Disparity of infrastructure facilities between regions and the center is one of the main obstacles for industrial development in the country. Regional Industrial Development Programme is one of the main projects implemented by this Ministry to promote regional industrialization. Under this programme, industries which were located heavily in Western Province has shifted to regional level with the development of 23 industrial estates throughout the country, Under this programme lands are identified in the regions and developed with major infrastructure facilities such as roads, electricity, water supply etc. required by industrialists to setup their industries. Under this programme, at the end of year 2009, 225 industries are in commercial production and 41 factories are under construction. A total of 13,768 employment opportunities have been created in these Industrial Estates.
The Development works of Buttala Industrial Estate, the dedicated industrial estate for wood based industries was initiated in year 2007 and 97% of the infrastructure development works were completed at the end of December 2009. Over 80% of development of infrastructure works of industrial estates at Embilipitiya & Galigamuwa are completed and preliminary works of new Industrial Estates at Pallegodawatta (Mathugama) & Madampe are in progress.