Plug & Play Industrial Shed Policy (DBFOT Model), 2026 (launched 24 Mar 2026)

Announced on 24 March 2026 with Nivesh Mitra 3.0; the English policy document was uploaded by Invest UP on 19 May 2026, and the Invest UP page was updated on 3 June 2026.

MSMEs — the bulk of industrial units — face high upfront land and construction costs and long gestation under the prevailing "lease and build" model. The result is delayed production, under-utilised industrial land and slower employment generation despite significant land availability.

A shift to "rent and operate" — ready-built industrial sheds with integrated utilities, which lowers entry barriers and enables faster operationalisation.

The concerned Industrial Development Authority retains land ownership throughout the concession period. The private concessionaire is responsible for design, finance, construction, operation and maintenance.

Industrial park developers, real estate and logistics players, infrastructure funds and long-term institutional investors.

A ready shed on rent, with utilities, removing the land purchase and construction phase entirely. The MSME can begin production in months rather than years.

Tenancy does not by itself disqualify a unit; but several manufacturing incentive heads (front-end land subsidy, stamp duty exemption) presuppose land purchase. Advise tenants that capital subsidy on plant and machinery, interest subsidy, EPF reimbursement and SGST reimbursement remain the relevant heads. Confirm the position for each specific head with the nodal department.

Faster conversion of vacant and under-utilised industrial land into productive assets, early employment generation, MSME growth and formalisation, local supply chain development, improved industrial land productivity, and sustained GSDP growth — with stable, predictable revenues for the IDAs and no fiscal burden on the state.

This is arguably the single most consequential policy for MSMEs in Gautam Buddh Nagar, where land cost is the primary barrier to entry. Every MSME counselling conversation in this district should include it.

Identify vacant and under-utilised parcels in the district's IDA holdings and flag them to the authority for inclusion in the scheme pipeline. ---