Patna: The Bihar government has unveiled its new Textile and Leather Policy, designed to stimulate industrial growth and create employment opportunities across the state.
The policy offers a suite of incentives to attract investment and expand production capacity within these sectors. Key among them is a capital grant providing up to 30% assistance on plant and machinery investments of up to Rs 30 crore. Additionally, industries can avail of a 10-12% reduction in interest rates on loans or equivalent discounts on actual interest paid.
Other benefits include a 50% subsidy on the Food Corporation of India (FCI) charges or grants reaching Rs 20 crore, and patent grants capped at Rs 10 lakh. Electricity duty is also discounted by Rs 2 per unit, while tax incentives include full reimbursement of State Goods and Services Tax (SGST) and complete exemption from stamp duty, registration fees, and land conversion charges.
Freight reimbursement of up to Rs 10 lakh annually is available to ease logistics costs.
To encourage employment, the policy offers reimbursement of 300% of employers’ contributions to the Employees’ Provident Fund (EPF) and Employees’ State Insurance (ESI), alongside a direct assistance of Rs 5,000 per month per employee.
