Cluster Development Programme Expands Across UP; Govt Highlights Completed and Ongoing MSME Projects

The Government of India has underscored the growing role of the Micro and Small Enterprises Cluster Development Programme (MSE‑CDP) in strengthening the MSME sector across Uttar Pradesh.

Responding to a Lok Sabha unstarred question, the Ministry of MSME detailed the progress of cluster projects and infrastructure development initiatives, highlighting both completed and ongoing schemes that aim to boost productivity, competitiveness, and formalisation of enterprises.

At the national level, the government highlighted the success of the Udyam Registration Portal (URP), launched in July 2020, which has simplified the registration process for MSMEs. The portal is fully online, paperless, and based on self‑declaration, enabling millions of enterprises to integrate into the formal economy.

For informal micro enterprises exempted from GST, the Udyam Assist Platform (UAP) was introduced in January 2023 in partnership with SIDBI. Together, these platforms have brought 6.69 crore enterprises into the formal fold as of August 2025, including 6.64 crore micro units, 4.78 lakh small enterprises, and 35,884 medium enterprises.

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In Uttar Pradesh, the Micro and Small Enterprises Cluster Development Programme (MSE‑CDP) has been instrumental in developing clusters and industrial estates. The Ministry confirmed that a new industrial estate has been sanctioned in Baghpat district, with a project cost of ₹548.30 lakh. This project is part of a broader set of initiatives aimed at providing common facilities, infrastructure, and support systems to MSMEs across the state.

The annexure to the government’s reply lists a wide range of projects. Among the completed Common Facility Centres (CFCs) are the Pottery Cluster in Khurja (₹182.90 lakh), the Scissors Cluster in Meerut (₹511.42 lakh), the Modern Carpet Backing Plant for tufted carpets in Bhadohi (₹517.50 lakh), and the Zari Zardozi Cluster in Unnao (₹224.18 lakh). These projects have provided shared infrastructure and technology upgrades to traditional industries, helping artisans and small producers modernise their operations.

Several ongoing CFCs are also under implementation, including the Hi‑Tech Silk Weaving Cluster in Varanasi (₹1,385.30 lakh), the Readymade Garments Cluster in Bareilly (₹690.60 lakh), the Brassware Cluster in Sant Kabir Nagar (₹1,057.80 lakh), and the Rice Mill Cluster in Chandauli (₹1,500 lakh). These projects are expected to provide modern machinery, testing facilities, and training centres, thereby enhancing competitiveness and export potential.

In terms of Infrastructure Development (ID) projects, the government highlighted both completed and ongoing estates. Completed estates include those at Kursi Road in Lucknow (₹506 lakh), Masoori‑Gulawati in Hapur (₹509.19 lakh), Bhadohi (₹594 lakh), Ram Nagar in Chandauli (₹567.15 lakh), Banthar in Unnao (₹550 lakh), Kosi‑Kotwan in Mathura (₹700 lakh), and Etah (₹515 lakh). These estates provide industrial plots, utilities, and common facilities to MSMEs, enabling them to scale operations in organised clusters.

Ongoing ID projects reflect significant investment in upgrading existing estates and building new complexes. These include the upgradation of industrial estates in Agra, Firozabad, Meerut, Lucknow, Farrukhabad, Badaun, Jalaun, Jaunpur, Sitapur, and Etah, with costs ranging from ₹296 lakh to over ₹940 lakh. Large‑scale projects such as the Flatted Factory Complex Phase I at Foundry Nagar, Agra (₹2,641.25 lakh), Udyog Nagar, Kanpur (₹2,472.19 lakh), Gorakhpur (₹3,392.11 lakh), and Amausi, Lucknow (₹3,430.23 lakh) demonstrate the government’s commitment to creating modern industrial infrastructure for MSMEs.

Together, these initiatives highlight the government’s dual strategy: formalising millions of enterprises through simplified registration, while simultaneously investing in cluster‑based infrastructure to enhance competitiveness. The expansion of the Cluster Development Programme across Uttar Pradesh is expected to provide MSMEs with access to modern facilities, reduce costs through shared resources, and improve their ability to compete in both domestic and international markets.

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