The North-East Industrial Development Scheme (NEIDS)-2017 approved by the union cabinet will benefit the people of the region and will go a long way to implement the Act East Policy, said Assam Chief Minister Sarbananda Sonowal today.
The Scheme will benefit the people of the region in the coming days as it would create job opportunities for the youths of the region, Sonowal said.
“I want to express my gratitude to Prime Minister Narendra Modi and the central cabinet for taking this measure to take forward the Act East Policy. This scheme will benefit the eight states of the Northeast in a major way to move forward”, the chief Minister said told PTI.
The Union Cabinet chaired by Prime Minister Narendra Modi yesterday approved NEIDS-2017 with a financial outlay of Rs 3000 crore upto March 2020.
“Assam is repositioning itself at the centre of India-ASEAN partnership. The Act East vision is turning real, with Prime Minister Narendra Modi redefining and reinvigorating the whole policy with regards to ASEAN,” state Industry minister Chandra Mohan Patowary said while briefing journalists about NEIDS-17.
It is in this backdrop that the state government organised the first global investors’ summit, ‘Advantage Assam’ in February, he said.
“The summit was a grand success, attracting attention of leaders both in the fields of business and politics from within the country and abroad, especially ASEAN and BBN countries,” Patowary said.
The minister said the state received investment proposals of close to Rs 1 lakh crore with large number of business houses showing interest in looking at Assam as their investment destination.
He said, “The vision of the PM to see North-East as the sunrise area of India’s economy is truly appreciated. Assam shall shine further with this policy”.
On the broad policy components of NEIDS-2017, the minister said, “An investor can avail benefits upto Rs 200 crore in terms of exemption and subsidies under NEIDS per unit. Any unit registered upto 31st March, 2020 starting from 1st April, 2017 will be eligible to avail these benefits.”
Stating Rs 3000 crore has been earmarked for the scheme period, Patowary said units registered during the period will be entitled to draw the benefits under the scheme for a period of five years.
About incentives, he said, there would be Income Tax reimbursement of 58 per cent from the year of commencement of production and reimbursement of 58 per cent of CGST and IGST from the date of commencement of production.
There was Central Capital Investment Incentive for Access to Credit at 30 per cent of the investment in plant and machinery with an upper limit of Rs 5 crore on the incentive amount per unit, he said.
A Central Interest Incentive at 3 per cent on working capital credit advanced by eligible banks of financial institutions for the first 5 years from the date of commencement of commercial production by the unit, the minister said.
Under the provision for Central Comprehensive Insurance Incentive, he said there was reimbursement of 100% insurance premium on insurance of building and plant & machinery for 5 years from the date of commencement of commercial production by the unit.moneycontrol