Industry bodies, trade associations, and infrastructure stakeholders across Vidarbha on Wednesday welcomed the Union cabinet's decision to clear the way for the modernisation and expansion of Dr Babasaheb Ambedkar International Airport under the public-private partnership (PPP) model. They called it a decisive moment for Nagpur's economic future and the long-pending Mihan project.
Cabinet Approval Unlocks Development
The approval allows the transfer and long-term development of the airport by GMR Nagpur International Airport Ltd after years of legal and administrative hurdles. Stakeholders said the decision could accelerate investments, logistics growth, cargo movement, and regional connectivity across Central India.
Union Minister's Remarks
Union minister Nitin Gadkari described the decision as a landmark boost for aviation infrastructure and said the airport's expansion would strengthen Nagpur's emergence as a major aviation and economic centre. "The approval paves the way for world-class development of the airport with enhanced passenger and cargo services. Envisioned to handle nearly 30 million passengers annually, the project will strengthen regional connectivity, boost cargo capacity and reinforce Nagpur's position as a key aviation and economic hub in Central India," he said.
Stakeholder Reactions
The Vidarbha Economic Development (VED) Council president Rina Sinha said the approval marked the culmination of a vision first proposed nearly three decades ago. "The transfer of the airport to GMR would help establish a world-class passenger and cargo hub in Nagpur. The last step in getting MIHAN to fly has finally been taken," she said, adding that the organisation has consistently pursued the project since conceptualising a multimodal hub-and-spoke model for Nagpur airport.
The Association for Industrial Development (AID) termed the Cabinet decision a historic and defining moment for Vidarbha. AID president Ashish Kale said the project would significantly boost investment flows, tourism, logistics and employment generation in the region. "We are grateful to Prime Minister Narendra Modi, Union minister Nitin Gadkari and chief minister Devendra Fadnavis for resolving this long-pending issue," he said.
The Confederation of Small Industries Association (COSIA) said the project would act as a catalyst for MSMEs and regional trade. COSIA Vidarbha chairman CA Julfesh Shah said the alignment of the airport land lease with the 30-year concession period provided the long-term stability required for infrastructure growth. "For industries in Vidarbha, this is the new era we were waiting for," he said.
MADC joint managing director and MIL chairman Vipin Itankar said the immediate priority would now be the formal handover of land and finalisation of the Commercial Operations Date. "Following that, infrastructure development, including construction of the new terminal and associated works, will move ahead in phases. This approval will help place Nagpur prominently on the global aviation map," he said.
The Vidarbha Industries Association (VIA) also welcomed the move. VIA president Prashant Mohota said the approval removed a major hurdle in the city's infrastructure expansion plans and would support industrial growth alongside airport development.
Future Expansion Plans
The Cabinet approval is expected to pave the way for phased expansion of the airport, including a new international-standard terminal, a second runway and upgraded cargo infrastructure under the broader multimodal International Cargo Hub and Airport at Nagpur (MIHAN) project.



