Madhya Pradesh would be the first state in India to have a policy aimed at promoting defence manufacturing with an aim to create jobs and industrial infrastructure.
The move comes after the Centre decided to open up defence sector for 49% Foreign Direct Investment (FDI) and promote domestic production of defence equipment.
As of now, the state has only six of 41 ordinance factors across India.
Chief minister Shivraj Singh Chouhan told HT that his government was working on a policy shift, which would set out the state on the path of “rapid” industrialisation.
“We have achieved a peak in agriculture sector, which registered a growth of over 18 % in 2011-12. Industrialisation is the way forward to generate jobs. We intend to give a big push to industrialisation in Madhya Pradesh,” he said.
A senior Madhya Pradesh government official said that they were working on a policy to promote defence production. “The policy would be in place in the next few weeks,” the official said.
Chouhan is travelling to Delhi, Mumbai and other parts of the country to invite investors for a Global Investors Summit between October 8 and 10.
“We are a power surplus state. From 4,834 MW in 2003 the available capacity has increased to 10,231 MW as of now. MP clocked double digit growth rate in 11th plan. We want to exploit this robust foundation to set out on the path of industrialisation,” Chouhan said.
The government has identified Bhopal-Indore, Bhopal-Bina and Jabalpur-Singrauli as new stretches to be developed as industrial corridors.
Skill Development Centres have been set up at 113 blocks and 200 more are coming up.
Industrialisation at a scale envisaged by the state government may throw up some challenges in land acquisition, but the chief minister is confident of overcoming any hurdle.
“We have a fair land acquisition policy. Even the Centre is mulling over some changes. It will not be a hurdle,” Chouhan added.