Eyeing companies trying to shift base out of China amid COVID19 pandemic, New Delhi is gearing up with a land pool to lure the MNCs to set up new manufacturing hub in India.
According to sources in the corridors of power, New Delhi has identified nearly 5,00,000 hectares of land across India to offer the overseas MNCs to set up hassle-free new manufacturing hub in India.
Land pool for the overseas MNCs has been identified in Gujarat, Maharashtra, Tamil Nadu and Andhra Pradesh, the sources said.
If Narendra Modi-led government can woo the overseas MNCs, it would be a major boost to India’s economy, which is caught in a phase of recession because of COVID19 pandemic.
For last few years, MNCs always complained that land acquisition for setting up of manufacturing units was a problem in India.
Taking advantage of the situation, Modi-led government will now try its best to get as many overseas to set up new bases in India.
India can definitely emerge as the alternate manufacturing hub after China because of two major advantages — cheap labour and access to sea ports.
If the overseas MNCs can easily acquire land, and are guaranteed about power, water and road access, India will soon emerge as the new manufacturing hub in the Asia-Pacific region.
According to reports, India has identified few key sectors — electrical, pharmaceuticals, electronics, heavy engineering, solar equipment, chemicals and textiles — as focus areas for promoting manufacturing.
All the embassies abroad have been asked to identify companies to invest in India, the sources said.
Several MNCs from the US, Japan, South Korea and the UK have expressed interest in relocating to India, the sources said.