Gwalior is set to emerge as a major telecom manufacturing hub with the establishment of Asia’s first Telecom Manufacturing Zone (TMZ), involving an investment of approximately ₹5,500 crore and expected to generate more than 18,000 direct employment opportunities, the Ministry of Communications said.
On Sunday, Union Minister for Communications and Development of North Eastern Region Jyotiraditya Scindia inspected the site identified for the proposed TMZ at Shrimant Madhavrao Scindia Counter Magnet City (SADA) in Gwalior, along with the Secretary, Department of Telecommunications, and other senior officials.
“The project is not about setting up a single industrial unit, but about creating a complete industrial ecosystem comprising 24-25 telecom manufacturing units in Gwalior. These units will manufacture telecom equipment and a range of components, strengthening the city’s position as an emerging telecom manufacturing hub,” Scindia said.
170 acres identified for first phase
Around 170 acres of land has been identified for the first phase of the proposed TMZ, including more than 90 acres in SADA and over 70 acres in the IT Park, according to the ministry.
Scindia said the project has generated significant interest among investors, with applications for setting up manufacturing units exceeding the land currently available.
He said additional land would be identified for expansion of the first phase and that land allocation would be increased, if required.
SADA was originally established as a Counter Magnet City with the objective of developing Gwalior as a new industrial centre and a counter-magnet to Delhi. The proposed TMZ seeks to build on this vision by establishing a dedicated telecom manufacturing ecosystem in the city, the ministry said.
24 companies initiate application process
The Department of Telecommunications and the Madhya Pradesh government signed an MoU in July 2026 for establishing the TMZ.
This was followed by investor roadshows in Delhi and Mumbai in August, led by Scindia and Madhya Pradesh Chief Minister Mohan Yadav.
The Delhi roadshow attracted investment commitments of approximately ₹3,500 crore, with the potential to generate around 14,000 employment opportunities, while the Mumbai roadshow attracted commitments of approximately ₹2,000 crore, with around 4,000 employment opportunities, the Ministry said.
Scindia said companies that expressed interest in the project were asked to participate in the application process as part of the land allocation exercise. As a result, 24 companies have initiated the application process to establish manufacturing units in the proposed TMZ.
Incentives for telecom manufacturing
Scindia thanked the Madhya Pradesh government for developing a dedicated incentive package for the telecom manufacturing industry.
The package includes incentives linked to land leases, power, employment and production, besides measures aimed at promoting environmental sustainability and green development.
The Department of Telecommunications has also proposed a Common Testing Lab package worth approximately ₹500 crore, which is expected to provide testing infrastructure for telecom manufacturing units in the zone.
Connectivity and skilled workforce to support growth
Scindia highlighted Gwalior’s connectivity, infrastructure and availability of skilled human resources as key strengths for developing the TMZ.
The approximately 120-km Agra-Gwalior High-Speed Corridor is being developed to strengthen Gwalior’s connectivity with Delhi and major markets across North India, bringing the city closer to key industrial and commercial centres.
Gwalior is also located on major railway routes, facilitating the movement of goods and human resources to different parts of the country.
The Gwalior airport has been developed at a cost of approximately ₹650 crore in a record 16 months, further strengthening air connectivity with major cities including Delhi, Mumbai and Bengaluru, the ministry said.
The city also has a strong base of engineering institutions, with approximately 25,000 engineering students graduating every year. This is expected to provide the technical and skilled workforce required to support the growth of the telecom manufacturing sector.
-PIB Inputs
