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Insights on the National Industrial Corridor Development Programme

The 2024 Union Budget introduces 12 new industrial parks under the National Industrial Corridor Development Programme, aiming to bolster India's manufacturing sector. These parks offer essential infrastructure and services, aligning with sector-specific needs. The proposal emphasizes sustainability and efficiency, streamlining clearances. With a focus on key industrial corridors like the Delhi Mumbai Industrial Corridor, the initiative signals a significant step towards a more competitive and innovative manufacturing ecosystem in India.




The Union Budget for 2024 has unveiled an ambitious plan to introduce 12 new industrial parks as part of the National Industrial Corridor Development Programme. Alok Chaturvedi sheds light on the significance of industrial parks and corridors in fortifying the manufacturing landscape of the nation.

 

Industrial parks serve as expansive zones equipped with shared infrastructure, plots, and built-up areas to expedite the establishment of industries. These parks offer essential amenities like internal roads, electricity, waste treatment facilities, warehousing spaces, worker accommodations, and other business services. They often adhere to specific building regulations tailored for industrial units and operate a streamlined 'Single Window System' for swift clearances.

 

According to the India Industrial Land Bank maintained by the DPIIT, the country hosts over 4,420 industrial parks/zones, covering approximately 5,60,000 hectares. These parks come in various forms, including Coastal Economic Zones (CEZs), National Investment and Manufacturing Zones (NIMZs), Special Economic Zones (SEZs), and Industrial Clusters/ Parks/ Regions/ Areas/ Estates, developed by public and private entities or a mix of both.

 

A notable shift is witnessed from mixed-use parks, constituting 64% of the total, to sector-specific parks. This move reflects an understanding of distinct infrastructure needs across sectors like Petroleum, Chemicals, and Petrochemicals Investment Regions (PCPIR), PM Mega Integrated Textile Region and Apparel (PM Mitra) Parks Scheme, Mega Food Park Scheme, and Software Technology Parks of India (STPI). Notably, 10 sectors, including engineering, metals, textiles, and food processing, dominate the industrial park landscape.

 

The western and southern states of India house a significant 83% of available industrial park land. Top states like Tamil Nadu, Maharashtra, Gujarat, Rajasthan, and Karnataka collectively hold 73.61% of the total industrial park area, emphasizing regional concentration.

 

The Budget proposes 12 new industrial parks under the National Industrial Corridor Development Programme by DPIIT. These parks aim to craft advanced industrial cities capable of competing globally, offering ready-to-use infrastructure up to the plot level. The parks prioritize sustainability and resilience, streamlining environmental clearances for the entire city under a Special Purpose Vehicle acting as a Single Window System. This initiative aligns with the development of 11 industrial corridors encompassing 32 projects.

 

The Delhi Mumbai Industrial Corridor (DMIC) spearheads the industrial corridor projects, leveraging the Western Dedicated Freight Corridor (WDFC). Notable progress is underway, with industrial cities like Dholera Special Investment Region, Shendra-Bidkin Industrial Area, and others witnessing significant development and investments from key players.

 

Apart from DMIC, other corridors like Chennai-Bengaluru, Amritsar-Kolkata, and Hyderabad-Nagpur are slated for transformative industrial development, drawing in investments and fostering economic growth across regions.

 

The proposed industrial parks under the National Industrial Corridor Development Programme symbolize a leap towards a robust manufacturing ecosystem, fostering growth, innovation, and competitiveness in India's industrial landscape.

 

 

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