The National Democratic Alliance government has announced a slew of measures that boost the manufacturing sector in the Indian economy. The measures include setting up of smart industrial cities across the country, which the government expects would attract foreign investment from major global manufacturers, who are pursuing the new China plus one policy. The 12 smart industrial cities will be set up by the Central government with an estimated investment of Rs 28,602 crores.
The projects will span across 10 states and have been strategically planned across six major corridors. According to the government, the industrial smart cities will focus on manufacturing-related sectors and are expected to attract investments worth Rs 1.52 lakh crores.
The government’s plans are aimed at increasing the share of India’s manufacturing sector from the current 17 per cent to 25 per cent. While the intent of the government is good and could address the issue of unemployment, the concept of industrial cities is very old. Cities like Manchester in Britain, Ruhrgebiet in Germany or Shenzhen in China, or our own industrial estates followed this concept to boost industrialisation.
Indian leaders too have been trying to industrialise the country even before Independence. However, the share of the manufacturing sector in the country’s economy remained 17 per cent even after 77 years of self-rule. If providing free land could be a solution for industrialisation, why did it become elusive for t.
