Indian Factories Demand Better Roads, Power and Water to Grow

Post by : Priya

  Photo:Reuters

India has long held the dream of becoming a global manufacturing powerhouse. With its vast population, growing economy, and the push for ‘Make in India’, the country has what many experts call the “perfect ingredients” to lead the next global industrial wave. Yet, behind this ambition lies a difficult truth—India’s industrial belts are struggling due to poor infrastructure.

Factory owners and industry leaders from states like Maharashtra, Tamil Nadu, Gujarat, and Uttar Pradesh are raising the alarm. They say they’re facing regular power outages, broken roads, poor water supply, and weak connectivity. These problems are not new—but they’ve now reached a point where they’re threatening the survival of many businesses.

India’s Industrial Belts — The Backbone of the Economy

India’s industrial regions stretch across various corners of the country, forming the backbone of its manufacturing economy. These zones produce everything from textiles, leather goods, automobiles, and chemicals, to food products, electronics, and steel.

Gujarat has become known for its textile and diamond industries.

Tamil Nadu leads in automobile and electronics production.

Maharashtra is home to large pharmaceutical and engineering units.

Uttar Pradesh and Punjab serve both light and heavy industries—ranging from sugar and paper to steel and footwear.

Each of these belts supports thousands, sometimes lakhs, of jobs and contributes billions of rupees to the economy. The government’s own estimates show that small and medium industries (SMEs) make up over 30% of India’s GDP and provide employment to over 100 million people.

Despite this, infrastructure challenges continue to hinder these areas—slowing down progress and even causing closures.

 Daily Struggles—What Factory Owners Are Really Facing

While national figures and policy statements paint a glowing picture of India’s industrial potential, the truth on the ground is much harder.

1. Power Cuts:

In industrial zones, machines stop working without warning because of unplanned electricity outages. In some regions, factories lose power multiple times a day, forcing them to run expensive diesel generators to keep production going.

2. Bad Roads:

Broken roads, potholes, and unplanned construction delays mean that trucks carrying raw material or finished products often get stuck or damaged. In many areas, roads are too narrow for large transport vehicles.

3. Water Shortages:

Factories need water for production, cooling, cleaning, and employee use. But many industrial belts have no regular pipeline connection and must rely on private tankers or borewells. This raises costs and leads to environmental stress.

4. Poor Waste Management:

Waste from production often piles up because there are no proper disposal systems. This affects the environment and risks worker health.

5. Weak Internet and Mobile Connectivity:

Even basic services like mobile signals or stable internet connections are not reliable in some areas, which causes delays in communication and business operations.

These issues may seem simple on paper, but their combined impact is massive. Businesses lose time, money, clients, and credibility. And when one factory shuts down, dozens of workers lose their jobs.

 The Economic Cost of Ignoring Infrastructure

The price India is paying for this neglect is not just economic—it’s also social and global.

1. Lost Global Opportunities:

Foreign companies looking to invest in India are turning away because of these ground realities. They fear delays, rising costs, and uncertain timelines.

2. Rising Production Costs:

When factories have to buy diesel, pay for water tankers, and repair transport damage, the cost of making goods rises. This makes Indian products less competitive in the global market.

3. Job Losses and Slow Employment Growth:

Every time a factory cuts down work or closes, dozens or hundreds of people lose their jobs. This affects families, local shops, and the entire economy of that area.

4. Impact on Make in India & Exports:

The government wants India to become a major global exporter. But without basic infrastructure, exports get delayed, or worse, canceled.

5. Harm to Environment and Worker Health:

When waste isn't managed or water is overused through borewells, the environment pays a heavy price. Unsafe working conditions can also lead to health risks for workers.

Industry Voices—A Cry for Help and Solutions

Across India, many business owners have now started speaking out. Here’s what they are saying:

“I want to expand and hire more people. But I can’t even get power for 8 hours a day. How can I grow like this?”
— Manoj Agarwal, Factory Owner in Kanpur

“We have foreign buyers ready to place orders. But they walk away because we can’t promise delivery on time due to road and power issues.”
— Priya Menon, Leather Exporter in Chennai

“Even simple things like garbage collection are missing. We spend our own money to clean the surroundings.”
— Rajeev Sharma, Industrial Estate Coordinator, Bhiwandi

Industry groups like CII (Confederation of Indian Industry) and FICCI (Federation of Indian Chambers of Commerce and Industry) have already submitted detailed reports to state governments. Their key demands include:

Dedicated industrial power lines with backup

Wider, well-maintained roads

Industrial water pipelines and wastewater recycling plants

On-site health and fire safety services

Better telecom and internet connectivity

Regular maintenance and fast redressal systems

Government’s Role—What’s Being Done and What’s Missing

The Indian government has indeed taken some steps. Projects like Dedicated Freight Corridors, Industrial Parks, and Special Economic Zones (SEZs) are aimed at improving things.

Schemes like PM Gati Shakti and National Infrastructure Pipeline (NIP) also promise large-scale investment in logistics and connectivity.

But these projects often face delays in land acquisition, approvals, or environmental clearances. What is needed is not just large-scale announcements—but small, regular, local-level action.

In many states, industrial policies remain stuck in paperwork. Even when roads are repaired, they are not maintained. And most importantly, factory owners say they are rarely consulted while planning or budgeting infrastructure projects.

 A Roadmap for Real Change

For India to truly become a global manufacturing leader and ensure jobs for millions, here is what must be done:

Treat Industrial Zones as Special Needs Areas:

Like we prioritize airports and smart cities, industrial belts need special status for faster development and attention.

One-Stop Infrastructure Cells:

States should set up dedicated offices for industrial infrastructure—where factory owners can report problems and get quick solutions.

Public-Private Partnerships (PPP):

Allow private players to help build and maintain roads, power stations, and water lines inside industrial zones.

Monthly Audits and Reports:

Track road conditions, power supply, and waste management every month—and publish reports to ensure transparency.

Training Local Bodies:

Local city or district officials must be trained to understand and support the needs of industrial zones, not just residential ones.

Involve Factory Owners in Planning:
Every industrial policy must include direct input from the people who run businesses on the ground.

Indian industrial zones