The northern Indian state of Bihar has announced a new textile and leather policy aimed at promoting industrialization as the state has ample skilled labor. To attract investors, the policy will provide a 15% subsidy for investment in factories and machinery. The state government has also ensured timely disbursement of subsidies.
According to the Bihar Industrial Investment Promotion Policy (Textile and Leather Policy) issued by state Chief Minister Nitish Kumar, new textile units set up under certain conditions will be entitled to Receive capital investment subsidy of 15% of plant and machinery expenditure, with a ceiling of Rs. 100 million, which will be paid within 5 years of commissioning of production.
In addition, all textile and leather sectors will receive 100% SGST reimbursement within 5 years.
New units established under this latest policy will be eligible for freight subsidies, employment subsidies, electricity subsidies, patent subsidies, skills development subsidies, and are exempt from stamp duty and registration. fees and land conversion fees.
The policy divides the entire textile and leather value chain into two categories. Category A includes woven, knitted, clothing, accessories, hosiery, leather, leather clothing, leather shoes, etc. Category B includes embossed, spinning, textile processing (printing), chemical fiber, synthetic fiber, polyester, acrylic fiber , viscose fiber, rayon, industrial textiles and leather processing (tanning, finishing) units.
SanjayKJain, general manager of TTLimited who participated in the event, said: The most important thing is that the government guarantees that subsidies will be paid out on time. Overall, the policy is very good. TTLimited has announced that it will set up a new unit in Bihar in line with the latest national policies.
