Assam is the largest state of the North Eastern region. It has the best developed physical infrastructure among the north-eastern states. The work culture is good and as is the management-worker relations. Unfortunately, the persistent law and order problems in the state have resulted in inadequate protection of industry. The level of urbanization is low. The state also has a power deficit of 19.38%.
Incentives:
90% subsidy (up to Rs. 200,000) on the cost of feasibility studies for medium-scale units
100% subsidy (up to Rs. 50,000) on the cost of feasibility studies for small-scale units
Investment subsidy of 30% (up to Rs. 1,000,000) of capital investment
Power subsidy of 50% for units with connected loads up to 1 MW and 30% for 5 MW for 5 years
90% transport subsidy for procurement of raw materials up to the Siliguri rail-head
Sales tax exemption (up to 7 years) of 150% of fixed capital investment for small-scale units
Sales tax exemption (up to 7 years) of 100% of fixed capital investment for medium-scale units
5-year income tax holiday for new industrial units set up in the Northeast
The Industrial Policy of Assam, 2003 has been formulated in the light of the experience of implementation of the Industrial Policies of 1982, 1986, 1991 and 1997.
While formulating the present policy, views and suggestions of a cross section of people including industrialists, and Trade Associations, were invited and meaningful interactions were made with them.
In the Industrial Policy of Assam, 2003, emphasis has been given in making the operational guidelines effective and simplifying the procedures so that the prospective entrepreneurs and Investors find the investment climate in the state attractive and preferable.
Aims and Objectives
The Industrial Policy of Assam, 2003 is formulated to achieve the following aims and objectives:
To increase the share of the industrial sector to the State Domestic product (SDP) from the present level of 13.29% to a level of atleast 18%at the end of the terminal year of the policy.
To generate more employment opportunities in the state.
To ensure of development of adequate and appropriate infrastructures for industrial growth.
To make Assam one of the preferred destinations for investment for outside investors.
To encourage private investment in industrial infrastructure projects.
To ensure industrial development in hitherto industrially backward regions of the state.
To create avenues for sustained growth and development of the Small Scale and tiny sectors.
To catalyse administrative and legal reforms with a view to simplify the procedure and to ensure time bound disposal of matters.
To take steps to promote rural handicrafts so as to conserve and enrich cultural heritage, traditions and customs of the state.
To promote establishment of medium and large-scale mother industries to create an industrial base, offering large scale employment opportunities through backward and forward linkages.
To promote Information Technology, high-tech knowledge based and biotech industries.
To promote export oriented industrial units.
To take steps to revive the potentially viable sick Public Sector Undertakings and to make the Public Sector Undertakings economically viable.
To provide Single Window Clearance system for fast track clearance of industrial proposals.
