Mangaluru
A major industrial push under Karnataka’s New Industrial Policy 2025–30 is set to transform the coastal region with investment agreements worth around ₹4,000 crore, expected to generate 3,780 jobs across key sectors in Dakshina Kannada and Udupi districts.
The policy focuses on accelerating industrial growth by categorising regions into Zone-1 and Zone-2, offering incentives to attract large-scale investments. Authorities have also mandated that 70% of direct jobs must be reserved for Kannadigas, while Group-D positions must be filled entirely by local residents, ensuring strong employment opportunities for the local workforce.
According to the plan, four major industries will be established in the coastal belt, particularly in Mangaluru and Udupi, boosting economic activity in the region. In Udupi alone, investments worth ₹275 crore are expected to develop hotels, resorts, and water adventure tourism projects, strengthening the area’s hospitality sector.
Dakshina Kannada will see six projects worth ₹273.57 crore, creating around 750 jobs, while Udupi will host two projects worth ₹71.1 crore, generating about 280 jobs. Officials noted that over the past two years, eight approved projects in both districts have already attracted ₹344.67 crore in investments with 1,030 expected employment opportunities.
The coastal region has been identified as a priority area for tourism-driven development, with over 12 companies already committing ₹822.55 crore for hospitality-related projects. The government also plans to promote tourism infrastructure through investor support announced at the Tourism Investors Meet 2026.
Authorities have warned that companies failing to meet local hiring requirements may face withdrawal of incentives and benefits. The initiative aims to balance industrial growth with local employment generation while leveraging the untapped tourism potential of Karnataka’s 320 km coastline.