Industrial Corridors

Industrial corridors are revolutionary projects designed to bolster the economy by creating a seamless integration of infrastructure and industry. They form a backbone that supports various sectors, leading to holistic economic and social development across the country. India’s industrial corridors represent a coordinated effort to enhance productivity, boost manufacturing, and create an investment-friendly environment with world-class infrastructure. Here’s an in-depth look at India’s approach to industrial corridor development, which spans high-speed transport networks, modern ports and airports, special economic zones, and smart cities.

What is an Industrial Corridor?

An industrial corridor is a networked region connecting major industrial areas, designed to optimize the supply chain by streamlining transportation, infrastructure, and services. These corridors encourage efficient connectivity between urban centers and industries, leading to lower logistic costs, reduced travel times, and an overall boost in industrial activity. From high-speed railways to state-of-the-art ports, these corridors help industries function efficiently by providing a comprehensive network.

Industrial Corridors

Major Industrial Corridors of India

The Government of India has approved the development of 11 major industrial corridors, spread across four phases. These corridors are strategically spread across the country to foster inclusive growth and drive India toward a globally competitive industrial landscape.

  1. Delhi Mumbai Industrial Corridor (DMIC):
    Covering 1,504 km, DMIC is one of India’s largest infrastructure projects, connecting Delhi and Mumbai. With funding from the Indian government and Japanese investments, DMIC aims to create modern industrial townships and logistic hubs to position India as a manufacturing powerhouse. Cities like Shendra-Bidkin in Maharashtra and Dholera in Gujarat are developing as key industrial areas under this corridor.
  2. Chennai Bengaluru Industrial Corridor (CBIC):
    CBIC focuses on enhancing industrial growth in Tamil Nadu, Karnataka, and Andhra Pradesh. It enables efficient logistics between Chennai and Bengaluru, helping industries cut down on travel costs and delivery times. Priority projects have been identified to address infrastructure bottlenecks, encouraging private investment and boosting regional employment.
  3. Amritsar Kolkata Industrial Corridor (AKIC):
    Spanning from Amritsar to Kolkata, this corridor is set to drive industrial growth in northern and eastern India. AKIC includes seven manufacturing clusters that span states like Punjab, Haryana, and West Bengal. Projects are ongoing in regions such as Prag-Khurpia Farms in Uttarakhand and Raghunathpur in West Bengal, where land is being allocated for future development.
  4. Hyderabad Nagpur and Hyderabad Bengaluru Industrial Corridors:
    These corridors connect Telangana, Maharashtra, Andhra Pradesh, and Karnataka, fostering regional industrial hubs in Hyderabad, Nagpur, and Bengaluru. The Hyderabad Pharma City and National Investment & Manufacturing Zone (NIMZ) are major initiatives under these corridors, focusing on sectors like pharmaceuticals and manufacturing.
  5. Vizag Chennai Industrial Corridor (VCIC):
    As India’s first coastal corridor, VCIC is part of the East Coast Economic Corridor (ECEC), promoting industrial development along Andhra Pradesh’s coastline. Projects under VCIC include nodes at Visakhapatnam, Chittoor, and Machilipatnam. This corridor plays a key role in India’s “Act East Policy,” aiming to strengthen trade with ASEAN countries.
  6. Odisha Economic Corridor (OEC):
    Part of the ECEC, the Odisha Economic Corridor is envisaged to support industrial clusters along the National Highway 16, covering strategic zones from Bhubaneswar to Paradip. With support from the Asian Development Bank, this corridor aims to leverage Odisha’s mineral resources to attract investments.
  7. Delhi Nagpur Industrial Corridor (DNIC):
    The DNIC, extending along the North-South corridor, includes states like Uttar Pradesh, Rajasthan, and Maharashtra. This project will enhance connectivity through dedicated freight corridors, enabling a smooth flow of goods and services across major economic zones.

Key Features of India’s Industrial Corridors

Industrial corridors are more than just transport routes; they’re complex networks of high-value infrastructure. Here are the main components:

  • High-speed transportation networks (rail and road) that connect critical nodes for efficient freight and passenger movement.
  • Modern ports and airports equipped with state-of-the-art cargo handling facilities.
  • Logistic hubs and knowledge parks designed to support industrial needs and ease supply chain bottlenecks.
  • Special economic zones (SEZs) that provide businesses with tax breaks and incentives.
  • Smart cities that will house the workforce driving these industrial hubs, complete with world-class amenities and sustainable infrastructure.

The Role of PM Gati Shakti in Industrial Corridors

The PM Gati Shakti – National Master Plan provides a multi-modal connectivity framework essential for these corridors. By integrating railways, highways, ports, and airports, this initiative aims to enhance India’s logistics ecosystem, resulting in more efficient industrial operations. Industrial corridors benefit immensely from this plan, ensuring seamless connectivity and reducing transportation time and costs, all while boosting employment and regional development.

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Attracting Global Investments

Industrial corridors in India aim to attract foreign investments, especially from manufacturing giants. For instance, Dholera in Gujarat and Shendra-Bidkin in Maharashtra have been developed with ‘Plug n Play’ infrastructure, drawing investments from countries like Japan, South Korea, and the UK. The availability of ready-to-use facilities for businesses is a big draw, providing significant ease in setting up operations.

Impact on Employment and Economic Growth

As more companies set up operations along these corridors, employment opportunities surge, creating direct and indirect jobs. With robust infrastructure and government incentives, these corridors drive regional economies, increase exports, and place India firmly on the global map as an industrial hub.

Conclusion

India’s industrial corridors signify a visionary approach to economic growth. These corridors create integrated networks that streamline industrial processes, foster regional development, and enhance India’s global manufacturing competitiveness. From efficient logistics to sustainable urbanization, they embody India’s ambitions for a self-reliant and globally competitive economy. As more corridors develop, India will be better positioned to tap into global value chains, strengthening its role as a critical player in the global economy.

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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)
    • Click here to access the Brochure
    • Click here to access the Report

Sources