Indian govt extends special package of Industrial Incentive for Himachal

New Delhi/January 15
Indian government on Wednesday gave its approval for extension of special package of Industrial incentive to Himachal Pradesh and Uttrakhand from January 7, 2013 to March 31, 2017.
As per reports, the Cabinet Committee on Economic Affairs (CCEA) today gave its approval for extension of the Special Package for Himachal and Uttarakhand from January 7, 2013 to March 31, 2017.
Union Commerce and Industry Minister Anand Sharma welcomed the move and said that the decision will generate employment in these two states especially for the rural youth and in addition, it will also give a fillip to manufacturing and the Small and Medium Enterprises.
“The objective of the scheme is to create an enabling growth and industrialization of these States and generation of more employment,” Sharma said, adding that all new industrial units and existing units on substantial expansion would be eligible for Central Capital units at the rate of 15 percent of their investment in plant and machinery.
After the move, subsidy will be available to all new and existing units on substantial expansion located in notified areas as well as to “thrust industries” for units located anywhere in these states. Only those units that pre-register under the scheme, commence commercial production/ operation before 31st March 2017 and file claims within one year of the commencement of commercial production shall be eligible for subsidy under the scheme.
Incentive on substantial expansion will be given to units affecting an increase by not less than 25 percent in the value of fixed capital investment in plant and machinery for the purpose of expansion of capacity. Expenditure on purchase/procurement/installation of second hand plant and machinery will not be eligible for subsidy under the Central Capital Investment Subsidy Scheme. A single unit cannot avail subsidy both from the Central as well as State Government for the same purpose.