Bhopal: The Mohan Yadav-led government in Madhya Pradesh has approved a series of policy initiatives aimed at boosting industrial growth, attracting foreign direct investment (FDI), and fostering innovation, involving industrial incentives across multiple sectors.
These include manufacturing, logistics, renewable energy, IT, textiles, electric vehicles, tourism and film production.
The measures, announced ahead of the Global Investors Summit (GIS) 2025 in the state, are targeted at propelling the state’s industrial Gross Domestic Product from Rs 2.9 lakh crore (FY 2023-24) to Rs 6 lakh crore by 2030.
The state has decided that projects exceeding Rs 500 crore will now qualify for premium benefits, with key industries, such as renewable energy, biotech and telecom, set to receive incentives starting at Rs 50 crore.
A 50 percent freight reimbursement—up to Rs 40 lakh per unit and Rs 2 crore over five years—will be given to reinforce Madhya Pradesh’s position as India’s next export hub. There are also exclusive power tariff rebates to drive cost-efficient manufacturing.
In order to attract green investors, the state government has announced that there will now be a 50 percent financial support for green industrialisation of up to Rs 10 crore. Besides this, there will be subsidies for clean energy manufacturing and zero liquid discharge (ZLD) infrastructure, and strategic hubs for solar, wind and green hydrogen investments.
To capitalise on the state’s skilled workforce and growing textile sector, the government will give Rs 5,000 per month wage support per employee for five years, and Rs 13,000 per employee for skill development training.
The food processing sector is also set to receive a boost through incentives aimed at agro-processing, dairy and cold chain logistics. For clean mobility, the state will offer targeted subsidies for EV manufacturing and related infrastructure. Mega tourism projects will get incentives up to Rs 90 crore.
Madhya Pradesh is also looking to create a seamless business environment, with investment promotion assistance, single-window clearance for regulatory approvals, tax benefits, infrastructure support and export incentives.