Government of India Ministry of Commerce & Industry Department of Industrial Policy & Promotion
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GOVERNMENT OF INDIA MINISTRY OF COMMERCE & INDUSTRY DEPARTMENT OF INDUSTRIAL POLICY & PROMOTION LOK SABHA UNSTARRED QUESTION NO.7075. TO BE ANSWERED ON FRIDAY, THE 8TH MAY, 2015. NORTH-EAST INDUSTRIAL AND INVESTMENT PROMOTION POLICY 7075. SHRI BAIJAYANT JAY PANDA: SHRI RAM PRASAD SARMAH: SHRI RADHESHYAM BISWAS: SHRI PREM DAS RAI: SHRI JAYADEV GALLA: Will the Minister of COMMERCE AND INDUSTRY be pleased to state: वाणि煍य और उ饍योग मंत्री (a) the salient features of the North- East Industrial and Investment Promotion Policy (NEIIPP), 2007 along with the physical and financial achievements thereof since its inception, year, sector and Statewise; (b) the details of industries set up along with the quantum of investments made including under Public Private Partnership (PPP) mode of the said policy and employment generated therefrom during the said period, year, sector and State-wise; (c) whether the Government has suspended/proposes to suspend newer commitments/registrations under the said policy, if so, the details thereof and the reasons therefor, sector-wise; (d) whether the Government proposes to review or discontinue the policy and if so, the details/outcome thereof and the reasons for its discontinuation; and (e) the further measures taken by the Government for the smooth implementation of the policy and to boost internal and cross-border trade to promote economic growth and employment in the region including investment through PPP mode? ANSWER वाणि煍य और उ饍योग रा煍य मंत्री (वतंत्र प्रभार)(श्रीमती निममऱा सीतारमि) THE MINISTER OF STATE (INDEPENDENT CHARGE) OF THE MINISTRY OF COMMERCE AND INDUSTRY (SHRIMATI NIRMALA SITHARAMAN) (a): To promote industrialization in the States of North Eastern Region leading to overall growth of the region, the Government announced a package of fiscal incentives, namely the North East Industrial and Investment Promotion Policy (NEIIPP), 2007, w.e.f. 01.04.2007 for a period of 10 years, salient features of which are grant of (i) Central Capital Investment Subsidy @ 30% of investment in Plant and Machinery, (ii) Central Interest Subsidy @ 3% of working capital loan availed for a period of 10 years from the date of commencement of commercial production (DOCP), (iii) reimbursement of insurance premium paid towards insurance of fixed capital assets for a period of 10 years from DOCP, (iv) Excise Duty exemptions for a period of 10 years from DOCP and (v) Income Tax exemption for a period of 10 years from DOCP. Detail of Physical and Financial achievements of NEIIPP, 2007 since inception of the scheme (year wise and state wise) is at Annexure-I. (b): Details of industries set up, along with quantum of investment made and employment generated therefrom during the policy period and as reported by the State Governments (year wise and state wise) is at Annexure-II. Units have been set up both in the Manufacturing Sector and Services Sector, covering various fields such as Pharmaceuticals, Steel and Rolling Mill, Cement, FMCG, Packaging, Poultry Feed, Ferro-alloy, Bakery, Hotels, Hospitals, Power Generation, etc. (c): Fresh registration of industrial units for claiming benefits of the schemes under NEIIPP, 2007 has been suspended w.e.f. 01.12.2014, since committed liabilities under the Package are far greater than Annual budget allocation. However, the scheme has neither been cancelled nor withdrawn. (d): There is no proposal for discontinuing the scheme at present. (e): A number of initiatives have been taken in the recent past for smooth implementation of the scheme, details of which are at Annexure-III. To give a further boost to internal trade, the Government has been implementing the scheme, namely, Assistance to States for Developing Export Infrastructure (ASIDE), under which special emphasis is given to development of infrastructure in the NER States. This Scheme has been devolved to States in the current financial year. Apart from this, an Export Development Fund (EDF) has also been set up with the objective of promoting exports from the region. Efforts have also been initiated to mainstream the States, including NE States, for boosting exports. ********* ANNEXURE – I ANNEXURE REFERRED TO IN REPLY TO PART (a) OF THE LOK SABHA UNSTARRED QUESTION NO.7075 TO BE ANSWERED ON 8.05.2015 Physical and Financial Achievements of NEIIPP in terms of subsidy disbursement Central Capital Investment Subsidy (CCIS) (Rs. in crore) State 2007-2008 2008-09 2009-10 2010-11 2011-12 2012-13 2013-14 2014-15 Total Nos. Amt Nos. Amt Nos. Amt Nos. Amt Nos. Amt Nos. Amt Nos. Amt Nos. Amt Nos. Amt Arunachal 2 0.15 5 1.21 7 3.70 11 2.83 - - 7 7.50 32 15.39 Assam 74 9.55 158 25.42 34 4.59 90 24.28 10 0.61 131 52.30 10 19.80 132 74.10 639 210.65 Manipur - - - - - - - - - - 2 1.59 2 1.59 Meghalaya 5 0.68 14 2.14 19 7.73 11 42.79 - - 9 59.25 7 112.03 11 33.54 76 258.16 Mizoram 1 0.11 - - - - - - - - 1 0.60 2 1.00 4 1.71 Nagaland 3 0.07 - - - - - - - - - - 3 0.07 Sikkim 0 - 35 5.32 111 6.97 1 0.04 - - 23 4.55 9 44.05 179 60.93 Tripura 4 0.51 1 0.003 4 0.19 11 1.15 - - 17 2.61 4 0.89 41 5.35 TOTAL 89 11.07 213 34.09 175 23.18 124 71.09 10 0.61 190 128.40 21 132.72 154 152.69 976 553.85 Central Interest Subsidy (CIS) (Rs. in crore) State 2007-2008 2008-09 2009-10 2010-11 2011-12 2012-13 2013-14 2014-15 Total Nos. Amt Nos. Amt Nos. Amt Nos. Amt Nos. Amt Amt Nos. Amt Nos. Amt Nos. Amt Nos. Arunachal 2 0 0.00 1 0.15 0 0.00 0 0.00 0 0.00 3 0.39 0.24 Assam 200 59 12.95 317 32.69 183 16.23 74 21.32 11.33 60 5.87 1314 125.81 16.97 8.45 269 152 Meghalaya 44 62 2.61 114 4.52 66 4.00 26 2.43 6.45 114 20.07 530 45.11 1.64 3.39 45 59 Mizoram - - - - - - - - - - - - - - Nagaland - - - - - - - - - - - - - - Sikkim 6 3 0.43 0.39 - 0.06 16 1.55 0.66 - - 5 1 0.01 - 1 Tripura 10 0.38 2 0.11 6 0.15 0.18 1.24 0.26 1 0.01 51 2.45 7 4 0.12 15 6 TOTAL 262 19.89 123 15.67 441 37.94 261 20.80 105 11.97 329 24.99 218 18.10 175 25.95 1,914 175.31 Central Comprehensive Insurance Subsidy (Rs. in lakh) State 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13 2013-14 2014-15 Total No. Amt. No. Amt. No. Amt. Nos. Amt Nos. Amt Nos. Amt Nos. Amt Nos. Amt No. Amt. Arunachal 7 4.90 1 0.34 8 5.24 Assam 110 130.00 72 75.71 79 77.25 76 61.22 103 122.15 41 41.47 12 18.75 27 24.75 520 551.30 Meghalaya 26 94.18 19 32.85 16 75.71 29 60.10 53 94.25 17 20.27 3 0.67 36 158.19 199 536.22 Sikkim 4 12.19 4 40.91 1 17.47 1 2.11 10 72.68 Tripura 2 1.58 6 5.39 12 16.30 1 14.04 12 21.38 7 4.98 40 63.67 TOTAL 142 237.95 91 108.56 102 157.86 111 126.71 172 273.61 60 93.25 29 43.25 70 187.92 777 1229.11 ********* ANNEXURE – II ANNEXURE REFERRED TO IN REPLY TO PART (b) OF THE LOK SABHA UNSTARRED QUESTION NO.7075 TO BE ANSWERED ON 8.05.2015 Year and state-wise details of industries set up along with the quantum of investments made including under Public Private Partnership (PPP) mode and employment generated therefrom since 2007:- STATE - TRIPURA Year No. of units Investment Employment (Rs. in crore) generated (no.) 2007-08 156 16.64 2329 2008-09 236 43.10 4590 2009-10 218 38.67 3867 2010-11 218 63.54 4315 2011-12 205 55.56 2744 2012-13 150 64.22 1952 2013-14 173 27.98 2053 2014-15 144 96.70 1976 (Upto Jan, 2015) Total 1500 406.41 23826 State – Arunachal Pradesh Year No. of units Investment Employment (Rs. in crores) generated (no.) 2007-08 13 50.74 352 2008-09 23 20.93 626 2009-10 14 6.68 256 2010-11 08 60.33 463 2011-12 29 119.51 923 2012-13 79 159.31 1528 2013-14 29 65.57 582 2014-15 23 9.885 250 Total 218 492.92 4980 State – Assam Year No. of units Investment Employment (Rs. in crores) generated (no.) 2007-08 1811 423.09 11528 2008-09 1711 267.12 13688 2009-10 1678 299.01 12787 2010-11 1506 276.63 10458 2011-12 1218 270.00 13192 2012-13 1451 273.97 11671 2013-14 1860 310.99 12971 2014-15 2020 222.54 16608 (Upto Feb, 2015) Total 13255 2343.35 102903 State: Nagaland Year No. of units Investment Employment (Rs. in generated (no.) croress) 2007-08 687 3015.93 2748 2008-09 2498 9467.42 9992 2009-10 1445 7123.85 5780 2010-11 617 3085.00 2468 2011-12 651 3189.9 2604 2012-13 145 723.00 580 2013-14 116 359.6 852 2014-15 52 790.15 439 Total 6211 27754.85 25463 State – Meghalaya Year No.