The Business hubs in Delhi have enabled Delhi/NCR to surpass Mumbai as the region with the highest GDP in India. Delhi’s strategic position as the trading and business hub of North India has led to a growth of multiple businesses in this region.
In order to effectively manage these industrial areas, the Delhi Government has set up the DSIIDC (Delhi State Industrial Development Corporation).
Brief List of Business Hubs in Delhi:
1. Anand Parbat Industrial Area: At first sight, you might think that Anand Parbat is a hub of small shops by the side of Rohtak Road. But if you choose to go inside the by lanes, you’ll realize that this is a major business hub in Delhi. Most buildings in this region are functioning as small-scale factories. A broad range of items is manufactured in this region. Some items are PVC pipes, synthetic materials, shoelaces, spinning mills, machine parts manufacturer, wire netting, rubber parts. Small manufacturers find easy access to labor in this region and most laborers live in the residential units above factories. The central location of Anand Parbat allows manufacturers to transport goods to markets at very low cost.
2. Bawana Industrial Area: Bawana is one of the business hubs in Delhi located on the outskirts of the city in the North West region. It is one of the focus areas for industrial development under DSIDC. The organized industrial cluster promises good facilities for manufacturing SME’s. The rents are comparatively lower as compared to other parts of Delhi.
3. Narela Industrial Area: This is an industrial area set up under the aegis of DSIDC. It has been a historical settlement on the Grand Trunk Road. The Narela region has functioned as a market for a long period. It is one of the business hubs in Delhi that has benefitted from its proximity to the major trade routes.
4. Nawada Industrial Area: Located near the Western Part of Delhi, Nawada is a hub for industrial suppliers and manufacturers. It also has various garment traders who operate small spinning factories. It is one of the business hubs in Delhi that could do with a major infrastructure upgrade.
Major Issues faced by Manufacturers in Delhi:
As per government reports, some of the main issues faced by manufacturing SME’s located in business hubs in Delhi are:
1. Availability of Credit: Most traditional lenders are unwilling to offer credit to small corporations. The reasons range from lack of credit history to non-availability of proper documents. Of late, many alternative lenders in the Fintech space
2. Availability of Land: Getting land for the use of industrial purpose is tough in Delhi. Though overall infrastructure of Delhi is good, the industrial areas lack proper roads and are unorganized.
3. Lack of skilled manpower: There is not enough skilled manpower available to operate the machinery in small industries.
4. Lack of Benefits under Government Schemes: Most of the businessmen in the various business hubs of Delhi have not been able to acquire benefits under government schemes earmarked for them. Many have not been able to get benefits under Credit Guarantee Fund Schemes because they face difficulty in acquiring necessary licenses to apply.
Services that are set to grow in Delhi/NCR:
Products that will see an increase in manufacturing
Way Forward For Business Hubs In Delhi
The business hubs in Delhi have contributed to economic growth and provided employment to people living nearby. The government’s steps to develop the various business hubs in Delhi and provide better facilities is a welcome move.
Source: Brief Industrial Profile of NCT of Delhi- MSME Development Institute.