The Union Cabinet has approved the BHAVYA (Bharatiya Audyogik Vikas Yojana) scheme with a budgetary outlay of ₹33,600 crore to develop modern, ready-to-use industrial infrastructure across India and accelerate the nation’s ambition to become a global manufacturing hub.
About the BHAVYA scheme
BHAVYA aims to establish about 100 plug-and-play industrial parks nationwide that provide pre-built factory sheds, testing laboratories, warehousing, and strong multimodal connectivity. By supplying ready infrastructure and necessary approvals, these parks seek to shorten the time between investment decisions and production start-up.
Each park is designed as an integrated industrial ecosystem, offering worker housing, basic civic amenities and utilities to support labour-intensive and technology-driven units alike. The model is intended to reduce risks linked to land acquisition and construction delays, particularly for manufacturing firms, MSMEs and startups.
Key features and benefits
The plug-and-play approach removes several conventional barriers to industrialisation by providing turnkey facilities to investors. Parks under BHAVYA will be of varying sizes to accommodate large manufacturers as well as smaller enterprises, and will be supported by central funding for core infrastructure and improved last-mile connectivity.
Administratively, the scheme intends to streamline clearances through simplified approval processes, which policymakers expect will make the parks more attractive to both domestic and foreign investors. A pronounced emphasis on sustainability means parks will incorporate green energy, efficient utility systems and waste-management practices to meet environmental standards and long-term operational efficiency.
Economic impact and outlook
Officials project that BHAVYA will generate substantial employment opportunities across skilled and unskilled segments, strengthen local supply chains and bolster export competitiveness by concentrating manufacturing activities within efficient clusters.
For MSMEs and startups, the availability of plug-and-play facilities is expected to lower the cost and time of market entry, fostering entrepreneurship and innovation. If implemented effectively with robust governance and private-sector engagement, the scheme could materially enhance India’s manufacturing ecosystem and attract sustained domestic and international investment.
