MIHAN Nagpur: A Decade of Failures?

thenewsdirt
Feb 23
4 min read

Illustration of MIHAN in Nagpur with cranes and unfinished structures under a cloudy sky. Overgrown grass and puddles line the dirt paths, creating a somber mood. — MIHAN Nagpur: A Decade of Failures?

Launched with high expectations, MIHAN was projected to become a significant economic driver for central India, positioning Nagpur as a logistics and industrial powerhouse.

Its strategic location at the geographical centre of the country and the promise of generating thousands of jobs had raised hopes among locals and policymakers alike.

Yet, as years passed, reality painted a different picture. Infrastructure that was supposed to attract investors crumbled, land meant for development remained barren, and deadlines were missed repeatedly.

Land Utilisation and Industrial Response: A Missed Opportunity

A central component of MIHAN’s blueprint was land allocation for industries, aimed at drawing investments in sectors like IT, healthcare, aviation, and logistics.

However, the figures over the years tell a disappointing tale. In 2015, 81 companies had been allotted land within the project, yet 63 of them had failed to start any activity.

The Maharashtra government, recognising this stagnation, considered revoking these allocations to reinvigorate the project. Even with such measures on the table, progress was sluggish.

By mid-2022, official data revealed that out of the 1,054 hectares earmarked for the Special Economic Zone (SEZ), a significant 343 hectares remained unoccupied.

Such underutilisation stemmed from several factors. While many companies cited global economic uncertainties, others blamed bureaucratic delays in obtaining clearances.

DLF Limited, for instance, was allotted 140 acres in 2007 with grand plans for a tech park. Yet, by 2023, MIHAN authorities demanded the return of the land as no construction had commenced even after 15 years.

This was not an isolated case; many other parcels allotted to firms remained barren, showing how expectations often clashed with ground realities.

Delayed Infrastructure and Operational Setbacks

Illustration of MIHAN in Nagpur with a backdrop of factories. A road with potholes leads to a tunnel glowing with warm light. Overcast sky, moody atmosphere. — Delayed Infrastructure and Operational Setbacks

MIHAN’s promise hinged heavily on the development of top-tier infrastructure. Unfortunately, delays plagued almost every significant undertaking within the project.

The Maintenance, Repair, and Overhaul (MRO) facility, intended as a key attraction, is a telling example.

Initially planned to be operational by March 2013, land acquisition issues and regulatory hurdles pushed back deadlines repeatedly.

Boeing eventually handed over the facility to Air India only in early 2015, several years behind schedule. Even after completion, the facility struggled to attract clients, limiting its anticipated economic boost.

Roads and other connectivity infrastructure fared no better. Reports from 2025 highlighted deteriorating conditions within the MIHAN complex, broken roads, malfunctioning streetlights, and unsafe underpasses were common complaints.

For an initiative aimed at attracting global investors, such basic lapses made the region less appealing.

The Nagpur Metro’s Orange Line, which was meant to improve connectivity to MIHAN, saw partial success. Launched in 2015, its first phase became operational in March 2019, easing commutes for some areas.

Yet, connectivity alone could not compensate for other shortcomings. While transportation links improved, the surrounding industrial zones remained sparsely populated with functioning enterprises.

Legal Battles and Administrative Hurdles

Beyond physical infrastructure, MIHAN grappled with a web of legal complexities and administrative inefficiencies. In 2015, a significant portion of land, over 25 acres allotted to Asara Realty Ventures Private Limited, became entangled in a disproportionate assets case, effectively freezing any planned development.

Such disputes were not rare. Delays in clearances, conflicting jurisdictional claims, and prolonged litigation stymied progress on multiple fronts.

Encroachment issues further complicated matters. Shivangaon, a key area for MIHAN’s expansion, became a focal point of controversy as illegal constructions obstructed planned airport extensions.

While local authorities took action in early 2025 to clear these encroachments, years of delay had already dampened investor interest and slowed potential growth.

Even when legal hurdles were absent, procedural red tape remained an obstacle. Several companies cited long wait times for essential approvals as a reason for stalled operations. For an ambitious project reliant on seamless execution, such administrative friction proved costly.

The Struggles of Industrial and Community Integration

Illustration of abandoned construction site with incomplete buildings, cranes, and trucks at MIHAN in Nagpur. Overcast sky adds a somber mood. Dirt pathways overgrown. — The Struggles of Industrial and Community Integration

MIHAN’s vision extended beyond being a logistics hub, it aimed to foster a vibrant industrial ecosystem complemented by residential and commercial zones. However, the integration between these facets remained weak.

Industries that did set up shop often complained about the lack of basic amenities. In February 2025, for instance, a tragic accident at Lupin Limited’s facility in MIHAN, where a young employee lost his life, drew attention to inadequate safety measures.

Such incidents raised concerns about operational standards within the estate.

Meanwhile, local residents voiced growing disillusionment.

Communities that had anticipated economic upliftment found that job creation was far below expectations. The target of 120,000 jobs seemed increasingly out of reach as, by 2011, only 655 individuals had been employed by the few operational units. This shortfall persisted well into the next decade, fuelling dissatisfaction.

While institutions like AIIMS Nagpur brought some activity to the region after commencing operations in 2018, the broader promise of MIHAN remained largely unrealised.

With vast tracts of undeveloped land and minimal industrial buzz, the surrounding residential projects struggled to attract occupants.

The sight of MIHAN today is marked by unfinished buildings, empty lots, and quiet roads. Wide stretches of land remain unused, and construction equipment sits idle. Roads that were meant to connect industries now lead to areas that show little activity.

Walking through the area, it is hard to miss how time has passed without much changing.

The surroundings reflect years of plans that did not progress as expected.

There are no crowds, no steady movement of trucks, or the kind of activity that was once anticipated. Instead, there is stillness, where things seem paused.