FICO Demands Punjab Government to Save MSMEs in Mixed Land use 

Ludhiana, September 11, 2026: The Federation of Industrial & Commercial Organization (FICO) has strongly urged the Government of Punjab to take immediate steps to save thousands of Micro, Small and Medium Enterprises (MSMEs) operating in Mixed Land Use (MLU) areas of Ludhiana. The present permission/extension for industries operating in MLU areas is coming to an end on 30 September 2026. FICO has demanded that the Government should immediately extend the permission and provide a permanent solution for existing industries, so that thousands of MSMEs do not face closure or uncertainty.
Gurmeet Singh Kular, President FICO, and Harpal Singh Bhamber, Head Bicycle Division FICO, said that relocation of these industries is not practically possible. A large number of units have been operating from these locations for the last 35–40 years and have invested their life savings, machinery and infrastructure at their existing premises. They said that most MSMEs do not have the financial capacity to purchase new industrial land, construct new buildings and shift heavy machinery. Relocation would involve huge expenditure, production disruption and loss of employment. Therefore, forcing these existing MSMEs to relocate is neither practical nor in the interest of Punjab's industrial growth.
FICO strongly demanded that the Government of Punjab should declare the established Mixed Land Use (MLU) areas as Industrial Areas and provide a permanent policy for the continuation of existing industries.
FICO said that these areas have already developed as important industrial clusters over several decades. Thousands of MSMEs are providing employment and contributing to the state's economy from these locations. Instead of treating these established units as temporary occupants, the Government should recognise the ground reality and frame a practical policy.
Both Kular and Bhamber said, “Relocation is not possible for small industries. These MSMEs have been operating from these locations for decades and have created employment and industrial infrastructure. The practical solution is to recognise the existing ground reality and declare established MLU areas as Industrial Areas.”
FICO appealed to the Chief Minister of Punjab and the concerned departments to take an immediate decision before 30 September 2026 and save thousands of MSMEs from uncertainty.