August 11, 2020: Gujarat Chief Minister Vijay Rupani has announced the state’s Industrial Policy 2020 with a focus on promoting Micro, Small and Medium Enterprises (MSMEs).
The policy focuses on promoting MSMEs with an aim to make domestic MSMEs globally competitive. Government will support MSMEs in upgradation of technologies, adopting globally accepted certifications and in marketing their products internationally.
”The New Gujarat Industrial Policy 2020 will offer interest subsidy upto 7 per cent upto INR 35 lakhs per annum for a period upto 7 years to these service sector MSMEs in the state including those engaged in Financial Services, Healthcare Services, Audio Visual services, Construction related engineering services, Environmental services etc,” Rupani said.
He also maintained that simultaneously, the state is also working on a service sector policy for large enterprises.
The government in its industrial policy also de-links incentives from state Goods and Service Tax (GST) and provides for upto 12 per cent of fixed capital investment will be given to large industries for setting up manufacturing operations in the state in the form of capital subsidy.
Rupani also said that the new industrial policy is divided in 15 thrust areas in core sectors and sunrise sectors. Core sectors includes- the thrust areas will be Electrical machinery & equipment, Industrial Machinery & equipment, Auto & Auto Components, Ceramics, Technical Textiles, Agro & Food Processing, Pharmaceuticals & Medical devices, Gems & Jewellery and Chemicals.
While Sunrise Sectors will have thrust areas like Industry 4.0 manufacturing, Electric Vehicle and its components, Waste management projects, Green Energy including Solar & Wind Equipment and Eco-friendly compostable material for substitutes to traditional plastics.
It is expected that the average annual outlay for the New Gujarat Industrial Policy 2020 will be upto INR 8,000 crore.
Source: Knn
