The Pimpri-Chinchwad Municipal Corporation (PCMC) has intensified its anti-encroachment drive in Chikhali, leading to the demolition of scrap shops, warehouses, and small businesses.
The operation, which began last week, continued into its sixth day, leaving nearly 1,00,000 workers unemployed and severely impacting the local economy.
The businesses that were demolished played a crucial role in supplying spare parts to the region’s automobile industry, contributing to an annual turnover of approximately Rs 1,000 crore.
With their sudden closure, thousands of families have lost their primary source of income, pushing them into financial distress. The large-scale demolitions have also triggered a sharp rise in land prices in Chikhali, with builders reportedly eyeing around 1,000 acres for new construction projects.
The PCMC has extended its anti-encroachment drive to other areas, including Kudalwadi, Jadhavwadi, Hargudevasti, and Pawar Vasti.
Over 5,000 commercial establishments were served notices, giving them 15 days to remove encroachments. The operation, which began on Saturday, February 8, is expected to conclude by Sunday, February 16, according to PCMC’s encroachment department.
PCMC Commissioner Shekhar Singh confirmed that multiple notices had been issued in the past, and previous demolitions had taken place. However, since unauthorised structures were rebuilt, the civic body had to take fresh action.
The crackdown has severely disrupted Chikhali’s business ecosystem, cutting off the supply of raw materials to small industries. Traders in Surat, Mumbai, Nashik and Jalna are feeling the impact, while Kudalwadi’s small-scale industries—established over the past 30 to 40 years—are now on the brink of collapse.
BUILDERS TO BENEFIT
The large-scale demolitions have fuelled speculation that builders are set to benefit from the civic action. Chikhali and Kudalwadi, situated between Dehu-Alandi Road and Spine Road, have become prime targets for real estate developers. The area is witnessing rapid infrastructure development, including the construction of a police commissioner’s office, a district court, and a government engineering college.
CRISIS FOR RESIDENTS
The demolition drive has also affected local villagers who owned the land and had leased it to businesses. These villagers, who were earning lakhs in monthly rental income, have now lost their primary source of earnings overnight, leading to an economic crisis for many families.