Bihar govt to seek Centre’s nod for takeover of unused PSU lands

Industries minister Dilip Jaiswal said in the Bihar assembly that the state government would soon start a survey of PSU lands in Bihar lying unused for years and then write to the central government to take their possession

As part of its endeavour to boost industrialisation, the state government will approach the Centre to take over the unutilised land allocated to different public sector undertakings (PSUs) in various districts.

Bihar industries minister Dilip Jaiswal (Ht Photo)

This was stated by industries minister Dilip Jaiswal in the Legislative Council on Tuesday while replying to a starred question of Janata Dal (United) member Neeraj Kumar. Through the question, the JD(U) member sought to know whether the state industries department was planning to take possession of 40 acres of land of Bharat Wagon Limited, a Central government PSU, in Mokama. He claimed that huge portions of land allocated to various PSUs in the state were lying unutilised owing to their closure over the past few years due to disinvestment.

The minister said the state government would soon start a survey of PSU lands in Bihar lying unused for years and then write to the central government to take their possession.

The step aligns with the industries department’s bid to draw private investments in the industries sector in a big way. “The time has come for Bihar to bring in industrial revolution and roll out the red carpet for the investors,” Jaiswal said, underlining the state government’s effort to create fresh industrial areas across all districts to attract investments.

The minister said a large number of entrepreneurs are showing keen interest in investing in Bihar and he would be able to list at least 1,000 new industries that would set up their plants in the state in the next two-three months.

The minister said that the industries department has already begun acquiring land to set up industrial areas in all districts.

The Bihar government is pushing ahead with plans to create dedicated industrial areas in all 38 districts, with a total of 20,767 acres earmarked for acquisition to support new manufacturing and business clusters.

The disclosure came during the budget discussion in the state legislature, where it was highlighted that the industries department aims to establish more than 15,000 direct jobs through units set up in these upcoming zones.

Sources in the department said around 8,000 acres have already been acquired across the districts, even though the original first-phase target was 10,000 acres. The remaining land will be taken up in subsequent stages to complete the statewide network of industrial areas.

The initiative ties into larger infrastructure projects, including development along the Amritsar-Kolkata Industrial Corridor. Specific plans include Phase-2 works near AIIMS in Gaya, a multi-modal logistics park near Fatuha, a proposed fintech city, and a pharmaceutical park at Amnour in Saran district.

The state currently hosts 1,597 registered startups, while ₹6,335 crore has already been sanctioned for various corridor-related works.

The aggressive land acquisition drive reflects the industries department’s renewed focus over the past two-three years on making Bihar investor-friendly. The department has organised back-to-back global investor summits under the banner Bihar Business Connect.

The industries department has organised the business summits in 2023 and 2024 and signed MoUs worth around ₹50,500 crore and a record ₹1.81 lakh crore across various sectors such as food processing, textiles, renewable energy and logistics.

Officials say nodal officers have been appointed to fast-track grounding of these projects, with a significant portion of the 2023 and 2024 MoUs already moving into the implementation stage.

Industry observers note that the creation of industrial clusters in every district, coupled with the summit outcomes, signals a clear shift in Bihar’s economic strategy — from largely agriculture-dependent growth to a more diversified industrial base.