Benefits of NE industrial package extended to J&K

JAMMU : In a major step towards promoting industrialisation and economic prosperity in Jammu and Kashmir (J&K), the department of industrial policy and promotion (DIPP) of the Government of India, on Friday, approved extension of all benefits given to the northeastern states under North East Industrial Development Scheme, to J&K.

An official spokesperson said, till June 2017, the benefits given to new industrial units in Jammu and Kashmir were largely similar to the benefits extended to north-eastern states under the Industrial Development Scheme. “However, when a new scheme was approved for Jammu and Kashmir separately in 2017, only three benefits given to the northeast were extended to J&K,” the spokesperson said and added that these included capital investment incentive of 30%, interest incentive of 3% and insurance incentives— all for five years.

“These incentives are critical to attracting new investment and consequently, very few units took advantage of this scheme,” he said. The key additional benefits, after the extension of the benefits of package, include GST reimbursement of central share of CGST and IGST for five years, income tax reimbursement for five years, transport incentive of 20% for transport by railways or waterways and 33% by air and employment incentive of an additional 3.67% of employer’s contribution to EPF in addition to 8.33% already paid by the central government under PMRPY.