Cabinet approves Rs 4,415 cr upgrade of 233 km NH-347B in Madhya Pradesh

Jun 03, 2026

New Delhi [India], June 3 : The Cabinet Committee on Economic Affairs, chaired by the Prime Minister Narendra Modi, on Wednesday has approved 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 lanes from Deshgaon-Julwaniya Section of NH-347B of length (108. 643 kms) in the State of Madhya Pradesh on Hybrid Annuity Mode at a cost of Rs. 4,415.60 Crore.
According to the Cabinet Committee on Economic Affairs, the proposed upgradation of the Hiwarkhedi-Roshni-Ashapur-Rudhy & Deshgaon-Julwaniya Section of NH-347B in Madhya Pradesh will address severe geometric deficiencies, sharp curves, and congestion in built-up areas across Betul, Khandwa, Khargone & Barwani districts.
An extended Greenfield Bypass of the Khargone district of 16.20 km length will be developed as part of the instant project.
The project will increase average travel speeds, reduce travel time, and improve overall road safety, fuel efficiency, and vehicle operating costs, thereby enhancing regional mobility and socio-economic development.
The project will provide seamless connectivity to key economic, social, and logistics nodes across Madhya Pradesh.
The upgraded corridor will enhance multi-modal integration by connecting with 06 PM Gati-Shakti Economic Nodes (01 Textile Cluster, 02 Mega Food Park, 01 Industrial park, 02 Super Thermal Power Plants), 5 social nodes (02 Aspirational Districts- Khandwa & Barwani, 03 Tribal Districts-Betul, Khandwa, Khargone) and 5 Logistic Nodes (02 Major Railway Stations, 02 Airports, 01 MMLP), thereby facilitating faster movement of goods and passengers across the region.
The project, spanning a total length of 233.653 km along the Betul-Khandwa-Vadodara corridor, aims to improve regional connectivity and bolster economic growth in the state.
The comprehensive project involves two major sections. The first includes the upgradation of the existing intermediate lane to a 2-lane road with Paved Shoulder standards for the 125.01 km Hiwarkhedi-Roshni-Ashapur-Rudhy section. The second part focuses on widening the existing 2-lane road to a 4-lane highway for the 108.643 km Deshgaon-Julwaniya section. The entire project is being executed under the Hybrid Annuity Mode (HAM).
The total capital cost for the project is estimated at Rs 4,415.60 crore, which includes a civil construction cost of Rs 2,705.08 crore and land acquisition expenses amounting to Rs 432.77 crore.
To ensure smooth traffic flow and bypass congested areas, the project incorporates significant bypass lengths, 70.39 km for the Hiwarkhedi section and 54.273 km for the Deshgaon-Julwaniya section.
The highway is strategically designed to connect major cities and towns, including Betul, Khandwa, Khargone, and Barwani. It also links several critical National Highways such as NH-47, NH-753, NH-347BG, and NH-52, along with State Highway SH-15. This enhanced network will provide better access to the Indore and Nagpur airports, as well as the Betul and Khandwa railway stations.
Beyond transportation, the project serves as a vital link to several economic and industrial nodes. These include a Textile Cluster, two Mega Food Parks, an Industrial Park, and two Super Thermal Power Plants. Furthermore, the corridor is expected to benefit from the Multi-Modal Logistic Park (MMLP) in Indore.
The project is also a major driver for job creation in the region. It is estimated to generate a massive employment potential of 19.50 lakh person-days of direct labour and an additional 23.00 lakh person-days of indirect employment, providing a substantial socio-economic lift to the local population.