Chandigarh: In a firm bid to protect the industrial character of the city, the Chandigarh administration will not be permitting Business-to-Consumer (B2C) activities in Industrial Areas Phase I and Phase II under the proposed amendments to the Chandigarh Master Plan 2031.This is as per the recommendations of the Expert Committee under the chairmanship of Deputy Commissioner-cum-Estate Officer, U.T. Chandigarh, constituted as per directions of UT Administrator, to examine priority areas under the Deregulation agenda.The recommendations, aimed at maximising land utilisation, allow for additional industrial and service sector activities in these zones — but strictly limit them to Business-to-Business (B2B) operations. Direct customer-facing businesses will remain prohibited.According to the committee’s report, Chandigarh’s dedicated Industrial Areas (Phases I, II, and III) account for just 1,410 acres — approximately 4.8% of the city’s total area. This is at the lower end of international benchmarks, where global cities typically allocate 5% to 15% of urban land for industrial purposes. The committee noted that 7–8% is ideally required for balanced urban development.While Industrial Areas Phase I and II are fully developed with complete trunk infrastructure, the Conversion Policy of 2005 has led to a gradual shift of some plots toward commercial use, eroding their original industrial character. To counter this, the committee has recommended expanding permissible activities in these phases, including IT/ITES, warehousing, testing labs, and certain backend services — all while enforcing a strict ban on B2C operations.In contrast, the committee has suggested a significant shift for Industrial Area Phase III. Out of the 153-acre zone, 60 acres currently earmarked for warehousing and related uses will be developed as a Mixed Land Use Area, incorporating residential, commercial, institutional, cultural, and recreational components. This move aligns with the Government of India’s Deregulation 1.0 reforms while preserving the overall industrial identity of the city.The committee emphasised that Chandigarh’s neighbourhood planning concept already provides ample commercial spaces in every sector, making dedicated industrial zones essential for maintaining economic balance.ACTIVITIES IN INDUSTRIAL AREAU.T. Chandigarh notified its Industrial Policy 2015 and subsequently issued an amendment to the aforementioned policy in 2019. As per Chapter 05 of Chandigarh Industrial Policy 2015 the activities relating to IT/ Electronics/Software/Hardware, ITES Units and Technology & Research units (as mentioned at Annexure C) were allowed.Subsequently, in 2019, an amendment of the aforementioned policy was notified further allowing more activities – Booster Station with respect to IT/ITES; Warehousing Facilities for General items, Industrial Goods, White Goods, Medical/Surgical Goods; All types of authorized service centers related to industry- strictly for Business to Business (B2B); Engineering/Industrial/Structural Testing Labs; Audio-Visual Recording Studios for social media (for photo labs/film labs only); Documentation Centres for Industrial Designing and Printing; CAD/CAM design workshop (for pattern-like drawing for industries only Photoshop); no Security Management Services (for backend services and equipment store only; Display by manufacturers of Furniture, Electrical Goods, Auto Parts, Welding Equipment, and Apparels as demonstration only, from the front portion of the building; Base Kitchen for restaurants and outdoor caterers, without opening a dine-in/takeaway/online restaurant subject to pollution control and environmental norms.Overall, no activity involving direct service to customers is allowed as per the Chandigarh Industrial Policy 2015, Amendment 2019 and Chandigarh Master Plan 2031.

