Modinagar is situated on the Delhi-Mussoorie National Highway. The site is named after the businessman, Gujar Mal Modi, who established a sugar factory here in 1933. Modinagar comprises 571 acres area of Begumabad, which is believed to have been founded by Nawab Zafar Ali. A temple constructed by Rani Bala Bai Sindhia, during the 19th century, is another popular attraction of the town. Modinagar has emerged as an industrial town that has a number of factories, engaged in producing textiles, sugar, vegetable oil, soap, paints and varnishes.