India's Industrial Network Grows: Cabinet Approves 12 New Smart Cities To Drive Manufacturing And Export Capabilities

In line with the goal of expanding domestic manufacturing, the Union Cabinet has approved the establishment of 12 new industrial smart cities across various states, with an investment of Rs 28,602 crore.

This project will be implemented under the National Industrial Corridor Development Programme (NICDP), which seeks to create an industrial ecosystem by attracting investments from large anchor industries as well as micro, small, and medium enterprises (MSMEs).

The approval follows Union Finance Minister Nirmala Sitharaman's budget announcement last month, which proposed the development of 'plug-and-play' industrial parks in or near 100 cities, jointly with states and the private sector, to enhance manufacturing capabilities.

The project covers 10 states and is aligned along six major corridors, forming a grand industrial network similar to the Golden Quadrilateral.  

Thes new cities will be developed as greenfield smart cities, based on the 'plug-and-play' and 'walk-to-work' concepts, while ensuring advanced infrastructure to support efficient industrial operations.

The planned industrial areas include — 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 industrial nodes are expected to help achieve $2 trillion in exports by 2030, supporting the government's goal of making India self-reliant and competitive on a global scale.

According to earlier statements from the Department for Promotion of Industry and Internal Trade (DPIIT), eight similar cities are already in various stages of development.

Infrastructure such as roads, water, and power supply has been established in four cities — Dholera (Gujarat), Auric (Maharashtra), Vikram Udyogpuri (Madhya Pradesh), and Krishnapatnam (Andhra Pradesh) — with land allotment for industry underway, reports Economic Times.

In the remaining four, the government’s special purpose vehicle (SPV) is constructing the basic infrastructure.

With eight cities currently under development and the announcement of 12 new ones in the budget, the total number of these industrial smart cities in the country will rise to 20.