Centre Notifies Two New SEZs in Puducherry to Attract ₹1,975 Crore Investment and Create 8,500 Jobs

The Central Government has notified two new Special Economic Zones (SEZs) in the Union Territory of Puducherry, marking a significant step towards strengthening the region’s industrial ecosystem, attracting investments, and promoting export-led economic growth.

The approvals were granted following recommendations from the Board of Approval under the Department of Commerce. Together, the two projects are expected to attract investments worth approximately ₹1,975 crore and generate around 8,500 direct and indirect employment opportunities.

One of the projects is an Information Technology and IT Enabled Services (IT/ITES) SEZ that will be developed by Oulgaret Municipality at Thattanchavady village in Oulgaret Taluk. Spread across 8.623 hectares, the project is expected to attract investments of nearly ₹725 crore and create employment opportunities for around 3,500 people.

The project is particularly notable as it will become the first Special Economic Zone in India to be developed by a municipal body. The initiative reflects the growing role of local governments in supporting industrial and technology-driven development.

The second project is a multi-sector SEZ proposed by the Pondicherry Industrial Promotion Development and Investment Corporation (PIPDIC) at Karasur village in Villianur Taluk. The development will cover 86.245 hectares and is expected to attract investments of approximately ₹1,250 crore. It is also projected to generate nearly 5,000 direct and indirect jobs across multiple industries.

According to the Ministry of Commerce and Industry, these projects represent an important milestone in Puducherry’s long-term economic development strategy. The new SEZs are expected to improve the investment climate, strengthen manufacturing capabilities, increase exports, and support industrial diversification.

The developments are also expected to benefit the broader Tamil Nadu, Andaman and Puducherry (TAP) region by creating new opportunities in manufacturing, technology, logistics, and allied sectors.

As India continues to position itself as a global manufacturing and export hub, the addition of these new Special Economic Zones is expected to enhance Puducherry’s competitiveness and attract both domestic and international investors in the coming years.