INDUSTRIAL CORRIDOR

Summary

The different sectors of an economy are inter-dependent on each other. Industrial corridors, recognizing this inter-dependence, offer effective integration between industry and infrastructure, leading to overall economic and social development. Industrial corridors constitute world-class infrastructure, such as: 1

  • High-speed transportation network – rail and road
  • Ports with state-of-the-art cargo handling equipment
  • Modern airports
  • Special economic regions/industrial areas
  • Logistic parks/transhipment hubs
  • Knowledge parks focused on catering to industrial needs
  • Complementary infrastructure such as townships/real estate
  • Other urban infrastructure along with enabling policy framework

Government of India has accorded approval for development of 11 Industrial corridors (32 projects) in four Phases. The existing Industrial Corridors list is as follows:

  1. Delhi Mumbai Industrial Corridor (DMIC)
  2. Chennai Bengaluru Industrial Corridor (CBIC)
  3. Extension of CBIC to Kochi via Coimbatore
  4. Amritsar Kolkata Industrial Corridor (AKIC)
  5. Hyderabad Nagpur Industrial Corridor (HNIC)
  6. Hyderabad Warangal Industrial Corridor (HWIC)
  7. Hyderabad Bengaluru Industrial Corridor (HBIC)
  8. Bengaluru Mumbai Industrial Corridor (BMIC)
  9. East Coast Economic Corridor (ECEC) with Vizag Chennai Industrial Corridor (VCIC) as Phase-1
  10. Odisha Economic Corridor (OEC)
  11. Delhi Nagpur Industrial Corridor (DNIC)

National Industrial Corridor projects are getting developed on the overall framework of PM GatiShakti - National Master Plan to provide a systematic, multi modal connectivity to various economic zones for a seamless movement of people, goods and services resulting in efficient conduct of logistics and economic activities.

The development of these eleven industrial corridor projects will be implemented through the National Industrial Corridor Development and Implementation Trust (NICDIT). These corridors are spread across India, with strategic focus on inclusive development to provide a boost to industrialization and planned urbanization. Smart cities are being developed along these corridors. These cities, with state-of-the-art infrastructure, will house the new workforce that is required to power manufacturing, in turn leading to planned urbanization. 2

It will position India as a strong player in the Global Value Chain and enhance India’s competitiveness in manufacturing by the creation of quality infrastructure.3

‘Plug n Play’ infrastructure at plot level has been developed in the 4 cities of Dholera (Gujarat), Shendra Bidkin (Maharashtra), Vikram Udyogpuri (M.P.), Integrated Industrial Township (Greater Noida, U.P.) where land allotment is currently underway.

A total of 173 Plots (851 Acre) have been allotted in the 4 cities attracting investments from companies of South Korea, Russia, China, UK, Japan as well as from India including MSME`s with an investment mobilization to the tune of approximately INR 16,760 Cr. generating approx. 21,000 employment opportunities.

Sources: 1, 2, 3

Delhi-Mumbai Industrial Corridor (DMIC)

The Delhi-Mumbai Industrial Corridor (DMIC) is a mega infrastructure project by the Government of India. The corridor covers an overall length of 1504 km between the political capital- Delhi and the business capital- Mumbai of India. 1

The US$ 90 Bn project is being funded by the Government of India, Japanese loans, investments by Japanese firms and through Japan depository receipts issued by Indian companies. 1

National Industrial Corridor Development Corporation (NICDC) Limited, formerly known as Delhi Mumbai Industrial Corridor Development Corporation (DMIDC) Limited 5  is the incorporating agency for the project. NICDC has been registered as a company with 49% equity of the Government of India, 26% equity of the Japan Bank for International Cooperation (JBIC) and the remaining held by government financial institutions. 6 The NICDC has been incorporated to establish, promote and facilitate the development of the DMIC project. It undertakes and assists project development services, for various central government agencies and state governments, relating to investment regions/industrial areas/economic regions/industrial nodes and townships. 7

The three cities that have been chosen as Industrial Areas are:

  1. Shendra – Bidkin (Maharashtra)
  2. Dighi Port (Maharashtra)
  3. Jodhpur – Pali – Marwar (Rajasthan)

Current Status of Project:

  • The DMIC project has made considerable progress with trunk infrastructure development activities nearing completion at four locations in Gujarat, Maharashtra, Uttar Pradesh and Madhya Pradesh.8

Following are the projects under DMIC in various phases of development:

  • Dholera Special Investment Region (DSIR), Gujarat(22.5 sq. kms/ 5560 acres)
  • ShendraBidkin Industrial Area (SBIA), near Aurangabad, Maharashtra (18.55 sq. kms/ 4583 acres).
  • Integrated Industrial Township – Greater Noida (IITGN), Uttar Pradesh (747.5 acres)
  • Integrated Industrial Township – Vikram Udyogpuri (IITVU), Madhya Pradesh (1,100 acres)
  • Integrated Multi-Modal Logistics Hub, Nangal Chaudhary, Haryana (886 acres)
  • Multi-Modal Logistics Hub (MMLH) and Multi-Modal Transport Hub (MMTH), Uttar Pradesh 479 Ha (1184 acre)
  • Dighi Port Industrial Area, Maharashtra (6056 acres)
  • Jodhpur Pali Marwar Industrial Area (JPMIA), Rajasthan (6,570 acres)
  • KhushkheraBhiwadi Neemrana Industrial Area, Rajasthan (1378 acres)
  • Mandal -Becharaji Special Investment Region (MBSIR), Gujarat (2,849 acres)

 

Sources: 1, 2, 3, 4, 56, 7, 8

Chennai-Bengaluru Industrial Corridor (CBIC)

The Chennai Bengaluru Industrial Corridor (CBIC) has been Proposed to achieve accelerated growth, regional industry agglomeration in the states of Tamil Nadu, Karnataka and Andhra Pradesh, and to facilitate the development of a well-planned and efficient industrial base. 15

The industrial corridor will achieve the goal by providing smooth access to industrial production units, reducing transportation logistic costs and improving delivery time as well as decreasing inventory cost. This will ensure increased private investments in manufacturing and industrial activity in the three states. 15

The Japan International Cooperation Agency (JICA) study team conducted a preliminary study for the Comprehensive Integrated Master Plan of the CBIC. The study team identified 25 priority projects, across various sectors, that aim to remove infrastructural bottlenecks in the project. 15

Current Status of Project: 16

  • The perspective plan has been completed for the overall CBIC project.
  • Three nodes have been identified for further development:
    1. Krishnapatnam Industrial Area, Andhra Pradesh: Total Area, 11098 acre (3 phase development)
    2. Tumakuru Industrial Area, Karnataka: Total Area, 8484 acre (3 phase development). EPC Contractor appointed and work on ground started for Phase-A, Activation Area (1,722 acre). Hon’ble PM laid the Foundation Stone for the project on 06th Feb 2023
    3. Ponneri Industrial Area, Tamil Nadu: Consultant has been appointed for carrying out Detailed Master Planning and Preliminary Engineering for an area of 4,000 acres.*
Extension of CBIC to Kochi via Coimbatore

NICDIT has given its approval for the extension of the CBIC project to Kochi via Coimbatore.

Two nodes have been identified for further development:

  • Palakkad (Kerala)
  • Dharmapuri (Tamil Nadu)

Current Status of the project
•    Preparation of detailed master planning and preliminary engineering has been initiated for Palakkad (Kerala) and Salem (Tamil Nadu).

•    Finalization of Shareholder’s Agreement (SHA) and State Support Agreement (SSA) is underway.

 

Source: 1

Amritsar-Kolkata Industrial Corridor (AKIC)

The Amritsar-Kolkata Industrial Corridor (AKIC) Project extends from Amritsar (Punjab) to Dankuni (West Bengal). AKIC will have an influence area across seven states of Punjab, Haryana, Uttar Pradesh, Uttarakhand, Bihar, Jharkhand and West Bengal. Further, the BaddiBarotiwalaNalagarh (BBN) area in Himachal Pradesh is located at around 70 kms from the Eastern Dedicated Freight Corridor (EDFC), thus, falling in the influence zone of AKIC and the same has also been included in the AKIC Corridor for development. The length of the Amritsar-Kolkata Industrial Corridor (AKIC) is 1839 km. 11

Following seven Integrated Manufacturing Clusters (IMCs) have been identified: 11

  1. Rajpura-Patiala (Punjab)
  2. Prag-Khurpia Farms (Uttarakhand)
  3. Bhaupur (Uttar Pradesh)
  4. Gamhariya (Bihar)
  5. Barhi (Jharkhand)
  6. Raghunathpur (West Bengal)
  7. Hisar (Haryana)

Current Status of Project: 12

  • The perspective plan of the AKIC has been completed.
  • One Integrated Manufacturing Cluster (IMC) has been finalised for further development in the seven states.
  • Detailed master planning and Preliminary Engineering activities are completed for IMC site in West Bengal (Raghunathpur) where 2483 acres of land is available.
  • Land identification, admeasuring 2935 acres, Shareholder’s agreement and state support agreement is being finalised for Prag-Khurpia farms (Uttrakhand).
  • Activities related to the selection of detailed master planning and preliminary engineering consultant for the new site i.e. Hisar is being initiated instead of Saha.

Major projects under this are:-

Following Integrated Manufacturing Clusters (IMCs) have been identified for development*

  • Hisar Integrated Manufacturing Cluster IMC, Haryana 2988 acre (2 phase development)
  • PragKhurpia Integrated Manufacturing Cluster, Uttarakhand (1,002 acres)
  • Rajpura-Patiala IMC, Punjab (1,100 acres)
  • IMC at Agra, Uttar Pradesh (1,059 acres) & Saraswati Hi Tech city, Prayagraj, Uttar Pradesh (1,141 acres)
  • New Bahri Node, Jharkhand
  • IMC at Gaya, Bihar (1,600 acres)
Hyderabad Nagpur Industrial Corridor (HNIC)

The Hyderabad Nagpur Industrial Corridor (HNIC) have an influence area spread across the states of Telangana and Maharashtra. Strong connectivity through rail, road and airways will help in boosting industrial growth.*

HNIC includes Zaheerabad Node (12,635.14 acres) which is spread across 17 villages of Nyalkal and Jharasangam Mandals in the Sangareddy District of Telangana State. It is in close proximity of NH 65 and is located at a distance of approximately 9 km North of Zaheerabad – a major commercial centre of the district, about 80 km north-west of the state capital Hyderabad, approx 65 km to the Hyderabad Outer Ring Road (ORR) and approx 48 km west of proposed regional ring road. The 1st phase of Zaheerabad Node is proposed to be developed over 3909 acres.*

Hyderabad Warangal Industrial Corridor (HWIC)

The 235 km Hyderabad Warangal Industrial Corridor (HWIC) extends along the NH 163 between Hyderabad and Warangal, the two most important economic hubs of the state of Telangana. HWIC proposed to address the infrastructure bottlenecks through a holistic approach while benefiting from the inherent strength of the region in the state. 

Accordingly, high impact/ market driven nodes (11 Nos.) are proposed to be developed at strategic locations within the corridor to provide transparent and investment friendly regimes. These nodes are proposed to be self-sustained nodes with world-class infrastructure, road and rail connectivity for freight movement to and from ports and logistics hubs, served by reliable power, quality social infrastructure, and provide a globally competitive environment conducive for setting up businesses.

State Government of Telangana has carried out a detailed study and HWIC shall include Hyderabad Pharma City as a priority node which is a “Project of National Significance” and National Investment & Manufacturing Zone (NIMZ). Currently, the first phase of the Hyderabad node will be developed admeasuring an area of 8,000.*

 

Hyderabad Bengaluru Industrial Corridor (HBIC)

The Hyderabad Bengaluru Industrial Corridor (HBIC) will have an influence area spread across three states- Telangana, Andhra Pradesh and Karnataka. HBIC is an extension of Hyderabad Nagpur Industrial Corridor (HNIC) with an objective to connect central parts of the country with southern parts.

The proposed Mega Industrial Hub at Orvakal village at Kurnool district admeasures an area of approximately 4742 acres spread across 3 distinct land parcels located off NH 40, which connects Hyderabad to Chennai via Kurnool, Nandyal, Kadapa and Tirupati.*

The following node has been identified for development in the initial phase:
•    Orvakal Node: Consultants have been appointed for Detailed Master Planning and Preliminary Engineering. Site survey, preparation of base map, technical assessment & land suitability, preparation of preliminary master plan, etc. have been completed by the consultant.

Bengaluru-Mumbai Industrial Corridor (BMIC)

The Bengaluru Mumbai Industrial Corridor (BMIC) is intended to facilitate the development of a well-planned and resource-efficient industrial base served by world-class sustainable connectivity infrastructure, bringing significant benefits in terms of innovation, manufacturing, job creation and resource security. The BMEC will be spread across Karnataka and Maharashtra. 13

Current Status of Project: 14

  • Government of Karnataka and Government of Maharashtra has confirmed availability of land for development of industrial node at Dharwad and Satara respectively.
  • Consultants have been appointed for Detailed Master Planning and Preliminary Engineering for both the nodes.
  • Dharwad node in Karnataka has been identified as the priority node for further implementation.
  • Maharashtra Government has given ‘in-principle approval for the development of Sangli/Solapur node.

Major 2 projects under this are:-

Project development activities underway*

  • Dharwad Node, Karnataka (approx. 6042 acres) 
  • Satara Node, Maharashtra (approx. 12,355 acres) 
Vizag-Chennai Industrial Corridor (VCIC)

Vizag Chennai Industrial Corridor (VCIC) is the first coastal economic corridor in the country. It is part of the East Coast Economic Corridor (ECEC).

VCIC region has one of the largest concentrations of industrial, mineral and urban nodes.

It covers more than 800 km of Andhra Pradesh’s coastline and is aligned with the Golden Quadrilateral. It also plays a critical role in the “Act East Policy” of India which focuses on increasing the integration of the Indian economy with the economies of the Association of the Southeast Asian Nations (ASEAN). 

ADB carried out initial development activities for VCIC and identified the following four nodes for development: 

  1. Visakhapatnam
  2. Chittoor
  3. Donakonda
  4. Machilipatnam

The four nodes identified by ADB are based on the following criteria: 17

  1. Current level of industrial agglomeration
  2. Availability of land for development of new industrial clusters
  3. Proximity to urban centres and seaports
  4. Rail and road connectivity
  5. Availability of power and water.

Current Status of Project: 

  • Asian Development Bank (ADB) approved a loan of USD 625 mn to the Government of Andhra Pradesh (GoAP) for the development of VCIC project.
  • The National Industrial Corridor Development and Implementation Trust (NICDIT) has approved the development of Vishakhapatnam and Chittoor as priority nodes in phase-1 of VCIC.
  • The Government of Andhra Pradesh has awarded seven civil works contracts which are to be met out of ADB financing. The awarded civil works are as given below:
    1. Construction of 1 MLD Common effluent treatment plant, Naidupeta
    2. Augmentation of Industrial area, Naidupeta
    3. Bulk water supply &  summer storage tank, Naidupeta
    4. Samaralakota –Rajanagaram Road
    5. Augmentation of  Sub Stations  in Visakhapatnam  Node
    6. Augmentation of Sub Stations in Chittoor Node
    7. Water Supply distribution network improvement in GVMC area

Major 3 projects under this are:-

Project development activities underway

  • Koparthy Industrial Area, Andhra Pradesh
  • Vishakhapatnam Industrial Area, Andhra Pradesh
  • Chitoor Industrial Area, Andhra Pradesh
Odisha Economic Corridor Economic Corridor (OEC)

Odisha Economic Corridor will be developed as a part of the East Coast Economic Corridor. OEC has been envisaged in the state of Odisha, which links up with the Vishakhapatnam-Chennai Industrial Corridor (VCIC). The Concept Development Plan (CDP) of OEC as part of ECIC has been prepared by Asian Development Bank (ADB).

The Odisha Economic Corridor comprises of 11 industrial clusters spanning approx. 600 km along the National Highway 16, with a total project area of 11366 acres of land. They are classified into two zones namely, Zone 1 GBK (4748 Acres): Gopalpur- Bhubaneswar- Kalinganagar Zone 2 PKDS (6618 Acres): Paradip- Kendrapada- Dhamra- Subernarekhahave been identified for development and project development activities have been initiated.*

Delhi Nagpur Industrial Corridor (DNIC)  

Delhi Nagpur Industrial Corridor (DNIC) will spread along the North-South corridor of dedicated freight corridors (DFC) and on the existing NH network. The DNIC will have an influence area across States of Delhi, Uttar Pradesh, Rajasthan, Madhya Pradesh and Maharashtra. The Perspective Plan works have been initiated.*
Dedicated Freight corridors are being developed by the Ministry of Railways.
Currently, the following DFC’s are in an advanced stage of completion:
1.    Eastern dedicated Freight Corridor (Ludhiana to Dankuni)
2.    Western dedicated Freight corridor (JNPT/Mumbai to Dadri)

Research Reports
  • Invest in the Future: National Industrial Corridor Development Programme
    • Click here to access the Report
  • A smart Investment Destination Beckons: Integrated Industrial Township Greater Noida
  • Aurangabad Industrial City
  • Dholera: A New Era
  • Vikram Udyogpuri Limited (VUL)
Sources

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