New Delhi, August 18: The central government has announced a strategic shift in its approach to the development of industrial corridors and infrastructure projects. Rather than merely approving projects, the emphasis will now be on their timely implementation, attracting investments, and initiating production. The government believes that the true measure of industrial development lies in translating projects into tangible economic activities.
During the third meeting of the National Industrial Corridor Development and Implementation Trust (NICDIT), central ministers underscored the need for expedited and results-oriented execution of industrial corridor projects. They urged states to swiftly address obstacles related to land availability, connectivity, utilities, regulatory approvals, and special purpose vehicles (SPVs) associated with these projects.
Finance Minister Nirmala Sitharaman emphasized that states should prioritize resolving issues related to land allocation for industrial projects, transportation infrastructure, and essential services like electricity and water. She also highlighted the continued use of integrated planning and investor-friendly land allocation systems through the PM Gati Shakti initiative.
Sitharaman noted that industrial development should extend beyond mere factory construction. It should encompass worker housing, healthcare facilities, skill development, public transport, and other social amenities as integral components of industrial projects. Furthermore, she stated that the central government is strengthening domestic manufacturing and supply chains through public capital expenditure, state assistance, improved credit support for MSMEs in the manufacturing sector, and tax and customs measures.
Commerce and Industry Minister Piyush Goyal remarked that ‘grand’ and future industrial projects should be developed under an integrated regional development model linked with PM Gati Shakti. He emphasized the necessity of enhancing access to investors and effectively marketing industrial nodes.
Goyal also pointed out the need to develop country-specific and region-specific industrial enclaves by leveraging opportunities from India’s Free Trade Agreements (FTAs). He stressed the importance of providing suitable locations that meet investor requirements and developing a ready industrial ecosystem equipped with plug-and-play infrastructure, factory space, worker housing, and economic and social facilities.
Union Minister for Ports, Shipping, and Waterways Sarbananda Sonowal suggested connecting industrial corridors with national waterways. He advocated for studying the potential of developing waterways as a backbone of industrial growth, which could reduce logistics costs and accelerate industrial activities.
Sonowal also placed special emphasis on developing industrial infrastructure in the northeastern states. He stated that promoting industries in areas with better connectivity, land availability, local resources, and market potential could expand the country’s industrial base.
During the meeting, NITI Aayog Vice Chairman Ashok Kumar Lahiri appealed to states to grant more authority to project SPVs. He suggested that these entities should be provided with adequate powers related to planning, development, and urban administration to ensure more effective and rapid implementation of industrial corridor projects.
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