New textile policy offers concessions to industrialists

Tribune News Service

Dehradun, December 15

Keeping in view the various changes taking place in the textile industry both at the national and international fronts, the new Mega Textile Park Policy 2014 not only aims to give a boost to the textile industry in the state but also envisages a road map for the spread of textile parks in the state.

The policy that has come into effect from December 11, 2014 offers several concessions to the industrialists in the government selected textile parks, who are already into the business of textiles and apparel in the state.

According to the policy, new investments totalling Rs 75 crore and above will fall under the mega textile park category. The allocation of land for new textile industries or those seeking expansion would be carried under the single window system at the norms and rates set by SIDCUL.

Around 50 per cent rebate in land allotment would be given for such parks by SIDCUL. However, the textile parks have to come into production within three years, otherwise the concessions would be withdrawn. The scheme period is till 2021.

The other concessions include,15 per cent (maximum Rs 50 lakh) state capital subsidy by the Central Government (for Uttarakhand) till 2017 for MSMEs and 15 per cent (maximum Rs 30 lakh) for large scale industries, interest subsidy at the rate of seven per cent for seven years, 100 per cent concession in VAT on raw material etc, 75 per cent rebate on mandi tax and 100 per cent CST rebate on production of goods.