Uttar Pradesh is scripting a new chapter in its economic journey with an ambitious target to contribute 10 per cent to India’s GDP by 2026. Under the leadership of Chief Minister Yogi Adityanath, the state government is aggressively pushing forward a comprehensive industrial development and economic strategy, centered around the ‘Make in UP’ model.
At the heart of this vision is the drive to extend industrial development beyond major cities and into rural and semi-urban areas. The Chief Minister has repeatedly emphasized that balanced regional growth is key to sustainable economic success. In a recent high-level review meeting, he directed officials to establish new industrial units in non-metro regions to promote employment, discourage urban migration, and boost local incomes. As part of this push, all relevant departments including Industry, Planning, Energy, Transport, and MSME have been instructed to submit updated action plans based on district-wise resource mapping.
The government is working on a resource-based industrial development model that recognizes the unique strengths of each region. Eastern Uttar Pradesh, with its agricultural base, is being encouraged to focus on food processing and agro-based industries. Western Uttar Pradesh, already leading in sectors like electronics, logistics, and textiles, is expected to continue as a manufacturing powerhouse. Meanwhile, Bundelkhand is being developed as a strategic defense manufacturing hub under the Defense Industrial Corridor project. These region-specific initiatives aim to unlock the industrial potential of each area and ensure that growth is not limited to urban pockets.
To support this transformation, the state government has announced a host of forward-looking initiatives under its Vision 2026 roadmap. Among them is the formulation of District Industrial Plans that will guide localized investment and infrastructure development. In addition, the state is expanding common facility centers for MSMEs, which will provide shared resources such as testing labs, machinery, and skill training facilities thereby reducing the operational burden on small enterprises. The strategy also places strong emphasis on advancing green manufacturing and harnessing renewable energy. Uttar Pradesh is actively encouraging industries to adopt environmentally sustainable practices, and incentives are being designed to support solar energy projects, cleaner production systems, and low-emission technologies.
Uttar Pradesh’s export potential is also receiving a major policy boost through the Uttar Pradesh Export Promotion Policy 2025-30. This policy aims to position UP as a top export hub by enhancing quality control infrastructure, simplifying certification processes, and building stronger international trade linkages. Dedicated Export Hubs will be developed in high-performing districts, supported by improved logistics, digital platforms, and government facilitation.
Uttar Pradesh’s economic indicators show strong momentum. The state’s Gross State Domestic Product (GSDP) is projected to reach Rs 29.6 lakh crore in FY 2024-25, up from Rs 21.91 lakh crore in 2021-22. This reflects robust growth driven by industrial diversification and improved infrastructure.
Industrial employment is expected to see a significant increase as well. The number of workers employed in industries is projected to rise to 52.57 lakh in 2024-25, up from 46.60 lakh in 2021-22. This surge in employment signals the effectiveness of the state’s pro-business policies and targeted sectoral interventions. Simultaneously, the number of registered industrial units is anticipated to exceed 27,000, indicating strong investor interest and entrepreneurial activity.
The total industrial output in the state is set to witness a remarkable leap. From 510.8 lakh metric tonnes in 2020-21, it is expected to climb to 722 lakh metric tonnes in FY 2024-25, a nearly 40 per cent increase in just four years. Out of this, the MSME sector alone will contribute over 100 lakh metric tonnes, showing its critical role in driving Uttar Pradesh’s industrial engine. The government is therefore giving special attention to MSMEs by offering incentives, easier credit access, and technological support.
To ensure a smoother industrialization process, CM Yogi Adityanath has called for a comprehensive review of existing policies related to land acquisition, electricity supply, water access, and environmental clearances. Simplifying these procedures and introducing single-window clearance systems will enhance the ease of doing business and accelerate project approvals. Officials have also been asked to identify systemic bottlenecks and propose actionable reforms.
The government is also prioritizing skill development to meet the changing demands of the industrial workforce. Collaborations with Industrial Training Institutes (ITIs), polytechnic colleges, and industry bodies are being planned to align training programs with emerging sectors like defense production, electronics, renewable energy, and digital manufacturing. This will ensure a steady pipeline of skilled workers to match industrial needs.
While the state’s industrial vision is ambitious, the leadership remains aware of the potential challenges. Issues like power reliability, land disputes, regulatory delays, and environmental compliance could impede progress if not addressed proactively. However, the government appears determined to overcome these hurdles through a mix of policy reforms, better inter-departmental coordination, and robust stakeholder engagement.
Efforts are also being made to strengthen infrastructure across sectors, particularly in logistics and transportation. Projects aimed at improving road connectivity, setting up industrial parks, and enhancing rail and air cargo networks are either underway or in advanced planning stages. These improvements will not only attract more investors but also enable faster movement of goods, reducing operational costs for industries.
The vision of a 10 per cent contribution to India’s GDP is not just a number it reflects the aspiration to make Uttar Pradesh a leading player in the national economic landscape. This transformation from a primarily agrarian economy to a modern industrial powerhouse requires bold decisions, consistent execution, and a clear long-term vision all of which are being pursued by the state government with focused determination.
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