Gujarat Industrial Policy 2020
Capital Subsidy to Large Industries and Thrust Sector
1. Name of the Scheme
Scheme for Capital Subsidy to Large Industries and Thrust Sector (Gujarat Industrial Policy 2020)
2. Governed By
Industries & Mines Department, Government of Gujarat
3. Operative Period
From : 07.08.2020
To : 06.08.2025
4. Who will be eligible?
- A new industrial unit, or an existing industrial unit that under takes expansion or diversification and which commences commercial production during the operative period of the scheme will be eligible to apply under this scheme.
5. Assistance Available for Capital Subsidy
| Category | General Sectors | Thrust Sectors |
|---|---|---|
| Category I Taluka | @ 10% of eligible Fixed Capital Investment (excluding land) | @ 12% of eligible Fixed Capital Investment (excluding land) |
| Category II Taluka | @ 8% of eligible Fixed Capital Investment (excluding land) | @ 10% of eligible Fixed Capital Investment (excluding land) |
| Category III Taluka & Municipal Corp. Area | @ 4% of eligible Fixed Capital Investment (excluding land) | @ 6% of eligible Fixed Capital Investment (excluding land) |
- The eligible capital subsidy will be given over a period of 10 years from the date of commercial production in equal annual instalments subject to annual ceiling of INR 40 crore.
- If the total eligible capital subsidy could not disbursed within the period of 10 years due to upper ceiling of INR 40 crores per annum, the eligible period will be extended further upto 10 years and the annual ceiling limit will remain same during such extended period.
6. Basic Conditions for Capital & Interest Subsidy
- Any investment made by an existing industrial undertaking for renovation, modernisation, rehabilitation, or rationalisation will not be eligible for incentive under this resolution.
- Industrial undertaking that has availed incentive under this scheme shall install and effectively operate and maintain pollution control measures as per standards prescribed and approved by the competent authority in this regard.
- An industrial undertaking that has availed incentive under this scheme shall be required to remain in production continuously till the expiry of the eligible period of incentive. If production is discontinued due to reasons beyond the control of the management, the sanctioning authority may condone the period for which production is discontinued after due verification of details.
7. List of manufacturing sectors that have been identified as Thrust Sectors under this policy
- Electrical machinery and equipment
- Industrial machinery and equipment
- Auto and Auto Components
- Ceramics
- Technical Textiles
- Agro and Food Processing
- Pharmaceuticals and Medical devices
- Gems and Jewellery
- Chemicals (in designated area)
- Industry 4.0 manufacturing
- Electric Vehicle and its components
- Waste management projects
- Green Energy (Solar & Wind Equipment)
- Eco-friendly compostable material (substitutes to traditional plastics)
- 100% export oriented units, irrespective of sector