Government Unveils Plan to Industrialize North India


 In a strategic move to accelerate industrialization in North India, the Prime Minister’s Office (PMO) is leading efforts to bridge the economic gap between northern and southern states. The initiative focuses on infrastructure development, investment incentives, and policy support to attract manufacturing industries to underdeveloped northern regions.
The Ministry of Micro, Small, and Medium Enterprises (MSME) and other key government departments are conducting a detailed study to shape policies that will drive this transformation.


Unnati-2024: A ₹10,037 Crore Industrial Growth Plan
This initiative aligns with the Uttar Poorva Transformative Industrialization Scheme (Unnati-2024), a ₹10,037 crore plan designed to run for 10 years under the Department for Promotion of Industry and Internal Trade (DPIIT). The Union Ministry of Commerce and Industry is already working to modernize manufacturing hubs and establish district-wise production clusters, particularly benefiting small and medium enterprises (SMEs).


Unlocking Northern India's Industrial Potential
The plan targets key northern states, including Jammu & Kashmir, Himachal Pradesh, Punjab, Haryana, Uttar Pradesh, Bihar, Jharkhand, Odisha, and West Bengal. These regions are seen as growth centers for industries such as automobile manufacturing, textiles, and food processing.
Experts suggest that Kanpur, once known as the ‘Manchester of the East,’ and Jammu & Kashmir’s handicraft and horticulture sectors could become new-age manufacturing hubs. Additionally, the government is offering incentives to boost export-oriented production and attract foreign investments.


Addressing Economic Disparities
Southern states like Karnataka, Kerala, and Tamil Nadu have raised concerns about regional economic imbalances in federal funding. However, experts argue that nationwide industrial growth benefits all states.
For example, Jharkhand’s mineral-based industries have fueled economic activity across multiple states. Similarly, a revitalized North Indian industrial sector could enhance the national economy.


Towards a Manufacturing Powerhouse
Industrial growth in India has traditionally followed migration patterns, with some regions progressing due to an abundant labor supply. The government now aims to establish industrial hubs that reduce dependence on external supply chains, cutting logistical costs and increasing business profitability.
Economic analysts predict that this policy shift could transform North India into a major manufacturing powerhouse, unlocking vast opportunities across multiple sectors.