335 industrial units, yet no big investors in Srinagar over 6 years

Srinagar, Oct 10: Despite repeated government initiatives to boost industrial growth, Srinagar has failed to attract a single large-scale industrial investment exceeding Rs 100 crore in the last six years.

As per the information gathered from the office of the District Industries Centre (DIC) in Srinagar, the summer capital of J&K, Srinagar, has not attracted a single project above Rs 100 crore, and no outside investor has entered the industrial landscape in the past six years.

The official figures further reveal that a total of 335 industrial units have been established in the district since January 1, 2019. "None of these units have become sick or non-functional, but most are small and medium enterprises in sectors such as food processing, handicrafts, and services."

The government has provided roughly Rs 45 crore in subsidies through schemes including CIS, GSTLI, and WCIS. Officials said these incentives have mostly helped smaller enterprises but have failed to attract high-value industrial projects or large investors to Srinagar, as per the official figures.

Industry experts attribute the absence of big-ticket investment to several factors, including land constraints, high logistics costs, and limited infrastructure. “The city continues to see small and medium enterprises thrive, but capital-intensive industries are yet to arrive,” said a senior official from the Industries and Commerce Department.

While the New Industrial Policy aimed to make Jammu and Kashmir more investor-friendly, analysts point to gaps in policy execution on the ground. “Industrial activity looks strong in numbers, but projects capable of generating large-scale employment or revenue are missing,” an official said.

Local entrepreneurs also highlight that registering units is not enough. “True industrial growth comes from value addition, creating jobs, and bringing in external investment. On all these counts, Srinagar has remained limited,” said a business owner.

Deputy Chief Minister Surinder Choudhary had earlier highlighted the broader industrial picture in the Union Territory during an assembly session in March 2025. He said the government had received 8,532 applications under the Single Window System, proposing Rs 1.69 trillion in investments and employment for over 6 lakh people. Land has been allotted to 213 non-local investors and 1,751 locals under the Industrial Policy 2016-26 and the Industrial Land Allotment Policy 2021-30. In the Jammu region, 2,209 applications proposed investments worth Rs 1,18,918.47 crore, while 6,323 applications from the Kashmir region sought Rs 50,363.75 crore, requiring 80,668.91 kanals (around 10,083 acres) of land.

Despite this surge in applications, Srinagar itself has failed to attract a single project above Rs 100 crore, highlighting the persistent gap between policy intent and ground realities. Experts say bridging this gap remains the key challenge for turning the capital into a hub for large-scale industrial growth.