Modi launches major development projects worth over Rs 77,000 crore in Gujarat
2025-05-26 16:14- PM Modi's two-day visit to Gujarat will spearhead over Rs 77,000 crore in development projects.
- The inaugural events include a modern locomotive facility in Dahod and extensive updates across various sectors.
- This initiative showcases India's commitment to self-reliance and urban development.
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Insights
On May 26 and 27, 2025, Prime Minister Narendra Modi is visiting Gujarat to inaugurate and lay the foundation for several major infrastructure and urban development projects in Dahod, Bhuj, and Gandhinagar. On the first day, he began his visit in Dahod by inaugurating a modern Locomotive Manufacturing Plant established by Indian Railways, aimed at producing high-power electric locomotives for both domestic and export markets. This facility represents a significant step forward in the 'Make in India' initiative, with plans to manufacture 1,200 locomotives over the next decade, with the first locomotive already being flagged off by the Prime Minister himself. Following this inauguration, PM Modi will also lay the foundation for development projects worth approximately Rs 24,000 crore, which include vital railway infrastructure updates and other initiatives, ultimately improving the broader economic landscape of the region. In the afternoon, the Prime Minister will head to Bhuj, where projects exceeding Rs 53,400 crore will be launched. The focus in Bhuj will primarily be on energy and infrastructure sectors, such as the expansion of the transmission network for renewable energy, along with key developments at Kandla Port and road infrastructure. Additionally, drinking water supply schemes aimed at benefiting over 4 lakh residents living across several villages and towns will be unveiled. On the second day of his visit, PM Modi plans to attend an event celebrating 20 years of urban development in Gandhinagar, where he will commemorate past achievements and unveil the Urban Development Year 2025 initiative. The event reflects a continuation of his commitment to transform Gujarat’s urban landscape through improved governance, infrastructure, and sustainable development programs. Among the announcements at this event will be new health projects and a State Clean Air Programme to promote better air quality across urban areas. Each of these efforts is part of a larger push for modernization and enhancement of quality of life throughout Gujarat, signifying a long-term vision for its development.
Contexts
The "Make in India" initiative, launched in September 2014, aims to transform India into a global manufacturing hub by encouraging both domestic and international companies to manufacture their products in India. This initiative is a vital component of the Indian government's broader vision to stimulate economic growth, create jobs, and improve the ease of doing business in the country. By focusing on 25 key sectors, including automobiles, textiles, and electronics, the initiative encourages innovation and skill development while fostering a competitive business environment. The program emphasizes the importance of attracting foreign direct investment (FDI) and capitalizing on India's large workforce to increase production capacities and export potential. One of the significant impacts of the Make in India initiative is the increase in FDI inflows. The initiative has enhanced investor confidence as it has streamlined regulatory processes and offered various incentives for manufacturing. As a result, India has witnessed substantial growth in FDI, with the country ranking among the top destinations for foreign investment. Moreover, the initiative has encouraged domestic companies to enhance their manufacturing capabilities, which has been pivotal in contributing to economic growth. By encouraging local startups and established firms to innovate and invest in advanced manufacturing technologies, the initiative aims to bridge the technology gap and boost the overall productivity of the manufacturing sector. In terms of job creation, Make in India has the potential to create millions of new jobs across sectors, particularly in manufacturing, which is labor-intensive. The initiative focuses on upskilling the workforce to meet industry demands, promoting vocational training, and creating more opportunities for youth. By improving opportunities in manufacturing and related sectors, the government seeks to address the challenges of unemployment and underemployment in the country. As manufacturers expand operations, they create direct jobs while also spurring the growth of ancillary industries, thus generating indirect employment as well. Despite the positive impacts observed, challenges remain in realizing the full potential of the Make in India initiative. Issues such as infrastructure bottlenecks, regulatory hurdles, and the need for improved land acquisition processes continue to affect manufacturing efficiency. The government has made efforts to address these issues by investing in infrastructure development and simplifying procedures for businesses. As the focus on this initiative continues, it will play a crucial role in determining India's economic trajectory and its position in the global manufacturing landscape.
