Cabinet approves Upgradation of the existing intermediate lane to 2 Lane with Paved Shoulder Standard (125.01 kms) of Hiwarkhedi -Roshni-Ashapur-Rudhy Section of NH-347B and widening of existing 2 lane to 4 lane from Deshgaon-Julwaniya Section of NH-347B of length (108. 643 kms) in Madhya Pradesh on Hybrid Annuity Mode

**Executive Summary** The Cabinet Committee on Economic Affairs, chaired by Prime Minister Shri Narendra Modi, approved the upgradation and widening of 233.653 km of NH-347B in Madhya Pradesh on June 3, 2026. The project, costing Rs. 4,415.60 Crore, will be executed under the Hybrid Annuity Mode (HAM) to improve regional mobility and safety across Betul, Khandwa, Khargone, and Barwani districts. Key objectives include addressing geometric deficiencies, reducing travel time, and facilitating multi-modal integration with economic and social nodes. **Key Points / Main Content** **Project Scope and Infrastructure** * **Hiwarkhedi-Roshni-Ashapur-Rudhy Section:** Upgradation of 125.01 km from an intermediate lane to a 2-lane road with Paved Shoulder Standard. * **Deshgaon-Julwaniya Section:** Widening of 108.643 km from an existing 2-lane road to a 4-lane highway. * **Greenfield Bypass:** Development of a 16.20 km extended bypass in the Khargone district. * **Total Bypass Lengths:** 70.39 km for the Hiwarkhedi-Rudhy section and 54.273 km for the Deshgaon-Julwaniya section. **Financial Details** * **Total Capital Cost:** Rs. 4,415.60 Crore. * **Civil Construction Cost:** Rs. 2,705.08 Crore. * **Land Acquisition Cost:** Rs. 432.77 Crore. * **Execution Model:** Hybrid Annuity Mode (HAM). **Connectivity and Integration** * **PM Gati-Shakti Nodes:** Integration with one textile cluster, two mega food parks, one industrial park, and two super thermal power plants. * **Social and Logistic Nodes:** Connectivity to two aspirational districts (Khandwa and Barwani), three tribal districts, two major railway stations, two airports (Indore and Nagpur), and one Multi-Modal Logistic Park (MMLP) in Indore. * **Road Intersections:** Connection to National Highways NH-47, NH-753, NH-347BG, NH-52, and State Highway SH-15. **Socio-Economic Benefits** * **Employment:** Expected generation of 19.50 lakh person-days of direct employment and 23.00 lakh person-days of indirect employment. * **Operational Efficiency:** Improvement in average travel speeds, fuel efficiency, and vehicle operating costs. **Impact Analysis** **Commuters and Commercial Transporters** * **Impact:** They will benefit from reduced travel time, seamless connectivity across key nodes, and improved road safety due to the correction of sharp curves and geometric deficiencies. * **Action Required:** Users should prepare for improved transit routes and monitor project timelines for travel planning. **Local Labor Force** * **Impact:** Significant job creation, totaling approximately 42.50 lakh person-days across direct and indirect employment. * **Action Required:** Potential workers in the affected districts may seek opportunities within the construction and support phases of the project. **Industrial and Agricultural Sectors (Economic Nodes)** * **Impact:** Enhanced multi-modal integration will facilitate faster movement of goods for textile clusters, food parks, and industrial zones. * **Action Required:** Businesses and logistics managers should align their supply chain operations with the upgraded corridor to leverage reduced operating costs. **District Administrations (Betul, Khandwa, Khargone, and Barwani)** * **Impact:** These districts, including aspirational and tribal areas, will see enhanced socio-economic development through better access to social and logistics nodes. * **Action Required:** Local authorities must coordinate regarding land acquisition processes and support the development of associated infrastructure.

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