Recent Developments in Key Sectors

• Punjab boasts 100% electrification of its railway tracks, marking a significant milestone.
• As of July 2024, there are 12 ongoing projects in Punjab aimed at constructing new tracks across a total of 1,158 km, with an investment of Rs. 19,843 crore (US$ 2.38 billion).
• AIPL Group disclosed a Rs. 2,500 crore (US$ 299.76 million) investment plan for residential and commercial projects in Punjab. Having developed integrated townships in Amritsar, the company sees significant potential in the region.
• The Punjab Cabinet has approved Punjab Electric Vehicle Policy (PEVP)-2022 with a move to check the environmental pollution due to emission from vehicles. The policy desires to reduce vehicular emission, create infrastructure, manufacturing, research and development, job creation, ensuring sustainability, besides establishing Punjab as a favored destination for manufacturing of electric vehicles, components and batteries.
• In October 2022, Punjab Minister Mr. Aman Arora stated that the state government would release a new affordable housing policy, the draft of which has been posted on the official website for public comments.
• In October 2022, Mr. Harjot Singh Bains, the Minister of Education for Punjab, announced that a first tranche of Rs. 17.49 crore (US$ 2.12 million) had been released to address the lack of classroom space in 17 districts' public schools.
• In September 2022, the Punjab government announced that TestingXperts, the world’s fifth-largest pure-play quality assurance and software testing firm, will open an ‘Innovation and Delivery Centre’ in Mohali with an investment of Rs. 160 crore (US$ 19.44 million).
• In September 2022, the World Bank approved a US$ 150 million loan to Punjab to enhance access to public services and assist the state in managing its budgetary resources better.
• In September 2022, the Housing and Urban Development Department announced that it would soon decentralise the authority to provide building plans, completion certificates, and change of land use (CLU) certificates to allow quicker turnaround times for cases.
• Total merchandise exports from Punjab stood at US$ 981.05 million in FY25 (April-August), and US$ 6.74 billion in FY24.
• On April 27, 2022, Punjab Director General of Police (DGP), Mr. VK Bhawra, inaugurated a state-of-the-art ‘Punjab Road Safety and Traffic Research Centre’ in Mohali to reduce road accident fatalities using futuristic scientific tools of artificial AI and machine learning.
• In April 2022, Punjab’s Minister of Health, Dr. Vijay Singla, announced plans to set up 333 urban wellness centres in urban and semi-urban areas across the state.
• In September 2021, the Punjab government approved a policy to develop 50-acre townships in New Chandigarh (Mullanpur) due to the rising demand for affordable housing in Chandigarh and Mohali.
• Under the Samagra Shiksha initiative, the Union Ministry of Education authorised a budget of Rs. 1,126 crore (US$ 152.91 million) for school education and teacher training in Punjab for FY22.
• In June 2021, the National Highways Authority of India (NHAI) announced planned infrastructure development work worth Rs. 1,417 crore (US$ 194 million) in Punjab for the current fiscal (FY22). The annual plan will cover 295 kms of national highways.
• In March 2021, Union Minister of Education Ramesh Pokhriyal ‘Nishank’ announced opening of a new Kendriya Vidyalaya in Punjab.
• Under the State Budget 2024-25:
  • Rs. 2,340 crore (US$ 282.61 million) has been allocated for transport of which funds Rs. 1,672 crore (US$ 201.93 million) has been allocated for roads and bridges.
  • Rs. 6,171 crore (US$ 745.29 million) has been allocated for health and family welfare to strengthen the health infrastructure of the state.
  • Under the State Budget 2024-25, the government has allocated Rs. 17,330 crore (US$ 2.09 billion) for school education. Of the total, the government allocated Rs 1,593 crore (US$ 192.39 million) towards Samagra Shiksha Abhiyan.
  • Under the State Budget 2024-25, Punjab has allocated 1% of its expenditure towards urban development. Under the State Budget 2022-23 Rs. 2,390 crore (US$ 304.07 million) have been allocated for urban development.
• In 2021-22, the total production of horticulture crops in the state was estimated to be 8,106.77 thousand metric tonnes and area under production was 439.56 thousand hectares. In 2021-22, the total production of vegetables and fruits was estimated at 5,758.47 thousand metric tonnes and 2,202.10 thousand metric tonnes, respectively.
  • In FY22, basmati rice exports from the state stood at US$ 318.27 million.
  • In the Rabi Marketing Season 2021-22, Punjab was the country’s top wheat procurer, with 132 lakh metric tonnes (LMT) of procurement at minimum support price.
• The state has emerged as a key hub for textile-based industries including yarn, readymade garments, and hosiery. With the development of apparel parks, favourable textiles policy and other incentives for the creation of textile infrastructure, the state offers numerous opportunities for investment. Punjab is the source of 95% of India’s woollen knitwear production, 85% of India’s sewing machine production, and 75% of India’s sports goods production.
  • In FY24, Punjab exported cotton yarn worth US$ 778.26 million and ready-made garments (manmade fibres) worth US$ 426.30 million.