citizens of the city are traders and businessmen. This has led to the creation of major mercantile corporations and artisan guilds that are have a key influence on the economic life of Gujarat. The city's educational and industrial institutions have attracted students and young skilled workers from all over India.

Ahmedabad is one of the largest industrial hubs of western India, enjoying a prominent position on the industrial map of the country owing to its importance as a base of trade, commerce and industry. The city has got its glory as a major trade destination due to its proximity to the port at Surat. During the reign of Muzaffarid rule, the city was also a major trade destination in Western India.

In the 19th century the city flourished as a major destination for textile and petrochemicals. The first Indian textile mill – the Ahmedabad Spinning and Weaving Company Limited was established by Ranchhodlal Chhotalal on May 30, 1861. This was followed by the establishment of a series of textile mills such as the Calico Mills in 1880 by Maganbhai, and mills founded by industrialists such as Ambalal Sarabhai and Kasturbhai Lalbhai. Arvind Mills, located in the city, is one of the largest textile mills in the country.

Ahmedabad is equally famous for its chemical and Pharmaceutical industries. Two largest pharmaceutical companies - Zydus Cadila and Torrent Pharmaceuticals have their corporate offices at Ahmedabad. Ahmedabad is fifth among the top nine most competitive cities in the country according to a survey conducted by National Association of Software and Services Companies (NASSCOM). The Gujarat government is lifting the development process of Ahmedabad to new height by increasing investment in the city's infrastructure, providing for the construction of larger roads and improvements in water supply. The state has a liberal industrial policy for the establishment of new industrial units in and around the city.