of inclination towards entrepreneurship than their urban counterparts due to above
mentioned reasons.

Migration: Migration is linked to socio-regional factors in Gujarat. While youth from certain communities have
aspirations for migrating to US, UK and Middle Eastern countries for jobs, others from industrially less advanced
areas are open for migrating to Surat, Ahmedabad, Kutch and Bhavnagar within Gujarat for better employment
prospects. While industrial belts have the potential to absorb and employ migrants, preference for centrally located
regions like Ahmedabad, Vadodara clusters is high over far away regions like Kutch. Low entry level salaries across
industries is another key factor against migration from even areas with limited organized employment potential
where people would get engaged in self employment otherwise.

Choice of Education and Training Stream: Economic background of an individual is one of the key factors
influencing the program chosen for study. Along with economic background, awareness level about the programs,
typically acquired through family members/seniors, is another major influencing parameter. Students from weaker
sections of the society, both economically and socially, prefer vocational courses over higher education programs.
Vocational streams are considered as strenuous especially in the mechanical sector, which is not preferred by girls
considering the nature of employment involved in these sectors.

Significant influence by peers and family in career decisions: Students in both graduate and ITI categories are
significantly influenced by their peer circle and family members, in their preference for courses. While ITIs in Gujarat
have started awareness programs in schools and during the time of standard X results, career decisions are still
influenced by elders in their families.

Preference for government jobs over private: Youth seem to show higher inclination for jobs in Govt/Govt
Undertaking Sectors like Railways, GEB, IOCL, NTPC and other PSUs. However, considering the limited opportunities
in these segments, private sector jobs offering high job security (Large Corporate like Tata, Reliance, Adani), are the
preferred option for youth in private sector as the salary differences in private sector are not very prominent across
industrial for blue collar jobs.

Awareness of career opportunities high in industrialized districts: Awareness of career opportunities seemed
correlated to the level of economic progress of the districts. Higher awareness levels were observed in students from
the economically developed districts like Ahmedabad, Gandhinagar, Surat and Kutch compared to those from
backward districts like The Dangs, Navsari and Panchmahals. ITI students had moderately high awareness of the job

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opportunities in the government sector. Government initiatives like Computer facilities, Job fairs, UDISHA and SCOPE
have helped in enhancing the awareness about career opportunities among youth across sectors.

Preference for white collar jobs: Youth from vocational/higher education have expressed strong aspiration for
white collar jobs over blue collar jobs. Amongst ITI students from streams that would cater to the shop floor, the
preference for normal working conditions is high due to health and safety reasons.

Higher than market level salary expectations from first job: Youth in the state seem to have marginally higher
expectations than market level salaries.

Sectoral Preference for Employment: Based on interactions with youth on a sample study across the districts of
Gujarat, sectors taken for manpower estimations were classified as high, medium and low aspiration categories
based on their preference to work. Regional considerations along with work place environment and salaries have
significant influence on preferences for sectors. Summary of sector-wise preferences from youth across the state are
presented in the table 98.

Sector Aspiration To work Sample Characteristics

Primary Sector
Cultivation Low Farming communities/ Minimally
skilled Youth
Allied Activities Medium Farming communities/ Minimally
skilled Youth
Secondary Sector
Agro & Food Processing Medium Vocational Training Students
Textile & Apparel Low Vocational Training Students
Wooden Products & Furniture Low Vocational Training Students
Paper & Paper Products Medium Vocational Training Students
Chemical & Chemical Products Medium Vocational Training Students
Rubber & Plastics Low Vocational Training Students
Mineral Processing & Fabrication Low Vocational Training Students
Electrical & Electronics High Vocational Training Students
Manufacturing of Engineering Goods High Vocational Training Students
Manufacturing of Construction Material Low Vocational Training Students
Drugs and Pharmaceuticals Medium General Youth
Construction Medium General Youth

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FGDs in Gujarat, KPMG Analysis

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Energy High General Youth

Services Sector Medium General Youth

Trade, Retail Low General Youth
Transportation & Logistics Medium General Youth
IT-ITES High General Youth
Hospitality & Tourism Medium General Youth
Banking & Financial Services High General Youth
Healthcare High General Youth
Education & Training Medium General Youth

Skill Development Attractiveness Matrix for the State:

Skill Development matrix based on incremental employment potential in a sector mapped against preferences of
skilled youth for a career in the respective sectors highlights opportunities for implementing sector level skill
development initiatives. Skill Development Matrix for Gujarat indicates a clear gap between student aspiration and
jobs available in the state. Sectors such as Textile, Construction and Retail need to work on building a positive image
and providing the right working environment/perks to become aspirational sectors and attract talent. Traditional high
employment generating organized sectors like IT/ITES, Healthcare, Banking & Financial Services, Energy and
Education etc, have high employee work preference. Stakeholders in skill development & training need to consider
the youth aspirations while drafting policies/strategies. Skill Development Matrix for the state is presented below.

Figure 24: Skill Development Matrix for Gujarat 99

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KPMG Analysis

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

6.9. Institutional Recommendations for Skill Development in the State

6.9.1. Recommendations for the Government of Gujarat

1. Systematic mechanisms to identify and assist potential school dropouts transition into vocational
programs

Scheme Objectives:

• In Gujarat, currently less only one-sixth of students move on to Higher Education. Students likely to opt out
of school education should be proactively identified and brought into the fold of the vocational education
system.

• Integrate vocational courses in school curriculum to equip students with industry relevant skills, as well as
skills for starting businesses and self-employment. This will also ensure reduction in dropout rates.

• Establish Systems for Integrated Learning with Industry through Multi Level (4 Levels) learning structure,
where Level 1 and 2 trainings are provided in school, and supplemented by Level 3 and 4 trainings in
industry.

Implementation:

• Class 9th To 12th should be the focus, considering low transition levels from secondary to higher secondary
(38%).

• Districts with high capacity gaps in secondary and higher secondary systems- Anand(86%), Bhavnagar(78%),
Kutch(77%), Porbandar(73%), Banas Kantha (73%)and Narmada (72%), should be the focus

• Focus on sectors that are high preference as well as high growth sectors of Gujarat (Auto-Auto Components,
Banking & Financial Services, Hospitality & Tourism, Organized Retail, IT-ITES, and Transportation &
Logistics).

• Upon successful completion of Level 1 and Level 2, candidates can join industry for Level 3 and Level 4
learning within the industry, or opt for self employment opportunities.

Scheme Enablers:

• Vocational modules for schools need to be standardized to ensure uniform learning outcomes for Level 1 and
2 courses in schools. Local Industry collaborations can be established for Level 3 and Level 4 trainings to
students.

• Considering the shortage of faculty for vocational education, the School Education Department can
fund/create systems for Training Trainers for vocational modules In Schools, through ITIs and industry.

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• Support for Entrepreneurship of trained candidates through tie-ups with Financial Institutions (Banks,
NBFCs).

2. Develop the Gujarat Skill Development Mission in line with its charter, as a focal agency for skilling

 Define the strategic road-map for skill-development in the state for the next decade (2012-17, 2017-22), in
close consultation with other key departments, and central skill development agencies such as the NSDC,
considering the district level skill gap projections. Strategic roadmap would outline the skill development
agenda for the state:

 Vocational training capacity building (sector/district level)

 Fund allocation plans

 Proposed systems to monitor the effectiveness of various training initiatives

 Schemes/ structures to garner private participation in the state

 Decentralize implementation and monitoring of skill development initiatives through dedicated SDM
chapters at sector level (For focus sectors- Transportation & Logistics, IT/ITES, Auto-Auto components,
Banking & Financial Services, Retail, Healthcare and Hospitality & Tourism) and district level. Suggested
representations:

 Anchor Institutes, SSCs, training institutes, industry bodies and key industries for sector level SDM
chapters

 Local industries, training institutes, representatives of Government departments for district level
SDM chapters

 Leverage on SSC certificated courses and standards that are being developed centrally, especially in the
high aspiration/ high potential focus sectors (mentioned above), and facilitate adoption in the state

3. Focus on Enhancing Skill Training Capacities in Districts With Low Penetration of Vocational
Education

 Focus on districts with low penetration of vocational education(seat capacity per population) - Kutch,
Vadodara, Patan, Jamnagar, Anand, Valsad, Banas Kantha, Rajkot, Ahmedabad, Narmada, Bhavnagar, Surat
and Porbandar for capacity expansion through public investments/ special schemes to promote private
participation through PPP

 Revalidate the existing PPP schemes considering the challenges in implementation of existing schemes
under

 Industries Department (CED)

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 Labour & Employment Department

 Other Departments focused on specific industry sectors (Textile, IT-ITES etc.,)

 Fast-track the NSDC/SSC affiliated partners to setup training in these districts using subsidized government
infrastructure (GIDC etc), by waiving off detailed due-diligence, as NSDC partners are pre-approved through
rigorous due diligence

4. Setting up Anchor Institutes in more focus industries and broadening their scope

Considering the high potential / aspirational value for sectors of Transportation & Infrastructure, IT-ITES, Retail,
Healthcare, Banking & Financial Services, Hospitality & Tourism, new anchor institutes can be setup for research and
faculty training. They can champion adoption of SSC standards & curriculum, and localize it as required (language
etc).

4. Engagement with sector skills councils

Given the high potential as well as aspirational value of the sectors of Transportation & Infrastructure, IT-ITES, Retail,
Healthcare, Banking & Financial Services, Hospitality & Tourism, the state government can engage with the sector
skills councils set up, or in the process of being set up, in these sectors. NSDC has been creating capacity in sector
skills councils, and the state government can have an engagement with them

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6.9.2. Recommendations for Industry

1. Aligning CSR Goals (especially mandatory 2% CSR requirement) towards skilling, and play an active role in PPP
initiatives. Share annual plan of recruitment with government and industry nodal agencies for skilling

2. Support training institutes in development/delivery of programs

a. Excess production capacity/equipments can be shared with institutes during lean production
hours/shifts

b. Support Training of Trainers (TOT) allowing skilled employees to be trainers for fixed no. of hours, for
ITI faculty, school faculty etc involved in vocational training

c. Policy to encourage apprenticeships and internships of vocational & ITI students

d. Provide used infrastructure at subsidized costs to academic institutions

e. Support in providing level 3 and level 4 training for students with level 1 and level 2 certifications at
schools (Refer to recommendations on vocational programs in schools)

f. Participation in development of curriculum for specific trades not available in ITIs/VTPs right now

3. Align recruitment policies to ensure hiring certified manpower from Govt/SSC accredited training institutions

4. Invest in up-skilling of existing manpower and formulate formal HR policies and mechanisms to encourage
employees to train in institutions

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6.9.3. Recommendations for NSDC

1. Developing Curriculum and Standards for Focus Sectors/ Vocational Courses in Schools

o SSCs can facilitate development of standardized curriculum that can be designed into four levels
(as per practice in some developed countries), where the first two levels are adopted at 9th-12th
levels of school education, and the next two levels are provided in industry. The districts of Gujarat
where the Higher Education transition is low (Anand, Bhavnagar, Kutch, Porbandar, Banas Kantha
and Narmada), are of particular focus for implementation of the first two levels of courses within
schools

o SSCs can develop certification standards for high growth/aspirational value sectors of the state -
Transportation & Infrastructure, Auto & Auto Components, IT-ITES, Retail, Healthcare, Banking &
Financial Services, Hospitality and Tourism.

2. Promoting Private Sector Participation in Focus Sectors & Supply Clusters

NSDC Encouraging NSDC Partners to enhance training capacities in the state by focusing on

o High growth sectors of the state - Transportation & Logistics, Auto & Auto Components, IT-ITES,
Banking & Financial Services, Tourism & Hospitality, Healthcare and Retail

o Districts with lower penetration of training infrastructure coupled with high industry growth -
Kutch, Vadodara, Rajkot, Ahmedabad, Bhavnagar, Surat

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6.9.4. Recommendations for Training Organizations

1. Focus on high growth/ aspirational value sectors where student acquisition is easier -Transportation &
Logistics, IT-ITES, Banking & Financial Services, Healthcare, Auto & Auto Components, Tourism &
Hospitality and Retail

2. Create capacities in districts with lower penetration of training infrastructure - Kutch, Vadodara, Patan,
Jamnagar, Anand, Valsad, Banas Kantha, Rajkot, Ahmedabad, Narmada, Bhavnagar, Surat & Porbandar.
Districts where low penetration of training infra is coupled with high industry growth, are high potential for
future growth of skilling

3. Explore scheme-based training potential to address the skilling needs of under privileges/BPL population -
key schemes with high training potential are SJSRY, MES, SGSY, Textile Department and Construction Cess

4. Emphasize offering accredited programs (SSC certifications) to ensure industry acceptance for certifications

5. Leverage existing infrastructure to build optimal delivery models (ITI premises, GIDC space where offered,
industrial space during lean production hours etc)

6. Build industry linkages in areas of development and delivery of training programs- placements, curriculum
formulation, apprenticeships, faculty training

7. Engage credible local networks (SHGs, NGOs, student groups such as UDISHA groups) for student
acquisition

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PART- III

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

6.10. District Level Skill Gap Studies

6.10.1. Skill Gap Study of District of Ahmedabad
6.10.1.1. Socioeconomic Profile
6.10.1.1.1. Administrative Profile

Ahmedabad, located in the central part of Gujarat is a key

district. It encompasses Ahmedabad city which is a capital
and seventh largest urban agglomeration in India. It shares
border with Mehsana, Gandhinagar, Bhavnagar, Kheda,
Surendranagar districts on three sides and Gulf of Cambay Ahmedabad
in the south. As per 2011 census estimates, Ahmedabad
has a geographical spread of 8087 sq.km. Administratively
the district is divided into 11 talukas and 649 villages 100.
Talukas in Ahmedabad district are Ahmedabad City,
Dascroi, Dholka, Bavla, Dhandhuka Ranpur, Barwala,
Sanand, Viamgam, Mandal and Detroj-Rampura.

6.10.1.1.2. Demographic Profile

Ahmedabad district forms heart of economic development of Gujarat with significantly high human resource
potential. As per 2011 census estimates, it has a population of around 72.08 lakhs 101contributing to 11.9 percent 102 of
overall state population. It is among the most densely populated regions in the state with a population density of 890
persons per sq.km 103 in comparison to the state average of 308 persons per sq.km 104. Influx of migrants into industrial
clusters of Ahmedabad from within and outside Gujarat is a key reason for growth of population that has lead to
higher population density. It is predominantly urban with an 84.05 percent 105 share of urban population in the overall
district population. Further, district population is unevenly distributed across the talukas leading to higher human
resource potential in some talukas compared to others. Analysis of Taluka wise population distribution as per 2001
Census indicate that Ahmedabad City and Daskroi regions alone have potential to contribute to over 80 percent 106 of
human resource potential of the district. Taluka wise population distribution details are presented in the table.

100
Census 2011 Statistics
101
Census 2011 Statistics
102
Census 2011 Statistics
103
Census 2011 Statistics
104
Census 2011 Statistics
105
Census 2011 Statistics
106
Census 2001Statistics, KPMG Analysis

99
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Regional Distribution of Population in the District 107

Region Contribution to District Population Density
Population (2001) (Persons per Sq.km- 2001)
Ahmadabad City 72.6% 13875
Daskroi 7.9% 700
Dholka 3.7% 211
Sanand 3.3% 246
Viramgam 3.0% 195
Bavla 2.3% 174
Dhandhuka 2.3% 76
Detroj-Rampura 1.3% 220
Ranpur 1.3% 177
Barwala 1.2% 138
Mandal 1.1% 138

Ahmedabad District has a relatively lower composition of female population with a gender ratio of 903 females per
1000 males 108 in comparison to state average of 918 females per 1000 females 109. Gender biased migration of
workforce is a key reason for the biased population composition. Contribution of scheduled categories to the overall
population is not significant indicating that the inclusive growth in Ahmedabad could be achieved through higher
focus on female centric initiatives.

Overall literacy rate in the district standing at 86.65 percent (as per 2011 census) 110 is better than the state average
of 79.31 percent 111. With a literacy rate gap of 16.73 percent 112 between urban and rural areas as against overall
state average of 14.58 percent 113, district is facing with issues of continuing regional variations in literacy that needs
to be addressed through specific focus on rural areas. However, male-female literacy gap of 12.15 percent 114 in the
district is significantly lower than the than the gap of 16.5 percent 115 for Gujarat indicating the higher levels of gender
inclusion in education attainment.

6.10.1.1.3. Economic Profile

Ahmedabad is an industrially developed district in Gujarat. Improvements in industrial and social infrastructure
coupled with conducive industrial policies by the state government have boosted the growth of economic activity in
the district. Currently there are 12 Industrial Estates, 12 Special Economic Zones, and 10 Industrial Parks operating in
the district, witnessing significant investments over the years. Textiles, chemicals, industrial machinery, metal
products, pharmaceutical, engineering goods, plastics, electrical appliances & electronics, auto & auto components

107
Census 2001Statistics, KPMG Analysis
108
Census 2011 Statistics
109
Census 2011 Statistics
110
Census 2011 Statistics
111
Census 2011 Statistics
112
Census 2011 Statistics
113
Census 2011 Statistics
114
Census 2011 Statistics
115
Census 2011 Statistics

100
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

are key industrial segments within the district. Several business conglomerates such as Adani Group, Reliance
Industries, Nirma Group of Industries, Arvind Mills, Claris Life Sciences, Cadilla Pharmaceuticals, Shell, Vadilal
Industries Ltd., Rasna, Bosch, Rexroth (Germany), Stork and Rollepaal (Netherland) are present in the district.

Considering the infrastructure and location advantage, district has emerged as one of the key destinations for large
scale investments in Gujarat. As per the IEM, LIO, LOP investment details, the district has a total of 563
commissioned 116 large scale industrial units attracting an investment of INR 9473 Cr 117 along with 336 units 118 under
implementation with an investment of INR 6,328 Cr 119. Ahmedabad District has identified locations for the
development of industrial, logistics hubs along the stretch of DMIC (Delhi Mumbai Industrial Corridor) between
Ahmedabad and Dholera. Proposed Dholera Port City has significant investment opportunities in industrial and port
logistics sectors spurring the industrial development in nearby region.

Analysis of regional distribution of investments in Ahmedabad district indicates that industrial development is
concentrated around Sanand, Ahmedabad City, Bavla, Dholka and Daskaroi Talukas while other regions including
Viramgam, Ranpur, Mandal, Dhanduka, Barwala, and Detroj- Rampura still remain backward in terms of industrial
development. Over the recent years the State Government has initiated measures to enhance industrial growth in
backward talukas across the state through suitable incentives leading to an increased investment potential of these
regions over the next decade. New GIDC estates were proposed to be set up in Sanand, Mandal and Daskroi talukas.
Details of region wise large scale investments in Ahmedabad district till 2012 is presented in the table.

Large Scale Investment Scenario In Ahmedabad 120

Region Commissioned Under Implementation
No. of Units Investment No. of Units Investment
( INR Cr) ( INR Cr)

Sanand 185 3703 104 7336

Ahmedabad City 237 3591 147 4585

Bavla 23 321 23 2169

Dholka 43 915 20 1145

Daskaroi 47 212 22 543
Viramgam 19 673 6 57
Ranpur 3 5 3 63

116
IEM, MSME Part-II Data till 2012-13
117
IEM, MSME Part-II Data till 2012-13
118
IEM, MSME Part-II Data till 2012-13
119
IEM, MSME Part-II Data till 2012-13
120
IEM, MSME Part-II Data till 2012-13

101
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Mandal -- -- 1 31
Dhandhuka 3 5 -- --
Barwala -- -- -- --
Detroj-Rampura -- -- -- --
Not Classified
2 48 10 6419
District Total
562 9473 336 6328

Rapid growth of industrialization in the district has widened the scope for establishment of ancillary units in MSME
segment. Ancillary Industries in Mechanical sectors such as auto parts, spares, rubber parts, plastics components
and parts for auto industries are prominent in the district. As per the MSME investment Part–II statistics, overall
there are 38,917 units 121 operating in the district attracting an investment of INR 1657827 lakhs 122 in 2012. MSME
segment in Ahmedabad is dominated by manufacturing industries in terms of both volume and investments with
limited number of registered service enterprises indicating the high level of unorganized activity in services segment.
Investment outlook in MSME segment of Ahmedabad district is presented in the table.

MSME Investment Scenario in Ahmedabad 123

Category of Industries Number of Units Investment In Lakhs
Micro 35113 866569.4
Small 639162.5
3660
Medium 152095.5
144
Total 38917 1657827
Manufacturing Sector Units 32782 1422989
Service Enterprises 6135 234837

Among the manufacturing based MSME units, textile, manufacturing of engineering goods, mineral processing,
fabrication, chemical and chemical products, agro and food processing are prominent categories in terms of number
of units and investment volume. Composition of MSME manufacturing units and investments are presented in the
chart.

121
IEM, MSME Part-II Data till 2012-13
122
IEM, MSME Part-II Data till 2012-13
123
IEM, MSME Part-II Data till 2012-13

102
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

MSME Manufacturing Sector Scenario in the District 124

Composition of MSME Composition of Investments in
Manufacturing Units MSME Manufacturing Units
Agri-Allied
Auto-Auto Activities
0.4% Mining & Agri-Allied Mining &
Components Auto-Auto
Quarrying Activities Quarrying
0.7% Components
0.4% 0.6% 0.3%
1.1%
Agro & Food
Construction Agro & Food
Processing Manufacturin Construction
0.5% Processing
3.1% g of 0.6% 4.9%
Engineering
Goods
Manufacturing 22.2%
of Engineering Textile & Textile &
Goods Apparel Apparel
24.0% 29.8% 26.2%
Eletrical &
Eletrical & Eletronics
Eletronics 3.2% Mineral
3.5% Prosessing &
Mineral Wooden
Wooden Fabrication Products &
Prosessing & 15.9%
Fabrication Products & Furniture
19.2% Furniture 2.9%
3.7%
Paper & Chemical & Paper &
Paper Chemical & Rubber & Chemical Paper
Rubber & Products Chemical Plastics Products Products
Plastics 1.1% Products 3.7% 1.5%
16.7%
3.6% 10.3%

While the level of organized investments in services enterprises are low as evident from the MSME Part-II statistics,
sectors of whole sale and retail trade, Printing and Publishing, IT-ITES, Transportation & Logistics and Hospitality
have seen considerable investments in the district. Composition of MSME service enterprises and investments are
presented in the chart.

MSME Services Sector Scenario in the District 125

Composition of MSME Service Composition of Investments in MSME
Enterprises Service Enterprises
Hospitality and
Tourism IT- ITES Hospitality
1.1% 6.8% and Tourism IT- ITES
1.8% 6.8%

Other
Services Whole sale & Other
46.8% Retail Trade Services Whole sale &
29.0% 44.2% Retail Trade
25.5%
Fianancial Fianancial
Services Services
Printing & 0.6% 0.5%
Printing &
Publishing Transportation Publishing Transportatio
12.2% 3.5% 19.1% n
2.1%

124
IEM, MSME Part-II Data till 2012-13
125
IEM, MSME Part-II Data till 2012-13

103
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Ahmedabad District has a well developed infrastructure conductive for the growth of the services sector. Connectivity
by road, rail and air transport system with rest of the country and other parts of the State has resulted in significant
activity in transpiration and logistics sector. National Highway 8 connects Ahmadabad with prominent cities in state
like Gandhinagar, Vadodara, Surat, Anand, Navsari and Mumbai. Ahmadabad – Vadodara expressway with a stretch
of 95 km 126 has boosted the growth of road transportation between the two cities. Ahmedabad district is well
connected through railway network with a total railway length of 355 km and as high as 60 railway stations. Sardar
Vallabhbhai Patel International Airport, connecting Ahmedabad with major cities in India and international
destinations like USA, Europe and Middle East, has supported the industrial and commercial growth in the region.
Proposed Dholera port city with significant opportunities for port trade has further boosted the logistics sector in the
district.

IT-ITES is a key growth sector in the district attracting large scale investments into Software Development, Business
Process Outsourcing (BPO), Knowledge Process Outsourcing (KPO) segments. Currently district has four notified IT
SEZs- Million Minds SEZ (Chharodi), City Gold Realties Pvt. Ltd.( Sanathal), Adani Township & Real Estates Co. Pvt.
Ltd. (Dantali), 3rd Eye Voice SEZ(Oganaj) indicating a promising growth potential for IT/ITES sector of Ahmadabad.

Developing urban infrastructure and increase in disposable household income has supported the growth in organized
retail sector. Ahmedabad city, especially, has witnessed significant growth in retail space in the recent years.

Penetration of financial services measured as access to bank branches is highest for Ahmedabad district compared to
other districts in Gujarat. As of March 2012, with 874 scheduled and commercial bank branches, district has 8,247
people being served per bank branch. District accounts for highest share of deposits and credit among all districts
with INR 86,903 Cr 127 deposits and INR 2, 13,447 Cr credit 128 as of March 2012 129. While the growth in number of
bank branches is moderate, deposits and credits have witnessed a growth of 22.5 percent and 23.6 percent CAGR
respectively during 2007-12. High growth of banking business has resulted in proportional increase in financial
intermediation activities. Considering the technological operations in banking sector, it would substantially reduce
core banking operations. Future growth in the sector is expected to be driven by financial intermediation providing
significant direct/indirect employment opportunities.

Business and tourism led hospitality growth has become a common phenomena across India. Ahmadabad being a
commercial city, has been witnessing significant growth in hospitality industry across segments like lodging, fast-
food, restaurants. Adding to the growth of hotel and restaurant industry from commercial and industrial activity,
tourist attractions of Adalaj Vav (Stepwell), Calico museum (Textile museums), Science City and Nalsarovar Bird
Sanctuary have boosted the growth of tourism based hospitality industry. Event based tourism strategy for festivals
like Uttarayan (kite festival) and Navratri – Garba (folk dance) have helped the growth of the segment.

126
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
127
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
128
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
129
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Growth in social sectors like healthcare and education is predominantly driven by Government thrust. However,
raising income levels, increasing accessibility & affordability of private healthcare have contributed to the growth of
private participation. Ahmadabad, with specialty and multi-specialty hospitals like Krishna Heart Centre, Gujarat
Cancer Society, Apollo Hospital & Sterling Hospital, is increasingly becoming a destination for healthcare tourism
Growth in healthcare tourism would be largely limited to metropolitan cities with the rural areas still depending on
public expenditure for healthcare. The district has 3646 allopathic medical institutions across categories- CHCs,
PHCs, Dispensaries and Hospitals. Due to low levels of healthcare infrastructure and medical professionals in rural
areas, the district would need significant expansion of healthcare facilities to achieve inclusive growth healthcare
targets for 2022.

Ahmadabad has medium to low rainfall conditions with a mix of North Gujarat (Dehgam, Dascroi & Sanand talukas),
Bhal & coastal Area (Dholka and Dhandhuka talukas) and North West Zone (Viramgam and Daskroi) agro climatic
zones. Owning to the soil characteristics, majority of district geographical land is cultivable 130 (65.3 percent of total
area). Cotton, Paddy, Bajra, Castor and Pulses are key crops grown in the district. Being a low rainfall witnessing
region, district has limited spread of irrigation facilities with agricultural irrigation predominantly dependent on tube
wells. Spices, Brinjal, Tomato and ber are some important horticulture crops grown in the district with Flowers grown
over a small area in Dholka taluka.

Diary is a key agri-allied activity in the district. Ahmedabad has a population of 2,16, 941 cows 131 and 3, 43,699
buffalos 132 as per 2007 animal census. Goatery is another prominent animal husbandry in the district. Availability of
large pasture lands indicates significant potential to promote animal husbandry in the district. Fishery has become
prominent source for livelihood for people in Dhandhuka Taluka.

Ahmedabad district has 12480 hectares of Forest predominantly in Dhandhuka, Barwala, Dascroi and Viramgam
talukas. Forestry based livelihood opportunities are prominent in these regions of the district.

6.10.1.2. Current State of Workforce Distribution in the District

Ahmedabad as an industrial and commercial hub has made significant progress towards reducing dependency on
agriculture. The total worker participation rate is lower than state average due to low female participation.
Employment in secondary and tertiary sectors is nearly three fourths of the overall economy. Low female participation
is however a main concern for the district as is the case with most of the urban regions in India. Efforts towards
higher levels of gender inclusion in education and employment are expected to improve the situation over the next
decade. Comparison of workforce distribution scenario in Ahmedabad and Gujarat is presented in the table.

130
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
131
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
132
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Workforce Distribution in the District 133

Percentage of Employment
Region Labour Force Workforce Primary Secondary
Participation Participation Sector Sector Tertiary Sector
Ahmedabad 51.84% 34.55% 26.59% 27.58% 45.83%
Gujarat 59.27% 41.95% 59.34% 15.86% 24.8%

Organized industrial employment in registered factories and service enterprises has contributed to significant share
of secondary sector employment in the district. MSME remained a major contributor in terms of employment
generation over the years. MSME accounts for 3.39 lakhs 134 employment opportunities in the district while large
scale industrial units accounted for 2.76 lakhs 135 in commissioned and under implementation categories. Details of
category wise industrial employment as per 2012 statistics are presented in the table.

Organized Employment in Ahmedabad 136

Category of Industries Employment
Large Scale Industries (Commissioned + Under Implementation) 276980
MSME Category 339623
Manufacturing Units 281253
Service Enterprises 58370
Total 616603

Regional and sectoral analysis of large scale industrial employment indicates a clear concentration of employment in
key sectors within specific taluka regions. Ahmedabad and Sanand talukas account for a majority share of
employment in this category. Textile, Chemicals, Mineral processing & fabrication, pharmaceuticals, Auto,
engineering goods are major employment generating segments within the district. A regional and sectoral break up of
large scale industrial employment is presented in the chart.

133
KPMG Analysis
134
IEM, MSME Part-II Data till 2012-13
135
IEM, MSME Part-II Data till 2012-13
136
IEM, MSME Part-II Data till 2012-13

106
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Large Scale Industrial Employment Scenario in the District 137

Regional Distribution of Large Scale Composition of Employment in Large Scale
Industrial Employment in Ahmedabad Industries

Pharmaceutical Agro & Food

Viramgam s Other
4% Manufacturing Processing
8% 7%
Daskaroi 9%
Not Classified Communication
3% 3% 1%
Dholka
Transportation
6%
Sanand Hospitality 2%
Bavla 20% and Tourism
6% 1%
Textile &
Construction Apparel
Material 33%
1%

Manufacturing
Ahmedabad of Engineering
City Goods Eletrical &
58% 12% Eletronics
4% Paper & Paper
Mineral
Chemical & Products
Prosessing &
Chemical 2%
Fabrication
10% Products
11%

Among the manufacturing units in MSME segment textile, pharmaceutical, chemical product manufacturing units
have accounted for a majority of the employment in all categories of industries. Basic metal working units, furniture
making enterprises have contributed significantly to the micro industries category. Whole sale & retail trade, IT-ITES,
publishing & printing, hospitality are major employment generating sectors within tertiary enterprises. Details of
sector wise industrial employment in manufacturing and services MSME units as per 2012 statistics are presented in
the chart.

137
IEM, MSME Part-II Data till 2012-13

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 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

MSME Employment Scenario in the District 138

Composition of Employment in MSME Composition of Employment in MSME

Manufacturing Units Service Enterprises
Hospitality and
Auto-Auto
Agri-Allied Mining & Tourism
Components IT- ITES
Activities Quarrying 1.8%
1.3% 8.2%
0.4% 0.5%
Agro & Food
Construction Processing
1.4% 3.9%

Manufacturing Whole sale &

of Engineering Textile & Retail Trade
Goods Apparel 19.1%
22.1% 26.0%
Other Services Fianancial
Eletrical & 56.2% Services
Eletronics 2.9%
3.6%
Mineral Wooden Transportation
Prosessing & Products & 1.8%
Fabrication Furniture
19.0% 4.9% Printing &
Paper & Chemical & Publishing
Paper Chemical 10.1%
Rubber &
Plastics Products Products
3.6% 1.2% 12.2%

6.10.1.3. Human Resource Requirement Projections in Ahmedabad (2012-22)

Incremental manpower requirement in the Ahmedabad district has been estimated based on several parameters such
as investments trends, national level benchmarks on industrial growth across sectors, state manufacturing policy
targets, performance of state against economy targets, national level inclusion targets for certain sectors,
employment generation potential of various sectors based on labour elasticity and market based insights from
discussions with industries in Ahmedabad. Based on the analysis of current state of workforce distribution and
potential employment opportunities in various sectors incremental manpower requirement in key primary, secondary
and tertiary segments is estimated for the periods 2012-17 and 2017-22. Further, manpower requirement is classified
into skilled, semi skilled and minimally skilled categories considering the present level of employment in these
categories for respective sectors and analysis of expected developments in the industry that would lead to significant
realignment of the categories. A detailed approach for manpower estimations is presented in the appendix and
specific factors for estimation are discussed below.

Primary Sector:

Considering the increasing level of farm mechanization and sharing agricultural land usage, the period between 2012
and 2022 would witness a net out flux of workforce from the agricultural activities. Agricultural workforce
displacement is expected to be significant in marginal workers category. A significant portion of the workforce would
engage in agri-allied activities depending on resource availability and migration constraints. Incremental manpower
requirement for the agri- allied activities is estimated considering the following parameters

• Current level of employment in agricultural activities (farmers, agricultural labourers)

138
IEM, MSME Part-II Data till 2012-13

108
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

• Estimated displacement factors for agricultural workforce based on Planning Commission Projections for
2012-17 and 2017-22 periods and analysis of level of mechanization and allied factors in Gujarat
• Employment potential in agri-allied activities in the district considering the level of involvement in the
respective activities and regional conditions

Manufacturing Sector:

Manpower requirement in the secondary sector is driven by increase in investments and output growth. Various
factors including analysis of manufacturing, sub sector policies, investment trends, availability of resources, are
considered for the incremental manpower estimation in different subsectors of manufacturing in the district. Human
resource requirement projections for manufacturing sub sectors in the district are estimated considering the following
parameters

• Manufacturing growth targets for Gujarat for 2012-17 and 2017-22 (Increasing secondary sector share in
GSDP to 32% by 2017)
• Identifying key growth sub segments within the district based on study of existing industrial base, primary
interactions
• Estimation of growth targets for the district based on analysis of investment trends in the district in
comparison to the state, available infrastructure, policy thrust on key manufacturing segments identified for
the district
• Labour elasticity factors in the potential sectors for the district

Tertiary Sector:

Employment growth in some of the services sector is driven by Government thrust in terms of budgetary allocations to
achieve inclusion targets in education, healthcare and banking. Other segments including hospitality and tourism,
financial intermediation, communication, retail depend on the level of economic activity in the region resulting in high
or low spending capacity of population. Also segments like IT-ITES, transportation& logistics are driven by
investments into infrastructure and manpower. Hence human resource requirement projections for services sub
sectors would have specific approaches depending on the growth drivers for the segments in the district. Detailed
methodology for estimation of manpower in services sub segments is presented in the appendix.

Based on the analysis of socio economic conditions, investment scenario and resource availability, incremental
manpower requirement has been estimated for the following sectors.

Primary Sector

• Agriculture & Allied Activities( Horticulture, Sericulture, Animal Husbandry and Fisheries)

Secondary Sector

• Textile and Apparel

• Manufacturing of Engineering Goods( Including Auto & Auto Components)
• Chemical & Chemical Products(Including Petro Chemicals)
• Drugs & Pharmaceuticals

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

• Agro & Food Processing

• Electrical and Electronics
• Mineral Processing & Fabrication
• Construction Material(Cement, Ceramics)
• Rubber & Plastics
• Paper & Paper Products
• Infrastructure(Construction)

Tertiary Sector

• IT-ITES
• Transportation & Logistics(including port based logistics)
• Banking & Financial Services
• Organized Retail
• Hospitality & Tourism
• Healthcare
• Education & Training

Incremental manpower requirements for the priority sectors in Ahmedabad are presented in the table 139.

Incremental Human Resource Requirements in the District 2012-22 140

Sector 2012-17 2017-22
Skilled Semi Minimally Total Skilled Semi Minimally Total
Skilled skilled Skilled skilled
Agriculture &
NA NA 14146 14146 NA NA 11846 11846
Allied Activities
Agro & Food
481 1924 2405 4811 430 1721 2151 4303
Processing
Textile & Apparel 2823 11293 14116 28232 2525 10101 12626 25251
Wooden Products
299 1196 1496 2991 268 1070 1338 2675
& Furniture
Paper & Paper
139 558 697 1394 125 499 624 1247
Products
Chemical &
Chemical 1143 4570 5713 11425 1022 4088 5110 10219
Products
Rubber & Plastics 231 926 1157 2314 207 828 1035 2070
Mineral
Processing & 387 1548 1935 3871 346 1385 1731 3462
Fabrication
Electrical &
353 1411 1763 3526 315 1262 1577 3154
Electronics
Manufacturing of 1883 7531 9414 18827 1684 6736 8420 16840

139
KPMG Analysis
140
KPMG Analysis

110
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Engineering
Goods
Manufacturing of
Construction 28 110 138 275 25 99 123 246
Material
Drugs and
308 1231 1539 3077 275 1101 1376 2752
Pharmaceuticals
Misc.
321 1282 1603 3205 287 1147 1433 2867
Manufacturing
Construction 1599 3197 27178 31974 1430 2860 24309 28598
Trade, Retail 2582 3873 19367 25822 2823 4234 21171 28227
Transportation &
3778 59991 71374 135143 3091 49084 58397 110572
Logistics
IT-ITES 12000 30000 NA 42000 10000 24000 NA 34000
Hospitality &
3229 4844 24218 32290 2583 3875 19374 25832
Tourism
Banking &
3570 10710 NA 14280 2499 7497 NA 9996
Financial Services
Healthcare 942 4239 NA 5180 1255 6274 NA 7529
Education &
2390 16092 NA 18482 3586 9655 NA 13241
Training

Skill requirements in key growth sectors have been analyzed based on industry interactions to understand the
detailed manpower needs. Sector level skill interventions are indicated in the section below 141.

Secondary Sector (Manufacturing, Construction & Energy):

• Textile & Apparel:

Category of Skills Skills

Core Skills Ring frame operator, weaver, processing operator (CDR, BDR, Stuntor), Bar-
coding machine operator

Electrician, Wireman, Fitter

Allied Skills
The industry has high attrition rates in operator roles (semi skilled) owing to
Skills with acute shortage extreme working conditions.

• Auto & Auto Components

Subsector Skills

Auto Assembling and Component Core Skills: Motor Mechanic, Diesel Mechanic, Fitter, Welder, Fabricators

141
KPMG Analysis

111
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Manufacturing
Allied Skills: Electrician, Wireman

Acute Skill Deficits: Specialized welders in Arc welding who can work in
extreme conditions on advanced fabrication equipments

Auto/Industrial Manufacturing Core Skills: Shop floor technical workers

Allied Skills: Maintenance(Mechanical, Electrical, mechatronics, automobile

electronics)

Acute Skill Deficits: Painting, Body Building (spot welding), Sheet Metal
Work, Machining & Casting.

• Chemical & Chemical Products:

Category of Skills Skills

Core Skills Mechanical, Electrical skills

Allied Skills Instrumentation, boiler attendant,AOCP, lab attendants

Skills with acute shortage MSc/BSc chemists, Electronic Automation with understanding of PLC systems

Services:
• Banking & Financial Services:
Category of Skills Skills
Core Skills Knowledge on core banking/mobile/internet platforms

Allied Skills Sales & Marketing

Skills with acute shortage insurance underwriting, claims management

• Transportation :
Category of Skills Skills
Core Skills Heavy vehicle drivers, logistics management

Allied Skills Administrative, computer data management

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 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Skills with acute shortage Scheduling and logistics planning

• Healthcare :
Category of Skills Skills
Core Skills MBBS Doctors, MD/MS specialists, Physician Assistants/Compounders,
Radiologists, Dialysis technician, Respiratory technician and OT Assistants &
Perfusionist.
Allied Skills Lab technicians, pharmacists

Skills with acute shortage Physiotherapists, Biomedical Instrumentation technicians

• Organized Retail:
Category of Skills Skills
Core Skills Shop floor executives/supervisors, computer operator

Allied Skills Transportation & logistics staff

Skills with acute shortage Store management, stock planning

6.10.1.4. Human Resource Supply Scenario in the District

6.10.1.4.1. Estimation of Labour Force Supply
District-wise incremental supply has been determined based on net addition of labour force. Gross addition to
working age group population during 2012-17 and 2017-22 were determined based on Census 2011 age wise
population accounting for death rate and life expectancy normalized against population corrections in 2017 and 2022.
Applying labour force participation rates, considering the historical trends, gross additions to labour force were
estimated for the two time periods. Accommodating for retirement from the existing pool of labour force, net supply
to labour force has been estimated. Supply estimations for the district during 2012-17 and 2017-22 periods is
provided in the following table.

Ahmedabad, being a commercial hub, would emerge as a key region from demographic growth perspective
witnessing significant inward migration. The district is set to become the largest human resource base in Gujarat by

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

2022. High proportion of incremental supply indicates the extent of focus that the district would require for skill
development initiatives. Details of human resource growth estimations during 2012-22 are presented in the table.

Period Gross Addition to Working Gross Addition to Labour Net Addition to Labour
Age Population Force Force-Supply

2012-17 621,668 285,647 192,997

2017-22 599,899 273,742 149,849

6.10.1.4.2. Education and Training Potential in the District

The district has around 2376 K12 schools with a 41.41 percent share of private schools 142. Amongst all districts,
Ahmedabad district has the highest percent share of private schools out of the total number of schools. However, the
net enrolment ratios at both primary level and upper primary level are lesser than the state averages.

Total Enrollments Primary Level Upper Primary Level Secondary Level Higher Secondary
in 209-10 (Std I-V) (Std VI-VIII) (Std IX-X) Level (Std XI-XII)
Ahmadabad 571,571 207,119 262,964 96,665

Comparison between the district’s enrolment statistics and respective state averages indicate that net enrolment
ratio at both primary and upper primary level need significant improvement. 143.

Region Net Enrolment Ratio (Primary Level) Net Enrolment Ratio (Upper Primary Level)
Ahmadabad 75.0 41.1
Gujarat 85.4 50.7

In the vocation education segment, the district lags significantly in terms of vocational training capacity and
marginally in terms of private participation in comparison to state average 144..

Region Number of Seat Capacity Vocational Training Private Sector

ITIs Capacity Density (Seats Participation in
Per 1000 Population) Vocational Training
Ahmedabad 61 12,141 1.68 24%
Gujarat 711 138,106 2.29 26%

The capacity expansion in vocational education needs to be focused on the tehsils of Barwala, Ranpur, Dhanduka,
Ahmedabad City, Detroj- Rampura, Dholka and Viramagam to bring them on par with the rest of the district tehsils 145.

142
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat
143
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat
144
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat
145
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Taluka Seat Capacity Vocational Training Capacity Private Sector

Density(Seats Per 1000 Population) Participation in
Vocational Training
Mandal 300 3.68 52%
Daskaroi 1936 3.4 0%
Bavla 549 3.28 79%
Sanand 682 2.85 60%
Barwala 128 1.53 0%
Ranpur 144 1.53 0%
Dhandhuka 248 1.49 0%
Ahmedabad City 7445 1.42 24%
Detroj-Rampura 128 1.33 0%
Dholka 340 1.28 46%
Viramagam 241 1.13 10%
District Total 12141 1.68 24%

In the higher education segment, the district has leading institutions such as Indian Institute of Management,
Ahmedabad (IIMA), National Institute of Design, Nirma Education and Research Foundation, National Institute of
Fashion Technology, Indian Institute of Packaging, Mudra Institute of Communications, Ahmedabad, Centre for
Environment Planning & Technology, Gujarat National Law University, Applications Centre of the Indian Space
Research Organization (ISRO) and Apparel Export Promotion Council (AEPC) training centers. Besides these, the
district in all has 74 colleges including engineering, medical, arts, science and law colleges.

6.10.1.4.3. Demand-Supply Gap Analysis for the District. 2012-22

Incremental skill category wise supply for the periods 2012-17 and 2017-22 in the district are estimated based on net
output from higher education institutions (skilled), vocational training(semi skilled), minimally skilled (school
education) for periods 2012-17 and 2017-22 considering the LPR estimations for the districts in 15-59 age group and
retirement from existing labour force.

Based on the skill category human resource demand projections for 2012-22 and net supply potential, category wise
Demand-Supply gap estimations for the district are presented in the table below

Category Wise Demand-Supply Gap in the District (2012-22)

2012-17 2017-22
Sector Skilled Semi Minimally Total Skilled Semi Minimally Total
Skilled skilled Skilled skilled
Demand-Supply
Gap 4,134 139,893 66,247 210,268 (2,250) 105,400 91,935 195,078
*(Indicates excess supply)

6.10.1.4.4. Skill Development Potential through Government Endowments

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

According to KPMG estimates, based on the potential district budgetary allocation for various central government
schemes, over 2.29 lakh people in total can be trained incrementally during the five year period of 2012-17. Ministry
of MSME, Ministry of Labour, Ministry of HUPA and Ministry of Communication & IT, are expected to contribute to a
significant share of the training. Manpower training targets are focused on meeting the industrial and services
sectors - with significant opportunity for private training providers to explore scheme based training. Also, being a
predominantly urban district accounting for significant share of state urban population, livelihood enhancement
targeting urban BPL families funded by Ministry of HUPA under SJSRY, is also an area of opportunity for private
training providers.

Government Funded Incremental Training Capacity (2012-17) - Ahmedabad District 146

SJSRY 88362

SDI-MES 35812

Using Construction Cess 23837

ISDS - Textiles 19967

Others 13728

D/O IT 13131

Credit Scheme 12534

M/O Agriculture 8288

SGSY 6631

Hunar Se Rozgar 3234

CSR Funds from Central PSUs 2984

ART - M/o Tribal Affairs 388

SCA under TSP - M/o Tribal Affairs 233

6.10.1.5. District Specific Recommendations

Considering human resource potential and manpower requirements of the industry, the proposed action plan for
stakeholders in skill development has been recommended:

Stakeholder Action Points for Stakeholders

146
KPMG Analysis

116
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

NSDC Focus on increasing participation from national/regional private skill training providers
with focus on the following regions having high organized employment potential
• Sanand, Ahmedabad City, Bavla, Dholka and Daskaroi Talukas

Focus on sectors with high employment potential in the district

• Services: Transportation & Logistics, Organized Retail, Banking & Financial Services,
Hospitality & Tourism, Construction
• Manufacturing: Textile, Auto- Auto Components, Chemical & Chemical Products
District Provide skill training in conjunction with private skill training providers using government
Administration endowment training schemes in sectors of
• Animal Husbandry
• Fisheries in Dhandhuka Taluka
• Forestry based livelihood activities Dhandhuka, Barwala, Dascroi and Viramgam
talukas
Focus on improving industrial training infrastructure in the regions of
• Barwala, Ranpur, Dhanduka, Ahmedabad City, Detroj- Rampura, Dholka and
Viramagam
Private Skill Focus on placement driven training for youth from high human resource potential regions
Training of Ahmedabad City and Daskroi
Providers
Focus on sectors with high employment potential in the district
• Services: Transportation & Logistics, Organized Retail, Banking & Financial Services,
Hospitality & Tourism, Construction
• Manufacturing: Textile, Auto- Auto Components, Chemical & Chemical Products
Corporate Provide training for skills in those sector where the requirement for absorption within the
corporate is higher such as
• IT/ITES
• Construction
• Retail
• Transportation & Logistics
• Auto- Auto Components
• Textile
Initiate and support modular employability skill training in collaboration with private
players/Government
Create placement linkage opportunities in training institutions

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

6.10.2. Skill Gap Assessment of Junagadh District

6.10.2.1. Socioeconomic Profile
6.10.2.1.1. Administrative Profile

Junagadh District, located in the

Saurashtra region of Gujarat is spread
across 8848 sq.km 147. It shares a border
with Porbandar, Amreli and Rajkot
districts. Administratively Jamnagar is
divided into 14 talukas and 1029 villages 148
with Jamnagar city as the district capital.
Junagadh, Una, Keshod, Talala, Bhesan,
Malia, Mangrol, Manavadar, Mendarda,
Visavadar, Veraval, Vanthali, Kodinar and
Sutrapada are talukas in the district.
Junagadh

6.10.2.1.2. Dem
ographic Profile

Junagadh district is a moderately high human resource potential region in Gujarat state. The district has a total
population of 27.42 lakhs 149 (as per 2011 Census) accounting for 4.5 percent 150 of the overall state population. It has
witnessed a subdued population growth over the last decade, accounting for a decadal growth rate of 12.01
percent 151 between 2001 and 2011 in comparison to state average of 19.17 percent 152 during the same period. A
significant portion of district population lives in rural areas accounting for 65.95 percent 153 of the total population.
Population spread in the district is low with a density of 310 persons per sq.km 154 as opposed to the state average of
308 persons per sq.km. Analysis of population distribution in the district as per 2001 census indicates higher human
resource potential in the talukas of Junagadh, Una and Patan-Veraval with Patan-Veraval having highest
concentration of population. Details of regional distribution of population in the district are presented in the table 155.

147
Census 2011 Statistics
148
Census 2011 Statistics
149
Census 2011 Statistics
150
Census 2011 Statistics
151
Census 2011 Statistics
152
Census 2011 Statistics
153
Census 2011 Statistics
154
Census 2011 Statistics
155
Census 2001Statistics, KPMG Analysis

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Regional Distribution of Population in the District 156

Region Contribution to District Population Density
Population (2001) (Persons per Sq.km- 2001)
Junagadh 16% 554
Una 14% 210
Patan-Veraval 11% 777
Kodinar 8% 369
Mangrol 8% 304
Keshod 7% 316
Malia 6% 269
Visavadar 5% 147
Talala 5% 134
Manavadar 5% 216
Sutrapada 5% 375
Vanthali 4% 248
Bhesan 3% 168
Mendarda 3% 182

Gender composition of district population is better than the state average. As per 2011 census, the district has a
gender ratio of 952 females per 1000 males 157 as against the state average ratio of 918 females per 1000 males 158.
Contribution of scheduled categories to the overall district population is lower than the state level proportion. As per
census 2001 estimates, reserved categories account for 10.39 percent 159 of overall district population in comparison
to the state average of state percentage of 21.85 percent 160.

Education attainment levels in the district are relatively lower than the state average. As per 2011 estimates, the
district has registered an overall literacy rate of 76.88 percent 161 as against state average of 79.31 percent 162. It has
made significant progress towards regional inclusion through mass education programs while gender inclusion
remains a major concern. Urban-rural literacy gap in Junagadh is estimated to be 9.36 percent 163 as against the 14.58
percent 164 for overall state. On the other hand, the district has a male-female literacy gap of 18.21 percent 165 as
against 16.5 percent 166 for Gujarat state. Lower level of overall literacy and inadequate gender inclusion stresses the
need for gender specific approach towards implementation of mass education initiatives. Increasing focus on literacy

156
Census 2001Statistics, KPMG Analysis
157
Census 2011 Statistics
158
Census 2011 Statistics
159
Census 2001Statistics, KPMG Analysis
160
Census 2001Statistics, KPMG Analysis
161
Census 2011 Statistics
162
Census 2011 Statistics
163
Census 2011 Statistics
164
Census 2011 Statistics
165
Census 2011 Statistics
166
Census 2011 Statistics

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

would create demand for education and training facilities within the district to support the economic growth of the
region.

6.10.2.1.3. Economic Profile

Agriculture is the backbone of the Junagadh district economy where 70% of the population is engaged in primary
sector, 22% in secondary sector and 8% in tertiary sector. The major of business Junagadh includes, mineral based
industries such as, cement & soda ash, agriculture based industries like edible oil, groundnut units, solvent plants
and oil cakes and marine based industries like fish processing units and frozen fish. Fish processing industry is one of
the major contributors to economic development of the region. Processed fishes from Junagadh are exported to
Singapore, China, Hong Kong, Japan, Dubai and other parts of the world. The industrial giant Hindustan Lever Ltd.
has a frozen fish packing unit in Maliya taluka of the district. Presence of huge reserves of Limestone, makes the
cement industry a thriving industry sector in the district. Major players such as Ambuja cement and Gujarat Siddhi
cement have their presence in the district.

Analysis of regional distribution of investments in Junagadh district indicates that the industrial development is
concentrated in Kodinar, Sutrapada and Veraval Talukas while other regions still remain backward in terms of
industrial development. Over the recent years State Government has initiated some measures to enhance the
industrial growth in backward talukas of Junagadh, Mangrol and Una through suitable incentives leading to an
increased investment potential of these regions over the next decade. Details of region wise large scale investments
in Junagadh district till 2012 is presented in the table 167.

Large Scale Investment Scenario In Junagadh 168

Commissioned Under Implementation
Region Investment Investment
No. of Units No. of Units
( INR Cr) ( INR Cr)
Veraval 22 349 2 5
Junagadh 12 23 4 839
Kodinar 7 944 3 1558
Manavadar 5 11 1 30
Bhesan 2 12
Keshod 2 54 2 9
Mangrol 2 2 4 2655
Sutrapada 2 923 4 10830
Malia 1 4
Vanthali 1 2
Mendara 1 123
Una 4 7734
Not Classified 2 48
District Total 56 2324 27 23831

167
IEM, MSME Part-II Data till 2012-13
168
IEM, MSME Part-II Data till 2012-13

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 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Moderate growth of industrialization in the district has widened the scope for establishment of ancillary units in
MSME segment. As per the MSME investment Part–II statistics, overall there are 899 units 169 operating in the
district attracting an investment of INR 47,462 lakhs 170 in 2012. Investment outlook in MSME segment of Junagadh
district is presented in the table.

MSME Investment Scenario in Junagadh 171

Category of Industries Number of Units Investment In Lakhs
Micro 718 13304
Small 177 29901
Medium 4 4257
Total 899 47462
Manufacturing Sector Units 782 44581
Service Enterprises 117 2882

Among the manufacturing based MSME units, textile & apparel, manufacturing of engineering goods, mineral
processing & fabrication, chemical and chemical products are prominent categories in terms of number of units and
investment volume. Composition of MSME manufacturing units and investments are presented in the chart.

MSME Manufacturing Sector Scenario in the District 172

Composition of MSME Manufacturing Composition of Investments in MSME
Units Manufacturing Units
Auto-Auto Auto-Auto
Manufacturing of Components Agri-Allied Components
Mineral Eletrical & Manufacturing of
Engineering 5.8% Activities 0.9%
Prosessing & Eletronics Engineering Agri-Allied
Goods 6.1% Mining & Fabrication 0.6% Goods Activities
6.4% Quarrying 5.3%
7.1% 10.6%
5.6%
Eletrical &
Eletronics Rubber &
Mining &
2.2% Plastics
Chemical & Quarrying
2.9%
Mineral Chemical 3.1%
Prosessing & Products
Fabrication 3.9%
9.1%
Paper & Paper
Rubber & Products
Plastics 3.1%
8.4%&
Chemical Wooden
Chemical Agro & Food Agro & Food
Products &
Products Processing Furniture Processing
6.6% 34.8% 0.5% 56.7%
Paper & Paper
Products Textile &
2.0% Wooden Apparel Textile &
Products & 10.5% Apparel
Furniture 5.1%
2.3%

169
IEM, MSME Part-II Data till 2012-13
170
IEM, MSME Part-II Data till 2012-13
171
IEM, MSME Part-II Data till 2012-13
172
IEM, MSME Part-II Data till 2012-13

121
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

While the level of organized investments in services enterprises are low as evident from the MSME Part-II statistics,
sectors of whole sale and retail trade, Printing and Publishing, IT-ITES and Hospitality have seen considerable
investments in the district. Composition of MSME service enterprises and investments are presented in the chart.

MSME Services Sector Scenario in the District 173

Composition of MSME Service Composition of Investments in
Enterprises MSME Service Enterprises
Hospitality
and Tourism
6.0% IT- ITES
5.1%
Hospitality IT- ITES
and Tourism 1.6%
15.7%
Other
Services
46.8% Whole sale &
Whole sale & Retail Trade
Other Retail Trade 20.7%
Services 22.2%
53.0%
Fianancial Printing &
Services Publishing
12.7% Fianancial
0.9% Services
Transportatio 2.1%
Transportatio
Printing & n
n
Publishing 0.9%
0.3%
12.0%

Junagadh is home to a vibrant tourist culture. The major tourism destinations in Junagadh include Gir National Park,
Mount Girnar, Kankai shrine, Talala and Kutiyana pilgrimage site for Muslims.

Complementing its robust agricultural base, Junagadh has several agricultural educational institutes relevant to the
space like the Junagadh Agricultural University, Central Institute of Fisheries Technology (CIFT) and National
Research Centre for groundnut.

The district has a medium penetration of medical institutions, with around 30,470 people per institution. It has 57
primary healthcare centers, 16 community healthcare centers and 11 dispensaries. Apart from the above, Junagadh
has K.J. Vyas General Hospital and also an Ayurvedic Regional Research Centre 174.

Junagadh district is well connected to all parts of Gujarat. The major road infrastructure includes a National Highway
8D connecting Junagadh with Rajkot and a National Highway 8E connecting it with Bhavnagar and Amreli. Junagadh
is also connected to cities like Ahmedabad, Rajkot and Somnath by rail. The city has a domestic airport connecting
the city with Porbandar and Mumbai. The district also has the Veraval port which has good road and rail connectivity.

173
IEM, MSME Part-II Data till 2012-13
174
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07

122
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Junagadh has 201 bank offices with a total bank credit amount of INR 2,529 Cr 175 and a total deposit amount of INR
6,606 Cr 176 as of Mar 2012 177. While the number of banks has increased at a CAGR of 6.0 percent 178 from 2007 to
2012, the amount of deposit and credit have increased at a CAGR of 19.2 percent and 17.3 percent respectively from
2007-2012 there by indicating the increasing presence of organized financial services.

Owing to the soil characteristics, majority of district geographical land is cultivable (61 percent of total area) with few
regions like Manavadar, Bhesan and Vanthali talukas even having about 80 percent 179 of their geographic area under
cultivation.

Being a low rainfall witnessing region, the district has limited spread of irrigation facilities with only 33 percent of
net cultivable area under irrigation. Some talukas have even lower irrigation facilities like Bhesan taluka with only 12
percent of cultivable land under irrigation. It presents significant opportunities for stakeholders for improving the
irrigation penetration in the region. Even within the irrigated area, dependence on open wells is high commanding up
to a 94 percent share of net irrigated area. Thus, it provides high potential for mechanizing open wells with pump.
Further there is an increasing need to promote micro irrigation and water management programs in the district.

Groundnut, Bajra, Pulses (Green Gram and Black Gram), Castor and Cotton are the five main Kharif Crops while
Wheat, Garlic, Cumin, Bajra and Gram are five key Rabi crops grown in the district. The ratio of area under Rabi and
Kharif is 0.62 indicating significant potential for improvement in multiple cropping patterns. The Main horticulture
crops include spices, fruits (mainly mangoes) and vegetables. Cow and buffalos are the main cattle varieties in
Junagadh with 481049 cows 180 and 371787 buffalos 181and a significant population of sheep and goat as well.
Availability of large pasture lands holds immense potential to promote animal husbandry in the district. Along with
strengthening animal husbandry activities among small and marginal farmers through advanced rearing training,
there is a need for integrating the animal husbandry with promotion of organic farming as well.

6.10.2.2. Workforce Distribution in the district

Junagadh is predominantly dependant on agricultural activities for livelihood generation with nearly 70 percent of
total workforce engaged in this sector. Considering the low level penetration of manufacturing sector at 8.7 percent
employment generation as against the state average of 15.86 percent, the district has potential to become a sourcing
hub for trained manpower. High manpower requirements in agrarian activities due to low output efficiency would

175
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
176
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
177
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
178
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
179
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
180
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
181
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

indicate significant under employment in this category. Comparison of workforce distribution scenario in Junagadh
and Gujarat is presented in the table 182.

Percentage of Employment
Region Labour Force Workforce Primary Secondary
Participation Participation Sector Sector Tertiary Sector
Junagadh 56.78% 40.88% 67.43% 8.7% 23.87%
Gujarat 59.27% 41.95% 59.34% 15.86% 24.8%

Registered factories and service enterprises have contributed to a little over 30 thousand 183 employment
opportunities within the district. While level of penetration of manufacturing activities is low, high proportion of
unorganized units is another key reason for low organized employment prospects in the district. Large scale units
contribute to over half of the overall manufacturing employment with Chemical, Food Processing, Textile, Cement and
Gypsum units as key segments.

Organized Employment in Junagadh 184

Category of Industries Employment
Large Scale Industries (Commissioned + Under Implementation) 24,491
MSME Category 17,022
Manufacturing Units 16,218
Service Enterprises 804
Total 41,513

Regional and sectoral analysis of large scale industrial employment indicates a clear concentration of employment in
key sectors within specific taluka regions. Veraval, sutrapada and kodnar talukas account for a majority share of
employment in this category. Agro food processing, textile, construction material are major employment generating
segments within the district. Regional, sectoral break up of large scale industrial employment is presented in the
chart.

182
KPMG Analysis
183
IEM, MSME Part-II Data till 2012-13
184
IEM, MSME Part-II Data till 2012-13

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Large Scale Industrial Employment in the District 185

Composition of Employment in Large Scale
Regional Distribution of Large Scale Industrial Industries
Employment

Bhesan Hospitality and

Tourism
4% Junagadh 4%
8% Keshod
2% Construction Agro & Food
Material Processing
25% 34%

Kodinar
Veraval 11%
47% Manufacturing
of Engineering
Mangrol Goods
3% Mendara 5%
3%
Mineral
Prosessing &
Una Chemical & Textile &
Sutrapada Fabrication
7% Chemical Apparel
11% 3%
Products 19%
10%

Among the manufacturing units in MSME, agro & food processing units have accounted for majority share of the
employment in all the categories of industries. Whole sale & retail trade, Publishing & printing, hospitality are major
employment generating sectors within tertiary enterprises. Details of sector wise industrial employment in
manufacturing and services MSME units as per 2012 statistics are presented in the chart.

185
IEM, MSME Part-II Data till 2012-13

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 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

MSME Employment Scenario in the District 186

Composition of Employment in MSME Composition of Employment in MSME
Manufacturing Units Service Enterprises

Eletrical & Auto-Auto Agri-Allied

Eletronics Components Activities Mining & Hospitality and
0.6% Manufacturing of 3.4% Quarrying Tourism
6.0%
Engineering 3.0% 11.8%
Mineral Goods
Prosessing & 7.6% IT- ITES
Fabrication 2.5%
5.1%
Chemical & Rubber &
Chemical Plastics
Products 2.7%
3.6%
Paper & Paper
Products
1.3% Whole sale &
Other Services Retail Trade
Wooden 59.2% 17.5%
Products &
Furniture Fianancial
1.0% Services
Agro & Food 0.9%
Textile & Processing
Apparel 61.5% Transportation
4.2% 0.6%
Printing &
Publishing
7.5%

6.10.2.3. Human Resource Requirement Projections in Junagadh (2012-22)

Incremental manpower requirement in the district of Junagadh has been estimated based on several parameters such
as investments trends, national level benchmarks on industrial growth across sectors, state manufacturing policy
targets, performance of state against economy targets, national level inclusion targets for certain sectors,
employment generation potential of various sectors based on labour elasticity and market based insights from
discussions with industries in Junagadh. Based on the analysis of current state of workforce distribution and
potential employment opportunities in various sectors incremental manpower requirement in key primary, secondary
and tertiary segments is estimated for the periods 2012-17 and 2017-22. Further, manpower requirement is classified
into skilled, semi skilled and minimally skilled categories considering the present level of employment in these
categories for respective sectors and analysis of expected developments in the industry that would lead to significant
realignment of the categories. Detailed approach for manpower estimations is presented in the appendix and specific
factors for estimation are discussed below.

Primary Sector:

Considering the increasing level of farm mechanization and sharing agricultural land usage, period between 2012 and
2022 would witness a net out flux of workforce from the agricultural activities. Agricultural workforce displacement is
expected to be significant in marginal workers category. A significant portion of the workforce would engage in agri-

186
IEM, MSME Part-II Data till 2012-13

126
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

allied activities depending on resource availability and migration constraints. Incremental manpower requirement for
the agri- allied activities is estimated considering the following parameters

• Current level of employment in agricultural activities(farmers, agricultural labourers)

• Estimated displacement factors for agricultural workforce based on Planning Commission Projections for
2012-17 and 2017-22 periods and analysis of level of mechanization and allied factors in Gujarat
• Employment potential in agri-allied activities in the district considering the level of involvement in the
respective activities and regional conditions

Manufacturing Sector:

Manpower requirement in secondary sector is driven by investments and output growth. Various factors including
analysis of manufacturing, sub sector policies, investment trends, availability of resources, are considered for the
incremental manpower estimation in different subsectors of manufacturing in the district. Human resource
requirement projections for manufacturing sub sectors in the district are estimated considering the following
parameters

• Manufacturing growth targets for Gujarat for 2012-17 and 2017-22 (Increasing secondary sector share in
GSDP to 32% by 2017)
• Identifying key growth sub segments within the district based on study of existing industrial base, primary
interactions
• Estimation of growth targets for the district based on analysis of investment trends in the district in
comparison to the state, available infrastructure, policy thrust on key manufacturing segments identified for
the district
• Labour elasticity factors in the potential sectors for the district

Tertiary Sector:

Employment growth in some of the services sector is driven by Government thrust in terms of budgetary allocations to
achieve inclusion targets in education, healthcare and banking while the other segments including hospitality and
tourism, financial intermediation, communication, retail would depend on the level of economic activity in the region
resulting in high or low spending capacity of population. Also segments like IT-ITES, transportation& logistics are
driven by investments into infrastructure and manpower. Hence human resource requirement projections for services
sub sectors would have specific approaches depending on the growth drivers for the segments in the district.
Detailed methodology for estimation of manpower in services sub-segments is presented in the appendix.

Based on the analysis of socio economic conditions, investment scenario and availability resources incremental
manpower requirement has been estimated for the following sectors.

Primary Sector

• Agriculture & Allied Activities( Horticulture, Sericulture, Animal Husbandry and Fisheries)

Secondary Sector

• Textile and Apparel

127
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

• Manufacturing of Engineering Goods( Including Auto & Auto Components)

• Chemical & Chemical Products(Including Petro Chemicals)
• Agro & Food Processing
• Mineral Processing & Fabrication
• Construction Material(Cement, Ceramics)
• Infrastructure(Construction)

Tertiary Sector

• Transportation & Logistics(including port based logistics)

• Banking & Financial Services
• Organized Retail
• Hospitality & Tourism
• Healthcare
• Education & Training

Incremental manpower requirements for the priority sectors in Junagadh district are presented in the table 187.

Incremental Human Resource Requirements in the District 2012-22 188

Sector 2012-17 2017-22
Skilled Semi Minimally Total Skilled Semi Minimally Total
Skilled skilled Skilled skilled
Agriculture &
NA NA 22595 22595 NA NA 18923 18923
Allied Activities
Agro & Food
373 1493 1867 3733 334 1336 1670 3339
Processing
Textile & Apparel 90 361 451 902 81 323 403 807
Chemical &
Chemical 52 207 258 517 46 185 231 462
Products
Mineral
Processing & 40 162 202 404 36 145 181 362
Fabrication
Manufacturing of
Engineering 58 231 289 578 52 207 259 517
Goods
Manufacturing of
Construction 103 410 513 1026 92 367 459 918
Material
Construction 608 1216 10339 12164 544 1088 9248 10880
Trade, Retail 982 1474 7368 9824 1074 1611 8054 10739
Transportation &
566 8984 10689 20239 463 7351 8746 16560
Logistics

187
KPMG Analysis
188
KPMG Analysis

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 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Hospitality &
881 1322 6608 8810 705 1057 5286 7048
Tourism
Banking &
2158 6474 NA 8632 1511 4532 NA 6042
Financial Services
Healthcare 843 3792 NA 4635 1123 5613 NA 6736
Education &
1058 7125 NA 8183 1588 4275 NA 5862
Training

Skill requirements in key growth sectors have been analyzed based on industry interactions to understand detailed
manpower needs. Sector level skill interventions are indicated in the section below 189.

Secondary Sector (Manufacturing, Construction & Energy):

• Food Processing:
Category of Skills Skills

Core Skills Fitter, Electrician, Wireman, Instrumentation, Lab Technician

Allied Skills Instrumentation, Packaging (Jar, Pouch) Operator, AOCP, Lab Attendant, Boiler
Operator, QC Chemists

Skills with acute shortage PPO is required in industries having in house packing development.

• Chemical & Chemical Products:

Category of Skills Skills

Core Skills Mechanical, Electrical skills

Allied Skills Instrumentation, boiler attendant,AOCP, lab attendants

Skills with acute shortage MSc/BSc chemists, Electronic Automation with understanding of PLC systems

• Construction:
Category of Skills Skills
Core Skills Electricians, carpenters, barbenders, welders and masons

189
KPMG Analysis

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 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Allied Skills Minimally skilled workers

Skills with acute shortage Machine operators

Services:
• Banking & Financial Services:
Category of Skills Skills
Core Skills Knowledge on core banking/mobile/internet platforms

Allied Skills Sales & Marketing

Skills with acute shortage insurance underwriting, claims management

• Transportation :
Category of Skills Skills
Core Skills Heavy vehicle drivers, logistics management

Allied Skills Administrative, computer data management

Skills with acute shortage Scheduling and logistics planning

• Healthcare :
Category of Skills Skills
Core Skills MBBS Doctors, MD/MS specialists, Physician Assistants/Compounders,
Radiologists, Dialysis technician, Respiratory technician and OT Assistants &
Perfusionist.
Allied Skills Lab technicians, pharmacists

Skills with acute shortage Physiotherapists, Biomedical Instrumentation technicians

Primary Sector:

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 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

• Cultivation:
Category of Skills Skills
Core Skills Awareness about high yield varieties, micro nutrients and pest Control, Organic
farming and Vermi compost methods, Micro irrigation techniques
Allied Skills Knowledge on food processing techniques and related procedures to extract
greater value from farm produce

Skills with acute shortage Usage and repair of farm equipments, Marketing and management practice

• Agri- Allied Activities:

Category of Skills Skills
Core Skills Modern rearing techniques of live stock, piggery, goatery and fisheries

Allied Skills Knowledge on processing techniques

Skills with acute shortage Marketing and distribution of forest/animal husbandry produce

6.10.2.4. Human Resource Supply Scenario in the District

6.10.2.4.1. Estimation of Labour Force Supply
District-wise incremental supply has been determined based on net addition of labour force. Gross addition to
working age group population during 2012-17 and 2017-22 were determined based on Census 2011 age wise
population accounting for death rate and life expectancy normalized against population corrections in 2017 and 2022.
Applying labour force participation rates, considering the historical trends, gross additions to labour force were
estimated for the two time periods. Accommodating for retirement from the existing pool of labour force, net supply
to labour force has been estimated. Supply estimations for the district during 2012-17 and 2017-22 periods is
provided in the following table.

Junagadh would experience a proportionally higher human resource growth during 2012-22. However, limited
employment opportunities within the district to absorb the incremental labour force would drive significant outward
migration especially in the skilled category. Details of human resource growth estimations during 2012-22 are
presented in the table.

Period Gross Addition to Working Gross Addition to Labour Net Addition to Labour
Age Population Force Force-Supply

2012-17 289,452 175,045 96,115

2017-22 243,561 150,229 74,627

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

6.10.2.4.2. Education and Training Potential in the District

Junagadh district has around 2075 K12 schools with a 65.45 percent share of Government schools. The district has a
net enrolment ratio of 88.8 at primary level and 56.1 at upper primary level which is higher than the ratios for the
state 190.

Total Enrollments Primary Level Upper Primary Level Secondary Level Higher Secondary
in 209-10 (Std I-V) (Std VI-VIII) (Std IX-X) Level (Std XI-XII)
278,225 112,561 120,062 57,894
Junagadh

Comparing the district’s enrolment statistics with state average indicates that the district is an average performer in
the primary education category 191
Region Net Enrolment Ratio (Primary Level) Net Enrolment Ratio (Upper Primary Level)
Junagadh 88.8 56.1
Gujarat 85.4 50.7

In the vocational education segment, the district is ahead in the provision of vocational training in comparison to
state average. Private interest in the sector in this district is high indicating that the state must take proactive
measures in further increasing private support to improve vocational training infrastructure 192.

Region Number of Seat Vocational Training Private Sector

ITIs Capacity Capacity Density (Seats Participation in
Per 1000 Population) Vocational Training
Junagadh 63 8,051 2.94 50%
Gujarat 711 138,106 2.29 26%

Given the unequal distribution of seats, capacity expansion in vocational education in Junagadh district needs to be
focused on the tehsils of Sutrapada, Veraval, Manavadar, Mendarda, Bhesan, Mangrol, Visavadar and Una to bring
them on par with the district average in vocational education capacity 193.
Taluka Seat Capacity Vocational Training Private Sector
Capacity Density(Seats Participation in
Per 1000 Population) Vocational Training
Kodinar 1016 4.58 84%
Junagadh 1820 4.27 17%
Talala 554 3.87 55%
Maliya-Hatina 620 3.82 74%
Vanthali 348 3.19 62%
Keshod 625 3.17 7%
Sutrapada 380 2.77 66%

190
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat
191
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat
192
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat
193
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Veraval 812 2.58 84%

Manavadar 368 2.58 63%
Mendarda 160 2.16 25%
Bhesan 156 1.89 23%
Mangrol (J) 396 1.87 71%
Visavadar 248 1.67 53%
Una 548 1.48 39%
District Total 8051 2.94 50%

In the higher education segment, the district has 1 management institute, 2 pharmacy colleges and 21 colleges
offering Arts, Commerce, Science, B. Ed & Law programs. Junagadh Agricultural University offers education in
agriculture, agriculture engineering and fisheries. It conducts fruit, oilseed, and sugarcane and wheat research,
testing and training centers. The research center of Central Institute of Fisheries Technology (CIFT) is located at
Veraval taluka which is involved in research related to fishing and fish processing. The National Research Centre for
groundnut is located in the district. Technical colleges offering courses in chemical, civil, electrical, electronics and
communication, information technology, production and mechanical engineering are also present in the district.
Junagadh also has a pisciculture college located in Veraval taluka.

6.10.2.4.3. Demand-Supply Gap Analysis for the District

Incremental skill category wise supply for the periods 2012-17 and 2017-22 in the district are estimated based on net
output from higher education institutions (skilled), vocational training(semi skilled), minimally skilled (school
education) for periods 2012-17 and 2017-22 considering the LPR estimations for the districts in 15-59 age group and
retirement from existing labour force.

Based on the skill category human resource demand projections for 2012-22 and net supply potential, category wise
Demand-Supply gap estimations for the district are presented in the table below.

Category Wise Demand-Supply Gap in the District (2012-22)

2012-17 2017-22
Sector Skilled Semi Minimally Total Skilled Semi Minimally Total
Skilled skilled Skilled skilled
Demand-Supply
Gap (5,777) 22,715 (10,811) 6,127 (8,707) (11,297) 9,375 14,568
*(Indicates excess supply)

6.10.2.4.4. Skill Development Potential through Government Endowments

According to KPMG estimates, based on the potential district budgetary allocation for various central government
schemes around 76 thousand people in total can be trained incrementally during the five year period of 2012-17.
Ministry of Agriculture and Ministry of Labour Schemes are expected to contribute to a significant share of the
training. Manpower training targets have predominant focus on primary sector considering the low level of industrial
development in the district. Private training providers have opportunities in livelihood training programs.

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Government Funded Incremental Training Capacity (2012-17) - Junagadh District 194

SDI-MES 13624

M/O Agriculture 13239

SJSRY 13217

SGSY 10591

Using Construction Cess 8422

Others 5223

D/O IT 4996

Credit Scheme 4769

CSR Funds from Central PSUs 1135

Hunar Se Rozgar 882

ISDS - Textiles 186

ART - M/o Tribal Affairs 126

SCA under TSP - M/o Tribal Affairs 76

6.10.2.5. District Specific Recommendations

Considering these factors, the proposed action plan for stakeholders in skill development in Junagadh district would
indicate the following priority areas:

Stakeholder Action Points for Stakeholders

NSDC Focus on increasing participation from national/regional private skill training providers
with focus on the following sectors, where there is good scope for the fee-paying model
• Transportation and Logistics
• Healthcare
• Construction
• Hospitality and Tourism
• Banking and Financial Services
District Provide skill training in conjunction with private skill training providers using government
Administration endowment training schemes
• Construction Sector
• Retail Sector

194
KPMG Analysis

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

• Agri Allied Activities such as animal husbandry and fisheries

• Chemical and Chemical Products
• Mineral Processing and Fabrication
• Manufacturing of Construction Material
Private Skill Provide skill training in the sectors of
Training • Transportation and Logistics
Providers • Healthcare
• Construction
• Hospitality and Tourism
• Banking and Financial Services
Corporate Provide training for skills in those sectors where the requirement for absorption within the
corporate sector is higher such as
• IT/ITES
• Construction
• Retail
• Transportation and Logistics
Initiate and support modular employability skill training in collaboration with private
players/Government
Create placement linkage opportunities in training institutions

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

6.10.3. Skill Gap Assessment of Kutch District

6.10.3.1. Socioeconomic Profile
6.10.3.1.1. Administrative Profile

Kutch district is located in the Saurashtra region of

Gujarat is the largest district in India with a
geographical spread of 45652 sq.km 195. District shares
Kutch
border with Banas Kantha, Patan and Sindh region in
Pakistan. Administratively Kutch is divided into 10
talukas and 924 villages 196 with Bhuj town as the
district capital. Mandvi, Mundra, Abdasa, Bhachau,
Lakhpat, Anjar, Rapar and Gandhidham along with Bhuj
are taluka regions in the district. Gandhidham is another
key town in the district along with Bhuj.

6.10.3.1.2. Demographic Profile

Kutch is a key district in Gujarat witnessing rapid strides in industrial growth leading to inward migration. District has
registered a significant human resource growth over the past decade due to immigration led by industrial activities in
Kandla and Mundra regions. During 2001-11 period district has witnessed a staggering rise in population from 15.8
lakhs to 20.9 lakhs 197 with a growth rate of 32.03 percent 198 in comparison to state average of 19.17 percent. Kutch is
predominantly rural with these regions accounting for 65.28 percent 199 of the total population. Population spread in
the district is state is significantly low with a density of 46 persons per sq.km 200 as against state average of 308
persons per sq.km. Low population density is attributed to the fact that nearly fifty percent of the total area of the
district is uninhabitable (Rann of Kutch region). Taluka wise distribution of population indicates that Bhuj is the most
populous and Lakhpat is the least populous in the district while Gandhidham has been fastest growing taluka. Details
of regional distribution of population in the district are presented in the table 201.

195
Census 2011 Statistics
196
Census 2011 Statistics
197
Census 2011 Statistics
198
Census 2011 Statistics
199
Census 2011 Statistics
200
Census 2011 Statistics
201
Census 2001Statistics, KPMG Analysis

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Regional Distribution of Population in the District 202

Region Contribution to District Population Population Density
(2001) (Persons per Sq.km- 2001)
Bhuj 22% 77
Gandhidham 13% 1156
Rapar 13% 65
Mandvi 11% 121
Anjar 10% 137
Bhachau 9% 74
Nakhatrana 8% 65
Abdasa 6% 41
Mundra 5% 93
Lakhpat 3% 26

Gender composition of district population is marginally lower than the state average. As per 2011 census district has
a gender ration of 907 females per 100 males 203 as against the state average ratio of 918 females per 1000 males 204.
Declining proportion of female population from 942 female per thousand males in 2001 to 907 in 2011 is a key
concern for the district. Male migration into industrial clusters of Gandhidham, Mundra is a key reason for increasing
biased gender composition of population. Contribution of scheduled categories to the overall district population is
comparable to the state level proportion. As per census 2001 estimates, reserved categories account for 19.96
percent 205 of overall district population in comparison to the state average of state percentage of 21.85 percent 206.
Proportion of scheduled castes is higher than the tribes within reserved categories population.

Education attainment levels in the district are lower than the state average. As per 2011 estimates, district has
registered an overall literacy rate of 71.58 percent 207 as against state average of 79.31 percent 208. Continuing gender
and regional disparities in literacy rates is a concern within the district. Urban-rural literacy gap in Kutch is estimated
to be 15.69 per cent 209 as against the 14.58 percent 210 for overall state. Similarly, district has a male-female literacy
gap of 18.98 percent 211 as against 16.5 percent 212 for Gujarat state. Within the district as per 2001 census Mandvi
taluka has the highest literacy rate (69.93%) 213, while Rapar has the least (39.7%) 214 indicating considerable
variations among talukas of Kutch. Lower level of overall literacy, inadequate gender and regional inclusion stresses

202
Census 2001Statistics, KPMG Analysis
203
Census 2011 Statistics
204
Census 2011 Statistics
205
Census 2001Statistics, KPMG Analysis
206
Census 2001Statistics, KPMG Analysis
207
Census 2011 Statistics
208
Census 2011 Statistics
209
Census 2011 Statistics
210
Census 2011 Statistics
211
Census 2011 Statistics
212
Census 2011 Statistics
213
Census 2011 Statistics
214
Census 2011 Statistics

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

the need for gender specific approach towards implementation of mass education initiatives. Increasing focus on
literacy would create demand for education and training facilities within the district to support the economic growth.

6.10.3.1.3. Economic Profile

Kutch has re-emerged from the ruins of one of the most disastrous earthquakes in the history that took place in
January 2001 and today has become a major industrial hub. It contributes to significant share of salt production in the
country. With large reserves of limestone, bauxite, lignite and bentonite, Kutch district is one of the preferred
destinations for most of the mineral based industries.

It boasts of being the world’s largest manufacturer of Submerged Arc Welded (SAW) pipes. A good number of
medium /large scale industries are supported by a sizeable number of small scale industries.
Due to presence of two important ports, Kandla and Mundra, Kutch district accounts for a very high cargo movement.
Analysis of regional distribution of investments in Kutch district indicates that industrial development is concentrated
in Anjar, Gandhidham, Mundra, Bhachau and Lakhpat Talukas while other regions like Mandvi and Nakhtarana still
remain backward. Over the recent years the state Government has initiated some measures to enhance the industrial
growth in backward talukas of Mandvai and Abdasa through suitable incentives leading to an increased investment
potential of these regions over the next decade.

Details of region wise large scale investments in Kutch district till 2012 is presented in the table 215.

Large Scale Investment Scenario In Kutch 216

Commissioned Under Implementation
Region Investment Investment (
No. of Units No. of Units
( INR Cr) INR Cr)
Anjar 88 6,178 89 13,642
Bhuj 86 1,708 123 40,753
Bhachau 80 2,100 94 7,525
Gandhidham 80 3,618 153 9,766
Mundra 25 3,761 48 80,945
Abdasa 5 193 28 29,630
Lakhpat 4 1,687 26 222,546
Rapar 1 50 3 511
Mandvi 7 64,906
Nakhatrana 5 1,862
Not Classified 2 1,385 32 32,029

District Total 371 20,680 608 504,115

215
IEM, MSME Part-II Data till 2012-13
216
IEM, MSME Part-II Data till 2012-13

138
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Rapid growth of industrialization in the district has widened the scope for establishment of ancillary units in MSME
segment. As per the MSME investment Part–II statistics, overall there are 1150 units 217 operating in the district
attracting an investment of INR 97,350 lakhs 218 in 2012.

MSME Investment Scenario in Kutch 219

Category of Industries Number of Units Investment In Rs. Lakhs
Micro 830 15,291
Small 290 54,659
Medium 30 27,400
Total 1150 97,350
Manufacturing Sector Units 992 76,211
Service Enterprises 158 21,139

Among the manufacturing based MSME units, Chemical and Chemical Products, Mining and Quarrying, Wooden
Products and Furniture and Mineral Processing and Fabrication are the most prominent industries both in terms of
units and investment in MSME manufacturing units.

MSME Manufacturing Scenario in the District 220

Composition of MSME Manufacturing Composition of Investments in
Manufacturing of
Engineering
Units MSME Manufacturing Units
Auto-Auto Manufacturing
Goods Agri-Allied of Engineering
Components Auto-Auto
3.0% Activities Goods Agri-Allied
0.8% Mineral Eletrical & Components
0.4% Prosessing Eletronics 1.2% 0.3% Activities
Eletrical & Mining &
& 0.9%
Eletronics Quarrying 1.7%
Fabrication Mining &
1.6% 21.6%
11.0% Quarrying
Rubber & 7.5% Agro & Food
Plastics Processing
1.3% 5.3%
Mineral Textile &
Prosessing & Apparel
Fabrication 7.8%
Rubber & 16.3%
Plastics
2.1% Wooden
Agro & Food Products &
Chemical & Processing Furniture
Chemical &
Chemical Textile & 7.5% 15.1%
Chemical
Products Apparel
Wooden Products
21.1% 9.9%
Products & 43.1%
Furniture Paper & Paper
14.4% Products
Paper & Paper
Products 4.6%
0.8%

While the level of organized investments in services enterprises are low as evident from the MSME Part-II statistics,
sectors of whole sale and retail trade, Printing and Publishing, transportation and Hospitality have seen considerable
investments in the district. Composition of MSME service enterprises and investments are presented in the chart.

217
IEM, MSME Part-II Data till 2012-13
218
IEM, MSME Part-II Data till 2012-13
219
IEM, MSME Part-II Data till 2012-13
220
IEM, MSME Part-II Data till 2012-13

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

MSME Services Scenario in the District 221

Composition of MSME Service Enterprises Composition of Investments in

MSME Service Enterprises
Hospitality and
Tourism
5.1% Hospitality IT- ITES
IT- ITES and Tourism 0.4%
1.9% 9.1%
Whole sale &
Whole sale & Retail Trade
Retail Trade 5.1%
10.8%
Transportation
3.5%

Printing &
Transportation Publishing
9.5% 2.1%
Other Services
58.2%
Printing &
Other
Publishing
Services
14.6%
79.9%

Amongst the service sub-sectors, the tourism sector has been major driver of Kutch’s economy. It is emerging
strongly with the experiences of palaces, wildlife, fairs and festivals. The district accounted for 2.39 % of total tourist
inflow in Gujarat during 2006-07. The key tourist attractions include Aina Mahal (Old Palace), Prag Mahal (New
Palace), Indus Valley Civilization site, Swaminarayan Temple, Lakhpat, Wildlife Sanctuary, Chinkara Sanctuary and
Mandvi Beach. Apart from the above, there are several festivals like the Kutch Desert Festival and the Navratri Fair.

There are several opportunities for investment in the tourism sector in the form of deluxe and budget hotels, golf
club, beach resorts and heritage & archeological site development.

Amongst the higher education firms, the relevant ones are Shyamji Krishna Verma Kutch University, Veerayatan
Institute of Pharmacy and Vivekananda Research and Training Institute at Mandvi.

Kutch has medium penetration in terms of medical institutions, with over around 31,671 people per institution. The
district has 37 primary healthcare centers, 13 community healthcare centers and 5 hospitals. Apart from the above,
Kutch has G.K. General Hospital and Bidada Hospital 222.

The road infrastructure of Kutch consists of National Highway 8A connecting Kutch with Ahmadabad, Vadodara,
Rajkot and Surat. The district is connected to Mumbai via 5 broad gauge stations and is also connected to the DMIC

221
IEM, MSME Part-II Data till 2012-13
222
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

via broad gauge. Kutch has an operational airport in Bhuj and Kandla, Mandvi Mundra airstrips are under
development. Kutch has Mundra port, Kandla and Mandvi.

Kutch has 266 bank offices 223 with a total bank credit amount of 4,561 Cr INR and a total deposit amount of 16,447 Cr
INR as of Mar 2012. Ahmadabad has a low penetration of banking and financial services with a density of 7,858
people per bank as of March 2012. While the number of banks has increased at a CAGR of 7.5 percent from 2007 to
2012, the amount of deposit and credit have increased at a CAGR of 15.5 percent 224 and 20.6 percent respectively
from 2007-2012.

Owning to the soil characteristics, only a very small percentage of district geographical land is cultivable (23 percent
of total area) with intra district variations. Talukas like Bhachau, Mandvi, Anjar and Gandhidham talukas have about
35 percent of their geographical area under cultivation while Lakhpat taluka has only 3.9 percent 225 land under
cultivation.

Kutch lies in North West agro climatic zone and has low rainfall conditions. Being a low rainfall witnessing region,
the district has limited spread of irrigation facilities with only 40 percent of net cultivable area under irrigation. The
lack of rainfall and irrigation facilities has resulted in poor agriculture in the district.

Poor nitrogen content in Kutch soils has resulted in large scale usage of nitrogen rich fertilizers. Awareness levels on
organic farming and vermin-compost methods are low in the region indicating immediate need to improve the same
by promoting holistic sustainable agricultural practices.

Bajra, Greengram, Groundnut, Cotton and Castor are the key Kharif crops while Wheat, Mustard, Isabgul are the main
Rabi crops grown in the district. The ratio of area under Rabi to Kharif crop is 0.2 indicating lack of multiple cropping
majorly due to poor irrigation and lack of rainfall. Main horticulture crops include Fruits (Datepalm, Mango), Spices
(Isabgul, Cumin, and Coriander) and vegetables (Tomato, Cucurbits and Brinjal). Currently usage of hybrid crop
varieties is low with a need to promote this practice across crop categories. There is a need for Taluka Seed Farms in
the district to improve the availability of quality seeds.

Sheep and goats are main cattle varieties in Kutch with 4, 95,253 sheep population 226 and 4, 59,442 goats 227. Other
prominent domestic animals under animal husbandry activities are cows and buffaloes. The high number of sheep
and goats indicate potential for wool and meat yielding animal husbandry.

6.10.3.2. Workforce Distribution in the district

223
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
224
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
225
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
226
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
227
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07

141
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Kutch has witnessed tremendous growth in industrial activities leading to employment generation in the secondary
sector after 2001. While historically dependency on agriculture is high, trend over the recent years has been
promising with the district making progressive steps towards reducing the dependency on agrarian activities.
Comparison of workforce distribution scenario in Kutch and Gujarat is presented in the table.
Workforce Distribution in the District 228
Percentage of Employment
Region Labour Force Workforce Primary Secondary
Participation Participation Sector Sector Tertiary Sector
Kutch 59.74% 38.25% 57.68% 10.06% 32.26%
Gujarat 59.27% 41.95% 59.34% 15.86% 24.8%

Organized industrial employment in registered factories and service enterprises has contributed to significant share
of secondary sector employment in the district. Registered and commissioned industrial units have generated an
employment base of 1.15 lakhs 229.

Large scale enterprises accounted for major share of the employment with Industrial Instruments, Electrical
Equipments, Ceramics, Electronics and Rubber & Plastics as key segments. Details of category wise industrial
employment as per 2012 statistics are presented in the table.

Organized Employment in Kutch 230

Category of Industries Employment
Large Scale Industries (Commissioned + Under Implementation) 2,47,358
MSME Category 18,500
Manufacturing Units 16,296
Service Enterprises 2,204
Total 2,65,858

Regional and sectoral analysis of large scale industrial employment indicates a clear concentration of employment in
key sectors within specific taluka regions. Bhuj and Bhachau talukas account for a majority share of employment in
this category. Infrastructure, construction material, manufacturing of engineering goods, mineral processing &
fabrication are major employment generating segments within the district. Regional, sectoral break up of large scale
industrial employment is presented in the chart.

228
KPMG Analysis
229
IEM, MSME Part-II Data till 2012-13
230
IEM, MSME Part-II Data till 2012-13

142
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Large Scale Industrial Employment Scenario in the District 231

Regional Distribution of Large Scale Industrial Composition of Employment in Large

Employment Scale Industries
Agro & Food
Mandvi Chemical &
Processing
2% Nakhatrana Chemical
5%
1% Not Classified Other Products
4% Manufacturing 10%
Lakhpat
7% 3% Paper & Paper
Anjar Products
Abdasa
10% Transportation 3%
5% Infrastructure
1%
16%
Rubber &
Bhuj Plastics
Mundra 24% Construction 6%
Mineral
13% Material Prosessing &
16% Fabrication
15%
Gandhidham
8% Bhachau Manufacturing
26% of Engineering Eletrical &
Goods Eletronics
15% 8%

Among the manufacturing units in MSME, Mining, chemical & chemical products, wooden products & furniture,
mineral processing & fabrication, agri & food processing units have accounted for majority share of the employment
in all the categories of industries. Whole sale & retail trade, transportation, Publishing & printing, hospitality are
major employment generating sectors within tertiary enterprises. Details of sector wise industrial employment in
manufacturing and services MSME units as per 2012 statistics are presented in the chart.

MSME Employment Scenario in the District 232

Composition of Employment in MSME Composition of Employment in MSME
Manufacturing Units Service Enterprises
Auto-Auto
Manufacturing of
Components Hospitality
Engineering
Construction 0.5% and Tourism
Goods
Mining & 12.7%
2.4% 0.8% Agri-Allied
Mineral Eletrical & Quarrying
Activities IT- ITES
Prosessing & Eletronics 18.5%
0.4% 0.5%
Fabrication 1.0%
11.1% Whole sale &
Retail Trade
Rubber & Plastics 10.6%
2.7% Agro & Food
Processing
8.0% Other Transportatio
Services n
57.6% 9.8%
Chemical &
Chemical Textile & Apparel
Products Wooden
Products & 7.7%
26.7%
Furniture Printing &
18.1% Publishing
8.9%
Paper & Paper
Products
2.1%

231
IEM, MSME Part-II Data till 2012-13
232
IEM, MSME Part-II Data till 2012-13

143
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

6.10.3.3. Human Resource Requirement Projections in Kutch (2012-22)

Incremental manpower requirement in the district of Kutch has been estimated based on several parameters such as
investments trends, national level benchmarks on industrial growth across sectors, state manufacturing policy
targets, performance of state against economy targets, national level inclusion targets for certain sectors,
employment generation potential of various sectors based on labour elasticity and market based insights from
discussions with industries in Kutch. Based on the analysis of current state of workforce distribution and potential
employment opportunities in various sectors incremental manpower requirement in key primary, secondary and
tertiary segments is estimated for the periods 2012-17 and 2017-22. Further, manpower requirement is classified into
skilled, semi skilled and minimally skilled categories considering the present level of employment in these categories
for respective sectors and analysis of expected developments in the industry that would lead to significant
realignment of the categories.

Primary Sector:

Considering the increasing level of farm mechanization and sharing agricultural land usage, period between 2012 and
2022 would witness a net out flux of workforce from the agricultural activities. Agricultural workforce displacement is
expected to be significant in marginal workers category. A significant portion of the workforce would engage in agri-
allied activities depending on the resource availability and migration constraints. Incremental manpower requirement
for the agri- allied activities is estimated considering the following parameters

• Current level of employment in agricultural activities(farmers, agricultural labourers)

• Estimated displacement factors for agricultural workforce based on Planning Commission Projections for
2012-17 and 2017-22 periods and analysis of level of mechanization and allied factors in Gujarat
• Employment potential in agri-allied activities in the district considering the level of involvement in the
respective activities and regional conditions

Manufacturing Sector:

Manpower requirement in secondary sector is driven by investments and output growth. Various factors including
analysis of manufacturing, sub sector policies, investment trends, availability of resources, are considered for the
incremental manpower estimation in different subsectors of manufacturing in the district. Human resource
requirement projections for manufacturing sub sectors in the district are estimated considering the following
parameters

• Manufacturing growth targets for Gujarat for 2012-17 and 2017-22(Increasing secondary sector share in
GSDP to 32% by 2017)
• Identifying key growth sub segments within the district based on study of existing industrial base, primary
interactions
• Estimation of growth targets for the district based on analysis of investment trends in the district in
comparison to the state, available infrastructure, policy thrust on key manufacturing segments identified for
the district
• Labour elasticity factors in the potential sectors for the district

144
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Tertiary Sector:

Employment growth in some of the services sector is driven by Government thrust in terms of budgetary allocations to
achieve inclusion targets in education, healthcare and banking while the other segments including hospitality and
tourism, financial intermediation, communication, retail would depend on the level of economic activity in the region
resulting in high or low spending capacity of population. Also segments like IT-ITES, transportation & logistics are
driven by investments into infrastructure and manpower. Hence human resource requirement projections for services
sub sectors would have specific approaches depending on the growth drivers for the segments in the district.
Detailed methodology for estimation of manpower in services sub-segments is presented in the appendix.

Based on the analysis of socio economic conditions, investment scenario and availability resources incremental
manpower requirement has been estimated for the following sectors.

Primary Sector

• Agriculture & Allied Activities( Horticulture, Sericulture, Animal Husbandry and Fisheries)

Secondary Sector

• Textile and Apparel

• Manufacturing of Engineering Goods( Including Auto & Auto Components)
• Chemical & Chemical Products(Including Petro Chemicals)
• Drugs & Pharmaceuticals
• Agro & Food Processing
• Electrical and Electronics
• Mineral Processing & Fabrication
• Construction Material(Cement, Ceramics)
• Rubber & Plastics
• Paper & Paper Products
• Infrastructure(Construction)

Tertiary Sector

• Transportation & Logistics(including port based logistics)

• Banking & Financial Services
• Organized Retail
• Hospitality & Tourism
• Healthcare
• Education & Training

Incremental manpower requirements for the priority sectors in Kutch district are presented in the table 233.

233
KPMG Analysis

145
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Incremental Manpower Requirements in the District 2012-22 234

Sector 2012-17 2017-22
Skilled Semi Minimally Total Skilled Semi Minimally Total
Skilled skilled Skilled skilled
Agriculture &
NA NA 16792 16792 NA NA 14062 14062
Allied Activities
Agro & Food
330 1318 1648 3295 295 1179 1474 2947
Processing
Textile & Apparel 55 221 277 553 49 198 247 495
Wooden Products
89 358 447 894 80 320 400 800
& Furniture
Paper & Paper
193 772 965 1930 173 691 863 1727
Products
Chemical &
Chemical 686 2745 3432 6864 614 2456 3069 6139
Products
Rubber & Plastics 331 1325 1656 3312 296 1185 1481 2962
Mineral
Processing & 905 3618 4523 9045 809 3236 4045 8090
Fabrication
Electrical &
473 1892 2365 4731 423 1692 2116 4231
Electronics
Manufacturing of
Engineering 844 3374 4218 8436 755 3018 3773 7545
Goods
Manufacturing of
Construction 898 3590 4488 8976 803 3211 4014 8028
Material
Drugs and
10 40 50 99 9 36 44 89
Pharmaceuticals
Misc.
203 812 1015 2030 182 726 908 1816
Manufacturing
Construction 464 927 7881 9272 415 829 7049 8293
Trade, Retail 749 1123 5616 7488 819 1228 6139 8186
Transportation &
662 10520 12516 23698 542 8607 10240 19389
Logistics
Hospitality &
2159 3239 16193 21590 1727 2591 12954 17272
Tourism
Banking &
3747 11240 NA 14987 2623 7868 NA 10491
Financial Services
Healthcare 459 2067 NA 2526 612 3059 NA 3671
Education &
1036 6972 NA 8007 1553 4183 NA 5736
Training

234
KPMG Analysis

146
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Skill requirements in key growth sectors have been analyzed based on industry interactions to understand the
detailed manpower needs. Sector level skill interventions are indicated in the section below 235.

Secondary Sector (Manufacturing, Construction & Energy):

• Port Based Logistics:

Category of Skills Skills
Electrical Technician(Distribution, Cabling, Instrumentation, Maintenance,
Core Skills Automation, PLC, HMI Equipments), Mechanical Technician(Lubrication,
Hydraulic Systems, Pneumatic Systems, Gear Systems), Crane Operators,
Conveyor Belt Operators, Earthmoving Equipment Operator, Locomotive Engine
Operator, LMB Driver, HMB Driver, Machine Operators(MVU, Baking, Stacker
Reclaimer)
Skilled Fireman, Radio Officer, Under water divers, Minimally skilled Marine
Allied Skills Crew, Project Management Workforce (Surveyor, Draftsman Civil, Construction
Workers, Auto CAD Engineers)
Marine Engineers, Instrumentation, Advanced Equipment Technicians, Crane&
Skills with acute shortage Machine Operators, Radio Officer , Skilled Fireman

• Auto & Auto Components

Subsector Skills

Auto Assembling and Component Core Skills: Motor Mechanic, Diesel Mechanic, Fitter, Welder, Fabricators
Manufacturing
Allied Skills: Electrician, Wireman

Acute Skill Deficits: Specialized welders in Arc welding who can work in
extreme conditions on advanced fabrication equipments

• Textile & Apparel:

Category of Skills Skills

Core Skills Ring frame operator, weaver, processing operator (CDR,BDR,Stuntor), Bar-
coding machine operator

Electrician, Wireman, Fitter

Allied Skills
The industry has high attrition rates in operator roles (semi skilled) owing to
Skills with acute shortage extreme working conditions.

• Food Processing:
Category of Skills Skills

Core Skills Fitter, Electrician, Wireman, Instrumentation, Lab Technician

235
KPMG Analysis

147
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Allied Skills Instrumentation, Packaging (Jar, Pouch) Operator, AOCP, Lab Attendant, Boiler
Operator, QC Chemists

Skills with acute shortage PPO is required in industries having in house packing development.

• Chemical & Chemical Products:

Category of Skills Skills

Core Skills Mechanical, Electrical skills

Allied Skills Instrumentation, boiler attendant,AOCP, lab attendants

Skills with acute shortage MSc/BSc chemists, Electronic Automation with understanding of PLC systems

• Electrical & Electronics:

Category of Skills Skills

Core Skills Electronics, PPO, Electrical, Instrumentation

Allied Skills Fitter

Skills with acute shortage PPO trade is a key deficit in all industries involving plastic processing

Electronics and Instrumentation

• Metal & Mineral Processing:

Category of Skills Skills
Core Skills Fitter, Welder, Turner, Electrician

Allied Skills Melter, Boiler Operator

Skills with acute shortage PCB instrumentation

• Thermal Power:

148
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Category of Skills Skills

Core Skills Mechanical, Electrical, Instrumentation& Control, Master Chemists, Civil
Engineers
Allied Skills Fitter, Electrician ITI trades

Skills with acute shortage Instrumentation, Chemists

• Pipe Industry:
Category of Skills Skills
Core Skills Welder, Fitter, Electrician, Wireman, Machinist,

Allied Skills PPO, CNC Operators, GasCutter, Turner

Skills with acute shortage ID & OD Welding, CNC Machinist, Crane Operators, PPO, Gas Cutter trades

• Wind Farm Equipment:

Category of Skills Skills
Core Skills Fitter, Welder, Plastic Polymer Operator(PPO)

Allied Skills Electrician, Wireman

Skills with acute shortage PPO, Advanced Welding(TIG, MIG) trade candidates are not available in the
district

• Construction:
Category of Skills Skills
Core Skills Electricians, carpenters, barbenders, welders and masons

Allied Skills Minimally skilled workers

Skills with acute shortage Machine operators

• Salt Production:
Category of Skills Skills

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 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Core Skills Earth moving equipment operators, tractor drivers

Allied Skills Minimally skilled workers

Skills with acute shortage Chemists

Services:
• Banking & Financial Services:
Category of Skills Skills
Core Skills Knowledge on core banking/mobile/internet platforms

Allied Skills Sales & Marketing

Skills with acute shortage insurance underwriting, claims management

• Transportation :
Category of Skills Skills
Core Skills Heavy vehicle drivers, logistics management

Allied Skills Administrative, computer data management

Skills with acute shortage Scheduling and logistics planning

Primary Sector:

• Cultivation:
Category of Skills Skills
Core Skills Awareness about high yield varieties, micro nutrients and pest Control, Organic
farming and Vermi compost methods, Micro irrigation techniques
Allied Skills Knowledge on food processing techniques and related procedures to extract
greater value from farm produce

Skills with acute shortage Usage and repair of farm equipments, Marketing and management practice

150
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

• Agri- Allied Activities:

Category of Skills Skills
Core Skills Modern rearing techniques of live stock, piggery, goatery and fisheries

Allied Skills Knowledge on processing techniques

Skills with acute shortage Marketing and distribution of forest/animal husbandry produce

6.10.3.4. Human Resource Supply Scenario in the District

6.10.3.4.1. Estimation of Labour Force Supply
District-wise incremental supply has been determined based on net addition of labour force. Gross addition to
working age group population during 2012-17 and 2017-22 were determined based on Census 2011 age wise
population accounting for death rate and life expectancy normalized against population corrections in 2017 and 2022.
Applying labour force participation rates, considering the historical trends, gross additions to labour force were
estimated for the two time periods. Accommodating for retirement from the existing pool of labour force, net supply
to labour force has been estimated.
Kutch would experience a moderate human resource growth during 2012-22. .Increasing employment opportunities in
organized and unorganized sector could potentially absorb the incremental labour force if matched with adequate
skilling. Details of human resource growth estimations during 2012-22 are presented in the table 236.

Period Gross Addition to Working Gross Addition to Labour Net Addition to Labour
Age Population Force Force-Supply

2012-17 200,506 95,295 58,158

2017-22 219,075 101,138 45,156

6.10.3.4.2. Education and Training Potential in the District

The district has around 1978 K12 schools with 88.78 percent share of Government schools. Kutch district boasts a
perfect net enrolment ratio of 100 percent at the primary level but the net enrolment ratio at upper primary level
stands at low 53.6 percent. There is a need to prop up the education standards at the upper primary level237.

236
KPMG Analysis
237
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat

151
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Total Enrollments Primary Level Upper Primary Level Secondary Level Higher Secondary
in 209-10 (Std I-V) (Std VI-VIII) (Std IX-X) Level (Std XI-XII)
238,859 67,351 57,808 13,447
Kutch

Comparing the district’s enrolment statistics with state average indicates that the district is a strong performer in the
primary education category 238.
Region Net Enrolment Ratio (Primary Level) Net Enrolment Ratio (Upper Primary Level)
Kutch 100.0 53.6
Gujarat 85.4 50.7

In the vocation education segment, the district is average in the provision of vocational training in comparison to
state average. Private interest in the sector in this district is very low indicating that the state must take proactive
measures in increasing private support to augment vocational training infrastructure 239.

Region Number of Seat Vocational Training Private Sector

ITIs Capacity Capacity Density (Seats Participation in
Per 1000 Population) Vocational Training
Kutch 19 4,712 2.25 14%
Gujarat 711 138,106 2.29 26%

Given the unequal distribution of seats, capacity expansion in vocational education in Kutch district needs to be
focused on the tehsils of Mandvi, Anjar, Rapar, Nakhatrana, Abdasa and Bhachau to bring them on par with the
district average in vocational education capacity 240.
Taluka Seat Capacity Vocational Training Private Sector
Capacity Density(Seats Participation in
Per 1000 Population) Vocational Training
Mundra 476 4.34 0%
Lakhpat 268 4.05 0%
Gandhidham 740 2.78 0%
Bhuj 1264 2.77 21%
Mandvi 496 2.20 0%
Anjar 400 1.89 46%
Rapar 440 1.68 0%
Nakhatrana 280 1.64 61%
Abdasa 176 1.37 9%
Bhachau 172 0.88 19%
District Total 4712 2.25 14%

238
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat
239
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat
240
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat

152
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

In the higher education segment, the district has 1 management institute, 3 pharmacy colleges and 6 colleges
offering Arts, Commerce, Science, B.Ed & Law programs. Government Engineering College at Bhuj offers engineering
degree in three branches; mechanical, electrical and mining, with the intake capacity of 60 in each discipline. The
Shyamji Krishna Verma Kutch University (Bhuj) offers courses in environmental science, ecology, physics,
mathematics, chemistry, medicine and business administration. Veerayatan Institute of Pharmacy in Kutch offers
Bachelor of Pharmacy with a total intake capacity of 60. Vivekananda Research & Training Institute at Mandvi
provides training to farmers in various farming skills.

6.10.3.4.3. Demand-Supply Gap Analysis for the District

Incremental skill category wise supply for the periods 2012-17 and 2017-22 in the district are estimated based on net
output from higher education institutions (skilled), vocational training(semi skilled), minimally skilled (school
education) for periods 2012-17 and 2017-22 considering the LPR estimations for the districts in 15-59 age group and
retirement from existing labour force.

Based on the skill category human resource demand projections for 2012-22 and net supply potential, category wise
Demand-Supply gap estimations for the district are presented in the table below.

Category Wise Demand-Supply Gap in the District (2012-22)

2012-17 2017-22
Sector Skilled Semi Minimally Total Skilled Semi Minimally Total
Skilled skilled Skilled skilled
Demand-Supply
Gap 1,326 46,100 48,944 (42,733) 159 35,366 51,289 86,813
*(Indicates excess supply)

6.10.3.4.4. Skill Development Potential through Government Endowments

According to KPMG estimates, based on the potential district budgetary allocation for various central government
schemes around 63 thousand people in total can be trained incrementally during the five year period of 2012-17.
Ministry of Agriculture and Ministry of Labour Schemes are expected to contribute to a significant share of the
training. Manpower training targets have predominant focus on primary sector considering the low level of industrial
development in the district. Private training providers have opportunities in livelihood training programs.

153
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Government Funded Incremental Training Capacity (2012-17) - Kutch District 241

SJSRY 10586

SDI-MES 10385

M/O Agriculture 9839

Using Construction Cess 8015

SGSY 7871

Others 3981

D/O IT 3808

Credit Scheme 3635

Hunar Se Rozgar 2162

ART - M/o Tribal Affairs 870

CSR Funds from Central PSUs 865

SCA under TSP - M/o Tribal Affairs 522

ISDS - Textiles 344

6.10.3.5. District Specific Recommendations

Considering these factors, the proposed action plan for stakeholders in skill development in the district would
indicate the following priority areas:

Stakeholder Action Points for Stakeholders

NSDC • Focus on increasing participation from national/regional private skill training providers
with focus on the following sectors where there is scope for the candidate fee-paying
model
o Silk Production and Processing
District • Provide skill training in conjunction with private skill training providers using government
Administration endowment training schemes
Indore o Pisciculture
o Animal husbandry
o Silk Production and Processing

241
KPMG Analysis

154
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

o Sital Pati, Jute Products

Private Skill • Focus on placement driven training for youth in high growth sectors of state
Training Providers o Iron & Steel
o Engineering/Auto
o IT/ITES
o Construction
o Retail
Corporate • Develop into a manpower sourcing hub
• Initiate and support modular employability skill training in collaboration with private
players/Government
• To create placement linkage opportunities in training institutions

155
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

6.10.4. Skill Gap Assessment of Kheda District

6.10.4.1. Socioeconomic Profile
6.10.4.1.1. Administrative Profile

Kheda District is located in the central part of

Gujarat with a geographical spread of 3959
sq.km 242. It shares border with Ahmedabad,
Panchmahal, Sabarkantha and Vadodara.
Administratively Kheda is divided into 10
talukas and 618 villages 243 with Nadiad as the Kheda
district capital. Nadiad, Balasinor, Kapadvanj,
Kathlal, Kheda, Mahudha, Matar,
Mehmadavad, Thasara and Virpur are taluka
regions in the district.

6.10.4.1.2. Demographic Profile

Kheda district is a moderate human resource potential region in Gujarat state. District has a total population of 22.98
lakhs 244 as per 2011 Census district accounting for 3.8 percent 245 of the overall state population. District has
witnessed a subdued population growth over the last decade. Gandhinagar population has witnessed a decadal
growth rate of 12.81 percent 246 between 2001 and 2011 in comparison to state average of 19.17 percent 247 during the
same period. Significant portion of district population lives in rural areas with these regions accounting for 77.24
percent 248 of the total population. Population spread in the district is higher than the state average with a density of
541 persons per sq.km 249 as against state average of 308 persons per sq.km 250. Analysis of population distribution in
the district as per 2001 census indicates higher human resource potential in the talukas of Nadiad, Thasra,
Kapadvanj and Mehmedabad with Nadiad having highest concentration of population. Details of regional
distribution of population in the district are presented in the table 251.

242
Census 2011 Statistics
243
Census 2011 Statistics
244
Census 2011 Statistics
245
Census 2011 Statistics
246
Census 2011 Statistics
247
Census 2011 Statistics
248
Census 2011 Statistics
249
Census 2011 Statistics
250
Census 2011 Statistics
251
Census 2001Statistics, KPMG Analysis

156
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Regional Distribution of Population in the District 252

Region Contribution to District Population Population Density
(2001) (Persons per Sq.km- 2001)
Nadiad 24% 1198
Thasra 15% 463
Kapadvanj 11% 368
Mehmedabad 11% 560
Kathlal 9% 525
Matar 7% 381
Balasinor 6% 433
Kheda 6% 394
Mahudha 6% 463
Virpur 4% 346

Gender composition of the district population is better than the state average. As per 2011 census, the district has a
gender ration of 937 females per 100 males 253 as against the state average ratio of 918 females per 1000 males 254.
Gender ratio of the district has witnessed an improvement from 923 females per 1000 males 255 in 2001 to 937
females per 1000 males 256 by 2011. Contribution of scheduled categories to the overall district population is
significantly low.

Education attainment levels in the district are better than the state average. As per 2011 estimates, the district has
registered an overall literacy rate of 84.31 percent 257 as against state average of 79.31 percent 258. District has made
significant progress towards regional inclusion in the reach of mass education programs while the gender inclusion
still remains a concern. Urban-rural literacy gap in Kheda is estimated to be 5.07 per cent 259 as against the 14.58
percent 260 for overall state. On the other hand, district still has a male-female literacy gap of 18.73 percent 261 as
against 16.5 percent 262 for Gujarat state. Lower level of overall literacy and inadequate gender inclusion stresses the
need for gender specific approach towards implementation of mass education initiatives. Increasing focus on literacy
would create demand for education and training facilities within the district to support the economic growth of the
region.

6.10.4.1.3. Economic Profile

252
Census 2001Statistics, KPMG Analysis
253
Census 2011 Statistics
254
Census 2011 Statistics
255
Census 2011 Statistics
256
Census 2011 Statistics
257
Census 2011 Statistics
258
Census 2011 Statistics
259
Census 2011 Statistics
260
Census 2011 Statistics
261
Census 2011 Statistics
262
Census 2011 Statistics

157
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Kheda district is also known by the name golden leaf since it is the major producer of tobacco in the state.
Additionally the district has a strong base of cotton cultivation specifically in Nadiad taluka. Nadiad taluka is the
industrial center in the district, with major concentration of industries in sectors like Textiles, Paper, Electrical
equipments and Food processing. One of the largest manufacturers of corrugated boxes in the Country, the Core
Emballage Ltd., is present in the district

The upcoming industrial sectors in the district include Ceramics, Plastic and its products, Cement and Gypsum. There
are huge natural gas reserves in Matar taluka of the district. Oil and gas company Shell India Ltd. has its bottling
plant and filling facilities in the district.

One of the oldest textile industries - New Shorock Mills (Division of Mafatlal Industries) has its operations at Nadiad
is a moderate economy among the districts of Gujarat.

Analysis of regional distribution of investments in Kheda district indicates that the industrial development is
concentrated in Matar, Kheda and Nadiad Talukas while other regions like Mandvi and Nakhtarana still remain
backward in terms of industrial development. Over the recent years State Government has initiated some measures
to enhance the industrial growth further in Kheda talukas through suitable incentives leading to an increased
investment potential of these regions over the next decade. Details of region wise large scale investments in Kheda
district till 2012 is presented in the table.

Large Scale Investment Scenario In Kheda 263

Region Commissioned Under Implementation
No. of Units Investment No. of Units Investment
( INR Cr) ( INR Cr)

Matar 28 400 7 83

Nadiad 25 103 2 57

Kheda 10 419 10 1245

Balasinor 1 1 1 17
Kapadwnj 1 1 -- --
Kathlal 1 27 1 3
Mehmadabad 1 2 1 5
Not Classified 2 242 3 157
District Total 69 1195 25 1567

263
IEM, MSME Part-II Data till 2012-13

158
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Moderate growth of industrialization in the district has widened the scope for establishment of ancillary units in
MSME segment. As per the MSME investment Part–II statistics, overall there are 773 units 264 operating in the
district attracting an investment of INR 66,147 lakhs 265 in 2012. Investment outlook in MSME segment of Kheda
district is presented in the table.

MSME Investment Scenario in Kheda 266

Category of Industries Number of Units Investment In Rs. Lakhs
Micro 556 13,066
Small 205 42,714
Medium 12 10,368
Total 773 66,147
Manufacturing Sector Units 716 63521
Service Enterprises 57 2626

Among the manufacturing based MSME units, Agriculture and Food Processing and Mineral Processing and
Fabrication, wooden products & furniture, chemical & chemical products are the most prominent industries both in
terms of units and investment in MSME manufacturing units.

MSME Manufacturing Sector Scenario in the District 267

Composition of Investments in MSME
Composition of MSME Manufacturing Manufacturing of Manufacturing Units
Units Engineering
Goods
5.2% Auto-Auto
Auto-Auto Components
Components Agri-Allied Agri-Allied
Activities 2.0% Activities
Manufacturing Construction 0.7%
2.2% 1.6%
of Engineering 1.1% Construction Mining &
Goods Mining & 1.0% Quarrying
Eletrical &
3.1% Quarrying 4.5%
Eletronics
5.3%
3.4%
Eletrical &
Eletronics
2.5%
Agro & Food
Processing
Mineral
20.4% Mineral
Prosessing & Agro & Food
Fabrication Prosessing & Processing
27.1% Fabrication 28.5%
21.0%

Wooden Textile &

Chemical & Products & Apparel
Chemical Furniture 3.5%
Rubber & Products 12.8%
Rubber &
Plastics 15.2% Textile &
Plastics
3.1% Paper & Paper Apparel
6.2%
Products Chemical & Wooden 6.4%
2.9% Chemical Paper & Paper Products &
Products Products Furniture
7.8% 5.3% 7.1%

264
IEM, MSME Part-II Data till 2012-13
265
IEM, MSME Part-II Data till 2012-13
266
IEM, MSME Part-II Data till 2012-13
267
IEM, MSME Part-II Data till 2012-13

159
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

While the level of organized investments in services enterprises are low as evident from the MSME Part-II statistics,
sectors of whole sale and retail trade, Printing and Publishing, IT-ITES have seen considerable investments in the
district. Composition of MSME service enterprises and investments are presented in the chart.

MSME Services Sector Scenario in the District 268

Composition of MSME Service Composition of Investments in
Enterprises MSME Service Enterprises
Hospitality and Hospitality and
Tourism Tourism
IT- ITES
1.8% IT- ITES 1.7% Whole sale &
2.9%
10.5% Retail Trade
13.9%

Printing &
Publishing
0.7%

Other Services Other Services

54.4% Whole sale &
80.7%
Retail Trade
28.1%

Printing &
Publishing
5.3%

For promotion of village tourism, the Tourism Corporation of Gujarat Limited (TCGL) has identified Navagam village in
Kheda district to be developed as a rural tourist hub. There are several tourism attractions in Kheda district like Dakor
– a religious place, Dinosaur and Fossil Park, Santaram Temple and Water Structures.

Kheda has a medium penetration of medical institutions with 28,856 people per institution. The district has 50
primary healthcare centers, 12 community healthcare centers and 5 dispensaries. Apart from the above, Kheda also
boasts of Muljibhai Patel Urological Hospital – a multi-specialty hospital, D.D.M.M. Institute of Cardiac Surgery and
an Ayurvedic Hospital 269

The road infrastructure of Kheda has the National Highway 8 which connects it with Ahmadabad, Surat and
Vadodara. The rail infrastructure connects Kheda with other major cities and a broad gauge rail route connects the
district with Mumbai and Ahmadabad. The nearest airport is at Vadodara and the nearest ports are at Hazira &
Dahej.

There is a presence of 173 bank offices in Kheda with a total deposit amount of 6,880 Cr INR and a total credit
amount of 1,666 Cr INR as of Mar 2012 270 Ahmadabad has an average penetration of banking and financial services
with a density of 13,289 people per bank as of March 2012. While the number of banks has increased at a low CAGR

268
IEM, MSME Part-II Data till 2012-13
269
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
270
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

of 4.0 percent from 2007 to 2012, the amount of deposit and credit have increased at a CAGR of 18.5 percent 271 and
18.4 percent 272 respectively from 2007-2012.

Kheda has medium to low rainfall conditions with North Gujarat agro climatic zones. Owning to the soil
characteristics, majority of district geographical land is cultivable (82 percent of total area) with Kathlal, Balasinor,
Kapdvanj and Nadiad talukas having about 85% of their geographic area under cultivation.

The district has good irrigation facilities with nearly 60 percent of the net sown area under irrigation which is majorly
due to the presence of Vatrak and Shedhi rivers in the district. Canal irrigation accounts for around 60 percent of the
net irrigated area with the Nadiad, Mahudha, Matar and Kheda talukas having more than 75 percent of irrigated land.

Poor nitrogen content in Kheda soils has resulted in large scale usage of nitrogen rich fertilizers. Awareness levels on
organic farming and vermin-compost methods are low indicating a need to improve the same in order to promote
sustainable agricultural practices.

Paddy, Bajara and Cotton are the key Kharif crops while wheat and mustard are the major Rabi crops grown in the
district. The ratio of area under Rabi to Kharif crops is 0.7 which indicates significant potential for improvement in
multiple cropping systems. Main horticulture crops in Kheda district are Aonla, Lemon, Papaya, Mango (Fruits),
Potato, Brinjal, Tomato, Okra (Vegetables), Rose, Marigold, Spider lily (Flowers) and Cumin, Funnel (Spices). Currently
usage of hybrid crop varieties is low with a need to promote this practice across crop categories. Taluka Seed Farms
in the district are targeted to improve the availability of quality seeds with the district having 4 of them as of now and
requiring 6 more.

Cow and buffalos are main cattle varieties in Kheda with 4,88,435 cows 273 and 1,54,837 buffalos 274. Other prominent
domestic animals under animal husbandry activities are goats and sheep. The district needs large pasture lands to
utilize the potential to promote animal husbandry in the district. Along with strengthening animal husbandry activities
among small and marginal farmers through advanced rearing training, there is a need for integrating the animal
husbandry with promotion of organic farming as well.

Educating farmer communities/ groups on marketing and processing would be crucial to enhance the revenue
benefits to marginal communities by limiting the role of middlemen. Government initiative to set up agricultural
collection centers towards achieving this objective has to be supplemented by relevant training programs also.

6.10.4.2. Workforce Distribution in the district

Kheda is predominantly dependant on agricultural activities for livelihood generation with over 70 percent of total
workforce engaged in this sector. Considering the low level penetration of manufacturing sector at 9.19 percent
employment generation as against the state average of 15.86 percent, district has potential to become a sourcing hub

271
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
272
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
273
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
274
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

for trained manpower. While the total worker participation rate is marginally better than the state average, high
manpower requirements in agrarian activities due to low output efficiency indicates the level of under employment in
this category. Comparison of workforce distribution scenario in Kheda and Gujarat is presented in the table 275.

Percentage of Employment
Region Labour Force Workforce Primary Secondary
Participation Participation Sector Sector Tertiary Sector
Kheda 57.01% 44.87% 70.43% 9.19% 20.37%
Gujarat 59.27% 41.95% 59.34% 15.86% 24.8%

Registered factories and service enterprises have created 16 thousand 276 employment opportunities in the district.
While the overall manufacturing base is low, high level of unorganized activity has further reduced organized job
prospects in manufacturing sector within the district. MSME category dominated by food processing, non metallic
processing units account for majority share of overall employment in the sector. Category wise industrial employment
details as per 2012 statistics are presented in the table.

Organized Employment in Kheda 277

Category of Industries Employment
Large Scale Industries (Commissioned + Under Implementation) 7806
MSME Category
12340
Manufacturing Units 11754
Service Enterprises 586
Total 20,416

Regional and sectoral analysis of large scale industrial employment indicates a clear concentration of employment in
key sectors within specific taluka regions. Matar, Kheda and Nadad talukas account for a majority share of
employment in this category. Agro & food processing, electrical & electronics, chemical, construction material, paper
& paper products are major employment generating segments within the district. Regional, sectoral break up of large
scale industrial employment is presented in the chart.

275
KPMG Analysis
276
IEM, MSME Part-II Data till 2012-13
277
IEM, MSME Part-II Data till 2012-13

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 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Large Scale Industrial Employment in the District 278

Regional Distribution of Large Scale Industrial Composition of Employment in Large Scale
Employment Other Industries
Manufacturing
2%

Pharmaceuticals Infrastructure
Balasinor Kathlal 1%
6% Agro & Food
1% 1%
Processing
Not Construction 24%
Kheda Material
Classified 30%
11% 10%
Nadiad Manufacturing of
18% Engineering
Goods
2%
Textile &
Apparel
4%
Eletrical &
Mehmadabad Paper & Paper
Eletronics
2% Products
22%
10%
Matar
37% Mineral Chemical &
Prosessing & Rubber & Chemical
Fabrication Plastics Products
3% 4% 12%

Among the manufacturing units in MSME, agro & food processing, mineral processing, chemical & chemical products
units have accounted for majority share of the employment in all the categories of industries. Whole sale & retail
trade, IT-ITES are major employment generating sectors within tertiary enterprises. Details of sector wise industrial
employment in manufacturing and services MSME units as per 2012 statistics are presented in the chart.

278
IEM, MSME Part-II Data till 2012-13

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 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

MSME Employment Overview in the District 279

Composition of Employment in MSME Composition of Employment in
Manufacturing Units MSME Service Enterprises
Auto-Auto
Components Agri-Allied
3.0% Activities
Mining & IT- ITES
Manufacturing of Construction 2.2%
Quarrying 9.7%
Engineering 2.3%
3.6%
Goods Eletrical &
2.6% Eletronics
1.9% Agro & Food
Processing
17.7% Whole sale &
Retail Trade
24.4%

Mineral Textile & Apparel

3.3% Other
Prosessing &
Services
Fabrication
63.8%
36.0% Wooden Products
& Furniture
6.9% Printing &
Chemical & Publishing
Chemical 2.0%
Products Paper & Paper
11.5% Products
3.9%
Rubber & Plastics
5.1%

6.10.4.3. Human Resource Requirement Projections in Kheda (2012-22)

Incremental manpower requirement in the district of Kheda has been estimated based on several parameters such as
investments trends, national level benchmarks on industrial growth across sectors, state manufacturing policy
targets, performance of state against economy targets, national level inclusion targets for certain sectors,
employment generation potential of various sectors based on labour elasticity and market based insights from
discussions with industries in Kheda. Based on the analysis of current state of workforce distribution and potential
employment opportunities in various sectors incremental manpower requirement in key primary, secondary and
tertiary segments is estimated for the periods 2012-17 and 2017-22. Further, manpower requirement is classified into
skilled, semi skilled and minimally skilled categories considering the present level of employment in these categories
for respective sectors and analysis of expected developments in the industry that would lead to significant
realignment of the categories. Detailed approach for manpower estimations is presented in the appendix and specific
factors for estimation are discussed below.

Primary Sector:

Considering the increasing level of farm mechanization and sharing agricultural land usage, period between 2012 and
2022 would witness a net out flux of workforce from the agricultural activities. Agricultural workforce displacement is
expected to be significant in marginal workers category. A significant portion of the workforce would engage in agri-

279
IEM, MSME Part-II Data till 2012-13

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

allied activities depending on the resource availability and migration constraints. Incremental manpower requirement
for the agri- allied activities is estimated considering the following parameters

• Current level of employment in agricultural activities(farmers, agricultural labourers)

• Estimated displacement factors for agricultural workforce based on Planning Commission Projections for
2012-17 and 2017-22 periods and analysis of level of mechanization and allied factors in Gujarat
• Employment potential in agri-allied activities in the district considering the level of involvement in the
respective activities and regional conditions

Manufacturing Sector:

Manpower requirement in secondary sector is driven by investments and output growth. Various factors including
analysis of manufacturing, sub sector policies, investment trends, availability of resources, are considered for the
incremental manpower estimation in different subsectors of manufacturing in the district. Human resource
requirement projections for manufacturing sub sectors in the district are estimated considering the following
parameters

• Manufacturing growth targets for Gujarat for 2012-17 and 2017-22(Increasing secondary sector share in
GSDP to 32% by 2017)
• Identifying key growth sub segments within the district based on study of existing industrial base, primary
interactions
• Estimation of growth targets for the district based on analysis of investment trends in the district in
comparison to the state, available infrastructure, policy thrust on key manufacturing segments identified for
the district
• Labour elasticity factors in the potential sectors for the district
•

Tertiary Sector:

Employment growth in some of the services sector is driven by Government thrust in terms of budgetary allocations to
achieve inclusion targets in education, healthcare and banking while the other segments including hospitality and
tourism, financial intermediation, communication and retail would depend on the level of economic activity in the
region resulting in high or low spending capacity of population. Also segments like IT-ITES, transportation & logistics
are driven by investments into infrastructure and manpower. Hence human resource requirement projections for
services sub sectors would have specific approaches depending on the growth drivers for the segments in the district.
Detailed methodology for estimation of manpower in services sub-segments is presented in the appendix.

Based on the analysis of socio economic conditions, investment scenario and availability resources incremental
manpower requirement has been estimated for the following sectors.

Primary Sector

• Agriculture & Allied Activities( Horticulture, Sericulture, Animal Husbandry and Fisheries)

Secondary Sector

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

• Textile and Apparel

• Manufacturing of Engineering Goods( Including Auto & Auto Components)
• Chemical & Chemical Products(Including Petro Chemicals)
• Drugs & Pharmaceuticals
• Agro & Food Processing
• Electrical and Electronics
• Mineral Processing & Fabrication
• Construction Material(Cement, Ceramics)
• Rubber & Plastics
• Paper & Paper Products
• Infrastructure(Construction)

Tertiary Sector

• IT-ITES
• Transportation & Logistics(including port based logistics)
• Banking & Financial Services
• Organized Retail
• Hospitality & Tourism
• Healthcare
• Education & Training

Incremental manpower requirements for the priority sectors in Kheda district are presented in the table.

Incremental Manpower Requirements in the District 280

Sector 2012-17 2017-22
Skilled Semi Minimally Total Skilled Semi Minimally Total
Skilled skilled Skilled skilled
Agriculture &
NA NA 21853 21853 NA NA 21853 18301
Allied Activities
Agro & Food
91 364 454 909 81 325 406 813
Processing
Textile & Apparel 15 60 76 151 14 54 68 135
Wooden Products
18 71 88 177 16 63 79 158
& Furniture
Paper & Paper
27 109 137 273 24 98 122 244
Products
Chemical &
Chemical 49 194 243 485 43 174 217 434
Products
Rubber & Plastics 20 81 102 204 18 73 91 182
Mineral
105 422 527 1054 94 377 471 943
Processing &

280
KPMG Analysis

166
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Fabrication
Electrical &
42 168 210 419 38 150 188 375
Electronics
Manufacturing of
Engineering 18 73 91 182 16 65 82 163
Goods
Manufacturing of
Construction 16 64 80 161 14 57 72 144
Material
Drugs and
11 43 54 107 10 38 48 96
Pharmaceuticals
Misc.
4 16 19 39 3 14 17 35
Manufacturing
Construction 510 1020 8668 10197 456 912 7753 9121
Trade, Retail 824 1235 6177 8236 900 1350 6752 9003
Transportation &
1130 17941 21345 40415 924 14679 17464 33067
Logistics
Hospitality &
668 1002 5010 6680 534 802 4008 5344
Tourism
Banking &
2215 6646 NA 8862 1551 4653 NA 6203
Financial Services
Healthcare 425 1914 NA 2339 567 2833 NA 3400
Education &
864 5819 NA 6683 1297 3491 NA 4788
Training

Skill requirements in key growth sectors have been analyzed based on industry interactions to understand the
detailed manpower needs. Sector level skill interventions are indicated in the section below 281.

Secondary Sector (Manufacturing, Construction & Energy):

• Food Processing:
Category of Skills Skills

Core Skills Fitter, Electrician, Wireman, Instrumentation, Lab Technician

Allied Skills Instrumentation, Packaging (Jar, Pouch) Operator, AOCP, Lab Attendant, Boiler
Operator, QC Chemists

Skills with acute shortage PPO is required in industries having in house packing development.

• Chemical & Chemical Products:

Category of Skills Skills

281
KPMG Analysis

167
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Core Skills Mechanical, Electrical skills

Allied Skills Instrumentation, boiler attendant,AOCP, lab attendants

Skills with acute shortage MSc/BSc chemists, Electronic Automation with understanding of PLC systems

• Metal & Mineral Processing:

Category of Skills Skills
Core Skills Fitter, Welder, Turner, Electrician

Allied Skills Melter, Boiler Operator

Skills with acute shortage PCB instrumentation

• Construction:
Category of Skills Skills
Core Skills Electricians, carpenters, barbenders, welders and masons

Allied Skills Minimally skilled workers

Skills with acute shortage Machine operators

Services:
• Transportation :
Category of Skills Skills
Core Skills Heavy vehicle drivers, logistics management

Allied Skills Administrative, computer data management

Skills with acute shortage Scheduling and logistics planning

Primary Sector:

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 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

• Cultivation:
Category of Skills Skills
Core Skills Awareness about high yield varieties, micro nutrients and pest Control, Organic
farming and Vermi compost methods, Micro irrigation techniques
Allied Skills Knowledge on food processing techniques and related procedures to extract
greater value from farm produce

Skills with acute shortage Usage and repair of farm equipments, Marketing and management practice

• Agri- Allied Activities:

Category of Skills Skills
Core Skills Modern rearing techniques of live stock, piggery, goatery and fisheries

Allied Skills Knowledge on processing techniques

Skills with acute shortage Marketing and distribution of forest/animal husbandry produce

6.10.4.4. Human Resource Supply Scenario in the District

6.10.4.4.1. Estimation of Labour Force Supply
District-wise incremental supply has been determined based on net addition of labour force. Gross addition to
working age group population during 2012-17 and 2017-22 were determined based on Census 2011 age wise
population accounting for death rate and life expectancy normalized against population corrections in 2017 and 2022.
Applying labour force participation rates, considering the historical trends, gross additions to labour force were
estimated for the two time periods. Accommodating for retirement from the existing pool of labour force, net supply
to labour force has been estimated.

Kheda would experience a moderate human resource growth during 2012-22. Proximity to commercial and industrial
areas like Ahmedabad and Gandhinagar would drive work based outward migration from the district considering the
limited opportunities within the district to support the incremental labour force. Details of human resource growth
estimations during 2012-22 are presented in the table 282.

Period Gross Addition to Working Gross Addition to Labour Net Addition to Labour
Age Population Force Force-Supply

2012-17 236,245 154,598 87,227

282
KPMG Analysis

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

2017-22 214,336 142,759 67,726

6.10.4.4.2. Education and Training Potential in the District

District has around 2583 K12 schools with a 91.44 percent share of Government schools. The district’s net enrolment
ratio for primary levels and upper primary levels are higher than the ratios of the state 283.

Total Enrollments Primary Level Upper Primary Level Secondary Level Higher Secondary
in 2009-10 (Std I-V) (Std VI-VIII) (Std IX-X) Level (Std XI-XII)
Kheda 229403 95482 97560 32987

Comparing the district’s enrolment statistics with state average indicates that the district is a strong performer in the
primary education category 284
Region Net Enrolment Ratio (Primary Level) Net Enrolment Ratio (Upper Primary Level)
Kheda 89.2 60.5
Gujarat 85.4 50.7

In the vocation education segment, the district is ahead in the provision of vocational training in comparison to state
average. Private interest in the sector in this district is high indicating that the state must take proactive measures in
further increasing private support to improve vocational training infrastructure 285.

Region Number of Seat Vocational Training Private Sector

ITIs Capacity Capacity Density (Seats Participation in
Per 1000 Population) Vocational Training
Kheda 31 6,803 2.96 28%
Gujarat 711 138,106 2.29 26%

Given the unequal distribution of seats, capacity expansion in vocational education in Kheda district needs to be
focused on the tehsils of Balasinor, Matar, Kapadvanj, Kathal, Thasara, Virpur, Mahudha, and Mehmedavad to bring
them on par with the district average in vocational education capacity 286.

283
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat
284
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat
285
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat
286
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Taluka Seat Vocational Training Capacity Private Sector Participation in

Capacity Density(Seats Per 1000 Population) Vocational Training
Nadiad 3414 6.15 8%
Kheda 416 3.09 71%
Balasinor 392 2.65 10%
Matar 440 2.63 31%
Kapadvanj 544 2.09 47%
Kathlal 385 1.87 67%
Thasara 632 1.81 80%
Virpur 152 1.54 13%
Mahudha 192 1.47 33%
Mehmedavad 236 0.95 7%
District Total 6803 2.96 28%

In the higher education segment, Nadiad taluka of the district hosts Dharamsinh Desai Institute of Technology which
offers courses in civil, mechanical, electrical, chemicals, instrumentation & control, computer and electronics and
communication engineering as well as management and pharmacy courses. There is one more engineering college –
Charotar Institute of Technology at Changa offering similar courses. There are two nursing colleges, one dental
college, and one ayurvedic college present in the district. The regional Sugarcane Research Station is also located in
Thasara taluka of the district.

6.10.4.4.3. Demand-Supply Gap Analysis for the District

Incremental skill category wise supply for the periods 2012-17 and 2017-22 in the district are estimated based on net
output from higher education institutions (skilled), vocational training(semi skilled), minimally skilled (school
education) for periods 2012-17 and 2017-22 considering the LPR estimations for the districts in 15-59 age group and
retirement from existing labour force.

Based on the skill category human resource demand projections for 2012-22 and net supply potential, category wise
Demand-Supply gap estimations for the district are presented in the table below

Category Wise Demand-Supply Gap in the District (2012-22)

2012-17 2017-22
Sector Skilled Semi Minimally Total Skilled Semi Minimally Total
Skilled skilled Skilled skilled
Demand-Supply
Gap (4,462) 28,316 (1,653) 22,199 (6,279) 19,037 16,015 25,223
*(Indicates excess supply)

6.10.4.4.4. Skill Development Potential through Government Endowments

According to KPMG estimates, based on the potential district budgetary allocation for various central government
schemes around 63 thousand people in total can be trained incrementally during the five year period of 2012-17.
Ministry of Agriculture and Ministry of Labour Schemes are expected to contribute to a significant share of the

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

training. Manpower training targets focus on the primary sector considering the low level of industrial development
in the district. Private training providers have opportunities in livelihood training programs.

Government Funded Incremental Training Capacity (2012-17) - Kheda District 287

M/O Agriculture 12804

SDI-MES 11422

SGSY 10243

SJSRY 7631

Using Construction Cess 6744

Others 4378

D/O IT 4188

Credit Scheme 3998

CSR Funds from Central PSUs 952

Hunar Se Rozgar 669

ART - M/o Tribal Affairs 217

SCA under TSP - M/o Tribal Affairs 130

ISDS - Textiles 107

6.10.4.5. District Specific Recommendations

Considering these factors, the proposed action plan for stakeholders in skill development in the district would
indicate the following priority areas:

Stakeholder Action Points for Stakeholders

NSDC Focus on increasing participation from national/regional private skill training providers
with focus on the following sectors
• Transportation and Logistics
• Healthcare
• Construction
• Hospitality and Tourism
• Banking and Financial Services

287
KPMG Analysis

172
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

District Provide skill training in conjunction with private skill training providers using government
Administration endowment training schemes
• Construction Sector
• Agri Allied Activities
• Mineral and Mineral Processing
• Wood Based Products
• Manufacture of Wooden Products
Private Skill Provide skill training in the sectors of
Training • Transportation and Logistics
Providers • Healthcare
• Construction
• Hospitality and Tourism
• Banking and Financial Services
Corporate Provide training for skills in those sector where the requirement for absorption within the
corporate is higher such as
• IT/ITES
• Construction
• Retail
• Transportation and Logistics
Initiate and support modular employability skill training in collaboration with private
players/Government
Create placement linkage opportunities in training institutions

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

6.10.5. Skill Gap Assessment of Mehsana District

6.10.5.1. Socioeconomic Profile
6.10.5.1.1. Administrative Profile

Mehsana district is located in the northern

part of Gujarat with a geographical spread of
4394 sq.km 288. It shares border with
Mehsana
Banaskantha, Ahmedabad, Patan,
Sabarkantha and Gandhinagar districts of
Gujarat. Administratively Mehsana is divided
into 9 talukas and 606 villages 289 with
Mehsana town as the district capital.
Mehsana, Bechraji, Kadi, Kheralu, Vijapur,
Satlasna, Vadnagar, Visnagar and Unja are
taluka regions in the district.

6.10.5.1.2. Demographic Profile

Mehsana district is a moderate human resource potential region in Gujarat state. The district has a total population
of 20.28 lakhs 290 as per 2011 Census accounting for 3.4 percent 291 of the overall state population. The district has
witnessed a lower population growth over the last decade. Gandhinagar population has witnessed a decadal growth
rate of 9.01 percent 292 between 2001 and 2011 in comparison to state average of 19.17 percent 293 during the same
period. Significant portion of district population lives in rural areas with these regions accounting for 74.65 percent 294
of the total population. Population spread in the district is higher than the state average with a density of 462
persons per sq.km 295 as against state average of 308 persons per sq.km 296. Analysis of population distribution in the
district as per 2001 census indicates higher human resource potential in the talukas of Mehsana, Kadi, Visnagar and
Vijapur with Mehsana, Unjhapur and Visnagar having highest concentration of population. Details of regional
distribution of population in the district are presented in the table 297.

288
Census 2011 Statistics
289
Census 2011 Statistics
290
Census 2011 Statistics
291
Census 2011 Statistics
292
Census 2011 Statistics
293
Census 2011 Statistics
294
Census 2011 Statistics
295
Census 2011 Statistics
296
Census 2011 Statistics
297
Census 2001Statistics, KPMG Analysis

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Regional Distribution of Population in the District 298

Region Contribution to District Population Population Density
(2001) (Persons per Sq.km- 2001)
Mahesana 25% 554
Kadi 16% 352
Visnagar 14% 519
Vijapur 13% 432
Unjha 9% 549
Vadnagar 7% 418
Kheralu 6% 343
Becharaji 5% 222
Satlasana 4% 246

Gender composition of district population is marginally (Word Missing) than the state average. As per 2011 census,
the district has a gender ration of 925 females per 100 males 299 as against the state average ratio of 918 females per
1000 males 300. Contribution of scheduled categories to the overall district population is not significant with a
proportion of 8.58 301 in overall district population.

Education attainment levels in the district are better than the state average. As per 2011 estimates, district has
registered an overall literacy rate of 84.26 percent 302 as against state average of 79.31 percent 303. The district has
made significant progress towards regional inclusion in the reach of mass education programs while the gender
inclusion still remains a concern. Urban-rural literacy gap in Mehsana is estimated to be 7.11 percent 304 as against
the 14.58 percent 305 for overall state. On the other hand, the district still has a male-female literacy gap of 15.76
percent 306 as against 16.5 percent 307 for Gujarat state. Lower level of overall literacy and inadequate gender inclusion
stresses the need for gender specific approach towards implementation of mass education initiatives. Increasing
focus on literacy would create demand for education and training facilities within the district to support the economic
growth of the region.

6.10.5.1.3. Economic Profile

Mehsana district has witnessed substantial industrial development over the past few years, primarily due to its
strategic location. Economic growth for the district is driven by investments in Engineering Industry (mainly
metallurgical industries) and Food & Agro processing. The district has presence of Chemical industry players like

298
Census 2001Statistics, KPMG Analysis
299
Census 2011 Statistics
300
Census 2011 Statistics
301
Census 2001Statistics, KPMG Analysis
302
Census 2011 Statistics
303
Census 2011 Statistics
304
Census 2011 Statistics
305
Census 2011 Statistics
306
Census 2011 Statistics
307
Census 2011 Statistics

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Nirma Ltd. which has set up its manufacturing unit in the district producing a range of products like synthetic
detergents, soap bars, sulphuric acid, shampoo and toothpaste etc.
Several petroleum companies are located in and around Mehsana. Oil and Natural Gas Corporation Limited (ONGC)
has a huge establishment in Mehsana – ONGC asset. Oil division of Essar Group also has presence in the district.
Mehsana district also hosts a Co-operative milk dairy - Dudhsagar, which is the second largest milk dairy in Asia.

Analysis of regional distribution of investments in Mehsana district indicates that the industrial development is
concentrated in Kadi and Mehsana Taluka while other regions like Kheralu, Vadnagar and Satlasana still remain
backward. Over the recent years State Government has initiated measures to enhance the industrial growth in
backward talukas like Satlasana through suitable incentives leading to an increased investment potential of these
regions over the next decade. Details of region wise large scale investments in Mehsana district till 2012 is
presented in the table.

Large Scale Investment Scenario In Mehsana 308

Region Commissioned Under Implementation
No. of Units Investment No. of Units Investment
( INR Cr) ( INR Cr)

Kadi 164 1892 41 1349

Mehsana 59 558 28 1045

Vijpur 12 84 3 101

Visnagar 4 11 -- --
Becharaji 3 9 1 8
Kheralu 1 1 -- --
Vadnagar 1 130 1 --
Satlasana -- -- 2 334
Not Classified 1 420 3 72
District Total 245 3105 79 2909
Rapid growth of industrialization in the district has widened the scope for establishment of ancillary units in MSME
segment. As per the MSME investment Part–II statistics, overall there are 1614 units 309 operating in the district
attracting an investment of INR 1, 56,423 lakhs 310 in 2012. Investment outlook in MSME segment of Mehsana district
is presented in the table.

308
IEM, MSME Part-II Data till 2012-13
309
IEM, MSME Part-II Data till 2012-13
310
IEM, MSME Part-II Data till 2012-13

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 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

MSME Investment Scenario in Mehsana 311

Category of Industries Number of Units Investment In Rs. Lakhs
Micro 1,092 25,985
Small 482 93,970
Medium 40 36,469
Total 1,614 156,423
Manufacturing Sector Units 1,317 132,166
Service Enterprises 297 24,257

MSME segment in Mehsana is dominated by manufacturing industries in terms of both volume and investments.
Among the manufacturing based MSME units, textile and apparel, mineral processing and fabrication, agro and food
processing and chemical and chemical products are prominent categories both in terms of number of units and
magnitude of investments. Composition of MSME manufacturing units and investments are presented in the chart.

MSME Manufacturing Sector Scenario in the District 312

Composition of MSME Manufacturing Composition of Investments in
Units MSME Manufacturing Units
Agri-Allied
Auto-Auto Activities
0.3% Mining &
Components
Quarrying Manufacturing
0.2% Auto-Auto Agri-Allied
1.4% of Engineering Mining &
Components Activities
Goods Quarrying
Construction 0.3% 0.2%
12.2% 2.8%
0.2% Agro & Food Construction
Processing 0.2%
17.2% Agro & Food
Manufacturing Processing
of Engineering 12.0%
Goods Eletrical &
23.1% Eletronics
Eletrical & 1.3%
Eletronics Textile &
1.9% Apparel Mineral Textile &
Mineral 13.7% Prosessing & Apparel
Prosessing & Fabrication 20.2%
Fabrication 24.4%
Wooden
17.2% Chemical & Products &
Chemical Furniture Wooden
Products 2.2% Products &
13.7% Furniture
Rubber & Paper & Paper Rubber & Paper & Paper 2.5%
Plastics Products Plastics Chemical & Products
5.2% 3.7% 4.9% Chemical 4.3%
Products
14.6%

While the level of organized investments in services enterprises are low as evident from the MSME Part-II statistics,
sectors of whole sale and retail trade, Printing and Publishing, transportation and Hospitality have seen considerable
investments. Composition of MSME service enterprises and investments are presented in the chart.

311
IEM, MSME Part-II Data till 2012-13
312
IEM, MSME Part-II Data till 2012-13

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

MSME Services Sector Scenario in the District 313

Composition of MSME Service Enterprises Composition of Investments in
Hospitality and
Tourism IT- ITES Whole sale &
MSME Service Enterprises
2.0% 0.3% Retail Trade Whole sale &
Hospitality and
5.7% Retail Trade
Tourism
4.3%
2.1%
Transportation Transportation
3.4% 3.4%
Printing &
Publishing
2.7% Printing &
Publishing
1.3%

Other Services
85.9%
Other Services
88.9%

Tourism is one of the key sectors of growth in Mahesana. There are tourist destinations like the Sun Temple at
Modhera, Rani Udaymati Vav monument, Taranga Hills and Shanku Water park.

On the higher education front, the district boasts of the Ganpat University and a military school for girls. There are
also three agriculture research centers dedicated to spices, wheat and potatoes respectively.

The district has high penetration of medical institution with 25,033 people per institute. It has 50 primary healthcare
centers, 15 community healthcare centers and 5 hospitals. There is also Sterling Hospital and an Ayurvedic Center of
Dabur. Apart from the above, there are other places like Bahucharaji Temple, Vadnagar Gate and Tana and Riri
Samadhi 314

Mahesana has a 51 km four-lane toll road connecting it with Ahmadabad. The district is also connected with Patan,
Porbandar, Kandla and Ahmadabad by rail. The nearest airport to the district is Ahmadabad airport and the nearest
port is at Dholera.

313
IEM, MSME Part-II Data till 2012-13
314
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Mahesana has a presence of 187 bank offices and the total bank deposit amounts to 5,787 Cr INR and the total credit
amount of 3,937 Cr INR as of Mar 2012 315. While the number of banks has increased at a moderate CAGR of 6.0
percent from 2007 to 2012, the amount of deposit and credit have increased at a CAGR of 20.6 percent316 and 23.6
percent 317 respectively from 2007-2012.

Mehsana has medium to low rainfall conditions with a mix of North Gujarat and North West Zone (Sami, Harij and
Chanasma talukas) agro climatic zones. Owning to the soil characteristics, majority of district geographical land is
cultivable (80 percent of total area).

Although Mehasana is a low rainfall witnessing region, the district has limited spread of irrigation facilities with only
63 percent of net cultivable area under irrigation with Bachraji and Kadi Talukas having as low as 30 percent of net
cultivable area under irrigation, indicating significant opportunities for improvement of irrigation penetration in these
regions. Agricultural irrigation in Mehasana is predominantly dependent on tube wells with 80 percent share of net
irrigated area.

Bajara, Castor, Cotton, Green Gram, Funnel and Paddy are the key Kharif crops while Wheat, Mustard and Cumin are
the major Rabi crops grown in the district. The ratio of area under Rabi to Kharif crops is 0.7 which indicates
significant potential for improvement in multiple cropping systems. Main horticulture crops include Lemon, Potato,
Fennel and Cumin. Currently usage of hybrid crop varieties is low with a need to promote across crop categories. The
district has 2 Taluka Seed Farms in the district which are targeted to improve the availability of quality seeds.

Cow and buffalos are main cattle varieties in Mehasana with 2,16,243 cows 318 and 5,67,605 buffalos 319. Other
prominent domestic animals under animal husbandry activities are goats and sheep. Availability of large pasture
lands indicates significant potential to promote animal husbandry in the district. Along with strengthening animal
husbandry activities among small and marginal farmers through advanced rearing training, there is a need for
integrating the animal husbandry with promotion of organic farming as well.

6.10.5.2. Workforce Distribution in the district

Workforce in Mehsana is predominantly dependant on agrarian activities for livelihood generation. Nearly two thirds
of the employment in the district is contributed by primary sector. While the contribution of individual sectors
towards overall employment indicates a lower proportion of workforce depending on secondary activities, recent
years have been witnessing significant investments leading to higher organized employment generation in this
sector. Higher manpower requirements in agrarian activities due to low output efficiency indicates under

315
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
316
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
317
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
318
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
319
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

employment in this category. Comparison of workforce distribution scenario in Mehsana and Gujarat is presented in
the table 320.

Percentage of Employment
Region Labour Force Workforce Primary Secondary
Participation Participation Sector Sector Tertiary Sector
Mehsana 58.26% 45.08% 65.24% 11.7% 23.05%
Gujarat 59.27% 41.95% 59.34% 15.86% 24.8%

Registered factories and service enterprises have created 80 thousand 321 employment opportunities in the district.
While the traditional manufacturing base is low, improved investment scenario especially in the large scale category
driven by (missing text). Details of category wise industrial employment as per 2012 statistics are presented in the
table.
Organized Employment in Mehsana 322
Category of Industries Employment
Large Scale Industries (Commissioned + Under Implementation) 66,995
MSME Category 27,673
Manufacturing Units 22,390
Service Enterprises 5,283
Total 94,668

Regional and sectoral analysis of large scale industrial employment indicates a clear concentration of employment in
key sectors within specific taluka regions. Mehsana and Kadi talukas account for a majority share of employment in
this category. Chemical & chemical products, agro & food processing are major employment generating segments
within the district. Regional, sectoral break up of large scale industrial employment is presented in the chart.

Large Scale Industrial Employment Overview in the District 323

320
KPMG Analysis
321
IEM, MSME Part-II Data till 2012-13
322
IEM, MSME Part-II Data till 2012-13
323
IEM, MSME Part-II Data till 2012-13

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 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Regional Distribution of Large Scale Composition of Employment in Large Scale

Industrial Employment Industries
Satlasana Hospitality and
1% Tourism Pharmaceuticals
Construction 2% Other
Vijpur Not Classified Material 1% Manufacturing
Vadnagar 4% 2% 8% 1%
2% Manufacturing of
Agro & Food
Engineering
Processing
Eletrical & Goods
17%
Eletronics 3%
Kadi 2% Mineral
36% Prosessing & Textile & Apparel
Fabrication 6%
5%
Rubber & Paper & Paper
Plastics Products
2% 8%
Chemical &
Mehsana Chemical
55% Products
Kheralu
45%
0%

Among the manufacturing units in MSME, agro & food processing, textile & apparel, chemical & chemical products,
mineral processing & fabrication, manufacturing of engineering goods units have accounted for majority share of the
employment in all the categories of industries. Whole sale & retail trade, Transportation are major employment
generating sectors within tertiary enterprises. Details of sector wise industrial employment in manufacturing and
services MSME units as per 2012 statistics are presented in the chart.

MSME Employment Overview in the District 324

Composition of Employment in MSME Composition of Employment in
Manufacturing Units MSME Service Enterprises
Auto-Auto Agri-Allied
Activities IT- ITES
Components Hospitality
0.3% Mining & Quarrying 0.2%
Manufacturing of 0.3% and Tourism
1.2%
Engineering Goods Construction 1.6% Whole sale &
15.4% 0.6% Retail Trade
Agro & Food
Processing 5.9%
12.6%
Transportatio
Eletrical & n
Eletronics 5.8%
1.9%
Printing &
Publishing
1.4%
Textile & Apparel
Mineral Prosessing 16.3%
& Fabrication
23.3% Other
Wooden Products Services
Chemical & & Furniture 85.0%
Chemical 2.9%
Products Paper & Paper
15.2% Products
Rubber & Plastics 4.3%
5.7%

324
IEM, MSME Part-II Data till 2012-13

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

6.10.5.3. Human Resource Requirement Projections in Mehsana (2012-22)

Incremental manpower requirement in the district of Kheda has been estimated based on several parameters such as
investments trends, national level benchmarks on industrial growth across sectors, state manufacturing policy
targets, performance of state against economy targets, national level inclusion targets for certain sectors,
employment generation potential of various sectors based on labour elasticity and market based insights from
discussions with industries in Amreli.

Based on the analysis of current state of workforce distribution and potential employment opportunities in various
sectors incremental manpower requirement in key primary, secondary and tertiary segments is estimated for the
periods 2012-17 and 2017-22. Further, manpower requirement is classified into skilled, semi skilled and minimally
skilled categories considering the present level of employment in these categories for respective sectors and analysis
of expected developments in the industry that would lead to significant realignment of the categories.

Detailed approach for manpower estimations is presented in the appendix and specific factors for estimation are
discussed below.

Primary Sector:

Considering the increasing level of farm mechanization and sharing agricultural land usage, period between 2012 and
2022 would witness a net outflow of workforce from the agricultural activities. Agricultural workforce displacement
is expected to be significant in marginal workers category. A significant portion of the workforce would engage in
agri-allied activities depending on the resource availability and migration constraints. Incremental manpower
requirement for the agri- allied activities is estimated considering the following parameters

• Current level of employment in agricultural activities(farmers, agricultural labourers)

• Estimated displacement factors for agricultural workforce based on Planning Commission Projections for
2012-17 and 2017-22 periods and analysis of level of mechanization and allied factors in Gujarat
• Employment potential in agri-allied activities in the district considering the level of involvement in the
respective activities and regional conditions

Manufacturing Sector:

Manpower requirement in secondary sector is driven by investments and output growth. Various factors including
analysis of manufacturing, sub sector policies, investment trends, availability of resources, are considered for the
incremental manpower estimation in different subsectors of manufacturing in the district. Human resource
requirement projections for manufacturing sub sectors in the district are estimated considering the following
parameters

• Manufacturing growth targets for Gujarat for 2012-17 and 2017-22(Increasing secondary sector share in
GSDP to 32% by 2017)
• Identifying key growth sub segments within the district based on study of existing industrial base, primary
interactions

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

• Estimation of growth targets for the district based on analysis of investment trends in the district in
comparison to the state, available infrastructure, policy thrust on key manufacturing segments identified for
the district
• Labour elasticity factors in the potential sectors for the district

Tertiary Sector:

Employment growth in some of the services sector is driven by Government thrust in terms of budgetary allocations to
achieve inclusion targets in education, healthcare and banking while the other segments including hospitality and
tourism, financial intermediation, communication, retail would depend on the level of economic activity in the region
resulting in high or low spending capacity of population. Also segments like IT-ITES, transportation& logistics are
driven by investments into infrastructure and manpower. Hence human resource requirement projections for services
sub sectors would have specific approaches depending on the growth drivers for the segments in the district.
Detailed methodology for estimation of manpower in services sub-segments is presented in the appendix.

Based on the analysis of socio economic conditions, investment scenario and availability resources incremental
manpower requirement has been estimated for the following sectors.

Primary Sector

• Agriculture & Allied Activities( Horticulture, Sericulture, Animal Husbandry and Fisheries)

Secondary Sector

• Textile and Apparel

• Manufacturing of Engineering Goods( Including Auto & Auto Components)
• Chemical & Chemical Products(Including Petro Chemicals)
• Drugs & Pharmaceuticals
• Agro & Food Processing
• Electrical and Electronics
• Mineral Processing & Fabrication
• Construction Material(Cement, Ceramics)
• Rubber & Plastics
• Paper & Paper Products
• Infrastructure(Construction)

Tertiary Sector

• IT-ITES
• Transportation & Logistics(including port based logistics)
• Banking & Financial Services
• Organized Retail
• Hospitality & Tourism
• Healthcare

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

• Education & Training

Incremental manpower requirements for the priority sectors in Amreli district are presented in the table 325.

Sector 2012-17 2017-22

Skilled Semi Minimally Total Skilled Semi Minimally Total
Skilled skilled Skilled skilled
Agriculture &
Allied Activities NA NA 18628 18628 NA NA 18628 15600
Agro & Food
Processing 313 1252 1565 3130 280 1120 1400 2799
Textile & Apparel 161 645 806 1612 144 577 721 1442
Wooden Products
& Furniture 14 56 70 140 12 50 62 125
Paper & Paper
Products 134 538 672 1344 120 481 601 1202
Chemical &
Chemical
Products 727 2906 3633 7266 650 2599 3249 6499
Rubber & Plastics 60 239 299 599 54 214 268 535
Mineral
Processing &
Fabrication 189 758 947 1894 169 678 847 1694
Electrical &
Electronics 43 174 217 434 39 155 194 388
Manufacturing of
Engineering
Goods 118 471 589 1178 105 422 527 1054
Manufacturing of
Construction
Material 118 472 590 1180 106 422 528 1055
Drugs and
Pharmaceuticals 30 121 151 302 27 108 135 271
Misc.
Manufacturing 11 46 57 114 10 41 51 102
Construction 450 899 7645 8994 402 804 6838 8045
Trade, Retail 726 1090 5448 7264 794 1191 5955 7941
Transportation &
Logistics 732 11629 13835 26196 599 9514 11320 21433
Hospitality &
Tourism 797 1196 5978 7970 638 956 4782 6376
Banking &
Financial Services 2715 8146 NA 10861 1901 5702 NA 7603
Healthcare 387 1743 NA 2131 516 2581 NA 3097
Education &
Training 884 5952 NA 6837 1326 3571 NA 4898

325
KPMG Analysis

184
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Skill requirements in key growth sectors have been analyzed based on industry interactions to understand the
detailed manpower needs. Sector level skill interventions are indicated in the section below 326.

Secondary Sector (Manufacturing, Construction & Energy):

• Textile & Apparel:

Category of Skills Skills

Core Skills Ring frame operator, weaver, processing operator (CDR,BDR,Stuntor), Bar-
coding machine operator

Electrician, Wireman, Fitter

Allied Skills
The industry has high attrition rates in operator roles (semi skilled) owing to
Skills with acute shortage extreme working conditions.

• Food Processing:
Category of Skills Skills

Core Skills Fitter, Electrician, Wireman, Instrumentation, Lab Technician

Allied Skills Instrumentation, Packaging (Jar, Pouch) Operator, AOCP, Lab Attendant, Boiler
Operator, QC Chemists

Skills with acute shortage PPO is required in industries having in house packing development.

• Chemical & Chemical Products:

Category of Skills Skills

Core Skills Mechanical, Electrical skills

Allied Skills Instrumentation, boiler attendant,AOCP, lab attendants

Skills with acute shortage MSc/BSc chemists, Electronic Automation with understanding of PLC systems

• Electrical & Metal & Mineral Processing:

Category of Skills Skills

326
KPMG Analysis

185
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Core Skills Fitter, Welder, Turner, Electrician

Allied Skills Melter, Boiler Operator

Skills with acute shortage PCB instrumentation

• Construction:
Category of Skills Skills
Core Skills Electricians, carpenters, barbenders, welders and masons

Allied Skills Minimally skilled workers

Skills with acute shortage Machine operators

Services:
• Transportation :
Category of Skills Skills
Core Skills Heavy vehicle drivers, logistics management

Allied Skills Administrative, computer data management

Skills with acute shortage Scheduling and logistics planning

• Healthcare :
Category of Skills Skills
Core Skills MBBS Doctors, MD/MS specialists, Physician Assistants/Compounders,
Radiologists, Dialysis technician, Respiratory technician and OT Assistants &
Perfusionist.
Allied Skills Lab technicians, pharmacists

Skills with acute shortage Physiotherapists, Biomedical Instrumentation technicians

Primary Sector:

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 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

• Cultivation:
Category of Skills Skills
Core Skills Awareness about high yield varieties, micro nutrients and pest Control, Organic
farming and Vermi compost methods, Micro irrigation techniques
Allied Skills Knowledge on food processing techniques and related procedures to extract
greater value from farm produce

Skills with acute shortage Usage and repair of farm equipments, Marketing and management practice

• Agri- Allied Activities:

Category of Skills Skills
Core Skills Modern rearing techniques of live stock, piggery, goatery and fisheries

Allied Skills Knowledge on processing techniques

Skills with acute shortage Marketing and distribution of forest/animal husbandry produce

6.10.5.4. Human Resource Supply Scenario in the District

6.10.5.4.1. Estimation of Labour Force Supply
District-wise incremental supply has been determined based on net addition of labour force. Gross addition to
working age group population during 2012-17 and 2017-22 were determined based on Census 2011 age wise
population accounting for death rate and life expectancy normalized against population corrections in 2017 and 2022.
Applying labour force participation rates, considering the historical trends, gross additions to labour force were
estimated for the two time periods. Accommodating for retirement from the existing pool of labour force, net supply
to labour force has been estimated.

Mehsana is among the districts with moderate human resource growth potential during 2012-22. Proximity to
commercial and industrial areas like Ahmedabad and Gandhinagar would drive work based outward migration from
the district considering the limited opportunities within the district to support the incremental labour force. Details of
human resource growth estimations during 2012-22 are presented in the table 327.

Period Gross Addition to Working Gross Addition to Labour Net Addition to Labour
Age Population Force Force-Supply

2012-17 204,983 138,966 79,569

2017-22 179,565 124,973 61,780

327
KPMG Analysis

187
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

6.10.5.4.2. Education and Training Potential in the District

District has around 1250 K12 schools with 81.36 percent share of Government schools. The district’s net enrolment
ratio for primary levels and upper primary levels are slightly higher than the ratios of the state 328.

Total Enrollments Primary Level Upper Primary Level Secondary Level Higher Secondary
in 2009-10 (Std I-V) (Std VI-VIII) (Std IX-X) Level (Std XI-XII)
211,809 75,040 93,930 37,235
Mahesana

Comparing the district’s enrolment statistics with state average indicates that the district is a strong performer in the
primary education category 329

Region Net Enrolment Ratio (Primary Level) Net Enrolment Ratio (Upper Primary Level)
Mahesana 88.1 52.1
Gujarat 85.4 50.7

In the vocation education segment, the district is ahead in the provision of vocational training in comparison to state
average. Private interest in the sector in this district is high indicating that the state must take proactive measures in
further increasing private support to improve vocational training infrastructure 330.

Region Number of Seat Vocational Training Private Sector

it is Capacity Capacity Density (Seats Participation in
Per 1000 Population) Vocational Training
Mehsana 37 6,377 3.14 35%
Gujarat 711 138,106 2.29 26%

Given the unequal distribution of seats, capacity expansion in vocational education in Mahesana district needs to be
focused on the tehsils of Vijapur, Becharaji, Mehsana, Kheralu, Unzha and Kadi to bring them on par with the district
average in vocational education capacity 331.

328
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat
329
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat
330
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat
331
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Taluka Seat Capacity Vocational Training Private Sector

Capacity Density(Seats Participation in
Per 1000 Population) Vocational Training
Visnagar 2212 7.92 11%
Vadnagar 704 4.89 23%
Satlasana 280 3.34 43%
Vijapur 724 2.75 54%
Becharaji 276 2.72 54%
Mehsana 1104 2.17 44%
Kheralu 240 1.90 50%
Unzha 320 1.66 55%
Kadi 517 1.58 77%
District Total 6377 3.14 35%

In the higher education segment, the district has 4 engineering colleges, 8 pharmacy colleges, 3 medical colleges, 8
management colleges and 18 colleges offering Arts, Commerce, Science, B.Ed and Law programs. Ganpat University
is a deemed university with key disciplines such as engineering, pharmacy, management, and computers. The
university boasts of a Military school for girls – one of its kind in Gujarat. There are four Engineering colleges in the
district offering courses in various streams such as IT, Electrical, Mechanical, Electronics & Communications,
Computers and Aeronautical Engineering. There are two government aided Homeopathic Colleges and one
Government Nursing College. There are three agriculture research centers located at Jagudan (for Spices), Vijapur
(for Wheat) and Ladol (for Potatoes) set up by Gujarat Agriculture University.

6.10.5.4.3. Demand-Supply Gap Analysis for the District

Incremental skill category wise supply for the periods 2012-17 and 2017-22 in the district are estimated based on net
output from higher education institutions (skilled), vocational training(semi skilled), minimally skilled (school
education) for periods 2012-17 and 2017-22 considering the LPR estimations for the districts in 15-59 age group and
retirement from existing labour force.

Based on the skill category human resource demand projections for 2012-22 and net supply potential, category wise
Demand-Supply gap estimations for the district are presented in the table below

Category Wise Demand-Supply Gap in the District (2012-22)

2012-17 2017-22
Sector Skilled Semi Minimally Total Skilled Semi Minimally Total
Skilled skilled Skilled skilled
Demand-Supply
Gap (2,179) 29,969 713 28,505 (4,499) 20,438 17,465 30,379
*(Indicates excess supply)
6.10.5.4.4. Skill Development Potential through Government Endowments

According to KPMG estimates, based on the potential district budgetary allocation for various central government
schemes around 58 thousand people in total can be trained incrementally during the five year period of 2012-17.
Ministry of Agriculture and Ministry of Labour Schemes are expected to contribute to a significant share of the

189
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

training. Manpower training targets have predominant focus on primary sector considering the low level of industrial
development in the district. Private training providers have opportunities in livelihood training programs.

Government Funded Incremental Training Capacity (2012-17) - Mahesana District 332

M/O Agriculture 10914

SDI-MES 10074
SGSY 8732
SJSRY 7497
Using Construction Cess 7153
Others 3862
D/O IT 3694
Credit Scheme 3526
ISDS - Textiles 994
CSR Funds from Central PSUs 840
Hunar Se Rozgar 798
ART - M/o Tribal Affairs 60
SCA under TSP - M/o Tribal Affairs 36

6.10.5.5. District Specific Recommendations

Considering these factors, the proposed action plan for stakeholders in skill development in the district would
indicate the following priority areas:

Stakeholder Action Points for Stakeholders

NSDC Focus on increasing participation from national/regional private skill training providers
with focus on the following sectors with a good scope for the candidate fee-paying model
• Transportation and Logistics
• Healthcare
• Construction
• Hospitality and Tourism
• Banking and Financial Services
District Provide skill training in conjunction with private skill training providers using government
Administration endowment training schemes
• Agri allied activities such as animal husbandry, horticulture
• Agro and Food Processing
• Chemical and Chemical Products
• Mineral Processing and Fabrication
Private Skill Provide skill training in the sectors of

332
KPMG Analysis

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Training Providers • Transportation and Logistics

• Healthcare
• Construction
• Hospitality and Tourism
• Banking and Financial Services
• Textiles and Apparel
• Manufacturing of engineering goods
Corporate Provide training for skills in those sector where the requirement for absorption within the
corporate is higher such as
• Construction
• Retail
• Transportation and Logistics
Initiate and support modular employability skill training in collaboration with private
players/Government
Create placement linkage opportunities in training institutions

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

6.10.6. Skill Gap Assessment of Narmada District

6.10.6.1. Socioeconomic Profile
6.10.6.1.1. Administrative Profile

Narmada district is located in the southern

part of Gujarat with a geographical spread of
2755 sq.km 333. It shares a border with Surat,
Vadodara, Bharuch, Tapi district of Gujarat
and Maharashtra state. Administratively
Narmada district is divided into 4 talukas and
609 villages 334 with Rajpimpla town as the
district capital. Nandod, Sagbara, Tilakwada
and Dediapada are taluka regions in the
district. Narmada

6.10.6.1.2. Demographic Profile

Narmada district is a low human resource potential region in Gujarat state. District has a total population of 5.90
lakhs 335 as per 2011 Census district accounting for only 1 percent 336 of the overall state population. Narmada
population has witnessed a decadal growth rate of 14.77 percent 337 between 2001 and 2011 in comparison to state
average of 19.17 percent 338 during the same period. Significant portion of district population lives in rural areas
accounting for 89.56 percent 339of the total population. Population spread in the district is lower than the state
average with a density of 214 persons per sq.km 340 as against state average of 308 persons per sq.km 341. Analysis of
population distribution in the district as per 2001 census indicates higher human resource potential in the talukas of
Nandod and Dediapada with Nandod accounting for nearly half of the district population. Details of regional
distribution of population in the district are presented in the table 342.

333
Census 2011 Statistics
334
Census 2011 Statistics
335
Census 2011 Statistics
336
Census 2011 Statistics
337
Census 2011 Statistics
338
Census 2011 Statistics
339
Census 2011 Statistics
340
Census 2011 Statistics
341
Census 2011 Statistics
342
Census 2001Statistics, KPMG Analysis

192
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Regional Distribution of Population in the District 343

Region Contribution to District Population Density

Population (2001) (Persons per Sq.km- 2001)

Nandod 45% 206

Dediapada 28% 140

Sagbara 16% 228

Tilakwada 11% 229

Gender composition of district population is better than the state average. As per 2011 census district has a gender
ration of 960 females per 1000 males 344 as against the state average ratio of 918 females per 1000 males 345. Further,
district has witnessed an improving trend in female composition with the gender ratio of district has increasing from
949 females per 1000 males 346 in 2001 to 960 females per 1000 males 347 by 2011. District is a key tribal zone in the
state of Gujarat with the scheduled tribes accounting for 78.80 percentage 348 of overall district population.

Education attainment levels in the district are relatively lower than the state average. As per 2011 estimates, district
has registered an overall literacy rate of 73.29 percent 349 as against state average of 79.31 percent 350. Gender and
Regional variations in literacy levels still remains a key concern for the district. Urban-rural literacy gap in Narmada is
estimated to be 16.83 percent 351 as against the 14.58 percent 352 for overall state. Similarly, district still has a male-
female literacy gap of 18.93 percent 353 as against 16.5 percent for Gujarat state. Lower level of overall literacy and
inadequate inclusion stresses the need for gender and region specific approach towards implementation of mass
education initiatives. Increasing focus on literacy would create demand for education and training facilities within the
district to support the economic growth of the region.

6.10.6.1.3. Economic Profile

A major stratum of population in Narmada district is dependent on Agriculture for livelihood. Industries such as
textiles, sugar, and chemicals observed major investments and substantial growth during the past two decades. The
district has number of small scale industries engaged in repair & services, wood products, paper, and food products
are present in the district of which almost half are present in Nandod taluka.

343
Census 2001Statistics, KPMG Analysis
344
Census 2011 Statistics
345
Census 2011 Statistics
346
Census 2011 Statistics
347
Census 2011 Statistics
348
Census 2001Statistics, KPMG Analysis
349
Census 2011 Statistics
350
Census 2011 Statistics
351
Census 2011 Statistics
352
Census 2011 Statistics
353
Census 2011 Statistics

193
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Analysis of regional distribution of investments in Narmada district indicates that industrial development is
concentrated in Nandod Taluka. Over the recent years State Government has initiated some measures to enhance the
industrial growth in other talukas through suitable incentives leading to an increased investment potential of these
regions over the next decade. Details of region wise large scale investments in Narmada district till 2012 is
presented in the table.

Large Scale Investment Scenario In Narmada 354

Region Commissioned Under Implementation
No. of Units Investment No. of Units Investment
( INR Cr) ( INR Cr)

Nadod 1 39 2 301

Not Classified -- -- 2 39

District Total 1 39 4 340

Moderate growth of industrialization in the district has widened the scope for establishment of ancillary units in
MSME segment. As per the MSME investment Part–II statistics, overall there are 515 units 355 operating in the
district attracting an investment of INR 4,541 lakhs 356 in 2012. Investment outlook in MSME segment of Narmada
district is presented in the table.

MSME Investment Scenario in Narmada 357

Category of Industries Number of Units Investment In Rs. Lakhs
Micro 502 1301
Small 12 1889
Medium 1 1351
Total 515 4541
Manufacturing Sector Units 406 3056
Service Enterprises 109 1486

MSME segment in Narmada is dominated by manufacturing industries in terms of both volume and investments.
Among the manufacturing based MSME units, textile and apparel, wooden products & furniture and mineral
processing are prominent categories in terms of number of units. However, agro and food processing, chemical and
chemical products and textile and apparel are prominent industries from the point of view of investments.
Composition of MSME manufacturing units and investments are presented in the chart.

354
IEM, MSME Part-II Data till 2012-13
355
IEM, MSME Part-II Data till 2012-13
356
IEM, MSME Part-II Data till 2012-13
357
IEM, MSME Part-II Data till 2012-13

194
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

MSME Manufacturing Sector Scenario in the District 358

Composition of MSME Manufacturing Composition of Investments in
Units MSME Manufacturing Units
Manufacturing
of Engineering
Mineral Goods Auto-Auto
Prosessing & Components Agri-Allied
0.5% Manufacturing Auto-Auto
Fabrication 1.0% Activities Eletrical &
Eletrical & 1.5% of Engineering Components
8.4% Eletronics
Eletronics Goods 2.3%
Mining & 0.3%
2.5% 0.7% Agri-Allied
Rubber & Quarrying Mineral
Activities
Plastics 2.7% Prosessing &
3.7%
1.2% Fabrication
Chemical & Agro & Food Rubber7.7%
&
Chemical Processing Plastics Mining &
Products 7.4% 0.7% Quarrying
2.2% 12.7%
Wooden
Products &
Furniture
Chemical &
14.5%
Chemical
Products
28.8%
Textile &
Apparel
58.1% Textile & Agro & Food
Paper & Paper Apparel Processing
Products 11.8% 30.9%
Wooden
0.0%
Products &
Furniture
0.5%

While the level of organized investments in services enterprises is low as evident from the MSME Part-II statistics,
sectors of whole sale and retail trade and IT-ITES have seen considerable investments in the district. Composition of
MSME service enterprises and investments are presented in the chart.

MSME Services Sector Scenario in the District 359

Composition of MSME Service Composition of Investments in
Enterprises MSME Service Enterprises
Whole sale &
IT- ITES Retail Trade
IT- ITES
1.8% 3.2%
10.1%
Printing &
Publishing
0.2%

Other Services
39.4%

Other
Whole sale & Services
Retail Trade 94.8%
Printing &
49.5%
Publishing
0.9%

358
IEM, MSME Part-II Data till 2012-13
359
IEM, MSME Part-II Data till 2012-13

195
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

The district boasts many places of touristic importance like Rajwant Palace, Shoolpaneshwar Wildlife Sanctuary and
Sardar Sarovar Dam. The presence of Vadia Palace, Dashavatar Ranchhodrai Mandir, and Nizamshah Dargahattracts
tourists. There are opportunities for investment in tourism in the sub-sectors of eco-tourism, hotels and medical value
travel.

Narmada district has a high penetration of medical institution, with 22,706 people per institute. The district has 21
primary healthcare centers and 4 community healthcare centers. Apart from the above, Narmada also boasts of
hospitals like Rajpipla hospital and Netra Seva Trust Hospital 360.

The road infrastructure of Narmada connects it with the key industrial cities like Ahmadabad, Rajkot, Ankleshwar,
Surat and Gandhinagar. There are four railway stations in the district. The nearest airport to the districts is in Surat
and Vadodara.

Narmada has a presence of 38 bank offices and the total bank deposit amounts to 687 Cr INR and the total credit
amount of 310 Cr INR as of Mar 2012 361. Narmada has a relatively lower penetration of banking and financial
services with a density of 15,536 people per bank as of March 2012. While the CAGR of the number of banks in
Narmada is the highest amongst all districts at 9.6 percent from 2007 to 2012, the amount of deposit and credit have
increased at a CAGR of 23.1 percent and 19.7 percent 362 respectively from 2007-2012.

Narmada has high rainfall conditions and mostly constitutes the South Gujarat agro climatic zone. Owning to the soil
characteristics, a good portion of district geographical land is cultivable (40 percent of total area). The location of the
district near the river and the high rainfall has resulted in good forest coverage (44 percent of total geographical
area).

The district has good spread of irrigation facilities with 69 percent 363 of net cultivable area under irrigation.
Agricultural irrigation in Narmada is predominantly dependent on canals followed by open wells with a 38 percent
and 29 percent share of net irrigated area respectively. Large scope for the operation and maintenance of pumps and
tube wells would mandate requirement of skilled manpower with knowledge on repair and maintenance. Further
there is an increasing need to promote micro irrigation and water management programs in the district.

Poor nitrogen content in Narmada soils has resulted in large scale usage of nitrogen rich fertilizers. Awareness levels
on organic farming and vermi compost methods are low indicating a need to improve the same in order to promote
sustainable agricultural practices.

Cotton is the major Kharif crop while Sorghum, Gram and Wheat are the key Rabi crops grown in the district. Main
horticulture crops include Banana, Mango, Brinjal, Cowpea and Okra. The ratio of Rabi to Kharif in the district is
around 0.1 indicating a very poor multiple cropping practice in the district. Currently usage of hybrid crop varieties is

360
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
361
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
362
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
363
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07

196
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

low with a need to promote this practice across crop categories. Taluka Seed Farms in the district are targeted to
improve the availability of quality seeds.

Cows and buffalos are main cattle varieties in Narmada with 1,40,863 cows 364 and 58,951 buffalos 365. Other
prominent domestic animal under animal husbandry activities is goat. Availability of large pasture lands indicates
significant potential to promote animal husbandry in the district. Along with strengthening animal husbandry
activities among small and marginal farmers through advanced rearing training, there is a need for integrating the
animal husbandry with promotion of organic farming as well.

6.10.6.2. Workforce Distribution in the district

Narmada is predominantly dependant on agricultural activities for livelihood generation with 68.7 percent of total
workforce engaged in this sector. Considering the low level penetration of manufacturing sector at 10.5 percent
employment generation as against the state average of 15.86 percent coupled with high level of unorganized activity,
the district has potential to become a sourcing hub for trained manpower. While the total worker participation rate is
higher than the state average, high manpower requirements in agrarian activities due to low output efficiency
indicates a level of under employment in this category. Comparison of workforce distribution scenario in Narmada
and Gujarat is presented in the table 366.
Percentage of Employment
Region Labour Force Workforce Primary Secondary Tertiary
Participation Participation Sector Sector Sector
Narmada 63.05% 50.37% 68.74% 10.5% 20.77%
Gujarat 59.27% 41.95% 59.34% 15.86% 24.8%

Registered factories and service enterprises have created only 3,400 employment opportunities in the district. While
the overall manufacturing base is low, high level of unorganized activity has further reduced organized job prospects
in manufacturing sector within the district.

MSME category dominated by quarrying and apparel units accounted for a major share of overall employment in the
sector. Category wise industrial employment details as per 2012 statistics are presented in the table.

Organized Employment in Narmada 367

Category of Industries Employment
Large Scale Industries (Commissioned + Under Implementation) 994
MSME Category 2872
Manufacturing Units 2544
Service Enterprises 328
Total 3866

364
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
365
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
366
KPMG Analysis
367
IEM, MSME Part-II Data till 2012-13

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 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Regional and sectoral analysis of large scale industrial employment indicates a clear concentration of employment in
key sectors within specific taluka regions. Nadod taluka accounts for a majority share of employment in this category.
Agro & food processing, chemical & chemical products are major employment generating segments within the
district. Regional, sectoral break up of large scale industrial employment is presented in the chart.

Large Scale Industrial Employment Overview in the District 368

Regional Distribution of Large Scale Composition of Employment in Large Scale
Industrial Employment Industries
Infrastructure
Not Chemical &
6%
Classified Chemical
16% Products
14%

Nadod Agro & Food

84% Processing
80%

Among the manufacturing units in MSME, agro & food processing, mining, textile & apparel units have accounted for
majority share of the employment in all the categories of industries. Whole sale & retail trade, IT-ITES are major
employment generating sectors within tertiary enterprises. Details of sector wise industrial employment in
manufacturing and services MSME units as per 2012 statistics are presented in the chart.

MSME Employment Overview in the District 369

Composition of Employment in MSME
Eletrical &
Manufacturing Units Components
Auto-Auto

Eletronics 1.1%
1.4%
Mineral
Agri-Allied
Prosessing &
Activities
Fabrication
3.4% Mining &
8.4%
Quarrying
21.8%
Chemical &
Chemical
Products
8.1% Wooden
Products &
Furniture
7.7%

Agro & Food

Textile & Processing
Apparel 17.9%
29.1%

368
IEM, MSME Part-II Data till 2012-13
369
IEM, MSME Part-II Data till 2012-13

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

6.10.6.3. Human Resource Requirement Projections in Narmada (2012-22)

Incremental manpower requirement in the district of Amreli has been estimated based on several parameters such as
investments trends, national level benchmarks on industrial growth across sectors, state manufacturing policy
targets, performance of state against economy targets, national level inclusion targets for certain sectors,
employment generation potential of various sectors based on labour elasticity and market based insights from
discussions with industries in Amreli. Based on the analysis of current state of workforce distribution and potential
employment opportunities in various sectors incremental manpower requirement in key primary, secondary and
tertiary segments is estimated for the periods 2012-17 and 2017-22. Further, manpower requirement is classified into
skilled, semi skilled and minimally skilled categories considering the present level of employment in these categories
for respective sectors and analysis of expected developments in the industry that would lead to significant
realignment of the categories. Detailed approach for manpower estimations is presented in the appendix and specific
factors for estimation are discussed below.

Primary Sector:

Considering the increasing level of farm mechanization and sharing agricultural land usage, period between 2012 and
2022 would witness a net out flux of workforce from the agricultural activities. Agricultural workforce displacement is
expected to be significant in marginal workers category. A significant portion of the workforce would engage in agri-
allied activities depending on the resource availability and migration constraints. Incremental manpower requirement
for the agri- allied activities is estimated considering the following parameters

• Current level of employment in agricultural activities(farmers, agricultural labourers)

• Estimated displacement factors for agricultural workforce based on Planning Commission Projections for
2012-17 and 2017-22 periods and analysis of level of mechanization and allied factors in Gujarat
• Employment potential in agri-allied activities in the district considering the level of involvement in the
respective activities and regional conditions

Manufacturing Sector:

Manpower requirement in secondary sector is driven by investments and output growth. Various factors including
analysis of manufacturing, sub sector policies, investment trends, availability of resources, are considered for the
incremental manpower estimation in different subsectors of manufacturing in the district. Human resource
requirement projections for manufacturing sub sectors in the district are estimated considering the following
parameters

• Manufacturing growth targets for Gujarat for 2012-17 and 2017-22(Increasing secondary sector share in
GSDP to 32% by 2017)
• Identifying key growth sub segments within the district based on study of existing industrial base, primary
interactions
• Estimation of growth targets for the district based on analysis of investment trends in the district in
comparison to the state, available infrastructure, policy thrust on key manufacturing segments identified for
the district
• Labour elasticity factors in the potential sectors for the district

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Tertiary Sector:

Employment growth in some of the services sector is driven by Government thrust in terms of budgetary allocations to
achieve inclusion targets in education, healthcare and banking while the other segments including hospitality and
tourism, financial intermediation, communication, retail would depend on the level of economic activity in the region
resulting in high or low spending capacity of population. Also segments like IT-ITES, transportation& logistics are
driven by investments into infrastructure and manpower. Hence human resource requirement projections for services
sub sectors would have specific approaches depending on the growth drivers for the segments in the district.
Detailed methodology for estimation of manpower in services sub-segments is presented in the appendix.

Based on the analysis of socio economic conditions, investment scenario and availability resources incremental
manpower requirement has been estimated for the following sectors.

Primary Sector

• Agriculture & Allied Activities( Horticulture, Sericulture, Animal Husbandry and Fisheries)

Secondary Sector

• Textile and Apparel

• Chemical & Chemical Products(Including Petro Chemicals)
• Agro & Food Processing
• Mineral Processing & Fabrication
• Infrastructure(Construction)

Tertiary Sector

• Transportation & Logistics(including port based logistics)

• Banking & Financial Services
• Organized Retail
• Hospitality & Tourism
• Healthcare
• Education & Training

Incremental manpower requirements for the priority sectors in Amreli district are presented in the table 370.

Sector 2012-17 2017-22

Skilled Semi Minimally Total Skilled Semi Minimally Total
Skilled skilled Skilled skilled
Agriculture &
NA NA 6507 6507 NA NA 5450 5450
Allied Activities
Agro & Food
27 109 137 273 24 98 122 244
Processing
Textile & Apparel 16 64 80 160 14 57 72 143

370
KPMG Analysis

200
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Wooden Products
4 17 21 42 4 15 19 38
& Furniture
Chemical &
Chemical 7 28 35 71 6 25 32 63
Products
Mineral
Processing & 17 66 83 166 15 59 74 149
Fabrication
Construction 131 262 2226 2619 117 234 1991 2342
Trade, Retail 211 317 1586 2115 231 347 1734 2312
Transportation &
36 569 677 1281 29 465 554 1048
Logistics
Hospitality &
270 405 2025 2700 216 324 1620 2160
Tourism
Banking &
Financial 1895 5685 NA 7580 1327 3980 NA 5306
Services
Healthcare 183 825 NA 1008 244 1221 NA 1465
Education &
231 1557 NA 1789 347 934 NA 1282
Training

Skill requirements in key growth sectors have been analyzed based on industry interactions to understand the
detailed manpower needs. Sector level skill interventions are indicated in the section below 371.

Secondary Sector (Manufacturing, Construction & Energy):

• Food Processing:
Category of Skills Skills

Core Skills Fitter, Electrician, Wireman, Instrumentation, Lab Technician

Allied Skills Instrumentation, Packaging (Jar, Pouch) Operator, AOCP, Lab Attendant, Boiler
Operator, QC Chemists

Skills with acute shortage PPO is required in industries having in house packing development.

• Construction:
Category of Skills Skills
Core Skills Electricians, carpenters, barbenders, welders and masons

371
KPMG Analysis

201
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Allied Skills Minimally skilled workers

Skills with acute shortage Machine operators

Services:

• Transportation :
Category of Skills Skills
Core Skills Heavy vehicle drivers, logistics management

Allied Skills Administrative, computer data management

Skills with acute shortage Scheduling and logistics planning

• Education:
Category of Skills Skills
Core Skills School teachers, higher education faculty

Allied Skills Knowledge on advanced teaching tools

Skills with acute shortage Technical education trainers

Primary Sector:

• Cultivation:
Category of Skills Skills
Core Skills Awareness about high yield varieties, micro nutrients and pest Control, Organic
farming and Vermi compost methods, Micro irrigation techniques
Allied Skills Knowledge on food processing techniques and related procedures to extract
greater value from farm produce

Skills with acute shortage Usage and repair of farm equipments, Marketing and management practice

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 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

• Agri- Allied Activities:

Category of Skills Skills
Core Skills Modern rearing techniques of live stock, piggery, goatery and fisheries

Allied Skills Knowledge on processing techniques

Skills with acute shortage Marketing and distribution of forest/animal husbandry produce

6.10.6.4. Human Resource Supply Scenario in the District

6.10.6.4.1. Estimation of Labour Force Supply
District-wise incremental supply has been determined based on net addition of labour force. Gross addition to
working age group population during 2012-17 and 2017-22 were determined based on Census 2011 age wise
population accounting for death rate and life expectancy normalized against population corrections in 2017 and 2022.
Applying labour force participation rates, considering the historical trends, gross additions to labour force were
estimated for the two time periods. Accommodating for retirement from the existing pool of labour force, net supply
to labour force has been estimated.

Narmada is among the districts with low human resource growth potential during 2012-22.. High incidence of
outward migration over the last decade into industrial clusters of Vadodara and Surat has resulted in limited
declining population growth in this region. Details of human resource growth estimations during 2012-22 are
presented in the table 372.

Period Gross Addition to Working Gross Addition to Labour Net Addition to Labour
Age Population Force Force-Supply

2012-17 63,600 46,179 24,884

2017-22 57,987 42,601 19,321

6.10.6.4.2. Education and Training Potential in the District

The district has around 769 K12 schools with a 95.84 percent share of Government schools. The net enrolment ratios
at both primary level and upper primary levels for the district are higher than that of the state 373.

372
KPMG Analysis
373
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat

203
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Total Enrollments Primary Level Upper Primary Level Secondary Level Higher Secondary
in 2009-10 (Std I-V) (Std VI-VIII) (Std IX-X) Level (Std XI-XII)
Narmada 58,202 23,096 21,710 6,078

Comparing the district’s enrolment statistics with state average indicates that the district is a strong performer in the
primary education category 374
Region Net Enrolment Ratio (Primary Level) Net Enrolment Ratio (Upper Primary Level)
Narmada 88.3 59.8
Gujarat 85.4 50.7

In the vocation education segment, the district lags behind in the provision of vocational training in comparison to
state average. Private interest in the sector in this district is nil indicating that the state must take proactive
measures in seeking private support to augment vocational training infrastructure 375.

Region Number of Seat Vocational Training Private Sector

ITIs Capacity Capacity Density (Seats Participation in
Per 1000 Population) Vocational Training
Narmada 6 932 1.58 0%
Gujarat 711 138,106 2.29 26%

Given the unequal distribution of seats, capacity expansion in vocational education in Narmada district needs to be
focused on the tehsils of Vijapur, Becharaji, Mehsana, Kheralu, Unzha and Kadi to bring them on par with the district
average in vocational education capacity 376.
Taluka Seat Capacity Vocational Training Private Sector
Capacity Density(Seats Participation in
Per 1000 Population) Vocational Training
Tilakwada 132 2.05 0%
Sagbara 188 1.96 0%
Nandod 424 1.60 0%
Dediyapada 188 1.14 0%
District total 932 1.58 0%

The district has 1 pharmacy college and 7 colleges offering Arts, Commerce, Science, B. Ed and Law programs. Some
of the colleges present in the district are M.R. Arts & Science College and Ratnasinhji Mahida Commerce College.

6.10.6.4.3. Demand-Supply Gap Analysis for the District

Incremental skill category wise supply for the periods 2012-17 and 2017-22 in the district are estimated based on net
output from higher education institutions (skilled), vocational training(semi skilled), minimally skilled (school
education) for periods 2012-17 and 2017-22 considering the LPR estimations for the districts in 15-59 age group and
retirement from existing labour force.

374
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat
375
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat
376
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat

204
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Based on the skill category human resource demand projections for 2012-22 and net supply potential, category wise
Demand-Supply gap estimations for the district are presented in the table below

Category Wise Demand-Supply Gap in the District (2012-22)

2012-17 2017-22
Sector Skilled Semi Minimally Total Skilled Semi Minimally Total
Skilled skilled Skilled skilled
Demand-Supply
Gap 238 7,741 (6,554) 1,427 (550) 5,050 (1,819) 2,681
*(Indicates excess supply)
6.10.6.4.4. Skill Development Potential through Government Endowments

According to KPMG estimates, based on the potential district budgetary allocation for various central government
schemes around 20 thousand people in total can be trained incrementally during the five year period of 2012-17.
Ministry of Agriculture and Ministry of Labour Schemes are expected to contribute to a significant share of the
training. Manpower training targets have predominant focus on primary sector considering the low level of industrial
development in the district. Private training providers have opportunities in livelihood training programs.

Government Funded Incremental Training Capacity (2012-17) - Narmada District 377

M/O Agriculture 3813

SGSY 3050
SDI-MES 2933
ART - M/o Tribal Affairs 2684
Using Construction Cess 1739
SCA under TSP - M/o Tribal Affairs 1611
Others 1124
D/O IT 1075
Credit Scheme 1027
SJSRY 899
Hunar Se Rozgar 270
CSR Funds from Central PSUs 244
ISDS - Textiles 202

6.10.6.5. District Specific Recommendations

Considering these factors, the proposed action plan for stakeholders in skill development in Narmada district would
indicate the following priority areas:

377
KPMG Analysis

205
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Stakeholder Action Points for Stakeholders

NSDC Focus on increasing participation from national/regional private skill training providers
with focus on the following sectors with a good scope for the candidate fee-paying model
• Transportation and Logistics
• Healthcare
• Construction
• Hospitality and Tourism
• Banking and Financial Services
District Provide skill training in conjunction with private skill training providers using government
Administration endowment training schemes
• Agri allied activities such as animal husbandry, horticulture crops such as Banana,
Mango, Brinjal, Cowpea and Okra
• Textile and Apparel
• Mineral and Mineral Processing
• Agro and Food Processing
Private Skill Provide skill training in the sectors of
Training • Transportation and Logistics
Providers • Healthcare
• Construction
• Hospitality and Tourism
• Banking and Financial Services
• Textiles and Apparel
Corporate Provide training for skills in those sector where the requirement for absorption within the
corporate is higher such as
• Construction
• Retail
• Transportation and Logistics
Initiate and support modular employability skill training in collaboration with private
players/Government
Create placement linkage opportunities in training institutions

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

6.10.7. Skill Gap Assessment of Amreli District

6.10.7.1. Socioeconomic Profile
6.10.7.1.1. Administrative
Profile

Amreli district is situated in the Saurashtra region of Gujarat

shares its border with Bhavnagar, Rajkot and Junagadh
districts on three sides and Arabian Sea in the south.
Administratively, the district is divided into 11 talukas and
616 villages 378. Amreli, Vadiya, Bagsara, Liliya, Khambha,
Rajula, Jafrabad, Babra, Dhari, Savarkundala and Lathi are Amreli
the subdivisions/talukas in the district. The district has 9
statutory towns 379 with Amreli town as the capital.

6.10.7.1.2. Demographic Profile

Amreli has a population of 15.13 lakhs 380 as per 2011 estimates which accounts for 2.5 percent 381 of the overall state
population. The district is predominantly rural with a 75 percent 382rural population composition. The human resource
potential in the district is lower than the state average considering its population density of 205 persons per sq.km as
against the state average of 308 persons per sq.km 383. Further, population is the district is unevenly distributed across
the talukas leading to higher human resource potential in some talukas compared to others. An analysis of taluka -
wise population distribution as per 2001 Census indicate that Savar and Amreli regions account for significantly high
human resource potential of the district while Lila and Bhaghsara have low human resource base. The taluka-wise
population distribution details are presented in the table 384.

Regional Distribution of Population in the District 385

Region Contribution to District Population Population Density
(2001) (Persons per Sq.km- 2001)
Savar 16.4% 207
Amreli 15.6% 244
Rajula 10.4% 221
Dhari 9.8% 132

378
Census 2011 Statistics
379
Census 2011 Statistics
380
Census 2011 Statistics
381
Census 2011 Statistics
382
Census 2011 Statistics
383
Census 2011 Statistics
384
Census 2001Statistics, KPMG Analysis
385
Census 2001Statistics, KPMG Analysis

207
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Lathi 9.5% 209

Babra 8.8% 155
Kunkavav 6.9% 176
Jafrabad 6.5% 255
Khambha 6.1% 142
Bagasara 5.6% 223
Lilia 4.4% 154

The decreasing female composition in the overall population is a key concern for the district indicating the need to
enhance gender-centric development programs. The adult gender ratio of the district has decreased from 987 females
per 1000 males 386 in 2001 to 964 females per 1000 males 387 in 2011. This indicates that inclusive growth in Amreli
could be achieved through higher focus on female centric initiatives. The representation of scheduled categories to
the overall population is also not significant.

The education attainment levels in the district are lower than the state average as evident from the literacy rate of
74.49 percent 388 in comparison to the state average of 79.31 percent 389. However, the district has witnessed higher
levels of inclusion in literacy with the district registering lower urban-rural and male-female literacy rate gaps than
the state average.. Considering the low levels of literacy rates it is imperative to improve literacy across all segments
of population to develop quality workforce in the district.

6.10.7.1.3. Economic Profile

Amreli district is traditionally an agrarian district with limited industrial growth. However, over the recent years there
has been an upsurge in industrial development in the region owing largely to port-based industries around Pipav. It’s
proximity to Ahmedabad has further helped in boosting the economic activity within Amreli. Industrial development in
the region is largely dependent on MSME segment. The district has 6 GIDC industrial estates and one industrial
center which have helped in garnering industrial investments in this region. As per the IEM, LIO, LOP investment
details, the district has a total of 22 commissioned 390 large scale industrial units attracting an investment of INR 2247
Cr 391 along with 26 units under implementation 392 with an investment of INR 23,184 Cr 393. Construction-based
material industries like cement, chemical and chemical products, electrical and electronics, textile, mineral
processing and logistics are key industrial segments within the district. Some of the leading industries in the district
are UltraTech Cement Co. Ltd, Narmada Cement Co. Ltd, Metadist Co.Ltd, Dharamshi Morarji Chemicals Ltd., and
GHC Ltd.

An analysis of regional distribution of investments in Amreli district indicates that the industrial development is
concentrated around Rajula, Amreli and Dhari Talukas while Jafrabad, Bagsara are emerging destination for

386
Census 2011 Statistics
387
Census 2011 Statistics
388
Census 2011 Statistics
389
Census 2011 Statistics
390
IEM, MSME Part-II Data till 2012-13
391
IEM, MSME Part-II Data till 2012-13
392
IEM, MSME Part-II Data till 2012-13
393
IEM, MSME Part-II Data till 2012-13

208
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

investment with significant investments under implementation. Other regions including Lathi, Khambha, Vadiya, Liliya
and Savarkundala still remain backward in terms of industrial development. Over the recent years the state
government has initiated measures to enhance industrial growth in backward talukas across the state over the next
decade. Details of region-wise large scale investments in Amreli district till 2012 is presented in the table.

Large Scale Investment Scenario In Amreli 394

Region Commissioned Under Implementation
No. of Units Investment No. of Units Investment
( INR Cr) ( INR Cr)

Rajula 10 2171 9 13776

Amreli 2 6 6 5381

Dhari 3 12 1 301

Jafrabad 3 236
Bagasara 1 193
Lathi 1 49
Khambha 1 38
Babra 3 18 2 4
Vadiya
Liliya
Savarkundala
Not Classified
1 2 3 3244
District Total
20 2247 26 23184

The growth of logistics industry in the district has widened the scope for establishment of ancillary units in MSME
segment. As per the MSME investment Part–II statistics, overall there are 630 units 395 operating in the district
attracting an investment of INR 26,895 lakhs 396 in 2012. The MSME segment in Amreli is dominated by
manufacturing industries in terms of both volume and investments with limited number of registered service
enterprises indicating high level of unorganized activity in services segment. The investment outlook in MSME
segment of Amreli district is presented in the table.

394
IEM, MSME Part-II Data till 2012-13
395
IEM, MSME Part-II Data till 2012-13
396
IEM, MSME Part-II Data till 2012-13

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 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

MSME Investment Scenario in Amreli 397

Category of Industries Number of Units Investment In Rs. Lakhs
Micro 523 7,866
Small 104 17,205
Medium 3 1,823
Total 630 26,895
Manufacturing Sector Units 539 24,310
Service Enterprises 91 2,584

Among the manufacturing-based MSME units, textile, food processing, manufacturing of engineering goods, mineral
processing, agri-allied activities, are prominent categories in terms of number of units and investment volume.
Diamond processing is an industrial activity specific to the district. Further, distribution of MSME units has regional
variations with gem cutting and polishing industries concentrated in Bagasara, weighing materials and machines in
Saver Kundla taluka, fisheries in Rajula and Jafrabad talukas. The composition of MSME manufacturing units and
investments are presented in the chart.

MSME Manufacturing Sector Scenario in the District 398

Composition of MSME Manufacturing Units Composition of Investments in
Agri-Allied
MSME Manufacturing Units
Auto-Auto Activities
Components 4.8% Mineral
0.7% Mining &
Manufacturing Auto-Auto Prosessing &
Quarrying
5.0% of Engineering Components Fabrication
Construction Goods 0.1% 3.2%
1.9% 8.6% Agri-Allied
Construction Activities
Chemical & 0.3% 13.9%
Chemical Rubber &
Products Plastics Mining &
Agro & Food 1.2% 1.4% Quarrying
Processing 8.1%
Manufacturing of 14.5% Paper &
Engineering Paper
Goods Products
30.4% 0.0%

Textile & Apparel Wooden

23.7% Products &
Mineral Furniture
Prosessing & 2.0%
Chemical &
Fabrication Textile &
Chemical Products
8.2% Apparel
3.7%
Paper & Paper Wooden Products 42.1%
Eletrical &
Products Rubber & Plastics Eletronics & Furniture Agro & Food
0.2% 1.5% 0.7% 4.6% Processing
19.2%

Pipavav, Jafrabad and Victor ports are located in the district. The quantum of investments in services enterprises is
low as evident from the MSME Part-II statistics, sectors of wholesale and retail trade, hospitality and tourism,

397
IEM, MSME Part-II Data till 2012-13
398
IEM, MSME Part-II Data till 2012-13

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

printing and publishing have seen considerable investments in the district. Composition of MSME service enterprises
and investments are presented in the chart.

MSME Services Sector Scenario in the District 399

Composition of MSME Service Enterprises Composition of Investments in MSME
Service Enterprises

Hospitality and
Tourism
29.7%

Hospitality and Whole sale &

Tourism Retail Trade
23.7% 3.9%

Other Services
50.5%
Printing &
Other Services
Publishing
70.6%
1.8%

Whole sale &

Retail Trade
Printing & 17.6%
Publishing
2.2%

Tourism is a key economic activity of the services sector in the district. The district has more than 30,000 hectares of
forest land with a rich variety of animal and plant species. It also has the renowned Gir Lion Sanctuary, Shri
Girdharbhai Sangrahalaya children’s museum, Paniya wildlife sanctuary and Mityala wildlife sanctuary. Other places
of tourist attractions are Bhurakhiya Hanuman Mandir and Khodiyar Mandir.

Infrastructure and connectivity is not very well developed in Amreli. The district doesn’t have any airport of its own
but airports are situated in nearby districts of Rajkot, Vadodara and Bhavnagar. National Highway 8E passes through
the district connecting it with Junagadh and Bhavnagar. There is also a four-lane expressway connecting Pipavav port
with National Highway 8E. However, the district has a strong rail infrastructure comprising seven railway stations
and a total rail length of 271 km 400.

The infrastructure is expected to improve significantly as Amreli is part of the proposed Delhi-Mumbai industrial
corridor which connects Delhi, Mumbai, Ahmedabad and Chennai.

In terms of social infrastructure, both education and medical facilities can be rated low to medium in the district and
need to be strengthened. Amreli has only one female pharmacy and one MBA institute in the district. The medical
institutions have medium penetration in the district with one institution for every 26,096 people in the district. The
district has 39 primary healthcare centers, 14 community healthcare centers and 3 hospitals.

399
IEM, MSME Part-II Data till 2012-13
400
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07

211
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Amreli has a relatively higher than average penetration of banking and financial services with a density of 11,296
people per bank as of March 2012. The number of banks in Amreli stands at 134 with total deposits amounting to
2,771 Cr INR and total credit amounting to 1,401 Cr INR as of Mar 2012 401. While the number of banks has increased
at a high CAGR of 7.8 percent from 2007 to 2012, the amount of deposit and credit have increased at a high CAGR of
20.0 percent and 20.0 percent respectively from 2007-2012.

Amreli has an even distribution of climate with most of its region coming under the south Saurashtra and the north
Saurashtra zone. The moderate rainfall and excellent soil conditions has led to 80 percent of the geographical being
cultivable. However, since the region receives moderate rainfall, focus on irrigation facilities has been low, therefore
only around 19 percent of net cultivable area is under irrigation 402. Irrigation is predominantly dependent on open
wells and it could be improved with better irrigation facilities like adaptation of tube wells and motor pumps. Also
there is an increasing need to promote micro irrigation and water management programs in the district.

Groundnut, bajra, pulses, seasamum and cotton are key kharif crops grown in the district while wheat is the major
rabi crop. The ratio of net sown area between kharif crop and rabi crop is 7.65 indicating inadequate multiple
cropping. There is also a low usage of hybrid crop varieties and it needs to be promoted across crop categories.

There is a significant population of cattle in Amreli - 2, 60, 515 cows 403 and 2, 00,609 buffalos 404. However, there is a
poor presence of integrated animal husbandry in the district. Animal husbandry could be encouraged among small
and marginal farmers through advanced rearing training.

6.10.7.2. Workforce Distribution in the district

Amreli is among the districts which is highly dependent on agriculture. Nearly two thirds of the total workforce is
dependent on the primary sector for livelihood opportunities. The high labour participation rate is attributed to greater
participation of rural women in agricultural activities. While the workforce participation is marginally higher than the
state average, seasonal nature of agriculture means significant under employment for the agrarian workforce during
lean agricultural periods. A comparison of workforce distribution scenario in Amreli and Gujarat is presented in the
table 405.

Percentage of Employment
Region Labour Force Workforce Primary Secondary
Participation Participation Sector Sector Tertiary Sector
Amreli 61.51% 43.1% 67.2% 16.79% 16.01%
Gujarat 59.27% 41.95% 59.34% 15.86% 24.8%

401
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
402
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
403
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
404
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
405
KPMG Analysis

212
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

An organized industrial employment in registered factories and service enterprises has contributed a little over 16
thousand job opportunities 406 in the district. Large scale industries is a major employment generation segment
accounting for nearly 9 thousand employment opportunities in the district, in commissioned and under-
implementation units. Details of category-wise industrial employment as per 2012 statistics are presented in the
table.
Organized Employment in Amreli 407
Category of Industries Employment
Large Scale Industries (Commissioned + Under Implementation) 9690
MSME Category 6448
Manufacturing Units 5516
Service Enterprises 932
Total 16138

Regional and sectoral analysis of large scale industrial employment indicates a clear concentration of employment in
key sectors within key taluka regions. Rajula and Amreli talukas account for a majority share of employment in this
category. Electrical and electronics, construction-based material, chemicals, textile and mineral processing and
fabrication are major employment generating segments within the district. The regional and sectoral break up of
large scale industrial employment is presented in the chart.

Large Scale Industrial Employment Overview in the District 408

Regional Distribution of Large Scale Industrial Composition of Employment in Large
Employment Scale Industries
Babra Other
Khambha 2% Manufacturin Textile &
1% g Apparel Chemical &
Lathi 14%
Agro & Food 8% Chemical
1%
Processing Products
Dhari Not Classified 10%
6% 3%
4%
Bagasara Rubber &
1% Other Plastics
Amreli Services 1%
Mineral
17% Transportatio 13%
Prosessing &
n Fabrication
1% Hospitality Eletrical & 5%
Rajula Construction Eletronics
and Tourism 19%
68% Material
3%
23%

Among the manufacturing units in MSME segment, mining and quarrying, agro and food processing and textile units
have created major share of employment opportunities. Hospitality and wholesale and retail trade, are key
employment generating sectors within tertiary enterprises. The details of sector-wise industrial employment in
manufacturing and services MSME units as per 2012 statistics are presented in the chart.

406
IEM, MSME Part-II Data till 2012-13
407
IEM, MSME Part-II Data till 2012-13
408
IEM, MSME Part-II Data till 2012-13

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 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

MSME Employment Overview in the District 409

Composition of Employment in MSME Composition of Employment in
Manufacturing Units MSME Service Enterprises
Auto-Auto
Components Agri-Allied
0.4% Activities
7.1% Mining &
Quarrying
Construction
9.0%
1.1%

Mineral Eletrical & Manufacturing of

Prosessing & Eletronics Engineering
Goods Other
Fabrication 0.3% Services
4.9% 18.8%
40.8% Hospitality
and Tourism
Rubber & Plastics 51.0%
Agro & Food
1.2% Processing
16.2%

Chemical & Paper &

Chemical Paper
Products Products
2.6% 0.1% Textile & Apparel
32.0%
Printing &
Wooden Products Whole sale &
Publishing
& Furniture Retail Trade
0.9%
6.3% 7.4%

6.10.7.3. Human Resource Requirement Projections in Amreli (2012-22)

The incremental manpower requirement in the district of Amreli has been estimated based on several parameters
such as investments trends, national level benchmarks on industrial growth across sectors, state manufacturing
policy targets, performance of state against economy targets, national level inclusion targets for certain sectors,
employment generation potential of various sectors based on labour elasticity and market-based insights from
discussions with industries in Amreli. Based on an analysis of current state of workforce distribution and potential
employment opportunities in various sectors incremental manpower requirement in key primary, secondary and
tertiary segments is estimated for the periods 2012-17 and 2017-22. Further, the manpower requirement is classified
into skilled, semi skilled and minimally skilled categories considering the present level of employment in these
categories for respective sectors. An analysis of expected developments in the industry that would lead to significant
realignment of the categories and specific factors for estimation is presented below along with a detailed approach
for manpower estimations in the appendix. ..

Primary Sector:

Considering the increasing level of farm mechanization and shared agricultural land usage, the period between 2012
and 2022 would witness a net outflow of workforce from the agricultural activities. Agricultural workforce
displacement is expected to be significant in marginal workers category. A significant portion of the workforce would
engage in agri-allied activities depending on the availability of allied resources and migration constraints.

409
IEM, MSME Part-II Data till 2012-13

214
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Incremental manpower requirement for the agri- allied activities has been estimated bases on the following
parameters:

• Current level of employment in agricultural activities (farmers and agricultural labourers)

• Estimated displacement factors for agricultural workforce based on Planning Commission projections for
2012-17 and 2017-22 periods and analysis of level of mechanization and allied factors in Gujarat
• Employment potential in agri-allied activities in the district considering the level of involvement in the
respective activities and regional conditions

Manufacturing Sector:

Manpower requirement in secondary sector is driven by investments and output growth. Various factors including
analysis of manufacturing, sub sector policies, investment trends, availability of resources, are considered for the
incremental manpower estimation in different subsectors of manufacturing in the district. Human resource
requirement projections for manufacturing sub sectors in the district have been estimated considering the following
parameters:

• Manufacturing growth targets for Gujarat for 2012-17 and 2017-22 (increasing secondary sector share in
GSDP to 32% by 2017)
• Identifying key growth sub segments within the district based on study of existing industrial base and
primary interactions
• Estimation of growth targets for the district based on analysis of investment trends in the district in
comparison to the state, available infrastructure, policy thrust on key manufacturing segments identified for
the district
• Labour elasticity factors in the potential sectors for the district

Tertiary Sector:

Employment growth in some of the services sector is driven by the government through budgetary allocations to
achieve inclusion targets in education, healthcare and banking while the other segments such as hospitality and
tourism, financial intermediation, communication, retail would depend on the level of economic activity in the region
resulting in high or low spending capacity of population. Also segments like IT-ITES, transportation and logistics are
driven by investments into infrastructure and manpower. Hence, human resource requirement projections for services
sub sectors would have specific approaches depending on the growth drivers for the segments in the district. A
detailed methodology for estimation of manpower in services sub segments is presented in the appendix.

Based on the analysis of socio economic conditions, investment scenario and availability of resources incremental
manpower requirement has been estimated for the following sectors.

Primary Sector

• Agriculture & Allied Activities( Horticulture, Sericulture, Animal Husbandry and Fisheries)

Secondary Sector

• Textile and Apparel

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

• Manufacturing of Engineering Goods( Including Auto & Auto Components)

• Chemical & Chemical Products(Including Petro Chemicals)
• Drugs & Pharmaceuticals
• Agro & Food Processing
• Electrical and Electronics
• Mineral Processing & Fabrication
• Construction Material(Cement, Ceramics)
• Rubber & Plastics
• Infrastructure(Construction)

Tertiary Sector

• Transportation & Logistics(including port based logistics)

• Banking & Financial Services
• Organized Retail
• Hospitality & Tourism
• Healthcare
• Education & Training

Incremental manpower requirements for the priority sectors in Amreli district are presented in the table 410.

Sector 2012-17 2017-22

Skilled Semi Minimally Total Skilled Semi Minimally Total

Skilled skilled Skilled skilled

Agriculture &
NA NA 13879 13879 NA NA 11623 11623
Allied Activities

Agro & Food

34 137 171 342 31 122 153 306
Processing

Textile & Apparel 55 219 274 548 49 196 245 490

Wooden Products
8 30 38 76 7 27 34 68
& Furniture

Chemical &
Chemical 24 96 120 240 21 86 107 215
Products

Rubber & Plastics 4 16 19 39 3 14 17 35

410
KPMG Analysis

216
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Mineral
Processing & 27 109 136 272 24 97 122 243
Fabrication

Electrical &
39 157 197 393 35 141 176 352
Electronics

Manufacturing of
Engineering 23 92 115 229 21 82 103 205
Goods

Manufacturing of
Construction 49 198 247 494 44 177 221 442
Material

Misc.
30 121 151 302 27 108 135 270
Manufacturing

Construction 336 671 5707 6714 300 601 5104 6005

Trade, Retail 542 813 4067 5422 593 889 4446 5927

Transportation &
190 3014 3586 6789 155 2466 2934 5555
Logistics

Hospitality &
349 524 2618 3490 279 419 2094 2792
Tourism

Banking &
Financial 2606 7819 NA 10425 1824 5473 NA 7298
Services

Healthcare 443 1995 NA 2439 591 2953 NA 3544

Education &
591 3979 NA 4570 887 2387 NA 3274
Training

Skill requirements in key growth sectors have been analyzed based on industry interactions to understand the
detailed manpower needs. Sector level skill interventions are indicated in the section below 411.

Secondary Sector (Manufacturing, Construction & Energy):

• Food Processing:

411
KPMG Analysis

217
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Category of Skills Skills

Core Skills Fitter, Electrician, Wireman, Instrumentation, Lab Technician

Allied Skills Instrumentation, Packaging (Jar, Pouch) Operator, AOCP, Lab Attendant, Boiler
Operator, QC Chemists

Skills with acute shortage PPO is required in industries having in house packing development.

• Chemical & Chemical Products:

Category of Skills Skills

Core Skills Mechanical, Electrical skills

Allied Skills Instrumentation, boiler attendant,AOCP, lab attendants

Skills with acute shortage MSc/BSc chemists, Electronic Automation with understanding of PLC systems

• Construction:
Category of Skills Skills
Core Skills Electricians, carpenters, barbenders, welders and masons

Allied Skills Minimally skilled workers

Skills with acute shortage Machine operators

Services:
• Banking & Financial Services:
Category of Skills Skills
Core Skills Knowledge on core banking/mobile/internet platforms

Allied Skills Sales & Marketing

Skills with acute shortage insurance underwriting, claims management

218
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

• Transportation :
Category of Skills Skills
Core Skills Heavy vehicle drivers, logistics management

Allied Skills Administrative, computer data management

Skills with acute shortage Scheduling and logistics planning

Primary Sector:

• Cultivation:
Category of Skills Skills
Core Skills Awareness about high yield varieties, micro nutrients and pest Control, Organic
farming and Vermi compost methods, Micro irrigation techniques
Allied Skills Knowledge on food processing techniques and related procedures to extract
greater value from farm produce

Skills with acute shortage Usage and repair of farm equipments, Marketing and management practice

• Agri- Allied Activities:

Category of Skills Skills
Core Skills Modern rearing techniques of live stock, piggery, goatery and fisheries

Allied Skills Knowledge on processing techniques

Skills with acute shortage Marketing and distribution of forest/animal husbandry produce

6.10.7.4. Human Resource Development Scenario in the District

6.10.7.4.1. Estimation of Labour Force Supply

District-wise incremental supply has been determined based on net addition of labour force. Gross addition to
working age group population during 2012-17 and 2017-22 were determined based on Census 2011 age wise
population accounting for death rate and life expectancy normalized against population corrections in 2017 and 2022.

219
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Applying labour force participation rates, considering the historical trends, gross additions to labour force were
estimated for the two time periods. Accommodating for retirement from the existing pool of labour force, net supply
to labour force has been estimated.

Amreli would experience a moderately low growth in human resource base during 2012-22. Current levels of low
population base and limited organized employment opportunities to attract migrants from outside the district are key
reasons for the controlled growth in labour force. Details of human resource growth estimations during 2012-22 are
presented in the table 412.

Period Gross Addition to Working Gross Addition to Labour Net Addition to Labour
Age Population Force Force-Supply

2012-17 153,029 100,860 57,697

2017-22 133,421 90,641 44,798

6.10.7.4.2. Education and Training Potential in the District

The district has around 1011 secondary and senior secondary (nursery to 12) schools with a 79.43 percent share of
government schools 413. While the net enrolment ratio of the district for primary level is lower than the state figures,
the net enrolment ratio of the district for upper primary level is higher than the state average 414.

Total Enrollments Primary Level Upper Primary Level Secondary Level Higher Secondary
in 209-10 (Std I-V) (Std VI-VIII) (Std IX-X) Level (Std XI-XII)
148,865 57,157 57,264 51,858
Amreli

Comparing the district’s enrolment statistics with state average indicates that net enrolment ratio at upper primary
level needs improvement. 415

Region Net Enrolment Ratio (Primary Level) Net Enrolment Ratio (Upper Primary Level)
Amreli 81.0 50.9
Gujarat 85.4 50.7

In the vocation education segment, the district is ahead in terms of vocational training capacity in comparison to
state average. However, government must focus on increasing private play in imparting vocational education 416.

412
KPMG Analysis
413
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat
414
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat
415
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat
416
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat

220
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Region Number of Seat Vocational Training Private Sector

ITIs Capacity Capacity Density (Seats Participation in
Per 1000 Population) Vocational Training
Amreli 18 3,940 2.6 11%
Gujarat 711 138,106 2.29 26%

Capacity expansion in vocational education in Amreli needs to be focused on the tehsils of Jafrabad, Babra, Dhari,
Savarkundla and Lathi to bring them at par with the district average in vocational education capacity 417.
Taluka Seat Capacity Vocational Training Private Sector
Capacity Density(Seats Participation in
Per 1000 Population) Vocational Training
Amreli 1460 6.18 0%

Vadiya 392 3.77 0%

Bagasara 264 3.10 0%

Liliya 192 2.91 38%

Khambha 240 2.61 43%

Rajula 376 2.38 0%

Jafrabad 168 1.71 0%

Babra 208 1.56 31%

Dhari 216 1.46 37%

Savarkundala 300 1.21 37%

Lathi 124 0.86 0%

District Total 3940 2.60 11%

In the higher education segment, Shri Leuva Patel Mahila Pharmacy College and Shri Leuva Patel Trust MBA Mahila
College are the pharmacy and management colleges present in Amreli with an intake capacity of 60 persons
respectively. Besides these, there are 8 other colleges offering Arts, Commerce, Science, B.Ed and Law programs in
the district.

6.10.7.4.3. Demand-Supply Gap Analysis for the District

Incremental skill category wise supply for the periods 2012-17 and 2017-22 in the district are estimated based on net
output from higher education institutions (skilled), vocational training(semi skilled), minimally skilled (school

417
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat

221
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

education) for periods 2012-17 and 2017-22 considering the LPR estimations for the districts in 15-59 age group and
retirement from existing labour force.

Based on the skill category human resource demand projections for 2012-22 and net supply potential, category wise
Demand-Supply gap estimations for the district are presented in the table below

Category Wise Demand-Supply Gap in the District (2012-22)

2012-17 2017-22
Sector Skilled Semi Minimally Total Skilled Semi Minimally Total
Skilled skilled Skilled skilled
Demand-Supply
Gap (2,225) 14,117 (12,924) (1,034) (3,816) 8,686 (1,025) 3,846
*(Indicates excess supply)
6.10.7.4.4. Skill Development Potential through Government Endowments

According to KPMG estimates, based on the potential district budgetary allocation for various central government
schemes, around 42 thousand people in total can be trained incrementally during the five year period of 2012-17. The
Ministry of Agriculture and Ministry of Labour are expected to contribute significantly to training. Manpower training
targets are more focused on improving livelihood and farming techniques in the district, with limited opportunities for
private training providers.

Government Funded Incremental Training Capacity (2012-17) - Amreli District 418

M/O Agriculture 8132

SDI-MES 7520
SGSY 6506
SJSRY 5627
Using Construction Cess 4669
Others 2883
D/O IT 2757
Credit Scheme 2632
CSR Funds from Central PSUs 627
ISDS - Textiles 482
Hunar Se Rozgar 350
ART - M/o Tribal Affairs 22
SCA under TSP - M/o Tribal… 13

6.10.7.5. District Specific Recommendations

418
KPMG Analysis

222
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Considering human resource potential and manpower requirements of the industry, the proposed action plan for
stakeholders in skill development has been recommended:

Stakeholder Action Points for Stakeholders

NSDC Focus on increasing participation from national/regional private skill training providers
with focus on the following regions with high human resource potential
• Savar and Amreli
Focus on sectors with high employment potential in Gujarat
• Services: Transportation & Logistics, Organized Retail, IT-ITES, Banking & Financial
Services, Hospitality & Tourism, Construction
• Manufacturing: Textile, Auto- Auto Components, Engineering Goods, Chemical &
Chemical Products

District Provide skill training in conjunction with private skill training providers using government
Administration endowment training schemes in sectors of
• Animal Husbandry
• Horticulture
Focus on improving industrial training infrastructure in the regions of
• Jafrabad, Babra, Dhari, Savarkundla and Lathi
Private Skill Focus on placement driven training for youth from high human resource potential regions
Training of Savar and Amreli
Providers
Focus on sectors with high employment potential in Gujarat
• Services: Transportation & Logistics, Organized Retail, IT-ITES, Banking & Financial
Services, Hospitality & Tourism, Construction
• Manufacturing: Textile, Auto- Auto Components, Engineering Goods, Chemical &
Chemical Products

Corporate Provide support for training/placement for youth from the district for placements in
industrial belts

Initiate and support modular employability skill training in collaboration with private
players/government

Create placement linkage opportunities in training institutions

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

6.10.8. Skill Gap Assessment of Banaskantha District

6.10.8.1. Socio-economic Profile
6.10.8.1.1. Administrative Profile

Banaskantha is situated in the north port of Gujarat Banas Kantha

and is spread across a geographical area of 12,70,300
ha 419. The district is surrounded by Rajasthan in east-
north, Mehsana in south and Patan and Kutch
districts in west. Administratively, the district is
divided into 12 talukas 420 — Amirgadh, Bhabhar,
Dantiwada, Danta, Deesa, Deodar, Dhanera,
Palanpur, Sihori (Kankrej), Tharad, Vadgam and Vav.
Palanpur is the administrative capital of the district. It
is also the largest town. Deesa, Tharad, Dhanera,
Ambaji, Danta and Deodar are other major towns in
the district.

6.10.8.1.2. Demographic Profile

The district has a population of 31.16 lakhs 421 as per the 2011 census. It accounts for 5.2 percent 422 of the total state
population. The district has witnessed a higher decadal growth rate of 24.43 percent 423 during 2001–11, in
comparison to the state average of 19.17 percent 424. The rural areas account for 86.73 percent 425 of the total district
population. However, the district’s urban population has registered a steep growth of 50.05 percent 426 over the
census decade. It has a moderate population density of 290 persons per sq km 427, in comparison to the state average
of 308 persons per sq km 428. An analysis of population distribution in the district as per the 2001 census indicates
higher human resource potential in the talukas of Deesa, Palanpur, Tharad and Kankrej. Palanpur taluka has the
highest concentration of population owing to industrial and commercial development in the district. The details of
regional distribution of population in the district are presented in the table 429.

419
Census 2011 Statistics
420
Census 2011 Statistics
421
Census 2011 Statistics
422
Census 2011 Statistics
423
Census 2011 Statistics
424
Census 2011 Statistics
425
Census 2011 Statistics
426
Census 2011 Statistics
427
Census 2011 Statistics
428
Census 2011 Statistics
429
Census 2001Statistics, KPMG Analysis

224
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Regional Distribution of Population in the District 430

Region Contribution to District Population Population Density
(2001) (Persons per sq km — 2001)
Deesa 18% 314
Palanpur 15% 481
Tharad 10% 186
Kankrej 9% 284
Vadgam 8% 364
Vav 8% 114
Dhanera 7% 215
Danta 7% 201
Deodar 6% 251
Amirgadh 4% 166
Bhabhar 4% 227
Dantiwada 3% 211

The composition of female population in the district is comparable to that of the state average. As per the 2001
census, the district has a gender ratio of 936 females per 1,000 males 431, as compared to the state average ratio of
940 females per 1,000 males 432. Banaskantha has a moderate concentration of scheduled castes and scheduled tribes
in comparison to the state average.

Education levels in the district are poor as compared to state level targets. The district has registered an overall
literacy rate of 66.39 percent 433 as against the state average of 79.31 percent 434. Significant gender and regional
variations in the literacy rates are observed within the district. The male-female literacy gap of 26.87 percent 435
indicates an uneven penetration of mass education schemes in Banaskantha. A focused approach toward improving
female literacy rate from the current level of 52.58 percent 436 is required in order to achieve an inclusive human
resource growth in the district.

6.10.8.1.3. Economic Profile

Banaskantha is primarily an agrarian economy with limited industrial growth. Low penetration of industrial
infrastructure with only six industrial estates in 12,73,000 ha big district is a key reason for subdued industrial growth
within the district. Limited connectivity with major cities within the state is another key factor hampering the growth
of industries in the region. As per the IEM, LIO, LOP investment details, the district has 24 commissioned 437 large-

430
Census 2001Statistics, KPMG Analysis
431
Census 2001Statistics, KPMG Analysis
432
Census 2001Statistics, KPMG Analysis
433
Census 2001Statistics, KPMG Analysis
434
Census 2001Statistics, KPMG Analysis
435
Census 2001Statistics, KPMG Analysis
436
Census 2001Statistics, KPMG Analysis
437
IEM, MSME Part-II Data till 2012-13

225
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

scale industrial units, which attract an investment of INR250 crore 438 along with 23 units 439 under implementation
with an investment of INR26,476 crore 440. The key industrial segments in the district include chemicals, metal
fabrication, mineral processing, rubber and plastics.

The analysis of regional distribution of investments in Banaskantha district indicates that industrial development is
concentrated around Palanpur taluka while other regions such as Tharad, Kankrej, Bhabhar, Vav and Dhanera are
emerging as investment destinations. This is evident from significant investments in the under-implementation stage.
Over the recent years, the state government has initiated measures to enhance the industrial growth in backward
talukas across the state through suitable incentives. This would increase the investment potential of these regions
over the next decade. The details of region-wise large-scale investments in the Banaskantha district until 2012 is
presented in the table.
Large Scale Investment Scenario In Banaskantha 441
Region Commissioned Under Implementation
No of Units Investment No of Units Investment
( INR Cr) (INR Cr)

Tharad 1 1 1 23,137

Palanpur 14 226 6 620

Kankrej 3 582

Bhabhar 1 400
Vav 1 385
Dhanera 2 352
Danta 5 13 1 31
Vadgam 1 3 3 33
Deesa 2 4
Amirgadh 1 3 1 0
Dantiwada
Deodar
Not Specified 4 936
District Total 24 250 23 26,476

438
IEM, MSME Part-II Data till 2012-13
439
IEM, MSME Part-II Data till 2012-13
440
IEM, MSME Part-II Data till 2012-13
441
IEM, MSME Part-II Data till 2012-13

226
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

As per the MSME investment Part–II statistics, there are overall 961 units 442operating in the district, which attracted
an investment of INR43, 732 lakhs 443 in 2012. The MSME segment in Banaskantha is dominated by manufacturing
industries in terms of both volume and investments with limited number of registered service enterprises, indicating
high level of unorganized activity in services segment. The investment outlook in the MSME segment of Banaskantha
district is presented in the table.

MSME Investment Scenario in Banaskantha 444

Category of Industries Number of Units Investment In Rs. Lakhs
Micro 779 7,308
Small 181 35,453
Medium 1 970
Total 961 43,732
Manufacturing Sector Units 769 33,243
Service Enterprises 192 10,489

Among the manufacturing-based MSME units, mineral processing and fabrication, electrical and electronics, textile
and apparel, agro and food processing, manufacturing of engineering goods and mining and quarrying are prominent
categories in terms of number of units and investment volume. The composition of MSME manufacturing units and
investments are presented in the chart.

MSME Manufacturing Sector Scenario in the District 445

Composition of MSME Manufacturing Composition of Investments in MSME
Units Manufacturing Units
Auto-Auto
Components Agri-Allied Mining &
Activities Auto-Auto Agri-Allied
1.8% Quarrying Manufacturin Components Mining &
Construction 2.5% Activities
3.0% 7.0% g of 0.4% Quarrying
1.7%
Engineering 6.6%
Manufacturin Construction
Goods
g of 2.7%
3.7%
Engineering
Goods Agro & Food
13.4% Processing
10.4%
Eletrical & Agro & Food
Eletronics Processing
7.4% Eletrical & 28.1%
Eletronics
Textile & 25.3%
Mineral Apparel
Prosessing & 17.6%
Fabrication
18.7%
Mineral Textile &
Paper & Prosessing &
Paper Apparel
Fabrication 11.2%
Products Wooden 10.6% Rubber &
Rubber & 6.9% Products & Plastics
Chemical & Furniture
Plastics Chemical 2.4% Paper &
2.2% 6.1% Chemical & Wooden
Products Paper
Chemical
3.0% Products Products &
Products Furniture
3.4%
1.5% 2.5%

442
IEM, MSME Part-II Data till 2012-13
443
IEM, MSME Part-II Data till 2012-13
444
IEM, MSME Part-II Data till 2012-13
445
IEM, MSME Part-II Data till 2012-13

227
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

While the level of organized investments in services enterprises is low, as evident from the MSME Part-II statistics,
sectors such as wholesale and retail trade and IT-ITES have seen considerable investments in the district. The
composition of MSME service enterprises and investments are presented in the chart.

MSME Services Sector Scenario in the District 446

Composition of MSME Service Enterprises Composition of Investments in MSME
Service Enterprises
Hospitality and
Tourism
1.0%
Hospitality and
IT- ITES Tourism IT- ITES
18.2% 1.1% 1.3%
Transportation
0.1%
Whole sale &
Printing &
Retail Trade
Publishing
13.5%
0.6%

Other Services
50.5%
Whole sale &
Retail Trade
24.0% Other Services
83.4%

Transportation
Printing & 0.5%
Publishing
5.7%

Tourism remains one of the largest services sector in Banaskantha. The district has immense tourism potential
because of the presence of holy places like Ambaji and Kumbharia. Over 40% of tourist inflow in Gujarat is for
religious purposes and Ambaji has emerged as the second most popular tourist destination in Gujarat. Apart from
Ambaji, Banaskantha has other popular places like Kumbharia, a religious place for the Jain community, Balram-
Ambaji Sanctuary, Balram Palace Resort at Balrampur, Jessore Sloth Bear Sanctuary and Kedarnath Mahadev Temple
in Jessore (32 km from Palanpur). The tourism industry is expected to create multiple opportunities across sub-sectors
like highway restaurants, motels, heritage resorts, budget hotels and amusement parks.

The growth in the tourism industry has been facilitated by the fact that Banaskantha is well connected to major cities
in the country (New Delhi and Jaipur through highways — NH 16 and NH 8, respectively) and has good interstate
connectivity (with cities like Ahmadabad, Patan and Deesa through State Highway 7) 447. The district is connected to
Mumbai, Ahmadabad and Delhi through a broad gauge with a major railway station at Palanpur. The nearest port is
Dholera and the nearest commercial airport is Ahmadabad.

446
IEM, MSME Part-II Data till 2012-13
447
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07

228
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

The financial services remain largely unexplored in Banaskantha. The district has the second lowest penetration of
banking and financial services with a density of 26,186 people per bank 448. The number of banks has increased at a
moderate CAGR of 6.2 percent from 2007–12. However, the CAGR of the deposit amount and the credit amount of
banks in the district from 2007–12 has been highest among all districts at 25.9 percent and 29.9 percent
respectively 449.

Banaskantha contributes significantly to the state’s agricultural production. It produced maximum vegetables in 2007,
contributing nearly 17% of the total vegetable production in the state . The district is also one of the largest
producers of potatoes in India. Traditionally, it has been known for its food processing industry, specifically
vegetable oils and vanaspathi.

In spite of medium to low rainfall in the region, agricultural activities flourish in the district due to favourable soil
conditions. About 73 percent of the district’s total geographical land is cultivable. The district has limited irrigation
facilities, with only 48 percent of the net cultivable area getting regular irrigation. Vav taluka has as low as 8 percent
of the net cultivable area under irrigation, indicating significant opportunities for improvement in these regions.
Agricultural irrigation in Banaskantha is predominantly dependent on tube wells, which supply water to 61.14 percent
of the net irrigated area. Poor nitrogen and moderate potash content in Banaskantha soils has resulted in large scale
use of nitrogen-rich fertilisers. There is little awareness about organic farming and vermicompost methods of
farming, indicating the need to promote sustainable agricultural practices.

Bajra, greengram, sesamum, castor and cotton are key kharif crops grown in the district. They cover around 64
percent of the net cultivable area. Main horticulture crops include spices, fruits (mainly citrus) and vegetables. Potato
and mustard are the two major rabi crops. Currently, use of hybrid crop varieties is low.

Cow and buffalo are main cattle varieties in Banaskantha with 6,44,467 cows 450 and 9,45,346 buffaloes 451. Other
prominent domestic animals under animal husbandry activities include goats and sheep. The availability of large
pasture lands indicates significant potential to promote animal husbandry in the district.

6.10.8.2. Workforce distribution in the district

Banaskantha depends primarily on agricultural activities for livelihood generation. Over three-fourths of the total
workforce is engaged in this sector. Considering the low level penetration of the manufacturing sector, which
generates 7.23 percent employment as against the state average of 15.86 percent, the district has the potential to
become a sourcing hub for trained manpower. While the district’s total worker participation rate is marginally better
than the state average, high manpower requirements in agrarian activities due to low output efficiency has resulted
in significant under-employment in this category. A comparison of workforce distribution in Banaskantha and Gujarat
is presented in the table 452.

448
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
449
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
450
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
451
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
452
KPMG Analysis

229
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Percentage of Employment
Region Labour Force Workforce Primary Secondary
Participation Participation Sector Sector Tertiary Sector
Banas Kantha 60.3% 43.61% 77.59% 7.23% 15.18%
Gujarat 59.27% 41.95% 59.34% 15.86% 24.8%

Organized industrial employment in registered factories and service enterprises has created over 14,000 job
opportunities within the district. Large-scale industries generated maximum employment and accounted for more
than half of the overall employment in commissioned and under-implementation units. Details of category-wise
industrial employment as per 2012 statistics are presented in the table.

Organized Employment in Banas Kantha 453

Category of Industries Employment
Large Scale Industries (Commissioned + Under Implementation) 7,723
MSME Category 6,943
Manufacturing Units 6,012
Service Enterprises 931
Total 14,666

Regional and sectoral analyses of large-scale industrial employment indicate a clear concentration of employment in
key sectors within key taluka regions. Palanpur and Tharad talukas account for the majority of employment in this
category. Agro and food processing, chemicals, mineral processing and fabrication and construction-based material
(cement) are the major employment generating segments in the district. Regional and sectoral break ups of large-
scale industrial employment are presented in the charts.
Large Scale Industrial Employment Overview in the District 454
Regional Distribution of Large Scale Industrial Composition of Employment in Large Scale
Dhanera Employment Industries
1%
Vav
1% Vadgam Amirgadh
3% 1% Other
Bhabhar Construction
2% Material Manufacturing
12% 9%
Danta
Kankrej Tharad
8%
1% 20%
Manufacturing Agro & Food
of Engineering Processing
Goods 38%
5%
Mineral
Prosessing &
Fabrication
17%
Palanpur Chemical &
63% Chemical
Products
16%

453
IEM, MSME Part-II Data till 2012-13
454
IEM, MSME Part-II Data till 2012-13

230
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Among the manufacturing units in MSME segment, mineral processing and fabrication, agro and food processing and
textile and apparel units account for the majority of employment in all the categories of industries. In the services
segment, wholesale and retail trade is a major employment generating sector. The details of sector-wise industrial
employment in manufacturing and services MSME units as per 2012 statistics are presented in the chart.

MSME Employment Overview in the District 455

Composition of Employment in MSME Manufacturing Composition of Employment in

Units MSME Service Enterprises
Hospitality
Auto-Auto Agri-Allied Activities IT- ITES
Mining & Quarrying and Tourism
Components 2.4% 6.4%
8.2% 1.1%
2.1%
Construction
7.0%
Manufacturing of
Engineering Goods
9.8% Whole sale &
Retail Trade
Eletrical & Agro & Food 32.0%
Eletronics Processing
4.4% 16.4%
Other
Services
53.4%
Mineral Prosessing
& Fabrication Textile & Apparel
21.6% 12.6%

Transportatio
Rubber & Plastics n
Chemical & 2.9% Paper & Paper Wooden Products 0.4%
Chemical Products Products & Furniture Printing &
3.2% 4.3% 5.2% Publishing
6.7%

6.10.8.3. Human Resource Requirement Projections in Banas Kantha (2012-22)

The incremental manpower requirement in Banaskantha has been estimated on the basis of several parameters such
as investments trends, national level benchmarks on industrial growth across sectors, state manufacturing policy
targets, performance of state against economy targets, national-level inclusion targets for certain sectors,
employment generation potential of various sectors based on labour elasticity and market-based insights from
discussions with industries in the district. Based on the analysis of current state of workforce distribution and
potential employment opportunities in various sectors, incremental manpower requirement in key primary, secondary
and tertiary segments is estimated for the periods 2012–17 and 2017–22. Further, manpower requirement is
classified into skilled, semi-skilled and minimally skilled categories, considering the present level of employment in
these categories for respective sectors and analysis of expected developments in the industry that would lead to a
significant realignment of the categories. Detailed approach for manpower estimations is presented in the appendix
and specific factors for estimation are discussed below.

455
IEM, MSME Part-II Data till 2012-13

231
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Primary Sector:

Considering that the level of farm mechanization and the sharing of agricultural land is on the rise, the period
between 2012 and 2022 would witness a net outflow of workforce from agricultural activities. This is expected to be
significant in marginal workers category. A significant portion of the workforce would engage in agro-allied activities,
depending on the availability of allied resources and migrational constraints. Incremental manpower requirement for
agro- allied activities is estimated after considering the following parameters:

• Current level of employment in agricultural activities (farmers and agricultural labourers)

• Estimated displacement factors for agricultural workforce based on Planning Commission Projections for
2012–17 and 2017–22 and the analysis of level of mechanization and allied factors in Gujarat
• Employment potential in agro-allied activities in the district, considering the level of involvement in
various activities and regional conditions

Manufacturing Sector:

Manpower requirement in the secondary sector is driven by investments and output growth. Various factors,
including analysis of manufacturing, sub-sector policies, investment trends and availability of resources are
considered to estimate incremental manpower in different sub-sectors of manufacturing in the district. Human
resource requirement projections for manufacturing sub-sectors in the district are estimated after considering the
following parameters:

• Manufacturing growth targets for Gujarat for 2012–17 and 2017–22 (increasing secondary sector share in
GSDP to 32% by 2017)
• Identifying key growth sub-segments within the district based on the study of existing industrial base and
primary interactions
• Estimation of growth targets for the district based on the analysis of investment trends in the district and
their comparison to the state’s, available infrastructure and policy thrust on key manufacturing segments
identified for the district
• Labour elasticity factors in potential sectors for the district

Tertiary Sector:

Employment growth in some of the services sector is driven by government thrust in terms of budgetary allocations to
achieve inclusion targets in education, healthcare and banking. Other segments, including hospitality and tourism,
financial intermediation, communication and retail depend on the level of economic activity in the region, resulting in
high or low spending capacity of population. Also, segments like IT-ITES and transportation and logistics are driven
by investments into infrastructure and manpower. Hence, human resource requirement projections for services sub-
sectors would have specific approaches, depending on growth drivers for segments in the district. A detailed
methodology for estimation of manpower in the services sub-segments is presented in the appendix.

Based on the analysis of socio-economic conditions, investment scenario and availability of resources, incremental
manpower requirement has been estimated for the following sectors:

Primary Sector

232
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

• Agriculture & Allied Activities( Horticulture, Sericulture, Animal Husbandry and Fisheries)

Secondary Sector

• Textile and Apparel

• Manufacturing of Engineering Goods( Including Auto & Auto Components)
• Chemical & Chemical Products(Including Petro Chemicals)
• Drugs & Pharmaceuticals
• Agro & Food Processing
• Electrical and Electronics
• Mineral Processing & Fabrication
• Construction Material(Cement, Ceramics)
• Rubber & Plastics
• Paper & Paper Products
• Infrastructure(Construction)

Tertiary Sector

• IT-ITES
• Transportation & Logistics(including port based logistics)
• Banking & Financial Services
• Organized Retail
• Hospitality & Tourism
• Healthcare
• Education & Training

Incremental manpower requirements for priority sectors in Banaskantha district are presented in the table 456.

Sector 2012-17 2017-22

Skilled Semi- Minimally Total Skilled Semi- Minimally Total
skilled skilled skilled skilled
Agriculture and
NA NA 33260 33260 NA NA 27854 27854
allied activities
Agro and food
87 349 437 873 78 312 390 781
processing
Textile and
17 67 83 167 15 60 75 149
apparel
Wooden products
7 27 34 68 6 24 30 61
and furniture
Paper and paper
9 38 47 94 8 34 42 84
products
Chemical and
32 126 158 316 28 113 141 282
chemical

456
KPMG Analysis

233
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

products
Rubber and
4 18 22 44 4 16 20 40
plastics
Mineral
processing and 68 271 338 676 60 242 302 605
fabrication
Electrical and
6 23 28 57 5 20 25 51
electronics
Manufacturing of
engineering 24 95 119 238 21 85 106 213
goods
Manufacturing of
construction 21 82 103 206 18 74 92 184
material
Misc.
15 61 76 152 14 54 68 136
manufacturing
Construction 691 1382 11749 13822 618 1236 10508 12363
Trade, retail 1116 1674 8372 11163 1220 1830 9152 12202
Transportation
274 4350 5175 9799 224 3559 4234 8018
and logistics
Hospitality and
1085 1628 8138 10850 868 1302 6510 8680
tourism
Banking and
1124 3373 NA 4497 787 2361 NA 3148
financial services
Healthcare 436 1962 NA 2398 581 2905 NA 3486
Education and
1886 12696 NA 14582 2829 7618 NA 10447
training

Skill requirements in key growth sectors have been analyzed based on industry interactions to understand the
detailed manpower needs. Sector level skill interventions are indicated in the section below 457.

Secondary Sector (Manufacturing, Construction & Energy):

• Food Processing:
Category of Skills Skills

Core Skills Fitter, Electrician, Wireman, Instrumentation, Lab Technician

Allied Skills Instrumentation, Packaging (Jar, Pouch) Operator, AOCP, Lab Attendant, Boiler
Operator, QC Chemists

457
KPMG Analysis

234
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Skills with acute shortage PPO is required in industries having in house packing development.

• Chemical & Chemical Products:

Category of Skills Skills

Core Skills Mechanical, Electrical skills

Allied Skills Instrumentation, boiler attendant,AOCP, lab attendants

Skills with acute shortage MSc/BSc chemists, Electronic Automation with understanding of PLC systems

• Metal & Mineral Processing:

Category of Skills Skills
Core Skills Fitter, Welder, Turner, Electrician

Allied Skills Melter, Boiler Operator

Skills with acute shortage PCB instrumentation

• Construction:
Category of Skills Skills
Core Skills Electricians, carpenters, barbenders, welders and masons

Allied Skills Minimally skilled workers

Skills with acute shortage Machine operators

Services:
• Transportation :
Category of Skills Skills
Core Skills Heavy vehicle drivers, logistics management

Allied Skills Administrative, computer data management

Skills with acute shortage Scheduling and logistics planning

235
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

• Trade, Retail:
Category of Skills Skills
Core Skills Shop floor executives/supervisors, computer operator

Allied Skills Transportation & logistics staff

Skills with acute shortage Store management, stock planning

• Education:
Category of Skills Skills
Core Skills School teachers, higher education faculty

Allied Skills Knowledge on advanced teaching tools

Skills with acute shortage Technical education trainers

Primary Sector:

• Cultivation:
Category of Skills Skills
Core Skills Awareness about high yield varieties, micro nutrients and pest Control, Organic
farming and Vermi compost methods, Micro irrigation techniques
Allied Skills Knowledge on food processing techniques and related procedures to extract
greater value from farm produce

Skills with acute shortage Usage and repair of farm equipments, Marketing and management practice

• Agri- Allied Activities:

Category of Skills Skills
Core Skills Modern rearing techniques of live stock, piggery, goatery and fisheries

Allied Skills Knowledge on processing techniques

236
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Skills with acute shortage Marketing and distribution of forest/animal husbandry produce

6.10.8.4. Human Resource Supply Scenario in the District

6.10.8.4.1. Estimation of Labour Force Supply
District-wise incremental supply has been determined based on net addition of labour force. Gross addition to
working age group population during 2012-17 and 2017-22 were determined based on Census 2011 age wise
population accounting for death rate and life expectancy normalized against population corrections in 2017 and 2022.
Applying labour force participation rates, considering the historical trends, gross additions to labour force were
estimated for the two time periods. Accommodating for retirement from the existing pool of labour force, net supply
to labour force has been estimated.

Banaskantha is among the leading human resource bases in Gujarat. However, limited employment opportunities for
the increasing labour force would drive outward migration. The details of human resource growth estimations in
2012–22 are presented in the table 458.

Period Gross Addition to Working Gross Addition to Labour Net Addition to Labour
Age Population Force Force-Supply

2012-17 371,356 214,245 104,882

2017-22 368,150 209,703 81,434

6.10.8.4.2. Education and Training Potential in the District

The district has about 2,594 K12 schools, out of which 91.13 percent are government schools. The district has a
perfect score of 100 percent in net enrolment ratio at primary level. However, the net enrolment ratio of upper
primary level is substantially lower than that at primary level 459.

Total Enrollments Primary Level Upper Primary Level Secondary Level Higher Secondary
in 209–10 (Std I–V) (Std VI–VIII) (Std IX–X) Level (Std XI–XII)
Banas Kantha 4,19,256 1,16,532 97,535 26,477

Comparing the district’s enrolment statistics with the state average indicates that the former is a strong performer in
the primary education category. 460

458
KPMG Analysis
459
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat
460
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat

237
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Region Net Enrolment Ratio (Primary Level) Net Enrolment Ratio (Upper Primary Level)
Banas Kantha 100.0 59.7
Gujarat 85.4 50.7

In the vocation education segment, the district lags behind the state in providing vocational training. Despite low
vocational education capacity, the private sector has shown interest in the sector in this district. This indicates that
the state must take proactive measures to seek private support to improve vocational training infrastructure.

Region Number of Seat Vocational Training Private Sector

ITIs Capacity Capacity Density (Seats Participation in
Per 1000 Population) Vocational Training
Banas Kantha 32 5,676 1.82 33%
Gujarat 711 138,106 2.29 26%

There is a need to focus on expanding capacity in vocational education in Banaskantha, especially in the tehsils of
Deodar, Danta, Kankrej, Deesa, Tharad, Vadgam, Dhanera and Vav, to bring them on par with the district average of
vocational education capacity 461.
Taluka Seat Capacity Vocational Training Private Sector
Capacity Density(Seats Participation in
Per 1000 Population) Vocational Training
Palanpur 2,591 5.47 24%
Dantiwada 372 3.42 67%
Bhabhar 394 3.24 68%
Amirgadh 372 2.96 45%
Deodar 233 1.28 50%
Danta 244 1.13 16%
Kankrej 257 0.92 44%
Deesa 505 0.89 27%
Tharad 260 0.83 54%
Vadgam 176 0.69 23%
Dhanera 136 0.60 15%
Vav 136 0.57 0%
District Total 5,676 1.82 33%

Some important higher education institutions in the district include Shri Ambaji Arts College, Gurukul Mahila Arts and
Commerce College, SMJ Arts Commerce College, Hemchandracharya North Gujarat University, Sheth Motilal
Nyalchand Science College, P K Kotwala Arts College, Saifee Jubilee Arts Commerce College, Trikambjibhai
Chatwani Arts and JU Gokal Trust Commerce College

6.10.8.4.3. Demand-Supply Gap Analysis for the District

461
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat

238
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Incremental skill category wise supply for the periods 2012-17 and 2017-22 in the district are estimated based on net
output from higher education institutions (skilled), vocational training(semi skilled), minimally skilled (school
education) for periods 2012-17 and 2017-22 considering the LPR estimations for the districts in 15-59 age group and
retirement from existing labour force.

Based on the skill category human resource demand projections for 2012-22 and net supply potential, category wise
Demand-Supply gap estimations for the district are presented in the table below

Category Wise Demand-Supply Gap in the District (2012-22)

2012-17 2017-22
Sector Skilled Semi Minimally Total Skilled Semi Minimally Total
Skilled skilled Skilled skilled
Demand-Supply
Gap (11,355) 14,068 (4,332) (1,620) (11,883) 5,133 14,094 7,350
*(Indicates excess supply)
6.10.8.4.4. Skill Development Potential through Government Endowments

According to KPMG estimates, based on the potential district budgetary allocation for various central government
schemes, about 87 thousand people can be trained incrementally in 2012–17. The Ministry of MSME, Ministry of
Labour, Other Industrial Department and Ministry of Agriculture Schemes are expected to significantly contribute
toward training. For manpower training targets, there is an equal focus on primary and manufacturing sectors.
Considering the large share of MSME units in the district, private training providers have significant upskilling
opportunities for MSME manpower in the district along with training on farming.

Government Funded Incremental Training Capacity (2012-17) - Banas Kantha District 462

M/O Agriculture 19488

SGSY 15590
SDI-MES 15481
Using Construction Cess 8719
SJSRY 6029
Others 5934
D/O IT 5676
Credit Scheme 5418
ART - M/o Tribal Affairs 1376
CSR Funds from Central PSUs 1290
Hunar Se Rozgar 1087
SCA under TSP - M/o Tribal Affairs 826
ISDS - Textiles 207

6.10.8.5. District Specific Recommendations

462
KPMG Analysis

239
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Considering the human resource potential and manpower requirements of the industry, the proposed action plan
for stakeholders in skill development has been recommended:

Stakeholder Action Points for Stakeholders

NSDC Focus on increasing participation from national/regional private skill training providers
with focus on the following regions, which have high human resource potential:
• Deesa, Palanpur, Tharad and Kankrej. Palanpur
Focus on sectors with high employment potential in Gujarat
• Services: Transportation and logistics, organized retail, IT-ITES, banking and financial
services, hospitality and tourism and construction
• Manufacturing: Textile, auto and auto components, engineering goods and chemical
and chemical products

District Provide skill training along with private skill training providers using government
Administration endowment training schemes in the following sectors:
• Animal husbandry
• Horticulture
Focus on improving industrial training infrastructure in the following regions:
• Deodar, Danta, Kankrej, Deesa, Tharad, Vadgam, Dhanera and Vav
Private Skill Focus on placement-driven training for youth from high human resource potential regions
Training of Deesa, Palanpur, Tharad and Kankrej. Palanpur
Providers
Focus on sectors with high employment potential in Gujarat
• Services: Transportation and logistics, organized retail, IT-ITES, banking and financial
services, hospitality and tourism and construction
• Manufacturing: Textile, auto and auto components, engineering goods and chemical
and chemical products

Corporate Provide support for training to youth from the district for placements in industrial belts

Initiate and support modular employability skill training in collaboration with private
players/government

Create placement linkage opportunities in training institutions

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

6.10.9. Skill Gap Assessment of Bharuch District

6.10.9.1. Socioeconomic Profile
6.10.9.1.1. Administrative Profile

Bharuch district is located in the southern part of Gujarat and is spread

across an area of 5,253 sq km 463. The district shares its border with
Baroda and Anand District in the north, Narmada district in the east,
Surat district in the south and Gulf of Khambhat in west.
Administratively, the district is divided into eight talukas and 653
Bharuch
villages 464. Bharuch, Ankleshwar, Hansot, Jambusar, Jhagadia, Amod,
Valia and Vagra are the talukas in the district with Bharuch city as the
district’s capital.

6.10.9.1.2. Demographic Profile

Bharuch has a population of 15.5 lakhs 465 as per the 2011 census district. It accounts for 2.6 percent 466 of the total
state population. The district population has witnessed a low decadal growth rate of 13.14 percent 467 between 2001
and 2011, in comparison to the state average of 19.17 percent 468 during the same period. A significant portion of the
district population lives in urban areas, with these regions accounting for nearly 34 percent 469 of the total population.
While the overall district population has witnessed nominal growth, urban population increased steeply by 49.88
percent 470 over the census decade, indicating increasing urbanization within the district. The population spread in the
district is low with a density of 210 persons per sq km 471, in comparison to the state average of 308 persons per sq
km 472. The analysis of population distribution in the district as per the 2001 census indicates higher human resource
potential in the talukas of Hanskot, Amod, and Valia, while Ankleswar and Bharuch have higher population
concentration owing to industrial and commercial growth. The details of regional distribution of population in the
district are presented in the table 473.

463
Census 2001Statistics, KPMG Analysis
464
Census 2001Statistics, KPMG Analysis
465
Census 2001Statistics, KPMG Analysis
466
Census 2001Statistics, KPMG Analysis
467
Census 2001Statistics, KPMG Analysis
468
Census 2001Statistics, KPMG Analysis
469
Census 2001Statistics, KPMG Analysis
470
Census 2001Statistics, KPMG Analysis
471
Census 2001Statistics, KPMG Analysis
472
Census 2001Statistics, KPMG Analysis
473
Census 2001Statistics, KPMG Analysis

241
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Regional Distribution of Population in the District 474

Region Contribution to District Population Population Density
(2001) (Persons per Sq.km- 2001)
Hansot 28% 173
Amod 19% 199
Valia 13% 254
Vagra 13% 94
Jambusar 10% 161
Ankleswar 7% 603
Jhagadia 6% 213
Bharuch 5% 596

The composition of female population in the district is moderate, as compared to that of the state average. As per the
2011 census, the district has a gender ratio of 924 females per 1,000 males 475, as against the state average ratio of
940 females per 1,000 males 476. The district has a higher composition of scheduled castes and scheduled tribes in
comparison to the state average. As per census 2001 estimates, reserved categories account for 36.89 percent 477 of
the overall district population.

The education attainment levels in the district are marginally higher than the state average. As per 2011 estimates,
the district has registered an overall literacy rate of 83.03 percent 478, as against the state average of 79.31 percent 479.
Gender and regional inclusion in the reach of mass education programmes has increased in the district. It has a male-
female literacy gap of 12.01 percent 480, which is lesser than that of the state at 16.5 percent 481. Higher level of
gender inclusion is primarily attributed to an improved female literacy rate within the district, which stood at 76.79
percent 482 by 2011. Further, the urban-rural literacy gap in Bharuch is estimated to be 9.05 percent 483, as against the
14.58 percent 484 for the state. Higher literacy levels would demand improved higher education and training capacities
to create a knowledge economy.

6.10.9.1.3. Economic Profile

Bharuch is an emerging industrial zone in the state with good infrastructure connectivity, including port connectivity
(Port of Dahej). The growth of the logistics industry based on the Dahej port has helped establish several key
industries in and around the area, including Indo-Gulf, Gujarat Chemical Port Terminal Company Ltd. (GCPTCL) and
Petronet LNG Ltd. Considering the advantages of the location of the port with respect to the opportunities it offers for
exports to Middle East, Africa, Europe and North America, the government has identified the region as a thrust area

474
Census 2001Statistics, KPMG Analysis
475
Census 2011 Statistics
476
Census 2011 Statistics
477
Census 2001Statistics, KPMG Analysis
478
Census 2011 Statistics
479
Census 2011 Statistics
480
Census 2011 Statistics
481
Census 2011 Statistics
482
Census 2011 Statistics
483
Census 2011 Statistics
484
Census 2011 Statistics

242
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

for development. The district has witnessed significant growth of industrial centres and SEZs in the region in recent
years. The emergence of PCPIR (Petroleum, Chemicals & Petrochemicals Investment Region), Dahej SEZ and the
clearance of DMIC are expected to fuel industrial and economic growth of the district. Chemicals and petrochemicals,
textiles, drugs and pharmaceuticals, port-based logistics and ship building are some key industrial segments in
Bharuch. Guardian Corporation, Videocon, Badische Anilin and Soda Fabric (BASF), Reliance, Tatas, Aditya Birla
Group, Aventis, Wockhardt, Rallis, Pfizer, Larson & Toubro, Bayer, Glenmark, Lupin, Welspun-Stahl Rohrren and
Gujarat Fluor chemicals Ltd are some of the leading industries in the district.

An analysis of regional distribution of investments in Ahmedabad district indicates that industrial development is
concentrated around Ankleswar and Bharuch talukas while other regions like Amod and Hansot remain backward.
Over the recent years, the state government has initiated measures to enhance the industrial growth in backward
talukas across the state through suitable incentives. This is expected to increase the investment potential of these
regions over the next decade. The details of region-wise large-scale investments in Bharuch district until 2012 are
presented in the table.

Large Scale Investment Scenario In Bharuch 485

Region Commissioned Under Implementation
No. of Units Investment No. of Units Investment (
( INR Cr) INR Cr)

Vagara 41 17406 94 42202

Valiya 24 919 9 52096

Bharuch 94 7878 100 23779

Zagadiya 57 6261 61 5600

Ankleshwar 464 5306 148 6193
Amod 8 258 5 4507
Jambusar 34 830 18 1772
Hansot 12 1315 8 150
Not Specified 6 542 18 1595
District Total 740 40715 461 137894

Rapid industrialization in the district has widened the scope for the establishment of ancillary units in MSME
segment. Ancillary industries in chemical and chemical products, rubber and plastics and fabrication have witnessed

485
IEM, MSME Part-II Data till 2012-13

243
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

significant growth over the years. As per the MSME investment Part–II statistics, there are total 3,268 units 486
operating in the district. They attracted an investment of INR1,75,371 lakhs 487 in 2012. The MSME segment in
Bharuch is dominated by manufacturing industries in terms of volume and investments with limited number of
registered service enterprises, indicating the high level of unorganized activity in the services segment. Investment
outlook in MSME segment of Bharuch district is presented in the table.
MSME Investment Scenario in Bharuch 488
Category of Industries Number of Units Investment In Lakhs
Micro 2653 38498
Small 580 96792
Medium 35 40081
Total 3268 175371
Manufacturing Sector Units 2983 169233
Service Enterprises 285 3870

Among the manufacturing-based MSME units, textile, manufacturing of engineering goods, chemical and chemical
products, mineral processing and fabrication are prominent categories in terms of number of units and investment
volume. The composition of the MSME manufacturing units and investments are presented in the chart.

MSME Manufacturing Sector Scenario in the District 489

Composition of MSME Manufacturing Composition of Investments in
Units MSME Manufacturing Units
Manufacturing Agri-Allied Mining &
of Auto-Auto Activities Mining & Quarrying
Engineering Components 0.6% Auto-Auto
Quarrying 1.7%
Goods 1.0% Components
1.4% Agri-Allied
5.2% 0.8% Agro & Food
Agro & Food Activities Textile &
Manufacturing Processing
Construction Processing 1.3% Apparel
Eletrical & of Engineering 3.0%
0.0% 2.8% 5.6%
Eletronics Goods
10.1% 6.1% Paper & Paper
Products
Mineral
2.6%
Prosessing & Eletrical &
Fabrication Eletronics Wooden
9.6% 2.5% Mineral Products &
Textile & Apparel Prosessing & Furniture
36.3% Fabrication 1.9%
Rubber & Plastics
16.9%
3.1%
Rubber &
Plastics
Paper & Paper 4.3% Chemical &
Products Chemical
0.9% Products
53.2%
Chemical & Wooden Products
Chemical & Furniture
Products 2.2%
26.8%

486
IEM, MSME Part-II Data till 2012-13
487
IEM, MSME Part-II Data till 2012-13
488
IEM, MSME Part-II Data till 2012-13
489
IEM, MSME Part-II Data till 2012-13

244
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

While the level of organized investments in services enterprises is low, as it is evident from the MSME Part-II
statistics, sectors of wholesale and retail trade and IT-ITES have seen considerable investments in the district. The
composition of MSME service enterprises and investments is presented in the chart.

MSME Services Sector Scenario in the District 490

Composition of MSME Service Enterprises Composition of Investments in
Hospitality and
Tourism
MSME Service Enterprises
2.8%

Hospitality and
Tourism
IT- ITES
Other Services 19.3%
34.4%
29.8% IT- ITES
Other Services 7.3%
36.9%

Whole sale &

Retail Trade
11.7%
Printing &
Publishing
7.0% Printing &
Publishing
Transportation 21.1% Transportation
3.2% 3.7%
Whole sale &
Retail Trade
22.8%

Among the services sector, tourism promises strong growth for the district. The region has multiple renowned ancient
monuments such as the Swaminarayan Temple, the Narmadamata Temple and the Vaishnav Haveli. The district also
has the famous Raichand Deepchand Library, which has a collection of over 200,000 books and has rare manuscripts.
Other tourist attractions include the Shoolpaneshwar wildlife sanctuary, Kabirvad, Kadiadungar, Jama Masjid and the
Golden Bridge.

There is medium penetration of medical institutions with almost 27,000 people per institute. The district has a
number of private specialized hospitals like Bharuch Hospital, Shaikh Orthopedics Hospital and Narayan Eye
Hospital 491.

National Highway 8 passes through the district, connecting it to Ahmedabad and Mumbai. Almost all talukas of
Bharuch have rail connectivity. The rail infrastructure in Bharuch comprises 50 km of broad gauge line and 33 railway
lines. The nearest airport to Bharuch is Vadodara, which is 69 km away. Bharuch has a well-established power
network with nearby districts such as Surat, Vadodara, Anand and Ahmedabad. A power station present in Bharuch

490
IEM, MSME Part-II Data till 2012-13
491
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07

245
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

district is connected to Vadodara and Kakarapar in Surat. Bharuch has a high penetration of banking and financial
services with a density of 8,811 people per bank as of March 2012 492.

However, medium to high rainfall conditions, coupled with favourable soil conditions, have given thrust to moderate
agricultural and allied activities in the district. Sixty-five percent of the total land in Bharuch is cultivable. Since the
region receives high rainfall, the land is largely rain-fed, with only around 22 percent 493 of net cultivable area under
irrigation. Agricultural irrigation in Bharuch primarily depends on canals and open wells. Hence, there is a big scope
of adoption of tube wells.

Major horticulture crops being produced in the district include banana, mango, cucurbits, papaya and brinjal.
However, banana alone accounts for over 90% of the district’s total produce.

The cattle population in the district is low, with cows and buffalos accounting for 1, 44, 755 and 1, 34, 176 of the
total cattle population 494. Other prominent domestic animals under animal husbandry activities are goats. Each taluka
of the district has a permanent pasture, though they are small in size. There are significant opportunities to develop
husbandry activities in the district.

6.10.9.2. Workforce Distribution in the district

Being an emerging industrial hub, Bharuch is witnessing significant growth in the secondary sector in overall
employment. Traditionally, the dependency on agriculture has been high, as indicated by nearly 70 percent share of
the primary sector. But recent years have witnessed significant progress toward reducing the dependency on agrarian
activities. A comparison of workforce distribution scenario in Bharuch and Gujarat is presented in the table 495.
Percentage of Employment
Region Labour Force Workforce Primary Secondary
Participation Participation Sector Sector Tertiary Sector
Bharuch 63.04% 41.64% 68.74% 10.5% 20.77%
Gujarat 59.27% 41.95% 59.34% 15.86% 24.8%

Organized industrial employment in registered factories and service enterprises has created several employment
opportunities in the district. Large-scale industries lead in employment generation. Over the years, this segment has
accounted for 2.11 lakhs 496 of the total 2.56 lakhs 497 organized industrial employment across commissioned and
under-implementation units. Among the MSME units, services enterprises account for a low share of employment
owing to the unorganized nature of commercial activities within the district. The details of category-wise industrial
employment as per 2012 statistics is presented in the table.

492
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
493
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
494
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
495
KPMG Analysis
496
IEM, MSME Part-II Data till 2012-13
497
IEM, MSME Part-II Data till 2012-13

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Organized Employment in Bharuch 498

Category of Industries Employment
Large Scale Industries (Commissioned + Under Implementation) 211430
MSME Category 44952
Manufacturing Units 41204
Service Enterprises 3748
Total 256382

Regional and sectoral analyses of large-scale industrial employment indicate a clear concentration of employment in
key sectors and within key taluka regions. Ankleswar, Vagara and Bharuch talukas account for maximum employment
in this category. Chemical and chemical products, construction-based materials, textile and apparels and
pharmaceuticals are major employment generating segments within the district. The regional and sectoral break up
of large-scale industrial employment is presented in the charts.

Large Scale Industrial Employment Overview in the District 499

Regional Distribution of Large Scale Industrial Composition of Employment in Large Scale
Employment Infrastructure Industries
5%
Other
Manufacturing Agro & Food
2% Processing
2%
Pharmaceutical Textile &
Jambusar Hansot Apparel
2% Not Specified s
5%
2% 7% 10% Paper & Paper
Amod Other Services
1% Products
1%
2%
Vagara Transportation
24% 2%
Construction
Material
Ankleshwar Valiya 9%
31% 5%
Chemical &
Eletrical & Manufacturing Chemical
Eletronics of Engineering Products
Bharuch Goods
Mineral 3% 43%
21% 4%
Zagadiya Prosessing &
9% Fabrication
3%
Rubber &
Plastics
5%

Among the manufacturing units in the MSME segment, chemical and chemical products, mineral processing and
fabrication, textile and apparel and manufacturing of engineering goods have accounted for the maximum share of
employment in all the categories of industries. Wholesale and retail trade, IT-ITES, publishing and printing,
hospitality and tourism are major employment-generating sectors within tertiary enterprises. The details of sector-

498
IEM, MSME Part-II Data till 2012-13
499
IEM, MSME Part-II Data till 2012-13

247
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

wise industrial employment in manufacturing and services MSME units, as per MSME part-II statistics until 2012, are
presented in the charts.

MSME Employment Overview in the District 500

Composition of Employment in MSME Composition of Employment
Manufacturing Units in MSME Service Enterprises
Auto-Auto
Manufacturing of Components
Engineering Goods 1.8% Agri-Allied Activities Mining & Quarrying
6.6% 0.6% 2.8%

Agro & Food Hospitality Whole sale

Construction
Processing and Tourism & Retail
0.0% IT- ITES Trade
3.4% 4.9%
Eletrical & 6.7% 10.0%
Eletronics
4.9%
Wooden Products & Transportati
Furniture on
Textile & Apparel 2.2% 1.7%
16.3%
Mineral Prosessing
& Fabrication Paper & Paper Printing &
18.1% Products Publishing
1.6% 5.9%
Other
Chemical & Services
Chemical Products 70.7%
Rubber & Plastics 37.7%
4.1%

6.10.9.3. Human Resource Requirement Projections in Bharuch (2012-22)

Incremental manpower requirement in Bharuch has been estimated on the basis on several parameters such as
investments trends, national-level benchmarks on industrial growth across sectors, state manufacturing policy
targets, performance of state against economy targets, national-level inclusion targets for certain sectors,
employment generation potential of various sectors based on labour elasticity and market-based insights from
discussions with industries in Bharuch. Based on the analysis of current state of workforce distribution and potential
employment opportunities in various sectors, incremental manpower requirement in key primary, secondary and
tertiary segments is estimated for the periods 2012–17 and 2017–22. Further, manpower requirement is classified
into skilled, semi-skilled and minimally skilled categories, considering the present level of employment in these
categories for respective sectors and on the basis of the analysis of expected developments in the industry, which
would lead to a significant realignment of the categories. The detailed approach for manpower estimations is
presented in the appendix and specific factors for estimation are discussed below.

Primary Sector:

Considering the increase in farm mechanization and sharing of agricultural land, the period between 2012 and 2022
would witness a net outflow of workforce from agricultural activities. Agricultural workforce displacement is

500
IEM, MSME Part-II Data till 2012-13

248
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

expected to be significant in marginal workers category. A significant portion of workforce would engage in agro-
allied activities, depending on the availability of allied resources and migrational constraints. Incremental manpower
requirement for agro- allied activities is estimated on the basis of the following parameters

• Current level of employment in agricultural activities (farmers and agricultural labourers)

• Estimated displacement factors for agricultural workforce are based on Planning Commission
Projections for 2012–17 and 2017–22 periods and analyses of level of mechanization and allied factors
in Gujarat
• Employment potential in agro-allied activities in the district, considering the level of involvement in the
respective activities and regional conditions

Manufacturing Sector:

Manpower requirement in secondary sector is driven by investments and output growth. Various factors, including
the analyses of manufacturing, sub-sector policies, investment trends and availability of resources, are considered for
incremental manpower estimation in different sub-sectors of manufacturing in the district. Human resource
requirement projections for manufacturing sub-sectors in the district are estimated on the basis of the following
parameters:

• Manufacturing growth targets for Gujarat for 2012–17 and 2017–22 (increasing secondary sector share in
GSDP to 32% by 2017)
• Identifying key growth sub-segments within the district, based on the study of existing industrial base and
primary interactions
• Estimation of growth targets for the district, based on the analysis of investment trends in the district as
compared to those in the state, available infrastructure and policy thrust on key manufacturing segments
identified for the district
• Labour elasticity factors in the potential sectors for the district

Tertiary Sector:

Employment growth in some of the services sector is driven by the government through budgetary allocations to
achieve inclusion targets in education, healthcare and banking. Other segments such as hospitality and tourism,
financial intermediation, communication and retail depend on the level of economic activity in the region, which
determine the spending capacity of the population. Also, segments like IT-ITES and transportation and logistics are
driven by investments in infrastructure and manpower. Hence, human resource requirement projections for services
sub-sectors would have specific approaches, depending on the growth drivers for these segments in the district. A
detailed methodology for the estimation of manpower in services sub-segments is presented in the appendix.

Based on the analysis of socio-economic conditions, investment scenario and availability of resources, incremental
manpower requirement has been estimated for the following sectors.

Primary Sector

• Agriculture & Allied Activities( Horticulture, Sericulture, Animal Husbandry and Fisheries)

249
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Secondary Sector

• Textile and Apparel

• Manufacturing of Engineering Goods( Including Auto & Auto Components)
• Chemical & Chemical Products(Including Petro Chemicals)
• Drugs & Pharmaceuticals
• Agro & Food Processing
• Electrical and Electronics
• Mineral Processing & Fabrication
• Construction Material(Cement, Ceramics)
• Rubber & Plastics
• Paper & Paper Products
• Infrastructure(Construction)

Tertiary Sector

• IT-ITES
• Transportation & Logistics(including port based logistics)
• Banking & Financial Services
• Organized Retail
• Hospitality & Tourism
• Healthcare
• Education & Training

Incremental manpower requirements for the priority sectors in Bharuch district are presented in the table 501.

Sector 2012–17 2017–22

Skilled Semi Minimally Total Skilled Semi Minimally Total
Skilled skilled Skilled skilled
Agriculture &
NA NA 12582 12582 NA NA 12582 10537
Allied Activities
Agro & Food
142 568 710 1420 127 508 635 1270
Processing
Textile & Apparel 619 2478 3097 6194 554 2216 2770 5540
Wooden Products
21 85 106 213 19 76 95 190
& Furniture
Paper & Paper
114 455 569 1138 102 407 509 1018
Products
Chemical &
Chemical 2304 9215 11519 23039 2061 8243 10303 20607
Products
Rubber & Plastics 263 1053 1316 2631 235 941 1177 2354
Mineral 342 1370 1712 3424 306 1225 1531 3063

501
KPMG Analysis

250
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Processing &
Fabrication
Electrical &
159 638 797 1595 143 571 713 1427
Electronics
Manufacturing of
Engineering 277 1109 1386 2771 248 992 1239 2479
Goods
Manufacturing of
Construction 392 1569 1961 3922 351 1403 1754 3508
Material
Drugs and
338 1353 1691 3383 303 1210 1513 3026
Pharmaceuticals
Misc.
114 456 570 1141 102 408 510 1020
Manufacturing
Construction 344 688 5847 6879 308 615 5230 6153
Trade, Retail 556 833 4167 5556 607 911 4555 6073
Transportation &
526 8359 9945 18830 431 6839 8137 15407
Logistics
Hospitality &
843 1265 6323 8430 674 1012 5058 6744
Tourism
Banking &
3341 10024 NA 13366 2339 7017 NA 9356
Financial Services
Healthcare 349 1569 NA 1917 464 2322 NA 2786
Education &
575 3869 NA 4443 862 2321 NA 3183
Training

Skill requirements in key growth sectors have been analyzed based on industry interactions to understand the
detailed manpower needs. Sector level skill interventions are indicated in the section below 502.

Secondary Sector (Manufacturing, Construction & Energy):

• Auto & Auto Components

Subsector Skills

Auto Assembling and Component Core Skills: Motor Mechanic, Diesel Mechanic, Fitter, Welder, Fabricators
Manufacturing
Allied Skills: Electrician, Wireman

Acute Skill Deficits: Specialized welders in Arc welding who can work in
extreme conditions on advanced fabrication equipments

• Textile & Apparel:

Category of Skills Skills

502
KPMG Analysis

251
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Core Skills Ring frame operator, weaver, processing operator (CDR,BDR,Stuntor), Bar-
coding machine operator

Electrician, Wireman, Fitter

Allied Skills
The industry has high attrition rates in operator roles (semi skilled) owing to
Skills with acute shortage extreme working conditions.

• Food Processing:
Category of Skills Skills

Core Skills Fitter, Electrician, Wireman, Instrumentation, Lab Technician

Allied Skills Instrumentation, Packaging (Jar, Pouch) Operator, AOCP, Lab Attendant, Boiler
Operator, QC Chemists

Skills with acute shortage PPO is required in industries having in house packing development.

• Chemical & Chemical Products:

Category of Skills Skills

Core Skills Mechanical, Electrical skills

Allied Skills Instrumentation, boiler attendant,AOCP, lab attendants

Skills with acute shortage MSc/BSc chemists, Electronic Automation with understanding of PLC systems

• Metal & Mineral Processing:

Category of Skills Skills
Core Skills Fitter, Welder, Turner, Electrician

Allied Skills Melter, Boiler Operator

Skills with acute shortage PCB instrumentation

• Drugs & Pharmaceuticals:

252
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Category of Skills Skills

Core Skills Process Operator, Packaging Operator, Process Technicians, Lab QC
Technicians -Lab Technicians (Analytical), R&D Technicians
Allied Skills Electrician, Instrumentation

Skills with acute shortage Bio-instrumentation

• Construction:
Category of Skills Skills
Core Skills Electricians, carpenters, barbenders, welders and masons

Allied Skills Minimally skilled workers

Skills with acute shortage Machine operators

Services:
• Banking & Financial Services:
Category of Skills Skills
Core Skills Knowledge on core banking/mobile/internet platforms

Allied Skills Sales & Marketing

Skills with acute shortage insurance underwriting, claims management

• Transportation :
Category of Skills Skills
Core Skills Heavy vehicle drivers, logistics management

Allied Skills Administrative, computer data management

Skills with acute shortage Scheduling and logistics planning

• Trade, Retail:

253
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Category of Skills Skills

Core Skills Shop floor executives/supervisors, computer operator

Allied Skills Transportation & logistics staff

Skills with acute shortage Store management, stock planning

Primary Sector:

• Cultivation:
Category of Skills Skills
Core Skills Awareness about high yield varieties, micro nutrients and pest Control, Organic
farming and Vermi compost methods, Micro irrigation techniques
Allied Skills Knowledge on food processing techniques and related procedures to extract
greater value from farm produce

Skills with acute shortage Usage and repair of farm equipments, Marketing and management practice

• Agri- Allied Activities:

Category of Skills Skills
Core Skills Modern rearing techniques of live stock, piggery, goatery and fisheries

Allied Skills Knowledge on processing techniques

Skills with acute shortage Marketing and distribution of forest/animal husbandry produce

6.10.9.4. Human Resource Supply Scenario in the District

6.10.9.4.1. Estimation of Labour Force Supply
District-wise incremental supply has been determined based on net addition of labour force. Gross addition to
working age group population during 2012-17 and 2017-22 were determined based on Census 2011 age wise
population accounting for death rate and life expectancy normalized against population corrections in 2017 and 2022.
Applying labour force participation rates, considering the historical trends, gross additions to labour force were
estimated for the two time periods. Accommodating for retirement from the existing pool of labour force, net supply
to labour force has been estimated.

254
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Bharuch would experience a moderate growth in human resource base in 2012–22. Increasing industrial activity in
the district would increase population in the district in the next decade. The details of human resource growth
estimations during 2012–22 are presented in the table 503.

Period Gross Addition to Working Gross Addition to Labour Net Addition to Labour
Age Population Force Force-Supply

2012-17 154,681 94,267 54,812

2017-22 134,876 83,558 42,558

6.10.9.4.2. Education and Training Potential in the District

The district has about 1,181 K12 schools with government schools comprising 80.27 percent. The district’s net
enrolment ratios at primary and upper-primary levels are higher than the state average 504.

Total Enrolments Primary Level Upper Primary Level Secondary Level Higher Secondary
in 209-10 (Std I-V) (Std VI-VIII) (Std IX-X) Level (Std XI-XII)
Bharuch 151347 57999 64896 18617

A comparison between the district’s enrolment statistics with the state average indicates that the former has
performed better in the primary education category 505
Region Net Enrolment Ratio (Primary Level) Net Enrolment Ratio (Upper Primary Level)
Bharuch 87.1 54.3
Gujarat 85.4 50.7

In the vocational education segment, the district has performed better than the state. Despite high vocational
education capacity, private sector has not shown much interest in the sector. This indicates that the state needs to
take proactive measures in seeking private support to improve the quality of vocational training 506.

Region Number of Seat Vocational Training Private Sector

ITIs Capacity Capacity Density (Seats Participation in
Per 1000 Population) Vocational Training
Bharuch 21 6,256 4.03 22%
Gujarat 711 138,106 2.29 26%

Given the unequal distribution of seats, it is important to increase capacity in vocational education in Bharuch district
by focusing on the tehsils of Hansot, Bharuch, Amod, Jambusar and Zagadiya to bring them on par with the district
average 507.

503
KPMG Analysis
504
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat
505
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat
506
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat
507
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat

255
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Taluka Seat Capacity Vocational Training Private Sector

Capacity Density(Seats Participation in
Per 1000 Population) Vocational Training
Ankleshwar 3060 10.29 8%
Valiya 684 4.63 0%
Vagara 384 4.11 33%
Hansot 212 2.72 40%
Bharuch 1084 2.50 61%
Amod 208 1.98 38%
Jambusar 328 1.64 56%
Zagadiya 296 1.52 0%
District Total 6256 4.03 22%

The district has three engineering colleges, one management institute and ten colleges offering courses in arts,
commerce, science, BEd and law. Shri Sadvidya Mandal Institute of Technology and a government engineering
college in the district have an intake capacity of 315 and 180 respectively. Narmada College of Management in
Bharuch offers MBA courses and has an intake capacity of 60.

6.10.9.4.3. Demand-Supply Analysis for the District

Incremental skill category wise supply for the periods 2012-17 and 2017-22 in the district are estimated based on net
output from higher education institutions (skilled), vocational training(semi skilled), minimally skilled (school
education) for periods 2012-17 and 2017-22 considering the LPR estimations for the districts in 15-59 age group and
retirement from existing labour force.

Based on the skill category human resource demand projections for 2012-22 and net supply potential, category wise
Demand-Supply gap estimations for the district are presented in the table below.

Category Wise Demand-Supply Gap in the District (2012-22)

2012-17 2017-22
Sector Skilled Semi Minimally Total Skilled Semi Minimally Total
Skilled skilled Skilled skilled
Demand-Supply
Gap 3,791 40,887 23,383 68,062 1,114 31,324 32,788 63,183
*(Indicates excess supply)

6.10.9.4.4. Skill Development Potential through Government Endowments

According to KPMG estimates, based on the potential district budgetary allocation for various central government
schemes, about 50 thousand people can be trained incrementally in the five year period of 2012–17. The Ministry of
Agriculture and the Ministry of Labour Schemes are expected to contribute \significantly toward training. Manpower
training targets are primarily focused on the primary sector due to less industrial development in the district. Private
training providers have opportunities in livelihood training programmes.

256
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Government Funded Incremental Training Capacity (2012-17) - Bharuch District 508

SJSRY 7706

SDI-MES 7705

M/O Agriculture 7372

SGSY 5898

Using Construction Cess 5226

ART - M/o Tribal Affairs 2968

Others 2954

D/O IT 2825

Credit Scheme 2697

ISDS - Textiles 1831

SCA under TSP - M/o Tribal Affairs 1781

Hunar Se Rozgar 844

CSR Funds from Central PSUs 642

6.10.9.5. District Specific Recommendations

Considering human resource potential and manpower requirements of the industry, the following proposed
action plan for stakeholders in skill development has been recommended:

Stakeholder Action Points for Stakeholders

NSDC Focus on increasing participation from national/regional private skill training providers
with focus on the following regions, which have high organized employment potential:
• Ankleswar and Bharuch
Focus on the following sectors, which have high employment potential in the district:
• Services: Transportation and logistics, banking and financial services and
construction
• Manufacturing: Chemical and chemical products, mineral processing, textile and
cement industries

District Provide skill training along with private skill training using government endowment training
Administration schemes in the following sectors:
• Animal husbandry
• Horticulture
Focus on improving industrial training infrastructure in the following regions:

508
KPMG Analysis

257
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

• Hansot, Bharuch, Amod, Jambusar and Zagadiya

Private Skill Focus on placement-driven training for youth from high human resource potential regions
Training of Hanskot, Amod, Valia while Ankleswar and Bharuch
Providers
Focus on the following sectors which have high employment potential in the district:
• Services: Transportation and logistics, banking and financial services and
construction
• Manufacturing: Chemical and chemical products, mineral processing, textile and
cement industries

Corporate Provide skill training in sectors where the requirement for absorption within the corporate
is higher. These include:
• Textile
• Chemical and chemical products
• Transportation and logistics

Initiate and support modular employability skill training in collaboration with private
players/government
Create placement linkage opportunities in training institutions

258
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

6.10.10. Skill Gap Assessment of Bhavnagar District

6.10.10.1. Socioeconomic Profile
6.10.10.1.1. Administrative Profile

Bhavnagar district located in the Saurashtra

region of Gujarat is witnessing significant
industrial growth over the years. Spread across a
geographical area of 8334 sq.km 509 district shares
borders with Ahmedabad, Amreli, Rajkot and the
Gulf of Cambay. Administratively district is
divided into 11 talukas and 793 villages 510.
Bhavnagar city is the district capital and a key
urban region along with nine other towns in the
district. Bhavnagar, Mahuva, Talaja, Bhavnagar
Botad,Palitana, Sihor, Gadhadha, Gariadhar,
Umrala, Ghogha, Vallabhipur are taluka regions in
Bhavnagar district. Proximity to the commercial
city of Ahmedabad is a key advantage boosting
the economic growth of the region.

6.10.10.1.2. Demographic Profile

Bhavnagar district has a total population of 28.78 lakhs 511 as per 2011 Census district accounting for 4.8 percent 512 of
the overall state population. District population has witnessed a marginally lower decadal growth rate of 16.53
percent between 2001 and 2011 in comparison with the state average of 19.17 percent 513 during the same period.
Significant portion of district population lives in urban areas with these regions accounting for nearly 42 percent 514 of
the total population. Population spread in the district is marginally low with a density of 247 persons per sq.km 515 in
comparison to the state average of 308 persons per sq.km 516. Analysis of population distribution in the district as per
2001 census indicates higher human resource potential in the talukas of Bhavnagar, Mahuva, Talaja while Bhavnagar
has higher population concentration owing to industrial and commercial growth in this region. Details of regional
distribution of population in the district are presented in the table 517.

509
Census 2011 Statistics
510
Census 2011 Statistics
511
Census 2011 Statistics
512
Census 2011 Statistics
513
Census 2011 Statistics
514
Census 2011 Statistics
515
Census 2011 Statistics
516
Census 2011 Statistics
517
Census 2001Statistics, KPMG Analysis

259
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Regional Distribution of Population in the District 518

Region Contribution to District Population Population Density
(2001) (Persons per Sq.km- 2001)
Bhavnagar 27% 637
Mahuva 15% 299
Talaja 11% 310
Botad 9% 305
Palitana 8% 271
Sihor 8% 267
Gadhada 7% 196
Gariadhar 5% 238
Umrala 4% 218
Ghogha 3% 196
Vallabhipur 3% 126

Composition of female population in the district is moderately biased compared to the state average. As per 2001
census district has a gender ratio of 931 females per 1000 males 519 as against the state average ratio of 940 females
per 1000 males 520. However, decreasing proportion of female population is a concern for the district. Adult gender
ratio has decreased from 937 females per 1000 males 521 in 2001 to 931 females per 1000 males 522 in 2011. District
has a lower composition of scheduled castes and scheduled tribes. As per census 2001 estimates, reserved
categories population account for only 5.79 percent 523 of overall district population.

Education attainment levels in the district are marginally lower than the state average. As per 2011 estimates,
district has registered an overall literacy rate of 76.84 percent 524 as against state average of 79.31 percent 525. District
has achieved greater progress towards regional inclusion in the reach of mass education programs while there is
significant need for better gender inclusion. District has a male-female literacy gap of 19.23 percent 526 as against
16.5 percent 527 for Gujarat state. Lower level of gender inclusion stresses the need for gender specific approach
towards implementation of various mass education initiatives. On the other hand urban-rural literacy gap in
Bhavnagar is estimated to be 11.15 per cent 528 as against the 14.58 percent 529 for overall state. Increasing focus on
literacy would create demand for education and training facilities within the district to support the economic growth
of the region.

518
Census 2001Statistics, KPMG Analysis
519
Census 2011 Statistics
520
Census 2011 Statistics
521
Census 2011 Statistics
522
Census 2011 Statistics
523
Census 2001Statistics, KPMG Analysis
524
Census 2011 Statistics
525
Census 2011 Statistics
526
Census 2011 Statistics
527
Census 2011 Statistics
528
Census 2011 Statistics
529
Census 2011 Statistics

260
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

6.10.10.1.3. Economic Profile

The proximity of Bhavnagar with commercial districts of Ahmedabad, Rajkot, Surendranagar, and Amreli has made
the district an important industrial location. The industrial development in Bhavnagar district could be attributed to
the presence of a large number of diamond cutting and polishing units, salt and marine chemicals, plastics, ship
building, and breaking industries. Bhavnagar stands second in diamond cutting & polishing industry after Surat in
India. It is the largest producer of salt and at Alang, Bhavnagar houses the largest ship breaking yard in the world.
Further, small scale industry sectors such as repairing & servicing, textiles, chemicals, glass & ceramics and wood
products are the supporting pillars of the economy of Bhavnagar district providing numerous employment
opportunities

Analysis of regional distribution of investments in Bhavnagar district indicates that the industrial development is
concentrated in Bhavnagar Taluka while other regions like Talaja and Ghogha still remain backward in terms of
industrial development. Over the recent years the State Government has initiated measures to enhance the industrial
growth in backward talukas across the state through suitable incentives leading to an increased investment potential
of these regions over the next decade. Details of region wise large scale investments in Bhavnagar district till 2012 is
presented in the table.

Large Scale Investment Scenario In Bhavnagar 530

Region Commissioned Under Implementation
No. of Units Investment No. of Units Investment
( INR Cr) ( INR Cr)
Bhavnagar 51 1647 17 2039

Sihor 20 41 10 227

Talaja 13 17 1 30

Ghogha 10 70 2 1399

Mahuva 8 73 9 4448
Botad 1 1
Palitana 1 1
Gadhada 2 72
Not Classified 2 90 4 91
Overall District 106 1940 153 10336

Rapid growth of industrialization in the district has widened the scope for establishment of ancillary units in MSME
segment. As per the MSME investment Part–II statistics, overall there are 2599 units 531 operating in the district

530
IEM, MSME Part-II Data till 2012-13
531
IEM, MSME Part-II Data till 2012-13

261
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

attracting an investment of INR 1, 22,234 lakhs 532 in 2012. Investment outlook in MSME segment of Bhavnagar
district is presented in the table.

MSME Investment Scenario in Bhavnagar

Category of Industries Number of Units Investment In Lakhs
Micro 2,151 36,927
Small 432 73,494
Medium 16 11,812
Total 2,599 122,234
Manufacturing Sector Units 1,803 101,705
Service Enterprises 796 20,529

MSME segment in Bhavnagar is dominated by manufacturing industries in terms of both volume and investments.
Among the manufacturing based MSME units, mineral processing, chemical and chemical products, agro and food
processing, textile and apparel and wooden products and furniture are prominent categories in terms of number of
units. Meanwhile, chemicals and chemical products, agro processing and mineral processing and fabrication are the
key products in terms of investments.

MSME Manufacturing Sector Scenario in the District 533

Composition of MSME Manufacturing Units Composition of Investments in
MSME Manufacturing Units
Auto-Auto
Components Agri-Allied Activities
3.1% 0.1%
Construction Mining & Quarrying Manufacturin Auto-Auto
Manufacturing of 1.9% 3.7% g of Components Mining &
Engineering Goods Agro & Food Engineering 2.1% Quarrying
10.3% Processing Goods 1.9%
Eletrical & 14.3% 5.4% Agro & Food
Eletrical & Processing
Eletronics
Eletronics 21.1%
2.3%
0.9%
Textile &
Mineral Mineral
Apparel
Prosessing & Prosessing &
12.4%
Fabrication Fabrication
19.5% 21.8%

Textile &
Wooden Products & Rubber & Chemical & Apparel
Furniture Plastics Chemical 15.0%
Products Wooden
Rubber & Plastics Paper & Paper 9.9% 3.6% Products &
8.0% Products 23.2%
Furniture
Chemical & 0.3% Paper &4.3%
Chemical Products Paper
14.4% Products
0.1%

532
IEM, MSME Part-II Data till 2012-13
533
IEM, MSME Part-II Data till 2012-13

262
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Composition and employment in MSME service enterprises is given in the charts. It can be observed that wholesale
and retail constitutes the bulk (50.6%) of MSME service enterprises. In terms of investment volume, the IT and ITES,
wholesale and retail sectors are attracting the maximum interest.

MSME Services Sector Scenario in the District 534

Composition of MSME Service Composition of Investments in MSME
Enterprises Service Enterprises
Hospitality and
Hospitality and
Tourism
3.5% IT- ITES Tourism
5.7% 4.3%

Other Services Other Services

26.0% 27.3%
Printing &
Publishing IT- ITES
Printing & 43.8%
1.3%
Publishing
2.4%

Transportation Whole sale &

Retail Trade Transportation Whole sale &
9.5%
50.6% 4.6% Retail Trade
18.1%

Amongst the service sector in Bhavnagar, the tourism sector promises the strongest growth. The famous tourist
destinations in Bhavnagar include Gandhi Smriti, Takhteshwar Temple, Gaurishanker Lake and Sardar Vallabhai Patel
Garden. Apart from the above, there are other destinations which attract tourists include Velavadar National Park – a
sanctuary for blackbuck, wolf, pelicans, flamingoes and sarus cranes, Talaja town located on Sterunji river and Shihor
Darbargadh palace. Bhavnagar city provides royal accommodation facilities for tourists. The district has many hotels
such as Nilambagh Palace Hotel, Hotel Bluehill, Hotel Sunshine, and Hotel Apollo.

While the education and transport infrastructure is strong in Bhavnagar, medical and banking infrastructure needs to
be strengthened in order to support services sector.

Bhavnagar has the National Highway 8E passing through the district and connects it with Junagadh and Amreli.
Bhavnagar is connected with the major cities of Gujarat like Ahmadabad, Vadodara & Surat and major cities of India
like Delhi, Mumbai and Ahmedabad. Bhavnagar was one of the first cities in Gujarat to have an airport with air
services between Bhavnagar and Mumbai.

534
IEM, MSME Part-II Data till 2012-13

263
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

The medical penetration however, remains low in the district, with about 35,975 people per institution 535. The district
has 47 primary healthcare centers, 15 community healthcare centers and 11 dispensaries. Though Bhavnagar has Sir
Takhtsinhji Hospital – a multi-specialty hospital, Tuberculosis and Research Centre, more hospitals needs to be
established in the district.

Bhavnagar has an average penetration of banking and financial services with a density of 14,177 people per bank as
of March 2012 536.The total number of bank offices in Bhavnagar stands at 203 with the deposits amounting 9,698 Cr
INR and bank credit amounting to 3,880 Cr INR as of March 2012 537.

Agriculture and allied sector contributes significantly to the economy of the Bhavnagar district. In 2006-07, Bhavnagar
had the highest production of onion and guava in the State, accounting for 4, 99,112 and 52,061 Metric Tonnes (MT)
respectively. The district was the third highest producer of chiku with a production of 31,886 MT (2006-07). Total
production of cotton for the year 2006-07, in Bhavnagar was 12, 73,500 bales, the second highest in the State after
Rajkot 538.

Though the district has medium to low rainfall conditions, favorable soil characteristics allows majority of district
geographical land to be cultivable (72 percent of total geographical area 539). Being a low rainfall witnessing region,
the district has a limited spread of irrigation facilities with only 34 percent of net cultivable area under irrigation.
Mahuva Taluka has a 12 percent of net cultivable area under irrigation.

Cotton, Groundnut, Bajara, Tal and Sorghum are the major Kharif Crops while Wheat, Cumin and Onion are the
important Rabi crops grown in the district. The ratio of land under Rabi crops to Kharif crops is around 0.11 indicating
low multiple cropping in the district.

The population of cows and buffalos is high in the district, with 3, 40,063 cows 540 and 3, 34,140 buffalos 541. Other
prominent domestic animals under animal husbandry activities are goats and sheep. There is a small coverage of
pasture land in the district but a lot of waste land is available which can be utilized for husbandry activities.

6.10.10.2. Workforce Distribution in the district

Bhavnagar is among the districts with significant industrial growth reducing dependency on agriculture in workforce
distribution. Large gaps in labour force and worker participation rates suggest high level of unemployment in the
district. Limited employment opportunities for women in an increasingly urbanizing district explain the reason for the
535
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
536
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
537
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
538
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
539
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
540
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
541
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07

264
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

high unemployment rate. Efforts towards higher levels of gender inclusion in education and employment are
expected to improve the situation over the next decade. Comparison of workforce distribution scenario in Bhavnagar
and Gujarat is presented in the table 542.

Percentage of Employment
Region Labour Force Workforce Primary Secondary
Participation Participation Sector Sector Tertiary Sector
Bhavnagar 65.07% 38.25% 55.97% 23.85% 20.18%
Gujarat 59.27% 41.95% 59.34% 15.86% 24.8%

Registered factories and service enterprises have contributed to over fifty thousand employment opportunities in the
district. Unorganized sector still dominates the overall employment market in the sector. Employment opportunities
are uniformly distributed across the industry categories with micro scale units accounting for a marginally higher
share. Food processing, Furniture and Chemical units have accounted for majority share of the employment in micro
category.

Organized Employment in Bhavnagar 543

Category of Industries Employment
Large Scale Industries (Commissioned + Under Implementation) 24637
MSME Category 36306
Manufacturing Units 31425
Service Enterprises 4881
Total 60,943

In case of large scale employment opportunities, Bhavnagar attracts the maximum employment. Wholesale and retail
provides the maximum employment opportunities in the large scale industries.

542
KPMG Analysis
543
IEM, MSME Part-II Data till 2012-13

265
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Large Scale Industrial Employment Overview in the District 544

Regional Distribution of Large Scale Composition of Employment in Large Scale
Industrial Employment Industries
Other
Pharmaceutic
Transportatio als Manufacturin
n 2% g
Ghogha Not Classified 1% 3%
Gadhada 5% 4% Agro & Food
1%
Construction
Material Processing
Sihor 7% 8%
10%
Manufacturin
Botad g of
1% Engineering
Goods
Talaja
10%
11% Bhavnagar
56% Mineral
Prosessing &
Mahuva Fabrication
12% 27%
Rubber &
Plastics
1%

Agro and food processing industries constitutes the maximum employment opportunities in the MSME manufacturing
units. Mineral processing and fabrication, chemicals and chemical products, wooden products and furniture also
attract a significant number of workers. Wholesale and retail attracts the maximum number of employees in the
MSME services enterprises.

MSME Employment Overview in the District 545

Composition of Employment in MSME Composition of Employment in MSME
Auto-Auto Manufacturing Units Service Enterprises
Components Agri-Allied Mining & Hospitality and
9.2% Activities Quarrying Tourism
5.2% IT- ITES
Manufacturing 0.1% 2.8%
3.9%
of Engineering
Goods
Agro & Food
Construction 6.5%
Processing
2.2%
16.7%
Eletrical &
Eletronics Whole sale &
0.9% Other Services Retail Trade
Textile &
43.7% 36.1%
Mineral Apparel
Prosessing & 8.6%
Fabrication Wooden
20.0% Products &
Furniture
14.8%
Rubber &
Plastics Transportation
Chemical & 4.3% 7.7%
Paper & Paper Printing &
Chemical Products Publishing
Products 0.1% 2.5%
14.0%

544
IEM, MSME Part-II Data till 2012-13
545
IEM, MSME Part-II Data till 2012-13

266
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

6.10.10.3. Human Resource Requirement Projections in Bhavnagar (2012-22)

Incremental manpower requirement in the district of Bhavnagar has been estimated based on several parameters
such as investments trends, national level benchmarks on industrial growth across sectors, state manufacturing
policy targets, performance of state against economy targets, national level inclusion targets for certain sectors,
employment generation potential of various sectors based on labour elasticity and market based insights from
discussions with industries in Bhavnagar. Based on the analysis of current state of workforce distribution and
potential employment opportunities in various sectors incremental manpower requirement in key primary, secondary
and tertiary segments is estimated for the periods 2012-17 and 2017-22. Further, manpower requirement is classified
into skilled, semi skilled and minimally skilled categories considering the present level of employment in these
categories for respective sectors and analysis of expected developments in the industry that would lead to significant
realignment of the categories. Detailed approach for manpower estimations is presented in the appendix and specific
factors for estimation are discussed below.

Primary Sector:

Considering the increasing level of farm mechanization and sharing agricultural land usage, period between 2012 and
2022 would witness a net outflow of workforce from the agricultural activities. Agricultural workforce displacement
is expected to be significant in marginal workers category. A significant portion of the workforce would engage in
agricultural allied activities depending on the availability of allied resources and migrational constraints. Incremental
manpower requirement for the agri- allied activities is estimated considering the following parameters

• Current level of employment in agricultural activities(farmers, agricultural labourers)

• Estimated displacement factors for agricultural workforce based on Planning Commission Projections for
2012-17 and 2017-22 periods and analysis of level of mechanization and allied factors in Gujarat
• Employment potential in agri-allied activities in the district considering the level of involvement in the
respective activities and regional conditions

Manufacturing Sector:

Manpower requirement in secondary sector is driven by investments and output growth. Various factors including
analysis of manufacturing, sub sector policies, investment trends, availability of resources are considered for the
incremental manpower estimation in different subsectors of manufacturing in the district. Human resource
requirement projections for manufacturing sub sectors in the district are estimated considering the following
parameters

• Manufacturing growth targets for Gujarat for 2012-17 and 2017-22 (Increasing secondary sector share in
GSDP to 32% by 2017)
• Identifying key growth sub segments within the district based on study of existing industrial base, primary
interactions
• Estimation of growth targets for the district based on analysis of investment trends in the district in
comparison to the state, available infrastructure, policy thrust on key manufacturing segments identified for
the district
• Labour elasticity factors in the potential sectors for the district

267
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Tertiary Sector:

Employment growth in some of the services sector is driven by Government thrust in terms of budgetary allocations to
achieve inclusion targets in education, healthcare and banking while the other segments including hospitality and
tourism, financial intermediation, communication, retail would depend on the level of economic activity in the region
resulting in high or low spending capacity of population. Also segments like IT-ITES, transportation& logistics are
driven by investments into infrastructure and manpower. Hence human resource requirement projections for services
sub sectors would have specific approaches depending on the growth drivers for the segments in the district.
Detailed methodology for estimation of manpower in services sub segments is presented in the appendix.

Based on the analysis of socio economic conditions, investment scenario and availability of resources incremental
manpower requirement has been estimated for the following sectors.

Primary Sector

• Agriculture & Allied Activities( Horticulture, Sericulture, Animal Husbandry and Fisheries)

Secondary Sector

• Textile and Apparel

• Manufacturing of Engineering Goods( Including Auto & Auto Components)
• Chemical & Chemical Products(Including Petro Chemicals)
• Drugs & Pharmaceuticals
• Agro & Food Processing
• Electrical and Electronics
• Mineral Processing & Fabrication
• Construction Material(Cement, Ceramics)
• Rubber & Plastics
• Paper & Paper Products
• Infrastructure(Construction)

Tertiary Sector

• IT-ITES
• Transportation & Logistics(including port based logistics)
• Banking & Financial Services
• Organized Retail
• Hospitality & Tourism
• Healthcare
• Education & Training

Incremental manpower requirements for the priority sectors in Bhavnagar district are presented in the table 546.

546
KPMG Analysis

268
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Sector 2012-17 2017-22

Skilled Semi Minimally Total Skilled Semi Minimally Total
Skilled skilled Skilled skilled
Agriculture &
Allied Activities NA NA 20894 20894 NA NA 17498 17498
Agro & Food
Processing 156 625 782 1563 140 559 699 1398
Textile & Apparel 61 243 304 607 54 217 271 543
Wooden Products
& Furniture 101 403 504 1008 90 361 451 901
Chemical &
Chemical
Products 296 1184 1480 2960 265 1059 1324 2648
Rubber & Plastics 36 143 179 357 32 128 160 319
Mineral
Processing &
Fabrication 299 1194 1493 2985 267 1068 1335 2670
Electrical &
Electronics 6 24 29 59 5 21 26 53
Manufacturing of
Engineering
Goods 160 640 800 1601 143 573 716 1432
Manufacturing of
Construction
Material 39 156 195 389 35 139 174 348
Drugs and
Pharmaceuticals 9 36 44 89 8 32 40 79
Misc.
Manufacturing 17 69 86 172 15 61 77 153
Construction 638 1277 10851 12766 571 1142 9705 11418
Trade, Retail 1031 1546 7732 10310 1127 1691 8453 11270
Transportation &
Logistics 714 11344 13497 25556 585 9282 11043 20909
IT-ITES 6600 16500 NA 23100 5500 13200 18700
Hospitality &
Tourism 908 1362 6810 9080 726 1090 5448 7264
Banking &
Financial Services 2077 6230 NA 8307 1454 4361 NA 5815
Healthcare 360 1622 NA 1983 480 2401 NA 2882
Education &
Training 1306 8789 NA 10095 1958 5274 NA 7232

Skill requirements in key growth sectors have been analyzed based on industry interactions to understand the
detailed manpower needs. Sector level skill interventions are indicated in the section below 547.

547
KPMG Analysis

269
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Secondary Sector (Manufacturing, Construction & Energy):

• Chemical & Chemical Products:

Category of Skills Skills

Core Skills Mechanical, Electrical skills

Allied Skills Instrumentation, boiler attendant,AOCP, lab attendants

Skills with acute shortage MSc/BSc chemists, Electronic Automation with understanding of PLC systems

• Ship Building:
Subsector Skills
Hull Construction(Heavy metal fabrication with latest technology), QC, Painting,
Core Skills Piping, Electricals/ Electronics, A/C and Refrigerator(pertaining to marine
industry), Riggers

Allied Skills Basic computer knowledge, Accounting, Store Management

Fire fighting, Safety systems knowledge
Skills with acute shortage

• Metal & Mineral Processing:

Category of Skills Skills
Core Skills Fitter, Welder, Turner, Electrician

Allied Skills Melter, Boiler Operator

Skills with acute shortage PCB instrumentation

• Construction:
Category of Skills Skills
Core Skills Electricians, carpenters, barbenders, welders and masons

Allied Skills Minimally skilled workers

Skills with acute shortage Machine operators

270
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Services:
• Transportation :
Category of Skills Skills
Core Skills Heavy vehicle drivers, logistics management

Allied Skills Administrative, computer data management

Skills with acute shortage Scheduling and logistics planning

• Education:
Category of Skills Skills
Core Skills School teachers, higher education faculty

Allied Skills Knowledge on advanced teaching tools

Skills with acute shortage Technical education trainers

Primary Sector:

• Cultivation:
Category of Skills Skills
Core Skills Awareness about high yield varieties, micro nutrients and pest Control, Organic
farming and Vermi compost methods, Micro irrigation techniques
Allied Skills Knowledge on food processing techniques and related procedures to extract
greater value from farm produce

Skills with acute shortage Usage and repair of farm equipments, Marketing and management practice

• Agri- Allied Activities:

Category of Skills Skills
Core Skills Modern rearing techniques of live stock, piggery, goatery and fisheries

Allied Skills Knowledge on processing techniques

271
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Skills with acute shortage Marketing and distribution of forest/animal husbandry produce

6.10.10.4. Human Resource Supply Scenario in the District

6.10.10.4.1. Estimation of Labour Force Supply
District-wise incremental supply has been determined based on net addition of labour force. Gross addition to
working age group population during 2012-17 and 2017-22 were determined based on Census 2011 age wise
population accounting for death rate and life expectancy normalized against population corrections in 2017 and 2022.
Applying labour force participation rates, considering the historical trends, gross additions to labour force were
estimated for the two time periods. Accommodating for retirement from the existing pool of labour force, net supply
to labour force has been estimated.
Bhavnagar is among the districts with high human resource growth potential in Gujarat. Increasing industrial activity
in the district would drive a higher population growth in the district over the next decade. Details of human resource
growth estimations during 2012-22 are presented in the table 548.

Period Gross Addition to Working Gross Addition to Labour Net Addition to Labour
Age Population Force Force-Supply

2012-17 317,500 172,242 90,720

2017-22 286,459 156,483 70,438

6.10.10.4.2. Education and Training Potential in the District

The district has 1588 K12 schools with 81.07 percent of schools being government schools. While the district has a
100 percent net enrolment ratio at primary level, the net enrolment ratio at upper primary level is significantly higher
than the state average 549.

Total Enrollments Primary Level Upper Primary Level Secondary Level Higher Secondary
in 209-10 (Std I-V) (Std VI-VIII) (Std IX-X) Level (Std XI-XII)
323,269 112,873 123,506 27,635
Bhavnagar

Comparing the district’s enrolment statistics with the state average, it is found that the district is a strong performer
in the primary education category 550.
Region Net Enrolment Ratio (Primary Level) Net Enrolment Ratio (Upper Primary Level)

548
KPMG Analysis
549
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat
550
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat

272
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Bhavnagar 100.0 60.8

Gujarat 85.4 50.7

In the vocation education segment, the district lags behind in the provision of vocational training in comparison to
state average. Private interest in the sector in this district is also lower indicating that the state must take proactive
measures in seeking private support to augment vocational training infrastructure 551.

Region Number of Seat Vocational Training Private Sector

ITIs Capacity Capacity Density (Seats Participation in
Per 1000 Population) Vocational Training
Bhavnagar 28 4,346 1.51 17%
Gujarat 711 138,106 2.29 26%

Given the unequal distribution of seats, capacity expansion in vocational education in Bhavnagar district needs to be
focused on the tehsils of Umrala, Vallabhipur, Sihor, Mahuva, Botad, Gariadhar, Gadhada and Palitana to bring them
on par with the district average in vocational education capacity 552.

Taluka Seat Capacity Vocational Training Private Sector

Capacity Density(Seats Participation in
Per 1000 Population) Vocational Training
Bhavnagar 2338 3.03 19%
Ghogha 152 1.52 0%
Umrala 156 1.50 13%
Vallabhipur 128 1.47 0%
Sihor 264 1.18 52%
Mahuva 468 1.07 0%
Botad 244 0.92 31%
Gariadhar 120 0.89 0%
Gadhada 168 0.82 24%
Palitana 164 0.71 12%
Talaja 144 0.46 0%
District Total 4346 1.51 17%

In the higher education segment, Bhavnagar has a university of its own offering courses in professional disciplines
such as management, computer applications, etc apart from the conventional courses. Bhavnagar hosts a number of
Engineering, Medical, Nursing, Ayurvedic, and physiotherapy Colleges. Engineering colleges offering courses in
chemical, civil, electrical, electronics and communication, information technology, production and mechanical
engineering are present in the district. The Government Medical College and Swami Vivekananda Homeopathic
Medical College affiliated with Bhavnagar University in Bhavnagar city offer MBBS and BHMS degrees respectively.

6.10.10.4.3. Demand-Supply Gap Analysis for the District

551
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat
552
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat

273
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Incremental skill category wise supply for the periods 2012-17 and 2017-22 in the district are estimated based on net
output from higher education institutions (skilled), vocational training(semi skilled), minimally skilled (school
education) for periods 2012-17 and 2017-22 considering the LPR estimations for the districts in 15-59 age group and
retirement from existing labour force.

Based on the skill category human resource demand projections for 2012-22 and net supply potential, category wise
Demand-Supply gap estimations for the district are presented in the table below.

Category Wise Demand-Supply Gap in the District (2012-22)

2012-17 2017-22
Sector Skilled Semi Minimally Total Skilled Semi Minimally Total
Skilled skilled Skilled skilled
Demand-Supply
Gap (332) 41,645 1,848 43,161 (3,765) 27,723 19,139 43,094
*(Indicates excess supply)
6.10.10.4.4. Skill Development Potential through Government Endowments

According to KPMG estimates, based on the potential district budgetary allocation for various central government
schemes around 80 thousand people in total can be trained incrementally during the five year period of 2012-17.
Ministry of Agriculture and Ministry of Labour Schemes are expected to contribute to a significant share of the
training. Manpower training targets have predominant focus on primary sector considering the low level of industrial
development in the district. Private training providers have opportunities in livelihood training programs.

Government Funded Incremental Training Capacity (2012-17) - Bhavnagar District 553

SJSRY 17212

SDI-MES 14298

M/O Agriculture 12242

SGSY 9794

Using Construction Cess 8067

Others 5481

D/O IT 5243

Credit Scheme 5004

CSR Funds from Central PSUs 1192

Hunar Se Rozgar 909

ISDS - Textiles 740

ART - M/o Tribal Affairs 49

SCA under TSP - M/o Tribal Affairs 29

553
KPMG Analysis

274
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

6.10.10.5. District Specific Recommendations

Considering human resource potential and manpower requirements of the industry, the proposed action plan for
stakeholders in skill development has been recommended:

Stakeholder Action Points for Stakeholders

NSDC Focus on increasing participation from national/regional private skill training providers
with focus on the following regions having high organized employment potential
• Bhavnagar, Mahuva, Talaja
Focus on sectors with high employment potential in the district
• Services: Transportation & Logistics, Construction, IT-ITES
• Manufacturing: Chemical & Chemical Products, Mineral Processing, Engineering
Goods (Ship Building)

District Provide skill training in conjunction with private skill training providers using government
Administration endowment training schemes in sectors of
• Animal Husbandry
• Horticulture
Focus on improving industrial training infrastructure in the regions of
• Umrala, Vallabhipur, Sihor, Mahuva, Botad, Gariadhar, Gadhada and Palitana
Private Skill Focus on placement driven training for youth from high human resource potential regions
Training of Bhavnagar, Mahuva, Ghogha
Providers
Focus on sectors with high employment potential in the district
• Services: Transportation & Logistics, Construction, IT-ITES
• Manufacturing: Chemical & Chemical Products, Mineral Processing, Engineering
Goods(Ship Building)

Corporate Provide training for skills in those sector where the requirement for absorption within the
corporate is higher such as
• Chemical & Chemical Products,
• Engineering Goods(Ship Building)
• Transportation & Logistics

Initiate and support modular employability skill training in collaboration with private
players/Government
Create placement linkage opportunities in training institutions

275
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

6.10.11. Skill Gap Assessment of The Dangs District

6.10.11.1. Socioeconomic Profile
6.10.11.1.1. Administrative Profile

The Dangs district is located in the southern

part of Gujarat sharing borders with Tapi,
Surat, Navsari and Maharashtra state. The
district is spread across an area of 1764
sq.km 554 with Ahwa as the district head
quarters. Administratively district is under one
taluka with 308 villages 555. The Dangs is one
of the less developed regions in Gujarat
accounting for one of the six backward
districts in Gujarat receiving developmental
funds from Backward Regions Grant Fund
Programme (BRGF). The Dangss

6.10.11.1.2. Demographic Profile

The Dangs district is a low human resource potential region in Gujarat state. District has a total population of 2.27
lakhs 556 as per 2011 Census accounting for only 0.4 percent 557 of the overall state population. However, the district
has been witnessing significant population growth over the years. The Dangs population has witnessed a decadal
growth rate of 21.44 percent 558 between 2001 and 2011 in comparison to state average of 19.17 percent 559 during the
same period. Significant portion of district population lives in rural areas with these regions accounting for nearly
89.11 percent 560 of the total population. Population spread in the district is significantly low with a density of 129
persons per sq.km 561 in comparison to the state average of 308 persons per sq.km 562.

554
Census 2011 Statistics
555
Census 2011 Statistics
556
Census 2011 Statistics
557
Census 2011 Statistics
558
Census 2011 Statistics
559
Census 2011 Statistics
560
Census 2011 Statistics
561
Census 2011 Statistics
562
Census 2011 Statistics

276
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

The district is among the regions with higher proportion of females than males. As per 2001 census district has a
gender ratio of 964 females per 100 males 563 as against the state average ratio of 940 females per 1000 males 564.
However, decreasing proportion of female population is a concern for the district. Adult gender ratio has decreased
from 1007 females per 1000 males 565 in 2001 to 964 females per 1000 males 566 in 2011. The district has a higher
composition of scheduled categories population. As per census 2001 estimates, scheduled tribes account for 93.76
percent 567 of overall district population.

Education attainment levels in the district are marginally lower than the state average. As per 2011 estimates, the
district has registered an overall literacy rate of 76.8 percent 568 as against state average of 79.31 percent 569. The
district has a long way to progress towards regional and gender inclusion in the reach of mass education programs.
The district has a male-female literacy gap of 16.23 percent 570 as against 16.5 percent 571 for Gujarat state. Lower
level of gender inclusion stresses the need for gender specific approach towards implementation of various mass
education initiatives. Similarly, urban-rural literacy gap in The Dangs is estimated to be 14.31 percent 572 as against
the 14.58 percent 573 for overall state. Increasing focus on literacy would create demand for education and training
facilities within the district to support the economic growth of the region.

6.10.11.1.3. Economic Profile

Dangs is a tribal district located in Southern Gujarat. The district shares its border with the State of Maharashtra and
is covered with high hills and dense forests. The district is gradually emerging into an agro – processing and tourism
hub.

Majority of the district’s population is dependent on Agriculture for its livelihood. Animal husbandry and bamboo
cutting are the other economic activities in the region.

There are a few (~100) small scale industries in Dangs. These include Farm based industries, Bamboo Furniture,
Plantation and nursery development and Food based industries.

The district is emerging as a tourism hub in Gujarat. The presence of waterfalls, forests, landscapes and a tribal
culture have attracted tourists from all over the world. The district has many tourist destinations like Saputara – a hill
resort, Saputara Museum, Hatgarh Fort, Gira Falls and Girmal Falls. Apart from these, the district also has Purna
Wildlife Sanctuary and Vansda National Park. There exists multiple opportunities for investment in sub-sectors within
tourism such as eco-tourism, hotels, campsites and rural tourism.

563
Census 2011 Statistics
564
Census 2011 Statistics
565
Census 2011 Statistics
566
Census 2011 Statistics
567
Census 2001Statistics, KPMG Analysis
568
Census 2011 Statistics
569
Census 2011 Statistics
570
Census 2011 Statistics
571
Census 2011 Statistics
572
Census 2011 Statistics
573
Census 2011 Statistics

277
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

The district is well connected with Maharashtra by road. The nearest airport is Surat which is at a distance of 139
kms. The rail network is limited and the railway line connects Waghai and Navsari district.

Medical penetration is one of the highest in the state with 20,615 people per medical institution. The district has 9
primary healthcare centers, 1 community healthcare centre and 1 hospital. There is also the presence of Central
Government Hospital, one Government Ayurvedic Hospital and nine Ayurvedic dispensaries 574

However, Dangs has the lowest number of bank offices amongst all districts at 10. It also has the lowest deposits
and highest credits amongst all districts at 282 Cr INR and 66 Cr INR as of Mar 2012 575. Dangs has a low penetration
of banking and financial services with a high density of 22,677 people per bank as of March 2012. While the number
of banks has increased at a CAGR of 4.6 percent from 2007 to 2012, the amount of deposit and credit have increased
at a CAGR of 19.7 percent and 13.6 percent respectively 576 from 2007-2012.

The district observes high rainfall conditions. The moderate soil characteristics and excessive rainfall in the district
has resulted in a very small section of its geographical land under cultivation (33 percent of total area 577). Being a
heavy rainfall region, most of the land of the district is rain fed requiring very few irrigation facilities leading to as
low as 18 percent of net cultivable area under irrigation. Agricultural irrigation in Dangs is predominantly dependent
on ponds and tanks which in turn are dependent on rainfall.

Rice, ragi, kharsani, tuver, groundnut, mangoes, custard apple, and others are the major food crops produced in the
district. Since 66% of the agricultural land in Dangs is situated on slopes, with uneven terrain, local traditional crops
like ragi are best adapted for cultivation in Dangs as it can grow in rain-fed areas on sloppy land. The agricultural
production pattern is slowly changing from traditional coarse grains like ragi, kharsani, and tuver to rice.

Animal husbandry and bamboo cutting are the other agri allied economic activities in the region.

Cows and buffalos are the main cattle varieties in Dangs with populations of 39,569 cows 578 and 21,907 buffalos 579
which is low as compared to other districts. The availability of large forest land (59 percent of total geographical
area) indicates a lot of potential for forestry. The forest area has potential for contour farming and also fodder
production which can support the agricultural activities of the district.

6.10.11.2. Workforce Distribution in the district

The district has a very low level of secondary and tertiary sectoral penetration resulting in high dependency on
agriculture. About87.94 percent of the total workforce are engaged in primary sector. While the total worker

574
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
575
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
576
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
577
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
578
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
579
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07

278
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

participation rate is higher than the state average, high manpower requirements in agrarian activities due to low
output efficiency would indicate significant under employment in this category. District can only explore opportunities
for sourcing trained manpower considering the low levels of organized employment opportunities. Comparison of
workforce distribution scenario in The Dangs and Gujarat is presented in the table 580.

Percentage of Employment
Region Labour Force Workforce Primary Secondary
Participation Participation Sector Sector Tertiary Sector
The Dangs 72.56% 49.8% 87.94% 2.49% 9.57%
Gujarat 59.27% 41.95% 59.34% 15.86% 24.8%

6.10.11.3. Human Resource Requirement Projections in The Dangs (2012-22)

Incremental manpower requirement in the district of Dangs has been estimated based on several parameters such as
investments trends, national level benchmarks on industrial growth across sectors, state manufacturing policy
targets, performance of state against economy targets, national level inclusion targets for certain sectors,
employment generation potential of various sectors based on labour elasticity and market based insights from
discussions with industries in The Dangs. Based on the analysis of current state of workforce distribution and
potential employment opportunities in various sectors incremental manpower requirement in key primary, secondary
and tertiary segments is estimated for the periods 2012-17 and 2017-22. Further, manpower requirement is classified
into skilled, semi skilled and minimally skilled categories considering the present level of employment in these
categories for respective sectors and analysis of expected developments in the industry that would lead to significant
realignment of the categories. A detailed approach for manpower estimations is presented in the appendix and
specific factors for estimation are discussed below.

Primary Sector:

Considering the increasing level of farm mechanization and sharing agricultural land usage, period between 2012 and
2022 would witness a net outflow of workforce from the agricultural activities. Agricultural workforce displacement
is expected to be significant in marginal workers category. A significant portion of the workforce would engage in
agri-allied activities depending on the availability of allied resources and migrational constraints. Incremental
manpower requirement for the agri- allied activities is estimated considering the following parameters

• Current level of employment in agricultural activities(farmers, agricultural labourers)

• Estimated displacement factors for agricultural workforce based on Planning Commission Projections for
2012-17 and 2017-22 periods and analysis of level of mechanization and allied factors in Gujarat
• Employment potential in agri-allied activities in the district considering the level of involvement in the
respective activities and regional conditions

Manufacturing Sector:

Manpower requirement in secondary sector is driven by investments and output growth. Various factors including
analysis of manufacturing, sub sector policies, investment trends, availability of resources, are considered for the

580
KPMG Analysis

279
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

incremental manpower estimation in different subsectors of manufacturing in the district. Human resource
requirement projections for manufacturing sub sectors in the district are estimated considering the following
parameters

• Manufacturing growth targets for Gujarat for 2012-17 and 2017-22(Increasing secondary sector share in
GSDP to 32% by 2017)
• Identifying key growth sub segments within the district based on study of existing industrial base, primary
interactions
• Estimation of growth targets for the district based on analysis of investment trends in the district in
comparison to the state, available infrastructure, policy thrust on key manufacturing segments identified for
the district
• Labour elasticity factors in the potential sectors for the district

Tertiary Sector:

Employment growth in some of the services sector is driven by Government thrust in terms of budgetary allocations to
achieve inclusion targets in education, healthcare and banking while the other segments including hospitality and
tourism, financial intermediation, communication, retail would depend on the level of economic activity in the region
resulting in high or low spending capacity of population. Also segments like IT-ITES, transportation & logistics are
driven by investments into infrastructure and manpower. Hence human resource requirement projections for services
sub sectors would have specific approaches depending on the growth drivers for the segments in the district.
Detailed methodology for estimation of manpower in services sub segments is presented in the appendix.

Based on the analysis of socio economic conditions, investment scenario and availability, resources incremental
manpower requirement has been estimated for the following sectors.

Primary Sector

• Agriculture & Allied Activities ( Horticulture, Sericulture, Animal Husbandry and Fisheries)

Secondary Sector

• Agro & Food Processing

• Construction Material(Cement, Ceramics)

Tertiary Sector

• Transportation & Logistics(including port based logistics)

• Banking & Financial Services
• Organized Retail
• Hospitality & Tourism
• Healthcare
• Education & Training

280
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Incremental manpower requirements for the priority sectors in The Dangs district are presented in the table 581.

Sector 2012-17 2017-22

Skilled Semi Minimally Total Skilled Semi Minimally Total
Skilled skilled Skilled skilled
Agriculture &
NA NA 2487 2487 NA NA 2083 2083
Allied Activities
Agro & Food
80 320 400 800 75 300 375 750
Processing
Wooden Products
100 200 1700 2000 150 250 1800 2200
& Furniture
Construction 50 101 855 1006 45 90 765 900
Trade, Retail 81 122 609 812 89 133 666 888
Transportation &
18 284 338 640 15 233 277 524
Logistics
Hospitality &
165 248 1238 1650 132 198 990 1320
Tourism
Banking &
Financial 1298 3895 NA 5193 909 2726 NA 3635
Services
Healthcare 186 837 NA 1024 248 1240 NA 1488
Education &
258 1739 NA 1997 387 1043 NA 1431
Training

Skill requirements in key growth sectors have been analyzed based on industry interactions to understand the
detailed manpower needs. Sector level skill interventions are indicated in the section below 582.

Secondary Sector (Manufacturing, Construction & Energy):

• Food Processing:
Category of Skills Skills

Core Skills Fitter, Electrician, Wireman, Instrumentation, Lab Technician

Allied Skills Instrumentation, Packaging (Jar, Pouch) Operator, AOCP, Lab Attendant, Boiler
Operator, QC Chemists

Skills with acute shortage PPO is required in industries having in house packing development.

Services:

581
KPMG Analysis
582
KPMG Analysis

281
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

• Banking & Financial Services:

Category of Skills Skills
Core Skills Knowledge on core banking/mobile/internet platforms

Allied Skills Sales & Marketing

Skills with acute shortage insurance underwriting, claims management

• Transportation :
Category of Skills Skills
Core Skills Heavy vehicle drivers, logistics management

Allied Skills Administrative, computer data management

Skills with acute shortage Scheduling and logistics planning

• Education:
Category of Skills Skills
Core Skills School teachers, higher education faculty

Allied Skills Knowledge on advanced teaching tools

Skills with acute shortage Technical education trainers

Primary Sector:

• Cultivation:
Category of Skills Skills
Core Skills Awareness about high yield varieties, micro nutrients and pest Control, Organic
farming and Vermi compost methods, Micro irrigation techniques
Allied Skills Knowledge on food processing techniques and related procedures to extract
greater value from farm produce

282
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Skills with acute shortage Usage and repair of farm equipments, Marketing and management practice

• Agri- Allied Activities:

Category of Skills Skills
Core Skills Modern rearing techniques of live stock, piggery, goatery and fisheries

Allied Skills Knowledge on processing techniques

Skills with acute shortage Marketing and distribution of forest/animal husbandry produce

6.10.11.4. Human Resource Supply Scenario in the District

6.10.11.4.1. Estimation of Labour Force Supply
District-wise incremental supply has been determined based on net addition of labour force. Gross addition to
working age group population during 2012-17 and 2017-22 were determined based on Census 2011 age wise
population accounting for death rate and life expectancy normalized against population corrections in 2017 and 2022.
Applying labour force participation rates, considering the historical trends, gross additions to labour force were
estimated for the two time periods. Accommodating for retirement from the existing pool of labour force, net supply
to labour force has been estimated.
The Dangs is among the districts with low human resource growth potential in Gujarat. Further, limited industrial
opportunities within the district to absorb increasing labour force would be a key issue. Adequate skilling of youth for
employment opportunities elsewhere in Gujarat could be potential solution to sustain higher work participation in the
district. Details of human resource growth estimations during 2012-22 are presented in the table 583.

Period Gross Addition to Working Gross Addition to Labour Net Addition to Labour
Age Population Force Force-Supply

2012-17 163,983 110,855 8,931

2017-22 184,351 123,919 6,934

6.10.11.4.2. Education and Training Potential in the District

583
KPMG Analysis

283
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

District has around 413 K12 schools with a 96.85 percent share of Government schools. It has the lowest number of
K12 schools and private K12 schools amongst all districts in the state. While the Dangs has 100.0 percent enrolment
ratio at the primary level, it has a low net enrolment ratio at upper primary level. However, both the ratios at primary
and upper primary level are higher than the state 584.

Total Enrollments Primary Level Upper Primary Level Secondary Level Higher Secondary
in 209-10 (Std I-V) (Std VI-VIII) (Std IX-X) Level (Std XI-XII)
The Dangs 45532 9431 6701 2528

Comparing the district’s enrolment statistics with state average indicates that the district is a strong performer in the
primary education category 585
Region Net Enrolment Ratio (Primary Level) Net Enrolment Ratio (Upper Primary Level)
The Dangs 100.0 63.9
Gujarat 85.4 50.7

In the vocation education segment, the district is ahead in the provision of vocational training in comparison to state
average. Private interest in the sector in this district is nil indicating that the state must take proactive measures in
seeking private support to augment vocational training infrastructure.

Region Number of Seat Vocational Training Private Sector

ITIs Capacity Capacity Density (Seats Participation in
Per 1000 Population) Vocational Training
The Dangs 1 600 2.65 0%
Gujarat 711 138,106 2.29 26%

In the higher education segment, A Government Arts & Commerce College is located at the district headquarter
Ahwa.

6.10.11.4.3. Demand-Supply Gap Analysis for the District

Incremental skill category wise supply for the periods 2012-17 and 2017-22 in the district are estimated based on net
output from higher education institutions (skilled), vocational training(semi skilled), minimally skilled (school
education) for periods 2012-17 and 2017-22 considering the LPR estimations for the districts in 15-59 age group and
retirement from existing labour force.

Based on the skill category human resource demand projections for 2012-22 and net supply potential, category wise
Demand-Supply gap estimations for the district are presented in the table below

Category Wise Demand-Supply Gap in the District (2012-22)

2012-17 2017-22
Sector Skilled Semi Minimally Total Skilled Semi Minimally Total
Skilled skilled Skilled skilled
Demand-Supply

584
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat
585
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat

284
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Gap 1,910 7,493 (724) 8,678 1,748 5,951 585 8,285

*(Indicates excess supply)

6.10.11.4.4. Skill Development Potential through Government Endowments

According to KPMG estimates, based on the potential district budgetary allocation for various central government
schemes around 8 thousand people in total can be trained incrementally during the five year period of 2012-17.
Ministry of Agriculture and Ministry of Labour Schemes are expected to contribute to a significant share of the
training. Manpower training targets have predominant focus on primary sector considering the low level of industrial
development in the district. Private training providers have opportunities in livelihood training programs.

Government Funded Incremental Training Capacity (2012-17) - The Dangs District 586

M/O Agriculture 1457

ART - M/o Tribal Affairs 1170

SGSY 1166

SDI-MES 1127

SCA under TSP - M/o Tribal Affairs 702

Using Construction Cess 646

Others 432

D/O IT 413

Credit Scheme 394

SJSRY 360

Hunar Se Rozgar 165

CSR Funds from Central PSUs 94

ISDS - Textiles 10

6.10.11.5. District Specific Recommendations

Considering human resource potential and manpower requirements of the industry, the proposed action plan for
stakeholders in skill development has been recommended:

Stakeholder Action Points for Stakeholders

586
KPMG Analysis

285
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

NSDC Focus on facilitating national/regional private sector training providers, to participate in

sectors with high employment potential in Gujarat
• Services: Transportation & Logistics, Organized Retail, IT-ITES, Banking & Financial
Services, Hospitality & Tourism, Construction
• Manufacturing: Textile, Auto- Auto Components, Engineering Goods, Chemical &
Chemical Products

District Provide skill training in conjunction with private skill training providers using government
Administration endowment training schemes in sectors of
• Animal Husbandry
• Horticulture
• Furniture & Fittings

Improve industrial training capacity in the district to bring it on par with overall state

Private Skill
Training Focus on sectors with high employment potential in Gujarat
Providers • Services: Transportation & Logistics, Organized Retail, IT-ITES, Banking & Financial
Services, Hospitality & Tourism, Construction
• Manufacturing: Textile, Auto- Auto Components, Engineering Goods, Chemical &
Chemical Products

Corporate Provide support for training/placement for youth from the district for placements in
industrial belts

Initiate and support modular employability skill training in collaboration with private
players/Government

Create placement linkage opportunities in training institutions

286
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

6.10.12. Skill Gap Assessment of Dahod District

6.10.12.1. Socioeconomic Profile
6.10.12.1.1. Administrative Profile

Dahod district is located in the northern

part of Gujarat spread across an area of
3943 sq.kms 587. District shares border
with Panchmahals, Vadodara and the
states of Madhya Pradesh and Rajasthan.
Administratively, the district is divided Dahod
into 7 talukas and 692 villages 588. It has
three towns with Dahod town as the
administrative headquarters. Dahod,
Jhalod, Limkheda, Devgadbaria, Fatepura
are taluka regions in Dahod district.

6.10.12.1.2. Demographic Profile

Dahod district is a moderate human resource potential region in Gujarat state. It has a total population of 21.26
lakhs 589 as per 2011 Census accounting for 3.5 percent 590 of the overall state population. The district has been
witnessing significant population growth over the years, witnessing a decadal growth rate of 29.95 percent 591
between 2001 and 2011 in comparison to state average of 19.17 percent 592 during the same period. Significant
portion of district population lives in rural areas with these regions accounting for 91.01 percent 593 of the total
population. Population spread in the district is significantly high with a density of 582 persons per sq.km 594 in
comparison to the state average of 308 persons per sq.km 595. High population density is a key advantage with
opportunities to develop skilled human resource capital. Analysis of population distribution in the district as per 2001
census indicates higher human resource potential in the talukas of Dahod, Jhalod, Limkheda while Dahod and
Fatepura have higher population concentration. Details of regional distribution of population in the district are
presented in the table 596.

587
Census 2011 Statistics
588
Census 2011 Statistics
589
Census 2011 Statistics
590
Census 2011 Statistics
591
Census 2011 Statistics
592
Census 2011 Statistics
593
Census 2011 Statistics
594
Census 2011 Statistics
595
Census 2011 Statistics
596
Census 2001Statistics, KPMG Analysis

287
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Regional Distribution of Population in the District 597

Region Contribution to District Population Population Density (Persons per Sq.km- 2001)
(2001)
Dahod 23% 587
Jhalod 22% 457
Limkheda 15% 401
Devgadbaria 13% 356
Fatepura 11% 573
Garbada 9% 545
Dhanpur 8% 283

Dahod is among the regions with higher proportion of females than males. As per 2011 census, the district has a
gender ratio of 986 females per 1000 males 598 as against the state average ratio of 940 females per 1000 males 599. It
has a higher composition of scheduled categories population. As per census 2001 estimates, scheduled tribes
account for 72.26 percent 600 of overall district population with a higher concentration in Dahod, Garbada, Dhanpur,
Devgadh Baria, Limkheda, Zalod and Fatepur regions.

Education attainment levels in the district are significantly lower than the state average. As per 2011 estimates, it
has registered an overall literacy rate of 60.60 percent 601 as against state average of 79.31 percent 602. The district
has a long way to progress towards regional and gender inclusion in the reach of mass education programs. Urban-
rural literacy gap in Dahod is estimated to be 25.27 percent 603 as against the 14.58 percent 604 for overall state.
Similarly, District has a male-female literacy gap of 23.12 percent 605 as against 16.5 percent 606 for Gujarat state.
Lower level of gender and regional inclusion stresses the need for gender specific approach towards implementation
of various mass education initiatives. Increasing focus on literacy would create demand for education and training
facilities within the district to support the economic growth of the region.

6.10.12.1.3. Economic Profile

Dahod is predominantly an agricultural region and the prime share of revenue in the district comes from agriculture-
based products. Agriculture has given a great impetus to home-based industries such as making jute ropes and
weaving bamboos. The district also produces quartz which supports ceramic, glass and cement industry. The
economy of Dahod also thrives on the grain & pulse mills, food processing machinery, and cement & gypsum
industries.

597
Census 2001Statistics, KPMG Analysis
598
Census 2011 Statistics
599
Census 2011 Statistics
600
Census 2001Statistics, KPMG Analysis
601
Census 2011 Statistics
602
Census 2011 Statistics
603
Census 2011 Statistics
604
Census 2011 Statistics
605
Census 2011 Statistics
606
Census 2011 Statistics

288
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Analysis of regional distribution of investments in Dahod district indicates that the industrial development is limited
across talukas. In terms of future investments, there are none under implementation so far. Details of region wise
large scale investments in Dahod district till 2012 is presented in the table.

Large Scale Investment Scenario In Dahod 607

Commissioned Under Implementation
Region Investment Investment
No. of Units No. of Units
( INR Cr) ( INR Cr)
Dahod 2 2 -- --
Ghoghamba 1 23 -- --
District Total 3 25 -- --

As per the MSME investment Part–II statistics, overall there are 277 units operating in the district attracting an
investment of INR 8,801 lakhs in 2012.
As the district headquarters, Dahod taluka has the maximum number of industrial locations and a major section of the
working population are employed in small scale industries. Investment outlook in MSME segment of Dahod district is
presented in the table.
MSME Investment Scenario in Dahod 608
Category of Industries Number of Units Investment In Rs. Lakhs
Micro 241 2758
Small 33 4278
Medium 3 1766
Total 277 8801
Manufacturing Sector Units 242 8542
Service Enterprises 35 259

Among the manufacturing based MSME units, Agro and Food Processing contribute to highest in terms of units and
investment volume. Textile and Apparel, Mineral Processing and Fabrication are the prominent categories in terms of
number of manufacturing units. However, in terms of investments, mining and quarrying remains the second highest
category.

Composition of MSME manufacturing units and investments are presented in the chart. Agro based industries and
food processing industries constitute 34% of the MSME manufacturing units Mineral processing and fabrication
comprises 20% of the units. In terms of investment, agro and food processing industries attracts the maximum
investment. Mining and quarrying also is attracting a significant amount of investment

607
IEM, MSME Part-II Data till 2012-13
608
IEM, MSME Part-II Data till 2012-13

289
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Composition of MSME manufacturing units and investments 609

Composition of MSME Manufacturing Units Composition of Investments in
MSME Manufacturing Units
Manufacturing
Mineral of Engineering
Goods Agri-Allied
Prosessing &
Auto-Auto 5.0% Activities
Fabrication Construction
Components Agri-Allied Mining & 1.0%
Construction 5.0% Eletrical & 5.6% Mining
1.2% Activities Quarrying
7.4% Eletronics Quarryin
0.8% 4.5% Chemical &
21.0%
Manufacturing Chemical 0.6%
of Engineering Products
Goods Agro & Food 0.5%
3.7% Processing Rubber &
24.4% Plastics
Eletrical & 4.8%
Eletronics
3.7% Wooden
Mineral Products &
Prosessing & Furniture
Fabrication 2.5%
20.7%
Textile &
Textile & Apparel
Apparel
16.5%
3.1%

Rubber & Plastics

4.1%
Chemical & Wooden Products Agro & Food
Chemical Products & Furniture Processing
3.3% 9.5% 50.5%

Composition of MSME service enterprises and investments are presented in the chart. Whole sale and retail , IT/ITES
constitutes the maximum number of MSME service enterprises. In terms of investment in the MSME service
enterprises wholesale and retail trade, IT/ITES is attracting the maximum investments.

Composition of MSME service enterprises 610

Composition of MSME Service Composition of Investments in
Enterprises MSME Service Enterprises
Hospitality Hospitality
and Tourism and Tourism
8.6% 6.1%

Other
Services
25.7%
IT- ITES
Other 23.1%
Services
IT- ITES 44.9%
34.3%

Whole sale
& Retail
Trade
Whole sale & 26.0%
Retail Trade
31.4%

609
IEM, MSME Part-II Data till 2012-13
610
IEM, MSME Part-II Data till 2012-13

290
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Tourism is an upcoming service sector in the district. Tribal culture and the fascinating folklores of the district are a
great attraction for the tourists. Dohad also boasts of tourist attractions like Aurangzeb Nokillo (Fort) and Ratanmahal
Sanctuary, a sanctuary for jungle cats, foxes, porcupines, birds and reptiles. The district also has other places of
tourist interest like Shiva Temple and Chhab Talav (Lake). Apart from the above, local initiatives like weekly fairs
which held every Wednesday attract people from many areas who are interested in buying and selling items like
handicrafts, plastic wares, household goods, herbs, fruits, and tribal jewellery.

However, the growth of other services sector remains low/moderate in the district. The medical institutions have
medium penetration – 27,981 people per medical institute in the district. Overall, the district has 61 primary
healthcare centers and 12 community healthcare centers. Apart from the above, Dohad also has five trust hospitals, a
few specialized hospitals and the Banker’s Heart Institute 611

Dahod district has 75 bank offices, a total deposit amount of 1,941 Cr INR and a total credit amount of 661 Cr INR as
of May 2012 612. Dohad has the lowest penetration of banking and financial services amongst all districts with a low
density of 28,354 people per bank as of March 2012. The CAGR of bank offices in Dohad district at 2.9 percent is the
lowest amongst all districts. However, the deposits and credits have increased at a moderate CAGR of 19.8 percent
and 18.8 percent respectively from 2007-12. Low growth of number of banks, credit and deposit has resulted in slow
growth in overall financial intermediation industry in the district.

The transport and logistics sector are developed to a moderate extent. The road infrastructure of Dohad comprises of
National Highway (NH8) 59 which connect Dohad with Ahmadabad, Godhra and Indore. There is also the National
Highway extension 8E which connects Dahod, Zalod and Rajasthan border. The State Highways - SH2 and SH12
connects the district with Ahmadabad and Madhya Pradesh respectively. The rail infrastructure comprises of the
broad gauge railway line which connects Dahod with Vadodara, Ahmadabad and Ratlam in Madhya Pradesh. There
are also three railway lines in the district. The nearest port to Dohad district is Hazira port.

Dahod is predominantly an agricultural region and the prime share of revenue in the district comes from agriculture-
based products. Wheat and maize are the major crops of the district. Further, agriculture has given a great impetus to
home-based industries such as making jute ropes and weaving bamboo. This is supported by the fact that the district
observes moderate to high rainfall. Further, being a moderate rainfall witnessing region, the district has a limited
spread of irrigation facilities with only 33 percent of net cultivable area under irrigation. Dahod and Dav Baria taluka
have less than 20 percent of cultivable land under irrigation, indicating significant opportunities for improvement in
this region.

Maize, Paddy, Pulse (Tur and Adad) and Soyabean are the five main Kharif Crops while Wheat, Gram and Maize are
five key Rabi crops grown in the district. The ratio of area under Rabi to Kharif is around 0.08 which indicates lack of
multiple cropping majorly due to poor irrigation and lack of rainfall. Main horticulture crops include Banana, Citrus,
Mango, Papaya, Aonla and Chiku.

611
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
612
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07

291
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Dahod has a high population of cattle, and consists of 586210 cowhand 283765 buffalos 613. Other prominent
domestic animal under animal husbandry activities is goat. Availability of pasture lands indicates significant potential
to promote animal husbandry in the district.

6.10.12.2. Workforce Distribution in the district

Dahod is predominantly dependant on agricultural activities for livelihood generation with 82 percentage of total
workforce engaged in this sector. Considering the low level penetration of manufacturing sector at 4.18 percent
employment generation as against the state average of 15.86 percent, the district has the potential to become a
sourcing hub for trained manpower. While the total worker participation rate is better than the state average, high
manpower requirements in agrarian activities due to low output efficiency indicates significant level of under
employment in this category. Comparison of workforce distribution scenario in Dahod and Gujarat is presented in the
table 614.

Percentage of Employment
Region Labour Force Workforce Primary Secondary
Participation Participation Sector Sector Tertiary Sector
Dahod 62.1% 49.78% 82.01% 4.18% 13.8%
Gujarat 59.27% 41.95% 59.34% 15.86% 24.8%

Registered factories and service enterprises have contributed to 2,700 employment opportunities indicating low level
of secondary sector penetration. Unorganized manufacturing and services activities account for dominant share of
employment in these sectors. Majority share of organized manufacturing employment is contributed by Micro scale
industrial units.

Organized Employment in Dahod 615

Category of Industries Employment
Large Scale Industries (Commissioned + Under Implementation) 228
MSME Category 2617
Manufacturing Units 2477
Service Enterprises 140
Total 2835

Food processing units account for majority share of the employment in this category. Details of category wise
industrial employment as per 2012 statistics are presented below. Ghoghamba attracts 59% of the employees in the
large scale industries with Dahod constituting the remaining 41%. Chemicals and chemical products are the main
employment provider within the large scale industry followed by the agro and food processing segment.

613
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
614
KPMG Analysis
615
IEM, MSME Part-II Data till 2012-13

292
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Distribution and Composition of Large Scale Industries 616

Regional Distribution of Large Scale Composition of Employment in Large Scale
Industrial Employment Industries
Rubber & Plastics
8%

Agro & Food

Processing
Dahod 33%
41%

Chemical &
Ghoghamba
Chemical Products
59%
59%

In the MSME manufacturing units, agro and food processing industries provide maximum employment opportunities.
Mineral processing and fabrication is another major employment provider in the MSME manufacturing segment.
Wholesale and retail, IT-ITES contribute the maximum employment opportunities in the MSME service enterprises.

Composition of MSME Units in the District 617

Composition of Employment in MSME Composition of Employment in MSME

Manufacturing Units Service Enterprises

Auto-Auto
Agri-Allied
Components Hospitality and
1.4% Activities Mining & Quarrying
0.6% 5.0% Tourism
Manufacturing Construction 6.4%
of Engineering 4.8%
Goods
2.5% IT- ITES
Eletrical & 18.6%
Eletronics
0.9%
Mineral
Prosessing & Other Services
Fabrication 41.4%
18.6%

Agro & Food

Processing
40.0% Whole sale &
Rubber & Plastics Retail Trade
9.2% 33.6%
Chemical &
Chemical Paper & Paper
Products Wooden Products
1.0% & Furniture
0.0% Textile & Apparel
8.4% 7.5%

616
IEM, MSME Part-II Data till 2012-13
617
IEM, MSME Part-II Data till 2012-13

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

6.10.12.3. Human Resource Requirement Projections in Dahod (2012-22)

Incremental manpower requirement in the district of Dahod has been estimated based on several parameters such as
investments trends, national level benchmarks on industrial growth across sectors, state manufacturing policy
targets, performance of state against economy targets, national level inclusion targets for certain sectors,
employment generation potential of various sectors based on labour elasticity and market based insights from
discussions with industries in Dahod. Based on the analysis of current state of workforce distribution and potential
employment opportunities in various sectors, incremental manpower requirement in key primary, secondary and
tertiary segments is estimated for the periods 2012-17 and 2017-22. Further, manpower requirement is classified into
skilled, semi skilled and minimally skilled categories considering the present level of employment in these categories
for respective sectors and analysis of expected developments in the industry that would lead to significant
realignment of the categories. Detailed approach for manpower estimations is presented in the appendix and specific
factors for estimation are discussed below.

Primary Sector:

Considering the increasing level of farm mechanization and sharing agricultural land usage, the period between 2012
and 2022 would witness a net outflow of workforce from the agricultural activities. Agricultural workforce
displacement is expected to be significant in marginal workers category. A significant portion of the workforce would
engage in agri-allied activities depending on the availability of allied resources and migrational constraints.
Incremental manpower requirement for the agri- allied activities is estimated considering the following parameters

• Current level of employment in agricultural activities(farmers, agricultural labourers)

• Estimated displacement factors for agricultural workforce based on Planning Commission Projections for
2012-17 and 2017-22 periods and analysis of level of mechanization and allied factors in Gujarat
• Employment potential in agri-allied activities in the district considering the level of involvement in the
respective activities and regional conditions

Manufacturing Sector:

Manpower requirement in secondary sector is driven by investments and output growth. Various factors including
analysis of manufacturing, sub sector policies, investment trends, availability of resources, are considered for the
incremental manpower estimation in different subsectors of manufacturing in the district. Human resource
requirement projections for manufacturing sub sectors in the district are estimated considering the following
parameters

• Manufacturing growth targets for Gujarat for 2012-17 and 2017-22(Increasing secondary sector share in
GSDP to 32% by 2017)
• Identifying key growth sub segments within the district based on study of existing industrial base, primary
interactions
• Estimation of growth targets for the district based on analysis of investment trends in the district in
comparison to the state, available infrastructure, policy thrust on key manufacturing segments identified for
the district
• Labour elasticity factors in the potential sectors for the district

294
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Tertiary Sector:

Employment growth in some of the services sector is driven by Government thrust in terms of budgetary allocations to
achieve inclusion targets in education, healthcare and banking while the other segments including hospitality and
tourism, financial intermediation, communication, retail would depend on the level of economic activity in the region
resulting in high or low spending capacity of population. Also segments like IT-ITES, transportation& logistics are
driven by investments into infrastructure and manpower. Hence human resource requirement projections for services
sub sectors would have specific approaches depending on the growth drivers for the segments in the district.
Detailed methodology for estimation of manpower in services sub segments is presented in the appendix.

Based on the analysis of socio economic conditions, investment scenario and availability resources incremental
manpower requirement has been estimated for the following sectors.

Primary Sector

• Agriculture & Allied Activities( Horticulture, Sericulture, Animal Husbandry and Fisheries)

Secondary Sector

• Agro & Food Processing

• Mineral Processing & Fabrication
• Rubber & Plastics
• Textile & Apparel
• Infrastructure(Construction)

Tertiary Sector

• Transportation & Logistics(including port based logistics)

• Banking & Financial Services
• Organized Retail
• Hospitality & Tourism
• Healthcare
• Education & Training

Incremental manpower requirements for the priority sectors in Dahod district are presented in the table 618.

2012-17 2017-22
Sector Semi Minimally Semi Minimally
Skilled Total Skilled Total
Skilled skilled Skilled skilled
Agriculture &
NA NA 23819 23819 NA NA 19947 19947
Allied Activities
Agro & Food
22 87 109 218 19 78 97 195
Processing
Textile & Apparel 6 23 28 57 5 20 25 51

618
KPMG Analysis

295
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Wooden Products
5 18 23 45 4 16 20 40
& Furniture
Rubber & Plastics 8 31 39 79 7 28 35 70
Mineral
Processing & 13 52 65 131 12 47 58 117
Fabrication
Construction 472 943 8018 9433 422 844 7171 8437
Trade, Retail 762 1143 5714 7618 833 1249 6246 8328
Transportation &
142 2262 2691 5095 117 1850 2202 4169
Logistics
Hospitality &
255 383 1913 2550 204 306 1530 2040
Tourism
Banking &
Financial 1038 3115 NA 4153 727 2181 NA 2907
Services
Healthcare 399 1797 NA 2196 532 2660 NA 3192
Education &
1228 8266 NA 9494 1842 4960 NA 6802
Training

Skill requirements in key growth sectors have been analyzed based on industry interactions to understand the
detailed manpower needs. Sector level skill interventions are indicated in the section below 619.

Secondary Sector (Manufacturing, Construction & Energy):

• Food Processing:
Category of Skills Skills

Core Skills Fitter, Electrician, Wireman, Instrumentation, Lab Technician

Allied Skills Instrumentation, Packaging (Jar, Pouch) Operator, AOCP, Lab Attendant, Boiler
Operator, QC Chemists

Skills with acute shortage PPO is required in industries having in house packing development.

• Metal & Mineral Processing:

Category of Skills Skills
Core Skills Fitter, Welder, Turner, Electrician

Allied Skills Melter, Boiler Operator

619
KPMG Analysis

296
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Skills with acute shortage PCB instrumentation

• Construction:
Category of Skills Skills
Core Skills Electricians, carpenters, barbenders, welders and masons

Allied Skills Minimally skilled workers

Skills with acute shortage Machine operators

• Salt Production:
Category of Skills Skills
Core Skills Earth moving equipment operators, tractor drivers

Allied Skills Minimally skilled workers

Skills with acute shortage Chemists

Services:

• Transportation :
Category of Skills Skills
Core Skills Heavy vehicle drivers, logistics management

Allied Skills Administrative, computer data management

Skills with acute shortage Scheduling and logistics planning

• Education:
Category of Skills Skills
Core Skills School teachers, higher education faculty

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 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Allied Skills Knowledge on advanced teaching tools

Skills with acute shortage Technical education trainers

Primary Sector:

• Cultivation:
Category of Skills Skills
Core Skills Awareness about high yield varieties, micro nutrients and pest Control, Organic
farming and Vermi compost methods, Micro irrigation techniques
Allied Skills Knowledge on food processing techniques and related procedures to extract
greater value from farm produce

Skills with acute shortage Usage and repair of farm equipments, Marketing and management practice

• Agri- Allied Activities:

Category of Skills Skills
Core Skills Modern rearing techniques of live stock, piggery, goatery and fisheries

Allied Skills Knowledge on processing techniques

Skills with acute shortage Marketing and distribution of forest/animal husbandry produce

6.10.12.4. Human Resource Supply Scenario in the District

6.10.12.4.1. Estimation of Labour Force Supply
District-wise incremental supply has been determined based on net addition of labour force. Gross addition to
working age group population during 2012-17 and 2017-22 were determined based on Census 2011 age wise
population accounting for death rate and life expectancy normalized against population corrections in 2017 and 2022.
Applying labour force participation rates, considering the historical trends, gross additions to labour force were
estimated for the two time periods. Accommodating for retirement from the existing pool of labour force, net supply
to labour force has been estimated.

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Dahod would experience a moderately higher human resource growth during 2012-22. However, limited industrial
opportunities within the district to absorb increasing labour force would be a key issue. Adequate skilling of youth for
employment opportunities elsewhere in Gujarat could be potential solution to sustain higher work participation in the
district. Details of human resource growth estimations during 2012-22 are presented in the table 620.

Period Gross Addition to Working Gross Addition to Labour Net Addition to Labour
Age Population Force Force-Supply

2012-17 257,486 161,955 78,233

2017-22 283,596 174,005 60,743

6.10.12.4.2. Education and Training Potential in the District

The district has around 2215 K12 schools with a 96.57 percent share of Government schools. Out of all districts, it has
the second highest share of government schools. The district has a perfect 100 percent score for net enrolment at
primary level but the net enrolment ratio at upper primary level is 61.0 percent 621.

Total Enrollments Primary Level Upper Primary Level Secondary Level Higher Secondary
in 209-10 (Std I-V) (Std VI-VIII) (Std IX-X) Level (Std XI-XII)
Dohad 280744 78269 72666 25635

Comparing the district’s enrolment statistics with state average indicates that the district is a strong performer in the
primary education category. 622
Region Net Enrolment Ratio (Primary Level) Net Enrolment Ratio (Upper Primary Level)
Dohad 100.0 61.0
Gujarat 85.4 50.7

In the vocation education segment, the district is ahead in the provision of vocational training in comparison to state
average. Private interest in the sector in this district is high indicating that the state must take proactive measures in
further increasing private support to improve vocational training infrastructure 623.

Region Number of Seat Vocational Training Private Sector

ITIs Capacity Capacity Density (Seats Participation in
Per 1000 Population) Vocational Training
Dohad 38 5,770 2.71 39%
Gujarat 711 138,106 2.29 26%

620
KPMG Analysis
621
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat
622
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat
623
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat

299
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Given the unequal distribution of seats, capacity expansion in vocational education in Dahod district needs to be
focused on the tehsils of Limkheda, Devgadh Bariya, Garbada, Zalod, Dhanpur to bring them on par with the district
average in vocational education capacity.
Taluka Seat Capacity Vocational Training Private Sector
Capacity Density(Seats Participation in
Per 1000 Population) Vocational Training
Dahod 2210 4.62 10%
Fatepura 1012 4.20 87%
Limkheda 716 2.30 19%
Devgadh Bariya 560 2.07 56%
Garbada 312 1.69 59%
Zalod 780 1.66 55%
Dhanpur 180 1.05 29%
District Total 5770 2.71 39%

In the higher education segment, the district has 1 engineering college and 6 colleges offering Arts, Commerce,
Science, B.Ed & Law programs. Government Engineering College at Dahod offer courses in chemical, civil, electrical,
electronics and communication, information technology, production and mechanical engineering.

6.10.12.4.3. Demand-Supply Gap Analysis for the District

Incremental skill category wise supply for the periods 2012-17 and 2017-22 in the district are estimated based on net
output from higher education institutions (skilled), vocational training(semi skilled), minimally skilled (school
education) for periods 2012-17 and 2017-22 considering the LPR estimations for the districts in 15-59 age group and
retirement from existing labour force.

Based on the skill category human resource demand projections for 2012-22 and net supply potential, category wise
Demand-Supply gap estimations for the district are presented in the table below

Category Wise Demand-Supply Gap in the District (2012-22)

2012-17 2017-22
Sector Skilled Semi Minimally Total Skilled Semi Minimally Total
Skilled skilled Skilled skilled
Demand-Supply
Gap (7,713) 8,767 (14,398) (13,345) (6,874) 4,179 (1,754) (4,448)
*(Indicates excess supply)

6.10.12.4.4. Skill Development Potential through Government Endowments

According to KPMG estimates, based on the potential district budgetary allocation for various central government
schemes around 68 thousand people in total can be trained incrementally during the five year period of 2012-17.
Ministry of Agriculture and Ministry of Labour Schemes are expected to contribute to a significant share of the
training. Manpower training targets have predominant focus on primary sector considering the low level of industrial
development in the district. Private training providers have opportunities in livelihood training programs.

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Government Funded Incremental Training Capacity (2012-17) - Dohad District 624

M/O Agriculture 13956

SGSY 11165
SDI-MES 10565
ART - M/o Tribal Affairs 7903
SCA under TSP - M/o Tribal… 4742
Using Construction Cess 4082
Others 4050
D/O IT 3874
Credit Scheme 3698
SJSRY 2787
CSR Funds from Central PSUs 880
Hunar Se Rozgar 255
ISDS - Textiles 51

6.10.12.5. District Specific Recommendations

Considering human resource potential and manpower requirements of the industry, the proposed action plan for
stakeholders in skill development has been recommended:

Stakeholder Action Points for Stakeholders

NSDC Focus on increasing participation from national/regional private skill training providers
with focus on the following regions having high human resource potential
• Dahod, Jhalod, Limkheda
Focus on sectors with high employment potential in Gujarat
• Services: Transportation & Logistics, Organized Retail, IT-ITES, Banking & Financial
Services, Hospitality & Tourism, Construction
• Manufacturing: Textile, Auto- Auto Components, Engineering Goods, Chemical &
Chemical Products
District Provide skill training in conjunction with private skill training providers using government
Administration endowment training schemes in sectors of
• Animal Husbandry
• Horticulture
Focus on improving industrial training infrastructure in the regions of
• Limkheda, Devgadh Bariya, Garbada, Zalod, Dhanpur
Private Skill Focus on placement driven training for youth from high human resource potential regions
Training of Dahod, Jhalod, Limkheda
Providers

624
KPMG Analysis

301
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Focus on sectors with high employment potential in Gujarat

• Services: Transportation & Logistics, Organized Retail, IT-ITES, Banking & Financial
Services, Hospitality & Tourism, Construction
• Manufacturing: Textile, Auto- Auto Components, Engineering Goods, Chemical &
Chemical Products

Corporate Provide support for training/placement of youth from the district for placements in
industrial belts
Initiate and support modular employability skill training in collaboration with private
players/Government
Create placement linkage opportunities in training institutions

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

6.10.13. Skill Gap Assessment of Gandhinagar District

6.10.13.1. Socioeconomic Profile
6.10.13.1.1. Administrative Profile

Gandhinagar district is located in the central

part of Gujarat with a geographical spread of
2163 sq.kms. 625 It shares its border with
Ahmedabad, Mehsana, Kheda and Sabar
Kantha. Administratively, the district is Gandhinagar
divided into 4 talukas and 252 villages 626.
Gandhinagar, Kalol, Mansa and Dehgam are
taluka regions in the district. Gandhinagar city
is the administrative capital for the district
and is also the state capital for Gujarat. As
the state capital, Gandhinagar has witnessed
significant growth in commercial and services
sectors with the proximity to Ahmedabad
boosting the growth of industrial sector along
the Ahmedabad- Gandhinagar corridor.

6.10.13.1.2. Demographic Profile

Gandhinagar district is a moderate human resource potential region in Gujarat state. The district has a total
population of 13.87 lakhs 627 as per 2011 Census accounting for 2.3 percent 628 of the overall state population. It has
witnessed a subdued population growth with a decadal growth rate of 12.15 percent 629 between 2001 and 2011 in
comparison to state average of 19.17 percent 630 during the same period. Significant portion of district population lives
in urban areas with these regions accounting for 43.32 percent 631 of the total population. Population spread in the
district is significantly high with a density of 660 persons per sq.km 632 in comparison to the state average of 308
persons per sq.km 633. High population density is a key advantage with opportunities to develop skilled human
resource capital. Improving social infrastructure and transportation facilities is driving workforce displacement from
Gandhinagar to semi urban regions in neighboring districts of Mehsana and Ahmedabad. Analysis of population
distribution in the district as per 2001 census indicates higher human resource potential in the talukas of
Gandhinagar and Kalol. Details of regional distribution of population in the district are presented in the table 634.

625
Census 2011 Statistics
626
Census 2011 Statistics
627
Census 2011 Statistics
628
Census 2011 Statistics
629
Census 2011 Statistics
630
Census 2011 Statistics
631
Census 2011 Statistics
632
Census 2011 Statistics
633
Census 2011 Statistics
634
Census 2001Statistics, KPMG Analysis

303
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Regional Distribution of Population in the District 635

Region Contribution to District Population Population Density
(2001) (Persons per Sq.km- 2001)
Gandhinagar 43% 833
Kalol 23% 643
Dehgam 19% 404
Mansa 15% 537

Gender composition of district population is biased with a lower proportion of females than males. As per 2011
census the district has a gender ratio of 913 females per 100 males 636 as against the state average ratio of 940
females per 1000 males 637. Contribution of scheduled categories to the overall district population is lower than the
state level proportion. As per census 2001 estimates, reserved categories account for 11.67 percent638 of overall
district population in comparison to the state average of state percentage of 21.85 percent 639.

Education attainment levels in the district are better than the state average owing to migration of literate workforce
to the urban regions of the district and increasing private participation in primary and higher levels of education in the
district. As per 2011 estimates, district has registered an overall literacy rate of 85.78 percent 640 as against state
average of 79.31 percent 641. The district has made significant progress towards regional inclusion in the reach of
mass education programs. However gender inclusion still remains a concern. Urban-rural literacy gap in Dahod is
estimated to be 6.02 per cent 642 as against the 14.58 percent 643 for overall state. On the other hand, the district still
has a male-female literacy gap of 16.22 percent 644 percent as against 16.5 percent 645 for Gujarat state. Lower level of
gender inclusion stresses the need for gender specific approach towards implementation of mass education
initiatives. Increasing focus on literacy would create demand for education and training facilities within the district to
support the economic growth of the region.

6.10.13.1.3. Economic Profile

Electronics and Textiles have been the main sectors of investment and employment in Gandhinagar district since the
late 1980s. The Food Processing industry of the district is well developed because of the proximity to agricultural
districts such as Mehsana, Sabarkantha, Ahmedabad, Kheda, Anand, etc.

635
Census 2001Statistics, KPMG Analysis
636
Census 2011 Statistics
637
Census 2011 Statistics
638
Census 2001Statistics, KPMG Analysis
639
Census 2001Statistics, KPMG Analysis
640
Census 2011 Statistics
641
Census 2011 Statistics
642
Census 2011 Statistics
643
Census 2011 Statistics
644
Census 2011 Statistics
645
Census 2011 Statistics

304
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Analysis of regional distribution of investments in Gandhinagar district indicates that industrial development is
concentrated in Kalol and Gandhinagar Talukas while other regions like Mansa and Dehgam still remain backward.
Over the recent years the state Government has initiated measures to enhance industrial growth in backward talukas
like Mansa through suitable incentives to increase the investment potential of these regions over the next decade.

Details of region wise large scale investments in Gandhinagar district till 2012 is presented in the table.
Large Scale Investment Scenario In Gandhinagar 646
Region Commissioned Under Implementation
No. of Units Investment No. of Units Investment (
( INR Cr) INR Cr)
Kalol 224 3965 39 914
Gandhinagar 96 1022 15 342
Mansa 19 211 3 86
Dehgam 15 169 -- --
District Total 354 5367 57 1342
Rapid growth of industrialization in the district has widened the scope for establishment of ancillary units in MSME
segment. As per the MSME investment Part–II statistics, overall there are 2163 units 647 operating in the district
attracting an investment of INR 3, 04,047 lakhs 648 in 2012.

Investment outlook in MSME segment of Gandhinagar district is presented in the table.

MSME Investment Scenario in Gandhinagar 649

Category of Industries Number of Units Investment In Rs. Lakhs
Micro 1423 119945.3
Small 694 141135.3
Medium 46 42966.33
Total 2163 304047
Manufacturing Sector Units 1957 278538.7
Service Enterprises 206 25508.26

Among the manufacturing based MSME units, Chemical and Chemical Products, Rubber & Plastics, Electrical and
Electronics and Manufacturing of Engineering Goods are the prominent industries both in terms of units and
investment in MSME manufacturing units.

646
IEM, MSME Part-II Data till 2012-13
647
IEM, MSME Part-II Data till 2012-13
648
IEM, MSME Part-II Data till 2012-13
649
IEM, MSME Part-II Data till 2012-13

305
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Composition and Investments of MSME Manufacturing Units in the District 650

Composition of MSME Manufacturing Units Composition of Investments in MSME
Manufacturing Units
Manufacturing of Agri-Allied Textile &
Engineering Mining &
Activities Apparel Agri-Allied Mining &
Goods Auto-Auto Quarrying Auto-Auto
1.3% 5.4% Activities Quarrying
11.0% Components 0.7% Components
Construction 1.3% 0.7%
5.0% 5.1% Agro & Food
Agro & Food 0.7%
Construction Processing Processing
0.7% Manufacturing Textile & 5.6%
6.0%
Wooden of Engineering Apparel Wooden
Products & Goods 9.4% Products &
Furniture 8.6%
Furniture
3.1%
2.1%
Paper & Paper
Eletrical & Eletrical &
Products
Eletronics Eletronics
Paper & Paper 2.6%
9.6% Chemical & 11.2% Chemical &
Products
Chemical 3.1% Chemical
Products Products
15.9% Mineral 12.8%
Mineral Prosessing &
Prosessing & Fabrication
Fabrication 22.9%
26.6%

Rubber & Rubber &

Plastics Plastics
11.5% 17.0%

Wholesale and Retail constitutes about 38% of the MSME service enterprises in the district. The major investments
are in the field of IT, ITES and wholesale retail totally constituting up to nearly 40%.

Composition of MSME Service Enterprises in the District 651

Composition of Investments in MSME
Service Enterprises
Hospitality and
Tourism
1.7%

IT- ITES
20.3%

Other Services Whole sale &

56.0% Retail Trade
18.9%
Fianancial
Services
0.1%

Transportation
0.1%
Printing &
Publishing
3.0%

650
IEM, MSME Part-II Data till 2012-13
651
IEM, MSME Part-II Data till 2012-13

306
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

The major focus in Gandhinagar district has been on the services in the public sector, Electrical and Electronics and
IT/ITES with the latter seeing increasing visibility in recent years. The DMIC (Delhi/Mumbai Industrial Corridor) is
expected to give a further fillip to this along with the already established concept of SEZs (Special Economic
Zones).The major investment avenues in the IT/ITES sector are in Software Development Centers, Business Process
Outsourcing (BPO), Knowledge Process Outsourcing (KPO) and Educational Training Centers.

Gandhinagar has several educational institutions of repute like Indian Institute of Information & Technology,
Dhirubhai Ambani Institute of Information & Technology. Supplementing these institutes are core research oriented
institutes like the Institute for Plasma Research and the Indian Institute for Advanced Research. Gandhinagar also has
a rich eco-system of institutes in specializing in niche spaces like fashion and design (National Institute of Fashion
Technology), Entrepreneurship (Entrepreneurship Development Institute) & Law (National Law University)

The district has 24 primary healthcare centers, 17 dispensaries and 8 community healthcare centers. Apart from
these, Gandhinagar also has a robust network of private hospitals with the Gujarat Apollo Hospital, Kanoria Hospital
and the Civil Hospital being the prominent ones with the Apollo Hospital being the largest corporate hospital in
Gujarat 652.

As expected of an urban enterprising area, Gandhinagar has a high penetration of banking and financial services with
a high density of 9.375 people per bank as of March 2012 with the district having around 148 bank offices with a
total credit amount exceeding 7000 Cr INR and a total deposit amount of more than 13000 Cr INR as of Mar 2012 653.
While the number of banks has increased at a relatively higher CAGR of 7.9 percent from 2007 to 2012, the amount of
deposit and credit have increased at high CAGRs of 25.6 percent and 23.6 percent respectively 654 from 2007-2012.
Leveraging on the promising trends of increasing financial penetration, the Gujarat Government is planning to setup
the Gujarat International Finance Tec-City (GIFT) as a “One Stop Shop” destination for the global financial service
industry.

The road infrastructure of Gandhinagar comprises of the National Highways NH 8 and 8C which connect it with the
other major cities of Gujarat. The nearest airport to Gandhinagar is Ahmadabad which is 22 km away with the nearby
Ahmadabad railway station practically connecting to every nook and corner of the country either directly or indirectly.

Lastly, in spite of the buzzing business environment of the district, the place is also home to major tourist attractions
like the famous Akshardham Swaminarayan Temple, Adalaj Step Wells and Indroda Dinosaur and Fossil Park with the
Dinosaur Park is considered to be the second largest dinosaur park in the world.

Owning to the soil characteristics, a majority of the district geographical land of Gandhinagar is cultivable (76 percent
of total area). Adding to the favorable soil characteristic is the fact that Gandhinagar has moderate to high rainfall
conditions with the average rainfall in the last 10 years being 750 mm. The district also shows a remarkable spread

652
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
653
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
654
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07

307
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

of irrigation facilities with around 59 percent 655 of net cultivable area under irrigation. Castor, Cotton(Irrigated), Bajra,
Pulse and Paddy are the five main Kharif Crops while Wheat, Mustard, Potato and fennel are five key Rabi crops
grown in the district. Main horticulture crops grown include Vegetable (mainly Potato), fruits and spices. The district
has Taluk level Seed Farms targeted at improving the availability of quality seeds. Currently, usage of hybrid crop
varieties is low with a need to promote its usage across crop categories.

Cow and buffalos are main cattle varieties in Gandhinagar with 1, 48,430 cowhand 3, 64,040 buffalos 656 with
significant population of goats as well. Availability of pasture lands holds immense potential to promote animal
husbandry in the district. Along with strengthening animal husbandry activities among small and marginal farmers
through advanced rearing training, there is a need for integrating the animal husbandry with promotion of organic
farming as well.

Going forward, educating farmer communities/ groups on marketing and processing would be crucial to enhance the
revenue benefits to marginal communities by limiting the role of middlemen. Government initiative to set up
agricultural collection centers towards achieving this objective has to be supplemented by relevant training programs
as well.

6.10.13.2. Workforce Distribution in the district

Being the state capital, growth in commercial activities has resulted in higher penetration of tertiary and secondary
activities. Non agrarian sectors account for nearly 60 percent of overall workforce indicating the level of progress
Gandhinagar has achieved in terms of reducing dependency on agriculture. Tertiary sector has been the dominant
employment generating segment in the district economy. Low female participation is however a main concern for the
district Efforts towards higher levels of gender inclusion in education and employment are expected to improve the
situation over the next decade. Comparison of workforce distribution scenario in Ahmedabad and Gujarat is
presented in the table 657.

Percentage of Employment
Region Labour Force Workforce Primary Secondary
Participation Participation Sector Sector Tertiary Sector
Gandhinagar 49.7% 41.54% 42.54% 13.28% 44.18%
Gujarat 59.27% 41.95% 59.34% 15.86% 24.8%
Registered factories and service enterprises have contributed to over 70 thousand employment opportunities in the
district. Large scale enterprises account for major share of the segmental employment with medium scale units
contributing a significant share.

Organized Employment in Gandhinagar 658

Category of Industries Employment
Large Scale Industries (Commissioned + Under Implementation) 52,252

655
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
656
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
657
KPMG Analysis
658
IEM, MSME Part-II Data till 2012-13

308
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

MSME Category 42,690

Manufacturing Units 39,634
Service Enterprises 3,056
Total 94,942

Majority of the large scale industrial employment opportunities are concentrated in the Tehsils of Kalol and
Gandhinagar. Textiles and Apparel and Mineral Processing constitute the major employment opportunities in the
large scale industries.

Distribution and Composition of Large Scale Industries in the District 659

Regional Distribution of Large Scale Composition of Employment in Large Scale
Industrial Employment Industries
Other
Mansa Manufacturing Agro & Food
3% 7% Processing
5%
Other Communication
Services 3%
3% Construction
Manufacturing of Material
Gandhinagar Engineering 4%
32% Goods
4%
Textile & Apparel
27%

Kalol
62% Eletrical &
Dehgam Paper & Paper
Eletronics
3% Products
24%
3%
Chemical &
Mineral
Chemical
Prosessing &
Fabrication Rubber & Plastics Products
5% 5%
8%

Mineral processing and fabrication, rubber and plastics, chemicals and chemical products constitute the majority of
the MSME units. In terms of employment in the MSME service enterprises, IT ITES and wholesale and retail seems to
attract the maximum number of employment.

659
IEM, MSME Part-II Data till 2012-13

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 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Sectoral Employment Composition in MSME Units in the District 660

Composition of Employment in MSME Composition of Employment in MSME
Manufacturing Units Service Enterprises
Textile &
Manufacturing of
Apparel
Engineering
Auto-Auto 5.9%
Goods Agri-Allied
10.8% Components Mining & Hospitality and
1.1% Activities Quarrying Agro & Food Tourism
0.8% 0.7% Processing 4.2%
6.0%
Construction Wooden
0.6% Products &
Furniture
2.3%
Eletrical &
Eletronics Paper & Paper
8.5% Products
3.1% Other Services IT- ITES
25.2% 36.7%
Chemical &
Chemical
Products Printing &
14.3% Publishing
Mineral 6.1%
Prosessing &
Fabrication
33.6%
Transportation
7.8%
Rubber &
Plastics Whole sale &
12.2% Retail Trade
19.9%

6.10.13.3. Human Resource Requirement Projections in Gandhinagar (2012-22)

Incremental manpower requirement in the district of Gandhinagar has been estimated based on several parameters
such as investments trends, national level benchmarks on industrial growth across sectors, state manufacturing
policy targets, performance of state against economy targets, national level inclusion targets for certain sectors,
employment generation potential of various sectors based on labour elasticity and market based insights from
discussions with industries in Gandhinagar. Based on the analysis of current state of workforce distribution and
potential employment opportunities in various sectors incremental manpower requirement in key primary, secondary
and tertiary segments is estimated for the periods 2012-17 and 2017-22. Further, manpower requirement is classified
into skilled, semi skilled and minimally skilled categories considering the present level of employment in these
categories for respective sectors and analysis of expected developments in the industry that would lead to significant
realignment of the categories. Detailed approach for manpower estimations is presented in the appendix and specific
factors for estimation are discussed below.

Primary Sector:

Considering the increasing level of farm mechanization and sharing agricultural land usage, period between 2012 and
2022 would witness a net outflow of workforce from the agricultural activities. Agricultural workforce displacement
is expected to be significant in marginal workers category. A significant portion of the workforce would engage in

660
IEM, MSME Part-II Data till 2012-13

310
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

agri-allied activities depending on the availability of allied resources and migrational constraints. Incremental
manpower requirement for the agri- allied activities is estimated considering the following parameters

• Current level of employment in agricultural activities(farmers, agricultural labourers)

• Estimated displacement factors for agricultural workforce based on Planning Commission Projections for
2012-17 and 2017-22 periods and analysis of level of mechanization and allied factors in Gujarat
• Employment potential in agri-allied activities in the district considering the level of involvement in the
respective activities and regional conditions

Manufacturing Sector:

Manpower requirement in secondary sector is driven by investments and output growth. Various factors including
analysis of manufacturing, sub sector policies, investment trends, availability of resources, are considered for the
incremental manpower estimation in different subsectors of manufacturing in the district. Human resource
requirement projections for manufacturing sub sectors in the district are estimated considering the following
parameters

• Manufacturing growth targets for Gujarat for 2012-17 and 2017-22(Increasing secondary sector share in
GSDP to 32% by 2017)
• Identifying key growth sub segments within the district based on study of existing industrial base, primary
interactions
• Estimation of growth targets for the district based on analysis of investment trends in the district in
comparison to the state, available infrastructure, policy thrust on key manufacturing segments identified for
the district
• Labour elasticity factors in the potential sectors for the district

Tertiary Sector:

Employment growth in some of the services sector is driven by Government thrust in terms of budgetary allocations to
achieve inclusion targets in education, healthcare and banking while the other segments including hospitality and
tourism, financial intermediation, communication, retail would depend on the level of economic activity in the region
resulting in high or low spending capacity of population. Also segments like IT-ITES, transportation& logistics are
driven by investments into infrastructure and manpower. Hence human resource requirement projections for services
sub sectors would have specific approaches depending on the growth drivers for the segments in the district.
Detailed methodology for estimation of manpower in services sub segments is presented in the appendix.

Based on the analysis of socio economic conditions, investment scenario and availability resources incremental
manpower requirement has been estimated for the following sectors.

Primary Sector

• Agriculture & Allied Activities( Horticulture, Sericulture, Animal Husbandry and Fisheries)

Secondary Sector

• Textile and Apparel

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

• Manufacturing of Engineering Goods( Including Auto & Auto Components)

• Chemical & Chemical Products(Including Petro Chemicals)
• Drugs & Pharmaceuticals
• Agro & Food Processing
• Electrical and Electronics
• Mineral Processing & Fabrication
• Construction Material(Cement, Ceramics)
• Rubber & Plastics
• Paper & Paper Products
• Infrastructure(Construction)

Tertiary Sector

• IT-ITES
• Transportation & Logistics(including port based logistics)
• Banking & Financial Services
• Organized Retail
• Hospitality & Tourism
• Healthcare
• Education & Training

Incremental manpower requirements for the priority sectors in Gandhinagar district are presented in the table 661.

2012-17 2017-22
Sector Semi Minimally Semi Minimally
Skilled Total Skilled Total
Skilled skilled Skilled skilled
Agriculture &
NA NA 9697 9697 NA NA 8121 8121
Allied Activities
Agro & Food
118 472 590 1179 105 422 527 1055
Processing
Textile & Apparel 353 1411 1764 3527 315 1262 1577 3155
Wooden Products
20 81 101 201 18 72 90 180
& Furniture
Paper & Paper
55 220 275 549 49 196 246 491
Products
Chemical &
Chemical 181 725 907 1813 162 649 811 1622
Products
Rubber & Plastics 167 668 834 1669 149 597 746 1493
Mineral
Processing & 385 1538 1923 3846 344 1376 1720 3440
Fabrication
Electrical & 345 1380 1724 3449 308 1234 1542 3085

661
KPMG Analysis

312
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Electronics
Manufacturing of
Engineering 148 592 740 1479 132 529 662 1323
Goods
Manufacturing of
Construction 40 160 199 399 36 143 178 357
Material
Drugs and
12 47 59 117 11 42 53 105
Pharmaceuticals
Misc.
85 342 427 855 76 306 382 765
Manufacturing
Construction 308 615 5231 6154 275 550 4679 5505
Trade, Retail 497 746 3728 4970 543 815 4075 5433
Transportation &
338 5374 6393 12105 277 4397 5231 9904
Logistics
IT-ITES 12000 30000 NA 42000 10000 24000 NA 34000
Hospitality &
1291 1937 9683 12910 1033 1549 7746 10328
Tourism
Banking &
3140 9421 NA 12562 2198 6595 NA 8793
Financial Services
Healthcare 225 1010 NA 1235 299 1496 NA 1795
Education &
607 4089 NA 4696 911 2453 NA 3364
Training

Skill requirements in key growth sectors have been analyzed based on industry interactions to understand the
detailed manpower needs. Sector level skill interventions are indicated in the section below 662.

Secondary Sector (Manufacturing, Construction & Energy):

• Textile & Apparel:

Category of Skills Skills

Core Skills Ring frame operator, weaver, processing operator (CDR,BDR,Stuntor), Bar-
coding machine operator

Electrician, Wireman, Fitter

Allied Skills
The industry has high attrition rates in operator roles (semi skilled) owing to
Skills with acute shortage extreme working conditions.

• Electrical & Electronics:

Category of Skills Skills

662
KPMG Analysis

313
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Core Skills Electronics, PPO, Electrical, Instrumentation

Allied Skills Fitter

Skills with acute shortage PPO trade is a key deficit in all industries involving plastic processing

Electronics and Instrumentation

• Metal & Mineral Processing:

Category of Skills Skills
Core Skills Fitter, Welder, Turner, Electrician

Allied Skills Melter, Boiler Operator

Skills with acute shortage PCB instrumentation

• Construction:
Category of Skills Skills
Core Skills Electricians, carpenters, barbenders, welders and masons

Allied Skills Minimally skilled workers

Skills with acute shortage Machine operators

Services:
• Banking & Financial Services:
Category of Skills Skills
Core Skills Knowledge on core banking/mobile/internet platforms

Allied Skills Sales & Marketing

Skills with acute shortage insurance underwriting, claims management

314
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

• Transportation :
Category of Skills Skills
Core Skills Heavy vehicle drivers, logistics management

Allied Skills Administrative, computer data management

Skills with acute shortage Scheduling and logistics planning

• Education:
Category of Skills Skills
Core Skills School teachers, higher education faculty

Allied Skills Knowledge on advanced teaching tools

Skills with acute shortage Technical education trainers

Primary Sector:

• Cultivation:
Category of Skills Skills
Core Skills Awareness about high yield varieties, micro nutrients and pest Control, Organic
farming and Vermi compost methods, Micro irrigation techniques
Allied Skills Knowledge on food processing techniques and related procedures to extract
greater value from farm produce

Skills with acute shortage Usage and repair of farm equipments, Marketing and management practice

• Agri- Allied Activities:

Category of Skills Skills
Core Skills Modern rearing techniques of live stock, piggery, goatery and fisheries

Allied Skills Knowledge on processing techniques

315
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Skills with acute shortage Marketing and distribution of forest/animal husbandry produce

6.10.13.4. Human Resource Supply Scenario in the District

6.10.13.4.1. Estimation of Labour Force Supply
District-wise incremental supply has been determined based on net addition of labour force. Gross addition to
working age group population during 2012-17 and 2017-22 were determined based on Census 2011 age wise
population accounting for death rate and life expectancy normalized against population corrections in 2017 and 2022.
Applying labour force participation rates, considering the historical trends, gross additions to labour force were
estimated for the two time periods. Accommodating for retirement from the existing pool of labour force, net supply
to labour force has been estimated.

Gandhinagar would experience a lower human resource growth during 2012-22. However, with improving
transportation and infrastructure facilities, increasing manpower requirements in the district would be adequately
met with the work based migration from neighboring districts like Ahmedabad, Mehsana and Sabar Kantha. Details
of human resource growth estimations during 2012-22 are presented in the table 663.

Period Gross Addition to Working Gross Addition to Labour Net Addition to Labour
Age Population Force Force-Supply

2012-17 149,895 99,164 53,237

2017-22 127,768 85,902 41,334

6.10.13.4.2. Education and Training Potential in the District

Gandhinagar district has around 893 K12 schools out of which 72.45 percent of schools are Government schools. The
net enrolment ratios of the district for the primary level and upper primary level are marginally higher than averages
for the state 664.

Total Enrollments Primary Level Upper Primary Level Secondary Level Higher Secondary
in 209-10 (Std I-V) (Std VI-VIII) (Std IX-X) Level (Std XI-XII)
148,675 54,510 78,623 44,199
Gandhinagar

Comparing the district’s enrolment statistics with state average indicates that the district is an average performer in
the primary education category 665

663
KPMG Analysis
664
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat

316
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Region Net Enrolment Ratio (Primary Level) Net Enrolment Ratio (Upper Primary Level)
Gandhinagar 84.1 51.1
Gujarat 85.4 50.7

In the vocation education segment, the district is ahead in the provision of vocational training in comparison to state
average. Private interest in the sector in this district is high indicating that the state must take proactive measures in
further increasing private support to improve vocational training infrastructure 666.

Region Number of Seat Vocational Training Private Sector

ITIs Capacity Capacity Density (Seats Participation in
Per 1000 Population) Vocational Training
Gandhinagar 29 4,666 3.36 30%
Gujarat 711 138,106 2.29 26%

Given the unequal distribution of seats, capacity expansion in vocational education in Gandhinagar district needs to
be focused on the tehsils of Dehgam, Kalol and Mansa to bring them on par with the district average in vocational
education capacity 667.
Taluka Seat Capacity Vocational Training Private Sector
Capacity Density(Seats Participation in
Per 1000 Population) Vocational Training
Gandhinagar 3374 5.68 33%
Dehgam 436 1.68 0%
Kalol 532 1.65 15%
Mansa 324 1.54 60%
District Total 4666 3.36 30%

In the higher education segment, the district has 6 engineering colleges, 10 pharmacy colleges, 5 MCA colleges, 2
Dental colleges, 7 management colleges and 9 Arts, Commerce, Science, B.Ed and Law Colleges. The district houses
some prestigious research and educational institutes such as the Institute for Plasma Research, Indian Institute for
Advanced Research and National Institute of Fashion Technology (NIFT). Indian Institute of Information Technology
will be established in Gandhinagar. The Institute for Plasma Research in Gandhinagar is an autonomous plasma
physics research centre that focuses on research in various aspects of plasma science for industrial applications.
Indian Institute for Advanced Research located in Koba, Gandhinagar is concerned with biotechnology based
advanced research set up by Puri Foundation & NIFT provides innovative courses on leather garment design and
technology, textile design & development, garment manufacturing, apparel and advertising, etc. Other premier
institutes in Gandhinagar include Dhirubai Ambani Institute of Information & Technology, Entrepreneurship
Development Institute of India (EDI), National Law University, Dental College, Santej and Karnavati School of
Dentistry.

6.10.13.4.3. Demand-Supply Gap Analysis for the District

665
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat
666
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat
667
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat

317
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Incremental skill category wise supply for the periods 2012-17 and 2017-22 in the district are estimated based on net
output from higher education institutions (skilled), vocational training(semi skilled), minimally skilled (school
education) for periods 2012-17 and 2017-22 considering the LPR estimations for the districts in 15-59 age group and
retirement from existing labour force.

Based on the skill category human resource demand projections for 2012-22 and net supply potential, category wise
Demand-Supply gap estimations for the district are presented in the table below

Category Wise Demand-Supply Gap in the District (2012-22)

2012-17 2017-22
Sector Skilled Semi Minimally Total Skilled Semi Minimally Total
Skilled skilled Skilled skilled
Demand-Supply
Gap 13,215 55,324 3,643 72,175 8,775 41,340 12,861 62,980
*(Indicates excess supply)

6.10.13.4.4. Skill Development Potential through Government Endowments

According to KPMG estimates, based on the potential district budgetary allocation for various central government
schemes around 40 thousand people in total can be trained incrementally during the five year period of 2012-17.
Ministry of Agriculture and Ministry of Labour Schemes are expected to contribute to a significant share of the
training. Manpower training targets have predominant focus on primary sector considering the low level of industrial
development in the district. Private training providers have opportunities in livelihood training programs.

Government Funded Incremental Training Capacity (2012-17) - Gandhinagar District 668

SJSRY 8744
SDI-MES 6893
M/O Agriculture 5682
Using Construction Cess 4697
SGSY 4545
Others 2642
D/O IT 2528
Credit Scheme 2413
Hunar Se Rozgar 1293
ISDS - Textiles 643
CSR Funds from Central PSUs 574
ART - M/o Tribal Affairs 118
SCA under TSP - M/o Tribal Affairs 71

6.10.13.5. District Specific Recommendations

668
KPMG Analysis

318
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Considering human resource potential and manpower requirements of the industry, the proposed action plan for
stakeholders in skill development has been recommended:

Stakeholder Action Points for Stakeholders

NSDC Focus on increasing participation from national/regional private skill training providers with
focus on the following regions having high organized employment potential
• Kalol and Gandhinagar
Focus on sectors with high employment potential in the district
• Services: Transportation & Logistics, Construction, IT-ITES, Hospitality, Business
Services
• Manufacturing: Textile, Electrical & Electronics, Mineral Processing & Fabrication

District Provide skill training in conjunction with private skill training providers using government
Administration endowment training schemes in sectors of
• Animal Husbandry
• Horticulture
Focus on improving industrial training infrastructure in the regions of
• Dehgam, Kalol and Mansa
Private Skill Focus on placement driven training for youth from high human resource potential regions of
Training Gandhinagar and Kalol
Providers
Focus on sectors with high employment potential in the district
• Services: Transportation & Logistics, Construction, IT-ITES, Hospitality, Business
Services
• Manufacturing: Textile, Electrical & Electronics, Mineral Processing & Fabrication

Corporate Provide training for skills in those sector where the requirement for absorption within the
corporate is higher such as
• IT-ITES
• Textile
• Electrical & Electronics
• Transportation & Logistics
• Construction

Initiate and support modular employability skill training in collaboration with private
players/Government
Create placement linkage opportunities in training institutions

319
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

6.10.14. Skill Gap Assessment of Jamnagar District

6.10.14.1. Socioeconomic Profile
6.10.14.1.1. Administrative Profile

Jamnagar district is located in the western part

of Gujarat spread across a geographical area of
14,125 sq.km 669. It shares its border with Rajkot,
Junagadh, Kutch, Gulf of Kutch and Arabian Sea.
Administratively Jamnagar is divided into 10
talukas and 714 villages 670 with Jamnagar city
as the district capital. Jamnagar, Dhrol,
Jamkalyanpur, Jodiya, Khambhalia, Kalavad, Jamnagar
Okha Mandal, Lalpur, Bhanvad, Jamjodhpur are
taluka regions in the district.

6.10.14.1.2. Demographic Profile

Jamnagar district is a moderate human resource potential region in Gujarat state. It has a total population of 21.59
lakhs 671 as per 2011 Census accounting for 3.6 percent 672 of the overall state population. It has witnessed a subdued
population growth over the last decade with a decadal growth rate of 13.38 percent 673 between 2001 and 2011 in
comparison to state average of 19.17 percent 674 during the same period. A significant portion of district population
lives in urban areas with these regions accounting for nearly 45 percent 675 of the total population. Population spread
in the district is significantly low with a density of 153 persons per sq.km 676 in comparison to the state average of 308
persons per sq.km 677. Analysis of population distribution in the district as per 2001 census indicates higher human
resource potential in the talukas of Jamnagar and Khambhalia. Details of regional distribution of population in the
district are presented in the table.

669
Census 2011 Statistics
670
Census 2011 Statistics
671
Census 2011 Statistics
672
Census 2011 Statistics
673
Census 2011 Statistics
674
Census 2011 Statistics
675
Census 2011 Statistics
676
Census 2011 Statistics
677
Census 2011 Statistics

320
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Regional Distribution of Population in the District 678

Region Contribution to District Population Population Density
(2001) (Persons per Sq.km- 2001)
Jamnagar 40% 649
Khambhalia 11% 174
Kalyanpur 8% 114
Okhamandal 8% 201
Kalavad 7% 109
Jamjodhpur 6% 108
Bhanvad 6% 150
Lalpur 5% 94
Jodiya 5% 103
Dhrol 4% 132

Gender composition of district population is better than the state average. As per 2011 census, the district has a
gender ratio of 938 females per 1000 males 679 as against the state average ratio of 918 females per 1000 males 680.
Contribution of scheduled categories to the overall district population is lower than the state level proportion. As per
census 2001 estimates, reserved categories account for 8.68 percent 681 of overall district population in comparison to
the state average of state percentage of 21.85 percent 682.

Education attainment levels in the district are marginally lower than the state average. As per 2011 estimates, the
district has registered an overall literacy rate of 74.4 percent 683 as against state average of 79.31 percent 684. it has
made significant progress towards regional inclusion in the reach of mass education programs while gender inclusion
still remains a concern. Urban-rural literacy gap in Jamnagar is estimated to be 9.51 percent 685 as against the 14.58
percent 686 for overall state. On the other hand, district still has a male-female literacy gap of 26.38 percent 687 percent
as against 16.5 percent 688 for Gujarat state. Lower level of overall literacy and inadequate gender inclusion stresses
the need for gender specific approach towards implementation of mass education initiatives. Increasing focus on
literacy would create demand for education and training facilities within the district to support the economic growth
of the region.

678
Census 2001Statistics, KPMG Analysis
679
Census 2011 Statistics
680
Census 2011 Statistics
681
Census 2001Statistics, KPMG Analysis
682
Census 2001Statistics, KPMG Analysis
683
Census 2011 Statistics
684
Census 2011 Statistics
685
Census 2011 Statistics
686
Census 2011 Statistics
687
Census 2011 Statistics
688
Census 2011 Statistics

321
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

6.10.14.1.3. Economic Profile

Jamnagar district caters to over 70% of the country’s requirement for brass parts supply. There are over 4,500 units
involved in production of brass parts and Jamnagar district is the major supplier to the electric and electronics
factories located in Delhi, Bangalore and Mumbai. Jamnagar is one of the principle inventers for production of tie-
dyed fabric (Bandhani) in the State. Other major industry sectors of the district include engineering & machinery,
plastics and oil mills.

Analysis of regional distribution of investments in Jamnagar district indicates that the industrial development is
concentrated in Lalpur and Okha Mandal Talukas while other regions like Kalyapur, Dhrol, Bhanavad, Jamjodhpur and
Jodiya still remain backward in terms of industrial development. Over the recent years the state government has
initiated some measures to enhance the industrial growth in backward talukas of Jamjodhpur and Jodiya through
suitable incentives leading to an increased investment potential of these regions over the next decade.

Details of region wise large scale investments in Jamnagar district till 2012 is presented in the table.
Large Scale Investment Scenario In Jamnagar 689
Region Commissioned Under Implementation
No. of Units Investment No. of Units Investment (
( INR Cr) INR Cr)
Jamnagar 49 336 31 7125
Lalpur 18 36410 1 0
Okha Mandal 18 1987 10 1275
Khambhalia 8 60 -- --
Kalyanpur 5 47 3 4
Dhrol 4 3 1 0
Bhanavad 3 22 1 2
Jamjodhpur 1 11 2 86
Jodiya 1 6 7 8858
Not Classified 1 18 4 19527
District Total 108 38900 60 36877

Rapid growth of industrialization in the district has widened the scope for establishment of ancillary units in MSME
segment. As per the MSME investment Part–II statistics, overall there are 2898 units 690 operating in the district
attracting an investment of INR 96,857 lakhs 691 in 2012.

689
IEM, MSME Part-II Data till 2012-13
690
IEM, MSME Part-II Data till 2012-13
691
IEM, MSME Part-II Data till 2012-13

322
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Investment outlook in MSME segment of Jamnagar district is presented in the table.

MSME Investment Scenario in Jamnagar 692

Category of Industries Number of Units Investment In Rs. Lakhs
Micro 2,599 41,229
Small 279 42,386
Medium 20 13,242
Total 2,898 96,857
Manufacturing Sector Units 2,610 73,339
Service Enterprises 288 23,518

Among the manufacturing based MSME units, Mineral Processing and Fabrication is the most prominent industries
both in terms of units and investment in MSME manufacturing units.

Composition of MSME Manufacturing Units 693

Composition of MSME Manufacturing Composition of Investments in
Units MSME Manufacturing Units
Manufacturing
Agri-Allied Mining & Textile & of Engineering Auto-Auto Mining &
Auto-Auto Activities Quarrying Apparel Goods Components Quarrying Wooden
Components 0.6% 1.5% 4.6% 3.5% 1.6% 2.7% Products &
1.4%
Manufacturing Agro & Food Agri-Allied Furniture
Construction Wooden Construction Textile &
of Engineering Processing Activities 1.4%
1.9% Products & 2.0% Apparel
Goods 5.4% Paper & 3.0%
Furniture Eletrical & 2.8%
5.3% Agro & Food
Paper 2.2% Eletronics
Eletrical & Processing
Products 4.4%
Eletronics 6.2%
0.6%
4.6% Paper & Paper
Chemical &
Chemical Products
Products 0.3%
2.0% Chemical &
Chemical
Rubber & Products
Plastics 2.7%
1.7%
Mineral Rubber &
Mineral
Prosessing & Plastics
Prosessing &
Fabrication 3.8%
Fabrication
68.2%
65.3%

In terms of the composition of the MSME service enterprises, it can be observed that wholesale and retail is the
largest segment. Also IT/ITES contributes to a significant number of enterprises in the MSME category.

692
IEM, MSME Part-II Data till 2012-13
693
IEM, MSME Part-II Data till 2012-13

323
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Composition of MSME Service Industries 694

Composition of MSME Service Composition of Investments in MSME
Enterprises Service Enterprises

Hospitality and Whole sale &

Hospitality and
Tourism Retail Trade
Tourism
5.6% IT- ITES 5.9%
1.4% Printing &
1.5%
Publishing
IT- ITES 0.2%
16.7%

Other Services
47.9%

Whole sale &

Retail Trade Other Services
26.7% 91.0%

Printing & Fianancial

Publishing Services
2.1% 0.7%

Jamnagar attracts large number of tourists each year. It consists of several tourist destinations like Lakota lake,
Lakota Museum, Khijada Mandir and Ratan Bai Mosque. Apart from the above, Jamnagar also has beautiful beaches
like Balachadi, Marine National Park, Khijadia Birds Sanctuary and Gaga Wild Life Sanctuary.

In the supply of skilled manpower pool, the district offers higher education institutes in field of medicine and
agriculture. Jamnagar is home to the country’s only Ayurvedic University offering post graduate and diploma courses
in Ayurvedic medicines and pharmaceutical science, yoga and naturopathy. In addition, Jamnagar also has Fisheries
Aquatic Science Research Station for research in Pearl culture. The district boasts one medical college as well as
dental, physiotherapy and ayurvedic colleges in the district.

The penetration of medical infrastructure is low in the district with one medical institution catering to 37,226 people.
The district has 38 primary healthcare centers, 11 community healthcare centers and 5 hospitals. Jamnagar also has
the Apollo Group of Hospitals and other specialty hospitals like Patel Surgical Hospital, Reparalia Neuro Hospital 695

694
IEM, MSME Part-II Data till 2012-13
695
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07

324
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

However, there is need to strengthen the medical institutes in the districts which is expected to give rise to direct
employment opportunities like doctor, nurses and support staff etc and indirect opportunities in Pharmacy, diagnostic
labs etc.

Jamnagar has a medium penetration of banking and financial services with a high density of 10,532 people per bank
as of March 2012.There are 205 bank offices in Jamnagar with a total bank deposit of 8,716 Cr INR and a total credit
amount of 2,503 Cr INR as of March 2012 696. While the number of banks has increased at a CAGR of 5.5 percent from
2007 to 2012, the amount of deposit and credit have increased at a relatively lower CAGR of 16.7 percent and 13.5
percent respectively 697 from 2007-2012.

The road infrastructure of Jamnagar has the National Highway 8 Ext. which connects Ahmadabad which connects
Ahmadabad with Somnath, Porbandar and Dwarka. The rail network connects Jamnagar with Gujarat cities like
Rajkot, Surat & Ahmadabad and Indian cities like Mumbai, Delhi, Varanasi. There is also the Hapa Junction which is
set on broad gauge and connects it with Okha and Porbandar.

There is a domestic airport in Jamnagar which connects the district with Mumbai and Bhuj. The district has a rich
port infrastructure with 9 ports along a 355 km coastline. Out of the 9 ports, Bedi, Okha and Sikka are intermediate
ports and Salaya, Jodiya, Pindhara and Bet (Dwarka) are minor ports.

Agriculture and agriculture allied sectors contribute to relatively smaller share of economy of Jamnagar. This can be
attributed to the fact that the district observes medium to low rainfall. Further the soil is shallow to medium black
due to which only 62% of total geographical area is cultivable. The district also has a limited spread of irrigation
facilities with only 31.76 percent of net cultivable area under irrigation. Ranpur, Mandal, Barvala and Dhandhuka
Talukas have as low as 15 percent of net cultivable area under irrigation, indicating significant opportunities for
improvement in these regions. The irrigation is predominantly dependent on tube wells with a 49.8 percent share of
net irrigated area. Large scope for the operation and maintenance of tube wells would mandate requirement of
skilled manpower with knowledge on repair and maintenance.

Cotton, Paddy, Bajra, Castor and Pulses are key crops grown in the district. Main horticulture crops include spices,
Brinjal, Tomato and ber. Flowers are grown over a small area in Dholka taluka of the district. While about 92% of the
cultivable land is covered by Kharif crops, only 53% of the cultivable land is covered under Rabi indicating sizeable
opportunities for multiple cropping in the district with adequate training.

Cow and buffalos are main cattle varieties in Jamnagar with 2, 16, 941 cows and 3, 43,699 buffalos 698. Other
prominent domestic animals under animal husbandry activities are goats and sheep. Availability of large pasture
lands indicates significant potential to promote animal husbandry in the district. Fishery is a prominent activity in
Dhandhuka Taluka.

696
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
697
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
698
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07

325
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Further, Jamnagar district is now witnessing a continuing decrease in the agricultural land and therefore decrease in
related activities. Statistics available with the district Panchyat’s agriculture section indicates that the total cultivable
area, which stood at 7, 00,736 hectors in 1990 shrank to 6, 16,889 hectors 699 in 2010. Industrialization and
urbanization are cited as the two key reasons for this shrinkage. A major chunk of farmland has been taken up by
large refineries for its expansion.

6.10.14.2. Workforce Distribution in the district

Workforce dependency on primary sector is marginally higher than the secondary and tertiary sectors in Jamnagar.
District has been witnessing significant growth in industrial activity over the recent years which could potentially
increase the contribution of secondary sector to overall employment market. Comparison of workforce distribution
scenario in Jamnagar and Gujarat is presented in the table 700.

Percentage of Employment
Region Labour Force Workforce Primary Secondary
Participation Participation Sector Sector Tertiary Sector
Jamnagar 58.15% 38.56% 57.58% 13.67% 28.75%
Gujarat 59.27% 41.95% 59.34% 15.86% 24.8%

Registered factories and service enterprises have contributed to over fifty thousand employment opportunities in the
district. While the growth in secondary sector is witnessing boost recently, unorganized sector continues to dominate
the overall manufacturing sector employment.

Organized Employment in Jamnagar 701

Category of Industries Employment
Large Scale Industries (Commissioned + Under Implementation) 99660
MSME Category 30534
Manufacturing Units 26238
Service Enterprises 4296
Total 130194

Okha Mandal has attracted the largest employment in the large scale industries. Other notable locations include
Jamnagar and Lalpur. Chemicals and chemical products segment attracts almost three quarters of employees.

699
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
700
KPMG Analysis
701
IEM, MSME Part-II Data till 2012-13

326
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Large Scale Industrial Employment Overview in the District 702

Regional Distribution of Large Scale Composition of Employment in Large Scale
Industrial Employment Industries
Jamjodhpur Jodiya Jamnagar Infrastructure Agro & Food
Bhanavad Construction 5% Textile &
1% 3% Not Classified 10% Other
Processing
Apparel
Material
1% 2% Manufacturing
2%
1%
9%
Lalpur Manufacturing 2%
Khambhaliya of Engineering
3% 8%
Goods
2%
Eletrical &
Eletronics
1%
Mineral
Prosessing &
Fabrication
3%
Rubber & Chemical &
Okha Mandal Chemical
Plastics
72% 2% Products
73%

In case of MSME manufacturing units, mineral processing and fabrication provides maximum employment
opportunities. Auto and auto components come a distant second with 6%. Micro and large scale category units
account for a higher share of overall organized manufacturing employment. Basic metal manufacturing is a key
MSME activity in the district from employment generation perspective. Chemicals and Petro Chemical units are major
large scale industrial sectors in Jamnagar.

MSME Employment Overview in the District 703

Composition of Employment in MSME Composition of Employment in
Manufacturing Units MSME Service Enterprises
Agri-Allied Agro & Food Wooden
Auto-Auto Mining & Hospitality IT- ITES
Manufacturing of Activities Processing Products &
Engineering Components Quarrying Furniture and Tourism 4.1%
1.1% 5.6%
Goods 6.1% 1.7% Textile & 1.4% 3.0%
Whole sale &
4.9% Apparel
Paper & Paper Retail Trade
2.7%
Construction Products 9.3%
3.1% 0.5%
Eletrical & Fianancial
Eletronics Chemical & Services
2.9% Chemical 1.3%
Products
2.0%
Rubber &
Plastics
2.0%

Mineral Other
Prosessing & Services
Fabrication 81.8%
66.0%

702
IEM, MSME Part-II Data till 2012-13
703
IEM, MSME Part-II Data till 2012-13

327
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

6.10.14.3. Human Resource Requirement Projections in Jamnagar (2012-22)

Incremental manpower requirement in the district of Jamnagar has been estimated based on several parameters
such as investments trends, national level benchmarks on industrial growth across sectors, state manufacturing
policy targets, performance of state against economy targets, national level inclusion targets for certain sectors,
employment generation potential of various sectors based on labour elasticity and market based insights from
discussions with industries in Jamnagar. Based on the analysis of current state of workforce distribution and
potential employment opportunities in various sectors incremental manpower requirement in key primary, secondary
and tertiary segments is estimated for the periods 2012-17 and 2017-22. Further, manpower requirement is classified
into skilled, semi skilled and minimally skilled categories considering the present level of employment in these
categories for respective sectors and analysis of expected developments in the industry that would lead to significant
realignment of the categories. Detailed approach for manpower estimations is presented in the appendix and specific
factors for estimation are discussed below.

Primary Sector:

Considering the increasing level of farm mechanization and sharing agricultural land usage, period between 2012 and
2022 would witness a net outflow of workforce from the agricultural activities. Agricultural workforce displacement
is expected to be significant in marginal workers category. A significant portion of the workforce would engage in
agri-allied activities depending on the availability of allied resources and migrational constraints. Incremental
manpower requirement for the agri- allied activities is estimated considering the following parameters

• Current level of employment in agricultural activities(farmers, agricultural labourers)

• Estimated displacement factors for agricultural workforce based on Planning Commission Projections for
2012-17 and 2017-22 periods and analysis of level of mechanization and allied factors in Gujarat
• Employment potential in agri-allied activities in the district considering the level of involvement in the
respective activities and regional conditions

Manufacturing Sector:

Manpower requirement in secondary sector is driven by investments and output growth. Various factors including
analysis of manufacturing, sub sector policies, investment trends, availability of resources, are considered for the
incremental manpower estimation in different subsectors of manufacturing in the district. Human resource
requirement projections for manufacturing sub sectors in the district are estimated considering the following
parameters

• Manufacturing growth targets for Gujarat for 2012-17 and 2017-22(Increasing secondary sector share in
GSDP to 32% by 2017)
• Identifying key growth sub segments within the district based on study of existing industrial base, primary
interactions

328
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

• Estimation of growth targets for the district based on analysis of investment trends in the district in
comparison to the state, available infrastructure, policy thrust on key manufacturing segments identified for
the district
• Labour elasticity factors in the potential sectors for the district

Tertiary Sector:

Employment growth in some of the services sector is driven by Government thrust in terms of budgetary allocations to
achieve inclusion targets in education, healthcare and banking while the other segments including hospitality and
tourism, financial intermediation, communication, retail would depend on the level of economic activity in the region
resulting in high or low spending capacity of population. Also segments like IT-ITES, transportation & logistics are
driven by investments into infrastructure and manpower. Hence human resource requirement projections for services
sub sectors would have specific approaches depending on the growth drivers for the segments in the district.
Detailed methodology for estimation of manpower in services sub segments is presented in the appendix.

Based on the analysis of socio economic conditions, investment scenario and availability resources incremental
manpower requirement has been estimated for the following sectors.

Primary Sector

• Agriculture & Allied Activities( Horticulture, Sericulture, Animal Husbandry and Fisheries)

Secondary Sector

• Textile and Apparel

• Manufacturing of Engineering Goods( Including Auto & Auto Components)
• Chemical & Chemical Products(Including Petro Chemicals)
• Drugs & Pharmaceuticals
• Agro & Food Processing
• Electrical and Electronics
• Mineral Processing & Fabrication
• Construction Material(Cement, Ceramics)
• Rubber & Plastics
• Paper & Paper Products
• Infrastructure(Construction)

Tertiary Sector

• Transportation & Logistics(including port based logistics)

• Banking & Financial Services
• Organized Retail
• Hospitality & Tourism
• Healthcare
• Education & Training

329
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Incremental manpower requirements for the priority sectors in Jamnagar district are presented in the table 704.

Sector 2012-17 2017-22

Skilled Semi Minimally Total Skilled Semi Minimally Total
Skilled skilled Skilled skilled
Agriculture &
Allied Activities NA NA 14626 14626 NA NA 12249 12249
Agro & Food
Processing 61 243 304 608 54 218 272 544
Textile & Apparel 28 111 139 278 25 99 124 248
Wooden Products
& Furniture 8 31 39 78 7 28 35 70
Chemical &
Chemical
Products 893 3574 4467 8934 799 3196 3996 7991
Rubber & Plastics 37 147 183 366 33 131 164 328
Mineral
Processing &
Fabrication 424 1697 2121 4241 379 1517 1897 3794
Electrical &
Electronics 23 94 117 234 21 84 105 210
Manufacturing of
Engineering
Goods 88 352 440 880 79 315 393 787
Manufacturing of
Construction
Material 116 462 578 1156 103 413 517 1034
Misc.
Manufacturing 23 93 116 232 21 83 104 207
Construction 479 958 8141 9577 428 857 7281 8566
Trade, Retail 773 1160 5801 7735 846 1268 6341 8455
Transportation &
Logistics 575 9127 10858 20560 470 7467 8884 16822
Hospitality &
Tourism 1069 1604 8018 10690 855 1283 6414 8552
Banking &
Financial
Services 2795 8386 NA 11182 1957 5870 NA 7827
Healthcare 536 2411 NA 2947 714 3570 NA 4284
Education &
Training 683 4595 NA 5278 1024 2757 NA 3781

Skill requirements in key growth sectors have been analyzed based on industry interactions to understand the
detailed manpower needs. Sector level skill interventions are indicated in the section below 705.

704
KPMG Analysis
705
KPMG Analysis

330
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Secondary Sector (Manufacturing, Construction & Energy):

• Chemical & Chemical Products:

Category of Skills Skills

Core Skills Mechanical, Electrical skills

Allied Skills Instrumentation, boiler attendant,AOCP, lab attendants

Skills with acute shortage MSc/BSc chemists, Electronic Automation with understanding of PLC systems

• Metal & Mineral Processing:

Category of Skills Skills
Core Skills Fitter, Welder, Turner, Electrician

Allied Skills Melter, Boiler Operator

Skills with acute shortage PCB instrumentation

• Construction:
Category of Skills Skills
Core Skills Electricians, carpenters, barbenders, welders and masons

Allied Skills Minimally skilled workers

Skills with acute shortage Machine operators

Services:
• Banking & Financial Services:
Category of Skills Skills
Core Skills Knowledge on core banking/mobile/internet platforms

Allied Skills Sales & Marketing

Skills with acute shortage insurance underwriting, claims management

331
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

• Transportation :
Category of Skills Skills
Core Skills Heavy vehicle drivers, logistics management

Allied Skills Administrative, computer data management

Skills with acute shortage Scheduling and logistics planning

Primary Sector:

• Cultivation:
Category of Skills Skills
Core Skills Awareness about high yield varieties, micro nutrients and pest Control, Organic
farming and Vermi compost methods, Micro irrigation techniques
Allied Skills Knowledge on food processing techniques and related procedures to extract
greater value from farm produce

Skills with acute shortage Usage and repair of farm equipments, Marketing and management practice

• Agri- Allied Activities:

Category of Skills Skills
Core Skills Modern rearing techniques of live stock, piggery, goatery and fisheries

Allied Skills Knowledge on processing techniques

Skills with acute shortage Marketing and distribution of forest/animal husbandry produce

6.10.14.4. Human Resource Supply Scenario in the District

6.10.14.4.1. Estimation of Labour Force Supply
District-wise incremental supply has been determined based on net addition of labour force. Gross addition to
working age group population during 2012-17 and 2017-22 were determined based on Census 2011 age wise
population accounting for death rate and life expectancy normalized against population corrections in 2017 and 2022.
Applying labour force participation rates, considering the historical trends, gross additions to labour force were

332
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

estimated for the two time periods. Accommodating for retirement from the existing pool of labour force, net supply
to labour force has been estimated.

Jamnagar would experience a moderate human resource growth during 2012-22. Better employment prospects
within the district owing to industrialization would provide opportunities for local youth to be skilled and absorbed in
Jamnagar. Details of human resource growth estimations during 2012-22 are presented in the table 706.

Period Gross Addition to Working Gross Addition to Labour Net Addition to Labour
Age Population Force Force-Supply

2012-17 216,295 121,793 70,519

2017-22 196,327 112,300 54,753

6.10.14.4.2. Education and Training Potential in the District

District has around 1632 K12 schools out of which 1419 schools are government schools. The private schools
contribute to 13.05 percent of the total schools. The net enrolment ratio at the primary level and upper primary level
are significantly lower than the averages for the state 707.

Total Enrollments Primary Level Upper Primary Level Secondary Level Higher Secondary
in 209-10 (Std I-V) (Std VI-VIII) (Std IX-X) Level (Std XI-XII)
164,614 57,171 64,190 20,518
Jamnagar

Comparing the district’s enrolment statistics with state average indicates that the district is a low performer in the
primary education category 708
Region Net Enrolment Ratio (Primary Level) Net Enrolment Ratio (Upper Primary Level)
Jamnagar 65.4 36.1
Gujarat 85.4 50.7

In the vocation education segment, the district lags behind in the provision of vocational training in comparison to
state average. Private interest in the sector in this district is also very low indicating that the state must take
proactive measures in seeking private support to augment vocational training infrastructure 709.

706
KPMG Analysis
707
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat
708
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat
709
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat

333
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Region Number of Seat Vocational Training Private Sector

ITIs Capacity Capacity Density (Seats Participation in
Per 1000 Population) Vocational Training
Jamnagar 17 4,656 2.16 5%
Gujarat 711 138,106 2.29 26%

Given the unequal distribution of seats, capacity expansion in vocational education in Jamnagar district needs to be
focused on the tehsils of Jodiya, Dhrol, Kalyanpur, Lalpur, Kalavad and Khambhalia to bring them on par with the
district average in vocational education capacity 710.

Taluka Seat Capacity Vocational Training Private Sector

Capacity Density(Seats Participation in
Per 1000 Population) Vocational Training
Bhanvad 381 3.07 11%
Jamnagar 2482 2.88 6%
Jamjodhpur 344 2.58 0%
Okha Mandal 400 2.45 0%
Jodiya 181 1.78 25%
Dhrol 112 1.32 0%
Kalyanpur 236 1.30 0%
Lalpur 148 1.28 0%
Kalavad 160 1.04 0%
Khambhalia 212 0.90 0%
District Total 4656 2.16 5%

In the higher education segment, Jamnagar is home to an Ayurvedic University offering post graduate and diploma
courses in Ayurvedic medicines and pharmaceutical science, yoga and naturopathy. It has one medical college as
well as dental, physiotherapy and ayurvedic colleges in the district. There are 16 colleges offering Arts, Commerce,
Science, B.Ed & Law programs.

6.10.14.4.3. Demand-Supply Gap Analysis for the District

Incremental skill category wise supply for the periods 2012-17 and 2017-22 in the district are estimated based on net
output from higher education institutions (skilled), vocational training(semi skilled), minimally skilled (school
education) for periods 2012-17 and 2017-22 considering the LPR estimations for the districts in 15-59 age group and
retirement from existing labour force.

Based on the skill category human resource demand projections for 2012-22 and net supply potential, category wise
Demand-Supply gap estimations for the district are presented in the table below

Category Wise Demand-Supply Gap in the District (2012-22)

2012-17 2017-22
Sector Skilled Semi Minimally Total Skilled Semi Minimally Total

710
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat

334
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Skilled skilled Skilled skilled

Demand-Supply
Gap 133 28,472 481 29,083 (1,683) 20,918 11,759 30,996
*(Indicates excess supply)
6.10.14.4.4. Skill Development Potential through Government Endowments

According to KPMG estimates, based on the potential district budgetary allocation for various central government
schemes around 61 thousand people in total can be trained incrementally during the five year period of 2012-17.
Ministry of Agriculture and Ministry of Labour Schemes are expected to contribute to a significant share of the
training. Manpower training targets have predominant focus on primary sector considering the low level of industrial
development in the district. Private training providers have opportunities in livelihood training programs.

Government Funded Incremental Training Capacity (2012-17) - Jamnagar District 711

SJSRY 14156
SDI-MES 10727
M/O Agriculture 8570
Using Construction Cess 7008
SGSY 6856
Others 4112
D/O IT 3933
Credit Scheme 3754
Hunar Se Rozgar 1071
CSR Funds from Central PSUs 894
ISDS - Textiles 197
ART - M/o Tribal Affairs 70
SCA under TSP - M/o Tribal Affairs 42

6.10.14.5. District Specific Recommendations

Considering human resource potential and manpower requirements of the industry, the proposed action plan for
stakeholders in skill development has been recommended:

Stakeholder Action Points for Stakeholders

NSDC Focus on increasing participation from national/regional private skill training providers
with focus on the following sectors
• Transportation and Logistics

711
KPMG Analysis

335
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

• Healthcare
• Construction
• Hospitality and Tourism
District Provide skill training in conjunction with private skill training providers using government
Administration endowment training schemes
• Agri Allied Activities such as animal husbandry and fisheries
• Chemical and Chemical Products
• Construction
• Manufacturing of Construction Material
Private Skill Provide skill training in the sectors of
Training • Transportation and Logistics
Providers • Healthcare
• Construction
• Hospitality and Tourism
• Banking and Financial Services
Corporate Provide training for skills in those sector where the requirement for absorption within the
corporate is higher such as
• IT/ITES
• Construction
• Transportation and Logistics
Initiate and support modular employability skill training in collaboration with private
players/Government
Create placement linkage opportunities in training institutions

336
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

6.10.15. Skill Gap Assessment of Sabar Kantha District

6.10.15.1. Socioeconomic Profile
6.10.15.1.1. Administrative Profile

Sabar Kantha district is located in the

western part of the state with a geographical
spread of 7390 sq.km 712. District shares Sabar Kantha
border with Banaskantha, Mehsana,
Gandhinagar, Kheda, Panchmahal districts of
Gujarat and Rajasthan state in the North.
Administratively Sabar Kantha district is
divided into 13 talukas and 1376 villages 713
with Himatnagar as the district capital.
Himantnagar, Idar, Khedbrahma, Bhioloda,
Modasa, Bayad, Prantij, Meghraj, Talod,
Dhansura, Vijaynagar, Malpur and Vadali are
taluka regions in the district.
6.10.15.1.2. Demog
raphic Profile
Sabar Kantha is a moderate human resource potential region in Gujarat state. District has a total population of 24.27
lakhs 714 as per 2011 Census district accounting for 4 percent 715 of the overall state population. District has witnessed
a higher decadal population growth in comparison to the overall state. Sabar Kantha population has witnessed a
decadal growth rate of 24.43 percent 716 between 2001 and 2011 as against the state average of 19.17 percent 717
during the same period. Significant portion of district population lives in rural areas with these regions accounting for
nearly 85.04 percent 718 of the total population. Population spread in the district is marginally lower than the state
average with a density of 290 persons per sq.km 719 as against state average of 308 persons per sq.km 720. Analysis of
population distribution in the district as per 2001 census indicates higher human resource potential in the talukas of
Himantnagar, Idar, Khedbrahma, Bhioloda, Modasa and Bayad. Details of regional distribution of population in the
district are presented in the table.

712
Census 2011 Statistics
713
Census 2011 Statistics
714
Census 2011 Statistics
715
Census 2011 Statistics
716
Census 2011 Statistics
717
Census 2011 Statistics
718
Census 2011 Statistics
719
Census 2011 Statistics
720
Census 2011 Statistics

337
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Regional Distribution of Population in the District 721

Region Contribution to District Population Population Density
(2001) (Persons per Sq.km- 2001)
Himatnagar 12% 332
Idar 11% 292
Khedbrahma 11% 268
Bhiloda 10% 286
Modasa 9% 318
Bayad 9% 315
Prantij 7% 365
Meghraj 7% 260
Talod 7% 322
Dhansura 5% 246
Vijaynagar 4% 199
Malpur 4% 236
Vadali 4% 243

Gender composition of district population is relatively better than the state average. As per 2011 census, district has
a gender ratio of 936 females per 1000 males 722 as against the state average ratio of 918 females per 1000 males 723.
Gender ratio of district has increased from 930 females per 1000 males 724 in 2001 to 936 females per 1000 males 725
in 2011. Overall reserved categories contribute to 28.5 percent 726 of the total district population with scheduled tribes
comprising 20.18 percent 727 indicating the need to include a focus on development scheduled tribes within Sabar
Kantha district.

Education attainment levels in the district are relatively lower than the state average. As per 2011 estimates, the
district has registered an overall literacy rate of 76.60 percent 728 as against state average of 79.31 percent 729. The
district has been making considerable progress in achieving regional inclusion in literacy rates while gender inclusion
still remains a concern. Urban-rural literacy gap in Sabar Kantha is estimated to be 10.66 percent 730 comparable to
the state average of 14.58 percent 731. On the other hand, district still has a male-female literacy gap of 22.16

721
Census 2001Statistics, KPMG Analysis
722
Census 2011 Statistics
723
Census 2011 Statistics
724
Census 2011 Statistics
725
Census 2011 Statistics
726
Census 2001Statistics, KPMG Analysis
727
Census 2001Statistics, KPMG Analysis
728
Census 2011 Statistics
729
Census 2011 Statistics
730
Census 2011 Statistics
731
Census 2011 Statistics

338
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

percent 732 percent as against 16.5 percent 733 for Gujarat state. Continuing disparities in education attainment levels
indicate a need for greater focus on female population. Increasing focus on literacy would create demand for
education and training facilities within the district to support the economic growth of the region.

6.10.15.1.3. Economic Profile

Sabar Kantha district of Gujarat is not considered an extremely industrial region and a majority of its occupants
depend on agriculture and dairy farming for their sustenance. As a result of this, the region does host dairy
companies, such as Sabar Dairy, and agriculture related industries, such as Pathik Agrotech. The region, however, is
emerging as a significant producer of bauxite, clay and silica sand, which is paving way for new investment
opportunities in the fields of fine bricks, crockery and vitrified tiles.

Investments in Sabar Kantha are relatively lower compared to major hubs like Rajkot and Surat. A total of INR 1086
Cr 734 has been commissioned with the Prantij and Himatnagar talukas being the largest recipients. Idar, Talod and
Modsa talukas have seen also seen large scale investments, currently under implementation, that would lead to the
development of industrial activity in these districts. Details about the large scale investment scenario are provided
below:
Large Scale Investment Scenario In Sabar Kantha 735
Region Commissioned Under Implementation
No. of Units Investment No. of Units Investment (
( INR Cr) INR Cr)
Himatnagar 28 432 21 365
Prantij 24 589 3 21
Talod 2 9 2 124
Idar 1 1 6 488
Modsa 1 44 3 374
Not Classified 1 11 3 107
District Total 57 1086 38 1479

Small scale industries in the region have seen the largest apportioning of investments when compared to micro and
medium scale industries, seeing investments to the tune of INR 43658 lakhs 736. The total investments in the MSMEs
front sum to INR 65717 lakhs 737, benefiting over 1443 units 738. Over 90% of the investments have been targeted at
manufacturing units.

Details about the MSME investment scenario are tabulated below:

732
Census 2011 Statistics
733
Census 2011 Statistics
734
IEM, MSME Part-II Data till 2012-13
735
IEM, MSME Part-II Data till 2012-13
736
IEM, MSME Part-II Data till 2012-13
737
IEM, MSME Part-II Data till 2012-13
738
IEM, MSME Part-II Data till 2012-13

339
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

MSME Investment Scenario in Sabar Kantha 739

Category of Industries Number of Units Investment In Rs. Lakhs
Micro 1,142 14,235
Small 291 43,658
Medium 10 7,824
Total 1,443 65,717
Manufacturing Sector Units 1,185 59,297
Service Enterprises 258 6,421

By volume, Textile & Apparel comprises of the largest segment amongst the MSME manufacturing units. This
category sees 11.2% of the total investments in the space, but the segment which attracts the largest portion of the
investment is Mining & Quarrying, receiving 26.6% of the total. Agro & Food processing forms 7.3% of the total
number of MSME manufacturing units and witnesses 7.9% of the total investment. The charts below provide a
detailed look into the MSME manufacturing units’ space and the investment pattern in the same:

Composition of MSME Manufacturing Units in the District 740

Composition of MSME Manufacturing Units Composition of Investments in MSME
Manufacturing Units

Agri-Allied
Auto-Auto Activities
Components Manufacturin
3.9% g of Auto-Auto
Manufacturing 0.8%
of Engineering Mining & Engineering Construction Components
Construction Quarrying Goods 0.3% 0.1%
Goods 0.2%
8.4% 14.3% 5.3% Agri-Allied
Eletrical & Eletrical & Activities
Mineral Eletronics
Eletronics 6.4%
Prosessing & 2.0%
8.2%
Fabrication Mining &
14.6% Quarrying
Mineral 26.6%
Rubber & Plastics
3.8% Agro & Food Prosessing &
Processing Fabrication
7.3% Rubber &
Plastics 19.8%
5.6%
Chemical &
Chemical
Products Chemical &
5.7% Textile & Apparel Chemical
24.5% Products
6.4% Paper &
Paper & Paper
Paper
Products Wooden Products Textile & Agro & Food
Wooden Products
2.8% & Furniture Apparel Processing
Products & 5.6%
5.6% Furniture 11.2% 7.9%
2.8%

While the level of organized investments in services enterprises is low as evident from the MSME Part-II statistics,
whole sale and retail trade has seen considerable investments in the district. Composition of MSME service
enterprises and investments are presented in the chart.

739
IEM, MSME Part-II Data till 2012-13
740
IEM, MSME Part-II Data till 2012-13

340
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Composition of MSME Services Units in the District 741

Composition of MSME Service Enterprises Composition of Investments in MSME Service

Enterprises
Hospitality and
Hospitality and Tourism IT-
Tourism 7.1% ITES
2.7% IT- ITES Whole sale &
3.9% 0.2%
Retail Trade
Printing & 12.9%
Publishing Other
7.8% Services
10.5%

Printing &
Publishing
6.5%
Other Services
73.3%

Whole sale &

Retail Trade
75.2%

Sabar Kantha has the National Highway 8 which connects it with Ahmadabad, Vadodara, Surat and Gandhinagar.
There are 24 railway stations in the district connecting it with major cities of Gujarat and South Rajasthan. The
nearest airport is at Ahmadabad.

The district consists of several historic locations, such as the Ruthi Rani Mahal, Sir Pratap Singh Palace and the
Shrimad Rajchandra Vihar. The Shantinath Temple and Shamlaji temple are sacred sites in the region. Nature lovers
are also attracted to the Polo forest in the Sabar Kantha district, which further bolster tourism in the area

With respect to medical facilities and institutions, Sabar Kantha is deemed to be a district with high penetration. The
people catered by each hospital ratio falls a little higher than 24,000, ranking it 5th best in the state. There are 63
primary healthcare centers and 21 community healthcare centers 742. There are the Seva Tribal hospital and the Civil
hospital that confer medical aid in the region. There also exists the Government Ayurvedic hospital for alternate
therapy.

The region does not enjoy the same comforts in the financial sector with Sabar Kantha rated as a low penetrated
district. With 161 total banks, each institution on an average is required to cater to 15,077 people 743. There is a
gradual growth in the number of banks; the figures reflecting the same have grown at 6.4% CAGR between 2007 and

741
IEM, MSME Part-II Data till 2012-13
742
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
743
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07

341
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

2012. In this period, deposits and credit amounts have grown faster at 24.5% and 26.4% and currently rest at INR
3,950 Cr. and INR 2,921 Cr 744 respectively.

The Sabar Kantha district falls under the North Gujarat agroclimatic zone, characterized by medium rainfall from the
south-west monsoon during the months from June to September. 445000 hectares from the total 730000 hectares
have been classified as cultivable. Over 50% of the soil is found to be of the black soil type with 26% constituted by
sandy loam. Of the net sown area of 445000 hectares 745, 79000 hectares are sown more than once and result in a
cropping intensity of 118%.

The district has a total rainfed area of 282000 hectares and 163000 hectares is the net irrigated area. Open wells are
found to be the largest source of irrigation in Sabar Kantha, contributing to over 50% of the total irrigated area 746.
Studies on the groundwater availability have flagged the water at Idar as overexploited and that in Meghraj, Modasa
and rest of the block to be either critical or semi-critical. Farmers need to be trained to conserve water and to adopt
best practices in times of contingency to help accrue the water for the future.

The region cultivates fruits, such as mango, ber, citrus, sapota and aonla; as well as vegetables and medicinal crops
like cucurbits, okra, ginger and turmeric. Conducive soil conditions facilitate the growth of cotton, leading to an
average production of nearly 300000 tonnes of cotton lint.

Livestock in the region amount to over 18,00,000 animals, with the majority being constituted by graded buffalos at
43%. Goats and sheep together form 23% of the total livestock population in the district 747.

6.10.15.2. Workforce Distribution in the district

District has high level of dependency on agricultural activities for livelihood generation with three fourths of the total
workforce engaged in this sector. Considering the low level penetration of manufacturing sector at 4.43 percent
employment generation as against the state average of 15.86 percent, district has potential to become a sourcing hub
for trained manpower. While the total worker participation rate is better than the state average, high manpower
requirements in agrarian activities due to low output efficiency indicates the level of under employment in this
category. Comparison of workforce distribution scenario in Sabar Kantha and Gujarat is presented in the table 748.

Percentage of Employment
Region Labour Force Workforce Primary Secondary
Participation Participation Sector Sector Tertiary Sector
Sabar Kantha 60.6% 45.16% 76.45% 4.43% 19.12%
Gujarat 59.27% 41.95% 59.34% 15.86% 24.8%

744
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
745
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
746
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
747
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
748
KPMG Analysis

342
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Registered factories and service enterprises have created over 21 thousand employment opportunities in the district.
While the overall manufacturing base is low, high level of unorganized activity has further reduced organized job
prospects in manufacturing sector within the district.

Organized Employment in Sabar Kantha 749

Category of Industries Employment
Large Scale Industries (Commissioned + Under Implementation) 14072
MSME Category 13131
Manufacturing Units 12138
Service Enterprises 993
Total 27203

Regional and sectoral analysis of large scale industrial employment indicates a clear concentration of employment in
key sectors. Himatnagar and Prantij account for a majority share of employment in this category. Textile and Apparel,
Manufacture of Construction Material and Agro and Food Processing are major employment generating segments
within the district. Regional and sectoral break up of large scale industrial employment is presented in the chart

Large Scale Industrial Employment Overview in the District 750

Regional Distribution of Large Scale Composition of Employment in Large Scale
Industrial Employment Hospitality andIndustries
Tourism
4% Agro & Food
Not Classified
Modsa Processing
5%
4% 19%

Idar
Talod
7% Construction
2%
Material
Himatnagar 33%
37%
Textile &
Apparel
22%
Manufacturing of
Engineering Paper & Paper
Prantij Goods Products
45% 3% Mineral Chemical & 2%
Eletrical & Prosessing & Chemical
Eletronics Fabrication Products
5% 2% 5%

Among the manufacturing units in MSME segment Mining and Quarrying, Mineral Processing and Fabrication,
Textiles and Apparels and Agro & Food Processing have accounted for majority share of the employment in all the
categories of industries. Whole sale & retail trade, Publishing & printing and hospitality are major employment
generating sectors within tertiary enterprises. Details of sector wise industrial employment in manufacturing and
services MSME units as per 2012 statistics are presented in the chart.

749
IEM, MSME Part-II Data till 2012-13
750
IEM, MSME Part-II Data till 2012-13

343
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

MSME Employment Overview in the District 751

Composition of Employment in MSME Composition of Employment in MSME
Manufacturing Units Service Enterprises
Manufacturing of
Engineering Auto-Auto
Goods Construction Components
6.0% 0.3% 0.5% Agri-Allied Hospitality
Eletrical & Activities and Tourism
Eletronics 7.0% 10.9%
3.7% Mining &
IT- ITES
Quarrying
1.9%
18.6%

Mineral Other
Prosessing & Services
Fabrication 38.8%
20.2%
Agro & Food
Processing
Rubber & Plastics 8.5% Whole sale &
3.6% Retail Trade
35.2%
Chemical &
Chemical
Wooden Products Paper & Paper
Products & 7.0% Products Printing &
Furniture Textile & Apparel
4.0% Publishing
3.3% 17.2%
13.2%

6.10.15.3. Human Resource Requirement Projections in Sabar Kantha (2012-22)

Incremental manpower requirement in the district of Sabar Kantha has been estimated based on several parameters
such as investments trends, national level benchmarks on industrial growth across sectors, state manufacturing
policy targets, performance of state against economy targets, national level inclusion targets for certain sectors,
employment generation potential of various sectors based on labour elasticity and market based insights from
discussions with industries in Sabar Kantha. Based on the analysis of current state of workforce distribution and
potential employment opportunities in various sectors incremental manpower requirement in key primary, secondary
and tertiary segments is estimated for the periods 2012-17 and 2017-22. Further, manpower requirement is classified
into skilled, semi skilled and minimally skilled categories considering the present level of employment in these
categories for respective sectors and analysis of expected developments in the industry that would lead to significant
realignment of the categories. Detailed approach for manpower estimations is presented in the appendix and specific
factors for estimation are discussed below.

Primary Sector:

Considering the increasing level of farm mechanization and sharing agricultural land usage, period between 2012 and
2022 would witness a net outflow of workforce from the agricultural activities. Agricultural workforce displacement
is expected to be significant in marginal workers category. A significant portion of the workforce would engage in
agri-allied activities depending on the availability of allied resources and migrational constraints. Incremental
manpower requirement for the agri-allied activities is estimated considering the following parameters

751
IEM, MSME Part-II Data till 2012-13

344
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

• Current level of employment in agricultural activities(farmers, agricultural laborers)

• Estimated displacement factors for agricultural workforce based on Planning Commission Projections for
2012-17 and 2017-22 periods and analysis of level of mechanization and allied factors in Gujarat
• Employment potential in agri-allied activities in the district considering the level of involvement in the
respective activities and regional conditions

Manufacturing Sector:

Manpower requirement in secondary sector is driven by investments and output growth. Various factors including
analysis of manufacturing, sub sector policies, investment trends, availability of resources, are considered for the
incremental manpower estimation in different subsectors of manufacturing in the district. Human resource
requirement projections for manufacturing sub sectors in the district are estimated considering the following
parameters

• Manufacturing growth targets for Gujarat for 2012-17 and 2017-22(Increasing secondary sector share in
GSDP to 32% by 2017)
• Identifying key growth sub segments within the district based on study of existing industrial base, primary
interactions
• Estimation of growth targets for the district based on analysis of investment trends in the district in
comparison to the state, available infrastructure, policy thrust on key manufacturing segments identified for
the district
• Labour elasticity factors in the potential sectors for the district

Tertiary Sector:

Employment growth in some of the services sector is driven by Government thrust in terms of budgetary allocations to
achieve inclusion targets in education, healthcare and banking while the other segments including hospitality and
tourism, financial intermediation, communication, retail would depend on the level of economic activity in the region
resulting in high or low spending capacity of population. Also segments like IT-ITES, transportation & logistics are
driven by investments into infrastructure and manpower. Hence human resource requirement projections for services
sub sectors would have specific approaches depending on the growth drivers for the segments in the district.
Detailed methodology for estimation of manpower in services sub-segments is presented in the appendix.

Based on the analysis of socio economic conditions, investment scenario and availability resources incremental
manpower requirement has been estimated for the following sectors.

Primary Sector

• Agriculture & Allied Activities( Horticulture, Sericulture, Animal Husbandry and Fisheries)

Secondary Sector

• Textile and Apparel

• Manufacturing of Engineering Goods( Including Auto & Auto Components)
• Chemical & Chemical Products(Including Petro Chemicals)

345
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

• Drugs & Pharmaceuticals

• Agro & Food Processing
• Electrical and Electronics
• Mineral Processing & Fabrication
• Construction Material(Cement, Ceramics)
• Rubber & Plastics
• Paper & Paper Products
• Infrastructure(Construction)

Tertiary Sector

• IT-ITES
• Transportation & Logistics(including port based logistics)
• Banking & Financial Services
• Organized Retail
• Hospitality & Tourism
• Healthcare
• Education & Training

Incremental manpower requirements for the priority sectors in SabarKantha district are presented in the table 752.

Sector 2012-17 2017-22

Skilled Semi Minimally Total Skilled Semi Minimally Total
Skilled skilled Skilled skilled
Agriculture &
Allied Activities NA NA 25405 25405 NA NA 21275 21275
Agro & Food
Processing 99 397 496 991 89 355 443 887
Textile & Apparel 111 445 556 1111 99 398 497 994
Wooden Products
& Furniture 9 35 44 87 8 31 39 78
Paper & Paper
Products 16 62 78 156 14 56 70 139
Chemical &
Chemical
Products 34 135 168 337 30 120 151 301
Rubber & Plastics 12 46 58 116 10 42 52 104
Mineral
Processing &
Fabrication 109 438 547 1094 98 391 489 978
Electrical &
Electronics 25 101 127 253 23 91 113 227
Manufacturing of
Engineering 27 108 135 269 24 96 120 241

752
KPMG Analysis

346
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Goods
Manufacturing of
Construction
Material 100 400 500 999 89 358 447 894
Misc.
Manufacturing 9 37 47 93 8 33 42 83
Construction 538 1077 9152 10767 482 963 8186 9630
Trade and Retail 870 1304 6522 8696 951 1426 7129 9506
Transportation &
Logistics 469 7449 8863 16781 384 6095 7251 13730
Hospitality &
Tourism 781 1172 5858 7810 625 937 4686 6248
Banking &
Financial
Services 1953 5858 NA 7811 1367 4101 NA 5468
Healthcare 602 2708 NA 3310 802 4009 NA 4811
Education &
Training 1119 7531 NA 8650 1678 4519 NA 6197

Skill requirements in key growth sectors have been analyzed based on industry interactions to understand the
detailed manpower needs. Sector level skill interventions are indicated in the section below 753.

Secondary Sector (Manufacturing, Construction & Energy):

• Textile & Apparel:

Category of Skills Skills

Core Skills Ring frame operator, weaver, processing operator (CDR,BDR,Stuntor), Bar-
coding machine operator

Electrician, Wireman, Fitter

Allied Skills
The industry has high attrition rates in operator roles (semi skilled) owing to
Skills with acute shortage extreme working conditions.

• Food Processing:
Category of Skills Skills

Core Skills Fitter, Electrician, Wireman, Instrumentation, Lab Technician

Allied Skills Instrumentation, Packaging (Jar, Pouch) Operator, AOCP, Lab Attendant, Boiler
Operator, QC Chemists

753
KPMG Analysis

347
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Skills with acute shortage PPO is required in industries having in house packing development.

• Metal & Mineral Processing:

Category of Skills Skills
Core Skills Fitter, Welder, Turner, Electrician

Allied Skills Melter, Boiler Operator

Skills with acute shortage PCB instrumentation

• Construction:
Category of Skills Skills
Core Skills Electricians, carpenters, barbenders, welders and masons

Allied Skills Minimally skilled workers

Skills with acute shortage Machine operators

Services:
• Banking & Financial Services:
Category of Skills Skills
Core Skills Knowledge on core banking/mobile/internet platforms

Allied Skills Sales & Marketing

Skills with acute shortage insurance underwriting, claims management

• Transportation :
Category of Skills Skills
Core Skills Heavy vehicle drivers, logistics management

Allied Skills Administrative, computer data management

348
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Skills with acute shortage Scheduling and logistics planning

• Education:
Category of Skills Skills
Core Skills School teachers, higher education faculty

Allied Skills Knowledge on advanced teaching tools

Skills with acute shortage Technical education trainers

Primary Sector:

• Cultivation:
Category of Skills Skills
Core Skills Awareness about high yield varieties, micro nutrients and pest Control, Organic
farming and Vermi compost methods, Micro irrigation techniques
Allied Skills Knowledge on food processing techniques and related procedures to extract
greater value from farm produce

Skills with acute shortage Usage and repair of farm equipments, Marketing and management practice

• Agri- Allied Activities:

Category of Skills Skills
Core Skills Modern rearing techniques of live stock, piggery, goatery and fisheries

Allied Skills Knowledge on processing techniques

Skills with acute shortage Marketing and distribution of forest/animal husbandry produce

6.10.15.4. Human Resource Supply Scenario in the District

6.10.15.4.1. Estimation of Labour Force Supply

349
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

District-wise incremental supply has been determined based on net addition of labour force. Gross addition to
working age group population during 2012-17 and 2017-22 were determined based on Census 2011 age wise
population accounting for death rate and life expectancy normalized against population corrections in 2017 and 2022.
Applying labour force participation rates, considering the historical trends, gross additions to labour force were
estimated for the two time periods. Accommodating for retirement from the existing pool of labour force, net supply
to labour force has been estimated.

Sabar Kantha is among the districts with moderately high human resource growth potential during 2012-22. Being a
district with limited employment prospects, opportunities for absorbing the labour force have to be created through
adequate skills. Details of human resource growth estimations during 2012-22 are presented in the table 754.

Period Gross Addition to Working Gross Addition to Labour Net Addition to Labour
Age Population Force Force-Supply

2012-17 255,224 163,435 90,320

2017-22 250,323 161,398 70,127

6.10.15.4.2. Education and Training Potential in the District

The district has the highest number of K12 schools amongst all districts of Gujarat. It has around 2893 K12 schools
out of which the share of government schools is 88.56 percent. The net enrolment ratio of the district is higher than
the state averages at both primary level and upper primary level 755.l

Total Enrollments Primary Level Upper Primary Level Secondary Level Higher Secondary
in 2009-10 (Std I-V) (Std VI-VIII) (Std IX-X) Level (Std XI-XII)
Sabar Kantha 261508 93517 118793 40537

Comparing the district’s enrolment statistics with state average indicates that the district is a strong performer in the
primary education category 756

Region Number of Seat Vocational Training Private Sector

it is Capacity Capacity Density (Seats Participation in
Per 1000 Population) Vocational Training
Sabar Kantha 47 8,382 3.45 29%
Gujarat 711 138,106 2.29 26%

754
KPMG Analysis
755
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat
756
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat

350
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

In the vocation education segment, the district is ahead in the provision of vocational training in comparison to state
average. Private interest in the sector in this district is high indicating that the state must take proactive measures in
further increasing private support to improve vocational training infrastructure 757.

Given the unequal distribution of seats, capacity expansion in vocational education in Sabar Kantha district needs to
be focused on the tehsils of Khedbrahma, Dhansura, Bayad, Meghraj, Vadali, Taro to bring them on par with the
district average in vocational education capacity 758.
Taluka Seat Capacity Vocational Training Private Sector
Capacity Density(Seats Participation in
Per 1000 Population) Vocational Training
Modasa 2320 10.37 8%
Bhiloda 1180 4.91 42%
Vijaynagar 392 3.71 49%
Himatnagar 1108 3.70 17%
Prantij 576 3.37 78%
Malpur 332 3.31 63%
Idar 738 2.68 53%
Khedbrahma 588 2.26 29%
Dhansura 228 2.03 33%
Bayad 380 1.75 11%
Meghraj 284 1.72 0%
Vadali 128 1.34 0%
Talod 128 0.80 0%
District Total 8382 3.45 29%

The district has 5 pharmacy colleges, 1 engineering college and 23 arts and science, commerce colleges in the
district.

6.10.15.4.3. Demand-Supply Gap Analysis for the District

Incremental skill category wise supply for the periods 2012-17 and 2017-22 in the district are estimated based on net
output from higher education institutions (skilled), vocational training(semi skilled), minimally skilled (school
education) for periods 2012-17 and 2017-22 considering the LPR estimations for the districts in 15-59 age group and
retirement from existing labour force.

Based on the skill category human resource demand projections for 2012-22 and net supply potential, category wise
Demand-Supply gap estimations for the district are presented in the table below

Category Wise Demand-Supply Gap in the District (2012-22)

2012-17 2017-22
Sector Skilled Semi Minimally Total Skilled Semi Minimally Total

757
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat
758
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat

351
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Skilled skilled Skilled skilled

Demand-Supply
Gap (5,973) 19,336 (8,942) 4,416 (6,665) 12,358 5,972 11,664
*(Indicates excess supply)

6.10.15.4.4. Skill Development Potential through Government Endowments

According to KPMG estimates, based on the potential district budgetary allocation for various central government
schemes, around 71 thousand people in total can be trained incrementally during the five year period of 2012-17.
Ministry of Agriculture and Ministry of Labor Schemes are expected to contribute to a significant share of the
training. Manpower training targets should focus on the primary sector considering the low level of industrial
development in the district. Private training providers can explore opportunities in livelihood training programs.

Government Funded Incremental Training Capacity (2012-17) - Sabar Kantha District 759

M/O Agriculture 14885

SDI-MES 12060

SGSY 11908

Using Construction Cess 7216

SJSRY 5294

Others 4623

D/O IT 4422

Credit Scheme 4221

ART - M/o Tribal Affairs 2809

SCA under TSP - M/o Tribal Affairs 1685

CSR Funds from Central PSUs 1005

Hunar Se Rozgar 782

ISDS - Textiles 570

6.10.15.5. District Specific Recommendations

759
KPMG Analysis

352
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Considering these factors, the proposed action plan for stakeholders in skill development in the district would
indicate the following priority areas:

Stakeholder Action Points for Stakeholders

NSDC Focus on increasing participation from national/regional private skill training providers
with focus on the following sectors
• Transportation and Logistics
• Healthcare
• Construction
• Hospitality and Tourism
• Banking and Financial Services
District Provide skill training in conjunction with private skill training providers using government
Administration endowment training schemes
• Mining and Quarrying
• Agro and Food Processed
• Textile and Apparel
• Mineral Processing and Fabrication
• Electrical and Electronics
Private Skill Provide skill training in the sectors of
Training • Transportation and Logistics
Providers • Healthcare
• Construction
• Hospitality and Tourism
• Banking and Financial Services
Corporate Provide training for skills in those sector where the requirement for absorption within the
corporate is higher such as
• Construction
• Retail
• Transportation and Logistics
Initiate and support modular employability skill training in collaboration with private
players/Government
Create placement linkage opportunities in training institutions

353
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

6.10.16. Skill Gap Assessment of Surat District

6.10.16.1. Socioeconomic Profile
6.10.16.1.1. Administrative Profile

Surat is a coastal district in Gujarat

located in the southern part of the
state with a geographical spread of
4327 sq.km 760. District shares border
with Bharuch, Narmada, The Dangs,
Navsari districts of Gujarat and
Maharashtra state along with coastal
line along Arabian Sea.
Administratively Surat district is
divided into 10 talukas and 707
villages 761 with Surat city as the
district capital. Choryasi, Palsana, Surat
Kamrej, Bardoli, Olpad, Mangrol,
Mandvi and Surat city are taluka
regions in the district.

6.10.16.1.2. Demographic Profile

Surat is a high human resource potential region in Gujarat state. District has a total population of 60.79 lakhs 762 as
per 2011 Census making it the second most populated district in state. Surat has witnessed the highest decadal
population growth among the districts of Gujarat. District population has witnessed a decadal growth rate of 42.19
percent 763 between 2001 and 2011 as against the state average of 19.17 percent 764 during the same period. Surat is
second most urbanized district in the state after Ahmedabad. A significant portion of district population lives in urban
areas accounting for nearly 79.68 percent 765 of the total population. Population spread in the district is significantly
higher than the state average with a density of 1376 persons per sq.km 766 as against state average of 308 persons
per sq.km 767. Analysis of population distribution in the district as per 2001 census indicates higher human resource
potential in the talukas of Surat and Chorasi. Details of regional distribution of population in the district are
presented in the table.

760
Census 2011 Statistics
761
Census 2011 Statistics
762
Census 2011 Statistics
763
Census 2011 Statistics
764
Census 2011 Statistics
765
Census 2011 Statistics
766
Census 2011 Statistics
767
Census 2011 Statistics

354
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Regional Distribution of Population in the District 768

Region Contribution to District Population Population Density
(2001) (Persons per Sq.km- 2001)
Surat 57% 21676
Chorasi 14% 1101
Bardoli 5% 558
Mandvi 4% 254
Olpad 4% 272
Kamrej 4% 455
Mangrol 4% 293
Mahuva 3% 402
Palsana 3% 599
Umarpada 2% 262

Gender composition of district population is highly skewed in comparison to the state average. As per 2011 census
district has a gender ratio of 788 females per 100 males 769 as against the state average ratio of 918 females per 1000
males 770. Gender ratio of the district has increased from 930 females per 1000 males 771 in 2001 to 936 females per
1000 males 772 in 2011. High levels of male migration into the industrial clusters of Surat are a key reason for
increasingly biased population composition in the region. Overall reserved categories contribute to 31.58 percent 773 of
the total district population with scheduled tribes comprising of 28.19 percent 774 indicating the need for inclusion
focus on development of scheduled tribes within Surat district.

Education attainment levels in the district are amongst the highest in Gujarat. As per 2011 estimates, the district has
registered an overall literacy rate of 86.65 percent 775 as against state average of 79.31 percent 776. It has been making
considerable progress in achieving regional and gender inclusion in literacy rates. Urban-rural literacy gap in Surat is
estimated to be 10.87 percent 777 comparable to the state average of 14.58 percent 778. Similarly, district still has a
male-female literacy gap of 10.03 percent 779 as against 16.5 percent 780 for Gujarat state. Increasing focus on literacy
would create demand for education and training facilities within the district to support the economic growth of the
region.

768
Census 2001Statistics, KPMG Analysis
769
Census 2011 Statistics
770
Census 2011 Statistics
771
Census 2011 Statistics
772
Census 2011 Statistics
773
Census 2001Statistics, KPMG Analysis
774
Census 2001Statistics, KPMG Analysis
775
Census 2011 Statistics
776
Census 2011 Statistics
777
Census 2011 Statistics
778
Census 2011 Statistics
779
Census 2011 Statistics
780
Census 2011 Statistics

355
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

6.10.16.1.3. Economic Profile

Surat’s industrial landscape is dotted with a large number of petrochemicals, textiles and diamond processing
related industries. The district contains 5 demarcated Special Economic Zones, 4 industrial parks and 16 industrial
estates. This largely industrialized district has obtained worldwide recognition and fame as a premium diamond
processing hub, handling 10 out of 12 varieties of diamond that currently exist in the world. The district plays a major
role in India’s diamond trade. The district’s textile sector also contributes significantly to the man-made fiber
production and exports.

Surat’s promising industrial scene has also induced large scale investments in the region. Analysis of the large scale
investment scenario indicates that the industrial growth has been largely concentrated in a few talukas like
Chorayasi. However, through incentivization and promotions, other talukas like Surat and Kamrej are witnessing
investments that would lead to the industrial development of the areas. The table below provides further details
about the large scale investment scenario in the district:

Large Scale Investment Scenario In Surat 781

Commissioned Under Implementation
Region Investment Investment (
No. of Units No. of Units
( INR Cr) INR Cr)
Surat 283 1612 352 16543
Mangrol 162 607 54 9078
Chorayasi 153 24640 49 12204
Palsana 148 1795 75 1707
Mandvi 146 433 26 671
Olpad 35 141 29 4613
Mahuva 13 109 1 2
Bardoli 9 116 18 304
Kamrej 5 47 11 18965
Umarpada 1 0
Not Classified 4 1030 28 3339
District Total 958 30530 644 67426

The district’s industrial nature provides a window for a slew of supplementary units, thereby increasing the scope for
the establishment of MSMEs. As per the MSME investment Part–II statistics, there are 58163 units in the district
that have attracted investments to the tune of INR 13, 08, 256 lakhs in 2012.

Investment outlook in MSME segment of Narmada district is presented in the table.

MSME Investment Scenario in Surat 782

Category of Industries Number of Units Investment In Lakhs
Micro 51,478 526,013
Small 6,440 585,084

781
IEM, MSME Part-II Data till 2012-13
782
IEM, MSME Part-II Data till 2012-13

356
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Medium 245 197,159

Total 58,163 1,308,256
Manufacturing Sector Units 41,073 1,202,432
Service Enterprises 17,090 105,824

Textiles & Apparel related manufacturing units form the majority with regards to the number of units as well as the
amount of investment attracted. Over 85% of the units fall under the Textiles & Apparel category and obtain 86% of
the total investments made in the MSME space. The category-wise split and investment pattern are illustrated in the
charts below:

Composition of MSME Units in the District 783

Composition of MSME Manufacturing Units Composition of Investments in

MSME Manufacturing Units

Eletrical & Manufacturing of

Eletronics Rubber & Manufacturin
Engineering Mineral
0.4% Plastics g of
Goods Prosessing &
Construction 1.4% Engineering
1.9% Chemical & Fabrication
1.6% Goods Construction
Mineral Mining & Chemical 1.7%
Rubber & Prosessing & Products 1.4% 0.5%
Quarrying
Plastics Fabrication 0.4% 1.7%
0.7% 1.9% Agro & Food
Processing Paper &
Agro & Food
Chemical & 1.0% Paper
Processing
Chemical Products
1.4%
Products 0.7%
Wooden
1.2%
Wooden Products &
Products & Furniture
Furniture 4.2%
3.3%

Textile &
Textile & Apparel Apparel
86.9% 86.0%

While the level of organized investments in services enterprises is low in comparison to that of manufacturing sector
enterprises, services sector activity is one of the highest in the state. Whole sale and retail trade is the largest
investment category in services sector in the district. Composition of MSME service enterprises and investments are
presented in the chart

783
IEM, MSME Part-II Data till 2012-13

357
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Composition of MSME Service Enterprises in the District 784

Composition of MSME Service Composition of Investments in MSME

Printing &
Enterprises Service Enterprises
Publishing Other Services Hospitality and
Hospitality and
1.8% 6.5% Tourism IT- ITES
Tourism
0.4% 2.7% 1.1%
Fianancial
Services IT- ITES
1.8% 1.0%
Transportation
1.3% Other Services
15.0%

Printing &
Publishing
19.9%

Whole sale &

Retail Trade
59.3%
Transportation
Whole sale & 1.0%
Retail Trade Fianancial
87.1% Services
1.1%

Tourism is a significant proponent of growth in Surat. The district accounted for 4.29% of the total tourist inflow in
Gujarat during 2006/07 and has grown since. Historical locations like the Surat Castle and the Mughalsarai combined
with ornately carved mosques and Parsi agiaris act as major attractors of tourist in the region. The Hazira bean and
Dumas beach are other tourist spots in Surat.

Apart from tourism, the IT/ITES sector is envisaged as a rising sector in Surat. There is a proposal for an industrial
center in Surat called Surat-Navsari Industrial area which has an IT/ITES/Biotech hub. The major investment avenues
in the IT/ITES sector are in Software Development Centers, Business Process Outsourcing (BPO), Knowledge Process
Outsourcing (KPO) and Educational Training Centers.

Surat’s connectivity to major cities like Mumbai, Delhi and Ahmedabad through NH 8 helps facilitate the growth of
tourism in the district. The rail network helps connect Surat with other areas in Gujarat, like Tapi, Ahmedabad,
Bharuch, Vadodara and Valsad; while also providing lines to reach Mumbai. There is a domestic airport located in
Surat connecting the district to Delhi, Jaipur and Ahmedabad. There are ports located at Magdalla and Hazira.

With regards to healthcare, Surat is ranked as the lowest penetrated district, with 63,325 people 785 having access to
one hospital on average. This could be attributed to the relatively higher population of Surat compared to the other
districts, but it still identifies a sector that has potential to generate employment. Training and preparatory courses
are required to develop a workforce capable of enter the healthcare services sector. At present, the district has 50

784
IEM, MSME Part-II Data till 2012-13
785
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07

358
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

primary healthcare centers, 13 community healthcare centers, 4 hospitals and 16 dispensaries. Apart from the above,
there are specialized hospitals for TB and cancer detection 786.

There is also scope for development in financial services, with Surat falling a little below the average penetration in
the state; each financial institution is required to cater to roughly 13,000 people 787 in the district. Currently, Surat has
a total of 468 bank offices with a total deposit of 29,210 Cr INR and a total credit of 23,887 Cr INR as of March 2012.

Surat is located in the South Gujarat agro-climatic zone, characterized by above average rainfall of 974mm. The
region experiences semi-arid to dry sub-humid weather variations. The soil consists largely of the deep black and
coastal alluvium types. The geographical area sums up to a total over a little over 400000 hectares 788 of which over
76% is cultivable area 789 The proliferation of irrigation is high in the district with 2 hectares of land irrigated for every
hectare of rain fed land. Over 1000 km of canals have been set up in the region instrumental in providing two-thirds
of the cumulative irrigation.
Amongst horticultural crops, banana is cultivated over 10000 hectares with the district being one of the largest
producers, followed by mango 790. Brinjal and okra are the leading vegetables grown in the region with the district
topping production of these two commodities in the state. The major kharif crop is rice and that in the rabi season is
sugarcane incentivizing setting up of sugar processing facilities in the district. Livestock comprises 579071 animals,
including cattle, buffalos, sheep, goat and others.

6.10.16.2. Workforce Distribution in Surat district

Being a highly industrialized district, Surat has made significant progress towards reducing dependency on
agriculture. Nearly one third of the total workforce is dependent on secondary sector activities. Further, total work
force participation rate is higher than the state average unlike most of the urban regions in India. Higher participation
rates are attributed to significant women employment in textile units. Comparison of workforce distribution scenario
in Surat and Gujarat is presented in the table 791.
Percentage of Employment
Region Labour Force Workforce Primary Secondary
Participation Participation Sector Sector Tertiary Sector
Surat 65.04% 43.69% 44.84% 31.56% 23.6%
Gujarat 59.27% 41.95% 59.34% 15.86% 24.8%

Organized secondary sector employment has contributed to significant share of secondary sector employment in the
district. Registered MSME units and commissioned large scale industrial units have generated an employment base
of 6.6 lakhs in the district.

786
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
787
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
788
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
789
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
790
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
791
KPMG Analysis

359
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Organized Employment in Surat 792

Category of Industries Employment
Large Scale Industries (Commissioned + Under Implementation) 244390
MSME Category 509526
Manufacturing Units 426416
Service Enterprises 83110
Total 753916

Regional and sectoral analysis of large scale industrial employment indicates a clear concentration of employment in
key sectors. Chorayasi and Surat talukas account for a majority share of employment in this category. Textile,
Chemicals, manufacture of engineering goods, chemical and chemical products sector are major employment
generating segments within the district. Regional and sectoral break up of large scale industrial employment is
presented in the chart

Large Scale Industrial Employment Overview in the District 793

Regional Distribution of Large Scale Industrial Composition of Employment in Large Scale
Employment Industries
Olpad
Bardoli Agro & Food
2% Kamrej Processing
3% 1% 7%
Mandvi Not Classified Textile &
2% 20% Apparel
14%
Surat Paper & Paper
27% Products
Palsana Infrastructure
8% 7% 2%

Other
Manufacturing
Mangrol 14% Chemical &
Manufacturing
6% of Engineering Chemical
Goods Products
Chorayasi 18%
48% 5%
Hospitality Rubber &
and Tourism Construction Mineral Plastics
Eletrical &
1% Material Prosessing & 2%
Eletronics
3% Fabrication
2%
4%

Among the manufacturing units in MSME segment Textiles and Apparel and manufacture of wooden products have
accounted for majority share of the employment in all the categories of industries. Whole sale & retail trade and
publishing & printing are major employment generating sectors within tertiary enterprises. Details of sector wise
industrial employment in manufacturing and services MSME units as per 2012 statistics are presented in the chart.

792
IEM, MSME Part-II Data till 2012-13
793
IEM, MSME Part-II Data till 2012-13

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 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

MSME Employment Overview in the District 794

Composition of Employment in MSME Composition of Employment in MSME
Manufacturing Units Service Enterprises

Manufacturing of
Engineering
Mineral Goods Construction Hospitality and
Prosessing & 1.7% Tourism IT- ITES
Chemical & 1.8%
Fabrication 0.9% 1.3%
Chemical Agro & Food
2.8%
Products Processing
1.4% 1.1%
Printing & Other
Wooden Products Publishing Services
& Furniture 6.8% 10.6%
8.3% Fianancial
Services
1.7%

Textile & Apparel

80.6% Whole sale &
Retail Trade
77.5%

6.10.16.3. Human Resource Requirement Projections in Surat (2012-22)

Incremental manpower requirement in the district of Surat has been estimated based on several parameters such as
investments trends, national level benchmarks on industrial growth across sectors, state manufacturing policy
targets, performance of state against economy targets, national level inclusion targets for certain sectors,
employment generation potential of various sectors based on labour elasticity and market based insights from
discussions with industries in Surat. Based on the analysis of current state of workforce distribution and potential
employment opportunities in various sectors incremental manpower requirement in key primary, secondary and
tertiary segments is estimated for the periods 2012-17 and 2017-22. Further, manpower requirement is classified into
skilled, semi skilled and minimally skilled categories considering the present level of employment in these categories
for respective sectors and analysis of expected developments in the industry that would lead to significant
realignment of the categories. Detailed approach for manpower estimations is presented in the appendix and specific
factors for estimation are discussed below.

Primary Sector:

Considering the increasing level of farm mechanization and sharing agricultural land usage, period between 2012 and
2022 would witness a net outflow of workforce from the agricultural activities. Agricultural workforce displacement
is expected to be significant in marginal workers category. A significant portion of the workforce would engage in

794
IEM, MSME Part-II Data till 2012-13

361
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

agri-allied activities depending on the availability of allied resources and migrational constraints. Incremental
manpower requirement for the agri- allied activities is estimated considering the following parameters

• Current level of employment in agricultural activities (farmers, agricultural labourers)

• Estimated displacement factors for agricultural workforce based on Planning Commission Projections for
2012-17 and 2017-22 periods and analysis of level of mechanization and allied factors in Gujarat
• Employment potential in agri-allied activities in the district considering the level of involvement in the
respective activities and regional conditions

Manufacturing Sector:

Manpower requirement in secondary sector is driven by investments and output growth. Various factors including
analysis of manufacturing, sub sector policies, investment trends, availability of resources, are considered for the
incremental manpower estimation in different subsectors of manufacturing in the district. Human resource
requirement projections for manufacturing sub sectors in the district are estimated considering the following
parameters

• Manufacturing growth targets for Gujarat for 2012-17 and 2017-22(Increasing secondary sector share in
GSDP to 32% by 2017)
• Identifying key growth sub segments within the district based on study of existing industrial base, primary
interactions
• Estimation of growth targets for the district based on analysis of investment trends in the district in
comparison to the state, available infrastructure, policy thrust on key manufacturing segments identified for
the district
• Labor elasticity factors in the potential sectors for the district

Tertiary Sector:

Employment growth in some of the services sector is driven by Government thrust in terms of budgetary allocations to
achieve inclusion targets in education, healthcare and banking. Other segments including hospitality and tourism,
financial intermediation, communication, retail depend on the level of economic activity in the region resulting in high
or low spending capacity of population. Also segments like IT-ITES, transportation & logistics are driven by
investments into infrastructure and manpower. Hence human resource requirement projections for services sub
sectors would have specific approaches depending on the growth drivers for the segments in the district. Detailed
methodology for estimation of manpower in services sub-segments is presented in the appendix.

Based on the analysis of socio economic conditions, investment scenario and availability resources incremental
manpower requirement has been estimated for the following sectors.

Primary Sector

• Agriculture & Allied Activities( Horticulture, Sericulture, Animal Husbandry and Fisheries)

Secondary Sector

• Textile and Apparel

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

• Manufacturing of Engineering Goods( Including Auto & Auto Components)

• Chemical & Chemical Products(Including Petro Chemicals)
• Drugs & Pharmaceuticals
• Agro & Food Processing
• Electrical and Electronics
• Mineral Processing & Fabrication
• Construction Material(Cement, Ceramics)
• Rubber & Plastics
• Paper & Paper Products
• Infrastructure(Construction)

Tertiary Sector

• IT-ITES
• Transportation & Logistics(including port based logistics)
• Banking & Financial Services
• Organized Retail
• Hospitality & Tourism
• Healthcare
• Education & Training

Incremental manpower requirements for the priority sectors in Surat district are presented in the table 795.

Sector 2012-17 2017-22

Skilled Semi Minimally Total Skilled Semi Minimally Total
Skilled skilled Skilled skilled
Agriculture &
Allied Activities NA NA 15205 15205 NA NA 12733 12733
Agro & Food
Processing 349 1395 1743 3486 312 1247 1559 3118
Textile & Apparel 9966 39866 49832 99664 8914 35657 44572 89143
Wooden Products
& Furniture 768 3073 3842 7684 687 2749 3436 6872
Paper & Paper
Products 96 383 479 957 86 342 428 856
Chemical &
Chemical
Products 711 2842 3553 7106 636 2542 3178 6356
Rubber & Plastics 151 604 755 1509 135 540 675 1350
Mineral
Processing &
Fabrication 467 1868 2335 4670 418 1671 2088 4177
Electrical & 112 450 562 1124 101 402 503 1005

795
KPMG Analysis

363
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Electronics
Manufacturing of
Engineering
Goods 367 1468 1835 3669 328 1313 1641 3282
Manufacturing of
Construction
Material 78 314 392 785 70 281 351 702
Drugs and
Pharmaceuticals 24 95 119 239 21 85 107 213
Misc.
Manufacturing 1066 4265 5331 10661 954 3814 4768 9536
Construction 1348 2697 22921 26966 1206 2412 20501 24119
Trade, Retail 2178 3267 16334 21778 2381 3571 17855 23806
Transportation &
Logistics 2596 41226 49049 92871 2124 33731 40131 75985
IT-ITES 9000 22500 NA 31500 7500 18000 NA 25500
Hospitality &
Tourism 2479 3719 18593 24790 1983 2975 14874 19832
Banking &
Financial Services 2266 6799 NA 9066 1587 4760 NA 6346
Healthcare 462 2079 NA 2541 615 3077 NA 3693
Education &
Training 1703 11468 NA 13171 2555 6881 NA 9436

Skill requirements in key growth sectors have been analyzed based on industry interactions to understand the
detailed manpower needs. Sector level skill interventions are indicated in the section below 796.

Secondary Sector (Manufacturing, Construction & Energy):

• Textile & Apparel:

Category of Skills Skills

Core Skills Ring frame operator, weaver, processing operator (CDR,BDR,Stuntor), Bar-
coding machine operator

Electrician, Wireman, Fitter

Allied Skills
The industry has high attrition rates in operator roles (semi skilled) owing to
Skills with acute shortage extreme working conditions.

• Chemical & Chemical Products:

Category of Skills Skills

796
KPMG Analysis

364
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Core Skills Mechanical, Electrical skills

Allied Skills Instrumentation, boiler attendant,AOCP, lab attendants

Skills with acute shortage MSc/BSc chemists, Electronic Automation with understanding of PLC systems

• Metal & Mineral Processing:

Category of Skills Skills
Core Skills Fitter, Welder, Turner, Electrician

Allied Skills Melter, Boiler Operator

Skills with acute shortage PCB instrumentation

• Construction:
Category of Skills Skills
Core Skills Electricians, carpenters, barbenders, welders and masons

Allied Skills Minimally skilled workers

Skills with acute shortage Machine operators

Services:
• Banking & Financial Services:
Category of Skills Skills
Core Skills Knowledge on core banking/mobile/internet platforms

Allied Skills Sales & Marketing

Skills with acute shortage insurance underwriting, claims management

• Transportation :
Category of Skills Skills

365
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Core Skills Heavy vehicle drivers, logistics management

Allied Skills Administrative, computer data management

Skills with acute shortage Scheduling and logistics planning

• Healthcare :
Category of Skills Skills
Core Skills MBBS Doctors, MD/MS specialists, Physician Assistants/Compounders,
Radiologists, Dialysis technician, Respiratory technician and OT Assistants &
Perfusionist.
Allied Skills Lab technicians, pharmacists

Skills with acute shortage Physiotherapists, Biomedical Instrumentation technicians

• Organized Retail:
Category of Skills Skills
Core Skills Shop floor executives/supervisors, computer operator

Allied Skills Transportation & logistics staff

Skills with acute shortage Store management, stock planning

6.10.16.4. Human Resource Supply Scenario in the District

6.10.16.4.1. Estimation of Labor Force Supply
District-wise incremental supply has been determined based on net addition of labour force. Gross addition to
working age group population during 2012-17 and 2017-22 were determined based on Census 2011 age wise
population accounting for death rate and life expectancy normalized against population corrections in 2017 and 2022.
Applying labour force participation rates, considering the historical trends, gross additions to labour force were
estimated for the two time periods. Accommodating for retirement from the existing pool of labour force, net supply
to labour force has been estimated.

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Surat is among the districts with high human resource growth potential during 2012-22. Being a district with higher
employment opportunities, district has potential to absorb workforce from neighbouring districts and even from
outside the state. Details of human resource growth estimations during 2012-22 are presented in the table 797.

Period Gross Addition to Working Gross Addition to Labour Net Addition to Labour
Age Population Force Force-Supply

2012-17 507,976 255,044 179,396

2017-22 406,154 194,431 139,288

6.10.16.4.2. Education and Training Potential in the District

The district has around 1982 K12 schools with a 68.11 percent share of Government schools. The relatively higher
share of private schools has a major role to play towards the high literacy rate of Surat. However the net enrolment
ratio at the primary level and upper primary level are lower in comparison to the state averages primarily due to the
high decennial growth rate in Surat’s population 798.

Total Enrollments Primary Level Upper Primary Level Secondary Level Higher Secondary
in 2009-10 (Std I-V) (Std VI-VIII) (Std IX-X) Level (Std XI-XII)
423,591 152,406 170,293 85,146
Surat

Comparing the district’s enrolment statistics with state average indicates that the district is a very poor performer in
the primary education category 799

Region Net Enrolment Ratio (Primary Level) Net Enrolment Ratio (Upper Primary Level)
Surat 37.6 20.1
Gujarat 85.4 50.7

In the vocational education segment, the district lags behind in the provision of vocational training in comparison to
state average. Private interest in the sector in this district is also low indicating that the state must take proactive
measures in seeking private support to augment vocational training infrastructure 800.

797
KPMG Analysis
798
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat
799
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat
800
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat

367
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Region Number of Seat Vocational Training Private Sector

ITIs Capacity Capacity Density (Seats Participation in
Per 1000 Population) Vocational Training
Surat 30 7,750 1.27 17%
Gujarat 711 138,106 2.29 26%

Given the unequal distribution of seats, capacity expansion in vocational education in Surat district needs to be
focused on the tehsils of Mangrol (S), Olpad, Palsana, Kamrej, Bardoli, Mandvi, Surat, Mahuva (S), Choryasi to bring
them on par with the district average in vocational education capacity 801.
Taluka Seat Capacity Vocational Training Private Sector
Capacity Density(Seats Participation in
Per 1000 Population) Vocational Training
Umarpada 240 2.55 0%
Mangrol (S) 512 2.17 37%
Olpad 528 2.06 26%
Palsana 300 1.83 0%
Kamrej 392 1.65 67%
Bardoli 440 1.51 5%
Mandvi 348 1.36 0%
Surat 4262 1.27 7%
Mahuva (S) 192 0.98 0%
Choryasi 536 0.66 69%
District Total 7750 1.27 17%

The district has 6 pharmacy colleges, 4 engineering college, 2 medical colleges, 3 MCAs, 4 management colleges and
25 arts and science, commerce colleges in the district. Surat has many Medical, nursing, ayurvedic and physiotherapy
educational institutions in Surat colleges. Technical colleges offering courses in chemical, civil, electrical, electronics
and communication, information technology, production and mechanical engineering are also present in the district.
Institutes providing specialized courses in gems & jewellery and textile sector are also widely available to provide
trained manpower for the industry. Indian Diamond Institute provides different courses in diamonds, coloured
gemstones and machine cast jewellery. Besides imparting training, it is also undertaking R & D and consultancy
services. Man Made Textile Research Association (MANTRA) has been established to carry out R & D, testing and
technical service activities to the man-made fiber textiles industry. MANTRA also caters to the increasing quality
control needs of man-made textiles industry in Surat.

6.10.16.4.3. Demand-Supply Gap Analysis for the District

Incremental skill category wise supply for the periods 2012-17 and 2017-22 in the district are estimated based on net
output from higher education institutions (skilled), vocational training(semi skilled), minimally skilled (school
education) for periods 2012-17 and 2017-22 considering the LPR estimations for the districts in 15-59 age group and
retirement from existing labour force.

801
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat

368
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Based on the skill category human resource demand projections for 2012-22 and net supply potential, category wise
Demand-Supply gap estimations for the district are presented in the table below

Category Wise Demand-Supply Gap in the District (2012-22)

2012-17 2017-22
Sector Skilled Semi Minimally Total Skilled Semi Minimally Total
Skilled skilled Skilled skilled
Demand-Supply
Gap 12,523 132,032 55,495 200,046 550 98,239 89,986 188,772
*(Indicates excess supply)

6.10.16.4.4. Skill Development Potential through Government Endowments

According to KPMG estimates, based on the potential district budgetary allocation for various central government
schemes around 2.82 lakh people in total can be trained incrementally during the five year period of 2012-17. The
Ministry of Agriculture and the Ministry of Labour Schemes are expected to contribute to a significant share of the
training. Manpower training targets focus on the primary sector considering the low level of industrial development
in the district. Private training providers have opportunities in livelihood training programs.

Government Funded Incremental Training Capacity (2012-17) - District Surat 802

ISDS - Textiles 93809

SJSRY 70642

SDI-MES 30203

Using Construction Cess 20599

Others 11578

D/O IT 11074

Credit Scheme 10571

M/O Agriculture 8909

ART - M/o Tribal Affairs 8310

SGSY 7127

SCA under TSP - M/o Tribal Affairs 4986

CSR Funds from Central PSUs 2517

Hunar Se Rozgar 2483

6.10.16.5. District Specific Recommendations

802
KPMG Analysis

369
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Considering these factors, the proposed action plan for stakeholders in skill development in district would indicate
the following priority areas:

Stakeholder Action Points for Stakeholders

NSDC Focus on increasing participation from national/regional private skill training providers
with focus on the following sectors
• Transportation and Logistics
• Healthcare
• Construction
• Hospitality and Tourism
• Banking and Financial Services
District Provide skill training in conjunction with private skill training providers using government
Administration endowment training schemes
• Textiles and Apparels
Private Skill Provide skill training in the sectors of
Training • Transportation and Logistics
Providers • Healthcare
• Construction
• Hospitality and Tourism
• Banking and Financial Services
Corporate Provide training for skills in those sector where the requirement for absorption within the
corporate is higher such as
• Construction
• Retail
• Transportation and Logistics
Initiate and support modular employability skill training in collaboration with private
players/Government
Create placement linkage opportunities in training institutions

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

6.10.17. Skill Gap Assessment of Surendranagar District

6.10.17.1. Socioeconomic Profile
6.10.17.1.1. Administrative Profile

Surendranagar is located in the western part

of the state with a geographical spread of
10,489 sq.km 803. The district shares its border
with Rajkot, Patan, Kutch, Bhavnagar and
Ahmedabad districts of Gujarat.
Administratively Surendranagar district is
divided into 10 talukas and 651 villages 804
with Surendranagar city as the district capital. Surendranagar
Wadhwan, Dhrangadhra, Chotila, Dasada,
Limbdi, Halvad, Muli, Sayla, Chuda and
Lakhtar city are taluka regions in the district.

6.10.17.1.2. Demographic Profile

Surendranagar is a medium human resource potential region in Gujarat state. It has a total population of 17.56
lakhs 805 as per 2011 Census accounting for 2.9 percent 806 of the overall state population. Surendranagar has
witnessed a relatively lower decadal population growth in comparison to the state average. The district population
has witnessed a decadal growth rate of 15.89 percent 807 between 2001 and 2011 as against the state average of
19.17 percent 808 during the same period. Significant portion of district population lives in rural areas with these
regions accounting for nearly 71.70 percent 809 of the total population. Population spread in the district is significantly
lower than the state average with a density of 167 persons per sq.km 810 as against state average of 308 persons per
sq.km 811. Analysis of population distribution in the district as per 2001 census indicates higher human resource
potential in the talukas of Wadhwan, Dhrangadhra, Chotila and Dasada. Details of regional distribution of population
in the district are presented in the table.

803
Census 2011 Statistics
804
Census 2011 Statistics
805
Census 2011 Statistics
806
Census 2011 Statistics
807
Census 2011 Statistics
808
Census 2011 Statistics
809
Census 2011 Statistics
810
Census 2011 Statistics
811
Census 2011 Statistics

371
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Regional Distribution of Population in the District 812

Region Contribution to District Population Population Density
(2001) (Persons per Sq.km- 2001)
Wadhwan 21% 396
Dhrangadhra 13% 142
Chotila 11% 163
Dasada 11% 104
Limbdi 10% 132
Halvad 10% 118
Muli 7% 109
Sayla 7% 104
Chuda 6% 172
Lakhtar 5% 94

Gender composition of district population is marginally better in comparison to the state average. As per 2011 census
the district has a gender ratio of 929 females per 1000 males 813 as against the state average ratio of 918 females per
1000 males 814. The gender ratio of the district has increased from 930 females per 1000 males in 2001 to 936 females
per 1000 males 815 in 2011. High levels of male migration into the industrial clusters of Surat are a key reason for
increasingly biased population composition in the region. Overall reserved categories contribute to 11.92 percent 816 of
the total district population with a higher proportion of scheduled castes indicating the need for inclusion focus on
development scheduled castes within Surat district.

Education attainment levels in the district are lower than the state average. As per 2011 estimates, the district has
registered an overall literacy rate of 73.19 percent 817 as against state average of 79.31 percent 818. Continuing
regional and gender disparities in literacy rates is a key concern within the district. Urban-rural literacy gap in
Surendranagar is estimated to be 13.83 percent 819 comparable to the state average of 14.58 percent 820. Similarly, the
district has a male-female literacy gap of 21.27 percent 821 as against 16.5 percent 822 for Gujarat state. Efforts to
increase inclusion focus in mass education programs are recommended to develop a quality workforce in
Surendranagar.

812
Census 2001Statistics, KPMG Analysis
813
Census 2011 Statistics
814
Census 2011 Statistics
815
Census 2011 Statistics
816
Census 2001Statistics, KPMG Analysis
817
Census 2011 Statistics
818
Census 2011 Statistics
819
Census 2011 Statistics
820
Census 2011 Statistics
821
Census 2011 Statistics
822
Census 2011 Statistics

372
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

6.10.17.1.3. Economic Profile

Surendranagar is a base for industrial sectors such as, textiles, chemicals, ceramics and food processing industries.
Textiles and chemicals have been the major sectors of investment and employment in the district, for over two
decades.

The district is the largest producer of Shankar Cotton in the world and also houses the first Cotton Trading Exchange
of India. Surendranagar also has rich reserves of silica sand, fire clay, white clay and molding sand

Several known industrial groups are present in Surendranagar which include, PepsiCo India Holding Ltd., PET Plastics,
Unifrax, Luxite Industries, Mepro Pharmaceuticals, Rimtex Group, Biodeal Laboratories, and Panama Group

Analysis of regional distribution of investments in Surendranagar district indicates that the industrial development is
concentrated in Muli, Chotila, Dasad and Halvad Talukas while other regions like Sayla, Limbdi, Dharangadra and
Halvad still remain backward in terms of industrial development. Over the recent years State Government has
initiated measures to enhance the industrial growth in backward talukas across the state through suitable incentives
leading to an increased investment potential of these regions over the next decade.

Details of region wise large scale investments in Surendranagar district till 2012 is presented in the table.
Large Scale Investment Scenario In Surendranagar 823
Region Commissioned Under Implementation
No. of Units Investment No. of Units Investment (
( INR Cr) INR Cr)

Wadhwan 11 45 3 1840

Chotila 7 111 10 255

Dasada 4 92 7 1954

Dharangadhra 3 11 4 313
Halvad 3 86 2 81
Lakhtar 2 8 1 49
Muli 2 146 4 40
Sayla 2 1 2 312
Limbdi 3 1347

823
IEM, MSME Part-II Data till 2012-13

373
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Not Classified 1 11 48 3123

District Total 35 511 84 9314

Moderate growth of industrialization in the district has widened the scope for establishment of ancillary units in
MSME segment. As per the MSME investment Part–II statistics, overall there are 1459 units operating in the district
attracting an investment of INR 61,006 lakhs in 2012.

Investment outlook in MSME segment of Surendranagar district is presented in the table.

MSME Investment Scenario in Surendranagar 824

Category of Industries Number of Units Investment In Lakhs
Micro 1193 19508
Small 259 36460
Medium 7 5037
Total 1459 61006
Manufacturing Sector Units 1387 59404
Service Enterprises 72 1602

MSME segment in Surendranagar is dominated by manufacturing industries in terms of both volume and
investments. Among the manufacturing based MSME units mineral processing and fabrication, chemical and
chemical products and manufacturing of engineering goods are prominent categories in terms of number of units and
investment. Composition of MSME manufacturing units and investments are presented in the chart.

MSME Manufacturing Scenario in the District 825

824
IEM, MSME Part-II Data till 2012-13
825
IEM, MSME Part-II Data till 2012-13

374
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Composition of MSME Manufacturing Composition of Investments in MSME

Units Manufacturing Units
Agri-Allied
Auto-Auto Activities
Components Mining & Agri-Allied Mining &
0.4% Auto-Auto Activities
2.9% Quarrying Components Quarrying
4.1% 1.6% 3.8%
Construction 1.7%
0.1% Agro & Food Textile &
Processing Apparel Construction Agro & Food
4.3% 7.9% Manufacturin 0.3% Processing
g of 4.1%
Engineering
Wooden
Goods
Products &
21.9% Textile &
Manufacturing Furniture
Paper &3.9% Apparel Wooden
of Engineering Eletrical &
Paper 14.8% Products &
Goods Eletronics
28.1% Products Furniture
1.7% 1.3% 1.0%
Chemical & Paper &
Mineral
Chemical Paper
Prosessing &
Mineral Products Products
Fabrication
Eletrical & Prosessing & 4.8% 3.8%
34.7%
Eletronics Fabrication Chemical &
5.4% 31.9% Chemical
Rubber & RubberProducts
&
Plastics Plastics 6.1%
4.6% 4.8%

While the level of organized investments in services enterprises is low as evident from the MSME Part-II statistics,
sectors of whole sale and retail trade, Printing and Publishing and Hospitality and Tourism have seen considerable
investments in the district. Composition of MSME service enterprises and investments are presented in the chart.

MSME Manufacturing Sector Scenario in the District 826

Composition of MSME Service Composition of Investments in MSME
Enterprises Service Enterprises
Hospitality and Hospitality
Tourism and Tourism
8.3% 10.9%
IT- ITES
5.6% IT- ITES
3.8%
Other
Services
23.6%
Other
Services
45.3% Whole sale &
Whole sale & Retail Trade
Printing & Retail Trade 27.7%
Publishing 36.1%
23.6%

Printing &
Transportation Publishing
2.8% 10.9%

826
IEM, MSME Part-II Data till 2012-13

375
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

The Trinetreshwar Mahadev Mela (Tarnetar Fair) is very famous in the region and is one of Surendranagar’s major
tourist attractions. The Chotila Hills, Shigh Mahal, Ranakdevi Temple and Ganga Kund are other tourist locations in
the district.

Tourists and travelers looking to enter the district can utilize the NH 8A when coming from the Ahmedabad and
Kachch regions. The rail network also provides access by way of the broad gauge railway line connecting
Surendranagar with major cities like Delhi, Mumbai, Ahmedabad, Bangalore and Hyderabad. The nearest airport,
however, is located in Ahmedabad and Rajkot .

Surendranagar is considered to have medium penetration in the financial sector; it has been estimated that 1 bank
exists for 12,724 people 827 in the region. There are 138 banks offices aggregating deposit and credit amounts of 3,389
Cr. INR and 1,553 Cr. INR. The region has seen a year-on-year growth in the number of banks at 7.3% between 2007
and 2012. An increased propensity towards saving money is observed with deposits growing at 23.2% CAGR in same
period. Credit has grown at CAGR 17% 828.

Medical infrastructure in the district, however, does need to be bolstered with one medical institution catering to
nearly 32,000 people 829. At present, Surendranagar has 31 primary healthcare centers, 11 community healthcare
centers and 8 hospitals. Some hospitals in the area include C.U. Shah Hospital, Unique Cardiac Care, Nathwani
Surgical Hospitals and Shreyansh Hospital.

The Surendranagar district in Gujarat constitutes the North-West agro-climatic zone. Majority of the rainfall is
through the South-West monsoon through the months of June and September with the average rainfall recorded in
the region to the tune of 600mm with approximately 30 days of rainfall thus ensuring that the region has sufficient
rainfall

Thus, majority of the land is rain fed as for every hectare of irrigated land, 5 hectares of land is irrigated830. Majority
of the irrigation is done through private tube-wells and similar sources.

The soil predominantly consists of medium black soil, with 60% of the land composed of this soil type.
The district has a total area of 1046000 hectares 831, of which nearly 67% is cultivable indicating the favorable
cultivable environment for the district owing to the soil & rainfall characteristics The kharif crops chiefly consist of
cotton, sesame and castor while cumin and wheat are grown in the rabi season. The district is also the largest
standalone producer of Ber in the country with more than 1700 Hectares under cultivation 832.

827
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
828
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
829
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
830
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
831
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
832
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07

376
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Over 65% of the livestock 833 in the region consist of low yielding varieties of cattle and buffaloes with the remaining
35% split between goat and sheep. Availability of large pasture lands indicates significant potential to promote
animal husbandry in the district. Along with strengthening animal husbandry activities among small and marginal
farmers through advanced rearing training, there is a need for integrating the animal husbandry with promotion of
organic farming as well.

6.10.17.2. Workforce Distribution in the district

The district workforce has marginally higher dependency on primary sector in comparison to the state average.
Manufacturing sector has witnessed a moderate penetration in the economy accounting for nearly 15 percent of the
overall district workforce.While the total worker participation rate is marginally better than the state average, high
manpower requirements in agrarian activities due to low output efficiency indicates the level of under employment in
this category. Comparison of workforce distribution scenario in Surendranagar and Gujarat is presented in the
table 834.

Percentage of Employment
Region Labour Force Workforce Primary Secondary
Participation Participation Sector Sector Tertiary Sector
Surendranagar 62.68% 42.74% 64.33% 14.82% 20.86%
Gujarat 59.27% 41.95% 59.34% 15.86% 24.8%

Registered factories and service enterprises have created 18 thousand employment opportunities in the district.
While the overall manufacturing base is low, high level of unorganized activity has further reduced organized job
prospects in manufacturing sector within the district.
Organized Employment in Surendranagar 835
Category of Industries Employment
Large Scale Industries (Commissioned + Under Implementation) 21487
MSME Category 15087
Manufacturing Units 14669
Service Enterprises 418
Total 36574

Regional and sectoral analysis of large scale industrial employment indicates a clear concentration of employment in
key sectors. Chotila, Limbdi and Wadhwan account for a majority share of employment in this category. Textile and
Apparel, Infrastructure and Electrical & Electronics sectors are major employment generating segments within the
district. Regional and sectoral break up of large scale industrial employment is presented in the chart.

Large Scale Industrial Employment Overview in the District 836

833
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
834
KPMG Analysis
835
IEM, MSME Part-II Data till 2012-13
836
IEM, MSME Part-II Data till 2012-13

377
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Regional Distribution of Large Scale Industrial Composition of Employment in Large Scale

Employment Industries
Wadhwan
8% Agro & Food
Processing
2%

Chotila
11%
Dasada Textile &
4% Infrastructure Apparel
Not Classified 25% 38%
49% Dharangadhra Construction
8% Material
Halvad 7%
3% Manufacturing
Lakhtar of Engineering
2% Goods
Muli Eletrical &
1%
Sayla 2% Eletronics
Limbdi 3% Paper & Paper
10%
10% Mineral Products
Chemical &
Prosessing & Chemical 3%
Fabrication Products
5% 8%

Among the manufacturing units in MSME segment Mineral Processing & Fabrication, Manufacturing of Engineering
Goods and Textiles & Apparel have accounted for majority share of the employment in all the categories of
industries. Whole sale & retail trade, Publishing & printing, hospitality are major employment generating sectors
within tertiary enterprises. Details of sector wise industrial employment in manufacturing and services MSME units
as per 2012 statistics are presented in the chart.

MSME Employment Overview in the District 837

Composition of Employment in MSME Composition of Employment in
Manufacturing Units MSME Service Enterprises
Hospitality
Auto-Auto and
Mining &
Components Tourism
Quarrying
1.8% Agro & Food 15.6%
4.5%
Processing
Construction
3.6%
0.3%
Textile & Apparel IT- ITES
Manufacturing of 13.1% 4.5%
Other
Engineering Wooden Products Services
Goods & Furniture 33.5%
24.3% 2.7%
Paper & Paper
Eletrical & Products
Eletronics 1.6%
2.3% Mineral Rubber & Plastics
Prosessing & 4.1%
Whole sale
Fabrication Chemical & & Retail
33.6% Chemical Products Printing & Transportati
Trade
7.8% Publishing on
29.9%
14.6% 1.9%

6.10.17.3. Human Resource Requirement Projections in Surendra Nagar (2012-22)

837
IEM, MSME Part-II Data till 2012-13

378
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Incremental manpower requirement in the district of Surendranagar has been estimated based on several parameters
such as investments trends, national level benchmarks on industrial growth across sectors, state manufacturing
policy targets, performance of state against economy targets, national level inclusion targets for certain sectors,
employment generation potential of various sectors based on labour elasticity and market based insights from
discussions with industries in Surendranagar. Based on the analysis of current state of workforce distribution and
potential employment opportunities in various sectors incremental manpower requirement in key primary, secondary
and tertiary segments is estimated for the periods 2012-17 and 2017-22. Further, manpower requirement is classified
into skilled, semi skilled and minimally skilled categories considering the present level of employment in these
categories for respective sectors and analysis of expected developments in the industry that would lead to significant
realignment of the categories. Detailed approach for manpower estimations is presented in the appendix and specific
factors for estimation are discussed below.

Primary Sector:

Considering the increasing level of farm mechanization and sharing agricultural land usage, the period between 2012
and 2022 would witness a net outflow of workforce from the agricultural activities. Agricultural workforce
displacement is expected to be significant in marginal workers category. A significant portion of the workforce would
engage in agri-allied activities depending on the availability of allied resources and migrational constraints.
Incremental manpower requirement for the agri- allied activities is estimated considering the following parameters

• Current level of employment in agricultural activities(farmers, agricultural laborers)

• Estimated displacement factors for agricultural workforce based on Planning Commission Projections for
2012-17 and 2017-22 periods and analysis of level of mechanization and allied factors in Gujarat
• Employment potential in agri-allied activities in the district considering the level of involvement in the
respective activities and regional conditions

Manufacturing Sector:

Manpower requirement in the secondary sector is driven by investments and output growth. Various factors including
analysis of manufacturing, sub sector policies, investment trends, availability of resources, are considered for the
incremental manpower estimation in different subsectors of manufacturing in the district. Human resource
requirement projections for manufacturing sub sectors in the district are estimated considering the following
parameters

• Manufacturing growth targets for Gujarat for 2012-17 and 2017-22(Increasing secondary sector share in
GSDP to 32% by 2017)
• Identifying key growth sub segments within the district based on study of existing industrial base, primary
interactions
• Estimation of growth targets for the district based on analysis of investment trends in the district in
comparison to the state, available infrastructure, policy thrust on key manufacturing segments identified for
the district
• Labour elasticity factors in the potential sectors for the district

Tertiary Sector:

379
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Employment growth in some of the services sector is driven by Government thrust in terms of budgetary allocations to
achieve inclusion targets in education, healthcare and banking while the other segments including hospitality and
tourism, financial intermediation, communication, retail would depend on the level of economic activity in the region
resulting in high or low spending capacity of population. Also segments like IT-ITES, transportation& logistics are
driven by investments into infrastructure and manpower. Hence human resource requirement projections for services
sub sectors would have specific approaches depending on the growth drivers for the segments in the district.
Detailed methodology for estimation of manpower in services sub-segments is presented in the appendix.

Based on the analysis of socio economic conditions, investment scenario and availability resources incremental
manpower requirement has been estimated for the following sectors.

Primary Sector

• Agriculture & Allied Activities( Horticulture, Sericulture, Animal Husbandry and Fisheries)

Secondary Sector

• Textile and Apparel

• Manufacturing of Engineering Goods( Including Auto & Auto Components)
• Chemical & Chemical Products(Including Petro Chemicals)
• Drugs & Pharmaceuticals
• Agro & Food Processing
• Electrical and Electronics
• Mineral Processing & Fabrication
• Construction Material(Cement, Ceramics)
• Rubber & Plastics
• Paper & Paper Products
• Infrastructure(Construction)

Tertiary Sector

• Transportation & Logistics(including port based logistics)

• Banking & Financial Services
• Organized Retail
• Hospitality & Tourism
• Healthcare
• Education & Training

Incremental manpower requirements for the priority sectors in Surendernagar district are presented in the table 838.

Sector 2012-17 2017-22

Skilled Semi Minimally Total Skilled Semi Minimally Total
Skilled skilled Skilled skilled

838
KPMG Analysis

380
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Agriculture &
Allied Activities NA NA 15492 15492 NA NA 12974 12974
Agro & Food
Processing 20 79 99 198 18 71 88 177
Textile & Apparel 221 883 1104 2207 197 790 987 1974
Wooden Products
& Furniture 11 45 57 114 10 41 51 102
Paper & Paper
Products 17 68 86 171 15 61 77 153
Chemical &
Chemical
Products 64 256 320 640 57 229 286 572
Rubber & Plastics 14 57 71 141 13 51 63 127
Mineral
Processing &
Fabrication 145 579 723 1446 129 517 647 1294
Electrical &
Electronics 54 217 272 543 49 194 243 486
Manufacturing of
Engineering
Goods 86 344 430 860 77 308 385 770
Manufacturing of
Construction
Material 31 125 157 313 28 112 140 280
Drugs and
Pharmaceuticals 2 6 8 16 1 6 7 14
Misc.
Manufacturing 2 6 8 16 1 6 7 15
Construction 389 779 6620 7789 348 697 5921 6966
Trade, Retail 629 944 4718 6290 688 1031 5157 6876
Transportation &
Logistics 294 4663 5548 10504 240 3815 4539 8594
Hospitality &
Tourism 688 1032 5160 6880 550 826 4128 5504
Banking &
Financial Services 2314 6942 NA 9255 1620 4859 NA 6479
Healthcare 388 1745 NA 2133 517 2583 NA 3100
Education &
Training 811 5461 NA 6272 1217 3277 NA 4493

Skill requirements in key growth sectors have been analyzed based on industry interactions to understand the
detailed manpower needs. Sector level skill interventions are indicated in the section below 839.

Secondary Sector (Manufacturing, Construction & Energy):

839
KPMG Analysis

381
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

• Auto & Auto Components

Subsector Skills

Auto Assembling and Component Core Skills: Motor Mechanic, Diesel Mechanic, Fitter, Welder, Fabricators
Manufacturing
Allied Skills: Electrician, Wireman

Acute Skill Deficits: Specialized welders in Arc welding who can work in
extreme conditions on advanced fabrication equipments

• Textile & Apparel:

Category of Skills Skills

Core Skills Ring frame operator, weaver, processing operator (CDR,BDR,Stuntor), Bar-
coding machine operator

Electrician, Wireman, Fitter

Allied Skills
The industry has high attrition rates in operator roles (semi skilled) owing to
Skills with acute shortage extreme working conditions.

• Metal & Mineral Processing:

Category of Skills Skills
Core Skills Fitter, Welder, Turner, Electrician

Allied Skills Melter, Boiler Operator

Skills with acute shortage PCB instrumentation

• Construction:
Category of Skills Skills
Core Skills Electricians, carpenters, barbenders, welders and masons

Allied Skills Minimally skilled workers

Skills with acute shortage Machine operators

Services:
• Banking & Financial Services:

382
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Category of Skills Skills

Core Skills Knowledge on core banking/mobile/internet platforms

Allied Skills Sales & Marketing

Skills with acute shortage insurance underwriting, claims management

• Transportation :
Category of Skills Skills
Core Skills Heavy vehicle drivers, logistics management

Allied Skills Administrative, computer data management

Skills with acute shortage Scheduling and logistics planning

Primary Sector:

• Cultivation:
Category of Skills Skills
Core Skills Awareness about high yield varieties, micro nutrients and pest Control, Organic
farming and Vermi compost methods, Micro irrigation techniques
Allied Skills Knowledge on food processing techniques and related procedures to extract
greater value from farm produce

Skills with acute shortage Usage and repair of farm equipments, Marketing and management practice

• Agri- Allied Activities:

Category of Skills Skills
Core Skills Modern rearing techniques of live stock, piggery, goatery and fisheries

Allied Skills Knowledge on processing techniques

383
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Skills with acute shortage Marketing and distribution of forest/animal husbandry produce

6.10.17.4. Human Resource Supply Scenario in the District

6.10.17.4.1. Estimation of Labor Force Supply
District-wise incremental supply has been determined based on net addition of labour force. Gross addition to
working age group population during 2012-17 and 2017-22 were determined based on Census 2011 age wise
population accounting for death rate and life expectancy normalized against population corrections in 2017 and 2022.
Applying labour force participation rates, considering the historical trends, gross additions to labour force were
estimated for the two time periods. Accommodating for retirement from the existing pool of labour force, net supply
to labour force has been estimated.

Surendranagar is among the districts with moderate human resource growth potential during 2012-22. Being a
district with limited organized employment opportunities, adequate skilling of incremental labour force is critical for
securing job opportunities outside Surendranagar. Details of human resource growth estimations during 2012-22 are
presented in the table 840.

Period Gross Addition to Working Gross Addition to Labour Net Addition to Labour
Age Population Force Force-Supply

2012-17 196,756 119,975 62,191

2017-22 180,122 110,788 48,287

6.10.17.4.2. Education and Training Potential in the District

The district has around 1171 K12 schools with 85.65 percent share of Government schools. The net enrolment ratios
at primary levels and upper primary levels are higher than the state averages 841.

Total Enrollments Primary Level Upper Primary Level Secondary Level Higher Secondary
in 2009-10 (Std I-V) (Std VI-VIII) (Std IX-X) Level (Std XI-XII)
Surendranagar 195476 65131 57653 18452

Comparing the district’s enrolment statistics with state average indicates that the district is a strong performer in the
primary education category 842

840
KPMG Analysis
841
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat

384
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Region Net Enrolment Ratio (Primary Level) Net Enrolment Ratio (Upper Primary Level)
Surendranagar 97.6 57.7
Gujarat 85.4 50.7

In the vocational education segment, the district lags is an average performer in comparison to the state average.
Private interest in the sector in this district is also low indicating that the state must take proactive measures in
seeking private support to augment vocational training infrastructure 843.

Region Number of Seat Vocational Training Private Sector

ITIs Capacity Capacity Density (Seats Participation in
Per 1000 Population) Vocational Training
Surendranagar 27 4,356 2.48 21%
Gujarat 711 138,106 2.29 26%

Given the unequal distribution of seats, capacity expansion in vocational education in Surendranagar district needs to
be focused on the tehsils of Dhangadhra, Muli, Limbdi, Halvad, Sayla, Chotila, Chuda and Dasada to bring them on
par with the district average in vocational education capacity 844.
Taluka Seat Capacity Vocational Training Private Sector
Capacity Density(Seats Participation in
Per 1000 Population) Vocational Training
Wadhwan 2068 5.65 15%
Lakhtar 250 3.10 46%
Dhangadhra 492 2.18 0%
Muli 240 2.04 43%
Limbdi 282 1.54 52%
Halvad 252 1.51 54%
Sayla 168 1.43 24%
Chotila 260 1.30 15%
Chuda 128 1.26 0%
Dasada 216 1.10 15%
District Total 4356 2.48 21%

The district has 1 pharmacy college, 2 engineering colleges, 1 medical college and 9 arts and science, commerce
colleges in the district. C.U. Shah College of Engineering & Technology offers engineering courses in mechanical,
information technology and electronic and telecommunication branches with 320 seats per annum.

6.10.17.4.3. Demand-Supply Gap Analysis for the District

Incremental skill category wise supply for the periods 2012-17 and 2017-22 in the district are estimated based on net
output from higher education institutions (skilled), vocational training(semi skilled), minimally skilled (school

842
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat
843
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat
844
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat

385
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

education) for periods 2012-17 and 2017-22 considering the LPR estimations for the districts in 15-59 age group and
retirement from existing labour force.

Based on the skill category human resource demand projections for 2012-22 and net supply potential, category wise
Demand-Supply gap estimations for the district are presented in the table below

Category Wise Demand-Supply Gap in the District (2012-22)

2012-17 2017-22
Sector Skilled Semi Minimally Total Skilled Semi Minimally Total
Skilled skilled Skilled skilled
Demand-Supply
Gap (2,834) 17,243 (5,317) 9,089 (4,307) 10,729 6,240 12,663
*(Indicates excess supply)

6.10.17.4.4. Skill Development Potential through Government Endowments

According to KPMG estimates, based on the potential district budgetary allocation for various central government
schemes around 49 thousand people in total can be trained incrementally during the five year period of 2012-17.
Ministry of Agriculture and Ministry of Labor Schemes are expected to contribute to a significant share of the
training. Manpower training targets have predominant focus on primary sector considering the low level of industrial
development in the district. Private training providers have opportunities in livelihood training programs.

Government Funded Incremental Training Capacity (2012-17) - Surendranagar District 845

M/O Agriculture 9077

SDI-MES 8724
SGSY 7262
SJSRY 7248
Using Construction Cess 5428
Others 3344
D/O IT 3199
Credit Scheme 3053
CSR Funds from Central PSUs 727
Hunar Se Rozgar 689
ISDS - Textiles 525
ART - M/o Tribal Affairs 96
SCA under TSP - M/o Tribal… 57

6.10.17.5. District Specific Recommendations

845
KPMG Analysis

386
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Considering these factors, the proposed action plan for stakeholders in skill development in the district would
indicate the following priority areas:

Stakeholder Action Points for Stakeholders

NSDC Focus on increasing participation from national/regional private skill training providers
with focus on the following sectors
• Transportation and Logistics
• Healthcare
• Construction
• Hospitality and Tourism
• Banking and Financial Services
District Provide skill training in conjunction with private skill training providers using government
Administration endowment training schemes
• Manufacturing of Engineering Goods
• Mineral Processing and Fabrication
Private Skill Provide skill training in the sectors of
Training • Transportation and Logistics
Providers • Healthcare
• Construction
• Hospitality and Tourism
• Banking and Financial Services
Corporate Provide training for skills in those sector where the requirement for absorption within the
corporate is higher such as
• Construction
• Retail
• Transportation and Logistics
Initiate and support modular employability skill training in collaboration with private
players/Government
Create placement linkage opportunities in training institutions

387
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

6.10.18. Skill Gap Assessment of Tapi District

6.10.18.1. Socioeconomic Profile
6.10.18.1.1. Administrative Profile

Tapi is located in the south eastern part of

the state with a geographical spread of 3,239
sq.km 846. District shares border with Surat,
The Dangs, and Narmada districts of Gujarat
and Maharashtra state. Administratively Tapi
district is divided into 5 talukas and 488
villages 847 with Vyara as the district capital.
Vyara, Songadh, Nizar, Valod and Uchchhal
are taluka regions in the district.

Tapi

6.10.18.1.2. Demographic Profile

Tapi is a low human resource potential region in Gujarat state. The district has a total population of 8.06 lakhs 848 as
per 2011 Census accounting for only 1.3 percent 849 of the overall state population. It has witnessed a lower decadal
population growth in comparison to the state average. District population has witnessed a decadal growth rate of
12.07 percent 850 between 2001 and 2011 as against the state average of 19.17 percent 851 during the same period.
Significant portion of district population lives in rural areas with these regions accounting for nearly 90.21 percent 852
of the total population. Population spread in the district is relatively lower than the state average with a density of
249 persons per sq.km 853 as against state average of 308 persons per sq.km 854. Analysis of population distribution in
the district as per 2001 census indicates higher human resource potential in the talukas of Vyara and Sonagadh.
Details of regional distribution of population in the district are presented in the table.

846
Census 2011 Statistics
847
Census 2011 Statistics
848
Census 2011 Statistics
849
Census 2011 Statistics
850
Census 2011 Statistics
851
Census 2011 Statistics
852
Census 2011 Statistics
853
Census 2011 Statistics
854
Census 2011 Statistics

388
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Regional Distribution of Population in the District 855

Region Contribution to District Population Population Density
(2001) (Persons per Sq.km- 2001)
Vyara 35% 307
Songadh 28% 169
Nizar 15% 266
Valod 12% 431
Uchchhal 10% 118

The district has a higher proportion of females than males. As per 2011 census district has a gender ratio of 1004
females per 1000 males 856 as against the state average ratio of 918 females per 1000 males 857. High levels of male
migration into the industrial clusters of Tapi are a key reason for higher female composition of population. Overall
reserved categories contribute to significantly high proportion of district population indicating the need for inclusion
focus on development scheduled categories within Tapi district.

Education attainment levels in the district are significantly lower than the state average. As per 2011 estimates,
district has registered an overall literacy rate of 69.23 percent 858 as against state average of 79.31 percent 859.
Continuing regional and gender disparities in literacy rates is a key concern within the district. Urban-rural literacy
gap in Surendranagar is estimated to be 18.47 percent 860 comparable to the state average of 14.58 percent 861.
Similarly, district has a male-female literacy gap of 15.17 percent 862 as against 16.5 percent 863 for Gujarat state.
Efforts towards increasing inclusion focus in mass education programs are recommended to develop a quality
workforce in Tapi district.

6.10.18.1.3. Economic Profile

The economy of the district is predominantly dependent on agriculture. Major minerals are not present in significant
quantities in the district. Tapi however is a major source of minor minerals like black trap and sand. The major
mineral based industries in Tapi are stone crushing units.

Analysis of regional distribution of investments in Tapi district indicates that the industrial development is
concentrated in Valod Talukas. In recent years, the state Government has initiated measures to further enhance the
industrial growth in Valod through suitable incentives leading to an increased investment potential of these regions
over the next decade. Details of region wise large scale investments in Tapi district till 2012 is presented in the table.

855
Census 2001Statistics, KPMG Analysis
856
Census 2011 Statistics
857
Census 2011 Statistics
858
Census 2011 Statistics
859
Census 2011 Statistics
860
Census 2011 Statistics
861
Census 2011 Statistics
862
Census 2011 Statistics
863
Census 2011 Statistics

389
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Large Scale Investment Scenario In Tapi 864

Region Commissioned Under Implementation
No. of Units Investment No. of Units Investment (
( INR Cr) INR Cr)

Nizar 3 31 2 8

Valod 2 53 3 3583

Vyara 1 24 1 4

District Total 6 108 6 3595

Moderate growth of industrialization in the district has widened the scope for establishment of ancillary units in
MSME segment. As per the MSME investment Part–II statistics, overall there are 179 units operating in the district
attracting an investment of INR 4,001 lakhs in 2012. Investment outlook in MSME segment of Tapi district is
presented in the table.

MSME Investment Scenario in Tapi 865

Category of Industries Number of Units Investment In Lakhs
Micro 165 1643
Small 14 2368
Medium -- --
Total 179 4011
Manufacturing Sector Units 142 3506
Service Enterprises 37 505

MSME segment in Tapi is dominated by agro and food processing manufacturing industries in terms of units.
However, in terms of investments, textile and apparel and mining & quarrying remain the prominent categories.
Composition of MSME manufacturing units and investments are presented in the chart.

864
IEM, MSME Part-II Data till 2012-13
865
IEM, MSME Part-II Data till 2012-13

390
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

MSME Manufacturing Scenario in the District 866

Composition of MSME Manufacturing Units Composition of Investments in MSME
Manufacturing Units
Mining &
Manufacturing of Quarrying Manufacturin Mining &
Engineering 5.6% g of Quarrying
Goods Engineering 14.5%
Eletrical & 12.0% Goods
Eletronics Mineral 10.3%
2.1% Prosessing &
Fabrication
7.4%

Mineral Chemical &

Chemical Agro & Food
Prosessing & Processing
Fabrication Products
6.2% 12.7%
Rubber & Plastics 15.5%
0.7% Agro & Food
Processing Wooden
40.1% Products &
Chemical & Furniture
Chemical 4.2%
Textile &
Wooden Products Textile & Apparel
Products & 4.9% Apparel 44.5%
Furniture 11.3%
7.7%

While the level of organized investments in services enterprises is low as evident from the MSME Part-II statistics,
sectors of whole sale and retail trade, Printing and Publishing and IT-ITES have seen considerable investments in the
district. Composition of MSME service enterprises and investments are presented in the chart.

MSME Services Sector Scenario in the District 867

Composition of MSME Service Enterprises Composition of Investments in MSME
Service Enterprises
Hospitality and Hospitality and
Tourism Tourism
2.7% 1.0% IT- ITES
22.2%
IT- ITES
21.6%

Other Services
Other Services 46.1%
40.5% Whole sale &
Retail Trade
10.0%

Whole sale & Printing & Transportation

Retail Trade Publishing 0.8%
Printing & 16.2% 20.0%
Publishing
16.2%
Transportation
2.7%

866
IEM, MSME Part-II Data till 2012-13
867
IEM, MSME Part-II Data till 2012-13

391
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

With 30 primary healthcare centers, 5 community healthcare centers and 2 hospitals, Tapi is considered to be a
highly penetrated district with regards to healthcare, with each institution being required to cater to an average of
20163 people.

The district, however, suffers from low penetration of financial services with only 38 bank offices 868 in the district.
The total deposit amount sum to 1,049 Cr. INR and the credit amounts to 363 Cr. INR. Per financial institution, there
exist 21,223 people, on average, that need to be catered to. In the last 5 years, there has been a slow growth at a
CAGR of 6%, a rate insufficient to serve the current requirements. Credit and deposit amounts are both growing at a
rate of 20% in the same period.

Tapi enjoys a moderate connectivity with major Gujarat cities through the National Highways and the State
Highways. Via Surat, travelers can access Delhi and Mumbai; Tapi is connected to Surat through NH 6. Intrastate and
interstate linkages have been established through the rail network, which connects Tapi with Valsad, Vapi and
Mumbai in south and with Bharuch, Vadodara and Ahmedabad in north.

Development of tourism in the district can be facilitated through enhancing transportation networks. Tapi does
contain several tourist attractions such as the Fort of Songadh, Dosvada Dam, Tapi River, Ukai Dam and Gaumukh.
The Rokadia Hanuman Mandir, Suryatapeshwar Mandir, Kalyanraiji Mandir, Saibaba Mandir and Firangi Mandir are a
few of the religious locations that also constitute the tourism scene in the region.

Tapi’s agro-climatic zone has been classified as a constituent of the Gujarat plains and hills region. The district
witnesses heavy rainfall, primarily from the South-west monsoon. The region also has heavy black soils, covering
over 40% of the total area with Lateritic soil observed in the hilly region. Thus, owing to the soil and rainfall
conditions, of the total geographical area of 500000 hectares, over 45% of the land is cultivable indicating a modest
agricultural environment.
The net irrigated area sums up to 63400 hectares and nearly 112974 hectares of land is fed by rainfall 869

The climatic and soil conditions favor the growth of cotton and paddy in the kharif period and to some extent
groundnut as well. Sugarcane is the primary crop cultivated in the rabi season and is the highest produced crop in the
district thus paving the way for potential investments in the sugar processing sector due to raw material proximity
(On an average, over 7500000 tonnes of sugarcane are produced) 870. Amongst fruits, the Tapi region grows mango,
sapota, papaya, custard apple and banana; with the production of banana being the highest.

6.10.18.2. Workforce Distribution in the district

The district has very low level secondary and tertiary sectoral penetration resulting in high dependency on
agriculture. As high as 85 percentage of the total workforce is engaged in the primary sector. While the total worker
participation rate is higher than the state average, high manpower requirements in agrarian activities due to low
output efficiency would indicate significant under employment in this category. The district can only explore

868
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
869
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
870
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07

392
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

opportunities for sourcing trained manpower to industrial clusters of Surat and Vadodara considering the low levels
of organized employment opportunities. Comparison of workforce distribution scenario in Tapi and Gujarat is
presented in the table 871.

Percentage of Employment
Region Labour Force Workforce Primary Secondary
Participation Participation Sector Sector Tertiary Sector
Tapi 72.56% 49.8% 87.94% 2.49% 9.57%
Gujarat 59.27% 41.95% 59.34% 15.86% 24.8%

Organized industrial employment in registered factories and service enterprises has been significantly low with only
1500 employment opportunities created in MSME segment.
Organized Employment in Tapi 872
Category of Industries Employment
Large Scale Industries (Commissioned + Under Implementation) 3423
MSME Category 1505
Manufacturing Units 1313
Service Enterprises 192
Total 4928

Among the manufacturing units in MSME segment agro and food processing, mineral processing and fabrication and
manufacturing of engineering goods have accounted for majority share of the employment in all the categories of
industries. Whole sale & retail trade, IT-ITES, Publishing & printing are major employment generating sectors within
tertiary enterprises. Details of sector wise industrial employment in manufacturing and services MSME units as per
2012 statistics are presented in the chart.

MSME Employment Overview in the District 873

Composition of Employment in Composition of Employment in
MSME Manufacturing Units MSME Service Enterprises
Manufacturing Mining & Hospitality
of Engineering Quarrying and Tourism
Goods 8.4%
13.7%
6.8%
Eletrical &
Eletronics IT- ITES
3.3% 14.1%
Other
Agro & Food
Processing
Services
28.6% 33.9%
Whole sale &
Mineral
Prosessing & Retail Trade
Fabrication 16.1%
21.7%
Textile &
Apparel Transportatio
Chemical & 8.9% Wooden
Chemical Products & n
Products Furniture Printing & 2.1%
7.0% 8.1% Publishing
27.1%

871
KPMG Analysis
872
IEM, MSME Part-II Data till 2012-13
873
IEM, MSME Part-II Data till 2012-13

393
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

6.10.18.3. Human Resource Requirement Projections in Tapi (2012-22)

Incremental manpower requirement in the district of Tapi has been estimated based on several parameters such as
investments trends, national level benchmarks on industrial growth across sectors, state manufacturing policy
targets, performance of state against economy targets, national level inclusion targets for certain sectors,
employment generation potential of various sectors based on labour elasticity and market based insights from
discussions with industries in Tapi. Based on the analysis of current state of workforce distribution and potential
employment opportunities in various sectors incremental manpower requirement in key primary, secondary and
tertiary segments is estimated for the periods 2012-17 and 2017-22. Further, manpower requirement is classified into
skilled, semi skilled and minimally skilled categories considering the present level of employment in these categories
for respective sectors and analysis of expected developments in the industry that would lead to significant
realignment of categories. Detailed approach for manpower estimations is presented in the appendix and specific
factors for estimation are discussed below.

Primary Sector:

Considering the increasing level of farm mechanization and sharing agricultural land usage, the period between 2012
and 2022 would witness a net outflow of workforce from agricultural activities. Agricultural workforce displacement
is expected to be significant in the marginal workers category. A significant portion of the workforce would engage in
agri-allied activities depending on the availability of allied resources and migrational constraints. Incremental
manpower requirement for the agri- allied activities is estimated considering the following parameters

• Current level of employment in agricultural activities(farmers, agricultural labourers)

• Estimated displacement factors for agricultural workforce based on Planning Commission Projections for
2012-17 and 2017-22 periods and analysis of level of mechanization and allied factors in Gujarat
• Employment potential in agri-allied activities in the district considering the level of involvement in the
respective activities and regional conditions

Manufacturing Sector:

Manpower requirement in secondary sector is driven by investments and output growth. Various factors including
analysis of manufacturing, sub sector policies, investment trends, availability of resources, are considered for the
incremental manpower estimation in different subsectors of manufacturing in the district. Human resource
requirement projections for manufacturing sub sectors in the district are estimated considering the following
parameters

• Manufacturing growth targets for Gujarat for 2012-17 and 2017-22(Increasing secondary sector share in
GSDP to 32% by 2017)
• Identifying key growth sub segments within the district based on study of existing industrial base, primary
interactions
• Estimation of growth targets for the district based on analysis of investment trends in the district in
comparison to the state, available infrastructure, policy thrust on key manufacturing segments identified for
the district
• Labour elasticity factors in the potential sectors for the district

394
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Tertiary Sector:

Employment growth in some of the services sector is driven by Government thrust in terms of budgetary allocations to
achieve inclusion targets in education, healthcare and banking while the other segments including hospitality and
tourism, financial intermediation, communication, retail would depend on the level of economic activity in the region
resulting in high or low spending capacity of population. Also segments like IT-ITES, transportation& logistics are
driven by investments into infrastructure and manpower. Hence human resource requirement projections for services
sub sectors would have specific approaches depending on the growth drivers for the segments in the district.
Detailed methodology for estimation of manpower in services sub-segments is presented in the appendix.

Based on the analysis of socio economic conditions, investment scenario and availability resources incremental
manpower requirement has been estimated for the following sectors.

Primary Sector

• Agriculture & Allied Activities( Horticulture, Sericulture, Animal Husbandry and Fisheries)

Secondary Sector

• Textile and Apparel

• Manufacturing of Engineering Goods( Including Auto & Auto Components)
• Chemical & Chemical Products(Including Petro Chemicals)
• Agro & Food Processing
• Electrical and Electronics
• Mineral Processing & Fabrication
• Infrastructure(Construction)

Tertiary Sector

• IT-ITES
• Transportation & Logistics(including port based logistics)
• Banking & Financial Services
• Organized Retail
• Hospitality & Tourism
• Healthcare
• Education & Training

Incremental manpower requirements for the priority sectors in Amreli district are presented in the table 874.

874
KPMG Analysis

395
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Sector 2012-17 2017-22

Skilled Semi Minimally Total Skilled Semi Minimally Total
Skilled skilled Skilled skilled
Agriculture &
NA NA 8953 8953 NA NA 7498 7498
Allied Activities
Agro & Food
41 163 203 406 36 145 182 364
Processing
Textile & Apparel 3 10 13 25 2 9 11 23
Wooden Products
2 9 12 23 2 8 10 21
& Furniture
Chemical &
Chemical 2 8 10 20 2 7 9 18
Products
Mineral
Processing & 39 156 194 389 35 139 174 348
Fabrication
Electrical &
1 4 5 9 1 3 4 8
Electronics
Manufacturing of
Engineering 17 68 84 169 15 60 76 151
Goods
Construction 179 358 3041 3577 160 320 2720 3200
Trade, Retail 289 433 2167 2889 316 474 2369 3158
Transportation &
18 284 338 640 15 233 277 524
Logistics
IT-ITES
Hospitality &
281 422 2108 2810 225 337 1686 2248
Tourism
Banking &
Financial 1387 4162 NA 5549 971 2913 NA 3884
Services
Healthcare 172 775 NA 947 229 1147 NA 1377
Education &
227 1526 NA 1753 340 916 NA 1256
Training

Skill requirements in key growth sectors have been analyzed based on industry interactions to understand the
detailed manpower needs. Sector level skill interventions are indicated in the section below 875.

Secondary Sector (Manufacturing, Construction & Energy):

• Food Processing:
Category of Skills Skills

Core Skills Fitter, Electrician, Wireman, Instrumentation, Lab Technician

875
KPMG Analysis

396
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Allied Skills Instrumentation, Packaging (Jar, Pouch) Operator, AOCP, Lab Attendant, Boiler
Operator, QC Chemists

Skills with acute shortage PPO is required in industries having in house packing development.

• Metal & Mineral Processing:

Category of Skills Skills
Core Skills Fitter, Welder, Turner, Electrician

Allied Skills Melter, Boiler Operator

Skills with acute shortage PCB instrumentation

• Construction:
Category of Skills Skills
Core Skills Electricians, carpenters, barbenders, welders and masons

Allied Skills Minimally skilled workers

Skills with acute shortage Machine operators

Services:
• Banking & Financial Services:
Category of Skills Skills
Core Skills Knowledge on core banking/mobile/internet platforms

Allied Skills Sales & Marketing

Skills with acute shortage insurance underwriting, claims management

• Transportation :

397
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Category of Skills Skills

Core Skills Heavy vehicle drivers, logistics management

Allied Skills Administrative, computer data management

Skills with acute shortage Scheduling and logistics planning

Primary Sector:

• Cultivation:
Category of Skills Skills
Core Skills Awareness about high yield varieties, micro nutrients and pest Control, Organic
farming and Vermi compost methods, Micro irrigation techniques
Allied Skills Knowledge on food processing techniques and related procedures to extract
greater value from farm produce

Skills with acute shortage Usage and repair of farm equipments, Marketing and management practice

• Agri- Allied Activities:

Category of Skills Skills
Core Skills Modern rearing techniques of live stock, piggery, goatery and fisheries

Allied Skills Knowledge on processing techniques

Skills with acute shortage Marketing and distribution of forest/animal husbandry produce

6.10.18.4. Human Resource Supply Scenario in the District

6.10.18.4.1. Estimation of Labour Force Supply
District-wise incremental supply has been determined based on net addition of labour force. Gross addition to
working age group population during 2012-17 and 2017-22 were determined based on Census 2011 age wise
population accounting for death rate and life expectancy normalized against population corrections in 2017 and 2022.
Applying labour force participation rates, considering the historical trends, gross additions to labour force were
estimated for the two time periods. Accommodating for retirement from the existing pool of labour force, net supply
to labour force has been estimated.

398
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Tapi is among the districts with low human resource growth potential during 2012-22. Being a district with low
human resource base coupled with effects of migration incremental labour force is significantly lower than other
districts. Details of human resource growth estimations during 2012-22 are presented in the table 876.

Period Gross Addition to Working Gross Addition to Labour Net Addition to Labour
Age Population Force Force-Supply

2012-17 75,920 49,042 30,195

2017-22 66,615 43,881 23,444

6.10.18.4.2. Education and Training Potential in the District

Tapi district has around 888 K12 schools out of which there are 861 government schools with a share of 96.96
percent of total schools. Further, it has the highest share of K12 government schools among all districts.

In the vocational education segment, the district lags is an average performer in comparison to the state average.
Private interest in the sector in this district is very low indicating that the state must take proactive measures in
seeking private support to augment vocational training infrastructure.

Region Number of Seat Vocational Training Private Sector

ITIs Capacity Capacity Density (Seats Participation in
Per 1000 Population) Vocational Training
Tapi 7 1,930 2.39 3%
Gujarat 711 138,106 2.29 26%

Given the unequal distribution of seats, capacity expansion in vocational education in Tapi district needs to be
focused on the tehsils of Vyara, Songadh and Nizar to bring them on par with the district average in vocational
education capacity.
Taluka Seat Capacity Vocational Training Private Sector
Capacity Density(Seats Participation in
Per 1000 Population) Vocational Training
Uchchhal 312 3.10 0%
Valod 320 2.66 0%
Vyara 656 1.91 6%
Songadh 434 1.54 2%
Nizar 208 1.43 0%
Tapi Total 1930 2.39 3%

876
KPMG Analysis

399
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

6.10.18.4.3. Demand-Supply Gap Analysis for the District

Incremental skill category wise supply for the periods 2012-17 and 2017-22 in the district are estimated based on net
output from higher education institutions (skilled), vocational training(semi skilled), minimally skilled (school
education) for periods 2012-17 and 2017-22 considering the LPR estimations for the districts in 15-59 age group and
retirement from existing labour force.

Based on the skill category human resource demand projections for 2012-22 and net supply potential, category wise
Demand-Supply gap estimations for the district are presented in the table below

Category Wise Demand-Supply Gap in the District (2012-22)

2012-17 2017-22
Sector Skilled Semi Minimally Total Skilled Semi Minimally Total
Skilled skilled Skilled skilled
Demand-Supply
Gap 172 6,451 (8,654) (2,036) (520) 4,222 (3,070) 634
*(Indicates excess supply)
6.10.18.4.4. Skill Development Potential through Government Endowments

According to KPMG estimates, based on the potential district budgetary allocation for various central government
schemes around 23 thousand people in total can be trained incrementally during the five year period of 2012-17.
Ministry of Agriculture and Ministry of Labour Schemes are expected to contribute to a significant share of the
training. Manpower training targets have predominant focus on primary sector considering the low level of industrial
development in the district. Private training providers have opportunities in livelihood training programs.

Government Funded Incremental Training Capacity (2012-17) - Tapi District 877

M/O Agriculture 5246

SGSY 4197
SDI-MES 4007
Using Construction Cess 2369
Others 1536
D/O IT 1469
Credit Scheme 1402
SJSRY 1152
ART - M/o Tribal Affairs 1102
SCA under TSP - M/o Tribal Affairs 661
CSR Funds from Central PSUs 334
Hunar Se Rozgar 281
ISDS - Textiles 32

877
KPMG Analysis

400
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

6.10.18.5. District Specific Recommendations

Considering these factors, the proposed action plan for stakeholders in skill development in district would indicate
the following priority areas:

Stakeholder Action Points for Stakeholders

NSDC Focus on increasing participation from national/regional private skill training providers
with focus on the following sectors
• Transportation and Logistics
• Healthcare
• Construction
• Hospitality and Tourism
• Banking and Financial Services
District Provide skill training in conjunction with private skill training providers using government
Administration endowment training schemes
• Agro and Food Processing
• Mineral Processing and Fabrication
• Mining and Quarrying
• Textile and Apparel
• Wooden Products
Private Skill Provide skill training in the sectors of
Training • Transportation and Logistics
Providers • Healthcare
• Construction
• Hospitality and Tourism
• Banking and Financial Services
Corporate Provide training for skills in those sector where the requirement for absorption within the
corporate is higher such as
• Construction
• Retail
• Transportation and Logistics
Initiate and support modular employability skill training in collaboration with private
players/Government
Create placement linkage opportunities in training institutions

401
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

6.10.19. Skill Gap Assessment of Vadodara District

6.10.19.1. Socioeconomic Profile
6.10.19.1.1. Administrative Profile

Vadodara is located in the eastern part

of the state with a geographical spread
of 7,555 sq.km 878. District shares
border with Anand, Bharuch, Narmada,
Dahod, Panchmahals, Kheda districts
of Gujarat and Madhya Pradesh,
Maharashtra states. Administratively
Vadodara district is divided into 12
talukas and 1548 villages 879 with Vadodara
Vadodara city as the district capital.
Vadodara, Padra, Karjan, Savli,
Waghodiya, Dabhoi, Sinor, Sankheda,
Chhota Udepur, Naswadi, Kwant and
Pavi Jetpur are taluka regions in the
district.

6.10.19.1.2. Demographic Profile

Vadodara is a high human resource potential region in Gujarat state. District has a total population of 41.58 lakhs 880
as per 2011 Census accounting for only 6.9 percent 881 of the overall state population. The district has witnessed a
lower decadal population growth in comparison to the state average. District population has witnessed a decadal
growth rate of 14.16 percent 882 between 2001 and 2011 as against the state average of 19.17 percent 883 during the
same period. District population is equally distributed among urban and rural areas. Population spread in the district
is higher than the state average with a density of 551 persons per sq.km 884 as against state average of 308 persons
per sq.km 885. Analysis of population distribution in the district as per 2001 census indicates higher human resource
potential in the taluka of Vadodara accounting for nearly half of the total district population. Details of regional
distribution of population in the district are presented in the table.

878
Census 2011 Statistics
879
Census 2011 Statistics
880
Census 2011 Statistics
881
Census 2011 Statistics
882
Census 2011 Statistics
883
Census 2011 Statistics
884
Census 2011 Statistics
885
Census 2011 Statistics

402
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Regional Distribution of Population in the District 886

Region Contribution to District Population Population Density
(2001) (Persons per Sq.km- 2001)
Vadodara 47% 2460
Padra 7% 443
Savli 7% 300
Jetpur 6% 280
Chhota 6% 265
Sankheda 5% 257
Dabhoi 5% 290
Kavant 5% 281
Karjan 4% 270
Vaghodia 4% 236
Nasvadi 3% 372
Sinor 2% 236

The district has marginally better gender composition of population. As per 2011 census district has a gender ratio of
934 females per 1000 males 887 as against the state average ratio of 918 females per 1000 males 888. Gender ratio of
the district has improved from 919 females per 1000 males 889 in 2001 to 934 females per 1000 males by 2011 890.
Overall reserved categories contribute to significantly high proportion of 32.17 percent 891 in district population
indicating the need for inclusion focus on development scheduled categories within Vadodara district.

Education attainment levels in the district are better than the state average. As per 2011 estimates, the district has
registered an overall literacy rate of 81.21 percent 892 as against state average of 79.31 percent 893. Continuing
regional and gender disparities in literacy rates is a key concern within the district. Urban-rural literacy gap in
Vadodara is estimated to be 20.78 percent 894 comparable to the state average of 14.58 percent 895. Similarly, the
district has a male-female literacy gap of 13.19 percent 896 percent as against 16.5 percent 897 for Gujarat state. Efforts
towards increasing inclusion focus in mass education programs is recommended to develop a quality workforce in
Vadodara district.

886
Census 2001Statistics, KPMG Analysis
887
Census 2011 Statistics
888
Census 2011 Statistics
889
Census 2011 Statistics
890
Census 2011 Statistics
891
Census 2001Statistics, KPMG Analysis
892
Census 2011 Statistics
893
Census 2011 Statistics
894
Census 2011 Statistics
895
Census 2011 Statistics
896
Census 2011 Statistics
897
Census 2011 Statistics

403
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

6.10.19.1.3. Economic Profile

The Delhi-Mumbai Industrial Corridor passes through Vadodara, making it a key destination for attracting industrial
investments. Vadodara is the exclusive producer of Dolomite and Fluorspar in Gujarat, offering scope for tremendous
growth in the processing industries.

Several Government companies such as GSFC and GACL have their manufacturing plants in the district. Gujarat’s
leading educational institutions are located in Vadodara, offering skilled and intellectual manpower in abundance for
various industries and R&D activities.

Proximity of Vadodara to key industrial centers of Gujarat such as Ahmedabad (via India’s first Expressway), Bharuch
and Surat, along NH8 could be considered a major driver for growth of the economy

Analysis of regional distribution of investments in Vadodara district indicates that the industrial development is
concentrated in Vadodara, Salvi, Padra and Waghodia Talukas while other regions like Kwant, Jetpur – Pavi, Chota
Udaipur, Dabhoi and Sinor still remain backward in terms of industrial development. Over the recent years State
Government has initiated measures to enhance the industrial growth in main talukas across the state through
suitable incentives leading to an increased investment potential of these regions over the next decade. Details of
region wise large scale investments in Vadodara district till 2012 is presented in the table.

Large Scale Investment Scenario In Vadodara 898

Region Commissioned Under Implementation
No. of Units Investment No. of Units Investment (
( INR Cr) INR Cr)

Vadodara 329 15631 92 1791

Salvi 137 2498 35 902

Padra 116 2284 73 1625

Waghodia 53 2117 31 2482

Karjan 23 1571 10 315
Sinor 2 41 1 9
Dabhoi 1 3 -- --
Chhota Udaipur -- -- 2 93
Jetpur-Pavi -- -- 1 0
Kwant -- -- 1 0

898
IEM, MSME Part-II Data till 2012-13

404
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Not Classified 4 93 20 954

District Total 665 24238 266 8171

Rapid growth of industrialization in the district has widened the scope for establishment of ancillary units in MSME
segment. As per the MSME investment Part–II statistics, overall there are 7051 units operating in the district
attracting an investment of INR 4,05,772 lakhs in 2012. Investment outlook in MSME segment of Vadodara district is
presented in the table

MSME Investment Scenario in Vadodara 899

Category of Industries Number of Units Investment In Lakhs
Micro 5,644 125,613
Small 1,338 212,393
Medium 69 67,766
Total 7,051 405,772
Manufacturing Sector Units 4,918 347,928
Service Enterprises 2,133 57,845

MSME segment in Vadodara is dominated by manufacturing industries in terms of both volume and investments.
Among the manufacturing based MSME units mineral processing and fabrication, chemical and chemical products
and manufacturing of engineering goods are prominent categories in terms of number of units and investment.
Composition of MSME manufacturing units and investments are presented in the chart.

MSME Manufacturing Sector Scenario in the District 900

Composition of MSME Manufacturing Units Composition of Investments in MSME
Manufacturing Units
Mining &
Textile &
Quarrying Agro & Food Textile & Apparel
Mining & Apparel
1.7% Processing 4.5% Agro & Food
Quarrying 2.8%
3.8% Processing
Manufacturin 2.1%
Construction g of 4.0%
1.0% Wooden Products Engineering Wooden
& Furniture Goods Products &
2.5% 20.8% Furniture
Paper & Paper 1.4%
Products Paper &
Manufacturing of
2.8% Paper
Engineering
Goods Chemical & Products
22.7% Chemical Products Chemical & 2.5%
14.7% Chemical
Eletrical & Products
Eletrical &
Eletronics 23.1%
Eletronics
7.0% Mineral
6.3%
Prosessing &
Mineral Rubber & Plastics Fabrication
Prosessing & 5.9% 31.1%
Fabrication Rubber &
32.2% Plastics
4.4%

899
IEM, MSME Part-II Data till 2012-13
900
IEM, MSME Part-II Data till 2012-13

405
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

While the level of organized investments in services enterprises is relatively lower than manufacturing sector
enterprises, the district still has a overall higher composition of service based enterprises from a state perspective.
Sectors of whole sale and retail trade and Transportation & Logistics have seen considerable investments in the
district. Composition of MSME service enterprises and investments are presented in the chart.

MSME Services Sector Overview in the District 901

Composition of MSME Service Enterprises Composition of Investments in MSME
Service Enterprises
Hospitality and
Tourism
4.0% IT- ITES
4.3% Whole sale & Hospitality IT- ITES
and Tourism 2.4%
Retail Trade
10.1% 6.2%

Whole sale &

Retail Trade
Transportation 13.9%
10.0%
Transportatio
Other Services n
68.0% Other
Printing & 7.3%
Services
Publishing
63.7% Printing &
3.4%
Publishing
6.2%

Several historical sites in the district, such as the Aurobindo Society, Baroda Museum & Gallery, Darbar Hall, EME
temple, Khanderao market, Kirti Mandir, Champaner, Lehripura Gate, Laxmi Vilas Palace and the Makarpura Palace
have helped bring tourists to the region. There are also other sites like the Mahatma Gandhi Nagar Gruh, Maharaja
Fatehsinh Museum, Mandvi gate, Maqbara (Hajira), Nazarbaug Palace and Nyaymandir (District court).

Healthcare in the district is looked after by the 78 primary centers, 16 community health centers, 6 hospitals and 14
dispensaries. The district also has Bankers Heart Institute and Baroda Heart Institute & Research Centre 902.

Vadodara is connected to Delhi, Mumbai, Ahmedabad, Rajkot and Surat through the NH 8 and the DMIC. The district
also has the State Highway 6 that provides access to important regions in the state, such as Ahmedabad and Surat.
Vadodara witnessed the completion India’s first expressway connecting the district with Ahmedabad. Apart from the
roadways, the railways help connect the region with important capitals of other states like Mumbai and Delhi, as
well as major districts in the Gujarat. Vadodara does host a domestic airport with linkages with Delhi, Mumbai,

901
IEM, MSME Part-II Data till 2012-13
902
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07

406
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Chennai and Bangalore. In the pipeline, plans exist to develop the Vadodara airport as an “Aircraft Maintenance Hub”
for Western India.

Banks in Vadodara have a bank to customer base ratio of 8,590, making it a highly penetrated district in Gujarat with
regards to financial services. There exist 484 bank offices that hold a total deposit amount of Rs. 40,898 Cr. and have
lent Rs. 32,005 Cr., as of May 2012 903. The number of banks continued to increase at a CAGR of 6.4% between 2007
and 2012. The growth rate of deposits exceeded that of the credit amount in the same time window.

Vadodara enjoys medium to high rainfall conditions and falls in the Middle Gujarat agro-climatic zone. The region
witnesses an average rainfall of 800mm to 1000mm with high potassium content in the soil, which is predominantly
of the black-clayey kind. 68% of the total area 904 in the region is cultivable owing to favorable soil characteristics.
Paddy, pulses, cotton and maize are the key Kharif crops while wheat, tobacco, sugarcane and maize are cultivated in
the Rabi season. Horticulture in the district consists of the cultivation of vegetables like brinjal, tomato and okra;
fruits such as pear, guava, mangoes and citrus fruits. The ratio of the Rabi to Kharif crop is about 0.2, indicating low
multi-cropping in the district. Presently, the usage of hybrid crop varieties is low. There is a need for Taluka Seed
farms in the district to improve the availability of good quality seeds. 48% of the net cultivable area has been
brought under irrigation.

The soil experiences deficiency in nitrogen and has led to the increased use of nitrogen rich fertilizers. Awareness
levels on organic farming and vermin-compost methods are low. This lacuna needs to be addressed in order to
promote sustainable agricultural practices.

Livestock in the district consists mainly of cows and buffalos. There are 444671 cows and 385583 buffalos 905 being
raised in the region currently. Other domestic animals would include goat and poultry. There exists a need for
integrating animal husbandry with the promotion of organic farming amongst small and marginal farmers alongside
the strengthening of animal husbandry activities.

6.10.19.2. Workforce Distribution in the district

Vadodara being an industrial hub in Gujarat has made significant progress towards reducing dependency on
agriculture. State comparable work force and labour force participation rates are attributed to low female
participation despite the growing industrial activity in the district. Efforts towards higher levels of gender inclusion in
education and employment are expected to improve the situation over the next decade. Comparison of workforce
distribution scenario in Vadodara and Gujarat is presented in the table 906.

Percentage of Employment
Region Labour Force Workforce Primary Secondary
Participation Participation Sector Sector Tertiary Sector

903
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
904
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
905
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
906
KPMG Analysis

407
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Vadodara 57.33% 41.71% 55.9% 15.16% 28.94%

Gujarat 59.27% 41.95% 59.34% 15.86% 24.8%

Organized industrial employment in registered factories and service enterprises has been significantly high with over
2.4 lakh employment opportunities created in large scale and MSME segments. Detailed breakup of employment
opportunities in the district is presented in the table.
Organized Employment in Vadodara 907
Category of Industries Employment
Large Scale Industries (Commissioned + Under Implementation) 143547
MSME Category 97492
Manufacturing Units 76048
Service Enterprises 21444
Total 241039

Regional and sectoral analysis of large scale industrial employment indicates a clear concentration of employment in
key sectors. Vadodara, Padra, Salvi and Waghodia talukas account for a majority share of employment in this
category. Chemical and Chemical Products, Electrical and Electronics and Pharmaceuticals are major employment
generating segments within the district. Regional and sectoral break up of large scale industrial employment is
presented in the chart.

Large Scale Industrial Overview in the District 908

Regional Distribution of Large Scale Composition of Employment in Large Scale
Industrial Employment Industries
Communication Pharmaceutical
Agro & Food
Karjan 2% s
Not Classified 10% Processing
6% 3%
2% Transportation
3% Textile &
Apparel
Construction
4%
Material
4%
Manufacturing
Waghodia of Engineering Chemical &
13% Goods Chemical
Vadodara 7% Products
48% 34%

Padra
16% Eletrical &
Eletronics
Salvi 15%
14%
Mineral Rubber &
Prosessing & Plastics
Fabrication 8%
7%

Among the manufacturing units in MSME segment Mineral Processing and Fabrication, Manufacturing of Engineering
Goods and Chemical and Chemical Products Manufacturing have accounted for majority share of the employment in
all the categories of industries. Whole sale & retail trade and IT-ITES are major employment generating sectors

907
IEM, MSME Part-II Data till 2012-13
908
IEM, MSME Part-II Data till 2012-13

408
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

within tertiary enterprises. Details of sector wise industrial employment in manufacturing and services MSME units
as per 2012 statistics are presented in the chart.

MSME Segment Employment Overview in the District 909

Composition of Employment in MSME Composition of Employment in MSME
Manufacturing Units Service Enterprises
Agro & Food
Mining & Processing
Agri-Allied Quarrying 3.9%
Activities 1.4%
2.0% Hospitality and
Textile & Apparel
Tourism IT- ITES Whole sale &
3.1%
Wooden Products 3.5% 6.9% Retail Trade
& Furniture 7.0%
2.0%

Manufacturing of Paper & Paper

Engineering Products Transportation
Goods 2.1% 5.0%
20.4% Chemical &
Chemical
Eletrical &
Products Printing &
Eletronics
17.3% Publishing
8.6%
3.0%
Other Services
Rubber & Plastics 73.0%
Mineral 5.6%
Prosessing &
Fabrication
32.5%

6.10.19.3. Human Resource Requirement Projections in Vadodara (2012-22)

Incremental manpower requirement in the district of Vadodara has been estimated based on several parameters such
as investments trends, national level benchmarks on industrial growth across sectors, state manufacturing policy
targets, performance of state against economy targets, national level inclusion targets for certain sectors,
employment generation potential of various sectors based on labour elasticity and market based insights from
discussions with industries in Vadodara. Based on the analysis of current state of workforce distribution and potential
employment opportunities in various sectors incremental manpower requirement in key primary, secondary and
tertiary segments is estimated for the periods 2012-17 and 2017-22. Further, manpower requirement is classified into
skilled, semi skilled and minimally skilled categories considering the present level of employment in these categories
for respective sectors and analysis of expected developments in the industry that would lead to significant
realignment of the categories. Detailed approach for manpower estimations is presented in the appendix and specific
factors for estimation are discussed below.

Primary Sector:

Considering the increasing level of farm mechanization and sharing agricultural land usage, period between 2012 and
2022 would witness a net outflow of workforce from the agricultural activities. Agricultural workforce displacement
is expected to be significant in marginal workers category. A significant portion of the workforce would engage in

909
IEM, MSME Part-II Data till 2012-13

409
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

agri-allied activities depending on the availability of allied resources and migrational constraints. Incremental
manpower requirement for the agri- allied activities is estimated considering the following parameters

• Current level of employment in agricultural activities(farmers, agricultural laborers)

• Estimated displacement factors for agricultural workforce based on Planning Commission Projections for
2012-17 and 2017-22 periods and analysis of level of mechanization and allied factors in Gujarat
• Employment potential in agri-allied activities in the district considering the level of involvement in the
respective activities and regional conditions

Manufacturing Sector:

Manpower requirement in secondary sector is driven by investments and output growth. Various factors including
analysis of manufacturing, sub sector policies, investment trends, availability of resources, are considered for the
incremental manpower estimation in different subsectors of manufacturing in the district. Human resource
requirement projections for manufacturing sub sectors in the district are estimated considering the following
parameters

• Manufacturing growth targets for Gujarat for 2012-17 and 2017-22(Increasing secondary sector share in
GSDP to 32% by 2017)
• Identifying key growth sub segments within the district based on study of existing industrial base, primary
interactions
• Estimation of growth targets for the district based on analysis of investment trends in the district in
comparison to the state, available infrastructure, policy thrust on key manufacturing segments identified for
the district
• Labour elasticity factors in the potential sectors for the district

Tertiary Sector:

Employment growth in some of the services sector is driven by Government thrust in terms of budgetary allocations to
achieve inclusion targets in education, healthcare and banking while the other segments including hospitality and
tourism, financial intermediation, communication, retail would depend on the level of economic activity in the region
resulting in high or low spending capacity of population. Also segments like IT-ITES, transportation & logistics are
driven by investments into infrastructure and manpower. Hence human resource requirement projections for services
sub sectors would have specific approaches depending on the growth drivers for the segments in the district.
Detailed methodology for estimation of manpower in services sub-segments is presented in the appendix.

Based on the analysis of socio economic conditions, investment scenario and availability resources incremental
manpower requirement has been estimated for the following sectors.

Primary Sector

• Agriculture & Allied Activities( Horticulture, Sericulture, Animal Husbandry and Fisheries)

Secondary Sector

• Textile and Apparel

410
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

• Manufacturing of Engineering Goods( Including Auto & Auto Components)

• Chemical & Chemical Products(Including Petro Chemicals)
• Drugs & Pharmaceuticals
• Agro & Food Processing
• Electrical and Electronics
• Mineral Processing & Fabrication
• Construction Material(Cement, Ceramics)
• Rubber & Plastics
• Paper & Paper Products
• Infrastructure(Construction)

Tertiary Sector

• IT-ITES
• Transportation & Logistics(including port based logistics)
• Banking & Financial Services
• Organized Retail
• Hospitality & Tourism
• Healthcare
• Education & Training

Incremental manpower requirements for the priority sectors in Vadodara district are presented in the table 910.

Sector 2012-17 2017-22

Skilled Semi Minimally Total Skilled Semi Minimally Total
Skilled skilled Skilled skilled
Agriculture &
NA NA 25817 25817 NA NA 21620 21620
Allied Activities
Agro & Food
192 768 960 1920 172 687 858 1717
Processing
Textile & Apparel 188 751 938 1876 168 671 839 1678
Wooden Products
32 129 162 323 29 116 145 289
& Furniture
Paper & Paper
46 183 228 457 41 163 204 409
Products
Chemical &
Chemical 1347 5387 6733 13467 1205 4818 6023 12045
Products
Rubber & Plastics 337 1347 1684 3368 301 1205 1506 3012
Mineral
Processing & 785 3139 3924 7848 702 2808 3510 7020
Fabrication
Electrical & 608 2430 3038 6076 543 2174 2717 5435

910
KPMG Analysis

411
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Electronics
Manufacturing of
Engineering 568 2274 2842 5684 508 2034 2542 5084
Goods
Manufacturing of
Construction 113 453 567 1134 101 406 507 1014
Material
Drugs and
301 1203 1503 3006 269 1076 1344 2689
Pharmaceuticals
Misc.
35 138 173 346 31 124 155 309
Manufacturing
Construction 922 1844 15676 18442 825 1650 14021 16495
Trade, Retail 1489 2234 11170 14894 1628 2442 12211 16281
Transportation &
1905 30252 35992 68148 1559 24751 29448 55758
Logistics
IT-ITES 12000 30000 NA 42000 10000 24000 NA 34000
Hospitality &
1608 2412 12060 16080 1286 1930 9648 12864
Tourism
Banking &
3427 10282 NA 13710 2399 7198 NA 9597
Financial Services
Healthcare 1070 4816 NA 5886 1426 7129 NA 8555
Education &
1431 9631 NA 11062 2146 5779 NA 7925
Training

Skill requirements in key growth sectors have been analyzed based on industry interactions to understand the
detailed manpower needs. Sector level skill interventions are indicated in the section below 911.

Secondary Sector (Manufacturing, Construction & Energy):

• Auto & Auto Components

Subsector Skills

Auto Assembling and Component Core Skills: Motor Mechanic, Diesel Mechanic, Fitter, Welder, Fabricators
Manufacturing
Allied Skills: Electrician, Wireman

Acute Skill Deficits: Specialized welders in Arc welding who can work in
extreme conditions on advanced fabrication equipments

• Textile & Apparel:

Category of Skills Skills

Core Skills Ring frame operator, weaver, processing operator (CDR,BDR,Stuntor), Bar-
coding machine operator

911
KPMG Analysis

412
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Electrician, Wireman, Fitter

Allied Skills
The industry has high attrition rates in operator roles (semi skilled) owing to
Skills with acute shortage extreme working conditions.

• Chemical & Chemical Products:

Category of Skills Skills

Core Skills Mechanical, Electrical skills

Allied Skills Instrumentation, boiler attendant,AOCP, lab attendants

Skills with acute shortage MSc/BSc chemists, Electronic Automation with understanding of PLC systems

• Electrical & Electronics:

Category of Skills Skills

Core Skills Electronics, PPO, Electrical, Instrumentation

Allied Skills Fitter

Skills with acute shortage PPO trade is a key deficit in all industries involving plastic processing

Electronics and Instrumentation

• Metal & Mineral Processing:

Category of Skills Skills
Core Skills Fitter, Welder, Turner, Electrician

Allied Skills Melter, Boiler Operator

Skills with acute shortage PCB instrumentation

• Drugs & Pharmaceuticals:

Category of Skills Skills

Core Skills Process Operator, Packaging Operator, Process Technicians, Lab QC

413
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Technicians -Lab Technicians (Analytical), R&D Technicians

Allied Skills Electrician, Instrumentation

Skills with acute shortage Bio-instrumentation

• Construction:
Category of Skills Skills
Core Skills Electricians, carpenters, barbenders, welders and masons

Allied Skills Minimally skilled workers

Skills with acute shortage Machine operators

Services:
• Banking & Financial Services:
Category of Skills Skills
Core Skills Knowledge on core banking/mobile/internet platforms

Allied Skills Sales & Marketing

Skills with acute shortage insurance underwriting, claims management

• Transportation :
Category of Skills Skills
Core Skills Heavy vehicle drivers, logistics management

Allied Skills Administrative, computer data management

Skills with acute shortage Scheduling and logistics planning

• Organized Retail:
Category of Skills Skills
Core Skills Shop floor executives/supervisors, computer operator

414
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Allied Skills Transportation & logistics staff

Skills with acute shortage Store management, stock planning

Primary Sector:

• Cultivation:
Category of Skills Skills
Core Skills Awareness about high yield varieties, micro nutrients and pest Control, Organic
farming and Vermi compost methods, Micro irrigation techniques
Allied Skills Knowledge on food processing techniques and related procedures to extract
greater value from farm produce

Skills with acute shortage Usage and repair of farm equipments, Marketing and management practice

• Agri- Allied Activities:

Category of Skills Skills
Core Skills Modern rearing techniques of live stock, piggery, goatery and fisheries

Allied Skills Knowledge on processing techniques

Skills with acute shortage Marketing and distribution of forest/animal husbandry produce

6.10.19.4. Human Resource Supply Scenario in the District

6.10.19.4.1. Estimation of Labour Force Supply
District-wise incremental supply has been determined based on net addition of labour force. Gross addition to
working age group population during 2012-17 and 2017-22 were determined based on Census 2011 age wise
population accounting for death rate and life expectancy normalized against population corrections in 2017 and 2022.
Applying labour force participation rates, considering the historical trends, gross additions to labour force were
estimated for the two time periods. Accommodating for retirement from the existing pool of labour force, net supply
to labour force has been estimated.

415
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Vadodara is among the districts with high human resource growth potential during 2012-22. Better employment
opportunities within the district would drive inward migration of workforce from within and outside Gujarat resulting
in higher growth of manpower supply. Details of human resource growth estimations during 2012-22 are presented in
the table 912.

Period Gross Addition to Working Gross Addition to Labour Net Addition to Labour
Age Population Force Force-Supply

2012-17 393,227 237,767 145,880

2017-22 363,174 222,577 113,266

6.10.19.4.2. Education and Training Potential in the District

District has around 2888 K12 schools with 84.35 percent share of Government schools. The net enrollment ratio at
both primary levels and upper primary levels is lesser than the state average which indicates that there needs to be
more inclusive child education programs in Vadodara 913.

Total Enrollments Primary Level Upper Primary Level Secondary Level Higher Secondary
in 2009-10 (Std I-V) (Std VI-VIII) (Std IX-X) Level (Std XI-XII)
Vadodara 361952 122543 153505 58235

Comparing the district’s enrolment statistics with state average indicates that the district is a weak performer in the
primary education category 914
Region Net Enrolment Ratio (Primary Level) Net Enrolment Ratio (Upper Primary Level)
Vadodara 77.6 41.8
Gujarat 85.4 50.7

In the vocational education segment, the district lags behind in the provision of vocational training in comparison to
state average. Private interest in the sector in this district is also lower indicating that the state must take proactive
measures in seeking private support to augment vocational training infrastructure 915.

Region Number of Seat Vocational Training Private Sector

it is Capacity Capacity Density (Seats Participation in
Per 1000 Population) Vocational Training
Vadodara 48 9,168 2.21 26%
Gujarat 711 138,106 2.29 26%

912
KPMG Analysis
913
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat
914
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat
915
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat

416
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Given the unequal distribution of seats, capacity expansion in vocational education in Vododara district needs to be
focused on the tehsils of Savli, Naswadi, Sankheda, Karjan, Kawant, Padra, Pavi Jetpur and Chotaudepur to bring
them on par with the district average in vocational education capacity 916.
Taluka Seat Capacity Vocational Training Private Sector
Capacity Density(Seats Participation in
Per 1000 Population) Vocational Training
Vadodara 5688 2.92 26%
Vaghodiya 440 2.89 35%
Sinor 184 2.33 35%
Dabhoi 464 2.22 72%
Savli 472 1.74 0%
Naswadi 236 1.66 0%
Sankheda 316 1.49 0%
Karjan 272 1.47 50%
Kawant 256 1.32 44%
Padra 352 1.28 27%
Pavi Jetpur 268 1.04 0%
Chhotaudepur 220 0.95 0%
District Total 9168 2.21 26%

The district has 8 pharmacy colleges, 3 engineering colleges, 2 MCA colleges and 13 arts and science, commerce
colleges in the district. Vadodara has Maharaja Sayajirao University (MS University), renowned for several
departments such as fine arts, medicine, arts & commerce, journalism & communication, among several others. Other
well renowned institutions include Indian Institute of Materials Management and National Fire Academy. The district
also has institutes providing courses in physiotherapy, ayurvedic and homeopathic medicines.

6.10.19.4.3. Demand-Supply Analysis for the District

Incremental skill category wise supply for the periods 2012-17 and 2017-22 in the district are estimated based on net
output from higher education institutions (skilled), vocational training(semi skilled), minimally skilled (school
education) for periods 2012-17 and 2017-22 considering the LPR estimations for the districts in 15-59 age group and
retirement from existing labour force.

Based on the skill category human resource demand projections for 2012-22 and net supply potential, category wise
Demand-Supply gap estimations for the district are presented in the table below

Category Wise Demand-Supply Gap in the District (2012-22)

2012-17 2017-22
Sector Skilled Semi Minimally Total Skilled Semi Minimally Total
Skilled skilled Skilled skilled
Demand-Supply
Gap 8,650 94,358 12,656 115,664 3,542 72,254 34,736 110,530
*(Indicates excess supply)

916
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat

417
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

6.10.19.4.4. Skill Development Potential through Government Endowments

According to KPMG estimates, based on the potential district budgetary allocation for various central government
schemes around 1.28 lakh people in total can be trained incrementally during the five year period of 2012-17.
Ministry of Agriculture and Ministry of Labour Schemes are expected to contribute to a significant share of the
training. Manpower training targets have predominant focus on primary sector considering the low level of industrial
development in the district. Private training providers have opportunities in livelihood training programs.

Government Funded Incremental Training Capacity (2012-17) - Vadodara District 917

SJSRY 30040

SDI-MES 20656

M/O Agriculture 15126

Using Construction Cess 13449

SGSY 12101

Others 7918

D/O IT 7574

Credit Scheme 7230

ART - M/o Tribal Affairs 6466

SCA under TSP - M/o Tribal Affairs 3879

CSR Funds from Central PSUs 1721

Hunar Se Rozgar 1610

ISDS - Textiles 640

6.10.19.5. District Specific Recommendations

Considering these factors, the proposed action plan for stakeholders in skill development in district would indicate
the following priority areas:

Stakeholder Action Points for Stakeholders

NSDC Focus on increasing participation from national/regional private skill training providers

917
KPMG Analysis

418
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

with focus on the following sectors

• Transportation and Logistics
• Healthcare
• Construction
• Hospitality and Tourism
• Banking and Financial Services
District Provide skill training in conjunction with private skill training providers using government
Administration endowment training schemes
• Mineral Processing and Fabrication
• Chemical Products
• Manufacturing of Engineering Goods
Private Skill Provide skill training in the sectors of
Training • Transportation and Logistics
Providers • Healthcare
• Construction
• Hospitality and Tourism
• Banking and Financial Services
Corporate Provide training for skills in those sector where the requirement for absorption within the
corporate is higher such as
• Construction
• Retail
• Transportation and Logistics
Initiate and support modular employability skill training in collaboration with private
players/Government
Create placement linkage opportunities in training institutions

419
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

6.10.20. Skill Gap Assessment of Valasad District

6.10.20.1. Socioeconomic Profile
6.10.20.1.1. Administrative Profile

Valasad is located in the southern part of the

state with a geographical spread of 2,939
sq.km 918. District shares border with Navsari
district of Gujarat, Daman (UT) and
Maharashtra state. Administratively Valasad
district is divided into 5 talukas and 434
villages 919 with Valsad town as the district
capital. Valsad, Pardi, Umargam, Dharampur
and Kaprada are taluka regions in the
district.

Valasad

6.10.20.1.2. Demographic Profile

Valasad is a medium human resource potential region in Gujarat state. The district has a total population of 17.03
lakhs 920 as per 2011 Census accounting for only 2.8 percent 921 of the overall state population. It has witnessed
relatively higher population growth in comparison to the state average. District population has witnessed a decadal
growth rate of 20.74 percent 922 between 2001 and 2011 as against the state average of 19.17 percent 923 during the
same period. The district is predominantly rural with a rural proportion of 62.77 percent 924. Population spread in the
district is higher than the state average with a density of 561 persons per sq.km 925 as against state average of 308
persons per sq.km 926. Analysis of population distribution in the district as per 2001 census indicates higher human
resource potential in the talukas Pardi and Valasad. Details of regional distribution of population in the district are
presented in the table.

918
Census 2011 Statistics
919
Census 2011 Statistics
920
Census 2011 Statistics
921
Census 2011 Statistics
922
Census 2011 Statistics
923
Census 2011 Statistics
924
Census 2011 Statistics
925
Census 2011 Statistics
926
Census 2011 Statistics

420
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Regional Distribution of Population in the District 927

Region Contribution to District Population Population Density
(2001) (Persons per Sq.km- 2001)
Pardi 29% 953
Valsad 27% 755
Umbergaon 17% 653
Kaprada 14% 319
Dharampur 13% 253

As per 2011 census, the district has a gender ratio of 926 females per 1000 males 928 as against the state average
ratio of 918 females per 1000 males 929. Gender ratio of district has marginally improved from 920 females per 1000
males 930 in 2001 to 926 females per 1000 males by 2011. Scheduled tribes contribute to significantly high proportion
of 54.76 percent 931 in district population indicating the need for inclusion focus on development scheduled tribes
within Valasad district.

Education attainment levels in the district are marginally better than the state average. As per 2011 estimates,
district has registered an overall literacy rate of 80.94 percent 932 as against state average of 79.31 percent 933.
Continuing regional and gender disparities in literacy rates is a key concern within the district. Urban-rural literacy
gap in Valasad is estimated to be 19.25 percent 934 comparable to the state average of 14.58 percent 935. Similarly,
district has a male-female literacy gap of 11.52 percent 936 as against 16.5 percent 937 for Gujarat state. Efforts
towards increasing inclusion focus in mass education programs are recommended to develop a quality workforce in
Valasad district.

6.10.20.1.3. Economic Profile

Valasad is an industrial base for sectors such as chemicals, textiles, and paper & pulp industries. Since 1980’s,
Textile and Chemicals have been the major sectors of investments and employment in the district. The district is also
an emerging as a horticulture hub of the State, witnessing significant production in food grains and crops.

With presence of large number of medium and large scale industries, Vapi is a major industrial center in Valsad
witnessing tremendous business activities. One of the Asia’s largest Common Effluent Treatment Plant (CETP) is
present in Vapi, owned by Vapi Waste & Effluent Management Company and promoted by Vapi Industrial
Association.

927
Census 2001Statistics, KPMG Analysis
928
Census 2011 Statistics
929
Census 2011 Statistics
930
Census 2011 Statistics
931
Census 2001Statistics, KPMG Analysis
932
Census 2011 Statistics
933
Census 2011 Statistics
934
Census 2011 Statistics
935
Census 2011 Statistics
936
Census 2011 Statistics
937
Census 2011 Statistics

421
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Several small and medium enterprises (SMEs), involved in different sectors, such as chemicals, textiles, engineering,
and paper industry etc., are present in the district. Some of the private conglomerates are present in Valsad, including
Wyeth, Welspun Polyesters India Ltd., Aarti Industries, Atul industries, Gujarat Heavy Chemicals Ltd. (GHCL),
Raymond, Sun Pharmaceuticals, United Phosphorus, Pidilite and Vadilal.

Analysis of regional distribution of investments in Valasad district indicates that industrial development is
concentrated in Pardi, Valasad and Umargam Talukas while other regions like Kaprada and Dharmapur still remain
backward in terms of industrial development. Over the recent years State Government has initiated measures to
enhance industrial growth in backward talukas across the state through suitable incentives leading to an increased
investment potential of these regions over the next decade. Details of region wise large scale investments in Valasad
district till 2012 is presented in the table.

Large Scale Investment Scenario In Valasad 938

Region Commissioned Under Implementation
No. of Units Investment No. of Units Investment (
( INR Cr) INR Cr)

Pardi 356 4532 112 2777

Umargam 171 1618 73 2063

Valasad 160 1961 78 1272

Dharmapur 13 117 3 39
Kaprada 9 27 3 41
Not Classified 6 65 21 745
District Total 715 8320 290 6937

Rapid growth of industrialization in the district has widened the scope for establishment of ancillary units in MSME
segment. As per the MSME investment Part–II statistics, overall there are 3402 units operating in the district
attracting an investment of INR 2, 93,883 lakhs in 2012. Investment outlook in MSME segment of Valasad district is
presented in the table.

938
IEM, MSME Part-II Data till 2012-13

422
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

MSME Investment Scenario in Valasad 939

Category of Industries Number of Units Investment In Lakhs
Micro 2548 48795
Small 775 158912
Medium 79 86176
Total 3402 293883
Manufacturing Sector Units 3012 285294
Service Enterprises 390 8590

MSME segment in Valasad is dominated by manufacturing industries in terms of both volume and investments.
Among the manufacturing based MSME units chemical and chemical products, mineral processing, agro and food
processing, and textile and apparel are prominent categories in terms of number of units and investment.
Composition of MSME manufacturing units and investments are presented in the chart.

MSME Manufacturing Sector Overview in the District 940

Composition of MSME Manufacturing Units Composition of Investments in MSME
Manufacturing Units
Mining &
Manufacturing of Quarrying Agro & Food
Engineering 1.0% Processing Mining &
Goods Manufacturing Quarrying Agro & Food
4.8% Textile & Apparel
10.1% of Engineering 1.0% Processing
13.4%
Goods 4.0% Textile &
Eletrical &
Eletronics 6.6% Apparel
2.6% Eletrical & 18.8%
Eletronics
2.4%

Wooden Mineral
Products & Prosessing &
Mineral Furniture Fabrication
Prosessing & 4.8% 16.4%
Fabrication
23.6% Wooden
Products &
Paper & Paper Rubber & Furniture
Products Plastics Chemical & 6.0%
7.1% 10.6% Chemical
Products
Chemical & 26.1%
Rubber & Chemical Paper & Paper
Plastics Products Products
9.5% 21.7% 6.5%

While the level of organized investments in services enterprises is low as evident from the MSME Part-II statistics,
sectors of whole sale and retail trade, Printing and Publishing and IT-ITES have seen considerable investments in the
district. Composition of MSME service enterprises and investments are presented in the chart.

939
IEM, MSME Part-II Data till 2012-13
940
IEM, MSME Part-II Data till 2012-13

423
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

MSME Services Sector Overview in the District 941

Composition of MSME Service Enterprises Composition of Investments in MSME
Hospitality and
Tourism
Service Enterprises
1.3%

Hospitality and
IT- ITES IT- ITES
Tourism
26.7% 2.6%
1.7%

Other Services
25.6%
Whole sale &
Retail Trade
20.4%
Printing & Transportation
Publishing Other Services 0.3%
9.7% 50.4%
Printing &
Publishing
Transportation
24.5%
0.5%

Whole sale &

Retail Trade
35.9%

Tourism contributes significantly to Valsad’s service sector. The region contains several tourism centers, such as the
Fire Temple at Udvada, a holy place for the parsis; Lady Wilson museum and the District Science Centre. Tourists also
visit Sahyadri Mountain, which is a designated UNESCO World Heritage Site. Apart from these locations, tourism in
the region is supplemented by visitors travelling to Daman and Diu.

The tourism is further bolstered by a robust transport network linking Valsad with the neighbouring regions in Gujarat
and with other states as well. The rail network provides connectivity to major destinations, such as Ahmedabad,
Mumbai and Delhi through the Western Railway. There has also been an increased focus on the betterment of the
road network with the announcement of several infrastructure development projects. Projects have also been
proposed for ports and rails. There are plans for developing a new Greenfield site, as an industrial port. A rail line to
connect the Maroli (Umargaon) port with Surat and Mumbai is also in the pipeline. The district, however, does not
have an airport; the nearest airport is located in Surat.

With regards to healthcare, the district sees a medium penetration of health services, with one medical institution
available for approximately 30,000 people in the region. There are 41 primary healthcare centers, 10 community
healthcare centers, 2 hospitals and 3 dispensaries 942. The Kasturba Hospital, Bhatia General Hostpital and Adarsh
Hospital are multi-specialty hospitals in the district having modern equipment.

The district also witnesses a moderate penetration in the financial sector having one bank for nearly 12,000 people.
The number of banks in the district has been growing at a year-on-year rate of 6.4% percent, however the amount of

941
IEM, MSME Part-II Data till 2012-13
942
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07

424
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

deposit and credit at growing at a CAGR of 19.8 % and 22.2% respectively 943 in the 2007-2012 period. Valsad has
146 bank offices with a total deposit and credit amount of 6,593 Cr INR and 3,477 Cr INR 944 as of 2012.

Being a high rainfall witnessing region, the majority of land is rainfed with only around 36 % of net cultivable area
under irrigation 945. This Agricultural irrigation in Valsad is predominantly dependent on canals and open wells. Large
scope for the operation and maintenance of tube wells for lift irrigation would mandate requirement of skilled
manpower with knowledge on repair and maintenance.

Poor nitrogen and high potash content in Valsad soils has resulted in large scale usage of nitrogen rich fertilizers.
Awareness levels on organic farming and vermi compost methods are low indicating a need to improve the same in
order to promote sustainable agricultural practices.

Cotton and Ragi are key kharif crops grown in the district while Niger & Indian Bean are the major rabi crops. The
ratio of area under Kharif to Rabi crop cultivation is 3.32 indicating good prospects for multiple cropping. Main
horticulture crops include banana, sapota and Okra and mango where the district topped the state in terms of
production 946. Currently usage of hybrid crop varieties is low with a need to promote across crop categories. There is
a need for Taluka Seed Farms in the district to improve the availability of quality seeds.

Cow and buffalos are main cattle varieties in Valsad with 300736 cows and 95430 buffalos. Other prominent
domestic animals under animal husbandry activities are goats. Each taluka of the district has a permanent pasture
though they are small in size. This opens up opportunity for animal husbandry which when clubbed with organic
farming can give impressive results.
Educating farmer communities/ groups on marketing and processing would be crucial to enhance the revenue
benefits to marginal communities by limiting the role of middlemen. Government initiative to set up agricultural
collection centers towards achieving this objective has to be supplemented by relevant training programs.

6.10.20.2. Workforce Distribution in the district

Valasad being an emerging industrial hub is witnessing significant growth of the secondary sector in regard to
overall employment. Traditionally the dependency on agriculture has been high as indicated by a marginally higher
dependency on primary sector than the state average, but in recent years there has been significant progress towards
secondary and tertiary activities. Comparison of workforce distribution scenario in Valasad and Gujarat is presented
in the table 947.

943
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
944
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
945
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
946
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
947
KPMG Analysis

425
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Percentage of Employment
Region Labour Force Workforce Primary Secondary
Participation Participation Sector Sector Tertiary Sector
Valasad 51.84% 34.55% 62.18% 18.48% 19.34%
Gujarat 59.27% 41.95% 59.34% 15.86% 24.8%

Organized industrial employment in registered factories and service enterprises has contributed to significant share
of employment in the district. While the unorganized sector still dominates the overall employment market, registered
and commissioned industrial units have generated an employment base of 1.3 lakhs in the district. Proposed large
scale industries along with existing units in the category have potential employment generation capacity of 70
thousand.

Organized Employment in Valasad 948

Category of Industries Employment
Large Scale Industries (Commissioned + Under Implementation) 108892
MSME Category 66296
Manufacturing Units 63375
Service Enterprises 2921
Total 175188

Regional and sectoral analysis of large scale industrial employment indicates a clear concentration of employment in
key sectors. Pardi, Umargam and Valasad talukas account for a majority share of employment in this category.
Textiles and apparel, chemical and chemical products are the key employment generating segments within the
district. Regional and sectoral break up of large scale industrial employment is presented in the chart.

Large Scale Industrial Overview in the District 949

Regional Distribution of Large Scale Composition of Employment in Large
Industrial Employment Construction Scale Industries
Material Other
Pharmaceutica
Dharmapur Not Classified Manufacturing 6% Manufacturing
ls
2% 4% of Engineering 3%
5%
Goods Agro & Food
Valasad 3% Eletrical & Processing
15% Eletronics 3%
3%

Mineral
Prosessing &
Fabrication
2% Textile &
Pardi Rubber & Apparel
Umargam 40%
56% Plastics
23%
4%
Chemical &
Chemical Paper & Paper
Products Products
20% 11%

948
IEM, MSME Part-II Data till 2012-13
949
IEM, MSME Part-II Data till 2012-13

426
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Among the manufacturing units in MSME segment, Mineral Processing and Fabrication, Textile and apparel, chemical
and chemical product units have accounted for majority share of the employment in all the categories of industries.
Whole sale & retail trade, IT-ITES, Publishing & printing are major employment generating sectors within tertiary
enterprises. Details of sector wise industrial employment in manufacturing and services MSME units as per 2012
statistics are presented in the chart

MSME Employment Overview in the District 950

Composition of Employment in MSME Composition of Employment in MSME
Manufacturing Units Service Enterprises
Manufacturing
of Engineering Agri-Allied Mining & Agro & Food
Goods Activities Quarrying Processing
8.5% 1.0% Hospitality and
0.2% 2.4%
Tourism IT- ITES
1.4% 9.4%
Eletrical &
Eletronics Textile &
2.3% Apparel Whole sale &
21.2% Retail Trade
21.5%

Mineral Other
Prosessing & Services
Fabrication Wooden 53.7%
22.6% Products & Transportation
Furniture 0.3%
6.0%
Chemical &
Rubber & Chemical
Products Printing &
Plastics Publishing
8.0% 19.7% Paper & Paper
13.4%
Products
6.6%

6.10.20.3. Human Resource Requirement Projections in Valasad (2012-22)

Incremental manpower requirement in the district of Valsad has been estimated based on several parameters such as
investments trends, national level benchmarks on industrial growth across sectors, state manufacturing policy
targets, performance of state against economy targets, national level inclusion targets for certain sectors,
employment generation potential of various sectors based on labour elasticity and market based insights from
discussions with industries in Valsad. Based on the analysis of current state of workforce distribution and potential
employment opportunities in various sectors incremental manpower requirement in key primary, secondary and
tertiary segments is estimated for the periods 2012-17 and 2017-22. Further, manpower requirement is classified into
skilled, semi skilled and minimally skilled categories considering the present level of employment in these categories
for respective sectors and analysis of expected developments in the industry that would lead to significant
realignment of the categories. Detailed approach for manpower estimations is presented in the appendix and specific
factors for estimation are discussed below.

950
IEM, MSME Part-II Data till 2012-13

427
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Primary Sector:

Considering the increasing level of farm mechanization and sharing agricultural land usage, the period between 2012
and 2022 would witness a net outflow of workforce from the agricultural activities. Agricultural workforce
displacement is expected to be significant in marginal workers category. A significant portion of the workforce would
engage in agri-allied activities depending on the availability of allied resources and migrational constraints.
Incremental manpower requirement for the agri- allied activities is estimated considering the following parameters

• Current level of employment in agricultural activities(farmers, agricultural laborers)

• Estimated displacement factors for agricultural workforce based on Planning Commission Projections for
2012-17 and 2017-22 periods and analysis of level of mechanization and allied factors in Gujarat
• Employment potential in agri-allied activities in the district considering the level of involvement in the
respective activities and regional conditions

Manufacturing Sector:

Manpower requirement in secondary sector is driven by investments and output growth. Various factors including
analysis of manufacturing, sub sector policies, investment trends, availability of resources, are considered for the
incremental manpower estimation in different subsectors of manufacturing in the district. Human resource
requirement projections for manufacturing sub sectors in the district are estimated considering the following
parameters

• Manufacturing growth targets for Gujarat for 2012-17 and 2017-22(Increasing secondary sector share in
GSDP to 32% by 2017)
• Identifying key growth sub segments within the district based on study of existing industrial base, primary
interactions
• Estimation of growth targets for the district based on analysis of investment trends in the district in
comparison to the state, available infrastructure, policy thrust on key manufacturing segments identified for
the district
• Labour elasticity factors in the potential sectors for the district

Tertiary Sector:

Employment growth in some of the services sector is driven by Government thrust in terms of budgetary allocations to
achieve inclusion targets in education, healthcare and banking while the other segments including hospitality and
tourism, financial intermediation, communication, retail would depend on the level of economic activity in the region
resulting in high or low spending capacity of population. Also segments like IT-ITES, transportation & logistics are
driven by investments into infrastructure and manpower. Hence human resource requirement projections for services
sub sectors would have specific approaches depending on the growth drivers for the segments in the district.
Detailed methodology for estimation of manpower in services sub-segments is presented in the appendix.

Based on the analysis of socio economic conditions, investment scenario and availability resources incremental
manpower requirement has been estimated for the following sectors.

Primary Sector

428
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

• Agriculture & Allied Activities( Horticulture, Sericulture, Animal Husbandry and Fisheries)

Secondary Sector

• Textile and Apparel

• Manufacturing of Engineering Goods( Including Auto & Auto Components)
• Chemical & Chemical Products(Including Petro Chemicals)
• Drugs & Pharmaceuticals
• Agro & Food Processing
• Electrical and Electronics
• Mineral Processing & Fabrication
• Construction Material(Cement, Ceramics)
• Rubber & Plastics
• Paper & Paper Products
• Infrastructure(Construction)

Tertiary Sector

• IT-ITES
• Transportation & Logistics(including port based logistics)
• Banking & Financial Services
• Organized Retail
• Hospitality & Tourism
• Healthcare
• Education & Training

Incremental manpower requirements for the priority sectors in Amreli district are presented in the table 951.

Sector 2012-17 2017-22

Skilled Semi Minimally Total Skilled Semi Minimally Total
Skilled skilled Skilled skilled
Agriculture & Allied
NA NA 13156 13156 NA NA 11017 11017
Activities
Agro & Food
117 469 587 1173 105 420 525 1049
Processing
Textile & Apparel 1290 5161 6452 12904 1154 4617 5771 11541
Wooden Products &
83 332 415 830 74 297 371 743
Furniture
Paper & Paper
363 1454 1817 3635 325 1300 1626 3251
Products
Chemical & Chemical
765 3059 3824 7648 684 2736 3420 6840
Products
Rubber & Plastics 209 836 1045 2090 187 748 935 1870

951
KPMG Analysis

429
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Mineral Processing &

369 1476 1846 3691 330 1321 1651 3301
Fabrication
Electrical &
116 463 578 1156 103 414 517 1034
Electronics
Manufacturing of
188 752 940 1880 168 673 841 1681
Engineering Goods
Manufacturing of
138 552 691 1381 124 494 618 1235
Construction Material
Drugs and
116 465 581 1162 104 416 520 1039
Pharmaceuticals
Misc. Manufacturing 80 320 401 801 72 287 358 717
Construction 378 755 6421 7554 338 676 5743 6757
Trade, Retail 610 915 4576 6101 667 1000 5002 6669
Transportation &
852 13534 16101 30487 697 11073 13174 24944
Logistics
IT-ITES 3600 9000 NA 12600 3000 7200 NA 10200
Hospitality & Tourism 827 1241 6203 8270 662 992 4962 6616
Banking & Financial
2524 7572 NA 10096 1767 5300 NA 7067
Services
Healthcare 439 1976 NA 2415 585 2925 NA 3510
Education & Training 678 4568 NA 5246 1018 2741 NA 3758

Skill requirements in key growth sectors have been analyzed based on industry interactions to understand the
detailed manpower needs. Sector level skill interventions are indicated in the section below 952.

Secondary Sector (Manufacturing, Construction & Energy):

• Textile & Apparel:

Category of Skills Skills

Core Skills Ring frame operator, weaver, processing operator (CDR,BDR,Stuntor), Bar-
coding machine operator

Electrician, Wireman, Fitter

Allied Skills
The industry has high attrition rates in operator roles (semi skilled) owing to
Skills with acute shortage extreme working conditions.

• Chemical & Chemical Products:

Category of Skills Skills

Core Skills Mechanical, Electrical skills

952
KPMG Analysis

430
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Allied Skills Instrumentation, boiler attendant,AOCP, lab attendants

Skills with acute shortage MSc/BSc chemists, Electronic Automation with understanding of PLC systems

• Metal & Mineral Processing:

Category of Skills Skills
Core Skills Fitter, Welder, Turner, Electrician

Allied Skills Melter, Boiler Operator

Skills with acute shortage PCB instrumentation

• Construction:
Category of Skills Skills
Core Skills Electricians, carpenters, barbenders, welders and masons

Allied Skills Minimally skilled workers

Skills with acute shortage Machine operators

Services:
• Banking & Financial Services:
Category of Skills Skills
Core Skills Knowledge on core banking/mobile/internet platforms

Allied Skills Sales & Marketing

Skills with acute shortage insurance underwriting, claims management

• Transportation :
Category of Skills Skills
Core Skills Heavy vehicle drivers, logistics management

431
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Allied Skills Administrative, computer data management

Skills with acute shortage Scheduling and logistics planning

• Education:
Category of Skills Skills
Core Skills School teachers, higher education faculty

Allied Skills Knowledge on advanced teaching tools

Skills with acute shortage Technical education trainers

Primary Sector:

• Cultivation:
Category of Skills Skills
Core Skills Awareness about high yield varieties, micro nutrients and pest Control, Organic
farming and Vermi compost methods, Micro irrigation techniques
Allied Skills Knowledge on food processing techniques and related procedures to extract
greater value from farm produce

Skills with acute shortage Usage and repair of farm equipments, Marketing and management practice

• Agri- Allied Activities:

Category of Skills Skills
Core Skills Modern rearing techniques of live stock, piggery, goatery and fisheries

Allied Skills Knowledge on processing techniques

Skills with acute shortage Marketing and distribution of forest/animal husbandry produce

432
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

6.10.20.4. Human Resource Supply Scenario in the District

6.10.20.4.1. Estimation of Labour Force Supply
District-wise incremental supply has been determined based on net addition of labour force. Gross addition to
working age group population during 2012-17 and 2017-22 were determined based on Census 2011 age wise
population accounting for death rate and life expectancy normalized against population corrections in 2017 and 2022.
Applying labour force participation rates, considering the historical trends, gross additions to labour force were
estimated for the two time periods. Accommodating for retirement from the existing pool of labour force, net supply
to labour force has been estimated.

Valasad is among the districts with moderate human resource growth potential during 2012-22. Limited employment
opportunities within the district would drive outward migration especially in the skilled category resulting in a
declining labour force growth in Valasad. Details of human resource growth estimations during 2012-22 are
presented in the table 953.

Period Gross Addition to Working Gross Addition to Labour Net Addition to Labour
Age Population Force Force-Supply

2012-17 116,878 73,594 62,450

2017-22 140,361 88,032 48,488

6.10.20.4.2. Education and Training Potential in the District

The district has around 1210 K12 schools with 86.61 percent share of Government schools. The net enrolment ratio of
the district at the primary level and the upper primary level is higher than the enrolment ratio of the state954.

Total Enrollments Primary Level Upper Primary Level Secondary Level Higher Secondary
in 2009-10 (Std I-V) (Std VI-VIII) (Std IX-X) Level (Std XI-XII)
Valsad 170612 57541 62366 27603

Comparing the district’s enrolment statistics with state average indicates that the district is a strong performer in the
primary education category 955
Region Net Enrolment Ratio (Primary Level) Net Enrolment Ratio (Upper Primary Level)
Valsad 94.3 54.5
Gujarat 85.4 50.7

953
KPMG Analysis
954
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat
955
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat

433
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

In the vocational education segment, the district lags behind in the provision of vocational training in comparison to
state average. Private interest in the sector in this district is also lower indicating that the state must take proactive
measures in seeking private support to augment vocational training infrastructure 956.

Region Number of Seat Vocational Training Private Sector

ITIs Capacity Capacity Density (Seats Participation in
Per 1000 Population) Vocational Training
Valsad 11 3,319 1.95 21%
Gujarat 711 138,106 2.29 26%

Given the unequal distribution of seats, capacity expansion in vocational education in Valsad district needs to be
focused on the tehsils of Umargam, Valasad and Kaparada to bring them on par with the district average in
vocational education capacity 957.

Taluka Seat Capacity Vocational Training Private Sector

Capacity Density(Seats Participation in
Per 1000 Population) Vocational Training
Dharampur 758 3.48 24%
Pardi 1184 2.42 11%
Umargam 512 1.79 0%
Valasad 597 1.28 62%
Kaparada 268 1.09 0%
District Total 3319 1.95 21%

The district has 2 pharmacy colleges, 1 engineering college and 8 arts and science, commerce colleges. With 120
seats, there is one Degree Engineering College present in Valsad offering engineering courses in mechanical and
chemical branches. Located in Vapi, G. M. Bilakhia Pharmacy College has an intake capacity of 60 students per year.
Rofel Institute of Management studies in Valsad offers full time MBA course and takes 120 students per annum.

6.10.20.4.3. Demand-Supply Gap Analysis for the District

Incremental skill category wise supply for the periods 2012-17 and 2017-22 in the district are estimated based on net
output from higher education institutions (skilled), vocational training(semi skilled), minimally skilled (school
education) for periods 2012-17 and 2017-22 considering the LPR estimations for the districts in 15-59 age group and
retirement from existing labour force.

Based on the skill category human resource demand projections for 2012-22 and net supply potential, category wise
Demand-Supply gap estimations for the district are presented in the table below

Category Wise Demand-Supply Gap in the District (2012-22)

2012-17 2017-22
Sector Skilled Semi Minimally Total Skilled Semi Minimally Total
Skilled skilled Skilled skilled
956
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat
957
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat

434
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Demand-Supply
Gap 864 44,916 26,047 71,826 1,043 35,984 29,330 66,351
*(Indicates excess supply)

6.10.20.4.4. Skill Development Potential through Government Endowments

According to KPMG estimates, based on the potential district budgetary allocation for various central government
schemes around 56 thousand people in total can be trained incrementally during the five year period of 2012-17. The
Ministry of Agriculture and the Ministry of Labour Schemes are expected to contribute to a significant share of the
training. Manpower training targets have predominant focus on primary sector considering the low level of industrial
development in the district. Private training providers have opportunities in livelihood training programs.

Government Funded Incremental Training Capacity (2012-17) - Valsad District 958

SJSRY 9247
SDI-MES 8461
M/O Agriculture 7708
SGSY 6167
Using Construction Cess 5404
ART - M/o Tribal Affairs 5162
Others 3243
D/O IT 3102
SCA under TSP - M/o Tribal… 3097
Credit Scheme 2961
Hunar Se Rozgar 828
CSR Funds from Central PSUs 705
ISDS - Textiles

6.10.20.5. District Specific Recommendations

Considering these factors, the proposed action plan for stakeholders in skill development in district would indicate
the following priority areas:

Stakeholder Action Points for Stakeholders

NSDC Focus on increasing participation from national/regional private skill training providers in
the following sectors
• Transportation and Logistics
• Healthcare
• Construction
• Hospitality and Tourism
• Banking and Financial Services

958
KPMG Analysis

435
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

District Provide skill training in conjunction with private skill training providers using government
Administration endowment training schemes
• Mineral Processing and Fabrication
• Chemical Products
• Manufacturing of Engineering Goods
Private Skill Provide skill training in the sectors of
Training • Transportation and Logistics
Providers • Healthcare
• Construction
• Hospitality and Tourism
• Banking and Financial Services
Corporate Provide training for skills in those sector where the requirement for absorption within the
corporate is higher such as
• Construction
• Retail
• Transportation and Logistics
Initiate and support modular employability skill training in collaboration with private
players/Government
Create placement linkage opportunities in training institutions

436
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

6.10.21. Skill Gap Assessment of Navsari District

6.10.21.1. Socioeconomic Profile
6.10.21.1.1. Administrative Profile

Navsari is a coastal district located in the

south eastern part of Gujarat with a
geographical spread of 2,658sq.km 959. The
district shares a border with Surat, The Dangs,
Valasad districts of Gujarat and Arabian
Ocean. Administratively Navsari district is
divided into 5 talukas and 372 villages 960.
Navsari, Jalalpore, Gandevi, Chukli and Vansda
are taluka regions in the district. .

Navsari

6.10.21.1.2. Demographic Profile

Navasari district has a relatively low human resource potential region in Gujarat state. The district has a total
population of 13.31 lakhs 961 as per 2011 Census district, accounting for 2.2 percent 962 of the overall state population.
It has witnessed the least decadal population growth among districts of Gujarat. Navsari population has witnessed a
decadal growth rate of 8.24 percent 963 between 2001 and 2011 in comparison to state average of 19.17 percent 964
during the same period. Significant portion (nearly 70% of total population 965) of district population lives in rural
areas. Population spread in the district is higher than the state average with a density of 602 persons per sq.km 966 as
against state average of 308 persons per sq.km 967. Analysis of population distribution in the district as per 2001
census indicates higher human resource potential in the talukas of Chikhli, Navsari and Gandhevi.

Details of regional distribution of population in the district are presented in the table.

959
Census 2011 Statistics
960
Census 2011 Statistics
961
Census 2011 Statistics
962
Census 2011 Statistics
963
Census 2011 Statistics
964
Census 2011 Statistics
965
Census 2011 Statistics
966
Census 2011 Statistics
967
Census 2011 Statistics

437
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Regional Distribution of Population in the District 968

Region Contribution to District Population Population Density
(2001) (Persons per Sq.km- 2001)
Chikhli 24% 510
Navsari 22% 1102
Gandevi 20% 815
Jalalpore 18% 448
Bansda 16% 336

Gender composition of district population is better than the state average. As per 2011 census, the district has a
gender ration of 961 females per 1000 males 969 as against the state average ratio of 918 females per 1000 males 970.
Further, it has witnessed an improving trend in female composition with the gender ratio increasing from 955
females per 1000 males 971 in 2001 to 960 females per 1000 males 972 by 2011. It is a key tribal zone in the state of
Gujarat, with the scheduled tribes accounting for 48.08 of overall district population 973. Overall reserved categories
contribute to 51.3 percent 974 of the total district population indicating the need for special focus on the upliftment of
these communities within Navsari.

Education attainment levels in the district are moderately higher than the state average. As per 2011 estimates, it
has registered an overall literacy rate of 80.78 percent 975 as against state average of 79.31 percent 976. The district
has made significant progress towards achieving higher levels of gender and regional inclusion in literacy. Urban-
rural literacy gap in Navsari is estimated to be 7.25 per cent 977 as against 14.58 percent 978 for the overall state.
Similarly, it still has a male-female literacy gap of 10.76 percent 979 as against 16.5 percent 980 for Gujarat state.
Increasing focus on literacy would create demand for education and training facilities within the district to support
the economic growth of the region.

6.10.21.1.3. Economic Profile

Textiles, diamond business, sugar industry, agro & food processing, paper, engineering and chemicals are some of
the key business sectors in Navsari. The district has well developed floriculture and horticulture activities owing to its
suitable climate and presence of a major player Best Roses Biotech Pvt. Ltd. Other large players in the district include
Gufic Biosciences Ltd., Tata Steel Ltd., and Mafatlal Industries. Analysis of regional distribution of investments in

968
Census 2001Statistics, KPMG Analysis
969
Census 2011 Statistics
970
Census 2011 Statistics
971
Census 2011 Statistics
972
Census 2011 Statistics
973
Census 2001Statistics, KPMG Analysis
974
Census 2001Statistics, KPMG Analysis
975
Census 2011 Statistics
976
Census 2011 Statistics
977
Census 2011 Statistics
978
Census 2011 Statistics
979
Census 2011 Statistics
980
Census 2011 Statistics

438
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Navsari district indicates that the industrial development is concentrated in Navsari and Jalalpore Talukas. Over the
recent years State Government has initiated some measures to enhance the industrial growth in backward taluka
Chikhli through suitable incentives to increase the investment potential of these regions over the next decade.

Details of region wise large scale investments in Navsari district till 2012 is presented in the table.
Large Scale Investment Scenario In Navsari 981
Region Commissioned Under Implementation
No. of Units Investment No. of Units Investment
( INR Cr) ( INR Cr)

Navsari 36 321 10 42

Gandevi 7 69 3 1
Jalalpore 3 125 1 7
Chikhli 2 5 4 59
Vansda 1 2 -- --
Not Classified 1 -- -- --
District Total 50 522 18 109

Rapid growth of industrialization in the district has widened the scope for establishment of ancillary units in MSME
segment. As per the MSME investment Part–II statistics, overall there are 1,790 units operating in the district
attracting an investment of INR 44,283 lakhs in 2012.

Investment outlook in MSME segment of Navsari district is presented in the table.

MSME Investment Scenario in Navsari 982

Category of Industries Number of Units Investment In Lakhs
Micro 1594 10839
Small 189 27077
Medium 7 6367
Total 1790 44283
Manufacturing Sector Units 1028 41767
Service Enterprises 762 2515

MSME segment in Navsari is dominated by manufacturing industries in terms of both volume and investments.
Among the manufacturing based MSME units, textile and apparel is the prominent category in terms of number of
units. However, in terms of investments, mining and quarrying, chemical and chemical products and textile and

981
IEM, MSME Part-II Data till 2012-13
982
IEM, MSME Part-II Data till 2012-13

439
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

apparel are the prominent industries. Composition of MSME manufacturing units and investments are presented in
the chart.
MSME Manufacturing Sector Overview in the District 983
Composition of MSME Manufacturing Units Composition of Investments in MSME
Manufacturing Units
Manufacturing of Auto-Auto Manufacturing
Engineering Components Agri-Allied of Engineering
Goods Construction 1.0% Goods Auto-Auto
Activities
8.7% 0.1% 13.2% Components Agri-Allied Mining &
0.2%
1.0% Activities Quarrying
Mineral 18.5%
Eletrical & Mining & 0.1%
Prosessing & Construction
Eletronics Quarrying
Fabrication 1.6%
1.6% 5.5%
8.1%
Eletrical &
Agro & Food Eletronics
Rubber & Plastics Processing 1.3%
2.0% 5.8%
Chemical & Mineral
Chemical Prosessing &
Products Fabrication
7.9% 13.8%
Agro & Food
Paper & Paper Textile & Apparel Processing
Products 53.1% 15.3%
Rubber & Textile &
0.8% Plastics Apparel
4.1% 9.9%
Wooden Products
& Furniture Chemical &
5.3% Chemical
Products Paper & Paper Wooden
13.2% Products Products &
0.7% Furniture
7.3%

While the level of organized investments in service enterprises is low as evident from the MSME Part-II statistics, IT-
ITES sector has seen considerable investments in the district. Composition of MSME service enterprises and
investments are presented in the chart.

MSME Services Sector Overview in the District 984

Composition of MSME Service Composition of Investments in
Printing &
Enterprises MSME Service Enterprises
Publishing
2.0%
Other
Whole sale Services
& Retail 12.2%
Trade Other
2.8% Services
28.0%

IT- ITES
47.3%

Whole sale &

Retail Trade
Printing & 7.3%
Publishing
IT- ITES 16.7%
82.3%

983
IEM, MSME Part-II Data till 2012-13
984
IEM, MSME Part-II Data till 2012-13

440
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

The tourism sector has attracted major investments during the Vibrant Gujarat Summits. The major tourist
destinations include Dandi, Somnath Mahadev temple, Dastur Meherji-Rana Library and Ubhrat - a beach and
amusement park. Apart from the above, the district also has Vansda National Park which includes 250 species of
plants and rich diversity of animal species.

The district has 37 primary healthcare centers, 10 community healthcare centers and 3 hospitals. There is also the
presence of hospitals like Navsari Agriculture University, Sugarcane Research Station and Mahatma Gandhi Institute
of Technical Education and Research. The Navsari Cancer Care Foundation has also undertaken a project to establish
a state-of-art Radiotherapy Unit at Civil Hospital Navsari, jointly with the Government of Gujarat 985.

The region has a robust health care system with high penetration of medical institution – 22,706 people per institute.
The district consists of Community Health Centers (10), Primary Healthcare Centers (37) in rural areas and about 3
hospitals and one dispensary in urban areas.

The Navsari district has strong connectivity. It is connected with the major cities in Gujarat like Ahmadabad, Surat
and Vadodara and other major Indian cities like Delhi, Mumbai and Ahmedabad. The rail network connects the
district with most of the major cities as well. The nearest domestic airport is at Surat. On the port infrastructure front,
the Gujarat Maritime Board has identified Vansi-Borsi as a green field site for developing a direct berthing deep
water port.

Navsari has 180 bank offices and the total bank deposit amounts to 9,537 Cr INR and the total credit amount of 1,530
Cr INR as of Mar 2012 986.. Navsari has the highest penetration of banking and financial services amongst all districts
with a density of 7,393 people per bank as of March 2012. While the CAGR of the number of bank offices in Navsari
stands at 4.6 percent from 2007 to 2012, the amount of deposit and credit have increased at a CAGR of 14.2 percent
and 12.6 percent respectively from 2007-2012.

Navsari has high rainfall conditions and mostly constitute the South Gujarat agro climatic zone. Owing to the soil
characteristics, majority of the district geographical land is cultivable (69 percent of total area). The location of the
district near the river and high rainfall has resulted in good forest coverage as well (20.46 percent of total
geographical area).

The district has a good spread of irrigation facilities with 51.72 percent 987 of net cultivable area under irrigation.
Agricultural irrigation in Navsari is predominantly dependent on canals followed by open wells with a 45 percent and
41 percent share of net irrigated area respectively. Large scope for the operation and maintenance of pumps and tube
wells would mandate requirement of skilled manpower with knowledge on repair and maintenance. Further there is
an increasing need to promote micro irrigation and water management programs in the district.

985
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
986
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
987
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07

441
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Poor nitrogen content in Navsari soils has resulted in large scale usage of nitrogen rich fertilizers. Awareness levels
on organic farming and vermi compost methods are low indicating a need to improve the same in order to promote
sustainable agricultural practices.

Paddy, Jowar, Pulses (Tur, Moong, Black gram), Groundnut and Ragi are key Kharif crops while Paddy, Wheat,
Sorghum, Tur, Green gram, Castor and Sugarcane are major Rabi crops grown in the district. Main horticulture crops
include fruits (mainly mangoes), vegetables and flowers. The ratio of area under Rabi to Kharif crop is around 0.5
which indicates significant potential for improvement in multiple cropping. Currently usage of hybrid crop varieties is
low with a need to promote across crop categories. The district has 3 Taluka Seed Farms which are targeted to
improve the availability of quality seeds.

Cow and buffalos are main cattle varieties in Navsari with 1,11,715 cows 988 and 82,966 buffalos 989. Other prominent
domestic animal under animal husbandry activities is goat. Availability of large pasture lands indicates significant
potential to promote animal husbandry in the district. Along with strengthening animal husbandry activities among
small and marginal farmers through advanced rearing training, there is a need for integrating the animal husbandry
with promotion of organic farming as well.

6.10.21.2. Workforce Distribution in the district

Dependency on agricultural activities for livelihood opportunities in Navsari is on par with the state average. Over 60
percent of total workforce is engaged in primary sector. Secondary and tertiary sectors have nearly equal
contributions to the workforce of the district. While the penetration of secondary sector is marginally better than the
state average, high level of unorganized activity has limited the extent of organized job prospects within the district.

Comparison of workforce distribution scenario in Navsari and Gujarat is presented in the table 990.
Percentage of Employment
Region Labour Force Workforce Primary Secondary
Participation Participation Sector Sector Tertiary Sector
Navsari 63.16% 44.35% 62.18% 18.48% 19.34%
Gujarat 59.27% 41.95% 59.34% 15.86% 24.8%

Registered factories and service enterprises have created employment opportunities to the extent of 25 thousand.
MSME category is dominated by food processing and non metallic processing units, accounting for a majority share
of overall employment in the sector. Manufacturing of apparel, food processing, equipment manufacturing are the
other key employment generating sectors in MSME segment.

988
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
989
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
990
KPMG Analysis

442
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Organized Employment in Navsari 991

Category of Industries Employment
Large Scale Industries (Commissioned + Under Implementation) 18,585
MSME Category 13,662
Manufacturing Units 12,514
Service Enterprises 1,148
Total 32,247

Regional and sectoral analysis of large scale industrial employment indicates a clear concentration of employment in
key sectors. Navsari and Gandevi account for a majority share of employment in this category. Textiles and Apparel
and Agro and Food Processing are major employment generating segments within the district. Regional and sectoral
break up of large scale industrial employment is presented in the chart.

Large Scale Industrial Employment Overview in the District 992

Regional Distribution of Large Scale Industrial Composition of Employment in Large Scale
Employment Industries
Not Classified
Jalalpore Chikhli 1%
2% Agro & Food
3% Processing
15%

Gandevi
9%
Other
Manufacturing
46%
Textile &
Apparel
29%

Navsari Pharmaceuticals
86% 1% Chemical &
Chemical
Construction
Manufacturing Products
Material
of Engineering 2%
1%
Goods
5%

Among the manufacturing units in MSME segment Textile, chemical and chemical product manufacturing, wooden
products and furniture units have accounted for majority share of the employment in all the categories of industries.
Whole sale & retail trade and IT-ITES are major employment generating sectors within tertiary enterprises. Details
of sector wise industrial employment in manufacturing and services MSME units as per 2012 statistics are presented
in the chart.

991
IEM, MSME Part-II Data till 2012-13
992
IEM, MSME Part-II Data till 2012-13

443
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

MSME Employment Overview in the District 993

Composition of Employment in MSME Composition of Employment in MSME
Manufacturing Units Service Enterprises
Auto-Auto
Components Agri-Allied Mining &
2.3% Activities Quarrying
0.1% Hospitality and
7.2%
Manufacturing Construction Tourism
of Engineering 0.8% 0.7%
Goods
11.6%
Eletrical & Agro & Food
Eletronics Processing
1.6% 12.3% Other Services
20.9%
Mineral Printing &
Prosessing & Publishing
Fabrication 8.4%
12.0% Textile & Apparel
13.2% Transportation
0.0% IT- ITES
Rubber & Plastics 60.5%
3.5% Chemical &
Chemical
Products Wooden Products Whole sale &
11.3% & Furniture Retail Trade
23.4% 9.5%
Paper & Paper
Products
0.8%

6.10.21.3. Human Resource Requirement Projections in Navsari (2012-22)

Incremental manpower requirement in the district of Navsari has been estimated based on several parameters such
as investments trends, national level benchmarks on industrial growth across sectors, state manufacturing policy
targets, performance of state against economy targets, national level inclusion targets for certain sectors,
employment generation potential of various sectors based on labour elasticity and market based insights from
discussions with industries in Navsari. Based on the analysis of current state of workforce distribution and potential
employment opportunities in various sectors, incremental manpower requirement in key primary, secondary and
tertiary segments is estimated for the periods 2012-17 and 2017-22. Further, manpower requirement is classified into
skilled, semi skilled and minimally skilled categories considering the present level of employment in these categories
for respective sectors and analysis of expected developments in the industry that would lead to significant
realignment of the categories. Detailed approach for manpower estimations is presented in the appendix and specific
factors for estimation are discussed below.

Primary Sector:

Considering the increasing level of farm mechanization and sharing agricultural land usage, the period between 2012
and 2022 would witness a net outflow of workforce from the agricultural activities. Agricultural workforce
displacement is expected to be significant in marginal workers category. A significant portion of the workforce would
engage in agri-allied activities depending on the availability of allied resources and migrational constraints.
Incremental manpower requirement for the agri- allied activities is estimated considering the following parameters

993
IEM, MSME Part-II Data till 2012-13

444
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

• Current level of employment in agricultural activities(farmers, agricultural labourers)

• Estimated displacement factors for agricultural workforce based on Planning Commission Projections for
2012-17 and 2017-22 periods and analysis of level of mechanization and allied factors in Gujarat
• Employment potential in agri-allied activities in the district considering the level of involvement in the
respective activities and regional conditions

Manufacturing Sector:

Manpower requirement in secondary sector is driven by investments and output growth. Various factors including
analysis of manufacturing, sub sector policies, investment trends, availability of resources, are considered for the
incremental manpower estimation in different subsectors of manufacturing in the district. Human resource
requirement projections for manufacturing sub sectors in the district are estimated considering the following
parameters

• Manufacturing growth targets for Gujarat for 2012-17 and 2017-22(Increasing secondary sector share in
GSDP to 32% by 2017)
• Identifying key growth sub segments within the district based on study of existing industrial base, primary
interactions
• Estimation of growth targets for the district based on analysis of investment trends in the district in
comparison to the state, available infrastructure, policy thrust on key manufacturing segments identified for
the district
• Labour elasticity factors in the potential sectors for the district

Tertiary Sector:

Employment growth in some of the services sector is driven by Government thrust in terms of budgetary allocations to
achieve inclusion targets in education, healthcare and banking while the other segments including hospitality and
tourism, financial intermediation, communication, retail would depend on the level of economic activity in the region
resulting in high or low spending capacity of population. Also segments like IT-ITES, transportation& logistics are
driven by investments into infrastructure and manpower. Hence human resource requirement projections for services
sub sectors would have specific approaches depending on the growth drivers for the segments in the district.
Detailed methodology for estimation of manpower in services sub segments is presented in the appendix.

Based on the analysis of socio economic conditions, investment scenario and availability resources incremental
manpower requirement has been estimated for the following sectors.

Primary Sector

• Agriculture & Allied Activities( Horticulture, Sericulture, Animal Husbandry and Fisheries)

Secondary Sector

• Textile and Apparel

• Manufacturing of Engineering Goods( Including Auto & Auto Components)
• Chemical & Chemical Products(Including Petro Chemicals)

445
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

• Drugs & Pharmaceuticals

• Agro & Food Processing
• Electrical and Electronics
• Mineral Processing & Fabrication
• Construction Material(Cement, Ceramics)
• Rubber & Plastics
• Paper & Paper Products
• Infrastructure(Construction)

Tertiary Sector

• Transportation & Logistics(including port based logistics)

• Banking & Financial Services
• Organized Retail
• Hospitality & Tourism
• Healthcare
• Education & Training

Incremental manpower requirements for the priority sectors in Navsari district are presented in the table 994.

Sector 2012-17 2017-22

Skilled Semi Minimally Total Skilled Semi Minimally Total
Skilled skilled Skilled skilled
Agriculture &
Allied Activities NA NA 11342 11342 NA NA 9498 9498
Agro & Food
Processing 93 371 464 928 83 332 415 830
Textile & Apparel 152 606 758 1516 136 542 678 1356
Wooden Products
& Furniture 64 254 318 636 57 227 284 569
Paper & Paper
Products 4 15 19 38 3 14 17 34
Chemical &
Chemical
Products 37 149 187 373 33 134 167 334
Rubber & Plastics 11 44 55 110 10 39 49 98
Mineral
Processing &
Fabrication 53 214 267 534 48 191 239 478
Electrical &
Electronics 4 17 21 43 4 15 19 38
Manufacturing of
Engineering
Goods 58 232 290 580 52 208 259 519

994
KPMG Analysis

446
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Manufacturing of
Construction
Material 3 11 14 28 2 10 12 25
Drugs and
Pharmaceuticals 4 16 20 40 4 14 18 36
Misc.
Manufacturing 189 757 947 1893 169 677 847 1693
Construction 295 590 5017 5903 264 528 4488 5280
Trade, Retail 477 715 3575 4767 521 782 3908 5211
Transportation &
Logistics 143 2274 2706 5123 117 1861 2214 4191
Hospitality &
Tourism 528 792 3960 5280 422 634 3168 4224
Banking &
Financial Services 3982 11947 NA 15929 2788 8363 NA 11151
Healthcare 494 2222 NA 2716 658 3289 NA 3947
Education &
Training 460 3099 NA 3559 690 1859 NA 2550

Skill requirements in key growth sectors have been analyzed based on industry interactions to understand the
detailed manpower needs. Sector level skill interventions are indicated in the section below 995.

Secondary Sector (Manufacturing, Construction & Energy):

• Textile & Apparel:

Category of Skills Skills

Core Skills Ring frame operator, weaver, processing operator (CDR,BDR,Stuntor), Bar-
coding machine operator

Electrician, Wireman, Fitter

Allied Skills
The industry has high attrition rates in operator roles (semi skilled) owing to
Skills with acute shortage extreme working conditions.

• Food Processing:
Category of Skills Skills

Core Skills Fitter, Electrician, Wireman, Instrumentation, Lab Technician

Allied Skills Instrumentation, Packaging (Jar, Pouch) Operator, AOCP, Lab Attendant, Boiler
Operator, QC Chemists

995
KPMG Analysis

447
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Skills with acute shortage PPO is required in industries having in house packing development.

• Metal & Mineral Processing:

Category of Skills Skills
Core Skills Fitter, Welder, Turner, Electrician

Allied Skills Melter, Boiler Operator

Skills with acute shortage PCB instrumentation

• Construction:
Category of Skills Skills
Core Skills Electricians, carpenters, barbenders, welders and masons

Allied Skills Minimally skilled workers

Skills with acute shortage Machine operators

• Salt Production:
Category of Skills Skills
Core Skills Earth moving equipment operators, tractor drivers

Allied Skills Minimally skilled workers

Skills with acute shortage Chemists

Services:
• Banking & Financial Services:
Category of Skills Skills
Core Skills Knowledge on core banking/mobile/internet platforms

448
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Allied Skills Sales & Marketing

Skills with acute shortage insurance underwriting, claims management

Primary Sector:

• Cultivation:
Category of Skills Skills
Core Skills Awareness about high yield varieties, micro nutrients and pest Control, Organic
farming and Vermi compost methods, Micro irrigation techniques
Allied Skills Knowledge on food processing techniques and related procedures to extract
greater value from farm produce

Skills with acute shortage Usage and repair of farm equipments, Marketing and management practice

• Agri- Allied Activities:

Category of Skills Skills
Core Skills Modern rearing techniques of live stock, piggery, goatery and fisheries

Allied Skills Knowledge on processing techniques

Skills with acute shortage Marketing and distribution of forest/animal husbandry produce

6.10.21.4. Human Resource Supply Scenario in the District

6.10.21.4.1. Estimation of Labour Force Supply
District-wise incremental supply has been determined based on net addition of labour force. Gross addition to
working age group population during 2012-17 and 2017-22 were determined based on Census 2011 age wise
population accounting for death rate and life expectancy normalized against population corrections in 2017 and 2022.
Applying labour force participation rates, considering the historical trends, gross additions to labour force were
estimated for the two time periods. Accommodating for retirement from the existing pool of labour force, net supply
to labour force has been estimated.

449
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Navsari is among the districts with low human resource growth potential during 2012-22. High incidence of outward
migration over the last decade into industrial clusters of Surat has resulted in limited declining population growth in
this region.

Details of human resource growth estimations during 2012-22 are presented in the table 996.

Period Gross Addition to Working Gross Addition to Labour Net Addition to Labour
Age Population Force Force-Supply

2012-17 81,807 55,675 52,366

2017-22 73,451 51,584 40,658

6.10.21.4.2. Education and Training Potential in the District

The district has around 894 K12 schools with 86.02 percent share of Government schools. For the district, the net
enrolment ratio at both primary levels and upper primary levels are lower than the enrolment ratios of the state 997.

Total Enrollments Primary Level Upper Primary Level Secondary Level Higher Secondary
in 2009-10 (Std I-V) (Std VI-VIII) (Std IX-X) Level (Std XI-XII)
Navsari 117958 46806 63351 21623

Comparing the district’s enrolment statistics with state average indicates that the district is a weak performer in the
primary education category 998
Region Net Enrolment Ratio (Primary Level) Net Enrolment Ratio (Upper Primary Level)
Navsari 75.5 47.4
Gujarat 85.4 50.7

In the vocational education segment, the district is ahead in the provision of vocational training in comparison to
state average. Private interest in the sector in this district is low indicating that the state must take proactive
measures in increasing private support to augment vocational training infrastructure 999.

Region Number of Seat Vocational Training Private Sector

ITIs Capacity Capacity Density (Seats Participation in
Per 1000 Population) Vocational Training
Navsari 15 6,125 4.6 8%
Gujarat 711 138,106 2.29 26%

Given the unequal distribution of seats, capacity expansion in vocational education in Navsari district needs to be
focused on the tehsils of Vansada, Navsari and Jalalpor to bring them on par with the district average in vocational
education capacity 1000.
996
KPMG Analysis
997
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat
998
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat
999
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat

450
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Taluka Seat Capacity Vocational Training Private Sector

Capacity Density(Seats Participation in
Per 1000 Population) Vocational Training
Gandevi 3824 14.70 5%
Chikhli 1108 3.49 12%
Vansada 469 2.15 18%
Navsari 532 1.79 0%
Jalalpor 192 0.81 33%
District Total 6125 4.60 8%

The district has 1 medical college, 1 engineering college and 12 colleges offering Arts, Commerce, Science, B.Ed and
Law programs. Navsari Agriculture University in the district provides education in the fields of agriculture, forestry,
horticulture, and fisheries. Sugarcane Research Station at Navsari Agriculture University is mainly engaged in the
research of crop improvement, crop production, and crop protection. Mahatma Gandhi Institute of Technical
Education and Research in the district offers courses in computer science, electrical, electronics, communication and
mechanical engineering. M.G.G. Hospital offers courses in the district in general nursing and Midwifery.

6.10.21.4.3. Demand-Supply Gap Analysis for the District

Incremental skill category wise supply for the periods 2012-17 and 2017-22 in the district are estimated based on net
output from higher education institutions (skilled), vocational training(semi skilled), minimally skilled (school
education) for periods 2012-17 and 2017-22 considering the LPR estimations for the districts in 15-59 age group and
retirement from existing labour force.

Based on the skill category human resource demand projections for 2012-22 and net supply potential, category wise
Demand-Supply gap estimations for the district are presented in the table below

Category Wise Demand-Supply Gap in the District (2012-22)

2012-17 2017-22
Sector Skilled Semi Minimally Total Skilled Semi Minimally Total
Skilled skilled Skilled skilled
Demand-Supply
Gap (2,818) 16,674 (4,885) 8,972 (4,941) 10,175 6,168 11,404
*(Indicates excess supply)

6.10.21.4.4. Skill Development Potential through Government Endowments

According to KPMG estimates, based on the potential district budgetary allocation for various central government
schemes around 44 thousand people in total can be trained incrementally during the five year period of 2012-17.
Ministry of Agriculture and Ministry of Labour Schemes are expected to contribute to a significant share of the
training. Manpower training targets have predominant focus on primary sector considering the low level of industrial
development in the district. Private training providers have opportunities in livelihood training programs.

1000
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat

451
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Government Funded Incremental Training Capacity (2012-17) - Navsari District 1001

M/O Agriculture 6645

SDI-MES 6611
SJSRY 5967
SGSY 5316
Using Construction Cess 4436
ART - M/o Tribal Affairs 3951
Others 2534
D/O IT 2424
SCA under TSP - M/o Tribal Affairs 2371
Credit Scheme 2314
CSR Funds from Central PSUs 551
Hunar Se Rozgar 529
ISDS - Textiles 450

6.10.21.5. District Specific Recommendations

Considering these factors, the proposed action plan for stakeholders in skill development in the district would
indicate the following priority areas:

Stakeholder Action Points for Stakeholders

NSDC Focus on increasing participation from national/regional private skill training providers
with focus on the following sectors
• Transportation and Logistics
• Healthcare
• Construction
• Hospitality and Tourism
• Banking and Financial Services
District Provide skill training in conjunction with private skill training providers using government
Administration endowment training schemes
• Agri allied activities such as animal husbandry, horticulture crops such as Banana,
Mango, Brinjal, Cowpea and Okra
• Agro and Food Processing
• Textile and Apparel
• Wooden Products and Furniture
• Manufacture of Engineering Goods
Private Skill Provide skill training in the sectors of

1001
KPMG Analysis

452
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Training • Transportation and Logistics

Providers • Healthcare
• Construction
• Hospitality and Tourism
• Banking and Financial Services
• Textiles and Apparel
Corporate Provide training for skills in those sector where the requirement for absorption within the
corporate is higher such as
• Construction
• Retail
• Transportation and Logistics
Initiate and support modular employability skill training in collaboration with private
players/Government
Create placement linkage opportunities in training institutions

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

6.10.22. Skill Gap Assessment of Panchmahals District

6.10.22.1. Socioeconomic Profile
6.10.22.1.1. Administrative Profile

Panchmahals district is located in the

northern part of Gujarat with a geographical
spread of 5210 sq.km 1002. The district shares
its border with Vadodara, Dahod, Kheda,
Sabar Kantha districts of Gujarat and
Rajasthan state. Administratively
Panchmahals
Panchmahals district is divided into 11
talukas and 1210 villages 1003 with Godhra
Taluka as the district capital. Khanpur,
Kadana, Santrampur, Lunawada, Shahera,
Morava, Godhra, Kalol, Dhodhanba, Halol
and Jambudhoda are taluka regions in the
district.

6.10.22.1.2. Demographic Profile

Panchmahals district is a medium human resource potential region in Gujarat state. The district has a total population
of 23.88 lakhs 1004 as per 2011 Census district, accounting for 4 percent 1005 of the overall state population. It has
witnessed relatively lower decadal population growth in comparison to the overall state. Panchmahals population has
witnessed a decadal growth rate of 17.92 percent 1006 between 2001 and 2011 as against the state average of 19.17
percent 1007 during the same period. Significant portion of district population lives in rural areas with these regions
accounting for nearly 86 percent 1008 of the total population. Population spread in the district is higher than the state
average, with a density of 458 persons per sq.km 1009 as against a state average of 308 persons per sq.km 1010.
Analysis of population distribution in the district as per 2001 census indicates higher human resource potential in the
talukas of Godhra, Shehera, Lunawada and Santrampur. Details of regional distribution of population in the district
are presented in the table.

1002
Census 2011 Statistics
1003
Census 2011 Statistics
1004
Census 2011 Statistics
1005
Census 2011 Statistics
1006
Census 2011 Statistics
1007
Census 2011 Statistics
1008
Census 2011 Statistics
1009
Census 2011 Statistics
1010
Census 2011 Statistics

454
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Regional Distribution of Population in the District 1011

Region Contribution to District Population Population Density
(2001) (Persons per Sq.km- 2001)
Godhra 19% 520
Shehera 11% 379
Lunawada 11% 370
Santrampur 11% 378
Halol 10% 378
Kalol 9% 482
Ghoghamba 9% 359
Morwa 8% 475
Kadana 5% 260
Khanpur 4% 264
Jambughoda 2% 171

Gender composition of district population is better than the state average. As per 2011 census, the district has a
gender ratio of 945 females per 100 males 1012 as against the state average ratio of 918 females per 1000 males 1013.
Further, the district has witnessed an improving trend in female composition with the gender ratio of district has
increasing from 938 females per 1000 males 1014 in 2001 to 945 females per 1000 males 1015 by 2011. Overall reserved
categories contribute to 32.02 percent 1016 of the total district population indicating the need for special focus required
for the upliftment of these communities within Panchmahals.

Education attainment levels in the district are lower than the state average. As per 2011 estimates, district has
registered an overall literacy rate of 72.32 percent 1017 as against state average of 79.31 percent 1018. Continuing
regional and gender variations in literacy rates is a key concern within the district. Urban-rural literacy gap in
Panchmahals is estimated to be 18.03 percent 1019 as against the 14.58 percent 1020 for overall state. Similarly, district
still has a male-female literacy gap of 24.12 percent 1021 as against 16.5 percent 1022 for Gujarat state. There is a
greater need to embark gender and region specific approach in implementing mass education programs in the district.
Increasing focus on literacy is expected to create demand for education and training facilities within the district to
support the economic growth of the region.

1011
Census 2001Statistics, KPMG Analysis
1012
Census 2011 Statistics
1013
Census 2011 Statistics
1014
Census 2011 Statistics
1015
Census 2011 Statistics
1016
Census 2001Statistics, KPMG Analysis
1017
Census 2011 Statistics
1018
Census 2011 Statistics
1019
Census 2011 Statistics
1020
Census 2011 Statistics
1021
Census 2011 Statistics
1022
Census 2011 Statistics

455
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

6.10.22.1.3. Economic Profile

Panchmahals is rich in minerals and agricultural produce. Major occupations in the district are dairy farming and
agriculture; major crops cultivated are wheat, maize and pulses. Panchmahals boasts of 97% production of Quartz in
Gujarat and supplies to other districts and regions. The district is a manufacturing base for steel products,
automobiles and cryogenic equipments

The major industrial locations in the district are Kalol, Halol and Godhra. The focus industry sectors include minerals,
engineering & automobiles, tourism, irrigation projects, dairy farming.

Analysis of regional distribution of investments in Panchmahals district indicates that industrial development is
concentrated in Halol and Godhra Talukas. Over recent years, the State Government has initiated some measures to
enhance industrial growth in backward talukas like Lunawada and Shahera through suitable incentives to increase
the investment potential of these regions over the next decade. Details of region wise large scale investments in
Panchmahals district till 2012 is presented in the table.
Large Scale Investment Scenario In Panchmahals 1023
Commissioned Under Implementation
Region Investment Investment
No. of Units No. of Units
( INR Cr) (INR Cr)
Halol 145 2777 57 5031
Kalol 25 139 7 226
Godhra 15 797 3 338
Jhambughoda 1 18 -- --
Shahera 1 9 1 13
Lunawada -- -- 1 50
Not Classified 1 15 3 29
District Total 188 3755 72 5687

Rapid growth of industrialization in the district has widened the scope for establishment of ancillary units in MSME
segment. As per the MSME investment Part–II statistics, overall there are 779 units operating in the district
attracting an investment of INR 38,293 lakhs in 2012.

Investment outlook in MSME segment of Panchmahals district is presented in the table.

MSME Investment Scenario in Panchmahals 1024

Category of Industries Number of Units Investment In Lakhs
Micro 629 8211
Small 141 22267
Medium 9 7815
Total 779 38293

1023
IEM, MSME Part-II Data till 2012-13
1024
IEM, MSME Part-II Data till 2012-13

456
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Manufacturing Sector Units 727 37671

Service Enterprises 52 622
MSME segment in Panchmahals is dominated by manufacturing industries in terms of both volume and investments.
Among the manufacturing based MSME units, rubber and plastics, mineral and processing and chemical and
chemical products are the key prominent categories both in terms of number of units and investments.
Composition of MSME manufacturing units and investments are presented in the chart.

MSME Manufacturing Sector Overview in the District 1025

Composition of MSME Manufacturing Units Composition of Investments in
MSME Manufacturing Units

Auto-Auto Agri-Allied
Components Activities Mining & Quarrying Auto-Auto
Manufacturing of Manufacturin Components
1.4% 0.3% 6.6% Mining &
Engineering Goods g of 2.2% Quarrying
5.2% Agro & Food Engineering
13.1%
Processing Goods
Eletrical & 7.2% 8.8%
Textile & Eletrical &
Eletronics Apparel
7.2% Eletronics
2.6% 6.5%
Wooden Products Agro & Food
Mineral & Furniture Processing
Prosessing & 2.2% 6.4%
Fabrication Textile &
20.2% Paper & Paper Mineral
Products Prosessing & Apparel
2.2% Fabrication Chemical & 4.5%
22.9% Chemical Wooden
Products Products
Chemical & 18.0% &
Chemical Products Furniture
10.7% 1.9%
Rubber & Plastics Paper &
34.3% Rubber & Paper
Plastics Products
15.1% 0.6%

While the level of organized investments in services enterprises is low as evident from the MSME Part-II statistics,
sectors of whole sale and retail trade has seen considerable investments in the district. Composition of MSME
service enterprises and investments are presented in the chart.

1025
IEM, MSME Part-II Data till 2012-13

457
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

MSME Services Sector Overview in the District 1026

Composition of MSME Service Enterprises Composition of Investments in MSME
Hospitality and Service Enterprises
Tourism
3.8% Hospitality
IT- ITES and Tourism
7.7% 10.1%

IT- ITES
Other 15.2%
Other Services
Services
36.5%
43.1%

Whole sale &

Retail Trade
16.3%

Printing &
Publishing
1.9% Whole sale &
Retail Trade Transportatio
Printing &
Transportation 46.2% n
Publishing
3.8% 7.2%
8.0%

The district boasts of tourist attractions like Champaner-Pavagadh Archeological Park which was listed as the World
Heritage Site by UNESCO in 2004, Luneshwar Mahadev Temple and Marideshvar Mahadev Temple. Apart from the
these places, the district also has Chaiti Atham and Math Kotal fairs, Jambhughoda Wild life sanctuary and Ratan
Mahal Sloth Bear Sanctuary. There is huge scope for investment in tourism sector specifically in hotels and food
joints in this district.

The district has a robust healthcare network with high medical penetration – 25,680 people per institution. The
district has 65 primary healthcare centers, 14 community healthcare centers and 3 hospitals. There are healthcare
centers which offer medical facilities in pediatrics, cardiac, obstetrics and gynecology 1027.

The total road length in Panchmahals is around 4,900 km and is connected with the most major districts of Gujarat.
The district has National Highway (NH) 59 connecting it with Ahmadabad. There is also the NH 8 which connects the
district with Dahod. There are proposals in the pipeline to set up a couple of new state highways through the district.
The rail infrastructure comprises of six broad gauge railway stations and having a total rail length of 155 km. The
nearest airport is at Vadodara.

Panchmahals has a presence of 119 bank offices and the total bank deposit amounts to 3,493 Cr INR and the total
credit amount of 1,506 Cr INR as of Mar 2012 1028. Panchmahals has a low penetration of banking and financial
services amongst all districts with a density of 20,069 people per bank as of March 2012. While the CAGR of the

1026
IEM, MSME Part-II Data till 2012-13
1027
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
1028
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07

458
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

number of bank offices in Panchmahals stands at 6.5 percent from 2007 to 2012, the amount of deposit and credit
have increased at a CAGR of 22.2 percent and 26.5 percent respectively from 2007-2012.

Panchmahals has medium to high rainfall conditions and constitutes of Middle Gujarat agro climatic zones. Owning
to the soil characteristics, majority of district geographical land is cultivable (57 percent of total area). The district has
good forest coverage of 23 percent which implying excellent potential for forestry in the district.

Being a low rainfall witnessing region, the district has limited spread of irrigation facilities with only 17 percent of
net cultivable area under irrigation. Agricultural irrigation in Panchmahals is predominantly dependent on open wells
with a 68 percent share of net irrigated area. The large scope for the operation and maintenance of pumps and tube
wells would requirement skilled manpower with knowledge on repair and maintenance. Further there is an increasing
need to promote micro irrigation and water management programs in the district.

Poor nitrogen content in Panchmahals soils has resulted in large scale usage of nitrogen rich fertilizers. Awareness
levels on organic farming and vermi compost methods are low indicating a need to improve the same in order to
promote sustainable agricultural practices.

Maize, Paddy, Tur and Cotton are key Kharif crops while Wheat and Gram are the major Rabi crops grown in the
district. Main horticulture crops include Citrus, Mango, Ber, Aonla and Custard apple. The ratio of area under Rabi to
Kharif crop is around 0.3 which indicating low levels of multiple cropping systems in the district. Currently usage of
hybrid crop varieties is low with a need to promote across crop categories. The district has 3 Taluka Seed Farms
targeted to improve the availability of quality seeds.

Cow and buffalos are main cattle varieties under animal husbandry in Panchmahals. There are 6,44,507 cows and
5,16,791 buffalos 1029. Other prominent domestic animals under animal husbandry activities are goats. Availability of
large pasture lands indicates significant potential to promote animal husbandry in the district. Along with
strengthening animal husbandry activities among small and marginal farmers through advanced rearing training,
there is a need for integrating the animal husbandry with promotion of organic farming.

6.10.22.2. Workforce Distribution in the district

Panchmahals district has a high dependency on primary sector for livelihood opportunities, with over 80 percent of
the total workforce engaged in this sector. Considering the low level penetration of manufacturing sector at 4.18
percent employment generation as against the state average of 15.86 percent, the district has the potential to
become a sourcing hub for trained manpower. While overall dependency on manufacturing sector is low, recent years
have witnessed a significant change. Growth of large investments has led to employment generation in the organized
manufacturing sector.

1029
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07

459
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Comparison of workforce distribution scenario in Panchmahals and Gujarat is presented in the table 1030.
Percentage of Employment
Region Labour Force Workforce Primary Secondary
Participation Participation Sector Sector Tertiary Sector
Panchmahals 62.1% 48.23% 82.01% 4.18% 13.8%
Gujarat 59.27% 41.95% 59.34% 15.86% 24.8%

Registered factories and service enterprises have created over 30 thousand employment opportunities in the district.
While the overall manufacturing base is low, the large scale enterprises segment, witnessing significant employment
growth, has contributed to more than half of the overall industrial employment.

Organized Employment in Panchmahals 1031

Category of Industries Employment
Large Scale Industries (Commissioned + Under Implementation) 33,600
MSME Category 11,761
Manufacturing Units 11,532
Service Enterprises 229
Total 45,361

Regional and sectoral analysis of large scale industrial employment indicates a clear concentration of employment in
key sectors. Halol and Kalol talukas account for a majority share of employment in this category. Chemicals, Mineral
processing & fabrication, rubber and plastic products, engineering goods are major employment generating segments
within the district. Regional and sectoral break up of large scale industrial employment is presented in the chart.
MSME Employment Overview in the District 1032
Composition of Employment in MSME Composition of Employment in MSME
Manufacturing Units Service Enterprises
Auto-Auto Mining &
Components Quarrying Agro & Food Hospitality
2.1% 5.6% Processing and Tourism
Manufacturing
5.5% 14.4%
of
Engineering Textile & Apparel
Goods 3.7%
10.3%
Wooden Products
Eletrical & & Furniture
Eletronics 2.1% Other
10.4% Services
34.9% IT- ITES
Chemical & 12.7%
Chemical
Products
13.7%
Mineral
Prosessing &
Fabrication Printing &
26.9% Publishing
3.5% Transportatio Whole sale &
Retail Trade
n 32.8%
Rubber & Plastics 1.7%
18.3%

1030
KPMG Analysis
1031
IEM, MSME Part-II Data till 2012-13
1032
IEM, MSME Part-II Data till 2012-13

460
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

6.10.22.3. Human Resource Requirement Projections in Panchmahals (2012-22)

Incremental manpower requirement in the district of Panchmahals has been estimated based on several parameters
such as investments trends, national level benchmarks on industrial growth across sectors, state manufacturing
policy targets, performance of state against economy targets, national level inclusion targets for certain sectors,
employment generation potential of various sectors based on labour elasticity and market based insights from
discussions with industries in Panchmahals. Based on an analysis of the current state of workforce distribution and
potential employment opportunities in various sectors, incremental manpower requirement in key primary, secondary
and tertiary segments is estimated for the periods 2012-17 and 2017-22.

Further, manpower requirement is classified into skilled, semi skilled and minimally skilled categories considering the
present level of employment in these categories for respective sectors and analysis of expected developments in the
industry that would lead to significant realignment of the categories. Detailed approach for manpower estimations is
presented in the appendix and specific factors for estimation are discussed below.

Primary Sector:

Considering the increasing level of farm mechanization and sharing agricultural land usage, the period between 2012
and 2022 would witness a net outflow of workforce from the agricultural activities. Agricultural workforce
displacement is expected to be significant in marginal workers category. A significant portion of the workforce would
engage in agri-allied activities depending on the availability of allied resources and migrational constraints.
Incremental manpower requirement for the agri-allied activities is estimated considering the following parameters

• Current level of employment in agricultural activities(farmers, agricultural labourers)

• Estimated displacement factors for agricultural workforce based on Planning Commission Projections for
2012-17 and 2017-22 periods and analysis of level of mechanization and allied factors in Gujarat
• Employment potential in agri-allied activities in the district considering the level of involvement in the
respective activities and regional conditions

Manufacturing Sector:

Manpower requirement in secondary sector is driven by investments and output growth. Various factors including
analysis of manufacturing, sub sector policies, investment trends, availability of resources, are considered for the
incremental manpower estimation in different subsectors of manufacturing in the district. Human resource
requirement projections for manufacturing sub sectors in the district are estimated considering the following
parameters

• Manufacturing growth targets for Gujarat for 2012-17 and 2017-22 (Increasing secondary sector share in
GSDP to 32% by 2017)
• Identifying key growth sub segments within the district based on study of existing industrial base, primary
interactions
• Estimation of growth targets for the district based on analysis of investment trends in the district in
comparison to the state, available infrastructure, policy thrust on key manufacturing segments identified for
the district

461
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

• Labour elasticity factors in the potential sectors for the district

Tertiary Sector:

Employment growth in some of the services sector is driven by Government thrust in terms of budgetary allocations to
achieve inclusion targets in education, healthcare and banking while the other segments including hospitality and
tourism, financial intermediation, communication, retail would depend on the level of economic activity in the region
resulting in high or low spending capacity of population. Also segments like IT-ITES, transportation & logistics are
driven by investments into infrastructure and manpower. Hence human resource requirement projections for services
sub sectors would have specific approaches depending on the growth drivers for the segments in the district.
Detailed methodology for estimation of manpower in services sub segments is presented in the appendix.

Based on the analysis of socio economic conditions, investment scenario and availability resources incremental
manpower requirement has been estimated for the following sectors.

Primary Sector

• Agriculture & Allied Activities( Horticulture, Sericulture, Animal Husbandry and Fisheries)

Secondary Sector

• Textile and Apparel

• Manufacturing of Engineering Goods( Including Auto & Auto Components)
• Chemical & Chemical Products(Including Petro Chemicals)
• Drugs & Pharmaceuticals
• Agro & Food Processing
• Electrical and Electronics
• Mineral Processing & Fabrication
• Construction Material(Cement, Ceramics)
• Rubber & Plastics
• Paper & Paper Products
• Infrastructure(Construction)

Tertiary Sector

• Transportation & Logistics(including port based logistics)

• Banking & Financial Services
• Organized Retail
• Hospitality & Tourism
• Healthcare
• Education & Training

462
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Incremental manpower requirements for the priority sectors in Panchmahals district are presented in the table 1033.

Sector 2012-17 2017-22

Skilled Semi Minimally Total Skilled Semi Minimally Total
Skilled skilled Skilled skilled
Agriculture &
Allied Activities NA NA 25276 25276 NA NA 21167 21167
Agro & Food
Processing 45 181 226 452 40 162 202 404
Textile & Apparel 30 121 151 302 27 108 135 270
Paper & Paper
Products 31 123 154 309 28 110 138 276
Chemical &
Chemical
Products 146 585 731 1462 131 523 654 1308
Rubber & Plastics 125 499 624 1248 112 446 558 1116
Mineral
Processing &
Fabrication 218 870 1088 2175 195 778 973 1946
Electrical &
Electronics 134 534 668 1336 120 478 598 1195
Manufacturing of
Engineering
Goods 97 387 483 966 86 346 432 864
Manufacturing of
Construction
Material 35 141 176 352 32 126 158 315
Misc.
Manufacturing 12 49 61 122 11 44 55 109
Construction 530 1059 9005 10594 474 948 8054 9475
Trade, Retail 856 1283 6417 8556 935 1403 7014 9352
Transportation &
Logistics 285 4521 5378 10184 233 3699 4401 8332
Hospitality &
Tourism 523 785 3923 5230 418 628 3138 4184
Banking &
Financial
Services 1467 4401 NA 5868 1027 3081 NA 4108
Healthcare 448 2017 NA 2465 597 2986 NA 3583
Education &
Training 1138 7664 NA 8802 1708 4598 NA 6306

Skill requirements in key growth sectors have been analyzed based on industry interactions to understand the
detailed manpower needs. Sector level skill interventions are indicated in the section below 1034.

1033
KPMG Analysis
1034
KPMG Analysis

463
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Secondary Sector (Manufacturing, Construction & Energy):

• Auto & Auto Components

Subsector Skills

Auto Assembling and Component Core Skills: Motor Mechanic, Diesel Mechanic, Fitter, Welder, Fabricators
Manufacturing
Allied Skills: Electrician, Wireman

Acute Skill Deficits: Specialized welders in Arc welding who can work in
extreme conditions on advanced fabrication equipments

• Food Processing:
Category of Skills Skills

Core Skills Fitter, Electrician, Wireman, Instrumentation, Lab Technician

Allied Skills Instrumentation, Packaging (Jar, Pouch) Operator, AOCP, Lab Attendant, Boiler
Operator, QC Chemists

Skills with acute shortage PPO is required in industries having in house packing development.

• Chemical & Chemical Products:

Category of Skills Skills

Core Skills Mechanical, Electrical skills

Allied Skills Instrumentation, boiler attendant,AOCP, lab attendants

Skills with acute shortage MSc/BSc chemists, Electronic Automation with understanding of PLC systems

• Electrical & Electronics:

Category of Skills Skills

Core Skills Electronics, PPO, Electrical, Instrumentation

Allied Skills Fitter

Skills with acute shortage PPO trade is a key deficit in all industries involving plastic processing

Electronics and Instrumentation

464
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

• Metal & Mineral Processing:

Category of Skills Skills
Core Skills Fitter, Welder, Turner, Electrician

Allied Skills Melter, Boiler Operator

Skills with acute shortage PCB instrumentation

• Construction:
Category of Skills Skills
Core Skills Electricians, carpenters, barbenders, welders and masons

Allied Skills Minimally skilled workers

Skills with acute shortage Machine operators

Services:
• Banking & Financial Services:
Category of Skills Skills
Core Skills Knowledge on core banking/mobile/internet platforms

Allied Skills Sales & Marketing

Skills with acute shortage insurance underwriting, claims management

• Transportation :
Category of Skills Skills
Core Skills Heavy vehicle drivers, logistics management

Allied Skills Administrative, computer data management

465
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Skills with acute shortage Scheduling and logistics planning

• Education:
Category of Skills Skills
Core Skills School teachers, higher education faculty

Allied Skills Knowledge on advanced teaching tools

Skills with acute shortage Technical education trainers

Primary Sector:

• Cultivation:
Category of Skills Skills
Core Skills Awareness about high yield varieties, micro nutrients and pest Control, Organic
farming and Vermi compost methods, Micro irrigation techniques
Allied Skills Knowledge on food processing techniques and related procedures to extract
greater value from farm produce

Skills with acute shortage Usage and repair of farm equipments, Marketing and management practice

• Agri- Allied Activities:

Category of Skills Skills
Core Skills Modern rearing techniques of live stock, piggery, goatery and fisheries

Allied Skills Knowledge on processing techniques

Skills with acute shortage Marketing and distribution of forest/animal husbandry produce

6.10.22.4. Human Resource Supply Scenario in the District

6.10.22.4.1. Estimation of Labour Force Supply
District-wise incremental supply has been determined based on net addition of labour force. Gross addition to
working age group population during 2012-17 and 2017-22 were determined based on Census 2011 age wise
population accounting for death rate and life expectancy normalized against population corrections in 2017 and 2022.

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Applying labour force participation rates, considering the historical trends, gross additions to labour force were
estimated for the two time periods. Accommodating for retirement from the existing pool of labour force, net supply
to labour force has been estimated.

Panchmahals is among the districts with moderately higher human resource growth potential during 2012-22.
Limited employment opportunities within the district to absorb the incremental labour force have to be addressed
through adequate skilling for employment opportunities outside the district. Details of human resource growth
estimations during 2012-22 are presented in the table 1035.

Period Gross Addition to Working Gross Addition to Labour Net Addition to Labour
Age Population Force Force-Supply

2012-17 269,503 182,042 93,808

2017-22 260,708 176,672 72,836

6.10.22.4.2. Education and Training Potential in the District

The district has around 2,597 K12 schools with a 93.45 percent share of Government schools. While the net
enrolment ratio at the primary level for the district is slightly higher than the state average, the net enrolment ratio at
the upper primary is slightly lower than the state average 1036.

Total Enrollments Primary Level Upper Primary Level Secondary Level Higher Secondary
in 2009-10 (Std I-V) (Std VI-VIII) (Std IX-X) Level (Std XI-XII)
Panchmahals 277805 92875 99436 28618

Comparing the district’s enrolment statistics with state average indicates that the district is an average performer in
the primary education category 1037
Region Net Enrolment Ratio (Primary Level) Net Enrolment Ratio (Upper Primary Level)
Panchmahals 87.8 48.9
Gujarat 85.4 50.7

In the vocational education segment, it is ahead in the provision of vocational training in comparison to state
average. Private interest in this district is very high indicating that the state must take proactive measures in further
increasing private support to augment vocational training infrastructure 1038.

1035
KPMG Analysis
1036
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat
1037
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat
1038
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat

467
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Region Number of Seat Vocational Training Private Sector

ITIs Capacity Capacity Density (Seats Participation in
Per 1000 Population) Vocational Training
Panchmahals 45 7,488 3.14 51%
Gujarat 711 138,106 2.29 26%

Given the unequal distribution of seats, capacity expansion in vocational education in Panchmahals district needs to
be focused on the tehsils of Kaalol, Kadana, Santrampur, Halol, Ghoghamba to bring them on par with the district
average in vocational education capacity 1039.
Taluka Seat Capacity Vocational Training Private Sector
Capacity Density(Seats Participation in
Per 1000 Population) Vocational Training
Jambughoda 408 9.53 71%
Godhara 2228 4.80 31%
Morva (Hadaf) 792 4.40 83%
Lunawada 1156 4.27 56%
Shahera 1012 3.71 77%
Khanpur 284 2.83 55%
Kaalol 464 2.05 71%
Kadana 252 1.94 6%
Santrampur 400 1.55 54%
Halol 276 1.20 0%
Ghoghamba 216 1.02 33%
District Total 7488 3.14 51%

The district has 3 pharmacy colleges and 12 colleges offering Arts, Commerce, Science, B.Ed and Law programs.

6.10.22.4.3. Demand-Supply Gap Analysis for the District

Incremental skill category wise supply for the periods 2012-17 and 2017-22 in the district are estimated based on net
output from higher education institutions (skilled), vocational training(semi skilled), minimally skilled (school
education) for periods 2012-17 and 2017-22 considering the LPR estimations for the districts in 15-59 age group and
retirement from existing labour force.

Based on the skill category human resource demand projections for 2012-22 and net supply potential, category wise
Demand-Supply gap estimations for the district are presented in the table below

Category Wise Demand-Supply Gap in the District (2012-22)

2012-17 2017-22
Sector Skilled Semi Minimally Total Skilled Semi Minimally Total
Skilled skilled Skilled skilled
Demand-Supply
Gap (6,614) 15,347 (16,840) (8,109) (7,379) 8,708 151 1,474
*(Indicates excess supply)

1039
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat

468
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

6.10.22.4.4. Skill Development Potential through Government Endowments

According to KPMG estimates, based on the potential district budgetary allocation for various central government
schemes around 70 thousand people in total can be trained incrementally during the five year period of 2012-17. The
Ministry of Agriculture and the Ministry of Labour Schemes are expected to contribute to a significant share of the
training. Manpower training targets focus on the primary sector considering the low level of industrial development
in the district. Private training providers have opportunities in livelihood training programs.

Government Funded Incremental Training Capacity (2012-17) - Panchmahals District 1040

M/O Agriculture 14810

SDI-MES 11865
SGSY 11848
Using Construction Cess 6154
SJSRY 4877
Others 4548
D/O IT 4351
Credit Scheme 4153
ART - M/o Tribal Affairs 3716
SCA under TSP - M/o Tribal… 2230
CSR Funds from Central PSUs 989
Hunar Se Rozgar 524
ISDS - Textiles 118

6.10.22.5. District Specific Recommendations

Considering these factors, the proposed action plan for stakeholders in skill development in the district would
indicate the following priority areas:

Stakeholder Action Points for Stakeholders

NSDC Focus on increasing participation from national/regional private skill training providers
with focus on the following sectors
• Transportation and Logistics
• Healthcare
• Construction
• Hospitality and Tourism
• Banking and Financial Services
District Provide skill training in conjunction with private skill training providers using government
Administration endowment training schemes

1040
KPMG Analysis

469
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

• Agri allied activities such as animal husbandry and organic farming of vegetables
• Mineral Processing & Fabrication
• Rubber and Plastics
• Chemical and Chemical products

Private Skill Provide skill training in the sectors of

Training • Transportation and Logistics
Providers • Healthcare
• Construction
• Hospitality and Tourism
• Banking and Financial Services
Corporate Provide training for skills in those sector where the requirement for absorption within the
corporate is higher such as
• Construction
• Retail
• Transportation and Logistics
Initiate and support modular employability skill training in collaboration with private
players/Government
Create placement linkage opportunities in training institutions

470
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

6.10.23. Skill Gap Assessment of Patan District

6.10.23.1. Socioeconomic Profile
6.10.23.1.1. Administrative Profile

Patan district is located in the northern part of

Gujarat with a geographical spread of 5740
sq.km 1041. The district shares its border with Patan
Banaskantha, Mehsana, Surendranagar and
Kutch districts of Gujarat. Administratively
Patan district is divided into 7 talukas and 517
villages 1042 with Patan as the district capital.
Patan, Santalpur, Radhanpur, Siddhpur, Harij,
Sami and Chanasma are taluka regions in the
district.

6.10.23.1.2. Demographic Profile

Patan district is a relatively low human resource potential region in Gujarat state. District has a total population of
13.42 lakhs 1043 as per 2011 Census district accounting for 2.2 percent 1044 of the overall state population. District has
witnessed lower decadal population growth in comparison to the overall state. Patan population has witnessed a
decadal growth rate of 13.53 percent 1045 between 2001 and 2011 as against the state average of 19.17 percent 1046
during the same period. A significant portion of the district population lives in rural areas accounting for 79.07
percent 1047 of the total population. Population spread in the district is considerably lower than the state average with
a density of 234 persons per sq.km 1048 as against state average of 308 persons per sq.km 1049.

Analysis of population distribution in the district as per 2001 census indicates higher human resource potential in the
talukas of Patan, Sidhpur, Sami and Chanasma. Details of regional distribution of population in the district are
presented in the table.

1041
Census 2011 Statistics
1042
Census 2011 Statistics
1043
Census 2011 Statistics
1044
Census 2011 Statistics
1045
Census 2011 Statistics
1046
Census 2011 Statistics
1047
Census 2011 Statistics
1048
Census 2011 Statistics
1049
Census 2011 Statistics

471
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Regional Distribution of Population in the District 1050

Region Contribution to District Population Population Density
(2001) (Persons per Sq.km- 2001)
Patan 25% 398
Sidhpur 16% 491
Sami 14% 109
Chanasma 11% 281
Radhanpur 10% 197
Santalpur 9% 81
Vagdod 7% 315
Harij 7% 208

The gender composition of district population is marginally better than the state average. As per 2011 census, the
district has a gender ratio of 932 females per 1000 males 1051, as against the state average ratio of 918 females per
1000 males 1052. Overall reserved categories contribute to only 10.95 percent 1053 of the total district population
indicating the inclusion focus for the development of the economy has to be primarily on upliftment of women within
Patan district.

Education attainment levels in the district are lower than the state average. As per 2011 estimates, district has
registered an overall literacy rate of 73.47 percent 1054 as against state average of 79.31 percent 1055. Continuing
regional and gender variations in literacy rates is a key concern within the district. Urban-rural literacy gap in Patan is
estimated to be 13.75 percent 1056 comparable to the state average of 14.58 percent 1057. Similarly, the district still has
a male-female literacy gap of 22.27 percent 1058 as against 16.5 percent 1059 for Gujarat state. There is a greater need
to embark gender specific approach in implementing mass education programs in the district. Increasing focus on
literacy would create demand for education and training facilities within the district to support the economic growth
of the region.

6.10.23.1.3. Economic Profile

With the recent surge in investments in the oil and gas sector, Patan is progressively shaping up into an attractive
destination for investors. The textile sector also contributes largely to the district economy.

Patan Patola is one of the finest hand woven textile materials produced. Besides this, Mashru, a mixed fabric, woven
with a combination of cotton and silk is also traditionally produced in Patan.

1050
Census 2001Statistics, KPMG Analysis
1051
Census 2011 Statistics
1052
Census 2011 Statistics
1053
Census 2001Statistics, KPMG Analysis
1054
Census 2011 Statistics
1055
Census 2011 Statistics
1056
Census 2011 Statistics
1057
Census 2011 Statistics
1058
Census 2011 Statistics
1059
Census 2011 Statistics

472
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Analysis of regional distribution of investments in Patan district indicates that industrial development is concentrated
in Santalpur Talukas. Over the recent years State Government has initiated some measures to enhance the industrial
growth in backward talukas like Patan and Sami in addition to Santalpur through suitable incentives leading to an
increased investment potential of these regions over the next decade. Details of region wise large scale investments
in Patan district till 2012 is presented in the table.

Large Scale Investment Scenario In Patan 1060

Region Commissioned Under Implementation
No. of Units Investment No. of Units Investment
( INR Cr) ( INR Cr)

Sidhapur 9 21 3 46

Santalpur 5 571 16 6053

Chanasma 1 7 -- --

Patan 1 0 4 146
Radhanpur 1 4 -- --
Unjha 1 3 -- --
Sami -- -- 2 100
Not Classified 1 287 9 1361
District Total 19 893 34 7706

Moderate growth of industrialization in the district has widened the scope for establishment of ancillary units in
MSME segment. As per the MSME investment Part–II statistics, overall there are 372 units operating in the district
attracting an investment of INR 24,153 lakhs in 2012.

Investment outlook in MSME segment of Patan district is presented in the table.

MSME Investment Scenario in Patan 1061

Category of Industries Number of Units Investment In Lakhs
Micro 254 4612
Small 118 19540
Medium -- --
Total 372 24153
Manufacturing Sector Units 317 20931
Service Enterprises 55 3222

MSME segment in Patan is dominated by manufacturing industries in terms of both volume and investments. Among
the manufacturing based MSME units, agro & food processing, mineral processing and fabrication, textile & apparel
and chemical and chemical products are the key prominent categories in terms of number of units. However, in terms

1060
IEM, MSME Part-II Data till 2012-13
1061
IEM, MSME Part-II Data till 2012-13

473
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

of investments, agro & food processing and textile & apparel are the key prominent categories. Composition of
MSME manufacturing units and investments are presented in the chart.

MSME Manufacturing Sector Overview in the District 1062

Composition of MSME Manufacturing Units Composition of Investments in MSME
Manufacturing Units
Auto-Auto Agri-Allied Eletrical &
Manufacturing of Components Activities Mineral Eletronics
Engineering 2.2% 0.3% Manufacturing Auto-Auto
Prosessing & 1.3%
Goods Construction Mining & of Engineering Components Agri-Allied
Fabrication
6.0% 0.3% Quarrying Goods 0.9% Activities
6.9%
Eletrical & 1.3% Rubber & 3.5% 0.1%
Eletronics Plastics Mining &
6.0% 1.9% Quarrying
Agro & Food
Processing Chemical & 2.9%
23.3% Chemical
Products
5.0%
Paper & Paper Agro & Food
Products Processing
Mineral
3.3% 30.0%
Prosessing &
Fabrication Textile & Apparel
17.7% Wooden
26.5% Products &
Furniture
0.6% Textile &
Wooden Products Apparel
& Furniture 43.6%
Chemical &
Chemical 2.8%
Paper & Paper
Products Rubber & Plastics Products
9.8% 2.5%
1.3%

While the level of organized investments in services enterprises is low, as evident from the MSME Part-II statistics,
sectors of whole sale and retail trade and IT-ITES have seen investments in the district. Composition of MSME
service enterprises and investments are presented in the chart.

1062
IEM, MSME Part-II Data till 2012-13

474
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

MSME Services Sector Overview in the District 1063

Composition of MSME Service Enterprises Composition of Investments in MSME
Hospitality and Service Enterprises
Tourism Hospitality and IT- ITES Whole sale &
1.8% Tourism 3.6% Retail Trade
IT- ITES 1.1% 5.6%
14.5%

Whole sale &

Retail Trade
Other Services 18.2%
60.0%

Transportation
Other
1.8%
Services
88.9%
Printing &
Publishing
3.6%

The tourism sector of the district is one of the sectors which have attracted major investment. There are many places
of tourism delight like Queen's Step well or Rani Ki Vav, Sahastralinga Talav, Panchasara Parasvanath jain temple.
The district is also famous for the Patola saree

The district is the headquarter to the Hemchandracharya North Gujarat University and also has the Government
Engineering College, K.D. Polytechnic College and Sheth M. N. Law College.

The district has medium penetration of medical institutions with 30,516 people per institute. It has 29 primary
healthcare centers, 13 community healthcare centers and 2 hospitals. Apart from the above, Patan also has Sonam
Hospital and Urology Centre in Sidhpur, City Hospital & Gastroenterology Research Centre and Sewa International
Hospital 1064

The road infrastructure of Patan comprises of National Highway 14, 15 and State Highway 7, 8 and 10 which connect
the district with the major cities of Gujarat and India. The rail network is part of the Western railways connecting
Patan with major cities in India such as Delhi and Mumbai via Ahmadabad. The nearest airport to Patan is located at
Ahmadabad.

There are 85 bank offices in Patan with total deposits of 2,212 Cr INR and total credit of 980 Cr INR as of Mar
2012 1065. Patan has a relatively lower penetration of banking and financial services with a high density of 15,797
people per bank as of March 2012. While the number of banks has increased at a CAGR of 5.5 percent from 2007 to

1063
IEM, MSME Part-II Data till 2012-13
1064
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
1065
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07

475
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

2012, the amount of deposit and credit have increased at a CAGR of 21.9 percent and 17.6 percent respectively from
2007-2012.

Owning to the soil characteristics, a majority of the district geographical land is cultivable (70 percent of total area).
Patan has moderate rainfall conditions with the average rainfall in the last 10 years being 500 nm

Being a low rainfall witnessing region, Patan has a limited spread of irrigation facilities with only 28.89 percent 1066 of
net cultivable area under irrigation. Certain talukas like Santalpur have only 5.23 percent of cultivable land under
irrigation resulting in poor agriculture in the district.

Bajra, Cotton (desi)/cotton (irrigated), castor and sesamum are the key Kharif crops while Mustard, Wheat, Cumin,
Pulse (Gram) and fodder crop (Lucerne) are the main Rabi crops grown in the district. The ratio of area under Rabi to
Kharif crop is around 0.5 which indicates significant potential for improvement in multiple cropping. Main horticulture
crops include spices, fruits (mainly mangoes) and vegetables. Currently usage of hybrid crop varieties is low with a
need to promote this practice across crop categories. The district has no Taluka Seed Farms which are mainly
targeted at improving the availability of quality seeds.

Cow and buffalos are main cattle varieties in Patan with 1,12,020 cows and 3,69,514 buffalos 1067. The other
prominent domestic animal under animal husbandry activities is goat. Availability of pasture lands indicates
significant potential to promote animal husbandry in the district. Along with strengthening animal husbandry
activities among small and marginal farmers through advanced rearing training, there is a need for integrating the
animal husbandry with promotion of organic farming.

6.10.23.2. Workforce Distribution in the district

Patan is predominantly dependant on the primary sector for livelihood generation with over three fourths of total
workforce engaged in this sector. Considering the low level penetration of manufacturing sector at 7.23 percent
employment generation as against the state average of 15.86 percent, district has potential to become a sourcing hub
for trained manpower. While the total worker participation rate is marginally better than the state average, high
manpower in agrarian activities having low output efficiency indicates under employment.

Comparison of workforce distribution scenario in Patan and Gujarat is presented in the table 1068.
Percentage of Employment
Region Labour Force Workforce Primary Secondary
Participation Participation Sector Sector Tertiary Sector
Patan 60.3% 45.07% 77.59% 7.23% 15.18%
Gujarat 59.27% 41.95% 59.34% 15.86% 24.8%

1066
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
1067
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
1068
KPMG Analysis

476
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Registered factories and service enterprises accounted for only 5 thousand job opportunities in the district. While the
overall manufacturing and services employment base is low, high level of unorganized activity has further reduced
organized job prospects in these sectors.

Organized Employment in Patan 1069

Category of Industries Employment
Large Scale Industries (Commissioned + Under Implementation) 2143
MSME Category 4706
Manufacturing Units 4161
Service Enterprises 545
Total 6849

Regional and sectoral analysis of large scale industrial employment indicates a clear concentration of employment in
key sectors. Santalpur and Sidhapur talukas account for a majority share of employment in this category.
Infrastructure and Agro Processing are major employment generating segments within the district. Regional and
sectoral break up of large scale industrial employment is presented in the chart.

Large Scale Industrial Employment Overview in the District 1070

Regional Distribution of Large Scale Composition of Employment in Large Scale
Industrial Employment Industries
Agro & Food
Processing
Sami Not Classified 23%
1% 9%

Unjha Textile & Apparel

6% 9%
Sidhapur
Radhanpur 20% Paper & Paper
6% Products
3%
Patan
Chemical &
4% Infrastructure Chemical
57% Products
Chanasma
3% 2%
Eletrical &
Santalpur Eletronics
51% 5%
Pharmaceuticals
1%

Among the manufacturing units in MSME segment Textile, Mineral Processing and Fabrication and Agro and Food
Processing have accounted for majority share of the employment in all the categories of industries. Basic metal
working units, furniture making enterprises have contributed significantly to the Micro industries category. Whole
sale & retail trade and IT-ITES are major employment generating sectors within tertiary enterprises. Details of sector

1069
IEM, MSME Part-II Data till 2012-13
1070
IEM, MSME Part-II Data till 2012-13

477
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

wise industrial employment in manufacturing and services MSME units as per 2012 statistics are presented in the
chart.

MSME Employment Overview in the District 1071

Composition of Employment in MSME Composition of Employment in MSME
Manufacturing Units Service Enterprises

Auto-Auto
Components
Manufacturing of 3.0% Agri-Allied Mining &
Engineering Activities Quarrying Hospitality and
Goods 0.2% 1.9% Tourism
3.1% IT- ITES
2.2%
7.9%
Construction
0.3%
Agro & Food Whole sale &
Eletrical & Processing Retail Trade
Eletronics 21.5% 12.1%
2.3%
Mineral Transportation
Prosessing & 0.7%
Fabrication Printing &
24.9% Publishing
3.3%
Textile & Apparel Other Services
22.5% 73.8%

Rubber & Plastics

4.1%
Chemical &
Chemical Wooden
Products Paper & Paper Products &
7.9% Products Furniture
2.1% 6.2%

6.10.23.3. Human Resource Requirement Projections in Patan (2012-22)

Incremental manpower requirement in the district of Patan has been estimated based on several parameters such as
investments trends, national level benchmarks on industrial growth across sectors, state manufacturing policy
targets, performance of state against economy targets, national level inclusion targets for certain sectors,
employment generation potential of various sectors based on labour elasticity and market based insights from
discussions with industries in Patan. Based on an analysis of the current state of workforce distribution and potential
employment opportunities in various sectors, incremental manpower requirement in key primary, secondary and
tertiary segments is estimated for the periods 2012-17 and 2017-22. Further, manpower requirement is classified into
skilled, semi skilled and minimally skilled categories considering the present level of employment in these categories
for respective sectors and analysis of expected developments in the industry that would lead to significant
realignment of categories. Detailed approach for manpower estimations is presented in the appendix and specific
factors for estimation are discussed below.

Primary Sector:

1071
IEM, MSME Part-II Data till 2012-13

478
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Considering the increasing level of farm mechanization and sharing agricultural land usage, the period between 2012
and 2022 would witness a net outflow of workforce from the agricultural activities. Agricultural workforce
displacement is expected to be significant in marginal workers category. A significant portion of the workforce would
engage in agri-allied activities depending on the availability of allied resources and migrational constraints.
Incremental manpower requirement for the agri- allied activities is estimated considering the following parameters

• Current level of employment in agricultural activities(farmers, agricultural labourers)

• Estimated displacement factors for agricultural workforce based on Planning Commission Projections for
2012-17 and 2017-22 periods and analysis of level of mechanization and allied factors in Gujarat
• Employment potential in agri-allied activities in the district considering the level of involvement in the
respective activities and regional conditions

Manufacturing Sector:

Manpower requirement in secondary sector is driven by investments and output growth. Various factors including
analysis of manufacturing, sub sector policies, investment trends, availability of resources, are considered for the
incremental manpower estimation in different subsectors of manufacturing in the district. Human resource
requirement projections for manufacturing sub sectors in the district are estimated considering the following
parameters

• Manufacturing growth targets for Gujarat for 2012-17 and 2017-22(Increasing secondary sector share in
GSDP to 32% by 2017)
• Identifying key growth sub segments within the district based on study of existing industrial base, primary
interactions
• Estimation of growth targets for the district based on analysis of investment trends in the district in
comparison to the state, available infrastructure, policy thrust on key manufacturing segments identified for
the district
• Labour elasticity factors in the potential sectors for the district

Tertiary Sector:

Employment growth in some of the services sector is driven by Government thrust in terms of budgetary allocations to
achieve inclusion targets in education, healthcare and banking while the other segments including hospitality and
tourism, financial intermediation, communication, retail would depend on the level of economic activity in the region
resulting in high or low spending capacity of population. Also segments like IT-ITES, transportation & logistics are
driven by investments into infrastructure and manpower. Hence human resource requirement projections for services
sub sectors would have specific approaches depending on the growth drivers for the segments in the district.
Detailed methodology for estimation of manpower in services sub segments is presented in the appendix.

Based on the analysis of socio economic conditions, investment scenario and availability resources incremental
manpower requirement has been estimated for the following sectors.

Primary Sector

• Agriculture & Allied Activities( Horticulture, Sericulture, Animal Husbandry and Fisheries)

479
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Secondary Sector

• Textile and Apparel

• Manufacturing of Engineering Goods( Including Auto & Auto Components)
• Chemical & Chemical Products(Including Petro Chemicals)
• Drugs & Pharmaceuticals
• Agro & Food Processing
• Electrical and Electronics
• Mineral Processing & Fabrication
• Construction Material(Cement, Ceramics)
• Rubber & Plastics
• Paper & Paper Products
• Infrastructure(Construction)

Tertiary Sector

• Transportation & Logistics(including port based logistics)

• Banking & Financial Services
• Organized Retail
• Hospitality & Tourism
• Healthcare
• Education & Training

Incremental manpower requirements for the priority sectors in Patan district are presented in the table 1072.

Sector 2012-17 2017-22

Skilled Semi Minimally Total Skilled Semi Minimally Total
Skilled skilled Skilled skilled
Agriculture &
Allied Activities NA NA 13066 13066 NA NA 10942 10942
Agro & Food
Processing 30 120 150 300 27 107 134 268
Textile & Apparel 25 99 123 246 22 88 110 220
Wooden Products
& Furniture 6 22 28 56 5 20 25 50
Paper & Paper
Products 3 14 17 34 3 12 15 30
Chemical &
Chemical
Products 8 32 41 81 7 29 36 73

1072
KPMG Analysis

480
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Rubber & Plastics 4 15 19 37 3 13 17 33

Mineral
Processing &
Fabrication 24 97 121 242 22 87 108 216
Electrical &
Electronics 4 17 21 43 4 15 19 38
Manufacturing of
Engineering
Goods 6 22 28 55 5 20 25 49
Misc.
Manufacturing 6 25 32 64 6 23 28 57
Construction 298 596 5063 5956 266 533 4528 5327
Trade, Retail 481 722 3608 4810 526 789 3944 5258
Transportation &
Logistics 62 978 1163 2203 50 800 952 1802
Hospitality &
Tourism 511 767 3833 5110 409 613 3066 4088
Banking &
Financial
Services 1864 5591 NA 7455 1305 3914 NA 5218
Healthcare 223 1003 NA 1226 297 1485 NA 1782
Education &
Training 652 4388 NA 5040 978 2633 NA 3611

Skill requirements in key growth sectors have been analyzed based on industry interactions to understand the
detailed manpower needs. Sector level skill interventions are indicated in the section below 1073.

Secondary Sector (Manufacturing, Construction & Energy):

• Textile & Apparel:

Category of Skills Skills

Core Skills Ring frame operator, weaver, processing operator (CDR,BDR,Stuntor), Bar-
coding machine operator

Electrician, Wireman, Fitter

Allied Skills
The industry has high attrition rates in operator roles (semi skilled) owing to
Skills with acute shortage extreme working conditions.

• Food Processing:
Category of Skills Skills

1073
KPMG Analysis

481
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Core Skills Fitter, Electrician, Wireman, Instrumentation, Lab Technician

Allied Skills Instrumentation, Packaging (Jar, Pouch) Operator, AOCP, Lab Attendant, Boiler
Operator, QC Chemists

Skills with acute shortage PPO is required in industries having in house packing development.

• Metal & Mineral Processing:

Category of Skills Skills
Core Skills Fitter, Welder, Turner, Electrician

Allied Skills Melter, Boiler Operator

Skills with acute shortage PCB instrumentation

• Construction:
Category of Skills Skills
Core Skills Electricians, carpenters, barbenders, welders and masons

Allied Skills Minimally skilled workers

Skills with acute shortage Machine operators

Services:
• Banking & Financial Services:
Category of Skills Skills
Core Skills Knowledge on core banking/mobile/internet platforms

Allied Skills Sales & Marketing

Skills with acute shortage insurance underwriting, claims management

482
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

• Education:
Category of Skills Skills
Core Skills School teachers, higher education faculty

Allied Skills Knowledge on advanced teaching tools

Skills with acute shortage Technical education trainers

Primary Sector:

• Cultivation:
Category of Skills Skills
Core Skills Awareness about high yield varieties, micro nutrients and pest Control, Organic
farming and Vermi compost methods, Micro irrigation techniques
Allied Skills Knowledge on food processing techniques and related procedures to extract
greater value from farm produce

Skills with acute shortage Usage and repair of farm equipments, Marketing and management practice

• Agri- Allied Activities:

Category of Skills Skills
Core Skills Modern rearing techniques of live stock, piggery, goatery and fisheries

Allied Skills Knowledge on processing techniques

Skills with acute shortage Marketing and distribution of forest/animal husbandry produce

6.10.23.4. Human Resource Supply Scenario in the District

6.10.23.4.1. Estimation of Labour Force Supply
District-wise incremental supply has been determined based on net addition of labour force. Gross addition to
working age group population during 2012-17 and 2017-22 were determined based on Census 2011 age wise
population accounting for death rate and life expectancy normalized against population corrections in 2017 and 2022.
Applying labour force participation rates, considering the historical trends, gross additions to labour force were

483
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

estimated for the two time periods. Accommodating for retirement from the existing pool of labour force, net supply
to labour force has been estimated.

Patan is among the districts with moderately lower human resource growth potential during 2012-22. Limited
employment opportunities within the district to absorb the incremental labour force have to be addressed through
adequate skilling for employment opportunities outside the district. Details of human resource growth estimations
during 2012-22 are presented in the table 1074.

Period Gross Addition to Working Gross Addition to Labour Net Addition to Labour
Age Population Force Force-Supply

2012-17 150,654 99,015 51,192

2017-22 137,952 92,064 39,747

6.10.23.4.2. Education and Training Potential in the District

Patan district has around 911 K12 schools with a 91.11 percent share of Government schools. On one hand, the net
enrolment ratio of the district for the primary level is higher than the net enrolment ratio. On the other hand, the net
enrolment ratio of the district for upper primary level is lower than the net enrolment ratio. Hence, there is a
significant gap between the education scenario at primary level and upper primary level 1075.

Total Enrollments Primary Level Upper Primary Level Secondary Level Higher Secondary
in 2009-10 (Std I-V) (Std VI-VIII) (Std IX-X) Level (Std XI-XII)
Patan 154436 47169 20540 39839

Comparing the district’s enrolment statistics with state average indicates that the district is a strong performer in the
primary education category 1076
Region Net Enrolment Ratio (Primary Level) Net Enrolment Ratio (Upper Primary Level)
Patan 97.6 50.0

Gujarat 85.4 50.7

In the vocational education segment, the district lags behind in the provision of vocational training in comparison to
state average. Private interest in the sector in this district is also lower indicating that the state must take proactive
measures in seeking private support to augment vocational training infrastructure 1077.

1074
KPMG Analysis
1075
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat
1076
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat
1077
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat

484
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Region Number of Seat Vocational Training Private Sector

ITIs Capacity Capacity Density (Seats Participation in
Per 1000 Population) Vocational Training
Patan 12 2,952 2.2 18%
Gujarat 711 138,106 2.29 26%

Given the unequal distribution of seats, capacity expansion in vocational education in Patan district needs to be
focused on the tehsils of Santhalpur, Siddhapur, Radhanpur, Sami to bring them on par with the district average in
vocational education capacity 1078.
Taluka Seat Capacity Vocational Training Private Sector
Capacity Density(Seats Participation in
Per 1000 Population) Vocational Training
Chanasma 636 4.36 80%
Patan 1144 3.41 0%
Harij 292 3.03 0%
Santalpur 244 1.96 0%
Siddhapur 304 1.40 0%
Radhanpur 184 1.35 0%
Sami 148 0.79 14%
District Total 2952 2.20 18%

The district has 1 pharmacy college, 1 engineering college, 1 MCA college and 15 colleges offering Arts, Commerce,
Science, B.Ed and Law programs. Patan is the headquarters for a northern Gujarat University - Hemchandracharya
North Gujarat University. The university offers MBA and MCA courses. The district houses some of the renowned
technical and law colleges. The district also has the provision for distance learning programs and correspondence
courses offered by various Study Centers under Open University Scheme of Indian universities. Law Colleges in Patan
such as Sheth M. N. Law College offer law education including civil , criminal, business and forensic law etc. The
Government Engineering College and K.D. Polytechnic College at Patan offers courses in computer science,
electronics & communications and mechanical engineering with intake capacity of 180 people per annum.

6.10.23.4.3. Demand-Supply Gap Analysis for the District

Incremental skill category wise supply for the periods 2012-17 and 2017-22 in the district are estimated based on net
output from higher education institutions (skilled), vocational training(semi skilled), minimally skilled (school
education) for periods 2012-17 and 2017-22 considering the LPR estimations for the districts in 15-59 age group and
retirement from existing labour force.

Based on the skill category human resource demand projections for 2012-22 and net supply potential, category wise
Demand-Supply gap estimations for the district are presented in the table below

Category Wise Demand-Supply Gap in the District (2012-22)

2012-17 2017-22
Sector Skilled Semi Minimally Total Skilled Semi Minimally Total

1078
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat

485
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Skilled skilled Skilled skilled

Demand-Supply
Gap (2,896) 9,002 (11,270) (5,168) (3,955) 4,337 (1,064) (685)
*(Indicates excess supply)

6.10.23.4.4. Skill Development Potential through Government Endowments

According to KPMG estimates, based on the potential district budgetary allocation for various central government
schemes around 37 thousand people in total can be trained incrementally during the five year period of 2012-17.
Ministry of Agriculture and Ministry of Labour Schemes are expected to contribute to a significant share of the
training. Manpower training targets have predominant focus on primary sector considering the low level of industrial
development in the district. Private training providers have opportunities in livelihood training programs.

Government Funded Incremental Training Capacity (2012-17) - Patan District 1079

M/O Agriculture 7656

SDI-MES 6671

SGSY 6125

Using Construction Cess 4382

SJSRY 4099

Others 2557

D/O IT 2446

Credit Scheme 2335

CSR Funds from Central PSUs 556

Hunar Se Rozgar 512

ISDS - Textiles 256

ART - M/o Tribal Affairs 84

SCA under TSP - M/o Tribal Affairs 51

6.10.23.5. District Specific Recommendations

1079
KPMG Analysis

486
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Considering these factors, the proposed action plan for stakeholders in skill development in district would indicate
the following priority areas:

Stakeholder Action Points for Stakeholders

NSDC Focus on increasing participation from national/regional private skill training providers
with focus on the following sectors
• Transportation and Logistics
• Healthcare
• Construction
• Hospitality and Tourism
• Banking and Financial Services
District Provide skill training in conjunction with private skill training providers using government
Administration endowment training schemes
• Agri allied activities such as animal husbandry and organic farming of vegetables
• Agro and Good Processing
• Textiles and Apparels
•
Private Skill Provide skill training in the sectors of
Training • Transportation and Logistics
Providers • Healthcare
• Construction
• Hospitality and Tourism
• Banking and Financial Services
Corporate Provide training for skills in those sector where the requirement for absorption within the
corporate is higher such as
• Construction
• Retail
• Transportation and Logistics
Initiate and support modular employability skill training in collaboration with private
players/Government
Create placement linkage opportunities in training institutions

487
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

6.10.24. Skill Gap Assessment of Porbandar District

6.10.24.1. Socioeconomic Profile
6.10.24.1.1. Administrative Profile

Porbandar is a coastal district in Gujarat is located

in the south western part of the state with a
geographical spread of 2272 sq.km 1080. The district
shares its border with Jamnagar, Rajkot and
Junagadh districts of Gujarat along with coastal
line along Arabian Sea. Administratively
Porbandar district is divided into 3 talukas and 182
villages 1081 with Porbandar as the district capital.
Kutiyana, Porbandar and Ranavav are taluka
regions in the district. Porbandar

6.10.24.1.2. Demographic Profile

Porbandar district is a low human resource potential region in Gujarat state. The district has a total population of 5.86
lakhs 1082 as per 2011 Census, accounting for 1 percent 1083 of the overall state population. It has witnessed
significantly lower decadal population growth in comparison to the overall state. Porbandar population has witnessed
a decadal growth rate of 9.17 percent 1084 between 2001 and 2011 as against the state average of 19.17 percent 1085
during the same period. Significant portion of district population lives in urban areas with these regions accounting
for nearly 49 percent 1086 of the total population. Population spread in the district is considerably lower than the state
average with a density of 255 persons per sq.km 1087 as against state average of 308 persons per sq.km 1088. Analysis
of population distribution in the district as per 2001 census indicates higher human resource potential in the taluka of
Porbandar. Details of regional distribution of population in the district are presented in the table.

1080
Census 2011 Statistics
1081
Census 2011 Statistics
1082
Census 2011 Statistics
1083
Census 2011 Statistics
1084
Census 2011 Statistics
1085
Census 2011 Statistics
1086
Census 2011 Statistics
1087
Census 2011 Statistics
1088
Census 2011 Statistics

488
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Regional Distribution of Population in the District 1089

Region Contribution to District Population Population Density
(2001) (Persons per Sq.km- 2001)
Porbandar 65% 306
Ranavav 19% 176
Kutiyana 15% 146

Gender composition of the district population is better than the state average. As per 2011 census, the district has a
gender ration of 947 females per 1000 males 1090 as against the state average ratio of 918 females per 1000
males 1091. Overall reserved categories contribute to only 10.95 percent 1092 of the total district population, indicating
the need for their inclusion for the development of the economy.

Education attainment levels in the district are relatively lower than the state average. As per 2011 estimates, the
district has registered an overall literacy rate of 76.63 percent 1093 as against state average of 79.31 percent 1094.
Continuing regional and gender variations in literacy rates is a key concern within the district. Urban-rural literacy gap
in Porbandar is estimated to be 12.96 percent 1095 comparable to the state average of 14.58 percent 1096. Similarly,
district still has a male-female literacy gap of 16.24 percent 1097 as against 16.5 percent 1098 for Gujarat state. There is
a greater need to embark gender and region specific approach in implementing mass education programs in the
district. Increasing focus on literacy would create demand for education and training facilities within the district to
support the economic growth of the region.

6.10.24.1.3. Economic Profile

The coastal nature of Porbandar has fuelled the growth of specific industries in the district, such as ports and ship
building, cement and chemical. The Arabian Sea facing port supports these industries by acting as a channel for
importing required raw material and by allowing exporting the finished goods, such as cement clinker. The district
rests on a rich bed of chalk and bauxite, which attract and feed related industries in the area.

Within the district, the Porbandar taluka has witnessed substantial investments, to the tune of over INR 600 Cr. But
at the same time, Ranavav taluka has nearly INR 550 Cr., under implementation. The large scale investment details
for the district are provided in the table:

1089
Census 2001Statistics, KPMG Analysis
1090
Census 2011 Statistics
1091
Census 2011 Statistics
1092
Census 2001Statistics, KPMG Analysis
1093
Census 2011 Statistics
1094
Census 2011 Statistics
1095
Census 2011 Statistics
1096
Census 2011 Statistics
1097
Census 2011 Statistics
1098
Census 2011 Statistics

489
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Large Scale Investment Scenario In Porbandar 1099

Region Commissioned Under Implementation
No. of Units Investment No. of Units Investment (
( INR Cr) INR Cr)

Porbandar 17 654 2 197

Ranavav 10 314 4 546

Not Classified -- -- 2 56

District Total 27 968 8 799

Investments in MSMEs in Porbandar are largely directed towards small industries with INR 8,645 lakhs being
directed towards the same. 418 micro industry units have been supported through timely investments. Total
investments in the district sum up to INR 13778 Cr. with nearly 70% of this amount going towards manufacturing
sector units.

MSME Investment Scenario in Porbandar 1100

Category of Industries Number of Units Investment In Lakhs
Micro 418 2435
Small 44 8645
Medium 2 2698
Total 464 13778
Manufacturing Sector Units 288 9437
Service Enterprises 176 4341

Textile & Apparel and Agro & Food Processing MSMEs constitute the two largest segments in the manufacturing
space. Of the INR 9,437 Cr. invested in manufacturing units, Agro & Food Processing units have attracted nearly 60%.
Mineral Processing and Fabrication and Mining & Quarrying are two other important segments, attracting 10% and
6.5% of the investments in their space.

A comprehensive overview of the manufacturing MSMEs and the investments in that area are given below:

1099
IEM, MSME Part-II Data till 2012-13
1100
IEM, MSME Part-II Data till 2012-13

490
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

MSME Manufacturing Sector Overview in the District 1101

Composition of MSME Manufacturing Units Composition of Investments in MSME
Manufacturing Units
Mining & Manufacturing
Construction
Manufacturing of 3.8%
Quarrying of Engineering Construction
9.4% Goods 1.9%
Engineering
Goods 3.4%
4.2% Mineral
Prosessing &
Agro & Food Fabrication Mining &
Processing 9.9% Quarrying
Rubber & 6.4%
18.4%
Plastics
Mineral Chemical &
4.3%
Prosessing & Chemical
Fabrication Products
16.3% 2.1%

Rubber & Plastics Wooden Textile &

3.8% Products & Apparel
Furniture 9.2%
Chemical & 0.8%
Chemical Textile & Apparel
Products 33.0%
4.5% Agro & Food
Processing
Wooden Products 60.4%
& Furniture
2.4%

While the level of organized investments in services enterprises is low as evident from the MSME Part-II statistics,
sectors of whole sale and retail trade and IT-ITES have seen investments in the district. Composition of MSME
service enterprises and investments are presented in the chart

MSME Services Sector Overview in the District 1102

Composition of MSME Service Composition of Investments in
Enterprises MSME Service Enterprises
IT- ITES Whole sale
7.4% & Retail
Trade
3.4%

Other
Services
46.0%

Whole sale &

Retail Trade
43.8% Other
Services
Printing & 94.4%
Publishing
1.7%

1101
IEM, MSME Part-II Data till 2012-13
1102
IEM, MSME Part-II Data till 2012-13

491
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

The tourism sector is one of the major drivers of the district’s economy with a growth of over 23% in tourist inflow
during 2006-07 as compared to the tourist inflow during 2005-06. The district has major tourist destinations like Kirti
Mandir - the birth place of Mahatma Gandhi), Bharat Mandir, Nehru Planetarium and Vijay Vilas.

Apart from the above places, the district also has Barda Hills Sanctuary, Madhavraiji Haveli Temple, Sudamapuri
Temple, Hazoor Court and sea beaches.

The district has low penetration of medical institutions with 41,862 people per institute. There are about 10 primary
healthcare centers and 3 community healthcare centers 1103.

The road network of Porbandar has National Highways 8 B and 8E (Ext.) which connects the district with Rajkot and
Jamnagar. The western railways connect the district with Rajkot, Surat, Vadodara and Ahmadabad. There are four
broad gauge rail lines with a total length of 33 km. The district also has an airport which connects it with Rajkot and
Mumbai.

The district has a port at Porbandar which functions along the 106 km maritime border facing Arabian Sea. The
imports at the port include commodities like coal, date palm, LPG, butane, building materials, animal feed, steel,
edible oil. The exports from the port include commodities like fish, cement, groundnut cakes, soyabean cakes, edible
oil, bauxite, onion, garlic and building materials.

Porbandar has 61 bank offices with total deposits of 3,506 Cr INR and total credit of 704 Cr INR as of Mar 2012 1104.
Porbandar has a high penetration of banking and financial services with a density of 9.608 people per bank 1105 as of
March 2012. While the number of banks has increased at a CAGR of 4.1 percent 1106 from 2007 to 2012, the amount of
deposit and credit have increased at the lowest CAGR amongst all districts at 13.1 percent and 9.3 percent
respectively 1107 from 2007-2012.

Porbandar has medium to high rainfall conditions of the South Saurashtra type. Owning to the soil characteristics, a
majority of the district geographical land is cultivable (65 percent of total area). Being a high rainfall witnessing
region, the majority of land is rainfed with only around 19 percent 1108 of net cultivable area under irrigation 1109.
Agricultural irrigation in Porbandar is predominantly dependent on canals and open wells. The large scope for

1103
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
1104
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
1105
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
1106
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
1107
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
1108
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
1109
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07

492
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

operation and maintenance of tube wells for lift irrigation would mandate requirement of skilled manpower with
knowledge on repair and maintenance.

Cotton and Wheat are key kharif crops grown in the district while gram and millet are the major rabi crops. The ratio
of area under Kharif to Rabi crop cultivation is 1.61 indicating good prospects for multiple cropping. Main horticulture
crops include fruits (Banana), vegetables and Spices with the district contributing to a sizeable portion of Gujarat’s
onion production 1110. Currently usage of hybrid crop varieties is low with a need to promote across crop categories.
There is a need for Taluka Seed Farms in the district to improve the availability of quality seeds.

Cow and buffalos are main cattle varieties in Porbandar with 83,415 cows and 1,00,417 buffalos 1111. The other
prominent domestic animal under animal husbandry activities is goat. Each taluka of the district has a permanent
pasture though they are small in size. This opens up opportunity for animal husbandry which when clubbed with
organic farming can give impressive results.

6.10.24.2. Workforce Distribution in the district

Porbandar has a marginally higher dependency on the primary sector for livelihood generation than the state average.
Over two thirds of the district workforce is dependent on agriculture and allied activities. Further, the district has
lower workforce and labour force participation rates. The penetration level of the manufacturing sector is low at 8.7
percent employment generation as against the state average of 15.86 percent. As a result, the district has the
potential to become a sourcing hub for trained manpower.

Comparison of workforce distribution scenario in Porbandar and Gujarat is presented in the table 1112.
Percentage of Employment
Region Labour Force Workforce Primary Secondary Tertiary
Participation Participation Sector Sector Sector
Porbandar 56.78% 40.07% 67.43% 8.7% 23.87%
Gujarat 59.27% 41.95% 59.34% 15.86% 24.8%

Organized sector employment in registered factories and service enterprises in the district currently stands at 6,700.
While the overall manufacturing base is low, high level of unorganized activity has further reduced organized job
prospects in manufacturing sector within the district.
Organized Employment in Porbandar 1113
Category of Industries Employment
Large Scale Industries (Commissioned + Under Implementation) 4902
MSME Category 2853
Manufacturing Units 2599

1110
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
1111
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
1112
KPMG Analysis
1113
IEM, MSME Part-II Data till 2012-13

493
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Service Enterprises 254

Total 7755

Regional and sectoral analysis of large scale industrial employment indicates a clear concentration of employment in
key sectors. Ranavav and Porbandar talukas account for a majority share of employment in this category. Textile,
Chemicals, Construction Material and Agro and Food Processing Units are major employment generating segments
within the district. Regional and sectoral break up of large scale industrial employment is presented in the chart.

Large Scale Industrial Employment Overview in the District 1114

Regional Distribution of Large Scale Composition of Employment in Large Scale
Industrial Employment Infrastructure
Industries
Agro & Food
11%
Processing
21%

Textile & Apparel

10%
Porbandar
37% Construction
Material
26%
Ranavav
63%

Mineral
Prosessing &
Chemical &
Fabrication
Chemical
1%
Products
Rubber &
24%
Plastics
7%

Among the manufacturing units in MSME segment Agro and Food Processing and Mineral Processing and Fabrication
have accounted for majority share of the employment in all the categories of industries. Basic metal working units,
furniture making enterprises have contributed significantly to the Micro industries category. Whole sale & retail
trade, IT-ITES, Publishing & printing, hospitality are major employment generating sectors within tertiary enterprises.
Details of sector wise industrial employment in manufacturing and services MSME units as per 2012 statistics are
presented in the chart.

1114
IEM, MSME Part-II Data till 2012-13

494
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

MSME Employment Overview in the District 1115

Composition of Employment in MSME Composition of Employment in
Manufacturing Units MSME Service Enterprises
Construction Hospitality
Manufacturing of Mining & Quarrying
4.0% and Tourism IT- ITES
Engineering Goods 9.3%
3.8% 0.4% 6.3%

Mineral
Prosessing &
Fabrication
16.0%
Other
Services
Rubber & Plastics 51.6% Whole sale
4.7% & Retail
Chemical & Trade
Agro & Food 39.8%
Chemical Products
Processing
3.7%
Textile & Apparel 39.2%
15.3%

Printing &
Publishing
2.0%

6.10.24.3. Human Resource Requirement Projections in Porbandar (2012-22)

Incremental manpower requirement in the district of Porbandar has been estimated based on several parameters
such as investments trends, national level benchmarks on industrial growth across sectors, state manufacturing
policy targets, performance of state against economy targets, national level inclusion targets for certain sectors,
employment generation potential of various sectors based on labour elasticity and market based insights from
discussions with industries in Porbandar. Based on the analysis of current state of workforce distribution and
potential employment opportunities in various sectors, incremental manpower requirement in key primary, secondary
and tertiary segments is estimated for the periods of 2012-17 and 2017-22.

Further, manpower requirement is classified into skilled, semi skilled and minimally skilled categories considering the
present level of employment in these categories for respective sectors and analysis of expected developments in the
industry that would lead to significant realignment of the categories. Detailed approach for manpower estimations is
presented in the appendix and specific factors for estimation are discussed below.

Primary Sector:

Considering the increasing level of farm mechanization and sharing agricultural land usage, period between 2012 and
2022 would witness a net outflow of workforce from the agricultural activities. Agricultural workforce displacement
is expected to be significant in marginal workers category. A significant portion of the workforce would engage in
agri-allied activities depending on the availability of allied resources and migrational constraints. Incremental
manpower requirement for the agri- allied activities is estimated considering the following parameters

1115
IEM, MSME Part-II Data till 2012-13

495
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

• Current level of employment in agricultural activities(farmers, agricultural labourers)

• Estimated displacement factors for agricultural workforce based on Planning Commission Projections for
2012-17 and 2017-22 periods and analysis of level of mechanization and allied factors in Gujarat
• Employment potential in agri-allied activities in the district considering the level of involvement in the
respective activities and regional conditions

Manufacturing Sector:

Manpower requirement in secondary sector is driven by investments and output growth. Various factors including
analysis of manufacturing, sub sector policies, investment trends, availability of resources, are considered for the
incremental manpower estimation in different subsectors of manufacturing in the district. Human resource
requirement projections for manufacturing sub sectors in the district are estimated considering the following
parameters

• Manufacturing growth targets for Gujarat for 2012-17 and 2017-22(Increasing secondary sector share in
GSDP to 32% by 2017)
• Identifying key growth sub segments within the district based on study of existing industrial base, primary
interactions
• Estimation of growth targets for the district based on analysis of investment trends in the district in
comparison to the state, available infrastructure, policy thrust on key manufacturing segments identified for
the district
• Labour elasticity factors in the potential sectors for the district

Tertiary Sector:

Employment growth in some of the services sector is driven by Government thrust in terms of budgetary allocations to
achieve inclusion targets in education, healthcare and banking while the other segments including hospitality and
tourism, financial intermediation, communication, retail would depend on the level of economic activity in the region
resulting in high or low spending capacity of population. Also segments like IT-ITES, transportation & logistics are
driven by investments into infrastructure and manpower. Hence human resource requirement projections for services
sub sectors would have specific approaches depending on the growth drivers for the segments in the district.
Detailed methodology for estimation of manpower in services sub segments is presented in the appendix.

Based on the analysis of socio economic conditions, investment scenario and availability resources incremental
manpower requirement has been estimated for the following sectors.

Primary Sector

• Agriculture & Allied Activities( Horticulture, Sericulture, Animal Husbandry and Fisheries)

Secondary Sector

• Textile and Apparel

• Manufacturing of Engineering Goods( Including Auto & Auto Components)
• Chemical & Chemical Products(Including Petro Chemicals)

496
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

• Drugs & Pharmaceuticals

• Agro & Food Processing
• Electrical and Electronics
• Mineral Processing & Fabrication
• Construction Material(Cement, Ceramics)
• Rubber & Plastics
• Paper & Paper Products
• Infrastructure(Construction)

Tertiary Sector

• Transportation & Logistics(including port based logistics)

• Banking & Financial Services
• Organized Retail
• Hospitality & Tourism
• Healthcare
• Education & Training

Incremental manpower requirements for the priority sectors in Porbandar district are presented in the table 1116.

Sector 2012-17 2017-22

Skilled Semi Minimally Total Skilled Semi Minimally Total
Skilled skilled Skilled skilled
Agriculture &
NA NA 3695 3695 NA NA 3094 3094
Allied Activities
Agro & Food
45 181 226 452 40 162 202 404
Processing
Textile & Apparel 19 78 97 194 17 70 87 174
Chemical &
Chemical 28 110 138 275 25 99 123 246
Products
Rubber & Plastics 10 42 52 105 9 37 47 94
Mineral
Processing & 15 60 75 149 13 53 67 134
Fabrication
Manufacturing of
Engineering 3 11 14 29 3 10 13 26
Goods
Manufacturing of
Construction 27 110 137 274 25 98 123 245
Material
Construction 130 260 2210 2600 116 233 1976 2325
Trade, Retail 210 315 1575 2099 230 344 1721 2295
Transportation & 50 789 939 1778 41 646 768 1455

1116
KPMG Analysis

497
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Logistics
Hospitality &
214 321 1605 2140 171 257 1284 1712
Tourism
Banking &
Financial 3064 9193 NA 12257 2145 6435 NA 8580
Services
Healthcare 201 905 NA 1106 268 1339 NA 1607
Education &
224 1506 NA 1730 336 904 NA 1239
Training

Skill requirements in key growth sectors have been analyzed based on industry interactions to understand detailed
manpower needs. Sector level skill interventions are indicated in the section below 1117.

Secondary Sector (Manufacturing, Construction & Energy):

• Textile & Apparel:

Category of Skills Skills

Core Skills Ring frame operator, weaver, processing operator (CDR,BDR,Stuntor), Bar-
coding machine operator

Electrician, Wireman, Fitter

Allied Skills
The industry has high attrition rates in operator roles (semi skilled) owing to
Skills with acute shortage extreme working conditions

• Food Processing:
Category of Skills Skills

Core Skills Fitter, Electrician, Wireman, Instrumentation, Lab Technician

Allied Skills Instrumentation, Packaging (Jar, Pouch) Operator, AOCP, Lab Attendant, Boiler
Operator, QC Chemists

Skills with acute shortage PPO is required in industries having in house packing development.

• Chemical & Chemical Products:

Category of Skills Skills

Core Skills Mechanical, Electrical skills

1117
KPMG Analysis

498
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Allied Skills Instrumentation, boiler attendant,AOCP, lab attendants

Skills with acute shortage MSc/BSc chemists, Electronic Automation with understanding of PLC systems

• Construction:
Category of Skills Skills
Core Skills Electricians, carpenters, barbenders, welders and masons

Allied Skills Minimally skilled workers

Skills with acute shortage Machine operators

Services:
• Banking & Financial Services:
Category of Skills Skills
Core Skills Knowledge on core banking/mobile/internet platforms

Allied Skills Sales & Marketing

Skills with acute shortage insurance underwriting, claims management

Primary Sector:

• Cultivation:
Category of Skills Skills
Core Skills Awareness about high yield varieties, micro nutrients and pest Control, Organic
farming and Vermi compost methods, Micro irrigation techniques
Allied Skills Knowledge on food processing techniques and related procedures to extract
greater value from farm produce

Skills with acute shortage Usage and repair of farm equipments, Marketing and management practice

• Agri- Allied Activities:

499
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Category of Skills Skills

Core Skills Modern rearing techniques of live stock, piggery, goatery and fisheries

Allied Skills Knowledge on processing techniques

Skills with acute shortage Marketing and distribution of forest/animal husbandry produce

6.10.24.4. Human Resource Supply Scenario in the District

6.10.24.4.1. Estimation of Labour Force Supply
District-wise incremental supply has been determined based on net addition of labour force. Gross addition to
working age group population during 2012-17 and 2017-22 were determined based on Census 2011 age wise
population accounting for death rate and life expectancy normalized against population corrections in 2017 and 2022.
Applying labour force participation rates, considering the historical trends, gross additions to labour force were
estimated for the two time periods. Accommodating for retirement from the existing pool of labour force, net supply
to labour force has been estimated.

Porbandar is among the districts with low human resource growth potential during 2012-22. Low population base
coupled with high incidence of outward migration over the years into industrial clusters of Jamnagar, is a key reason
for the lower human resource growth potential in the district. Details of human resource growth estimations during
2012-22 are presented in the table 1118.

Period Gross Addition to Working Gross Addition to Labour Net Addition to Labour
Age Population Force Force-Supply

2012-17 59,866 36,474 20,659

2017-22 51,111 32,039 16,040

6.10.24.4.2. Education and Training Potential in the District

The district has the second lowest number of K12 schools amongst all districts. The district has 437 K12 schools with
a 75.74 percent share of Government schools. However, the net enrolment ratios at primary and upper primary levels
are marginally lower than the state averages 1119.

Total Enrollments Primary Level Upper Primary Level Secondary Level Higher Secondary

1118
KPMG Analysis
1119
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat

500
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

in 2009-10 (Std I-V) (Std VI-VIII) (Std IX-X) Level (Std XI-XII)
Porbandar 59015 23166 23134 6243

Comparing the district’s enrolment statistics with state average indicates that the district is an average performer in
the primary education category 1120

Region Net Enrolment Ratio (Primary Level) Net Enrolment Ratio (Upper Primary Level)
Porbandar 83.6 49.9
Gujarat 85.4 50.7

In the vocational education segment, the district severely lags behind in comparison to state average. Private interest
in the sector in this district is also low indicating that the state must take proactive measures in seeking private
support to augment vocational training infrastructure 1121.

Region Number of Seat Vocational Training Private Sector

ITIs Capacity Capacity Density (Seats Participation in
Per 1000 Population) Vocational Training
Porbandar 3 560 0.96 0%
Gujarat 711 138,106 2.29 26%

Given the unequal distribution of seats, capacity expansion in vocational education in Porbandar district needs to be
focused on the tehsils of Porbandar and Kutiyana to bring them on par with the district average in vocational
education capacity 1122.

Taluka Seat Capacity Vocational Training Private Sector

Capacity Density(Seats Participation in
Per 1000 Population) Vocational Training
Ranavav 120 1.06 0%
Porbandar 312 0.82 0%
Kutiyana 128 0.14 0%
District Total 560 0.96 0%

The district has 8 colleges offering Arts, Commerce, Science, B.Ed and Law programs.

6.10.24.4.3. Demand Supply Gap Analysis for the District

Incremental skill category wise supply for the periods 2012-17 and 2017-22 in the district are estimated based on net
output from higher education institutions (skilled), vocational training(semi skilled), minimally skilled (school
education) for periods 2012-17 and 2017-22 considering the LPR estimations for the districts in 15-59 age group and
retirement from existing labour force.

1120
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat
1121
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat
1122
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat

501
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Based on the skill category human resource demand projections for 2012-22 and net supply potential, category wise
Demand-Supply gap estimations for the district are presented in the table below

Category Wise Demand-Supply Gap in the District (2012-22)

2012-17 2017-22
Sector Skilled Semi Minimally Total Skilled Semi Minimally Total
Skilled skilled Skilled skilled
Demand-Supply
Gap 1,267 11,576 (4,617) 8,224 (57) 7,654 (6) 7,590
*(Indicates excess supply)

6.10.24.4.4. Skill Development Potential through Government Endowments

According to KPMG estimates, based on the potential district budgetary allocation for various central government
schemes around 16 thousand people in total can be trained incrementally during the five year period of 2012-17.
Ministry of Agriculture and Ministry of Labour Schemes are expected to contribute to a significant share of the
training. Manpower training targets have predominant focus on primary sector considering the low level of industrial
development in the district. Private training providers have opportunities in livelihood training programs.

Government Funded Incremental Training Capacity (2012-17) - Porbandar District 1123

SJSRY 4169
SDI-MES 2912
M/O Agriculture 2165
Using Construction Cess 1990
SGSY 1732
Others 1116
D/O IT 1068
Credit Scheme 1019
CSR Funds from Central PSUs 243
Hunar Se Rozgar 214
ISDS - Textiles 108
ART - M/o Tribal Affairs 43
SCA under TSP - M/o Tribal Affairs 26

6.10.24.5. District Specific Recommendations

Considering these factors, the proposed action plan for stakeholders in skill development in the district would
indicate the following priority areas:

1123
KPMG Analysis

502
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Stakeholder Action Points for Stakeholders

NSDC Focus on increasing participation from national/regional private skill training providers
with focus on the following sectors
• Transportation and Logistics
• Healthcare
• Construction
• Hospitality and Tourism
• Banking and Financial Services
District Provide skill training in conjunction with private skill training providers using government
Administration endowment training schemes
• Agri allied activities such as animal husbandry and organic farming of vegetables
• Agro and Good Processing
• Textiles and Apparels
• Mineral Processing and Fabrication
Private Skill Provide skill training in the sectors of
Training • Transportation and Logistics
Providers • Healthcare
• Construction
• Hospitality and Tourism
• Banking and Financial Services
Corporate Provide training for skills in those sector where the requirement for absorption within the
corporate is higher such as
• Construction
• Retail
• Transportation and Logistics
Initiate and support modular employability skill training in collaboration with private
players/Government
Create placement linkage opportunities in training institutions

503
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

6.10.25. Skill Gap Assessment of Rajkot District

6.10.25.1. Socioeconomic Profile
6.10.25.1.1. Administrative Profile

Rajkot district is located in the western part of the

state with a geographical spread of11, 203
sq.km 1124. The district shares its border with
Kutch, Surendranagar, Bhavnagar, Amreli,
Junagadh and Jamnagar. Administratively
Porbandar district is divided into 14 talukas and
835 villages 1125 with Rajkot city as the district
capital. Maliya, Morbi, Tankara, Padadhari, Rajkot
Lodhika, Dhoraji, Wankaner, Rajkot, Jamkandorna,
Upleta, Jetpur, Kotda, Sangani, Jasdan and
Gondal are taluka regions in the district.

6.10.25.1.2. Demographic Profile

Being the third most populous district, Rajkot is a high human resource potential region in Gujarat, . It has a total
population of 37.99 lakhs 1126 as per 2011 Census district accounting for 6.3 percent 1127 of the overall state population.
The district has witnessed a state comparable decadal population growth. Rajkot population has witnessed a decadal
growth rate of 19.87 percent 1128 between 2001 and 2011 as against the state average of 19.17 percent 1129 during the
same period. A significant portion of the district population lives in urban areas with these regions accounting for
nearly 58.12 percent 1130 of the total population. Population spread in the district is marginally higher than the state
average with a density of 339 persons per sq.km 1131 as against state average of 308 persons per sq.km 1132. Analysis
of population distribution in the district as per 2001 census indicates higher human resource potential in the talukas
of Rajkot, Gondal, Jasdan and Jetpur with Rajkot having a highest population density. Details of regional distribution
of population in the district are presented in the table 1133.

1124
Census 2011 Statistics
1125
Census 2011 Statistics
1126
Census 2011 Statistics
1127
Census 2011 Statistics
1128
Census 2011 Statistics
1129
Census 2011 Statistics
1130
Census 2011 Statistics
1131
Census 2011 Statistics
1132
Census 2011 Statistics
1133
Census 2001 Statistics, KPMG Analysis

504
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Regional Distribution of Population in the District 1134

Region Contribution to District Population Population Density
(2001) (Persons per Sq.km- 2001)
Rajkot 36% 1061
Morvi 10% 298
Gondal 8% 222
Jasdan 8% 198
Jetpur 7% 349
Wankaner 6% 166
Upleta 5% 203
Dhoraji 5% 272
Tankara 3% 127
Maliya 3% 108
Kotda 3% 179
Jamkandorna 2% 135
Paddhari 2% 122
Lodhika 1% 124

Gender composition of district population is comparable to the state average. As per 2011 census district has a
gender ration of 924 females per 1000 males 1135 as against the state average ratio of 918 females per 1000
males 1136.. Decreasing composition of female population is a concern within the district. Adult gender ratio of district
has decreased from 930 females per 1000 males 1137 in 2001 to 924 females per 1000 males 1138 by 2011.Overall
reserved categories contribute to only 8.13 percent 1139 of the total district population indicating the need for inclusion
focus.

Education attainment levels in the district are marginally better than the state average. As per 2011 estimates,
district has registered an overall literacy rate of 82.20 percent 1140 as against state average of 79.31 percent 1141.
District has been making considerable progress in achieving regional and gender inclusion in literacy rates. Urban-
rural literacy gap in Rajkot is estimated to be 10.66 percent 1142 comparable to the state average of 14.58 percent 1143.
Similarly, district still has a male-female literacy gap of 13.41 percent 1144 as against 16.5 percent 1145 for Gujarat

1134
Census 2001 Statistics, KPMG Analysis
1135
Census 2011 Statistics
1136
Census 2011 Statistics
1137
Census 2011 Statistics
1138
Census 2011 Statistics
1139
Census 2001 Statistics, KPMG Analysis
1140
Census 2011 Statistics
1141
Census 2011 Statistics
1142
Census 2011 Statistics
1143
Census 2011 Statistics
1144
Census 2011 Statistics
1145
Census 2011 Statistics

505
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

state. Increasing focus on literacy would create demand for education and training facilities within the district to
support the economic growth of the region.

6.10.25.1.3. Economic Profile

Rajkot is considered to be an important industrial hub in the state, with the majority of the workforce engaged in the
manufacturing sector and the service sector. The district’s main industries include Chemicals, Engineering
Electronics, Food Processing and Textiles & Apparels with the region hosting industrial players like Gujarat Agro
Industries Corporation Ltd., Samay Electronics and Ajanta Electronics. Concentrated industrial activities in the district
can be seen in the Aji and Bhaktinagar areas which are two major industrial estates in Rajkot.

Investments in Rajkot have been focused on the Morvi and Malia talukas with INR 9379 Cr. and INR 5735 Cr.
currently under implementation.

A detailed taluka-wise breakdown of the large scale investment scenario is provided in the table.

Large Scale Investment Scenario In Rajkot 1146

Region Commissioned Under Implementation
No. of Units Investment No. of Units Investment (
( INR Cr) INR Cr)

Morvi 80 638 63 9379

Kotda Sangani 43 179 4 1546

Rajkot 35 372 29 964

Tankara 21 110 -- --
Wankaner 16 218 23 571
Lodhika 15 103 13 65
Gondal 10 670 12 241
Paddhari 5 61 -- --
Dhoraji 3 4 -- --
Upleta 3 100 5 556
Jasdan 1 15 -- --
Jetpur 1 20 -- --
Malia -- -- 1 5735

1146
IEM, MSME Part-II Data till 2012-13

506
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Not Classified 2 33 7 1502

District Total 235 2523 157 20559

The intense industrial nature of Rajkot has naturally led to the creation of several auxiliary MSME units. Potential
exists for further growth in the scene with the inflow of over INR 7, 00,000 lakhs of investments. 10,049 micro scale
and 2,216 small scale industries are expected to benefit with 87% of the investments directed towards these units.

The MSME investment details for the district are provided below:
MSME Investment Scenario in Rajkot 1147
Category of Industries Number of Units Investment In Lakhs
Micro 10049 231780
Small 2216 386678
Medium 98 85676
Total 12363 704134
Manufacturing Sector Units 10649 658448
Service Enterprises 1714 45686

MSME manufacturing units have seen investments to the tune of INR 6,58,448 lakhs, with the biggest beneficiaries
being the Mineral Processing & Fabrication segment and the Manufacturing of Engineering Goods segment. The two
aforementioned areas also constitute the largest segments by volume in the MSME manufacturing space. Rubber &
Plastics and Auto-Auto Components are the two other important industries that have attracted investments. The chart
below contains a detailed look at the MSME manufacturing scenario and the investments in the same:

MSME Manufacturing Sector Overview in the District 1148

Composition of MSME Manufacturing Units Composition of Investments in MSME
Manufacturing Units
Mining &
Auto-Auto Agri-Allied Quarrying
Components Agri-Allied Agro & Food
Activities 1.6% Auto-Auto
9.5% Activities Processing
1.1% Components
Agro & Food 2.0% 8.0%
Processing Textile & Apparel 6.2%
Construction Manufacturing
1.0% 4.2% 8.7%
of Engineering
Textile &
Goods
Wooden Apparel
14.4%
Products & 8.2%
Furniture
Paper &
4.4%
Paper Paper &
Manufacturing of Products Paper
Engineering 2.5% Products
Goods Chemical & 4.2%
25.6% Chemical Chemical &
Products Mineral Chemical
Mineral
3.6% Prosessing & Products
Prosessing &
Fabrication Fabrication 3.2%
Eletrical & Rubber &
Eletronics 24.9% 40.4%
Plastics
2.5% 10.2% Rubber &
Plastics
8.5%

1147
IEM, MSME Part-II Data till 2012-13
1148
IEM, MSME Part-II Data till 2012-13

507
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

While the level of organized investments in services enterprises is low as evident from the MSME Part-II statistics,
sectors of whole sale and retail trade, Printing and Publishing and IT-ITES have seen considerable investments in the
district. Composition of MSME service enterprises and investments are presented in the chart.

MSME Services Sector Overview in the District 1149

Composition of MSME Service Enterprises Composition of Investments in MSME
Hospitality and
Tourism
Service Enterprises
1.4% IT- ITES Hospitality and
11.0% Tourism
2.5% IT- ITES
6.4%
Whole sale &
Retail Trade Whole sale &
12.6% Retail Trade
16.9%
Other Services
26.5% Other
Services
35.8%

Fianancial
Services Fianancial
3.3% Services
1.7%
Transportation Transportation
2.5% 1.9%

Printing &
Publishing
42.6%
Printing &
Publishing
34.9%

The primary focus sub-sectors within IT/ITES sector include Software Development Centers, Business Process
Outsourcing (BPO), Knowledge Process Outsourcing (KPO) and Educational Training Centers.

There are many places of tourism importance in Rajkot such as Kaba Gandhi no Delo – a national monument built by
Mahatma Gandhi, Watson Museum, Rajkumar College and Energy Park. Apart from the above, there are other places
of tourist attraction like Community Science Center & Planetarium, Rotary Dolls Museum, Swaminarayan Temple and
Mukti dham - Crematorium

The district has low penetration of medical institution with about 40,423 people per institute. It has 44 primary
healthcare centers, 18 community healthcare centers, 12 hospitals and 14 dispensaries. The district also has N M
Virani Wockhardt Hospital - super-specialty hospital, Civil hospital, G.T. Seth Eye hospital, K.T. Children Hospital and
R.Z. Women Hospital 1150.

The district has the Saurashtra University, R.K. College offering medicine, engineering & pharmacy and five
engineering colleges.

1149
IEM, MSME Part-II Data till 2012-13
1150
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07

508
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

The road infrastructure connects Rajkot with major cities like Ahmadabad, Vadodara and Surat. The rail infrastructure
links Rajkot with major cities in Gujarat like Ahmadabad and Vadodara and Indian cities like Delhi, Mumbai, Cochin,
Coimbatore and Bhopal. The district has an airport which connects it with Vadodara, Mumbai, Delhi and Ahmadabad.
The district also has a port in Navlakhi with road and rail connectivity.

Rajkot has a presence of 360 bank offices and the total bank deposit amounts to 17,490 Cr INR and the total credit
amount of 17,080 Cr INR as of Mar 2012 1151. Rajkot has the high penetration of banking and financial services
amongst all districts with a density of 10,555 people per bank as of March 2012. While the CAGR of the number of
bank offices in Rajkot stands at 7.2 percent from 2007 to 2012, the amount of deposit and credit have increased at a
CAGR of 19.6 percent and 27.9 percent respectively from 2007-2012.

Rajkot has medium to high rainfall conditions and is part of North Saurashtra Agro-Zone. Owning to the soil
characteristics, 43% of total geographical land is cultivable. Poor nitrogen and high potash content in Rajkot soils
has resulted in large scale usage of nitrogen rich fertilizers. Awareness levels on organic farming and vermi -compost
methods are low indicating a need to improve the same in order to promote sustainable agricultural practices.

Cotton and Groundnut are key kharif crops grown in the district while wheat is the major Rabi crop. The ratio of area
under Kharif to Rabi crop cultivation is 4.08 indicating good prospects for multiple cropping. The district is the largest
producer of Cotton in the state of Gujarat. Main horticulture crops include fruits (Banana), vegetables and Spices with
the district being the second largest in terms of onion production 1152.
Currently usage of hybrid crop varieties is low with a need to promote this practice across crop categories. There is a
need for Taluka Seed Farms in the district to improve the availability of quality seeds.

Cow and buffalos are main cattle varieties in Rajkot with 273401 cows and 343988 buffalos 1153. Other prominent
domestic animals under animal husbandry activities are goats. Each taluka of the district has a permanent pasture
though they are small in size. This opens up opportunity for animal husbandry which when clubbed with organic
farming can give impressive results.
6.10.25.2. Workforce Distribution in the district
As an industrially developed district with significant commercial activity, Rajkot has made considerable progress
towards reducing dependency on agriculture over the years. While employment in secondary and tertiary sectors is
nearly half of the overall economy, manufacturing activities account for about 20 percent of the overall district
workforce. While the total worker participation rate less than state average due to low female participation. Low
female participation is however a main concern for the district as is the case with most of the urban regions in India.
Efforts towards higher levels of gender inclusion in education and employment are expected to improve the situation
over the next decade.
Comparison of workforce distribution scenario in Rajkot and Gujarat is presented in the table 1154.

1151
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
1152
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
1153
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
1154
KPMG Analysis

509
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Percentage of Employment
Region Labour Force Workforce Primary Secondary
Participation Participation Sector Sector Tertiary Sector
Rajkot 58.11% 39.27% 51.16% 19.72% 29.12%
Gujarat 59.27% 41.95% 59.34% 15.86% 24.8%

Organized industrial employment in registered factories and service enterprises has contributed to significant share
of secondary sector employment in the district. Registered and commissioned industrial units have generated an
employment base of 1.5 lakhs in the district.

Organized Employment in Rajkot 1155

Category of Industries Employment
Large Scale Industries (Commissioned + Under Implementation) 78119
MSME Category 116717
Manufacturing Units 104187
Service Enterprises 12530
Total 194836

Regional and sectoral analysis of large scale industrial employment indicates a clear concentration of employment in
key sectors. Rajkot and Morvi talukas account for a majority share of employment in this category. Electrical and
electronics and construction material units are major employment generating segments within the district. Regional
and sectoral break up of large scale industrial employment is presented in the chart.

Large Scale Industrial Employment Overview in the District 1156

Regional Distribution of Large Scale Industrial Composition of Employment in Large Scale
Employment Industries
Malia Not Classified
Textile & Agro & Food
Upleta
1% 3% Processing
Apparel
1% Infrastructure 3% Paper & Paper
2%
Gondal 4% Products
4% Communication 1%
2% Mineral
Lodhika
4% Prosessing &
Morvi Fabrication
38% 5%
Wankaner
Construction
10%
Material
Tankara 34%
15%
Eletrical &
Eletronics
36%
Manufacturing
Kotda Sangani of Engineering
6% Goods
7%

1155
IEM, MSME Part-II Data till 2012-13
1156
IEM, MSME Part-II Data till 2012-13

510
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Among the manufacturing units in MSME segment Textile, Mineral Processing and Fabrication and Manufacture of
Engineering Goods have accounted for majority share of the employment in all the categories of industries. Whole
sale & retail trade, IT-ITES and Publishing & printing are major employment generating sectors within tertiary
enterprises. Details of sector wise industrial employment in manufacturing and services MSME units as per 2012
statistics are presented in the chart.

MSME Employment Overview in the District 1157

Composition of Employment in MSME Composition of Employment in MSME
Manufacturing Units Service Enterprises

Auto-Auto Agri-Allied
Activities Mining & Agro & Food Hospitality
Components and Tourism
1.3% Quarrying Processing
7.2% IT- ITES
2.1% 5.2% 1.5%
9.5%

Construction Textile & Apparel

0.9% 8.3%
Other
Services
Wooden Products Whole sale &
24.1%
& Furniture Retail Trade
Manufacturing 16.5%
3.8%
of Engineering
Goods Paper & Paper
21.4% Products Fianancial
Eletrical & 3.2% Services
Eletronics Chemical & 1.9%
1.8% Chemical
Mineral Products
Prosessing & 3.2%
Fabrication
32.9% Printing &
Rubber & Plastics Publishing
8.8% 44.8%

6.10.25.3. Human Resource Requirement Projections in Rajkot (2012-22)

Incremental manpower requirement in the district of Rajkot has been estimated based on several parameters such as
investments trends, national level benchmarks on industrial growth across sectors, state manufacturing policy
targets, performance of state against economy targets, national level inclusion targets for certain sectors,
employment generation potential of various sectors based on labour elasticity and market based insights from
discussions with industries in Rajkot.

Based on the analysis of current state of workforce distribution and potential employment opportunities in various
sectors incremental manpower requirement in key primary, secondary and tertiary segments is estimated for the
periods of 2012-17 and 2017-22. Further, manpower requirement is classified into skilled, semi skilled and minimally
skilled categories considering the present level of employment in these categories for respective sectors and analysis
of expected developments in the industry that would lead to significant realignment of the categories. Detailed

1157
IEM, MSME Part-II Data till 2012-13

511
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

approach for manpower estimations is presented in the appendix and specific factors for estimation are discussed
below.

Primary Sector:

Considering the increasing level of farm mechanization and sharing agricultural land usage, period between 2012 and
2022 would witness a net outflow of workforce from the agricultural activities. Agricultural workforce displacement
is expected to be significant in marginal workers category. A significant portion of the workforce would engage in
agri-allied activities depending on the availability of allied resources and migrational constraints. Incremental
manpower requirement for the agri- allied activities is estimated considering the following parameters

• Current level of employment in agricultural activities(farmers, agricultural labourers)

• Estimated displacement factors for agricultural workforce based on Planning Commission Projections for
2012-17 and 2017-22 periods and analysis of level of mechanization and allied factors in Gujarat
• Employment potential in agri-allied activities in the district considering the level of involvement in the
respective activities and regional conditions

Manufacturing Sector:

Manpower requirement in secondary sector is driven by investments and output growth. Various factors including
analysis of manufacturing, sub sector policies, investment trends, availability of resources, are considered for the
incremental manpower estimation in different subsectors of manufacturing in the district. Human resource
requirement projections for manufacturing sub sectors in the district are estimated considering the following
parameters

• Manufacturing growth targets for Gujarat for 2012-17 and 2017-22 (Increasing secondary sector share in
GSDP to 32% by 2017)
• Identifying key growth sub segments within the district based on study of existing industrial base, primary
interactions
• Estimation of growth targets for the district based on analysis of investment trends in the district in
comparison to the state, available infrastructure, policy thrust on key manufacturing segments identified for
the district
• Labour elasticity factors in the potential sectors for the district

Tertiary Sector:

Employment growth in some of the services sector is driven by Government thrust in terms of budgetary allocations to
achieve inclusion targets in education, healthcare and banking while the other segments including hospitality and
tourism, financial intermediation, communication, retail would depend on the level of economic activity in the region
resulting in high or low spending capacity of population. Also segments like IT-ITES, transportation& logistics are
driven by investments into infrastructure and manpower. Hence human resource requirement projections for services
sub sectors would have specific approaches depending on the growth drivers for the segments in the district.
Detailed methodology for estimation of manpower in services sub segments is presented in the appendix.

512
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Based on the analysis of socio economic conditions, investment scenario and availability resources incremental
manpower requirement has been estimated for the following sectors.

Primary Sector

• Agriculture & Allied Activities( Horticulture, Sericulture, Animal Husbandry and Fisheries)

Secondary Sector

• Textile and Apparel

• Manufacturing of Engineering Goods( Including Auto & Auto Components)
• Chemical & Chemical Products(Including Petro Chemicals)
• Drugs & Pharmaceuticals
• Agro & Food Processing
• Electrical and Electronics
• Mineral Processing & Fabrication
• Construction Material(Cement, Ceramics)
• Rubber & Plastics
• Paper & Paper Products
• Infrastructure(Construction)

Tertiary Sector

• Transportation & Logistics(including port based logistics)

• Banking & Financial Services
• Organized Retail
• Hospitality & Tourism
• Healthcare
• Education & Training

Incremental manpower requirements for the priority sectors in Rajkot district are presented in the table 1158.

Sector 2012-17 2017-22

Skilled Semi Minimally Total Skilled Semi Minimally Total
Skilled skilled Skilled skilled
Agriculture &
Allied Activities NA NA 19582 19582 NA NA 16399 16399
Agro & Food
Processing 194 776 970 1940 174 694 868 1735
Textile & Apparel 225 899 1123 2247 201 804 1005 2010
Wooden Products
& Furniture 85 339 424 848 76 303 379 758
Paper & Paper
Products 93 373 466 932 83 333 417 834

1158
KPMG Analysis

513
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Chemical &
Chemical
Products 78 313 391 782 70 280 350 699
Rubber & Plastics 204 818 1022 2045 183 732 915 1829
Mineral
Processing &
Fabrication 874 3498 4372 8744 782 3128 3911 7821
Electrical &
Electronics 621 2483 3103 6206 555 2221 2776 5551
Manufacturing of
Engineering
Goods 748 2993 3741 7483 669 2677 3346 6693
Manufacturing of
Construction
Material 535 2139 2673 5347 478 1913 2391 4783
Misc.
Manufacturing 38 153 191 382 34 137 171 341
Construction 843 1685 14327 16855 754 1508 12814 15075
Trade, Retail 1361 2042 10209 13612 1488 2232 11160 14880
Transportation &
Logistics 1534 24366 28989 54890 1255 19936 23719 44910
IT-ITES 4800 12000 NA 16800 4000 9600 NA 13600
Hospitality &
Tourism 1535 2303 11513 15350 1228 1842 9210 12280
Banking &
Financial
Services 2789 8368 NA 11157 1953 5858 NA 7810
Healthcare 1048 4714 NA 5762 1396 6978 NA 8374
Education &
Training 1242 8360 NA 9602 1863 5016 NA 6879

Skill requirements in key growth sectors have been analyzed based on industry interactions to understand the
detailed manpower needs. Sector level skill interventions are indicated in the section below 1159.

Secondary Sector (Manufacturing, Construction & Energy):

• Auto & Auto Components

Subsector Skills

Auto Assembling and Component Core Skills: Motor Mechanic, Diesel Mechanic, Fitter, Welder, Fabricators
Manufacturing
Allied Skills: Electrician, Wireman

Acute Skill Deficits: Specialized welders in Arc welding who can work in
extreme conditions on advanced fabrication equipments
1159
KPMG Analysis

514
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Auto/Industrial Manufacturing Core Skills: Shop floor technical workers

Allied Skills: Maintenance(Mechanical, Electrical, mechatronics, automobile

electronics)

Acute Skill Deficits: Painting, Body Building (spot welding), Sheet Metal
Work, Machining & Casting.

• Textile & Apparel:

Category of Skills Skills

Core Skills Ring frame operator, weaver, processing operator (CDR,BDR,Stuntor), Bar-
coding machine operator

Electrician, Wireman, Fitter

Allied Skills
The industry has high attrition rates in operator roles (semi skilled) owing to
Skills with acute shortage extreme working conditions

• Electrical & Electronics:

Category of Skills Skills

Core Skills Electronics, PPO, Electrical, Instrumentation

Allied Skills Fitter

Skills with acute shortage PPO trade is a key deficit in all industries involving plastic processing

Electronics and Instrumentation

• Metal & Mineral Processing:

Category of Skills Skills
Core Skills Fitter, Welder, Turner, Electrician

Allied Skills Melter, Boiler Operator

Skills with acute shortage PCB instrumentation

• Construction:

515
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Category of Skills Skills

Core Skills Electricians, carpenters, barbenders, welders and masons

Allied Skills Minimally skilled workers

Skills with acute shortage Machine operators

• Salt Production:
Category of Skills Skills
Core Skills Earth moving equipment operators, tractor drivers

Allied Skills Minimally skilled workers

Skills with acute shortage Chemists

Services:
• Banking & Financial Services:
Category of Skills Skills
Core Skills Knowledge on core banking/mobile/internet platforms

Allied Skills Sales & Marketing

Skills with acute shortage insurance underwriting, claims management

• Transportation :
Category of Skills Skills
Core Skills Heavy vehicle drivers, logistics management

Allied Skills Administrative, computer data management

Skills with acute shortage Scheduling and logistics planning

516
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

• Healthcare :
Category of Skills Skills
Core Skills MBBS Doctors, MD/MS specialists, Physician Assistants/Compounders,
Radiologists, Dialysis technician, Respiratory technician and OT Assistants &
Perfusionist.
Allied Skills Lab technicians, pharmacists

Skills with acute shortage Physiotherapists, Biomedical Instrumentation technicians

• Education:
Category of Skills Skills
Core Skills School teachers, higher education faculty

Allied Skills Knowledge on advanced teaching tools

Skills with acute shortage Technical education trainers

Primary Sector:

• Cultivation:
Category of Skills Skills
Core Skills Awareness about high yield varieties, micro nutrients and pest Control, Organic
farming and Vermi compost methods, Micro irrigation techniques
Allied Skills Knowledge on food processing techniques and related procedures to extract
greater value from farm produce

Skills with acute shortage Usage and repair of farm equipments, Marketing and management practice

• Agri- Allied Activities:

Category of Skills Skills
Core Skills Modern rearing techniques of live stock, piggery, goatery and fisheries

Allied Skills Knowledge on processing techniques

517
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Skills with acute shortage Marketing and distribution of forest/animal husbandry produce

6.10.25.4. Human Resource Supply Scenario in the District

6.10.25.4.1. Estimation of Labour Force Supply
District-wise incremental supply has been determined based on net addition of labour force. Gross addition to
working age group population during 2012-17 and 2017-22 were determined based on Census 2011 age wise
population accounting for death rate and life expectancy normalized against population corrections in 2017 and 2022.
Applying labour force participation rates, considering the historical trends, gross additions to labour force were
estimated for the two time periods. Accommodating for retirement from the existing pool of labour force, net supply
to labour force has been estimated.

Rajkot is among the districts with high human resource growth potential during 2012-22. Being a district with
significant employment opportunities, district has potential to absorb the incremental labour force if matched with
adequate skills. Details of human resource growth estimations during 2012-22 are presented in the table 1160.

Period Gross Addition to Working Gross Addition to Labour Net Addition to Labour
Age Population Force Force-Supply

2012-17 338,798 183,119 119,548

2017-22 320,481 172,910 92,821

6.10.25.4.2. Education and Training Potential in the District

The district has around 2186 K12 schools with a relatively higher share of private schools as compared to other
districts. The share of private schools is 33.35 percent of the total number of K12 schools. The net enrolment ratio at
both primary levels and upper primary levels is higher than the state average 1161.

Total Enrollments Primary Level Upper Primary Level Secondary Level Higher Secondary
in 2009-10 (Std I-V) (Std VI-VIII) (Std IX-X) Level (Std XI-XII)
Rajkot 310906 120586 172556 48785

Comparing the district’s enrolment statistics with state average indicates that the district is a strong performer in the
primary education category 1162
Region Net Enrolment Ratio (Primary Level) Net Enrolment Ratio (Upper Primary Level)
Rajkot 93.0 65.4

1160
KPMG Analysis
1161
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat
1162
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat

518
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Gujarat 85.4 50.7

In the vocational education segment, the district lags behind in the provision of vocational training in comparison to
state average. Private interest in the sector in this district is also low indicating that the state must take proactive
measures in seeking private support to augment vocational training infrastructure 1163.

Region Number of Seat Vocational Training Private Sector

ITIs Capacity Capacity Density (Seats Participation in
Per 1000 Population) Vocational Training
Rajkot 36 6,920 1.82 15%
Gujarat 711 138,106 2.29 26%

Given the unequal distribution of seats, capacity expansion in vocational education in Rajkot district needs to be
focused on the tehsils of Rajkot, Maliya, Upleta, Jamkandorana, Paddhari, Kotda Sanghani, Wankaner, Jasdan,
Morbi, Jetpur to bring them on par with the district average in vocational education capacity 1164.
Taluka Seat Capacity Vocational Training Private Sector
Capacity Density(Seats Participation in
Per 1000 Population) Vocational Training
Gondal 1512 4.74 4%
Lodhika 152 2.74 21%
Dhoraji 412 2.31 30%
Tankara 232 2.29 41%
Rajkot 2640 1.94 8%
Maliya (R) 184 1.84 30%
Upleta 344 1.69 33%
Jamkandorana 144 1.59 11%
Paddhari 136 1.55 0%
Kotda Sanghani 124 1.30 0%
Wankaner 240 1.08 0%
Jasdan 264 0.84 48%
Morbi 316 0.81 29%
Jetpur 220 0.81 47%
District Total 6920 1.82 15%

The district has 14 pharmacy colleges, 5 engineering colleges, 1 medical college, 8 management colleges and 74
colleges offering Arts, Commerce, Science, B.Ed and Law programs. Saurashtra University is a major university in
Rajkot which was established in 1967. The university is well known for several departments such as journalism,
economics, biosciences, pharmaceutical science, electronics, and chemistry, among several others. There are 5
engineering colleges in the district offering courses in computers, electronics and communication, instrumentation
and control, mechanical, IT, and electrical engineering. R.K. College in Rajkot imparts education in major branches
such as engineering, management and pharmacy.

1163
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat
1164
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat

519
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

6.10.25.4.3. Demand-Supply Gap Analysis for the District

Incremental skill category wise supply for the periods 2012-17 and 2017-22 in the district are estimated based on net
output from higher education institutions (skilled), vocational training(semi skilled), minimally skilled (school
education) for periods 2012-17 and 2017-22 considering the LPR estimations for the districts in 15-59 age group and
retirement from existing labour force.

Based on the skill category human resource demand projections for 2012-22 and net supply potential, category wise
Demand-Supply gap estimations for the district are presented in the table below

Category Wise Demand-Supply Gap in the District (2012-22)

2012-17 2017-22
Sector Skilled Semi Minimally Total Skilled Semi Minimally Total
Skilled skilled Skilled skilled
Demand-Supply
Gap 792 64,624 15,601 81,018 (2,509) 49,060 33,892 80,440
*(Indicates excess supply)

6.10.25.4.4. Skill Development Potential through Government Endowments

According to KPMG estimates, based on the potential district budgetary allocation for various central government
schemes around 1.1 lakh people in total can be trained incrementally during the five year period of 2012-17. Ministry
of Agriculture and Ministry of Labour Schemes are expected to contribute to a significant share of the training.
Manpower training targets have predominant focus on primary sector considering the low level of industrial
development in the district. Private training providers have opportunities in livelihood training programs.

Government Funded Incremental Training Capacity (2012-17) - Rajkot District 1165

SJSRY 32210
M/O Agriculture 18878
Others 12805
D/O IT 11474
SGSY 9179
Using Construction Cess 7237
SDI-MES 6922
Credit Scheme 6607
ISDS - Textiles 2366
CSR Funds from Central PSUs 1573
Hunar Se Rozgar 1537
ART - M/o Tribal Affairs 88
SCA under TSP - M/o Tribal Affairs 53

1165
KPMG Analysis

520
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

6.10.25.5. District Specific Recommendations

Considering these factors, the proposed action plan for stakeholders in skill development in district would indicate
the following priority areas:

Stakeholder Action Points for Stakeholders

NSDC Focus on increasing participation from national/regional private skill training providers
with focus on the following sectors
• Transportation and Logistics
• Healthcare
• Construction
• Hospitality and Tourism
• Banking and Financial Services
District Provide skill training in conjunction with private skill training providers using government
Administration endowment training schemes
• Agri allied activities
• Mineral Processing and Fabrication
• Manufacturing of Engineering Goods
• Rubber and Plastics related industries
Private Skill Provide skill training in the sectors of
Training • Transportation and Logistics
Providers • Healthcare
• Construction
• Hospitality and Tourism
• Banking and Financial Services
Corporate Provide training for skills in those sector where the requirement for absorption within the
corporate is higher such as
• Construction
• Retail
• Transportation and Logistics
Initiate and support modular employability skill training in collaboration with private
players/Government
Create placement linkage opportunities in training institutions

521
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

6.10.26. Skill Gap Assessment of Anand District

6.10.26.1. Social Profile
6.10.26.1.1. Administrative Profile

Spread across a geographical area of 2,951

sq.km 1166 the district of Anand is located in the
central part of Gujarat. The district shares its border
with Ahmedabad, Kheda, Vadodara districts on three
sides and Gulf of Khambhat in the south.
Administratively, the district is divided into 8 talukas Anand
and 347 villages 1167 with Anand town as the district
capital. Anand, Umreth, Borsad, Petlad, Sojitra,
Khambhat, Tarapur and Anklavare are taluka regions
in the district.

6.10.26.1.2. Demographic Profile

Anand has a population of 20.90 lakhs 1168 as per 2011 Census with 69.68 percent 1169 of urban population. The
population density of the district which is 711 persons per sq.km 1170 is much higher than the state population density
of 308 persons per sq.km. Anand has a literacy rate of 85.79 percent 1171 which is higher than the state average of
79.31 percent 1172. The district has a low gap of 6.31 percent 1173 in the literacy rates between urban and rural
population which is less when compared to the state’s overall gap of 14.58 percent 1174. The district has a gap of
15.47 percent 1175 in the literacy rates between males and females which is less than the state’s overall gap of 16.5
percent. The district’s male literacy rate stands at a high 93.23 percent 1176 compared to the state’s male literacy rate
at 87.23 percent 1177. On the other hand, the female literacy rate in the district stands at 77.76 percent compared to
the state female literacy rate at 70.73 percent.

The decreasing female composition in the overall population is a key concern for the district indicating a need to
enhance gender-centric development programs. Adult gender ratio of district has decreased from 987 females per

1166
Census 2011 Statistics
1167
Census 2011 Statistics
1168
Census 2011 Statistics
1169
Census 2011 Statistics
1170
Census 2011 Statistics
1171
Census 2011 Statistics
1172
Census 2011 Statistics
1173
Census 2011 Statistics
1174
Census 2011 Statistics
1175
Census 2011 Statistics
1176
Census 2011 Statistics
1177
Census 2011 Statistics

522
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

1000 males 1178 in 2001 to 964 females per 1000 males 1179 in 2011. This indicates that inclusive growth in Anand
could be achieved through higher focus on female-centric initiatives. The representation of scheduled categories to
the overall population is also not significant.

The education attainment levels in the district are lower than the state average. District has a literacy rate of 74.49
percent 1180 as compared to the state average of 79.31 percent. However, the district has witnessed high levels of
inclusion in literacy with the district registering lower urban-rural and male-female literacy rate gaps as compared to
the state average. Considering the low levels of literacy rates it is imperative to improve literacy across all segments
of population to develop quality workforce in the district.
6.10.26.1.3. Economic Profile
Anand is an emerging industrial base in Gujarat for chemical, engineering and food and agriculture industries in
Gujarat. While the district is still dependent on agriculture and allied activities; industrial development has enhanced
due to establishment of chemical and engineering units in the district with the presence of major players like Cambay
Chemicals Ltd., Beepee Coating Ltd. and Elicon Engineering Company Ltd. In food processing category, the National
Dairy Development Board and Mother Dairy Food Processing Ltd are some large scale players. Over the last decade,
industrial engineering sector has witnessed considerable growth in terms of investments and employment creation.
Plastic and plastic products are the other major industrial category garnering significant quantum of investments.
Among others the metallurgical industries, electrical equipments, miscellaneous machinery and engineering and auto
parts are key industries in industrial engineering sector.

As per the IEM, LIO, LOP investment details, district has a total of 82 commissioned large scale industrial units
attracting an investment of INR 1,110 Cr along with 29 units under implementation with an investment of INR 414 Cr.
An analysis of regional distribution of investments in Anand district indicates that the industrial development is
concentrated around Anand, Tarapur, Khambhat Talukas while other regions including Umreth, Borsad, Petlad, Sojitra
and Anklavare still remain backward in terms of industrial development. Over the recent years the state government
has initiated measures to enhance the industrial growth in backward talukas across the state over the next decade.
Details of region-wise large scale investments in Ananad district till 2012 is presented in the table.

Large Scale Investment Scenario In Anand 1181

Region Commissioned Under Implementation
No. of Units Investment No. of Units Investment
( INR Cr) ( INR Cr)
Anand 62 793 16 222
Tarapur 1 12 2 120
Khambhat 6 51 5 21
Petlad 8 31
Sojitra 3 2 4 1

1178
Census 2011 Statistics
1179
Census 2011 Statistics
1180
Census 2011 Statistics
1181
IEM, MSME Part-II Data till 2012-13

523
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Umreth 1 3
Not Classified 1 218 2 50
District Total 82 1110 29 414

Small and Medium Enterprises (SMEs) are concentrated in the talukas of Anand, Sojitra, Khambhat, Petland and
Umerth. As per MSME investment Part–II statistics, overall there are 1,535 units operating in the district attracting
an investment of INR 69,168 lakhs in 2012. MSME segment in Anand is dominated by manufacturing industries both
in terms of volume and investments with limited number of registered service enterprises indicating the high level of
unorganized activity in services segment. The investment outlook in MSME segment of Anand district is presented in
the table.

MSME Investment Scenario in Anand 1182

Category of Industries Number of Units Investment In Lakhs
Micro 1274 16408
Small 247 36065
Medium 14 16694
Total 1535 69168
Manufacturing Sector Units 1313 64951
Service Enterprises 222 4216

The laths and machine tools, rice production, tobacco steaming and wood products are some key MSME segments in
manufacturing. Agro and food processing, chemicals and petrochemicals and auto and engineering are some of the
emerging sector in the small and medium segment. Composition of MSME manufacturing units and investments are
presented in the chart.

MSME Manufacturing Sector Overview in the District 1183

Composition of MSME Manufacturing Units Composition of Investments in MSME
Agri-Allied Manufacturing Units
Auto-Auto Activities Mining &
Components 2.6% Agri-Allied
Quarrying Auto-Auto Mining &
0.2% Activities
0.6% Components Quarrying
3.0% 2.0%
Construction 0.2%
Manufacturin
Manufacturing of 0.6% Agro & Food Construction
g of
Engineering Processing 0.3%
Engineering
Goods 15.2%
Goods Agro & Food
24.1% 20.2% Processing
Textile & Apparel 18.8%
3.4%
Textile &
Apparel
Eletrical & Wooden Eletrical & 4.0%
Eletronics Products & Paper & Eletronics
3.6% Furniture Paper 9.1%
14.2% Products Wooden
Mineral 1.4% Products &
Prosessing & Chemical & Furniture
Fabrication Rubber & Chemical 4.0%
14.2% Mineral
Plastics Products Chemical & Paper &
Prosessing & Rubber &
4.3% 15.6% Chemical Paper
Fabrication Plastics Products Products
14.2% 7.0% 15.4% 1.9%

1182
IEM, MSME Part-II Data till 2012-13
1183
IEM, MSME Part-II Data till 2012-13

524
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

While the level of organized investments in services enterprises is low as evident from the MSME Part-II statistics,
sectors of whole sale and retail trade, printing and publishing, IT-ITES, transportation and logistics and hospitality
and tourism have seen considerable investments in the district. The district has significant growth potential for
servicing and repairing units, tourism and port-based logistics sectors in the near future. The composition of MSME
service enterprises and investments are presented in the chart.

MSME Services Sector Overview in the District 1184

Composition of MSME Service Composition of Investments in MSME
Hospitality and Enterprises Service Enterprises
Tourism
4.5% IT- ITES
7.2%

Hospitality
and Tourism
19.5%

IT- ITES
Whole sale & 6.6%
Other
Other Services Retail Trade
Services
55.9% 24.8% Whole sale &
54.0%
Retail Trade
12.6%

Transportation Transportatio
0.9% Printing & n
Printing & Publishing 2.8%
Publishing 4.6%
6.8%

Anand is an important activity centre due to its proximity to large cities like Ahmedabad, Vadodara, Bharauch and
Gandhinagar. The National highway 8 passes through Anand district connecting it to Vadodara (38 kms) and Kheda
(21 kms). The district is well connected with Godhra, Ahmedabad, Kheda, Khambhat, Vasad and Mumbai through a
broad gauge rail line of 147 km 1185. The nearest airports are in Ahmedabad and Vadodara and the nearest ports are
Dahej port and Hazira port.

In terms of services sector in the district, tourism remains the key economic activity. The major tourist attractions in
Anand are the Flo-Art Gallery which showcases cottage industry handmade crafts and household accessories, Amul
Diary Cooperative Museum, Sardar Vallabhbhai Patel and Veer Vithalbhai Patel Memorial and Khambhat which is
renowned for textile products. Apart from the above, the district houses a famous Jain temple, Stambhan
Parshvanath Jinalaya and Swaminarayan Mandir.

1184
IEM, MSME Part-II Data till 2012-13
1185
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07

525
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

An IT park spread over of 259 hectares 1186 indicates the developing IT/ITES sector in the district. The region is
expected to attract similar investments because the district has a large pool of skilled and qualified manpower due to
presence of educational and research institutions like Institute of Rural Management (IRMA), National Research
Centre for Medicinal & Aromatic Plants (NRCMA) and a medical institute.

In terms of banking infrastructure, Anand has a high penetration of banking and financial services with 9,088 people
having access to bank. There are a total of 230 bank offices with a total deposit amount of 13,503 Cr INR and total
credit amount of 2,924 Cr INR as of March 2012 1187. While the number of banks has increased at a CAGR of 6.2
percent from 2007 to 2012, the amount of deposit and credit have increased at a relatively lower CAGR of 15.4
percent and 16.3 percent respectively from 2007-2012.

However, the medical infrastructure is poor in Anand. With only 45 primary healthcare centers, 11 community
healthcare centers and 1 hospital, the district has a low availability of infrastructure with 33,000 people per medical
institution.

Agriculture and allied sectors have a significant role to play in Anand. The district is blessed with high rainfall (>1000
mm) and favorable soil characteristics (deep black clayey soils). Over 75 percent 1188 of the total area is cultivable and
of this 89 percent is under irrigation, which is much higher than the state average. The major source of irrigation
remains underground water, with bore wells and open wells having a share of around 30 percent 1189 each. Currently,
steps are being taken to promote micro irrigation and water management programs in the district. The nitrogen
content of soil is poor. As a result, there has been a large scale usage of nitrogen rich fertilizers, which has had
negative effect on overall environment. Therefore, efforts are being made to shift to more sustainable agricultural
practices like organic farming and vermicompost.

In terms of crops, paddy, bajra and tobacco are the key kharif crops while wheat, potato and maize are the major rabi
crop grown in the district. The ratio of land covering kharif and rabi crop is almost one indicating a good pattern for
multiple cropping.

Animal husbandry is an important activity in the district. Anand houses the largest dairy co-operative of India – Amul
Dairy. The presence of large pasture land has played an important role in development of this activity in the district.
The total population of cows and buffalos which are the main cattle is 1,31,565 and 2, 91,016 respectively 1190.

6.10.26.2. Workforce Distribution in the district

1186
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
1187
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
1188
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
1189
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07
1190
Directorate of Agriculture-Govt of Gujarat,R BI Statistics, 2012-13, Directorate of Road Transportation-Govt of Gujarat, District wise Animal
Census 2006-07

526
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Anand is predominantly dependant on agricultural activities for livelihood generation with over 70 percent of total
workforce engaged in this sector. Considering the low employment generation from manufacturing sector at 9.19
percent as against the state average of 15.86 percent, the district has potential to become a sourcing hub for trained
manpower. The total worker participation rate is marginally better than the state average. However, the high
manpower requirements in agrarian activities is due to the low and inefficient output which has resulted in
significant under employment in this category. A comparison of workforce distribution scenario in Anand and Gujarat
is presented in the table 1191.

Percentage of Employment
Region Labour Force Workforce Primary Secondary
Participation Participation Sector Sector Tertiary Sector
Anand 57.01% 42.26% 70.43% 9.19% 20.37%
Gujarat 59.27% 41.95% 59.34% 15.86% 24.8%

Organized industrial employment in registered factories and service enterprises has contributed to over 33,000 job
opportunities within the district. Employment share of MSME units is relatively higher that the large scale industrial
units. Large scale industrial units accounted for 14,645 employment opportunities in industries across commissioned
and under-implementation stages. Within the MSME category, employment share of services is lower than
manufacturing units indicating high level of unorganized activity in tertiary sector. Details of category-wise industrial
employment as per 2012 statistics are presented in the table.

Organized Employment in Anand 1192

Category of Industries Employment
Large Scale Industries (Commissioned + Under Implementation) 14645
MSME Category 19134
Manufacturing Units 16906
Service Enterprises 2228
Total 33779

The regional and sectoral analysis of large scale industrial employment indicates a clear concentration of
employment in important sectors within key taluka regions. Anand and Khambhat talukas account for a major share
of employment in this category. Mineral processing, engineering goods, auto, agriculture and food processing are
major employment generating segments within the district. Regional and sector wise break up of large scale
industrial employment is presented in the chart.

1191
KPMG Analysis
1192
IEM, MSME Part-II Data till 2012-13

527
 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Large Scale Industrial Employment Overview in the District 1193

Regional Distribution of Large Scale Composition of Employment in Large Scale
Industrial Employment Industries
Petlad
5% Construction
Umreth Material
Sojitra 2% Not Classified 2%
1%
Khambhat 1%
7%
Agro & Food
Processing Textile &
Tarapur 15% Apparel
3% 7%
Manufacturing of
Engineering Chemical &
Goods Chemical
31% Products
8%

Rubber &
Mineral Plastics
Anand Eletrical & Prosessing &
Eletronics 2%
81% Fabrication
1% 34%

Among the manufacturing units in MSME segment agro and food processing, mineral processing and fabrication,
chemical and chemical products, manufacturing of engineering goods (auto components) units have accounted for
major share of the employment in all the categories of industries. Whole sale and retail trade, IT-ITES, publishing &
printing, hospitality are major employment generating sectors within tertiary enterprises. Details of sector wise
industrial employment in manufacturing and services MSME units as per 2012 statistics are presented in the chart.

MSME Employment Overview in the District 1194

Composition of Employment in MSME Composition of Employment in
Manufacturing Units MSME Service Enterprises
Agri-Allied Hospitality
Activities and Tourism
Construction 3.4% 5.4%
1.5%
Agro & Food IT- ITES
Processing 5.6%
15.2%
Manufacturing
of
Engineering Textile & Other
Goods Apparel Services
23.2% 3.8% 46.0% Whole sale &
Wooden Retail Trade
Products & 37.4%
Eletrical &
Eletronics Furniture
4.7% 10.4%
Mineral
Prosessing & Chemical &
Fabrication Chemical
16.9% Products Printing & Transportatio
14.8% Publishing
Rubber & n
Plastics 4.4% 1.3%
3.4%

1193
IEM, MSME Part-II Data till 2012-13
1194
IEM, MSME Part-II Data till 2012-13

528
District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

6.10.26.3. Human Resource Requirement Projections in Anand (2012-22)

Incremental manpower requirement in the district of Anand has been estimated based on several parameters such as
investments trends, national level benchmarks on industrial growth across sectors, state manufacturing policy
targets, performance of state against economy targets, national level inclusion targets for certain sectors,
employment generation potential of various sectors based on labour elasticity and market based insights from
discussions with industries in Anand. Based on the analysis of current state of workforce distribution and potential
employment opportunities in various sectors incremental manpower requirement in key primary, secondary and
tertiary segments is estimated for the periods 2012-17 and 2017-22. Further, manpower requirement is classified into
skilled, semi skilled and minimally skilled categories considering the present level of employment in these categories
for respective sectors and analysis of expected developments in the industry that would lead to significant
realignment of the categories. A detailed approach for manpower estimations is presented in the appendix and
specific factors for estimation are discussed below.

Primary Sector:

Considering the increasing level of farm mechanization and sharing agricultural land usage, period between 2012 and
2022 would witness a net outflow of workforce from the agricultural activities. Agricultural workforce displacement
is expected to be significant in marginal workers category. A significant portion of the workforce would engage in
agri-allied activities depending on the availability of allied resources and migration constraints. Incremental
manpower requirement for the agri- allied activities is estimated considering the following parameters

• Current level of employment in agricultural activities(farmers, agricultural labourers)

• Estimated displacement factors for agricultural workforce based on Planning Commission Projections for
2012-17 and 2017-22 periods and analysis of level of mechanization and allied factors in Gujarat
• Employment potential in agri-allied activities in the district considering the level of involvement in the
respective activities and regional conditions

Manufacturing Sector:

Manpower requirement in secondary sector is driven by investments and output growth. Various factors including
analysis of manufacturing, sub sector policies, investment trends, availability of resources, are considered for the
incremental manpower estimation in different subsectors of manufacturing in the district. Human resource
requirement projections for manufacturing sub sectors in the district are estimated considering the following
parameters

• Manufacturing growth targets for Gujarat for 2012-17 and 2017-22 (increasing secondary sector share in
GSDP to 32% by 2017)
• Identifying key growth sub segments within the district based on study of existing industrial base, primary
interactions
• Estimation of growth targets for the district based on analysis of investment trends in the district in
comparison to the state, available infrastructure, policy thrust on key manufacturing segments identified for
the district
• Labour elasticity factors in the potential sectors for the district

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Tertiary Sector:

Employment growth in some of the services sector is driven by government in terms of budgetary allocations to
achieve inclusion targets in education, healthcare and banking while the other segments including hospitality and
tourism, financial intermediation, communication, retail would depend on the level of economic activity in the region
resulting in high or low spending capacity of population. Also segments like IT-ITES, transportation and logistics are
driven by investments into infrastructure and manpower. Hence human resource requirement projections for services
sub sectors would have specific approaches depending on the growth drivers for the segments in the district. A
detailed methodology for estimation of manpower in services sub segments is presented in the appendix.

Based on the analysis of socio-economic conditions, investment scenario and availability resources incremental
manpower requirement has been estimated for the following sectors.

Primary Sector

• Agriculture & Allied Activities( Horticulture, Sericulture, Animal Husbandry and Fisheries)

Secondary Sector

• Textile and Apparel

• Manufacturing of Engineering Goods( Including Auto & Auto Components)
• Chemical & Chemical Products(Including Petro Chemicals)
• Drugs & Pharmaceuticals
• Agro & Food Processing
• Electrical and Electronics
• Mineral Processing & Fabrication
• Construction Material(Cement, Ceramics)
• Rubber & Plastics
• Paper & Paper Products
• Infrastructure(Construction)

Tertiary Sector

• Transportation & Logistics(including port based logistics)

• Banking & Financial Services
• Organized Retail
• Hospitality & Tourism
• Healthcare
• Education & Training

Incremental manpower requirements for the priority sectors in Anand district are presented in the table 1195.

1195
KPMG Analysis

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Sector 2012-17 2017-22

Skilled Semi Minimally Total Skilled Semi Minimally Total
Skilled skilled Skilled skilled
Agriculture &
Allied Activities NA NA 17924 17924 NA NA 15011 15011
Agro & Food
Processing 115 458 573 1146 103 410 513 1025
Textile & Apparel 35 142 177 354 32 127 158 317
Wooden Products
& Furniture 38 153 191 382 34 137 171 342
Paper & Paper
Products 6 22 28 55 5 20 25 49
Chemical &
Chemical
Products 80 318 398 796 71 285 356 712
Rubber & Plastics 17 68 84 169 15 60 76 151
Mineral
Processing &
Fabrication 172 687 859 1718 154 615 768 1536
Electrical &
Electronics 20 80 100 199 18 71 89 178
Manufacturing of
Engineering
Goods 183 731 914 1828 163 654 817 1635
Manufacturing of
Construction
Material 6 23 29 58 5 21 26 52
Drugs and
Pharmaceuticals 1 2 3 6 1 2 3 5
Misc.
Manufacturing 1 3 3 6 1 2 3 6
Construction 464 927 7881 9272 415 829 7049 8293
Trade, Retail 749 1123 5616 7488 819 1228 6139 8186
Transportation &
Logistics 1019 1529 7643 10190 815 1223 6114 8152
Hospitality &
Tourism 86 1359 1617 3061 70 1112 1323 2505
Banking &
Financial Services 3240 9719 NA 12958 2268 6803 NA 9071
Healthcare 359 1614 NA 1973 478 2390 NA 2867
Education &
Training 833 5605 NA 6437 1249 3363 NA 4612

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 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Skill requirements in key growth sectors have been analyzed based on industry interactions to understand the
detailed manpower needs. Sector level skill interventions are indicated in the section below 1196.

Secondary Sector (Manufacturing, Construction & Energy):

• Auto & Auto Components

Subsector Skills

Auto Assembling and Component Core Skills: Motor Mechanic, Diesel Mechanic, Fitter, Welder, Fabricators
Manufacturing
Allied Skills: Electrician, Wireman

Acute Skill Deficits: Specialized welders in Arc welding who can work in
extreme conditions on advanced fabrication equipments

• Food Processing:
Category of Skills Skills

Core Skills Fitter, Electrician, Wireman, Instrumentation, Lab Technician

Allied Skills Instrumentation, Packaging (Jar, Pouch) Operator, AOCP, Lab Attendant, Boiler
Operator, QC Chemists

Skills with acute shortage PPO is required in industries having in house packing development.

• Chemical & Chemical Products:

Category of Skills Skills

Core Skills Mechanical, Electrical skills

Allied Skills Instrumentation, boiler attendant,AOCP, lab attendants

Skills with acute shortage MSc/BSc chemists, Electronic Automation with understanding of PLC systems

• Metal & Mineral Processing:

Category of Skills Skills
Core Skills Fitter, Welder, Turner, Electrician

1196
KPMG Analysis

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 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Allied Skills Melter, Boiler Operator

Skills with acute shortage PCB instrumentation

• Construction:
Category of Skills Skills
Core Skills Electricians, carpenters, barbenders, welders and masons

Allied Skills Minimally skilled workers

Skills with acute shortage Machine operators

Services:
• Banking & Financial Services:
Category of Skills Skills
Core Skills Knowledge on core banking/mobile/internet platforms

Allied Skills Sales & Marketing

Skills with acute shortage insurance underwriting, claims management

• Transportation :
Category of Skills Skills
Core Skills Heavy vehicle drivers, logistics management

Allied Skills Administrative, computer data management

Skills with acute shortage Scheduling and logistics planning

• Education:
Category of Skills Skills
Core Skills School teachers, higher education faculty

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 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Allied Skills Knowledge on advanced teaching tools

Skills with acute shortage Technical education trainers

Primary Sector:

• Cultivation:
Category of Skills Skills
Core Skills Awareness about high yield varieties, micro nutrients and pest Control, Organic
farming and Vermi compost methods, Micro irrigation techniques
Allied Skills Knowledge on food processing techniques and related procedures to extract
greater value from farm produce

Skills with acute shortage Usage and repair of farm equipments, Marketing and management practice

• Agri- Allied Activities:

Category of Skills Skills
Core Skills Modern rearing techniques of live stock, piggery, goatery and fisheries

Allied Skills Knowledge on processing techniques

Skills with acute shortage Marketing and distribution of forest/animal husbandry produce

6.10.26.4. Human Resource Supply Scenario in the District

6.10.26.4.1. Estimation of Labour Force Supply
District-wise incremental supply has been determined based on net addition of labour force. Gross addition to
working age group population during 2012-17 and 2017-22 were determined based on Census 2011 age wise
population accounting for death rate and life expectancy normalized against population corrections in 2017 and 2022.
Applying labour force participation rates, considering the historical trends, gross additions to labour force were
estimated for the two time periods. Accommodating for retirement from the existing pool of labour force, net supply
to labour force has been estimated.

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Anand would experience a moderate growth in human resource base during 2012-22. Increased industrial activity in
the district would drive a higher population growth in the district over the next decade. Details of human resource
growth estimations during 2012-22 are presented in the table 1197.

Period Gross Addition to Working Gross Addition to Labour Net Addition to Labour
Age Population Force Force-Supply

2012-17 204,570 127,216 75,362

2017-22 187,353 118,634 58,513

6.10.26.4.2. Education and Training Potential in the District

The district has around 1335 secondary and senior secondary (nursery to class 12) schools with a 20.07 percent share
of private schools. The net enrolment ratios at both primary level and upper primary level for the state are higher than
the state figures 1198.

Total Enrollments Primary Level Upper Primary Level Secondary Level Higher Secondary
in 209-10 (Std I-V) (Std VI-VIII) (Std IX-X) Level (Std XI-XII)
Anand 209387 83366 110054 15389

Comparing the district’s enrolment statistics with state average indicates that the district is a strong performer in the
primary education category 1199
Region Net Enrolment Ratio (Primary Level) Net Enrolment Ratio (Upper Primary Level)
Anand 88.0 58.3
Gujarat 85.4 50.7

In the vocational education segment, the district lags behind in the provision of vocational training in comparison to
state average. Despite low vocational education capacity, the private sector has shown keen interest to invest in this
district. The state must take proactive measures in seeking private support to augment vocational training
infrastructure.

Region Number of Seat Vocational Training Private Sector

ITIs Capacity Capacity Density (Seats Participation in
Per 1000 Population) Vocational Training
Anand 29 4,230 2.02 57%
Gujarat 711 138,106 2.29 26%

Capacity expansion in vocational education in Anand needs to be focused on. The tehsils of Tarapur, Anklay, Umreth,
Khambhat and Borsad needs attention to bring them at par with the district average in vocational education
capacity 1200.

1197
KPMG Analysis
1198
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat
1199
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

Taluka Seat Capacity Vocational Training Private Sector

Capacity Density(Seats Participation in
Per 1000 Population) Vocational Training
Anand 2120 3.66 65%
Petlad 660 2.21 81%
Sojitra 228 2.11 40%
Tarapur 136 1.59 0%
Anklav 197 1.30 39%
Umreth 224 1.23 43%
Khambhat 328 1.12 15%
Borsad 337 0.86 57%
District Total 4230 2.02 57%

In the higher education segment, there are 12 pharmacy colleges, with a total intake capacity of 1180. There are 5
engineering colleges offering courses in chemical, civil, electrical, electronics and communication, information
technology, production and mechanical engineering. Pramukhswami Medical College is the only medical college
present in the district with an intake capacity of 100. Institute of Rural Management (IRMA) is one of the five
management colleges present in Anand, which provides MBA courses and offers specialized rural management
programs. The district also houses Anand Agricultural University and Sardar Patel University along with 24 Arts,
Commerce, Science, B.Ed and Law Colleges.

6.10.26.4.3. Demand-Supply Gap Analysis for the District

Incremental skill category wise supply for the periods 2012-17 and 2017-22 in the district are estimated based on net
output from higher education institutions (skilled), vocational training(semi skilled), minimally skilled (school
education) for periods 2012-17 and 2017-22 considering the LPR estimations for the districts in 15-59 age group and
retirement from existing labour force.

Based on the skill category human resource demand projections for 2012-22 and net supply potential, category wise
Demand-Supply gap estimations for the district are presented in the table below

Category Wise Demand-Supply Gap in the District (2012-22)

2012-17 2017-22
Sector Skilled Semi Minimally Total Skilled Semi Minimally Total
Skilled skilled Skilled skilled
Demand-Supply
Gap (3,610) 16,009 (11,734) 658 (5,505) 8,751 2,950 6,192
*(Indicates excess supply)

6.10.26.4.4. Skill Development Potential through Government Endowments

According to KPMG estimates, based on the potential district budgetary allocation for various central government
schemes, around 59 thousand people in total can be trained incrementally during the five year period of 2012-17. The
Ministry of MSME, Ministry of Labour and Ministry of Agriculture are expected to contribute significantly to training.
Manpower training targets are more focused on small and medium industries, considering the low penetration of

1200
Gujarat Higher Education Commission, DISE, Directorate of Labour & Employment-Govt of Gujarat

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

large scale industries in the district. Private training providers have significant up-skilling opportunities for MSME
manpower in the district.

Government Funded Incremental Training Capacity (2012-17) - Anand District 1201

M/O Agriculture 10502

SDI-MES 10385

SJSRY 9243

SGSY 8402

Using Construction Cess 6744

Others 3981

D/O IT 3808

Credit Scheme 3635

Hunar Se Rozgar 1021

CSR Funds from Central PSUs 865

ISDS - Textiles 177

ART - M/o Tribal Affairs 153

SCA under TSP - M/o Tribal Affairs 92

6.10.26.5. District Specific Recommendations

Considering human resource potential and manpower requirements of the industry, the proposed action plan for
stakeholders in skill development has been recommended:

Stakeholder Action Points for Stakeholders

NSDC Focus on increasing participation from national/regional private skill training providers
with focus on the following regions having high human resource potential
• Anand, Tarapur, Khambhat
Focus on sectors with high employment potential in Gujarat
• Services: Transportation & Logistics, Organized Retail, IT-ITES, Banking & Financial
Services, Hospitality & Tourism, Construction
• Manufacturing: Textile, Auto- Auto Components, Engineering Goods, Chemical &
Chemical Products

District Provide skill training in conjunction with private skill training providers using government
Administration endowment training schemes in sectors of

1201
KPMG Analysis

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

• Animal Husbandry(Diary)
Focus on improving industrial training infrastructure in the regions of
• Tarapur, Anklay, Umreth, Khambhat and Borsad
Private Skill • Focus on placement driven training for youth from high human resource potential
Training regions of Anand, Tarapur, Khambhat
Providers
Focus on sectors with high employment potential in Gujarat
• Services: Transportation & Logistics, Organized Retail, IT-ITES, Banking & Financial
Services, Hospitality & Tourism, Construction
• Manufacturing: Textile, Auto- Auto Components, Engineering Goods, Chemical &
Chemical Products

Corporate Provide support for training/placement for youth from the district for placements in
industrial belts

Initiate and support modular employability skill training in collaboration with private
players/Government

Create placement linkage opportunities in training institutions

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

PART- IV

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

7. Glossary
Abbreviation Explanation of abbreviated terms
GIDC Gujarat Industrial Development Corporation
BDO Block Development Officer
BRGF Backward Region Grant Fund
Build. Const. Real Est. Building, Construction, Real Estate

CAGR Compound Annual Growth Rate

Capex Capital Expenditure
CEO Chief Executive Officer
CII Confederation of Indian Industry
CMIE Centre for Monitoring Indian Economy
CoE Centre for Excellence
COPA Computer Operator and Programming Assistant
CSC Common Service Centre
DAO District Agriculture Office
DIC District Industries Center
DRDA District Rural Development Agency
DUDA District Urban Development Agency
FGD Focus Group Discussion
FMCG Fast Moving Consumer Goods
FY Financial Year
GDDP Gross District Domestic Product
GDP Gross Domestic Product
GoW Government of Gujarat
GSDP Gross State Domestic Product
HDI Human Development Index
HR Human Resource
HUPA Housing and Urban Poverty Alleviation
ICT Information and Communication Technologies
IFFCO Indian Farmers Fertiliser Cooperative Limited
IOC Indian Oil Corporation

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

IT Information Technology
ITC Industrial Training Centre
ITeS Information Technology Enabled Services
ITI Industrial Training Institute
Kg Kilogram
Km Kilometre
L&T Larsen and Toubro
LPG Liquefied Petroleum Gas
M. Tech Mater of Technology
MBA Master of Business Administration
MBBS Bachelor of Medicine Bachelor of Surgery
MCA Master of Computer Application
mfp Minor forest produce
MGNREGA Mahatma Gandhi National Rural Employment Guarantee Act
mm Millimeter
MoU Memorandum of Understanding
MSME Micro, Small and Medium Enterprises
MT Metric Tonnes
MW Mega Watt
NAC National Academy of Construction
GCVT Gujarat Council for Vocational Education & Training
NGO Non Government Organization
NH National Highway
no. Number
NSDC National Skill Development Corporation
NSS National Service Scheme
NTFP Non Timber Forest Products
OBC Other Backward Castes
p.m. per month
PHC Public Health Centre
PPP Public Private Partnership
PVC PolyVinyl Chloride

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

RKVY Rastriya Krishi Vikas Yojana

RSETI Rural self employment training institute
RTE Right to Education
RYK Rajiv Yuva Kiranalu
SC Scheduled Caste
SC Scheduled Caste
SEZ Special Economic Zone
SHG Self Help Group
SJSY Swarn Jayanti Swarojgar Yojna
SME Small and Medium Enterprises
sq Square
SSI Small Scale Industry
ST Scheduled Tribe
ST Scheduled Tribe
TV Television
VT Vocational Training
VTP Vocational Training Provider

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District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

This report is prepared by KPMG Advisory Services Pvt Ltd (KASPL).

KPMG is a global network of professional service firms offering Audit, Tax and Advisory services with presence in
152 countries and a combined strength of nearly 145,000 people. In India, the firm provides services to Government,
Indian and International companies through offices in Mumbai, Delhi, Chandigarh, Bangalore, Hyderabad, Chennai,
Pune , Kolkata, Kochi and Ahmadabad.

KPMG is one of the first professional services firms to align its services and professionals along industry verticals
developing an intensive understanding of different industries, providing clients with an informed view on specific
issues and a tailored service response. KPMG is first advisory firm to establish Centre of Excellence in Education in
India providing holistic support in funding, structuring and consulting solutions across strategy, process, people and
technology in the sector.

KPMG has, over the years gained an expertise in the area of Education Advisory backed by capabilities such as
• Comprehensive and focused solution for education, Skill Gaps, research and training services combined with
through insights and analysis from its Centre of Excellence for Education in India - networked globally

• Access to our wealth of knowledge – Thought leaderships, Industry monitors and database through our Education
- Centre of Excellence in India

• A strong cross functional team with expertise of Consulting, Corporate Finance, Tax teams – focused on
education sector

• Working closely with Central Govt., MoHRD, State Govts, Apex bodies and funding agencies

• Use of robust proprietary tools and methodologies assuring quality delivery to our clients

Narayanan Ramaswamy Akhil Krishna Gaurav Kumar

Head – Education Advisory, Associate Director– Education Associate Director– Education

Partner Advisory Advisory
KPMG India KPMG India KPMG India
+91 (44) 3914 5200 +91 (80) 30654479 +91 (124) 43075203
email: [email protected] email: [email protected] email: [email protected]

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 District wise skill gap study for the State of Gujarat (2012-17, 2017-22)

For more details please contact:

National Skill Development Corporation

Block A, Clarion Collection, (Qutab Hotel)
Shaheed Jeet Singh Marg
New Delhi 11 0 016
Tel : +91-11-47451600 544
Fax : +91-11-46560417
Email : [email protected] www.nsdcindia.org