Bhubaneswar: Odisha is setting a new pace for industrial transformation in 2026, with recent economic data and project approvals signaling a shift from a traditional mineral-based economy to a high-technology and green energy powerhouse. According to the Odisha Economic Survey 2025-26, the state is projected to grow at 7.9 percent in the current fiscal year, notably outpacing the national average of 7.4 percent.
This momentum is anchored by the industrial sector, which now contributes 41.3 percent to the state gross value added and is expanding at a robust rate of 8.3 percent in manufacturing. with the Vision 2036 of Chief Minister Shri Mohan Charan Majhi and under the strategic execution of industrial transformation plan by Team Odisha led by of Shri Hemant Sharma, Additional Chief Secretary (ACS) for Home, Industry, and Information & Public Relations, Odisha is undergoing a profound industrial renaissance that moves the state beyond its traditional mineral-heavy identity toward a diversified, high-technology future.
The state government recently reached a significant milestone by clearing 10 major industrial proposals worth 44,241 crore. These projects, spanning eight districts including Khurda, Koraput, and Dhenkanal, represent a deliberate move toward economic diversification. Unlike previous years dominated by steel and mining, the new wave of investments focuses on semiconductors, rare earth materials, and aerospace components.
A central pillar of the state’s current growth strategy is the transition to green energy. Over 30,000 crore of the latest approvals are dedicated to pumped storage hydropower projects. Major players like Adani Hydro Energy, Greenko, and Jindal Green are leading these initiatives in districts such as Nayagarh and Kalahandi. These projects are designed to provide the stable energy storage necessary to support the state’s goal of reaching 10 GW of renewable capacity by 2030.
Beyond power generation, the Hydrogen Valley Innovation Cluster, led by IIT Bhubaneswar, is entering a critical phase. This initiative aims to decarbonize hard-to-abate industries like steel and cement by integrating green hydrogen into their production cycles. Companies like Dalmia Cement and Jindal Steel and Power have already committed to adopting these technologies to meet net-zero targets.
Infrastructure expansion remains the backbone of this industrial surge. The state is significantly increasing its port handling capacity, with plans to raise the capacity of non-major ports from 200 million metric tonnes per annum to 500 million metric tonnes. This is complemented by a 4,182 crore investment in the Building and Management of Aviation Assets and Network (B-MAAN) to strengthen regional air connectivity.
These industrial gains are translating into tangible livelihood improvements. The per capita income in Odisha has risen to 1,86,761, a 9.2 percent increase that reflects broader economic inclusion. The latest projects alone are expected to generate nearly 9,000 direct jobs, while the 244 projects approved over the last year aim to create over 3.3 lakh employment opportunities. By focusing on ancillary and downstream units, the state is ensuring that large-scale industrialization supports a growing network of local MSMEs and service providers.
Beyond manufacturing, Shri Sharma’s multi-departmental role allows for a unique integration of industrial speed with administrative transparency and public outreach. He has focused on developing a comprehensive ecosystem where large anchor industries support a growing network of MSMEs and startups, ensuring that the state’s 7.9 percent economic growth translates into localized livelihoods across all 30 districts.
Under his guidance, Odisha is targeting the commissioning of 5 lakh crore worth of projects by 2029, with a specific focus on making the state a global hub for green fuels and electronics. By streamlining regulatory frameworks and prioritizing the development of multimodal port cities like Dhamra and Bahuda, ACS Shri Sharma is effectively positioning Odisha as the preferred destination for global investors and a cornerstone of India’s manufacturing future.