National Industrial Corridor Expands with ₹28,602 Crore Smart City Projects
The Government of India has approved 12 new industrial smart city projects under the National Industrial Corridor Development Programme, with a total investment of ₹28,602 crore (including land cost). These projects, sanctioned on 28th August 2024, will focus on building world-class trunk infrastructure, with construction expected to be completed within 36–48 months from the appointment of EPC contractors.
Each industrial city, area, or node is managed by a Special Purpose Vehicle (SPV), with provision for private sector representation based on the respective state government’s decision. The development model involves state governments providing land, while the National Industrial Corridor Development and Implementation Trust (NICDIT) contributes equity for trunk infrastructure. SPVs are empowered to adopt innovative financing models, including user fee funding, PPP arrangements, and bi-lateral or multi-lateral funding, to accelerate project execution.
Focus sectors vary across industrial smart cities and are defined through detailed market demand assessments. Key sectors include heavy engineering, automotive and ancillaries, general manufacturing, pharmaceuticals and biotech, electronics, IT & ITES, agro and food processing, aerospace, nanotechnology, fabricated metal products, semiconductors, R&D, ICT, rubber and plastics, and optoelectronics. These projects aim to boost India’s industrial competitiveness, attract global investments, and create high-value employment across emerging and traditional sectors.
