Manufacturers in Maharashtra’s Chakan industrial zone are reconsidering their presence due to ongoing infrastructure challenges, including poor roads, congestion, and power issues, prompting fears of a significant shift of businesses to other states.
Chakan, one of Maharashtra’s best-known industrial belts, is under renewed pressure as manufacturers weigh whether to stay or move. A report by CarToq said 20 small and medium-sized firms in the Chakan Industrial Development Corporation area have begun looking for alternative sites, citing poor roads, persistent congestion and weak basic services as the main reasons for their frustration.
The complaints are not new. According to Construction World, companies in the area have been dealing with bottlenecks that slow the movement of raw materials into factories and finished goods out to market, with potholes, long delays and a lack of traffic police at key junctions worsening the situation. That report said about 50 manufacturing units were considering shifts to states including Gujarat, Karnataka, Andhra Pradesh and Madhya Pradesh, though those figures have not been independently verified here.
Local industry representatives say the strain goes beyond logistics. Hindustan Times reported that firms in Chakan MIDC have faced repeated traffic snarls that are costing them money, while some employees have complained that commuting has become so difficult that it is affecting morale and recruitment. The same report said businesses have also raised concerns about power cuts and voltage fluctuations, adding to losses through machine wear, production delays and wasted material.
MIDC has pushed back against claims of a mass exodus. According to My Pune Pulse, the authority denied reports that 50 companies had already relocated from Chakan and said it had not received formal complaints about businesses moving away. The authority said the industrial area covers 2,700 hectares and has 109 kilometres of road infrastructure, while also noting that repairs followed heavy rain damage. Even so, the dispute underlines how exposed Chakan remains to congestion, patchy infrastructure and extreme weather. Times of India reported this year that flooding again disrupted operations in parts of the industrial zone, and the Federation of Chakan Industries has welcomed ₹361.62 crore in sanctioned funding for road upgrades in the belt.
Disclaimer: This article is intended to inform and educate, not to recommend or endorse any financial product, investment or strategy. Please consider your own financial circumstances and seek professional advice where appropriate before making financial decisions.
