New industrial policy to attract Rs 7.5 lakh crore in investments, create 20 lakh jobs

BENGALURU: Chief Minister Siddaramaiah said that the New Industrial Policy 2025-30 announced by the State government in order to create a conducive environment for industries in the state, aims to attract Rs 7.5 lakh crore worth investment creation of 20 lakh new jobs.

He said that, a testing track of international standards and a state-of–the-art EV cluster with common infrastructure will be set up in Bengaluru zone at a cost of Rs 25 crore.

The government has announced the Karnataka Clean Mobility Policy 2025-30. It is aimed towards attracting 50,000 crore investment from Clean mobility automotive value chain and creating approximately one lakh new jobs.
Foxconn has started a mobile phone manufacture plant in Devanahalli Industrial Area with a capital investment of Rs 21,911 crore.

The revised Sand Mining Rules have been implemented in the year 2024-25. It is expected that a total of Rs. 5,847 crore additional revenue will be generated in the following years.

The government promises of providing free electricity for weavers with 1-10 HP powerlooms and Rs 100 crore has been allotted for 90,645 weavers. The budget further focuses on implementing a new IT policy in the year 2025 with the aim of further strengthening the state’s presence in the field of information technology.

A Centre for Applied AI for Tech Solutions (CATS) will be set up with an investment of Rs 50 crore over the next five years to make Karnataka a leader in the field of AI.

A state-of-the-art PCB Park will be developed in Mysuru on 150 acres of land and also starup ecosystem will be developed in Mysuru, Mangaluru, Hubballi-Dharwad and Kalaburagi.

Commerce and Industries

Karnataka Employer’s Trust Bill & Compliance Network to be introduced to decriminalize violations & digitize processes for first in India.

Karnataka Clean Mobility Policy 2025-30 aims to attract RS 50,000 crore investment & 1L jobs in EV sector.

Rs 25 crore allocated for international-standard EV testing track & cluster in Bengaluru.

Foxconn’s Rs 21,911 crore mobile plant in Devanahalli & Doddaballapur; RS 6,970 crore incentives from ESDM.

Rs 193 crore for women’s dormitory in Kolar & Tumkur.

Flatted factories with Plug & Play facility in Vijaypura

Multi-Sector Net-Zero Industrial Park development.

Japanese Industrial Park in Tumkur under Chennai-Bangalore Corridor

Rs 1 crore subsidy for Bidariware & sandalwood artisans’ to purchase raw materials.

Rs 185 crore allocated to assist 3,758 MSMEs (2025-26).

New MSME Policy to focus on SDGs, economy & regional balance.

E-way bill mandate for minor minerals to curb GST/royalty evasion; revenue boost expected.

Rs 20 crore for sugar factory area roads.

Weavers Package 2.0 launched to merge schemes, boost livelihoods.

Free electricity for 1-10 Hp looms; Rs100 crore for 90,645 weavers.

New Textile Policy 2025-30 to target 2 lakh jobs and investments.

Textile Parks in Karkala, Ranebennur, Raichur, Kadur, Chikkamagaluru (PPP) and PM Mitra Park in Kalaburgi.

Information Technology, Biotechnology, and Science & Technology

Upcoming IT Policy (2025): Focus on cloud computing, emerging technologies, and expansion to Tier-2 & Tier-3 cities.

LEAP Programme: Rs 1,000 crore initiative to boost startups beyond Bengaluru, creating 5 lakh jobs. Rs 200 crore allocated this year.

Rs 50 crore investment for Center for Applied AI for Tech-Solution (CATS).

Rs 48 crore for Quantum Research Park (Phase-2) in association with IISc, Bangalore.

Biotechnology 2024-29 is expected to attract Rs 1,500 crore investment with RS 220 crore for incentives.

Flat floor factory with Plug and Play facility in Kalaburagi

Rs 57 crore for reconstruction of Bengaluru Bio-Innovation Center, RS 20 crore allocated this year.

Global Innovation Districts to be developed through : KEONICS in Mysuru, Belagavi, Dharwad, Bengaluru.

Science sub Centres to come up in Kolar, Ramanagara, Chitradurga, Vijayanagara (RS 9 crore).

SensorTech Innovation Hub at Rs. 99 crore investment for R&D in sensors in collaboration with Government of India and the Industry.

KEONICS to establish Global Technology Centres in Mangaluru, Hubballi, and Belagavi.

Agri-Tech Accelerator: To be set up in Kalaburagi for agricultural technology integration.