The Cabinet has approved
the new Industrial Policy and other concessions for the State
of Sikkim, on the lines of the existing North East Industrial
Policy in its meeting held recently. Accordingly, the policy for
Sikkim has been issued on 23/12/2002. The salient features of
the Policy include: Excise & Income Tax exemptions to all
new industries as well as expansion of existing units, for a period
of 10 years from the date of commencement of commercial production
in notified locations. Capital Investment Subsidy Scheme, Central
Interest Subsidy Scheme and Comprehensive Insurance Scheme have
been extended to the State of Sikkim. NEDFI (North- Eastern Development
Finance Corporation Limited) has been designated as the Nodal
agency for routing the subsidies/incentives under various schemes
notified under this Policy.
Financial concessions
under this policy would be extended to identified thrust sector
industries in the entire State of Sikkim without any area restrictions.
Transport subsidy has already been extended for the industrial
units in Sikkim upto 31st March, 2007. However, cigarettes/cigars
of tobacco, manufactured tobacco and substitutes, distillation/brewing
of alcoholic drinks and manufacture of branded soft drinks and
its concentrates have been excluded from availing the financial
concessions in the Policy.
Keeping in view the
lack of industrial development of the State, there is strong justification
in the structured interventionist strategies to accelerate industrial
development of the state and boost investor confidence. This
Policy would provide the required incentive and enabling environment
for industrial development and give a fillip to private investment
in the State.
