Government Initiates Key Steps to Promote Industrial Development Across States and UTs
Sandip Raj Gupta
11/Dec/2024

The Government of India has undertaken significant steps to promote industrial growth across States and Union Territories (UTs). The Department for Promotion of Industry and Internal Trade (DPIIT), along with various central ministries, is leading the charge through policy interventions and initiatives designed to boost manufacturing and infrastructure development. Key programs include:
- Make in India: A flagship initiative to promote manufacturing and establish India as a global manufacturing hub.
- Startup India: Encouraging startups by providing various incentives and a conducive environment for innovation.
- PM Gati Shakti: A master plan to enhance infrastructure and logistics, improving connectivity and reducing costs.
- National Infrastructure Pipeline (NIP) and National Industrial Corridor Programme (NICDP): These programs aim to improve infrastructure and create industrial hubs across the country, making India an attractive destination for investments.
- Production-Linked Incentive (PLI) Scheme: Encouraging manufacturing in sectors like electronics, pharmaceuticals, and automotive.
- Indian Footwear and Leather Development Programme (IFLDP): Focused on the development of the footwear and leather industry, a key sector for India’s exports.
Industrial Corridor Projects
Under the National Industrial Corridor Development Programme (NICDP), the government has launched several industrial corridor projects to foster industrialization in strategic locations. These include:
Shendra-Bidkin Industrial Area (SBIA) in Maharashtra, which covers 4,584 acres in its Phase 1. To date, 2,620 acres have been allotted to 294 companies, including HYOSUNG, a South Korean firm that has been allocated 100 acres for its operations. This industrial hub is expected to attract significant investments and generate employment opportunities.
Dighi Port Industrial Area (DPIA), also in Maharashtra, is another major project under the NICDP, with an investment of US$ 644.4 million (Rs. 5,468 crore). This project is expected to generate approximately 1 lakh jobs and attract US$ 1.41 billion (Rs. 12,000 crore) in investments. DPIA is strategically located to improve India’s export capabilities and attract large-scale industries.
Support for Footwear and Leather Industry
The Indian Footwear and Leather Development Programme (IFLDP) has allocated US$ 200.4 million (Rs. 1,700 crore) until March 31, 2026, to support various initiatives in the footwear and leather sectors. Key initiatives under the program include:
- Integrated Development of Leather Sector (IDLS): Focused on enhancing the infrastructure and technology of the leather sector.
- Mega Leather Footwear and Accessories Cluster Development (MLFACD) in Maharashtra: This initiative aims to provide support for the creation of large clusters for the footwear and leather industry, promoting growth and export opportunities.
Investment Schemes for Various Regions
The government has also introduced investment schemes aimed at special regions, including:
- Industrial Development Scheme (IDS) 2017: This scheme targets regions like Himachal Pradesh, Uttarakhand, Jammu & Kashmir, and Ladakh, offering incentives to industries setting up operations in these regions.
- New Central Sector Scheme (NCSS) for Jammu & Kashmir: This scheme, running until 2037, is designed to provide financial incentives for industrial development in the region. Cumulative incentives of US$ 122 million (Rs. 1,034.82 crore) have already been disbursed under these programs.
Ease of Doing Business
To enhance the Ease of Doing Business (EoDB), several initiatives have been launched, including:
- National Single Window System (NSWS): This system aims to simplify the approval process for businesses, making it easier to start and operate industries across India.
- Project Monitoring Group (PMG): The PMG provides a platform for monitoring large-scale projects, ensuring timely execution and resolving bottlenecks.
- Liberalisation of Foreign Direct Investment (FDI) Policies: The relaxation of FDI norms aims to attract more foreign investments into India’s industrial sector.
These measures collectively aim to create a business-friendly environment, attract both domestic and foreign investments, and foster regional development.
Conclusion
The government’s proactive approach to promoting industrial growth through a combination of policy initiatives, sector-specific schemes, and infrastructure development projects is positioning India as a global manufacturing hub. With dedicated focus on improving Ease of Doing Business, supporting startups, and establishing industrial corridors, India is poised for a significant leap in industrial output and investment inflow in the coming years.
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