Cabinet Approves ‘Bharat Audyogik Vikas Yojna (BHAVYA)’

March 18, 2026: The Union Cabinet has approved the Bharat Audyogik Vikas Yojana (BHAVYA) with a total outlay of ₹33,660 crore, aimed at developing 100 plug-and-play industrial parks across the country.

The scheme seeks to create world-class industrial infrastructure to unlock India’s manufacturing potential and accelerate economic growth. It builds upon the success of industrial smart cities developed under the National Industrial Corridor Development Programme (NICDP).

Key Features of BHAVYA:

• Plug-and-Play Ecosystem: The scheme will offer pre-approved land, ready infrastructure, and integrated services, enabling industries to transition quickly from investment intent to production.
• Wide Coverage: Industrial parks ranging from 100 to 1000 acres will be developed across all States and Union Territories in partnership with state governments and private players.
• Financial Assistance: Support of up to ₹1 crore per acre will be provided for:
  • Core infrastructure: Internal roads, underground utilities, drainage, common treatment facilities, ICT systems, and administrative setups
  • Value-added infrastructure: Ready-built factory sheds, built-to-suit units, testing labs, warehousing
  • Social infrastructure: Worker housing and related amenities
• External Infrastructure Support: Additional funding of up to 25% of project cost will be provided to ensure seamless connectivity with external networks such as roads, rail, and logistics hubs.

Focus on Sustainability: The industrial parks will be designed as futuristic and sustainable ecosystems, integrating modern infrastructure with environmental considerations.

Expected Impact: BHAVYA is expected to:

• Generate large-scale direct and indirect employment
• Attract significant domestic and global investments
• Strengthen manufacturing, logistics, and services sectors
• Accelerate industrial growth across regions

Source: PIB