Why in News?
Recently, the Union Cabinet, under the leadership of Prime Minister has approved the establishment of 12 industrial smart cities across 6 major industrial corridors in 10 states under the National Industrial Corridor Development Programme.
- The chosen cities for the industrial projects are in Uttarakhand, Punjab, Maharashtra, Kerala, Uttar Pradesh, Bihar, Telangana, Andhra Pradesh, and Rajasthan.
What is an Industrial Smart City?
- About:
- An Industrial Smart City is an urban area that integrates advanced technologies and data analytics to enhance the efficiency of industrial operations and promote sustainable development.
- These smart industrial cities aim to attract foreign investment, boost domestic manufacturing, and drive employment.
- Objective:
- The development of new industrial cities in India aims to strengthen the country’s position in global value chains by providing investors with ready-to-allot land.
- It aims to integrate advanced urban concepts like ‘plug-and-play’ and ‘walk-to-work’.
- Plug-and-play industrial parks offer ready-to-use infrastructure, enabling businesses to start operations immediately.
- “Walk-to-work” is an urban planning strategy that encourages people to live near their workplaces, reducing car use and promoting walking
- Road Map for Development:
- The cities will be developed under the National Industrial Corridor Development Programme (NICDP).
- NICDP aims to develop advanced industrial cities that can compete with the world’s top manufacturing and investment destinations.
- It is designed to foster a vibrant industrial ecosystem by facilitating investments from both large anchor industries and Micro, Small, and Medium Enterprises (MSMEs).
- The first industrial corridor, the Delhi Mumbai Industrial Corridor, was approved in 2007.
- The programme is implemented by the National Industrial Corridor Development and Implementation Trust (NICDIT) and the National Industrial Corridor Development Corporation Limited (NICDC).
- These industrial nodes will integrate residential and commercial setups, functioning as self-sustaining urban environments.
- The government plans to partner with Invest India (India’s national Investment Promotion & Facilitation Agency) for marketing these projects.
- A Special Purpose Vehicle (SPV) will also be set up to implement the parks, with a 3-year completion timeline, depending on state cooperation.
- The cities will be developed under the National Industrial Corridor Development Programme (NICDP).
What are the Key Features of the Approved Industrial Smart Cities?
- Aligned with National Economic Goals & PM Gati-Shakti National Master Plan:
- The development of these smart cities aligns with the government’s goal of achieving USD 2 trillion in exports by 2030.
- The projects will be aligned with the PM’s GatiShakti National Master Plan, incorporating multi-modal connectivity infrastructure to enable seamless movement of people, goods, and services.
- This infrastructure is crucial for improving logistical efficiency and streamlining supply chains nationwide.
- The cities will be part of a ‘necklace of industrial cities’ along the Golden Quadrilateral, enhancing connectivity and industrial growth.
- Significance:
- These projects are designed to attract Foreign Direct Investment (FDI) from countries like Singapore and Switzerland.
- These cities are expected to generate around 10 lakh direct jobs and up to 30 lakh indirect jobs, with an investment potential of Rs 1.5 lakh crore.
- The cities developed under the NICDP will promote sustainability by integrating ICT-enabled utilities and green technologies to reduce environmental impact, while providing ready-to-allot land parcels to attract domestic and international investors, aiming to strengthen India’s role in global value chains.