• India
  • Feb 15

Explainer / Japan Industrial Townships (JITs) in India

The Department for Promotion of Industry and Internal Trade (DPIIT)) and Japan’s Ministry of Economy, Trade and Industry (METI) reviewed progress under Japanese Industrial Townships (JITs) in India.

During the joint meeting, DPIIT and states presented the developed land and infrastructure available for Japanese investors in these townships.

Establishment of Japan Industrial Townships

• Prime Minister Narendra Modi’s visit to Japan in August-September 2014 upgraded India-Japan relations to a ‘Special Strategic and Global Partnership’. 

• Following PM Modi’s visit, the two sides decided to prioritise cooperation in a wide gamut of areas including next generation infrastructure, transport systems, Smart Community Projects, development of industrial cities and integrated industrial townships, renewable energy including nuclear energy, industrial corridors and railway cooperation including High Speed Railways.

• As the fifth largest investor, Japan has contributed over $36.2 billion in cumulative investments since 2000, especially in key sectors such as automobiles, Electronics System Design and Manufacturing (ESDM), medical devices, consumer goods, textiles, food processing and chemicals. 

• In April 2015, both sides signed ‘Action Agenda for the India-Japan Investment and Trade Promotion and Asia-Pacific Economic Integration’, and agreed to take steps to develop potential sites as Japan Industrial Townships (JITs) in India.

• Japan decided to develop the JITs, industrial zones, in which Japanese companies are able to smoothly start and develop business in India. The agreement requires India to develop business environments and provide incentives.

These townships are located in:

1) Neemrana Industrial Park, Rajasthan

2) Ghiloth Industrial Park, Rajasthan

3) Jhajjar, Haryana

4) Greater Noida, Uttar Pradesh

5) Mandal Industrial Park, Gujarat

6) Pithampur Industrial Park, Madhya Pradesh

7) Supa Industrial Park, Maharashtra

8) Sri City, Andhra Pradesh

9) Origins, Chennai, Tamil Nadu

10) OneHub Chennai Industrial Park, Tamil Nadu

11) Sojitz Motherson Industrial Park, Tamil Nadu

12) Tumkur, Karnataka.

• JITs offer facilities such as special Japan desks for translation and facilitation support, world class infrastructure facilities, plug and play facilities, residential clusters, and special incentives for Japanese companies. There are ready to move in facilities and fully developed land available for allotment in these townships.

• Currently, there are 114 Japanese companies across the JITs. The Neemrana and Sri City industrial townships host the majority of the Japanese companies. 

• Companies such as Daikin, Isuzu, Kobelco, Yamaha Music, Hitachi Automotive, etc are the marque Japanese investors which have set up manufacturing in these townships.

• Japan is the only country that has dedicated country-focused industrial townships across India.

Additional read:

70 years of India-Japan diplomatic ties

India and Japan established diplomatic relations on April 28, 1952. Both countries are  planning to hold a series of events throughout 2022 to mark the 70th anniversary of the establishment of diplomatic ties with Japan.

Manorama Yearbook app is now available on Google Play Store and iOS App Store

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