The Cabinet approval follows the Finance Minister Nirmala Sitharaman’s announcement during the Union Budget speech, in which she outlined a plan to sanction 12 industrial parks under the National Industrial Corridor Development Programme (NICDP).
The Union Cabinet on Wednesday approved 12 “industrial smart cities” in 10 states to boost domestic manufacturing with an estimated investment of Rs 28,602 crore.
The chosen cities for the industrial projects are Khurpia in Uttarakhand, Rajpura-Patiala in Punjab, Dighi in Maharashtra, Palakkad in Kerala, Agra and Prayagraj in Uttar Pradesh, Gaya in Bihar, Zaheerabad in Telangana, Orvakal and Kopparthy in Andhra Pradesh, and Jodhpur-Pali in Rajasthan. These projects, designed to attract foreign direct investment from countries such as Singapore and Switzerland, aim to foster an industrial ecosystem by facilitating investments from both large anchor industries and micro, small, and medium enterprises (MSMEs), Commerce Minister Piyush Goyal said at a press briefing.
The projects, spanning across 10 states and six major industrial corridors, will create a ‘necklace of industrial cities’ along the Golden Quadrilateral, the minister said, adding that the cities will feature ‘plug-and-play’ infrastructure, including potable drinking water and 24-hour electricity.
“We hope investors can easily acquire land in India. We have granted environmental clearance for all these 12 projects, which will simplify the process for investors,” Goyal said, adding that single-window clearance will further streamline the process.
Goyal said that Singapore and Switzerland have shown interest in dedicated industrial spaces. The government plans to partner with Invest India for marketing these projects and a Special Purpose Vehicle (SPV) will be established to implement the parks, with a three-year completion timeline, provided states cooperate.
The Cabinet approval follows the Finance Minister Nirmala Sitharaman’s announcement during the Union Budget speech, in which she outlined a plan to sanction 12 industrial parks under the National Industrial Corridor Development Programme (NICDP).
“Our government will facilitate the development of investment-ready ‘plug-and-play’ industrial parks with complete infrastructure in or near 100 cities, in partnership with states and the private sector, by utilising town planning schemes better,” Sitharaman said.
“Earlier, the Odisha government did not provide land, but after the change in government, the land has been allotted for the project. West Bengal had submitted a proposal, but they themselves withdrew. Wherever states support the Centre, industrial projects will be established,” Goyal said.
These industrial nodes are expected to act as catalysts for achieving $2 trillion in exports by 2030. The new industrial cities will be developed as greenfield smart cities of global standards, built ‘ahead of demand’ on the ‘plug-and-play’ and ‘walk-to-work’ concepts, according to an official statement.
“The projects under the NICDP are designed with a focus on sustainability, incorporating ICT-enabled utilities and green technologies to minimise environmental impact. By providing quality, reliable, and sustainable infrastructure, the government aims to create industrial cities that are not just hubs of economic activity but also models of environmental stewardship,” the statement added.
“In addition to these new approvals, the NICDP has already seen the completion of four projects, with another four currently under implementation. This continued progress highlights the government’s commitment to transforming India’s industrial sector and fostering a vibrant, sustainable, and inclusive economic environment,” the statement read.
