Cabinet clears ₹33,660 cr BHAVYA scheme to set up 100 industrial parks
The Cabinet approved the ₹33,660 crore BHAVYA scheme to develop 100 industrial parks with Centre-state and private participation, aiming to boost manufacturing, investment and jobs
 "manufacturing sector, economy")
BHAVYA is expected to generate both direct and indirect employment across manufacturing, logistics and services, the Cabinet said.
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The Union Cabinet on Wednesday approved the Bharat Audyogik Vikas Yojana (BHAVYA) with an outlay of ₹33,660 crore to boost manufacturing and investment across the country.
The scheme aims to support the development of 100 industrial parks and will be implemented by the Centre in partnership with state governments and private sector players, the Cabinet said.
Under the scheme, parks ranging from 100 to 1,000 acres will be developed to provide ready infrastructure and pre-approved land to help firms move quickly from planning to production. The Cabinet said that this would reduce entry barriers for investors and improve the ease of doing business.
Financial assistance of up to ₹1 crore per acre will also be provided for key infrastructure, including:
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- Internal roads, underground utilities and drainage
- Common treatment facilities and administrative systems
- Ready-built factory sheds and warehousing
- Testing laboratories and built-to-suit units
- Worker housing and related amenities
Apart from that, support of up to 25 per cent of the project cost will also be extended for external infrastructure to improve connectivity, the Cabinet said.
How will the projects get selected for BHAVYA scheme?
Projects will be selected through a challenge-based process which will focus on prioritising "reform-oriented" and "investment-ready" proposals.
The scheme is expected to generate both direct and indirect employment across manufacturing, logistics and services. It will be rolled out across all states and Union Territories, with a focus on cluster-based development to strengthen supply chains. It targets a wide range of stakeholders, including manufacturing firms, MSMEs, startups and global investors, as well as workers, logistics providers and local communities, the Cabinet said.
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Topics : Jobs in Manufacturing Industrial policy Industrial park Manufacturing sector Union Cabinet BS Web Reports
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First Published: Mar 18 2026 | 4:51 PM IST