Govt revises North East Industrial and Investment Promotion Policy

NEW DELHI: The government has revised the North East Industrial and Investment Promotion Policy (NEIIP), 2007, stipulating that all the subsidies to industrial units will be disbursed through the DBT mechanism.

"Government has decided that henceforth subsidies payable to all industrial units will be disbursed through Direct Benefit Transfer (DBT) mechanism by the Chief Controller of Accounts (Industry) for which the units would need to get themselves registered on the e-payment portal by providing required bank details," the DIPP said in an office memorandum.

It also said that all industrial units which commence production on or after 1, December 2014 and on or before 31, March 2017 as well as existing units which go in for substantial expansion and commence commercial production on or before March next year will be eligible for incentives as per the revised norms of subsidy.


"The subsidy for the new industrial units/existing industrial units going for substantial expansion will be limited to Rs 5 crore per industrial unit operating in manufacturing sector and Rs 3 crore per industrial unit operating in services sector," the DIPP said in an office memorandum.

While the limit for automatic approval of subsidy at the rate of 30 per cent of the investment in plant and machinery will continue to be upto Rs 1.5 crore per unit; for grant of capital investment subsidy higher than Rs 1.5 crore and upto a maximum of Rs 5 crore, there will be an empowered committee.

The committee will be chaired by Secretary, Department of Industrial Policy and Promotion (DIPP).