Industrial parks of the country are emerging as important engines of manufacturing, employment and regional economic growth, generating more than 5,400 jobs and attracting increasing private investment. However, behind the encouraging numbers lies a stark contrast. While the country’s older industrial estates are nearing full occupancy, many plots in newer industrial parks remain idle, delaying production, investment and job creation. Unlocking the full potential of these industrial hubs will require faster project implementation, stronger investor confidence and policies that convert allocated land into operating industries.
According to the Key Performance Indicators (KPIs) for Industrial Parks and Estates for FY 2025-2026, the country’s five operational industrial parks and estates together generated 5,438 jobs, comprising 3,816 Bhutanese and 1,622 non-national workers, underscoring the sector’s growing contribution to employment creation. Occupancy across industrial parks have also improved, although a significant number of allotted plots remain non-operational, delaying the full economic benefits expected from these strategic investments.
Pasakha Continues to Lead
The Pasakha Industrial Estate (PIE) remains Bhutan’s largest and most productive industrial hub. Out of 37 industries allotted land, the estate has achieved an impressive 99.25 percent occupancy rate, with 29 industries currently operational, representing an operational rate of 78.4 percent.
During FY 2025-2026, Pasakha generated Nu 56.98 million in revenue, the highest among all industrial parks and estates, and employed 2,511 workers, including 1,645 Bhutanese and 866 expatriate employees.
The figures reaffirm Pasakha’s central role in Bhutan’s manufacturing sector, particularly in ferro-alloys, steel, chemicals and construction materials, industries that continue to dominate the country’s industrial output and exports.
Norbugang Emerging as Employment Hub
Although still in its early stages of development, the Norbugang Industrial Park (NIP) in Samtse has already emerged as one of Bhutan’s largest industrial employers.
With only four industries currently operational out of 10 allotted plots, representing an operational rate of 40 percent, the park nevertheless generated employment for 1,434 people, including 1,208 Bhutanese and 226 non-national workers.
The park also contributed Nu 19.34 million in revenue during the financial year. The figures reflect the capital-intensive nature of industries already operating within the park, particularly ferro-alloy manufacturing, where large-scale investments require substantial workforce and supporting infrastructure.
Spread across 195 acres, Norbugang is being developed into one of Bhutan’s flagship industrial parks, supported by a 300 MW power supply, modern road connectivity and new trade facilitation infrastructure, including the recently opened Budhini Immigration Facilitation Office, designed to streamline industrial cargo movement.
Phuntshorabtenling Records Strong Growth
The Phuntshorabtenling Industrial Park also recorded encouraging performance. The park achieved an occupancy rate of 95.66 percent, with 14 of its 26 allotted industries currently operational, representing an operational rate of 53.8 percent.
Industries operating within the park generated Nu 12.81 million in revenue while creating employment for 1,014 workers, including 653 Bhutanese and 361 expatriates. Officials say the park has significant room for expansion as additional industries commence commercial operations.
Bjemina Nears Full Capacity
The Bjemina Industrial Estate remains one of Bhutan’s most fully occupied industrial estates. All 32 industrial plots have been allotted, giving the estate a 100 percent occupancy rate. However, only 26 industries are operational, translating into an operational rate of 81.3 percent.
The estate generated Nu 3.52 million in revenue and employed 284 workers, including 237 Bhutanese. Its proximity to the capital continues to make it attractive for small and medium-sized manufacturing enterprises.
Dhamdhum Faces Operational Challenges
In contrast, the Dhamdhum Industrial Park continues to face slower industrial uptake. Although 68 industrial plots have been allotted, occupancy stands at 77.5 percent, while only 24 industries are currently operational, giving the park an operational rate of just 35.3 percent—the lowest among Bhutan’s major industrial parks.
The park generated Nu 5.81 million in revenue and created 195 jobs, comprising 73 Bhutanese and 118 expatriate workers. The relatively low operational rate suggests that a considerable number of investors have yet to commence commercial production despite securing industrial land.
Changchay Yet to Take Off
Meanwhile, the Changchay CSI Park has yet to become operational. Although two industrial units have been planned, the park recorded zero occupancy, no operational industries, and consequently generated no revenue or employment during the reporting period.
The figures indicate that further investment promotion and infrastructure development will be required before the park can begin contributing to Bhutan’s cottage and small industry sector.
While occupancy levels remain high across several industrial estates, the report highlights a persistent gap between land allotment and actual industrial operations. Across the country’s industrial parks and estates, many allotted plots remain under development or have yet to begin production. This suggests that while investor interest remains strong, converting approved investments into operational industries continues to be a major challenge.
The data also underscores the importance of complementary investments in infrastructure, including power supply, transport connectivity, customs and immigration services, and business facilitation to accelerate industrial operations.
With Bhutan pursuing economic diversification under the 13th Five-Year Plan, industrial parks are expected to play an increasingly important role in expanding manufacturing, creating quality jobs and attracting private investment.
Tashi Namgyal, Tsirang
