India’s rapidly evolving urban landscape is being propelled forward by the strategic development of industrial parks—dynamic hubs that bridge economic growth with smarter urban planning. Through the National Industrial Corridor Development Programme (NICDP), the government has approved 12 new industrial smart cities across India, aligning with major corridors and the Golden Quadrilateral, and backed by significant investment.
These industrial cities are not generic developments: each is tailored toward specific sectors. For example, the city in Palakkad (Kerala) is geared toward botanicals, pharmaceuticals, and hi‑tech industries. Agra and Prayagraj focus on EVs and electronics; Dighi near Mumbai emphasizes port‑led growth; and Gaya aims for industrial clusters around food processing and metal goods.
A core principle of the NICDP is integration: walk‑to‑work design, plug‑and‑play infrastructure, and mixed-use layouts. Residents live in close proximity to workplaces, reducing travel time and environmental impact. Industrial units benefit from turnkey infrastructure—24/7 power, telecom networks, gas, water, and effluent treatment systems—which accelerates operations and enhances competitiveness.
This approach carries multiple benefits:
Economic and employment boosts: forecasts suggest around 1 million direct jobs and up to 3 million indirect jobs, lifting domestic manufacturing and MSME participation.
Ease of doing business: with ready allotment, online e‑land systems, single‑window clearances, and environmental approvals pre‑arranged, investors can scale efficiently.
Sustainable development: smart parks embrace digital transformation (IoT, Industry 4.0), eco‑industrial planning, and minimized carbon footprint aligned with green growth philosophies.
Flagship examples include Aurangabad Industrial City (AURIC)—India’s first integrated industrial smart city developed under the Delhi-Mumbai Industrial Corridor initiative. Spanning 10,000 acres, AURIC blends 60% industrial land with residential and commercial zones, offering underground plug-and-play infrastructure for textiles, food, electronics, and defence firms.
In Kerala, Palakkad Industrial Smart City is moving ahead on nearly 1,710 acres, envisioned as a hub for botanicals, machinery, and pharmaceuticals. With centre‑state SPV governance and alignment with the Kochi‑Bengaluru Industrial Corridor, this project exemplifies regional industrial urbanisation in practice.
Gaya, in Bihar, has gained environmental approval for its Integrated Manufacturing Cluster covering 1,670 acres near Bodh Gaya. Connected to the Eastern Dedicated Freight Corridor, it combines industrial zoning with logistics, utilities, and sustainable water infrastructure—demonstrating inclusive and eco-friendly industrial planning.
The NICDP initiative is fundamentally about pre‑emptive urban planning—developing smart nodes “ahead of demand” to prevent haphazard sprawl, reduce congestion in megacities, and stimulate balanced regional growth.
These industrial smart cities offer exciting analogues to established IT and tech‑park ecosystems—such as Infopark in Kerala, which blends commercial space, residential proximity, and infrastructure efficiency. For businesses and investors seeking insight into Kerala’s successful ICT‑park model, exploring InfoPark offers a valuable view of how integrated planning drives productivity and quality of life.
As India transitions toward sustainable urbanisation, industrial smart cities stand at the intersection of economic expansion, employment generation, and livable urban design. With ready infrastructure, sector-specific planning, and enhanced governance models via SPVs, these projects are redefining how Indian cities can grow—smartly, inclusively, and sustainably.
