The Department for Promotion of Industry and Internal Trade (DPIIT), under the Ministry of Commerce and Industry, has released the operational guidelines for the implementation of the BHAVYA Scheme, a major Central Sector initiative aimed at developing investment-ready, world-class industrial parks across India.
The BHAVYA Scheme has been launched to strengthen India’s manufacturing ecosystem through the creation of integrated industrial infrastructure aligned with flagship initiatives such as Make in India and PM Gati Shakti. The scheme is expected to play a crucial role in positioning India as a globally competitive manufacturing and investment destination.
₹33,660 Crore Allocation for 100 Industrial Parks
Under the scheme, 100 industrial parks will be developed over a six-year period from FY 2026-27 to FY 2031-32 with a total financial outlay of approximately ₹33,660 crore.
In the first phase, up to 50 industrial parks will be selected through a challenge-based competitive process. The newly released guidelines establish a comprehensive framework covering eligibility criteria, project selection, funding mechanisms, governance structures, monitoring systems, and implementation procedures.
Focus on Investment-Ready Industrial Infrastructure
The primary objective of the BHAVYA Scheme is to create investment-ready industrial ecosystems equipped with:
- Plug-and-play industrial infrastructure
- Multimodal logistics connectivity
- Reliable power and utility systems
- Worker housing and support facilities
- Digital governance platforms
- Sustainable and environmentally friendly infrastructure
These features are designed to attract domestic and global manufacturing investments while enhancing ease of doing business.
Greenfield and Brownfield Industrial Parks Eligible
The scheme allows for the development of both greenfield and eligible brownfield industrial parks.
Land requirements under the scheme include:
- Minimum 100 acres for non-hilly states
- Minimum 25 acres for hilly states, Northeastern states, Union Territories, and smaller states
- Consideration of larger industrial parks up to 1,000 acres
Competitive Selection Based on Infrastructure and Connectivity
Project proposals will be assessed through a transparent, challenge-based evaluation framework focusing on:
- Multimodal transport connectivity
- Site readiness and suitability
- Quality of industrial infrastructure
- Industrial ecosystem strength
- Policy facilitation measures
- Digital governance readiness
- Long-term sustainability standards
Infrastructure quality assessments will cover underground utilities, water and waste management systems, common effluent treatment plants, renewable energy infrastructure, worker housing, testing laboratories, skill development centers, and digital single-window platforms.
SPV-Based Development Model
Projects under the BHAVYA Scheme will be implemented through Special Purpose Vehicles (SPVs) incorporated under the Companies Act, 2013.
The SPVs will oversee:
- Project planning and development
- Infrastructure creation
- Investor facilitation
- Operations and management
- Long-term maintenance of assets
Financial assistance will be provided in the form of equity contributions linked to land value transferred to the SPV and achievement of predefined project milestones.
NICDC Appointed as Project Management Agency
The National Industrial Corridor Development Corporation (NICDC) has been designated as the Project Management Agency (PMA) for overseeing implementation and monitoring of the scheme.
The guidelines also encourage participation from private developers through project-specific SPVs supported by clearly defined governance, transparency, and accountability mechanisms.
Technology-Driven Monitoring and Transparency
To ensure efficient implementation, the BHAVYA Scheme incorporates:
- GIS-based monitoring systems
- Periodic progress reporting
- Independent audit mechanisms
- Oversight by the National Level Steering Committee chaired by the Secretary, DPIIT
The scheme also promotes convergence with Central and State Government initiatives related to logistics, renewable energy, skilling, sustainability, utility infrastructure, and industrial development.
Key Highlights of the BHAVYA Scheme
- ₹33,660 crore total financial outlay
- 100 industrial parks to be developed by 2031-32
- Up to 50 parks in the first phase
- Support for both greenfield and brownfield projects
- Minimum land requirement of 100 acres (25 acres for special category regions)
- Plug-and-play industrial infrastructure
- Multimodal logistics and transport connectivity
- Digital governance and single-window systems
- Worker housing and skill development facilities
- NICDC appointed as Project Management Agency
- GIS-based monitoring and transparency mechanisms
