New Delhi: SEZs in Puducherry received a major boost as the Government of India notified two new Special Economic Zones (SEZs) in the Union Territory following approval by the Board of Approval for SEZs under the Department of Commerce.
The proposals were approved during the Board’s 137th meeting held on February 27, 2026.
The notification of these SEZs in Puducherry marks a significant step in the Government’s efforts to strengthen India’s industrial base, expand exports, and promote self-reliance across strategic sectors.
The newly approved projects are expected to support Puducherry’s industrial and export-led growth agenda by creating fresh opportunities for investment, manufacturing, and employment generation.
Among the newly approved SEZs in Puducherry, one IT/ITES Special Economic Zone will be developed by M/s Oulgaret Municipality at Thattanchavady village in Oulgaret Taluk.
This project is notable for being the first SEZ in India to be developed by an Urban Local Body, specifically a municipality.
The second project is a Multi-Sector Special Economic Zone that will be developed by M/s Pondicherry Industrial Promotion Development and Investment Corporation (PIPDIC) at Karasur village in Villianur Taluk.
According to the approved plans, the two SEZs in Puducherry are expected to attract substantial investments and generate significant employment opportunities.
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Details of the Approved SEZ ProjectsS. No. Name of the Entity Proposed Location of SEZ Land Area (Hectares) Proposed Investment (₹ Crore) Proposed Employment (Direct/Indirect) Sector of operation 1 M/s. Oulgaret Municipality Thattanchavady village, Oulgaret Taluk, Puducherry 8.6230 725 3500 IT/ ITES 2 M/s. Pondicherry Industrial Promotion Development and Investment Corporation Karasur village, Villianur Taluk, Puducherry 86.2457 1250 5000 Multi Sector
Collectively, the two SEZs in Puducherry are projected to attract investments worth ₹1,975 crore and create approximately 8,500 direct and indirect employment opportunities.
The approvals further highlight the growing industrial momentum across the Tamil Nadu, Andaman & Puducherry (TAP) Region, where diversified sectors and large-scale projects are increasingly contributing to economic development and job creation.
Officials stated that the notification of these SEZs in Puducherry aligns with the broader national strategy of strengthening India’s industrial, technology, manufacturing, and services ecosystem through diversified SEZ-led growth.
The initiative is expected to enhance economic resilience, attract greater investments, boost exports, and generate sustainable employment opportunities.
With the establishment of these new SEZs in Puducherry, the Union Territory is expected to emerge as a stronger destination for industrial development, technology-driven investments, and export-oriented growth in the coming years.
