For growth and development of industry, the State Government has adopted a new industrial policy known as the Industrial Policy of Manipur, 1996 effective from 01/01/1995 for;
a)Â Â Â Â creation of an integrated investor-friendly environment
b)Â Â Â Â providing infrastructural development support
c)Â Â Â Â Â maximizing resource utilizationÂ
d)Â Â Â Â increasing competitiveness, quality improvement and skill up gradation
e)Â Â Â Â removal of industrial sickness
f)Â Â Â Â Â Â Â promotion of Indo-Myanmar border trade andÂ
g)Â Â Â Â providing a package of incentives/subsidies over and above the facilities provided by the Government of India from time to time.
A brief of the incentives provided in the above policy is enumerated below:
1.Â Â Â Â Â Â Â Â State investment Subsidy @ 15% on the fixed capital investment on plant & machinery, subject to a maximum of Rs.15 lakhs per unit and 20% for EOU's subject to a maximum of Rs. 20 lakhs per unit.
2.Â Â Â Â Â Â Â Â State Transport Subsidy at the rate to be notified by the Government from time to time.
3.Â Â Â Â Â Â Â Â Interest subsidy @ 5% per annum on working capital and term loan taken from the banks/financial institutions and 7% for EOUs/weaker sections.
4.Â Â Â Â Â Â Â Â Market support and 20% price preference.
5.Â Â Â Â Â Â Â Â Factory sheds in the industrial estate at a concessional rate of 50% of the actual rent for entrepreneurs of all categories and 55% in case of Export Oriented Units (EOU) and units set up by weaker section for a period of five years.
6.Â Â Â Â Â Â Â Â Subsidy @ 50% of the expenditure on drawl of power line from the main line to factory subject to a maximum of Rs. 50,000/- per unit. In case of weaker sectionsÂ andÂ EOUs, the subsidyÂ willÂ be 55%Â subjectÂ toÂ aÂ maximum ofÂ Rs. 55,000/- per unit.
7.Â Â Â Â Â Â Â Â Man power development: Entrepreneurs are eligible to claim for reimbursement of 50% cost subject to a ceiling of Rs. 3,500/- per trainee for technical training in Government recognised/reputed training institutions/ established industrial concerns.
8.Â Â Â Â Â Â Â Â Subsidy @ 50% of the cost for feasibility study and project report preparation subject to a ceiling of Rs. 25,000/- in each case and 60% subject to a ceiling of Rs. 30,000/- for EOUs/WS.
9.Â Â Â Â Â Â Â Â Subsidy @ 50% of the cost of obtaining technical know-how.
10.Â Â Â Â Reimbursement of stamp duty and registration fee.
11.Â Â Â Â D.G. Set purchase: An entrepreneur is eligible to claim 25% subsidy for purchase of the D.G. set of 10 H.P. or more subject to a ceiling of Rs. 30,000/- In case of weaker sections and EOUs, the subsidy shall be 30% subject to a maximum of Rs. 36,000/-.