
Gujarat's first Data Centre Policy targets ₹6 lakh crore in investments and 7.5 GW of capacity. Officials say India has only 3% of global data centre capacity despite generating 20% of the world's data.
The Gujarat government on Thursday released its first Data Centre Policy, covering 2026 to 2029, with a stated goal of attracting ₹6 lakh crore in investments and building 7.5 GW of capacity. The state is chasing a slice of India's data centre buildout, which officials say lags far behind the country's data generation.
Chief Secretary M K Das said the policy is the first of its kind from any Indian state. "We are confident it will attract investments of ₹6 lakh crore, create 7.5 GW of data centre capacity and generate significant employment," he said at the launch.
The incentive package includes capital subsidies, interest subsidies, power tariff subsidies, SGST reimbursement, electricity duty reimbursement, support for desalination plants, and stamp duty exemptions. Non-fiscal incentives cover fast-track approvals, additional floor space index, relaxed building norms, open access to power, and assured electricity and water supply.
Science and Technology Secretary P Bharati said Gujarat will soon have two operational cable landing stations, with a third expected to be announced shortly. Better international connectivity makes the state more attractive for global cloud and data centre operators, he said.
Bharati pointed to the gap between India's data output and its processing capacity. "Globally there are around 12,000 data centres, with the United States and China accounting for nearly 70% of the world's capacity. India, despite generating nearly 20% of the world's data, has only about 3% of global data centre capacity," he said.
Science and Technology Minister Arjun Modhwadia put the numbers in sharper relief. India has roughly 200 data centres, he said, compared with about 5,500 in the United States and around 500 in the United Kingdom. Installed capacity in the US is around 30 GW; India has 2-3 GW, with the pipeline expected to reach about 8 GW.
Modhwadia said Gujarat has already received proposals equivalent to 10 GW. "These are not just for data centres but cover the entire ecosystem," he said.
The policy arrives as hyperscale operators, AI infrastructure developers, and cloud service providers have announced projects across GIFT City, Jamnagar, Dholera, and the Ahmedabad region. State officials expect the combination of the new policy, expanding connectivity, and abundant renewable energy to accelerate investment.
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