UP Govt Clears Rs 500 Crore Investment For Two Manufacturing Clusters
March 28, 2026
KNN India
UP Govt Clears Rs 500 Crore Investment For Two Manufacturing Clusters Lucknow, Mar 28 (KNN) Uttar Pradesh is stepping up efforts to position itself as a manufacturing hub by leveraging its extensive micro, small and medium enterprises (MSME) base. The government is working to strengthen industrial clusters, link small enterprises with larger supply chains, and showcase visible economic gains.
As part of these efforts, approvals worth nearly Rs 500 crore have been granted for two manufacturing clusters—Rs 245 crore for an Integrated Manufacturing Logistic Hub in Sambhal and Rs 213 crore for a cluster in Meerut, both being developed along the upcoming Ganga Expressway, according to The Indian Express. These approvals form part of a larger plan to develop industrial infrastructure along high-speed transport corridors, improving connectivity and reducing logistics costs. IMLC Plan Targets 27 Clusters Across State At the core of the strategy is the Integrated Manufacturing and Logistics Clusters (IMLCs) initiative, conceptualised last year. The plan proposes 27 clusters spread across more than 12,700 acres in 26 districts, aligned with key expressways such as the Purvanchal, Bundelkhand, Agra-Lucknow, Gorakhpur Link, and Ganga corridors. In the first phase, 12 clusters are being prioritised in districts including Meerut, Sambhal, Shahjahanpur, Hardoi and Unnao. Officials said these locations were identified based on industry demand assessed through business-to-business engagements in India and overseas markets. Land acquisition is reported to be largely complete, with around 85 per cent of the identified area already secured. Infrastructure development—including internal roads, substations and trunk utilities—is being undertaken simultaneously to ensure the sites are investment-ready. Anchor Investors to Drive Industrial Ecosystems The state is also focusing on attracting anchor investors to catalyse industrial ecosystems within each cluster. According to officials, the presence of large companies is expected to create a multiplier effect by drawing in ancillary MSMEs and supply chain partners. Companies such as CANPACK and United Breweries have already shown interest, alongside logistics players. In some cases, bulk land allotments of up to 200–300 acres are being offered to anchor units. Integrated Approach to Boost Growth and Jobs The corridor-based model seeks to integrate manufacturing with logistics by directly linking industrial clusters to expressway service roads. This is expected to streamline freight movement, lower costs and improve efficiency for businesses. Officials said the approach will enable parallel development of multiple nodes, allowing the state to respond quickly to investor demand while sustaining momentum across regions. (KNN Bureau)
KNN India
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