Across the world, the stride of migration from rural to urban areas is increasing. By 2050, about 70 per cent of the population will be living in cities, and India is no exception. India needs about 500 new cities (Mega Cities) to accommodate the influx. The new megacities are estimated to generate 80% of economic growth, with potential to apply modern technologies and infrastructure, promoting better use of scarce resources. Recently India imported $300 billion of capital and consumer goods, and if 80 per cent of it is produced from India, it will create massive job opportunities and investment.

The different sectors of an economy are inter-dependent on each other. Industrial corridors, recognizing this interdependence, offer effective integration between industry and infrastructure, leading to overall economic and social development. An industrial corridor is basically a corridor comprising of multi-modal transport services that would pass through the states as main artery. Besides allocating a package of infrastructure spending to a specific geographical area, industrial corridors help in flourishing industrial development by creating manufacturing clusters and ancillary industries. Besides smart cities, these corridors will be well-connected by road, rail, air or sea. Industrial corridors will help attract talent in large numbers and achieve 100 million job targets easily. Industrial corridors offer effective integration between industry and infrastructure, leading to overall economic and social development.

Industrial corridors constitute world-class infrastructure, such as:

·         High-speed transportation network – rail and road

·         Ports with state-of-the-art cargo handling equipment

·         Modern airports

·         Special economic regions/industrial areas

·         Logistic parks/transhipment hubs

·         Knowledge parks focused on catering to industrial needs

·         Complementary infrastructure such as townships/real estate

·         Other urban infrastructure along with enabling policy framework

Five industrial corridor projects have been identified, planned and launched by the Government of India. These corridors are spread across India, with strategic focus on inclusive development to provide a boost to industrialization and planned urbanization. Manufacturing is a key economic driver in each of these projects. These projects are expected to play a critical role in raising the share of contribution of the manufacturing sector from approximately 16% to 25% by 2025. Smart cities are being developed along these corridors. These cities, with state-of-the art infrastructure, will house the new workforce that is required to power manufacturing, in turn leading to planned urbanization.




1.     Delhi-Mumbai Industrial Corridor (DMIC) covers Uttar Pradesh, Haryana, Rajasthan, Madhya Pradesh, Gujarat and Maharashtra. The corridor covers an overall length of 1483 km between the political capital, Delhi, and the business capital, Mumbai, of India.

2.     Chennai-Bengaluru Industrial Corridor (CBIC) covers Tamil Nadu, Andhra Pradesh and Karnataka. It is being funded by the Japan International Cooperation Agency (JICA).

3.     Bengaluru-Mumbai Economic Corridor (BMEC) covers Maharashtra and Karnataka. It is being developed with the help of Britain (UK).

4.     Amritsar-Kolkata Industrial Corridor (AKIC) covers Punjab, Haryana, Uttarakhand, Uttar Pradesh, Bihar, Jharkhand and West Bengal. The Project extends from Amritsar (Punjab) to Dankuni (West Bengal) for a length of 1839 kms. The Eastern Dedicated Freight Corridor is the backbone of this economic corridor.

5.     East Coast Economic Corridor (ECEC) covers West Bengal, Odisha, Andhra Pradesh and Tamil Nadu. Vizag to Chennai segment of this Corridor has been taken as phase-1. Vizag-Chennai Industrial Corridor (VCIC) is the first coastal economic corridor in the country. It covers more than 800 km of Andhra Pradesh’s coastline and is aligned with the Golden Quadrilateral. It also plays a critical role in the “Act East Policy” of India.


Significance of Industrial corridor:

Economic Significance:

·         Avenues for Exports: The Industrial Corridors are likely to lower the cost of logistics thereby increasing the efficiency of industrial production structure. Such an efficiency lowers the cost of production which makes the Indian made products more competitive in international markets.

·         Job Opportunities: Development of Industrial Corridors would attract investments for the development of Industries which is likely to create more jobs in the market.

·         These corridors would provide necessary logistics infrastructure needed to reap economies of scale, thus enabling firms to focus on their areas of core competence.

·         Industrial corridor provides opportunities for private sector investment in the provision of various infrastructure projects associated with the exploitation industrial opportunity.

·         Apart from the development of infrastructure, long-term advantages to business and industry along the corridor include benefits arising from smooth access to the industrial production units, decreased transportation and communications costs, improved delivery time and reduction in inventory cost.

Environmental Significance: The establishment of Industrial Units in a scattered manner along the industrial corridor across the length of the state will prevent concentration of industries in one particular location which exploited the environment beyond its carrying capacity and caused environmental degradation.

Socio-Economic Significance: The cascading effect of industrial corridors in socioeconomic terms are many such as setting up of industrial townships, educational institutions, hospitals. These will further raise the standards of human development.

Industrial corridors will help India’s efforts to lead the world in the fourth wave of industrial revolution. Effective execution of this plan could make India take a major leap in the race of development.