Delhi-Mumbai industrial corridor gets Japan’s push
The ambitious Delhi-Mumbai Industrial Corridor (DMIC) has received major boost with India and Japan inking an agreement to set up a project development fund.
The initial size of the Fund will be Rs 1,000 Crore (about $212 milion). Both the Japanese and Indian governments contribute equally.
The fund will initially finance the preparation of overall development and feasibility studies for the 1483 km DMIC.
The corridor would include six mega investment regions of 200 square kilometers each and will run through seven states – Delhi, Uttar Pradesh, Haryana, Rajasthan, Gujarat, Maharashtra and Madhya Pradesh.
Each investment region would have a combination of production units, public utilities, logistics, environmental protection facilities, residential areas, social infrastructure and administrative services.
The first phase of the project is likely to be completed by 2012 with an estimated $90 billion ( Rs 4,23,000 crore) to be invested to develop infrastructure in the investment regions.
An official said the government would invite bids soon.
“This is the right time to invite bids. The sentiment is positive domestically as well as internationally,” said the official.
“The project is almost mapped on paper. Perspective plans are being firmed up.”
The six specifically delineated investment regions planned for manufacturing facilities for domestic and export led production along with associated services and infrastructure.
The minimum processing area in these regions will be about 40 per cent of the total designated area, which may or may not be contiguous.
In addition to the investment regions, the DMIC will also have six industrial areas of 100 square km each. A steering authority, headed by the Finance Minister, is overseeing the project.
A corporate entity, Delhi Mumbai Industrial Corridor Development Corporation has been set up to undertake planning of the project, development of its various components, coordinating with all stakeholders, monitoring of implementation and raising all finances.
The corridor will have a 4,000 mw power plant, three greenfield ports and six airports. It will also link 10 cities with population of more than 1 million. It will built along a dedicated rail freight corridor, and once commissioned, will reduce the Delhi-Mumbai transit time from 60 hours to 36 hours.
The corridor, spread across 2,700 km with an additional 5,000 km of feeder lines connecting Mumbai to West Bengal.