Punjab pitches investor-friendly ecosystem at AIM Congress

Dubai: Punjab is positioning itself as a key gateway for global investors seeking opportunities in northern India, offering a combination of industrial infrastructure, skilled talent, investor incentives and streamlined approvals, a senior state government official said.

Speaking on the opening day of the 15th edition of the AIM Congress at Dubai World Trade Centre, Aman Aroa, Cabinet Minister, Government of Punjab, India, said the state was seeking to convert growing international interest in India into investments across technology, manufacturing, agriculture, aerospace and defence, and tourism.

“India is today one of the fastest growing large economies in the world,” Aroa said, pointing to the country’s expanding consumer market, manufacturing capabilities and rapidly digitising economy.

Strategic advantage

He said Punjab offered investors a strategic advantage because of its location and connectivity, with access to major northern Indian markets and links to ports and Delhi NCR through dedicated freight corridors.

“Punjab brings together strong agriculture, an established manufacturing base and a fast-growing technology and GCC hub, making it India’s most complete investment story in the north,” he said.

The state is promoting opportunities in food processing and agricultural value addition, while the Chandigarh-Mohali region is emerging as a technology and Global Capability Centre hub.

Aerospace

Punjab is also developing an aerospace and defence manufacturing ecosystem, alongside opportunities in tourism, including heritage, wellness and religious circuits. Established sectors such as steel, auto components, textiles and pharmaceuticals further strengthen its industrial base.

Aroa highlighted the 1,100-acre Integrated Manufacturing Cluster at Rajpura as a flagship opportunity for investors. Located on the Amritsar-Kolkata Industrial Corridor, around 240km from Delhi, the project is expected to attract about $793 million (Rs7,500 crore) in investment and create more than 64,000 jobs.

The cluster will offer plots ranging from small and medium-sized enterprises to large global companies, with allotment conducted through a transparent online auction.

Incentives

Punjab is also seeking to differentiate itself through its Industrial and Business Development Policy 2026. Investors in priority sectors can access incentives worth up to 125 per cent of fixed capital investment, along with full exemption from stamp duty and electricity duty, according to Aroa.

The policy allows investors to choose from up to 20 incentives and introduces a dedicated capital subsidy. A customised package is also available for investments creating more than 1,000 jobs.

For technology companies and GCCs, the Chandigarh-Mohali region offers what Aroa described as Tier 1 talent at Tier 2 costs. Office rents and salaries are around 25 per cent lower than in Delhi or Bengaluru, while the region has more than 100,000 IT professionals and access to institutions including IIT Ropar, IIM Amritsar and ISB Mohali.

FastTrack Punjab

The state is also seeking to make setting up a business faster through Invest Punjab, its unified investment facilitation mechanism bringing more than 20 government departments under one platform.

Its FastTrack Punjab online single-window system provides access to more than 200 government services, with approvals capped at 45 working days. Under the system, an approval is deemed granted if a department does not respond within the stipulated period.

Punjab has received investment proposals worth about $15.87 billion (Rs1.5 trillion) since 2022 and was named a Top Achiever in the Government of India’s Ease of Doing Business 2024 assessment, Aroa said.

Companies already operating in the state include Nestle, Tata Steel, Amazon and Dubai-based Sharaf Group, while technology firms such as Infosys, Teleperformance, Tech Mahindra, Airtel and Zscaler have established operations in Mohali.

“Our message is simple: in a world looking at India, and an India looking north, Punjab is one door, from inquiry to enterprise,” Aroa said.