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4 min read | Updated on August 17, 2026, 09:10 IST
SUMMARY
The move comes after around 20 companies expressed plans to shift or expand operations in Khandala, citing long commutes, potholes and inadequate approach roads.

Maharashtra Chief Minister Devendra Fadnavis admitted there were serious infrastructure issues in Pune district's Chakan industrial area.
The Maharashtra government has stepped in to address mounting infrastructure and traffic problems in Pune's Chakan industrial belt after companies threatened to shift operations.
Chief Minister Devendra Fadnavis had acknowledged the problems in the industrial area as "very genuine", while Industries Minister Uday Samant and Deputy Chief Minister Eknath Shinde have since held discussions with officials and industry representatives on resolving the issues.
The government has constituted a high-level committee headed by the Pune district collector to coordinate road repairs, ease traffic congestion and address other infrastructure-related grievances in the rapidly expanding industrial belt.
The move follows a recent decision by at least 20 companies to explore shifting their factories from Chakan MIDC to Khandala in Pune district, citing severe traffic congestion and inadequate infrastructure.
Shantanu Kulkarni, an industry representative and member of the Chakan Industrial Association, said commuting had become a major problem for both workers and companies.
"The situation has become so severe that we are finding it difficult to bring employees to the factory on time. It takes 2 to 2.5 hours to reach and another 2 to 2.5 hours to return home. Workers lose 4 hours a day in traffic, which directly impacts wages and availability," he told PTI.
Kulkarni said 40 companies had initially responded to the proposal to shift operations, with 20 units now shortlisted for the first phase.
"No one wants to leave their base. This is a decision against our will. But if there is no improvement here, we have to look at expansion elsewhere," he said.
As many as 35 companies have submitted online applications to the Maharashtra Industrial Development Corporation (MIDC) seeking plots in Khandala, of which 20 have shown a firm intent to relocate, he said.
The companies include ancillary units making press components, machine components, plastic bags and corrugated boxes.
"For ancillary units, it does not matter where the corrugated box is made. Only transportation costs increase. Khandala is an easier alternative because there is less congestion, and infrastructure is coming up there," said Kulkarni, whose firm Matrix Tools employs more than 100 workers.
He said companies would be willing to retain their existing units in Chakan and expand elsewhere if the government provided basic infrastructure and gave assurances on addressing the problems.
"MIDC roads are being developed, but the connecting roads which come under agencies like PMRDA, gram panchayats and nagar vikas department are narrow. MIDC has 70-metre and 45-metre wide roads inside, but the approach roads are only 8-metre and 12-metre wide....That is why we have jams and potholes," he said.
"There is a lack of coordination and communication between government entities. They need to form a responsible authority for coordination," he added.
At a meeting in Chakan on Sunday, Shinde directed officials to prioritise pothole repairs to ease traffic congestion.
Given the difficulties of undertaking conventional road repairs during the monsoon, he suggested using technologies such as pre-cast systems and geo-polymer techno-patch, according to an official release.
Samant also visited the area and met senior officials and representatives of industrial associations.
"Authorities have also initiated immediate work to repair potholes, strengthen road shoulders, clear garbage and streamline parking management across the industrial belt," Samant said after the meeting.
He said portions of the previously approved 27-km concrete road project had already been completed and approval would be given on priority for another 17 to 18 km of road works based on requirements identified by industry associations and local residents.
The government, through a resolution issued on August 14, has set up the high-level committee to address road repairs, traffic congestion and management issues and create a mechanism for time-bound redressal of industrial grievances.
The panel has been given 10 months from the date of the government resolution to complete the planning, approvals, coordination and implementation process.
Shinde directed various departments to work together under the district collector and immediately implement an action plan for infrastructure development.
He also called for short-, medium- and long-term measures to tackle traffic congestion in Chakan and the wider Chakan-Talegaon area.
The Pune collector will act as the nodal officer, while action will be taken against contractors who deliberately delay or fail to complete works on time, the release said.
The MIDC will provide land for a solid waste management project, police station, fire station and electrical substation.
The development plan for Chakan city will also be approved at the earliest.
Mahatransco, the state-owned power transmission utility, plans to install a new transformer by August 31 to address electricity-related problems. MIDC will provide land for a new electrical substation.
Shinde also said the proposed Dedicated Freight Corridor connecting Chhatrapati Sambhajinagar, Ranjangaon and Chakan MIDC, as well as the planned highway connecting Uran, Karjat, Rajgurunagar, Shirur and Pune, would boost industrial development and help ease congestion.
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