Union Cabinet Approves Rs 33,660 Crore BHAVYA Scheme for 100 Parks

The Union Cabinet has approved the Bharat Audyogik Vikas Yojana (BHAVYA), a Rs 33,660 crore major sector initiative desired at developing 100 plug-and-play industrial parks across India by 2031-32.

This project seeks to transform India into a global manufacturing hub, capitalizing on the country’s policy certainty, skilled workforce, and growing design capabilities, according to Ashwini Vaishnaw, Union Minister of Information and Broadcasting.

The BHAVYA initiative is being directed through the National Industrial Corridor Development Programme (NICDC) to serve as a nodal agency and partner with state governments and Central Public Sector Enterprises (CPSUs), utilizing Special Purpose Vehicles (SPVs).

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The project will be selected via a "challenge mode" that rewards states demonstrating a strong commitment to industrial reforms and business ease.

The scheme requires a minimum of 100 acres of “unencumbered land” in general category states and 25 acres for the Northeastern and hilly states. Additionally, brownfield projects are eligible for upgrades. The government will offer up to Rs 1 crore per acre to support core infrastructure like utilities, ICT systems, testing labs, and social infrastructure such as worker housing.

It is anticipated that BHAVYA will create 15 lakh direct jobs, with a large number of significant opportunities in many other industries such as logistics and service providers.

The government intends to create a more streamlined industrial environment by having 34,000 acres available to businesses defining production capability prior to any investments being made as well as expediting the time period from expressing your intent to invest to producing a product through these land use agreements.