Businesses in UP push for land reforms to meet $ 1 trillion economy goal

According to the Indian Industries Association (IIA), fresh projects worth ₹60K cr across sectors, such as food processing, pharmaceuticals, and electronics, are awaiting land allocation in the state

Uttar Pradesh Inc has demanded urgent industrial land reforms to help realise the state’s ambitious $1 trillion economy goal. With industrial-grade land being critical for setting up new factories and plants, the industry has urged the Yogi Adityanath government to expand land availability for investors.

 

According to the Indian Industries Association (IIA), fresh projects worth ₹60,000 crore across sectors, such as food processing, pharmaceuticals, and electronics, are awaiting land allocation in the state.

 

“We have urged the UP government to allow the conversion of leasehold industrial land to freehold across all major industrial development authorities,” said IIA National Vice President Chetan Deo Bhalla.

 

He noted that Uttar Pradesh State Industrial Development Authority (UPSIDA) alone has about 60,000 acres across 156 industrial areas. Converting leasehold to freehold would unlock these parcels, attract private investment, and boost state revenue through conversion fees and levies.

 

 

The state’s Micro, Small, and Medium Enterprises (MSMEs) have long demanded freeholding of leasehold plots. However, successive governments have been reluctant to approve this. Currently, only plots of one hectare or more qualify for conversion—offering little benefit to MSMEs.

 

Several states, including Gujarat, Karnataka, Tamil Nadu, Haryana, West Bengal, Delhi, and Chhattisgarh, have already adopted the leasehold-to-freehold policy.

 

“Such a move would catalyse ‘Ease of Doing Business’ in UP and drive the ‘Make in UP’, and ‘Made in UP’ agendas,” Bhalla added.

 

The IIA has submitted a memorandum to the state government as well as district administrations through its local chapters.

 

Apart from UPSIDA, key authorities include Noida, Greater Noida, Yamuna Expressway Industrial Development Authority, and Uttar Pradesh Expressways Industrial Development Authority.

 

Meanwhile, Chief Secretary Manoj Kumar Singh has directed officials to fast-track approvals and clear procedural bottlenecks in alignment with UP’s trillion-dollar economy vision. He reviewed delayed projects in education, hospitality, logistics, and manufacturing, and directed Invest UP, an investment promotion and facilitation agency, to set up a dedicated wing for project monitoring and issue resolution.