Chief Minister Yogi Adityanath’s administration has stated that it will turn western and central Uttar Pradesh into a hub for the auto and electric vehicle sectors and their supporting elements as well as their supporting elements in order to increase the state’s economy to USD 1 trillion.
CM Yogi told the officials in a high-level meeting that the auto and electric vehicle sectors in western and central UP already have enough resources and merely need to be encouraged to grow because the demand for electric vehicles in the auto industry is rising swiftly. As a result, there will be plenty of opportunities for employment in this sector.
The Growth State Value Addition (GSVA) of UP in the auto industry was estimated to be 1.5 billion dollars in 2019 and can reach five billion dollars during the following five years, according to a poll.
According to a formal declaration, the Yogi government will spend between 19 and 20 billion dollars developing the industry, which will require between 9000 and 10,000 acres of land in western and central UP. At the same time, car parts made in this nation for use in electric vehicles will be shipped to the United Kingdom, the United States, Australia, and South Asia. Batteries for two- and three-wheeled electric vehicles are in increasing demand.
Yogi Adityanath, the chief minister of UP, said at the meeting that both large corporations and MSMEs (Ministry of Micro, Small & Medium Enterprises) play a crucial role in the auto sector and are already well-established in sufficient numbers in western and central UP.
The equipment for this industry can also be exported because of the expressway’s accessibility. To promote exports, it is also possible to construct the Eastern Dedicated Freight Corridor and connect it to the expressway. According to a statement, the Yogi government selected Gautam Budh Nagar, Ghaziabad, Lucknow, Hapur, Kanpur Nagar, and Meerut for the development of large businesses to support the auto industry while Agra, Shahjahanpur, Aligarh, Prayagraj, Saharanpur, and Etawah were chosen to support MSME development.
Western UP can already be transformed into an original equipment manufacturing hub, creating a trillion-dollar economy for the area. On the other hand, central Uttar Pradesh is well suited for the most important metal sector for the auto industry and other related industries. For these industries, the MSME industry already exists; it just needs to be given a bigger form.
In the discussion, the Chief Minister stated that to develop the auto zone and the automotive industry in western UP, emphasis must be given to the downstream and ancillary industries related to the automotive sector. For this, green zones must be established for the electric industry’s ancillary industries and the production of rubber, plastic, metal, glass, etc
The CM added that the state’s EV charging infrastructure has to be expanded. The industry for electric vehicles is heavily invested in research, product development, and EV charging. There are a lot of batteries, battery chemicals, cells being made, gasoline, and welding involved in this. Technicians for casting, welding equipment, assembling electric cars, and heat treatment will be most required in such a situation. According to the release, there would be the most employment possibilities for these positions.
According to the report, this industry employed 60,000–70,000 people in 2017, but due to its expansion, there will be 90,000–1.10 lakh job opportunities annually over the next five years.