Fulfilling various demands of industrial organizations, the Chhattisgarh government has decided to provide subsidy in cash or GST to small and medium industries as well.
Under the New Industrial Policy 2019-24, the government has notified 21 key amendments. Small industries have been given options of capital subsidy in cash or GST completion. Till date only micro industries were eligible for cash grant.
Soon after the formation of Congress government in Chhattisgarh, certain revolutionary changes were made in the industrial policy. These were aimed at achieving inclusive development.
A Special Industrial Investment Incentive Package has been announced for entrepreneurs of Scheduled Caste and Scheduled Tribe category. Benefits provided under this package, will be far better than the previous policies. Like the new industries, the government will also promote the old industries.
Till date, industries had to bear the total transport expenses for exporting goods from the state to other countries. Now the government will provide subsidy in transport cost as well Rs 20 lakh every year. The government has separately defined MSME in the new industrial policy and it has issued the definition of extensive service entrepreneurship.
As per the demands of investors, Permanent Capital Investment Grant has been provisioned for small and medium category industries as well. Earlier, it was limited to only micro industries. The evaluation period of the permanent capital investment, on expansion of the existing industries, too has been extended.
To promote steel sector, the spine of the industries in Chhattisgarh, the government has announced special incentive package under Be Spoke Policy. These will be units to execute the MoU with the government.
Chhattisgarh state start-up package has been included in the policy to incorporate new ideology in industries and create new jobs. These start-ups will be provided more facilities with less formalities as compared to the other industries.
Through the core sector, large, mega and ultra-mega industries will get full exemption in electricity duty on setting up industries on location of any category. Now it is no longer necessary to be a 100 percent exporter of the unit for transport grant.
Source from: https://www.dailypioneer.com/2020/state-editions/subsidy-in-cash-or-gst-to-small-and-medium-industries.html