Chhattisgarh is one of the fastest growing & emerging states of India and is enriched with natural resources. About 80 % of the population of Chhattisgarh depends on the Agriculture and Agro based activities. The State is equidistant from the important cities and centers of the eastern, western and southern ends of India and that is a beneficial geographical location, due to which marketing of Agro and Food Processing Industries products is easily possible with Maharashtra, Madhya Pradesh, Orissa, Jharkhand, Andhra Pradesh, Uttar Pradesh etc.
To make the State leading in the Food processing industries the state has proposed the AGRO & FOOD PROCESSING IndustriesDUSTRIES POLICY -2012 - 19.
The objective of the policy is Enhancement of the income of the farmers of the State and Value addition of the Agriculture produce, Fruits & Vegetables and Pulses & Oilseeds in the State. IT aims Generation of new opportunities of employment in the agro and food processing sector.
Other objective include provision the secured storage for Agriculture produce, ensure better price of agriculture produce to the farmers of the state, reduction in cost of production of the agro and food processing products.
Ensure availability of good quality food materials to the public of the State at justified prices.
Agro & Food Processing Industries Policy will be effective from 1st November 2012 for each five years till date.
Industrial Investment Incentives will be available to those Industrial enterprises, which will provide employment to the minimum 90 %, in case of unskilled workers, minimum 50 % skilled.
Minimum fixed capital investment of Rs.1 Crore has to be made in head of plant & machinery.
Fixed capital investment should be made within two years from the date of execution of M.O.U. For extension of time-period, effective steps taken would be reviewed. Execution of M.O.U. with the Government shall be compulsory if the capital investment exceeds Rs. 100 Crore.
Industries included in Appendix –
1) (List of Ineligible Industries) shall not be eligible for any subsidy, exemption and concessions, notified under this policy.
2) Investment promotion will be applicable in the following cases: -
(a) Establishment of new industries,
(b) Expansion of the existing industries.
3) Under “Agro & Food Processing Industries Policy – 2012” those industries shall be included, which will establish new industries in Food and Agro products / have expansion under expansion scheme and for this, will invest minimum of Rs.1 Crore in fixed capital investment in the plant & machinery head.
| Sr.No. | Subsidy/Exemption | Brief details |
|---|---|---|
| 1 | Reimbursement Concession in Value Added Tax and Central Sales Tax | Maximum limit is 150 % of the fixed capital investment, up to maximum period of 10 years, whichever will be completed earlier. units. This exemption will be in the form of capital incentive assistance. |
| 2 | Entry tax | 100% exemptions for the period of 7- years from the date of start of commercial production. |
| 3 | Electrical Duty exemption | 100% exemption for the period of 10 years from the date of commencement of commercial production |
| 4 | Mandi Tax exemption | Entire Mandi tax levied on the agro products will be exempted for a period of five years, maximum limit of the exemption will be equal to 75 percent of the fixed Capital investment. |
| 5 | Schemes by the Agriculture department | Benefits of the schemes will be provided to the producing farmers connected with the processing units. Electricity lines extension subsidy, subsidy on tube well, subsidy on pump transfer, exemption in electrical duty, loan facility on concessional rate shall be available to the producing farmers |