Punjab New Industrial Policy: Boost for Business

New Delhi, Dec 11 (PTI) Punjab will come out with a new industrial policy next month, focusing on ease of doing business and ensuring project clearances in 5 to 45 days across different categories, state Industries Minister Sanjeev Arora said on Thursday.

He also said the government will soon announce a new Private Industrial Park Policy, allowing the private sector to set up industrial parks.

"We are going to announce a new industrial policy by January, and work is on. Whatever we come up with, one would never have seen such a policy before. We will give a run for their money to all other states," he told reporters here.

The minister said investment projects to the tune of Rs 1.5 lakh crore have been accorded approval in the last four years, with several big corporates seeking to expand or set up shops in the state.

Arora also said that the Aam Aadmi Party (AAP) government in the state is focussing on setting up electronics and information technology industry which is non-polluting. Besides, the state government is also seeking to produce green power, he said.

The minister said work on the new Industrial Policy is underway and the state would announce it early next year, ahead of its three-day 'Invest Punjab Summit' scheduled in Mohali from March 13, 2026.

The minister has just returned from a 10-day tour of Japan and South Korea, along with Chief Minister Bhagwant Mann, where they met industrialists and entrepreneurs and NRIs in cities like Tokyo, Osaka and Seoul.

Arora said the new industrial policy will have a robust new scheme of giving clearances to new projects within 5 to 45 days.

He further said under the new policy, green projects or real estate sector projects will be accorded approval in five days, while proposals requiring some change in policy and further approvals will get cleared in 15 or 18 days in separate categories.

Arora said the state government had set up 24 sectoral committees of industrialists and businessmen across the state to examine various issues and submit their recommendations on the new industrial policy. All such panels have submitted their reports in the first week of October, the minister said.

Arora said projects that require environmental clearances and viability of power would be accorded clearance under the new policy in 45 days.

Once the promoter applies online under the Right to Business Act, they are deemed to be cleared within a specific time period ranging from 5 to 45 days. "The focus of the new industrial policy will be on ease of doing business," he said.

"We are going to have a most robust industrial policy which will be announced shortly," he said, indicating that it could come out by January.

"It will also have several exemptions for the industry setting up shops in Punjab. We intend to provide them exemption from electricity duty, production-linked incentive scheme, refund of state GST (SGST) and stamp duty exemption in buying of land," the minister said.

The minister, who also holds the Power and NRI portfolios, said total investment projects to the tune of Rs 1.5 lakh crore have come into Punjab from 2022 to 2025, which is equivalent to 25 billion US Dollars, and this will lead to employment generation of 5 lakh jobs.

Disclosing details of various industrial houses seeking to invest in the state, he said Vardhaman Steel is seeking to invest Rs 2,500 crore, Nahar Industries Rs 1,500 crore, a Rs 500 crore R&D Centre by Amber Enterprises, Happy Forgings Rs 500 crore, IOL Chemicals and Pharmaceuticals Rs 1,400 crore, Trident group Rs 2,000 crore, Veera Beverages Rs 100 crore, Fortis hospitals Rs 1,000 crore and Infosys, which wants to set up a centre employing 2,500 people, to name a few.