The Vision Behind Dholera SIR: Asia’s Largest Greenfield Smart City
Spanning over 920 square kilometers – twice the size of Mumbai – Dholera Special Investment Region (SIR) represents India’s most ambitious urban development project. Conceived under the Delhi-Mumbai Industrial Corridor (DMIC) initiative, this special investment zone aims to become a global manufacturing and trading hub. Located approximately 100 km southwest of Ahmedabad in Gujarat, Dholera is strategically positioned near the Gulf of Khambhat, offering direct access to international maritime routes through its upcoming port facilities. The city’s master plan integrates Japanese smart city technologies with sustainable development principles, featuring dedicated zones for industries, logistics, residential areas, and recreational spaces.
What sets Dholera apart is its foundation as a greenfield project, allowing planners to embed smart infrastructure from the ground up. The blueprint includes an underground utility corridor for water, electricity, and telecom networks – eliminating disruptive road-digging – and a comprehensive sensor network for real-time monitoring of traffic, energy usage, and security. The development follows a phased approach, with the initial 22.5 sq km Activation Area nearing completion. This zone serves as the proving ground for Dholera’s innovative concepts, including automated waste collection systems, renewable energy integration, and AI-driven governance platforms designed to optimize resource allocation and public services.
Dholera’s economic model revolves around attracting high-value industries, with designated clusters for electronics, pharmaceuticals, engineering goods, and renewable energy. The regulatory framework offers unparalleled ease of business through single-window clearances and world-class infrastructure. Environmental sustainability is woven into its DNA, with 17% of the area reserved for green belts, solar-powered street lighting, and water recycling mandates for industries. The city’s development authority has already secured partnerships with global technology giants for implementing its digital backbone, positioning Dholera not just as an industrial hub but as a living laboratory for urban innovation.
Transformative Infrastructure: Connectivity and Key Developments
Dholera’s infrastructure blueprint is rewriting India’s urban development playbook. The centerpiece is the upcoming Dholera International Airport, being developed in collaboration with Airbus. This greenfield aviation hub will feature two parallel runways capable of handling A380 aircraft, dedicated cargo terminals, and MRO (Maintenance, Repair, Overhaul) facilities. Slated for operationalization by 2025-26, the airport will significantly reduce logistics costs for industries within the SIR while serving as a passenger gateway to the region. Complementing this is the six-lane expressway connecting Dholera to Ahmedabad, cutting travel time between the two cities to just 75 minutes – a critical link enabling workforce mobility.
Recent progress includes the near-completion of the first phase of trunk infrastructure in the Activation Area, covering roads, water supply, sewage treatment, and power distribution. The city draws water from the Karad Dam through a dedicated 65-km pipeline, while its 320 MW solar power plant ensures clean energy. For the latest dholera smart city project update, industry observers note accelerated development following the allocation of ₹3,285 crore in the 2023-24 Union Budget. Key milestones achieved include the operationalization of the Sabarmati Riverfront-like water retention system and the commencement of plot allotments for commercial and industrial establishments in the early development zones.
The city’s transportation matrix integrates multiple modes, featuring a proposed metro link to Ahmedabad, BRTS corridors within Dholera, and dedicated cycling tracks to promote zero-emission commutes. The Dholera Ahmedabad industrial corridor is emerging as an electronics manufacturing powerhouse, with major companies securing land parcels for factories. Notably, the upcoming high-speed rail station will place Dholera on India’s bullet train network, connecting it to Mumbai in under two hours. These connectivity assets transform Dholera from an isolated greenfield project into a well-connected economic engine that leverages its proximity to both Ahmedabad’s talent pool and international trade routes.
Investment Magnetism: Why Global Capital is Flocking to Dholera
Dholera SIR functions as a self-contained economic ecosystem offering unparalleled incentives under Gujarat’s Special Investment Region Act. Industries establishing operations here benefit from tax exemptions for the first five years, subsidized land rates, and expedited environmental clearances. The development authority has allocated 40% of the total area exclusively for industrial and manufacturing units, creating critical mass in sectors like electric vehicles, semiconductors, and aerospace components. Major corporations including Tata Group, Suzuki, and Rosoboronexport have committed investments totaling over $10 billion, validating Dholera’s position as India’s premier industrial destination.
The residential and commercial real estate sector shows equal dynamism, with plotted developments and integrated townships offering modern amenities. Property values in the Activation Area have appreciated by 300% since 2016, outperforming most Indian real estate markets. Dholera’s unique land pooling policy, where farmers contribute land in exchange for developed plots and annuity payments, has secured over 11,000 hectares without contentious acquisitions. This model creates shared value between developers and original landowners, with participating farmers receiving 25% more land value than market rates plus annual compensation for a decade.
Financing innovation further enhances Dholera’s appeal. The development corporation has established India’s first municipal bond market dedicated to smart city infrastructure, attracting institutional investors seeking ESG-compliant opportunities. The project’s scale creates massive ancillary opportunities – from logistics providers to skill development centers training workers for advanced manufacturing. With Japan committing $750 million in technical assistance and the UK announcing a £1.2 billion investment package, Dholera exemplifies how strategic infrastructure transforms regional economies. The city’s development authority projects direct employment generation for 800,000 workers and indirect jobs for two million people by 2040, fundamentally reshaping Gujarat’s economic geography.
Ibadan folklore archivist now broadcasting from Edinburgh castle shadow. Jabari juxtaposes West African epic narratives with VR storytelling, whisky cask science, and productivity tips from ancient griots. He hosts open-mic nights where myths meet math.