Ludhiana, March 21 -- With the mixed land use policy set to expire in September, nearly 10,000 small and medium industrial units operating from residential areas in Ludhiana face uncertainty, with industry bodies warning of potential shutdowns and large-scale job losses if the policy is not extended.

Introduced in 2008 by the Shiromani Akali Dal government, the policy allowed industrial units to function in residential zones following complaints from entrepreneurs about operational hurdles.

"The policy enabled smooth functioning of these factories that form the backbone of the city's industrial power," said Gurmeet Singh Kular, president of the Federation of Industrial and Commercial Organisation (FICO).

According to Kular, around 10,0...