Industry body CII has outlined a roadmap to address structural and procedural bottlenecks in India’s industrial land ecosystem emphasising that efficient and transparent access to industrial land is critical for accelerating investments, reducing project gestation periods, and positioning India as a competitive global manufacturing hub.

It also released a report on the same, which was developed through extensive consultations with industry stakeholders across sectors to capture practical challenges and actionable solutions for improving industrial land management in India.

Industrial land remains a foundational input for manufacturing, infrastructure, renewable energy and logistics. However, the current landscape across States is characterised by fragmented processes, regulatory complexity, unclear land titles, delayed possession, and underutilisation of allotted parcels.

These challenges significantly increase the cost of capital, delay project commissioning, and undermine investor confidence, particularly for MSMEs and greenfield investments.

Detailed assessment

The report undertakes a detailed assessment of the entire lifecycle of industrial land, covering land search and identification, application, allotment, change in land use (CLU), title and due diligence verification, acquisition, physical possession, post-allocation utilisation, and institutional capacity.

Based on stakeholder consultations and industry feedback, the report highlights systemic issues such as non-standardised documentation, multiple departmental touchpoints, absence of defined timelines, and incomplete land records.

Chandrajit Banerjee, Director General of CII, said “India’s manufacturing ambitions under Make in India, National Industrial Corridors, renewable energy expansion, and modern logistics cannot be realised unless industrial land becomes predictable, transparent, and investment ready. The CII Land Mission provides a practical, implementation-oriented framework that respects social safeguards while enhancing time efficiency, predictability and coordination across the land value chain.”

A key recommendation of the report is the creation of a unified, GIS-enabled National Industrial Land Bank, offering real-time information on land availability, zoning status, utilities, environmental constraints, encumbrances, and title clarity. Such a platform would significantly enhance transparency and enable informed, faster investment decisions.

The report also advocates for a fully integrated digital single-window system for industrial land applications. This system would consolidate approvals across departments, standardise documentation, enable real-time tracking, and introduce clear service-level agreements (SLAs), including deemed approvals for non-sensitive clearances. Assigning a designated case owner for each application would further improve accountability and reduce inter-departmental delays.

TV Narendran, Chairman of CII’s Land Mission, said “The challenge in industrial land is not only acquisition, but readiness and utilisation. Even after allotment, projects get stuck due to possession issues, infrastructure gaps, unclear titles, and prolonged downstream approvals. The Land Mission proposals focus on end-to-end reform, right from clean land banks and faster acquisition to utilisation norms, dispute resolution, and institutional accountability.”

The report also draws attention to the wide inter-State variation in stamp duty and registration charges, which significantly escalates upfront project costs and distorts investment decisions across geographies.

CII has recommended the adoption of a uniform, nationally guided stamp duty for industrial land, aimed at reducing transaction costs, improving predictability, and ensuring that investment location choices are driven by economic fundamentals rather than regulatory arbitrage.

Litigation risks

To address legal uncertainty and litigation risks, CII recommends nationwide digitisation of land records, GIS-linked cadastral mapping, survey-level authentication prior to allotment, and the introduction of title insurance for large industrial parcels. These measures are aimed at strengthening due diligence, improving financing access, and reducing disputes that often surface during project execution.

On land acquisition, the report proposes standardised social impact assessment (SIA) templates, fast-track industrial acquisition cells at the district level, broader adoption of land pooling models, and the creation of a publicly accessible GIS-linked land dispute registry. These reforms would help reduce timelines, improve transparency, and build trust among landowners, communities, and investors.

At the institutional level, CII has proposed the establishment of a National Industrial Land Council (NILC), modelled on a GST-like framework, to set national standards, harmonise land-related regulations across states, monitor implementation, and act as a dispute-resolution body. Complementing this, State Land Authorities with dedicated technical and administrative capacity would be responsible for frontline implementation and delivery.

The report also highlights best practices from global manufacturing economies, key sectors and states, drawing lessons from successful cluster-based development, digital land banks, single-window clearance systems, and pre-cleared industrial parks.

CII highlighted that implementing these reforms in a coordinated manner could significantly reduce project timelines, lower transaction costs, improve land utilisation, and enhance investor confidence, while ensuring social safeguards and environmental compliance.

Published on April 19, 2026