Cabinet Approves ₹33660 Crore BHAVYA Scheme to Develop 100 Plug-and-Play Industrial Parks
The scheme, cleared under the leadership of Prime Minister Narendra Modi, seeks to create world-class industrial infrastructure and position India as a globally competitive manufacturing hub.
Mega initiative aims to boost manufacturing, attract investment and create jobs across states
New Delhi: The Union Cabinet has approved the Bharat Audyogik Vikas Yojna (BHAVYA) with an outlay of ₹33,660 crore, aimed at developing 100 plug-and-play industrial parks across the country to accelerate manufacturing-led growth and industrialisation.
The scheme, cleared under the leadership of Prime Minister Narendra Modi, seeks to create world-class industrial infrastructure and position India as a globally competitive manufacturing hub.
Plug-and-play model to transform industrial development
BHAVYA introduces a plug-and-play industrial ecosystem, where land, infrastructure and approvals are pre-arranged, enabling industries to move quickly from investment intent to production.
The parks will feature pre-approved land parcels, ready infrastructure and integrated services, significantly reducing entry barriers for investors and improving ease of doing business.
Industrial parks under the scheme will range between 100 and 1,000 acres, with financial support of up to ₹1 crore per acre for infrastructure development.
Comprehensive infrastructure support
The scheme provides support across three major infrastructure categories:
Core infrastructure such as internal roads, underground utilities, drainage systems, ICT networks and administrative facilities
Value-added infrastructure including ready-built factory sheds, built-to-suit units, testing laboratories and warehousing
Social infrastructure such as worker housing and associated amenities
Additionally, external infrastructure support of up to 25% of project cost will be provided to ensure seamless connectivity with transport and logistics networks.
Competitive project selection and state participation
Projects will be selected through a challenge-based mechanism, ensuring that only high-quality, investment-ready proposals with strong reform credentials are approved.
The scheme will be implemented in partnership with state governments and private sector players, building on the experience of industrial smart cities developed under the national industrial corridor development programme (NICDP).
Focus on sustainability and future-ready infrastructure
BHAVYA parks will be aligned with PM GatiShakti principles, enabling multimodal connectivity and efficient logistics.
The parks will incorporate green energy solutions, sustainable resource use and integrated underground utility corridors, creating a “no-dig” environment for efficient maintenance and uninterrupted operations.
Driving jobs, investment and regional growth
The government expects the scheme to generate large-scale employment opportunities, both direct and indirect, across manufacturing, logistics and services sectors.
By promoting cluster-based development and co-location of industries, the initiative aims to strengthen domestic supply chains, boost exports and drive regional industrialisation.
Primary beneficiaries include manufacturing units, MSMEs, startups and global investors, while secondary benefits will extend to workers, logistics providers and local communities.
Strengthening India’s industrial ecosystem
The BHAVYA scheme will be anchored by the National Industrial Corridor Development Corporation (NICDC), which is currently implementing 20 industrial projects across 13 states.
Officials said the initiative represents a significant step towards building a resilient, inclusive and globally competitive manufacturing ecosystem, aligned with the vision of Atmanirbhar Bharat and Viksit Bharat.
The approval of BHAVYA marks one of the largest recent interventions in industrial infrastructure, aimed at accelerating India’s transition into a major global manufacturing destination.
