Uttar Pradesh is shifting its investment policy towards high-value manufacturing, technology and clean-energy sectors, while putting greater emphasis on project execution, industrial land, logistics and power availability, Chief Minister Yogi Adityanath told Saurav Anand in an exclusive interview. The state has more than 36 sector-specific policies covering semiconductors, electronics, data centres, global capability centres (GCCs), defence and green energy. Since the Global Investors Summit in February 2023, investment proposals worth more than ₹33.5 lakh crore have been received, of which projects worth ₹10.24 lakh crore have been grounded and more than 4,000 are in commercial production, the chief minister said. Edited excerpts:
Q. How is Uttar Pradesh’s investment policy changing?
Our investment policy is evolving. The first phase was about creating the basic conditions — law and order, connectivity, power, land, infrastructure and ease of doing business. The next one is about making Uttar Pradesh competitive for industries of the future.
We now have more than 36 sector-specific policies covering manufacturing, electronics and semiconductors, GCCs, data centres, defence, green energy and emerging technologies. The Startup Policy supports AI, deep-tech, AgriTech and HealthTech, while the Green Hydrogen Policy opens another industrial opportunity in clean energy. We have also introduced a dedicated FDI and Fortune 500 Investment Promotion Policy, with a land-cost rebate of up to 75% and capital subsidy, along with the Uttar Pradesh Semiconductor Policy.
Q. How much of the investment pipeline has moved to implementation?
Since the Global Investors Summit in February 2023, Uttar Pradesh has received investment proposals worth more than ₹33.5 lakh crore. Projects worth ₹10.24 lakh crore have been grounded through ground-breaking ceremonies and more than 4,000 projects are in commercial production.
Over the last three years, the state has received FDI of $1.5 billion. Department for Promotion of Industry and Industrial Trade records FDI against the state where a company’s registered office is located, so some capital invested in factories in Noida, Lucknow and Kanpur can be reflected in another state’s numbers. The investment mix has also widened from manufacturing, automobiles, textiles, food processing and pharmaceuticals to semiconductors, electronics, data centres, GCCs, artificial intelligence and renewable energy.
Q. Are recent investments becoming more technology-intensive?
This year, investment engagements at Davos brought commitments of nearly ₹3 lakh crore across clean energy, data centres, AI and advanced manufacturing. The Singapore-Japan global investment outreach brought another ₹2.50 lakh crore of commitments, particularly in manufacturing and technology. The Pharma Conclave in Lucknow also opened another investment window in pharmaceuticals and healthcare.
The broader shift is towards a more diversified investment base, with technology-intensive sectors becoming a larger part of the industrial mix.
Q. Land availability remains a constraint for industry…
Uttar Pradesh has an industrial land bank of around 75,000 acres. More than 25,000 acres is fully developed, with roads, power and water in place, and is available for immediate allotment. Over the last nine-and-a-half years, more than 1.5 lakh acres of government land have been freed from encroachment.
We are also developing industrial areas and manufacturing clusters along major expressway corridors so that land, power, roads, water and logistics are available together. Uttar Pradesh has more than 50% of India’s operational expressway network.
Q. What all are being done to shorten approval timelines?
Nivesh Mitra 3.0, launched on March 24, 2026, brings more than 530 services across 43 departments onto a single digital interface with defined timelines and integrated approvals. These services have also been streamlined into fewer than 225 services. Application fields, documentation and procedural steps have been reduced, with real-time tracking.
We are also moving towards plug-and-play industrial sheds, particularly for MSMEs, so businesses can begin operations without first spending years acquiring and developing plots.
Q. Logistics costs remain a concern for Indian manufacturers. How is the state addressing this?
Our Logistics Policy puts logistics costs at 13-14% of GSDP and has a target of bringing them down to 8-9%. The Ganga Expressway connects Meerut and Prayagraj across 12 districts, while 27 Integrated Manufacturing and Logistics Clusters are being developed along expressway corridors.
Uttar Pradesh also has over 1,000 km of the Eastern Dedicated Freight Corridor, while the Western Dedicated Freight Corridor connects the Dadri region with JNPT.
Noida International Airport began commercial flights on June 15, 2026. On the eastern side, 425 km of National Waterway-1 passes through Uttar Pradesh, with the Varanasi multimodal terminal linking waterways with road and rail.
Q. How is the state’s power policy keeping pace with industrial demand?
Uttar Pradesh met peak electricity demand of 32,673 MW in June this year, compared with around 16,000 MW in 2016-17. New thermal plants at Ghatampur, Khurja, Panki, Obra and Jawaharpur are contributing to the grid, while Meja Stage-II has been approved with NTPC. The state has a solar capacity target of 22,000 MW. Currently, 2,600 MW is installed and another 6,200 MW is under construction.
Around ₹17,965 crore of capital expenditure is planned under Green Energy Corridor Phase-II. Industrial tariffs have been kept stable, while green-energy open access has been eased for consumers with loads of 100 kW or more.
Q. Is industrial investment moving beyond Noida and Greater Noida?
The investment geography is expanding. In Bundelkhand, Bharat Dynamics Limited is setting up a ₹400-crore missile unit in the Jhansi node, while the Bundelkhand Industrial Development Authority has acquired more than 14,000 acres for its first phase and started allotting plots. In Purvanchal, major projects include Varun Beverages’ ₹1,071-crore plant at GIDA and the ₹622-crore Banas Kashi Sankul dairy project in Varanasi. The Purvanchal Expressway, airports and logistics infrastructure are also supporting investment in food processing, pharmaceuticals, electronics and technology-enabled services.
Q. How has the state’s economy changed alongside this investment push?
Uttar Pradesh’s GSDP has increased from ₹13.30 lakh crore in 2016-17 to around ₹36 lakh crore in 2025-26. The State Economic Survey projects it to approach ₹40 lakh crore this year.
Manufacturing includes electronics and semiconductors, automobiles and EVs, defence, textiles, pharmaceuticals and food processing, while GCCs, IT, data centres, AI and other emerging technologies are becoming part of the services mix.
The emphasis now is on converting investment proposals into land allotment, construction and commercial production.