MUMBAI: The state continues to be number one in industrial presence and NCP (SP) chief Sharad Pawar should realise that 76% of companies that close down are defunct companies, said chief minister Devendra Fadnavis on Friday.He was responding to Pawar’s comment that the situation in the state was concerning as government data showed 36,211 companies had closed down here in the last five years.In a long social media post accompanied by multiple graphics, Fadnavis also explained what defunct meant: “Defunct means dysfunctional, meaning those companies that never even started!”At the same time, Fadnavis agreed that there were “some problems” in Chakan, a manufacturing hub near Pune, and said that he had directed industries minister Uday Samant to pay attention to these.The industrial data provided by the ministry of corporate affairs in Parliament that Pawar cited had also showed 20 companies were shifting out of the Chakan industrial belt due to traffic, pollution and utility deficits, affecting over 2,000 workers.The ministry had also noted a major impact on the city, Thane and Pune across manufacturing and business services.
Fadnavis said that 20,000-22,000 companies shut every year in India
Fadnavis took to social media to put out figures countering Pawar’s claim that the situation was concerning.In his post, Fadnavis said: “In response to a question by MP Rajabhau Vaje in Parliament, some information was provided by the central govt. 36,211 companies in the state have closed, and so on… Some new leaders have conveniently interpreted this and posted on social media, and some media outlets have reported on it. But you are a sensible and senior leader who always thinks of Maharashtra’s welfare, so to ensure there’s no misunderstanding in your mind, here’s a bit of an elaborate explanation!”Fadnavis said there is a standard format for a question asked in Parliament and its answer, as also for a question asked under the Right to Information Act and its answer.He said only if the question is discussed in the house can other details be obtained. He said all information on industries is available on the ministry of corporate affairs website and even provided a link on his social media post.He said the media had created the impression that many companies have closed.“There are over 31 lakh registered companies in the country. Of these, about 21 lakh companies are currently active. In 2015-16, the number of active companies in India was 6,78,768; now it’s 21,17,747. That means in the last 10 years under Hon. Modiji’s leadership the number of active companies has more than tripled,” Fadnavis said.He said the state has the maximum number of companies (3,96,211) that are operational as of June 3, 2026. Delhi came next (2,72,342), and then Uttar Pradesh (1,85,982).Fadnavis said the state continues to be at the forefront of new companies being registered. Around a lakh new companies are registered in the country every year.Fadnavis said in 2025-26 the state witnessed 41,525 new companies being registered as against 20,272 in Delhi, 27,494 in UP, 17,857 in Karnataka, 17,024 in Tamil Nadu, 17,300 in Telangana, 14,666 in Gujarat and 10,598 in West Bengal.Excluding the period during the Covid pandemic, Fadnavis said on average 20,000-22,000 companies shut down every year, the reasons being defunct (76%), amalgamation or mergers (12%), liquidation (2%).He pointed out that in 2019-20 the ministry of corporate affairs ran a special campaign and struck off six lakh companies, adding that the number of closed companies is lower than the number of struck off companies.Referring to the Chakan industrial belt and the problems there, Fadnavis said that on the initiative of the MIDC a meeting was held on August 12 of all authorities concerned and a plan has been finalised with short- and long-term solutions to resolve these.“Our effort will be that not a single industry leaves from there. Maharashtra is industry-friendly after all. That’s why foreign investment keeps coming to the state consistently. We are consistently at number one and we will remain so,” said Fadnavis in his social media post.
