Sikkim is a small mountain state in the eastern part of India. It is the least populous state of the country with an estimated population of about 0.4 million. The state’s economy is basically agrarian, with the principal crops being maize, paddy, millet, wheat and barley. Sikkim has the highest surplus power in the country at low power tariffs. It is the least troubled state in the north-east. The state has poor connection with large markets and is more suitable for tourism and agro-processing. The land area of Sikkim is about 7096 Sq.Km. The per capita income is Rs.5729 and the inflation rate is 8.5%.
Incentives:
100% rebate (up to Rs.10,000) on consultancy charges
Transport subsidy for all new industrial units for 5 years
25% subsidy (up to Rs.100,000) on the purchase and installation of generating sets
Exemption from power tariff for units with consumption of up to Rs.25,000 per annum
15% price preference on products purchased by government departments for small-scale units
Sales tax exemption for 5 years for new industrial units
Sales tax deferral for 7 years for new industrial units
Rebate of up to Rs.1,000 per employee per month on the cost of training
In view of the priority attached by the Government for speedy industrial development and generation of adequate employment opportunities through self-employment, a comprehensive industrial policy for Sikkim has been formulated.
Policy objectives
The policy envisages:
Creation of an atmosphere conducive to industrial growth, taking into consideration the available natural resources and the local socio-economic environment.
Maintenance of the Green State image while promoting industrial activities.
Rehabilitation of sick industries with comprehensive assistance and guidance from the Department of Industry, and privatization of select State Public Sector Undertakings.
Enrichment of the agricultural sector through the establishment of appropriate linkage between agriculture and agro-based industries.
Ensuring balanced regional development through promotion of Khadi, Village, cottage, and tiny, small and ancillary industries.
Promotion of the traditional handloom, handicrafts and artisan sector, by providing adequate support in the form of common facilities like service centers cheap raw material, technical inputs, marketing network skill development, etc.
Development of tourism as an industry.
Development of Sikkim as a major centre for manufacture & marketing of tea.
Rapid Development of basic infrastructure so that industrial Growth is facilitated.
Encouraging self-employment and identification of avenues for the same by providing guidance through data bank of project-profiles and other related information.
Promote and encourage high-value, low-volume products, in view of the transportation-bottlenecks in the State.
