The Gujarat government has announced the reservation of 1,700 acres of land to facilitate the relocation of industries currently situated within the Ahmedabad city limits. This initiative is part of the newly launched THRIVE scheme, which aims to move industrial units out of municipal corporation areas to promote better urban planning and industrial development.
Industrial Land Allocation in Gujarat
Officials have confirmed the reservation of approximately 1,100 acres for industrial clusters in Surendranagar district and around 600 acres in Kheda district. This allocation is part of a broader plan to develop industrial infrastructure in the region.
A senior state govt official said priority will be given to industries currently located in GIDC estates in Ahmedabad, while units operating on private land within city limits will also be considered for allotments in the new clusters. But units on private land are also eligible for land in these upcoming clusters,” the official said. Sources said that govt is exploring steps to simplify the conversion and transfer process for plots in existing GIDC estates to enable smoother exits. “We are considering making the freehold land process easier for industries in GIDC estates so their exit from the current plots is not held up by procedural hurdles,” the official said. Shifting is extremely difficult—entire workforces will need to move,” Patel said. Achieving the same benchmark at new locations will take time and will be difficult,” he said. “If relocation is enforced, only about 10% of units may actually move, while others could shut down or switch to different businesses,” he said. A member of a textile processing association said the economic terms and infrastructure readiness would determine whether units relocate. “If relocation is needed, land must be offered at very competitive rates,” the member said. “The government should develop common infrastructure, and provide enough time for units to start production at the new location before stopping production at existing factories,” the member added.
THRIVE—Transition for Harmonized Relocation and Inclusive Vibrant Economy—has been positioned as an incentive-backed relocation policy for industries situated within municipal corporation limits, with the state signalling a push to decongest cities and improve environmental conditions. “Industries in GIDC estates will be taken up on priority. “The government should allow industries to operate within the city. He added that several chemical units have improved compliance standards over the years. “Chemical industries have achieved much better environmental compliance within the city. Patel also cautioned that participation may be limited.