The government has approved a Rs 28,600 crore package to set up 12 industrial parks, aiming to create a “golden quadrilateral” of smart industrial cities
The policy targets attracting Rs 1.5 trillion in investment by collaborating with state govts and the private sector to develop “plug-and-play” integrated industrial zones
Past efforts like SEZs faced limited success, with only a third of exports coming from SEZs and much of the investment focused on IT services rather than manufacturing
The new policy seeks to overcome hurdles like land acquisition and logistics by using pre-acquired land and aligning parks with industrial and freight corridors
To match China’s success, the parks need to offer global economies of scale. India’s SEZs are much smaller than China’s, and robust social infrastructure will be needed
The policy is an upgraded attempt to attract investment, but questions remain on its ability to overcome past challenges and transform India’s industrial landscape