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Ensure adequate land availability for industries: CM
In the meeting, it was highlighted that industrial land rates in the state remain relatively high, especially in districts near the National Capital Region (NCR).
: Chief minister Yogi Adityanath on Saturday emphasised the need to adopt a plug-and-play model to expand the state’s industrial land bank and provide swift access to micro, small, and medium enterprises (MSMEs).
Presiding over a meeting of the MSME department, Adityanath stated that the lease rental framework should operate on a revenue-sharing basis to ensure adequate and sustainable land availability for industrial projects.
He added that this model has significant potential for the state and should be supported by a comprehensive policy focused primarily on the MSME sector. The objective is to enable small and medium units to begin production immediately, without unnecessary hurdles.
In the meeting, it was highlighted that industrial land rates in the state remain relatively high, especially in districts near the National Capital Region (NCR).
The chief minister noted that high land costs continue to obstruct industrial expansion, technological upgrades, and the establishment of new units. Therefore, providing MSMEs with affordable plots and ready-to-use industrial sheds is essential.
The proposed model aims to allow industries to concentrate on production, machinery installation and job creation, rather than spending time and capital on land acquisition and construction, he added.
Under the plug-and-play model, industrial development authorities will retain ownership of the land while developing ready-made industrial sheds or undertaking construction through public-private partnerships. These prefabricated, usable facilities will be offered to industries on a rental basis, the state government said.
The chief minister further stated that the model may be executed through a public–private partnership model with a design–build–finance–operate–transfer (PPP DBFOT) structure, where the private partner will handle design, construction, financing, and operations, while the authority retains land ownership and regulatory oversight.
A revenue-sharing lease system will ensure sustainable income for the authority and allow entrepreneurs to scale their operations gradually without purchasing land. This approach will reduce financial risks for MSMEs and offer them greater operational flexibility.
He directed that the proposed policy should ensure long-term stability and transparency while keeping land under government control.
The revenue-sharing mechanism should be simple, transparent, and supportive of industrial growth, ensuring the optimal use of the state’s land resources, the chief minister said.
