Industrial Corridor refers to a set of infrastructural spending allocated to a specific geographical area, with the aim of stimulating industrial development. An industrial corridor aims to create an area with a cluster of manufacturing or other industries.
The major Indian Industrial Corridors are –
- Delhi-Mumbai Industrial Corridor (DMIC);
- Bengaluru- Mumbai Economic Corridor (BMEC);
- Chennai-Bengaluru Industrial Corridor (CBIC);
- Vizag-Chennai Industrial Corridor (VCIC) and
- Amritsar-Kolkata Industrial Corridor (AKIC)
The Government of India has planned and launched five industrial corridor projects under the Make in India Campaign in the Union Budget, aiming to provide an impetus to industrialization and planned urbanization.
In each of these corridors, manufacturing plays a pivotal role in driving the economy. Furthermore, these projects are deemed crucial for increasing the share of manufacturing in India’s Gross Domestic Product. Additionally, the establishment of NICDA aims to converge and integrate the development of all industrial corridors.
Delhi-Mumbai Industrial Corridor (DMIC)
In December 2006, the Government of India and, subsequently, the Government of Japan signed an MOU, paving the way for the launch of the DMIC project.
Established in 2008, DMIC Development Corporation (DMICDC) serves as the implementing agency for the project.
The Government of India holds 49% equity in DMICDC, while JBIC holds 26% equity. Government financial institutions own the remaining share.
The Japanese Government had also announced financial support for DMIC project. It is to an extent of USD 4.5 Billion in the first phase for the projects with Japanese participation.
States Covered by DMIC
Initially, the development focused on eight nodes/cities in the six DMIC states (expanding to 24 later). The State Government(s) claimed to have completed and accepted the master plans for all the nodes. However, the Dadri-Noida-Ghaziabad Investment Region in Uttar Pradesh wasn’t completed.
Objectives of DMIC
DMIC: A boon
Starters’ CFO can assist you in various ways when starting a business in Delhi and other areas. Additionally, they provide proper maintenance services with it.
DMIC: A List of Projects
DMICDC covers a variety of projects.
Additionally, some of the other Indian Industrial Corridors for which the plan is yet to be worked out or is in process include:
Bengaluru- Mumbai Economic Corridor (BMEC)
The Bengaluru-Mumbai Economic Corridor (BMEC), spanning across the states of Maharashtra and Karnataka, is a proposed economic corridor in India that aims to connect Mumbai and Bangalore. The Indian government envisions generating an investment of over ₹3 lakh crore (US$45 billion) from this corridor, with expectations of creating 2.5 million jobs.
States Covered by BMEC
This project is currently in the planning stage.
Chennai-Bengaluru Industrial Corridor(CBIC)
The mega infrastructural plan of Chennai – Bengaluru Industrial Corridor aims to come up along Chennai, Sriperumbudur, Ponnapanthangal, Ranipet, Chittoor, Bangarupalem, Palamaner, Bangarpet, Hoskote and Bangalore. Furthermore, it is expected to boost commerce between south India and East Asia by enabling quicker movement of goods from these places to the Chennai and Ennore ports.
States covered by CBIC
Vizag-Chennai Industrial Corridor (VCIC)
The Vizag-Chennai Industrial Corridor identifies four nodes in Andhra Pradesh for development: Vishakhapatnam, Kakinada, Gannavaram-Kankipadu, and Srikalahasti-Yerpedu.
Moreover, experts anticipate that this new industrial corridor will boost growth by improving existing investments in world-class transport networks, infrastructure, and industrial and urban clusters.
Greater connectivity and economic integration between South Asia and the rest of Asia is likely to contribute significantly to development and foster regional cooperation as well. VCIC will create employment opportunities that alleviate poverty and reduce inequality.
States covered by VCIC
Amritsar-Kolkata Industrial Corridor (AKIC)
The Amritsar Kolkata Industrial Corridor (AKIC) project revolves around the Eastern Dedicated Freight Corridor (EDFC), and, consequently, the existing highway systems on this route.
The project aims to facilitate the development of a well-planned and resource-efficient industrial base. Additionally, it will be served by world-class sustainable infrastructure, bringing significant benefits in terms of innovation, manufacturing, job creation, and resource security to states within its influence region.
States Covered By AKIC
Hence, Industrial Corridors in India can serve as a very effective way to boost economic growth in the nation.
