India is witnessing a stark shift in its GDP contribution from across the country with the share of smaller towns and cities gradually increasing. This has been a factor of large-scale industrialization, the rise of startups and e-commerce who are investing in order fulfilment with the establishment of warehouses across the country, including small towns among a host of other factors.
Hosur, located in Tamil Nadu, is one such example of a thriving micro market strategically positioned alongside the industrial corridor between Bangalore and Chennai. From being a sparsely populated hilly terrain, Hosur has transformed into a well-developed industrial hub. Situated nearly 1,000 feet above sea level and boasting of the country’s only British style castle along with a pleasant weather, the town also came to be known as Little England.
Over the past five decades, Hosur has become an integral part of the Bangalore industrial micro-market.
Evolution of Hosur
Hosur today houses manufacturing facilities of some of the largest companies in India including Stellantis, Ashok Leyland, Titan, TVS Motors, Caterpillar, Ather Energy, Schaeffler, and more. The availability of a skilled workforce, affordable land prices, and the presence of over 3,000 diverse MSMEs have further bolstered Hosur’s reputation as a sought-after business destination. The region also boasts a well-established supply chain consisting of micro, small, and medium enterprises (MSMEs), creating an environment conducive to business growth.
However, it wasn’t always the case. In 1973, the State Industries Promotion Corporation of Tamil Nadu (SIPCOT) selected Hosur as one of Tamil Nadu’s first industrial estates, along with Ranipet. Since then, the town has undergone remarkable growth, evolving into an urbane cosmopolitan centre. India Inc has recognized the tremendous potential that Hosur offers. Moreover, the labour culture in Hosur is known for its harmonious and cooperative nature, fostering a positive relationship between employers and employees.
The town’s pleasant climate further enhances work efficiency, making it an attractive destination for businesses and provides an excellent ecosystem for businesses. Its advantageous location ensures excellent connectivity and easy access to major cities. This proximity opens up extensive market reach and logistical advantages for businesses operating in the region.
Poster Child of Tamil Nadu
The Tamil Nadu government has actively supported industrial growth in Hosur through favorable policies, incentives, and infrastructure development initiatives. This support has contributed to the town’s rapid transformation into a thriving micro market. In addition to its strong manufacturing sector, Hosur is also witnessing diversification into emerging sectors such as technology, renewable energy, and e-commerce. This diversification opens up new avenues for investment and business expansion. Hosur has witnessed significant infrastructure development, including the establishment of industrial parks, logistics centres, and modern amenities. These developments further enhance the business ecosystem and attract investors.
Also, the Satellite Town Ring Road (STRR) project enhances connectivity between towns and cities, including Hosur, reducing travel time and improving accessibility. This leads to economic development, attracting businesses and industries to the region and creating job opportunities. It also opens real estate opportunities along the STRR route, increasing property values and investment prospects.
Hosur’s remarkable growth as a flourishing micro market in Tamil Nadu’s industrial landscape highlights its immense potential for businesses. With a well-established supply chain, a supportive labour culture, and infrastructure development initiatives, Hosur has become an attractive destination for investors seeking growth opportunities. As it continues to evolve and diversify, Hosur is poised to play a pivotal role in the region’s economic development, solidifying its position as a thriving micro market with lucrative business.