Industrial Policy



Objectives:

  • To create high quality world class infrastructure facilities in the State and enhance connectivity to the National Capital Region (NCR) and other leading markets.
  • To provide single window facilitation in the State to expedite project clearances and provide an investor friendly climate.
  • To provide and facilitate expeditious land availability for setting Industrial ventures and Infrastructure projects.
  • To promote and encourage private sector participation in the development/management of Industrial Estates/Areas, Growth 3 Centers, IIDCs, Special Economic and Commodity Zones and Parks, Theme Parks, Tourism infrastructure, development of new tourist destinations, Airports/Helipads/Airstrips, Roads, generation, transmission and distribution of power, and projects in the area of Horticulture, Floriculture, Bio-technology etc.
  • To provide assured, good quality, uninterrupted and affordable power for industries.
  • To simplify and rationalize labour laws and procedures in tune with the current day requirements
  • To promote Small scale, Cottage and Khadi and Village Industries and Handicrafts Silk and Handloom sectors
  • To address problems of sickness and incipient sickness in Industry, SSIs and facilitate required restructuring and rehabilitation, etc.
  • To promote Industries based on local resources particularly in the Areas of Agriculture, Horticulture, Agro & Food Processing and Floriculture.
  • To promote planned and scientific exploitation of the mineral resources of the State and maximize value addition within the State.
  • To promote leading edge technologies and sunrise industries in the State in the areas of Information Technology and Bio-Technology.
  • To promote public/private sector involvement in generation of power and strengthening of the transmission and distribution network.
  • To promote Tourism as a focus area and develop Uttaranchal as a premier global tourism destination.
  • To provide special attention for setting up industries in remote areas.
  • To develop and strengthen air, road, rail and other connectivity.
  • To develop Uttarakhand as a premier education and research centre.

 

Salient Features:

  • Single Window Contact, Information and Facilitation by District Industries Centres and SIDCUL.
  • Single Window Clearance Mechanism
  • Time Bound Deemed Clearances.
  • Establishment of Udyog Mitra.
  • Development and Promotion of Industrial Estates by providing Land/Plots to Entrepreneurs.
  • Encouraging Private Sector Participation.
  • Professional Advice to the Projects for developing infrastructure by U-DEC
  • Mega Projects Over 50 Crores will be considered for grant of further concessions.
  • State Government and SIDCUL will provide financial credit to the entrepreneurs.
  • Enhancement of Current Power Production of State.
  • Simplification of Labour Laws.
  • Development of Remote and Hilly Powers
  • Emphasis on Khadi and Village industries
  • Development of Handicrafts, Handlooms, Wool Based Industry, Agro and Food Processing Industry, Floriculture etc.
  • Special attention to the Tea Industry and Forest Based Industry.
  • Schemes for IT industry, Biotech Industry and Industry Based on Herbal & Medicinal Plants.

 

Benefits:

  • 100% Central Excise exemption for 10 years on items other than those mentioned in the negative list in the Concessional Industrial Package announced by the Central Government.
  • 100% Income Tax exemption for first 5 years and 30% for next 5 years for the Companies and 25% for others.
  • Capital Investment Subsidy @15% with a maximum of Rs. 30 Lakhs. (Rs. 3 million).
  • Exemption from entry tax on Plant & Machinery for setting up Industry or undertaking substantial expansion and modernization.
  • Land use conversion and development charges and regime will be rationalized.
  • Stamp duty concessions will be provided in respect of land in specialized commodity parks, including I.T. parks.
  • For the purpose of Interest Incentive, Substantial Expansion shall mean additional investment of not less than 25% of the undepreciated book value of plant and machinery of an industrial unit.
  • For revival/rehabilitation of sick SSI units, interest incentive @ 3% with a maximum of Rs. 2 lakhs per annum shall be provided on the loan taken under fully tied up revival and rehabilitation package from financial institutions, banks etc.
  • In the case of sick non-SSI units, Government will sympathetically consider measures required under revival/rehabilitation package drawn by Operating Agency/Financial Institutions/Banks.
  • 100% exemption on Entertainment tax will be allowed for Multiplex projects in the State for a period of three years, and for all new amusement parks and ropeways for five years.
  • 75% of the Total Expenditure subject to a maximum of Rs.2 lakhs incurred in obtaining national/internationally approved quality marks such as ISO series certificate etc., shall be reimbursed to the entrepreneurs provided that the reimbursement / grant availed for this from all sources should not exceed the total expenditure on this head.
  • 75% of the cost subject to a maximum of Rs. 2 lakhs shall be made available to the entrepreneurs in the shape of assistance for registering their patents, provided that the total reimbursement/grant availed for this from all sources should not exceed the total expenditure on this head.
  • For educated unemployed youth, financial loan assistance for projects upto Rs. 2 lakhs in case of Manufacturing/Service Industry and projects upto Rs. 1 lakh in business sector
  • Industries generating employment opportunities shall be encouraged.
  • Purchase preference and price preference will be given to State SSIs in State purchases. Purchase preference shall be accorded to Non-SSI units within the State vis-avis units outside the State.
  • Matching State subsidy on approved projects of National Horticulture Board (NHB), Agricultural & Processed Food Products Export Development Authority (APEDA), National Medicinal Plant Board (NMPB) subject to a maximum of Rs. 20 Lakhs and subject to a total subsidy not exceeding over 50% of the project cost.

 


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