Udupi district administration has announced a firm timetable to ensure industrial land allotted for new factories is put to productive use. District Collector Swaroopa T.K. warned that entrepreneurs who fail to commence industrial activity within six months of allocation will have their plots reallocated to interested applicants.
Udupi industrial plot reallocation to be prioritised for active entrepreneurs
The decision was taken during a district-level single-window committee meeting and an industrial response meeting held at the Collectorate auditorium in Manipal, where the collector presided. Officials noted a pattern of repeated requests for extensions from plot allotment beneficiaries, often citing changes in product lines or unit names as reasons to delay commencement.
To curb such delays, the administration will adopt a priority-based approach. Plots will be reassigned first to new applicants who have submitted online applications and whose project land demand is under two acres and project cost below ₹15 crore. Such cases will be considered at the district level to expedite allotment when a plot becomes available.
The collector directed that if sufficient plots are not available, authorities should write to the commissioners to provide additional land. Those who apply for plots will be asked to submit their lists to the district office so allocations can be processed without delay.
Officials were also instructed to fast track land acquisition procedures where road widening and other civil works are required for the Belapu industrial area. Compensation must be delivered to affected landowners within one month. If landowners delay receiving the compensation, the administration will deposit the compensation amount in court and proceed with acquisition.
Basic infrastructure requirements within industrial areas were given equal priority. The administration will ensure the provision of roads, drains, water supply and electricity connections to make plots investment ready. These facilities are intended to reduce time to operation for new units and encourage more entrepreneurs to set up small and medium enterprises.
The meeting also reviewed outcomes from the skill development drive under the PM Vishwakarma scheme. The collector said 6,307 beneficiaries have already received training, loan facilities for 3,992 beneficiaries have been approved and financial assistance has been disbursed to the accounts of 3,675 beneficiaries. The programme is intended to boost micro and small enterprise creation and link training outcomes with capital support.
Senior officials at the meeting included Nagraj V. Nayak, Joint Director of the Industries Department; Vasanth Kini, District President of the Small Scale Industries Association; Sitaram Shetty, Deputy Director of the District Industries Centre; municipal commissioner Manhatesh Hangaragi; and Harish Kundar. The collector stressed that promoting small enterprises will spur local economic growth and create employment.
In addition, the collector instructed priority identification of land for a new industrial area in Hebri taluk. Survey work has begun to mark boundaries for 74.84 acres at Shivapur and 38.75 acres at Kerebettuvina, totalling 113.59 acres including private and government land. Some survey numbers fall within reserved forest areas and the forest department has been asked to conduct joint surveys and furnish reports so land can be released where appropriate.
With clear timelines for plot utilisation, commitments to infrastructure and a focus on matching training with finance, the Udupi administration aims to convert idle allotments into operational enterprises that broaden the district economy and generate jobs.
Key Takeaways:
- Udupi district will reallocate industrial plots if allotted entrepreneurs do not begin operations within six months.
- Priority will go to fresh online applicants with projects under ₹15 crore and land needs below 2 acres.
- Infrastructure upgrades and rapid land acquisition compensation will be prioritised to speed development.
- Skill training and financial support under the PM Vishwakarma scheme have already benefitted thousands.

















