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Agro and Food Processing Sector

Incentives Available

As per

Enterprises Promotion Policy-2015

 

AGRO INDUSTRIES AND FOOD PROCESSING SECTOR:

 

Category Block ‘A’

There is no incentive in Block ‘A’ for MSME

 

Category Block ‘B’

Investment Subsidy on VAT:

75% of VAT/SGST net paid for first 7 years and 35% for next three years from the date of commencement of commercial production with cap of 100% of fixed capital investment.

75% of VAT/SGST net paid for first 7 years and 35% for next three years provided atleast 50% additional investment in plant and machinery for expansion/diversification with cap of 100% of fixed capital investment of the expanded FCI.

 

Interest Subsidy:

@6% for Micro, Small & Medium Enterprises or maximum upto Rs.10.00 lakh per year for 5 years & shall not exceed amount of net VAT/SGST paid during the relevant year.

 

Primary Processing Centre:

Capital subsidy@50% of FCI on plant & machinery and technical works, maximum of Rs.1.75 crore for eligible  entrepreneurs engaged in washing, grading, waxing, drying, packaging, cold chain and processing of fruits & vegetables using local produce as raw material for bank finance project. The subsidy will also include 35% grant-in-aid being provided by GOI.

 

Stamp Duty:

80% refund of stamp duty on purchase/leasing of land for establishing of enterprise including Industrial Estates developed by HSIIDC/private developer after commencement of commercial production, within 5 years from the date of filing of IEM.

 

EDC Charges:

50% exemption of External Development Charges.

 

Power Tariff Subsidy:

There is no power tariff subsidy in this category.

 

Electricity Duty Exemption:

100% exemption for 10 years only for new enterprises from the date of release of electricity connection.

 

Excise Duty Exemption:

Wines/Liquors/Brandy etc. made from 100% fruits and Barely produced in the state will be exempted from the Excise Duty.

 

Market Fee:

No market fee would be charged on the vegetables and fruits grown in the State and consumed as raw material by the food processing industry located within the State of Haryana.

No market fee would be charged on agriculture and horticulture used as raw material by the food processing industry located within the State except paddy,sugar,oil-seeds,til,toria,taramira.

 

Note: The other incentives specified for MSME sector would also be permissible for Agro and Food Processing MSME units.

 

Category Block ‘C’

Investment Subsidy on VAT:

75% of VAT/SGST net paid for first 7 years and 35% for next three years from the date of commencement of commercial production with cap of 100% of fixed capital investment.

75% of VAT/SGST net paid for first 7 years and 35% for next three years provided atleast 50% additonal investment in plant and machinery for expansion/diversification with cap of 100% of fixed capital investment of the expanded FCI.

 

Interest Subsidy:

@6% for Micro, Small & Medium Enterprises or maximum upto Rs.10.00 lakh per year for 5 years & shall not exceed amount of net VAT/SGST paid during the relevant year.

 

Primary Processing Centre:

Capital subsidy@50% of FCI on plant & machinery and technical works, maximum of Rs.1.75 crore for eligible  entrepreneurs engaged in washing, grading, waxing, drying, packaging, cold chain and processing of fruits & vegetables using local produce as raw material for bank finance project. The subsidy will also include 35% grant-in-aid being provided by GOI.

 

Stamp Duty:

100% refund of stamp duty on purchase/leasing of land for establishing of enterprise including Industrial Estates developed by HSIIDC/private developer after commencement of commercial production, within 5 years from the date of filing of IEM.

 

EDC Charges:

50% exemption of External Development Charges will be charged.

 

Power Tariff Subsidy:

Rs.2 per unit only for Micro and Small Enterprise in ‘C’ Category blocks for 3 years from the date of release of electricity connection and exemption from open excess charges of 93 paisa per unit in case of Medium and Large units.

 

Electricity Duty Exemption:

100% exemption for 10 years only for new enterprises from the date of release of electricity connection

 

Excise Duty Exemption:

Wines/Liquors/Brandy etc. made from 100% fruits and Barely produced in the state will be exempted from the Excise Duty

 

Market Fee:

No market fee would be charged on the vegetables and fruits grown in the State and consumed as raw material by the food processing industry located within the State of Haryana.

No market fee would be charged on agriculture and horticulture used as raw material by the food processing industry located within the State except paddy,sugar,oil-seeds,til,toria,taramira.

 

Note: The other incentives specified for MSME sector would also be permissible for Agro and Food Processing MSME units.

 

Category Block ‘D’

Investment Subsidy on VAT:

75% of VAT/SGST net paid for first 7 years and 35% for next three years from the date of commencement of commercial production with cap of 100% of fixed capital investment.

75% of VAT/SGST net paid for first 7 years and 35% for next three years provided atleast 50% additonal investment in plant and machinery for expansion/diversification with cap of 100% of fixed capital investment of the expanded FCI.

 

Interest Subsidy:

@6% for Micro, Small & Medium Enterprises or maximum upto Rs.10.00 lakh per year for 5 years & shall not exceed amount of net VAT/SGST paid during the relevant year.

 

Primary Processing Centre:

Capital subsidy@50% of FCI on plant & machinery and technical works, maximum of Rs.1.75 crore for eligible  entrepreneurs engaged in washing, grading, waxing, drying, packaging, cold chain and processing of fruits & vegetables using local produce as raw material for bank finance project. The subsidy will also include 35% grant-in-aid being provided by GOI.

 

Stamp Duty:

100% refund of stamp duty on purchase/leasing of land for establishing of enterprise including Industrial Estates developed by HSIIDC/private developer after commencement of commercial production, within 5 years from the date of filing of IEM.

 

EDC Charges:

50% exemption of External Development Charges will be charged.

 

Power Tariff Subsidy:

Rs.2 per unit only for Micro and Small Enterprise in ‘D’ Category blocks for 3 years from the date of release of electricity connection and exemption from open excess charges of 93 paisa per unit in case of Medium and Large units.

 

Electricity Duty Exemption:

100% exemption for 10 years only for new enterprises from the date of release of electricity connection

 

Excise Duty Exemption:

Wines/Liquors/Brandy etc. made from 100% fruits and Barely produced in the state will be exempted from the Excise Duty.

 

Market Fee:

No market fee would be charged on the vegetables and fruits grown in the State and consumed as raw material by the food processing industry located within the State of Haryana.

No market fee would be charged on agriculture and horticulture used as raw material by the food processing industry located within the State except paddy,sugar,oil-seeds,til,toria,taramira.

 

Note: The other incentives specified for MSME sector would also be permissible for Agro and Food Processing MSME units.