NHAI received an overwhelming response from bidders for four-laning of the 47.46 km Dhamasiya–Bitada/Movi section and the 60.21 km Nasarpore–Malotha section of NH-56 in Gujarat, to be implemented on Hybrid Annuity Model. The Cabinet Committee on Economic Affairs, chaired by the Prime Minister, approved the project in February 2026 with a total length of 107.6 km and a capital cost of Rs 45,836 million (mn). Bids were invited and the Dhamasiya–Bitada/Movi section drew six bids while the Nasarpore–Malotha section drew seven, reflecting robust competition. The contract award is expected in the current financial year.

The projects will be designed for 100 km/h and to enable an average speed of 70 km/h, which is expected to reduce travel time by forty per cent from two point five to one point five hours. Once completed, the works will provide continuous four-lane connectivity from Bodeli to Malotha, easing congestion on NH-56 and improving linkages to NH-53, NH-48 and the Delhi–Mumbai Expressway. The improvements are intended to strengthen regional connectivity and support economic growth along the corridor.

With a total length of 107.6 km, the projects are expected to generate about 1.938 mn man-days of direct employment and 2.282 mn man-days of indirect employment, and to induce further job opportunities through increased economic activity in adjacent areas. The alignment passes through the Aspirational District of Narmada and will improve access to tribal areas in Dahod, Chhota Udepur, Tapi and Bharuch, supporting local development. The works are also anticipated to boost tourism by improving access to the Statue of Unity near Kevadia village, located about 11 km from NH-56.

Implementation on the Hybrid Annuity Model aims to balance risk and financing between the authority and developers and to attract continued interest from national highway contractors. Environmental and social safeguards along the corridor will be addressed during detailed design and construction phases to mitigate impacts and ensure sustainable outcomes. The authority intends to finalise contractual arrangements and commence preparatory works following award.