| State-wise Key Incentives for SSIs in India - Part II (1989, 1993, 1995 to 1999) | |||||
| States | Subsidy on Fixed Capital Investment (In Percentage Terms, Maximum Limit in Rs. Million) | Per cent of Sales Tax Relief on Fixed Capital Investment (From Date of Commencement of Production) | Power Subsidy (From Date of Commencement of Production) | Infrastructure/ Technical Support | Others |
| Maharashtra (1993) | Group A : Not Applicable | Exemption/ Deferal /Interest Unsecured Free Loans - Group A not applicable, Group B @ 100%, 6 years, Group C @ 110%, 8 years, Group D @ 120%, 10 years, Group D+ @ 130%, 12 years | Units in A/B/C Groups entitled a refund of Electricity Duty in the from of a grant for 5 years | Preparation of Feasibility study: Implementation Agency to contribute 75% towards cost of study | Refund on Octorai/entry Tax (in lieu of Octorai) through a grant restricted to 100% of the fixed capital investment by the unit for a period 5/7/9/12 years in the B/C/D/D+ groups respectively |
| Group B : @ 15%, Re. 0.70 million | In D/D+ Groups, the grant period is extended to 7 years and 10 years respectively | Concession in Capital cost of power supply to prestigious units | 75% contribution towards cost of feasibility study | ||
| Group C : @ 20%, Re. 1 million | |||||
| Group D : @ 25%, Rs. 1.5 million | |||||
| Group D+ : @ 80%, Rs. 2 million | |||||
| Manipur (1996) | @ 15% on P&M limited to Rs. 1.5 million to priority sector industries for EOU @ 20% limited to Rs. 2 million | 100% for 10 years , for weaker sections additional 2 years | For 5 years 50% cost of linking power limited to Re. 0.05, Re. 0.055 EOU and weaker sections, 25% for diesel generating set of 10 H.P. or more ceiling of Re. 0.03 million, EOU and weaker sections @ 30% ceiling of Re. 0.036 million | Feasibility report @ 50% ceiling of Re. 0.025 million: EOU and weaker sections @ 60% ceiling of Re. 0.03 million; 505 on technical know how, 60% for EOU and weaker sections for testing equipment 25%, registration fee and annual fee of BIS for 5 years, for EOU and weaker sections @ 30%; for modernization state CIS @ 15% or Re. 0.1 million; developed land for 30 years lease subsidy in monthly rent for factory sheds up to 505 for all categories, 55% for EOU and weaker Sections | 5% interest subsidy per annum on working capital and term loan for first 5 years; EOU and weaker section @ 7%; Stamp duty and registration fee 100% state transport subsidy up to Rs. 3 million per annum; manpower development subsidy @ 50% or Rs. 3500 per trainee; for EOU and weaker sections @ 60% or Rs. 4000 per trainee |
| Mizoram (1989) | |||||
| Meghalaya (1997) | |||||
| Nagaland (1995) | |||||
| Orissa (1996) | |||||
| Punjab (1996) | |||||
| Investment incentive to EOU @ 30% of FCI limited to Rs. 5 million | Interest subsidy @ 5% of total interest on term loan sanctioned and disbursed | ||||
| Pondicherry (1997) | Pondicherry & Yanam Areas for units started by SC/ST entrepreneurs @10% Re. 1 million | Pondicherry and Yanam regions exempted from Sales Tax for 5 years additional 2 years beyond 5 years for expansion by more than 505 of investment in plant & machinery | Pondicherry & Yanam areas: low tension power subsidy for 5 years limited to Re. 0.1 million per month (new units) | 50% of the cost of pollution control machinery up to a maximum ceiling of Rs. 5 million | Income tax holiday for 5 years (new units) commencing production after 1-4-1993 |
| Karaikal & Mahe areas regions exempted from sales tax for 10 years 1% concessional rate of CST for 9 years in case of SSIs alone | Karaikal & Mahe Subsidy for same period on low tension and high tension | Enhanced investment subsidy for SC/ST entrepreneurs @ 25% up to a maximum of Rs. 2.5 million | |||
| Rs. 100 per month per local person employed limited to Re. 0.013 million per annum per unit | |||||
| Rajasthan (1998) | CIS Scheme has been replaced by interest subsidy scheme till 2003 and applicable to unit with investment in plant and machinery up to Rs. 6 million @ 2% on rate of interest fixed by financial institutions | Exemption and deferment from 11 to 13 years (new units) - 100% during first one or two years and gradually reduced year after year upto 305 in the last year, for very prestigious units 125% for 13 years | Subsidy on purchase of dg set @ 25% or Re. 0.25 million upto 31-3-2003 for SSIs with investment in plant and machinery not exceeding Rs. 6 million | Industries with investment up to Rs. 2 million in land and building exempted from L & B tax | Stamp duty of 1% on customs bond reduced from maximum of Rs. 25000 to Rs. 1000, octoi abolished from August, 1998 |
| Only Rajasthan State Agriculture Marketing Board capital investment subsidy available for notified and eligible Agro-based units with fixed capital investment from Re. 0.5 million to Rs. 30 million @ 20% or Rs. 2 million to remain in force till 2001. | Captive power units exempt from electricity duty | ||||
| Sikkim (1996) | Artisan & Tiny Units: @ 15% and 20% (thrust Areas) | Central & sale Tax exemption for a period of 7 years | Reimbursement on power consumption; 100% for unit with a power bill of Re. 0.05 million per annum; units consuming above Re. 0.05 million plus 25% of the balance on actual payment subject to Re. 0.2 million (per annum) | Subsidy on consultancy services | Subsidy on study tours and implant training |
| SSI : @ 10%, Re. 0.5 million | @ 30% (max. limit Re. 0.02 million) for a project up to Re. 1 million and Re. 0.01 for project above Re. 1 million | Exemption form security deposit and/or earnest money | |||
| Deferment of excise duty: on amount accumulated during the first three years (recoverable over the next five years) | |||||
| Tamil Nadu (1999) | @ 15% subject to a maximum of Rs. 1.5 million in backward blocks; 20% limited to Rs. 2 million in most backward blocks; Special Subsidy @ 20% in thrust sectors subsidy @ 20% in thrust limited to Rs. 2 million for electronic and leather industries and Rs. 1.5 million for other nine specified manufacturing activities; additional @ 5%, limited to Re. 0.5 million for employment of women more than 30%, 30% for SSIs to set up effluent treatment plants limited to Re. 0.2 million | Waiver @ 100%, 5 years or deferal; @ 100% 9 years for new units and for expansion in most backward areas: @ 100%, 9 years deferal for new units or; @ 80%, 9 years deferal under expansion in backward blocks | @ 40% (1st year), 30% (2nd year), 20% (3rd year) on low tension power | Speedy acquisition & transfer of land to projects and provision of external infrastructure | 30% reservation for women entrepreneurs in allotment of industrial sheds and developed plots |
| 5 years deferal on 60% of fixed investment for new units or 5 years deferal on 50% of fixed investment under expansion in other areas | Generator subsidy @ 15% of cost, limited to Re. 0.5 million | incentive for units in floriculture, information technology and fly ash utilisation. | |||
| Tripura (1995) | |||||
| Uttar Pradesh (1998) | |||||
| West Bengal (1999) | |||||
