The Industrial and Investment Policy of Assam, 2014 came into effect from March 1, 2014. The new policy laid down various incentives for new business units set up by private sector, co-operative, partnership, self-help groups, trust, NGOs, as well as state government. Aim of the Assam Industrial policy is to increase Gross State Domestic Product by way of facilitating growth of various economic activities including Manufacturing and Service sector.
Goals of Industrial and Investment Policy of Assam 2014:
- To create income and employment especially in the rural areas of Assam.
- To encourage sustainable Investment in the Micro, Small and Medium Enterprises (MSME) sector in the State.
- To build a vast pool of skilled personnel.
- To give special thrust on economic activities based on local resources.
Priorities of the Policy:
Industrial infrastructure development (setting up of new Industrial Estate /Area/ Parks, etc), thrust on development of Micro & Small Industries, possible support for setting up of medium and Large Industries, support for growth of service sector, speedy approval and clearances and removing the consent of Pollution Control Board step for setting up Green and Non-Polluting industries.
Features of Assam Industrial and Investment Policy:
- 30% subsidy (max Rs. 10 lakh) for new Micro units on the amount spent on workshop shed, plant & machinery, cost of land, installation & internal electrification.
- 100% VAT exemption for 15 years for new micro units.
- For other units, VAT exemption rate: 100% 1st & 2nd year, 80% 3rd & 4th year; 50% 5th to 15th years.
- VAT Exemption for selected industrial parks (such as Plastic Park, Bamboo Park, Food Park, Tea park etc) developed by or in-collaboration with Government
- No entry tax on plant & machinery brought from other States for business units.
- 50% Luxury tax exemption for 10 years for Hotels.
- 75% subsidy on fee payable for Quality Certification or Technical Knowhow.
- Proposal of Artisan Identity Card (AIC) to provide Bank loan upto Rs.2.00 lakh for artisans. Govt will reimburse 50% of the interest for upto 5 years.
- Proposed initiatives for Geographical Indication (GI) registration, registration of Trade Marks etc.
- Project with investment of a minimum of Rs.100 Cr or generating a minimum of 1000 regular employment shall be given Mega Project Status.