Representational file image.
| Photo Credit: AFP

The Union cabinet on Wednesday (August 28, 2024) approved 12 new industrial cities in 10 States to boost domestic manufacturing with an estimated investment of ₹28,602 crore.

The projects will span across 10 States and strategically planned along six major corridors.

These industrial areas will be located in Khurpia in Uttrakhand, Rajpura-Patiala in Punjab, Dighi in Maharashtra, Palakkad in Kerala, Agra and Prayagraj in UP, Gaya in Bihar, Zaheerabad in Telangana, Orvakal and Kopparthy in AP, and Jodhpur-Pali in Rajasthan.

The Union Cabinet has approved 12 new project proposals under the National Industrial Corridor Development Programme (NICDP) with an estimated investment of ₹28,602 crore, said Union Minister Ashwini Vaishnaw after the Cabinet meeting.

The move will transform the industrial landscape of the country, creating a robust network of industrial nodes and cities that will significantly boost economic growth and global competitiveness.

They will be developed as greenfield smart cities of global standards.

The approach ensures that the cities are equipped with advanced infrastructure that supports sustainable and efficient industrial operations.

NICDP is expected to generate significant employment opportunities, with an estimated one million direct jobs and up to three million indirect jobs being created through planned industrialisation.

These projects will create an investment potential of about ₹1.52 lakh crore.

In a major decision, the Union Cabinet has approved a minimum support price of at least cost plus 50% for 14 crops ahead of the Kharif (summer) sowing season. The minimum support price of paddy has been increased by Rs 117, Information and Broadcasting Minister Ashwini Vaishnaw said at a Cabinet briefing on Wednesday.  

A legal guarantee for minimum support price (MSP) has been a long-standing demand of farmers who have staged large-scale protests, including some held earlier this year, to press for it. The MSP decision is also significant because it comes ahead of Assembly polls in states like Haryana, Maharashtra and Jharkhand, which are scheduled to be held later this year. 

“Prime Minister Narendra Modi has always given preference to farmers. The first decision in the third term was taken for farmers. In today’s Cabinet meeting also, a very important decision was taken for the welfare of farmers. The Kharif season is beginning and the Cabinet has approved a minimum support price of 14 crops for the season,” Mr Vaishnaw said. 

“In the 2018 Union Budget, the government of India had taken a clear policy decision that the MSP has to be at least 1.5 times the cost of production. Today’s decision is in line with this principle. The cost has been established in a scientific manner and is based on a study by the Commission for Agricultural Costs and Prices in various districts and tehsils across the country,” he added. 

The MSP for paddy for the season has been increased by 5.35%, or Rs 117, to Rs 2,300 per quintal and, as a comparison, the minister said the price was 1,310 in 2013-14. 

The minimum support of cotton has also been increased to 7,121 for the normal variety and 7,521 for another variety, which is Rs 510 higher than the previous MSP. Millets have been a focus area for PM Modi and, among them, the MSP for jowar has been set at Rs 3,371, for ragi it is Rs 4,290, for bajra it is 2,625 and maize is at Rs 2,225.

Among pulses, the MSP for moong has been decided at Rs 8,682, tur at Rs 7,550 – Rs 550 higher than the previous figure – and Rs 7,400 for urad. The MSP for oilseeds, like sunflower and groundnut, has also seen an increase, the minister said.