Chandigarh: Opportunities and Challenges



  • The city with emphasis on development of pollution free industry to generate opportunities for growth of employment is ideally suited for educational institutes and especially so for Information Technology Training institutes with the administrations thrust on HRD. The other industries with the potential on the same lines are IT/ITES, BPO, Bio Technology & Electronics industry. 
  • Being located centrally vis-à-vis the agriculturally rich states of Punjab and Haryana there is enormous potential for Food processing & beverages industry at the food park of the city.
  • Presence of large number of agricultural tractor units in the neighbouring districts has created opportunities for ancillary units. 
  • Chandigarh, as it is rightly called "The City Beautiful", offers an ample opportunity to tourism and hospitality industry because of various monuments and tourist attractions it has in and around the city. The total number of foreign tourists in Chandigarh during April-May`09 has been recorded at 6429 and domestic tourists during same period were 149861. 
  • To enable the integration of IT services with medical services at one place, Pharma industry has an opportunity to grow in this city. 
  •  There is more scope in rail (10 trains) and road (417 buses) network to expand so as to have direct link with the city.
  • Infrastructural development can be focused upon to help other industries like Bio-technology, Pharma, and Logistics.
  • Govt. policies regarding SEZs have come as an opportunity to Information Technology as well as ITSS/BPO, and other industries. 
  •  Phase III of RGCTP, which will be started by Dec`09, certainly create huge amount of employment opportunities as well as business for the ultimate development of Chandigarh.


  •  As the Union Territory was not envisaged as an industry led city during planning of the city, there is little space allotted and consequently there is not enough space for new industry to be established. 
  • The emphasis of state on environment and synchronous architecture, development of bio-zones to prevent sound pollution near residential areas to improve quality of work life have lead to restrictions on living quarters in the industrial units.
  • Chandigarh being a Union Territory with limited space for industrial growth the administration offers hardly any incentives for the industry. 
  • Despite being an IT hub having 2 IT parks, RGCTP and STCI, Chandigarh is facing the challenge to get uninterrupted power to run its industries. 
  • Up gradation of the domestic airport to international airport needs to be implemented as Chandigarh being one of the most visited tourist spots in the country. 
  • Lack of proper internet facility in the neighbouring villages of Chandigarh is a big challenge to be dealt with by the city due to the nature of IT operations.
  • One of the major concerns is that the area under cultivation by the farmers in Chandigarh is decreasing due to acquisition by the govt. authorities which will effect the growth of primary sector in GSDP and inturn India''''''''s growth.

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