NEWS – Karnataka unveils New Industrial Policy 2025-30

HIGHLIGHTS

Investment and Job Creation Targets

• Aim to attract ₹7.5 lakh crore in investments.
• Goal to generate 20 lakh new jobs by 2030.

Growth and Development Goals

• Target 12% annual growth in the manufacturing sector.
• Focus on innovation, sustainability, and inclusive growth.
• Equitable development beyond Bengaluru.

Key Focus Sectors

• Aerospace & Defence
• Electronics & Core Manufacturing (Steel, Cement, Metals)
• Warehousing & Logistics
• Textiles & Future Mobility
• Drones, AR/VR, Medtech & Spacetech
• Biotechnology & Pharmaceuticals
• Renewable Energy & Automobiles
• FMCG & Tourism

Incentives for Backward Regions

• Additional incentives of 5% for most backward and 3% for more backward taluks.
• Based on D M Nanjundappa Committee Report (2002) identifying 114 backward taluks.

Industrial Zoning & Infrastructure

• Expansion of Zone-I from 152 to 199 taluks.
• Bengaluru Urban & Rural in Zone-III with different incentives.
• 12 new investment zones covering 30,000 acres.
• ₹3,800 crore allocated for clean water in industrial areas.

Warehousing & Logistics Sector Boost

• Up to 20% capital subsidy on fixed capital investment.
• Stamp duty reimbursement & electricity duty exemptions for 5 years.
• Accorded “Industry” status for better financial support.

Skill Development & Workforce Readiness

• New curriculum for ITIs & Polytechnics to create a future-ready workforce.
• Industrial dormitories planned for worker accommodation.

Single Window Clearance System

• New system launched for faster approvals.
• Upcoming affidavit-based clearance (ABC) system for ease of business.

Support for MSMEs & Marginalized Communities

• 30% industrial land reserved for MSMEs.
• 24.1% of land allotted for SC/ST entrepreneurs.

Enhancing Karnataka’s Global Position

• State accounts for 60% of India’s electronic product exports.
• 40% of India’s software exports from Karnataka (Infosys, Wipro, TCS, Google, Amazon, Apple).
• EV Capital of India with major investments from Tesla, Ola Electric, Ather Energy, Mahindra Electric.
• India’s largest aerospace hub with 65% of aerospace & defence manufacturing.

Infrastructure & Connectivity Plans

• Identifying locations for Bengaluru’s second international airport.
• Focus on green economy & sustainable urban development.