01-Jun-20 Gujarat government had introduced a scheme for plastics industry. Originaly intended to expire in Dec 2019, the validity has been extended till 30th June 2020
Following are the highlights of the scheme
Eligible Units
• Unit engaged in manufacturing of plastic products/items/articles by using plastic as main raw materials.
• Plastic material means organic polymers of high molecular mass such as Polyolefin (LLDPE, LDPE, HDPE, PP), PVC, Nylon, Polyesters, Polystyrene, Polycarbonate, polyamide (nylon 6, nylon 66), etc.
Investment Amount eligible under the Scheme
• Investment made on or after 1-1-2015 and on or before the date specified for completion of investment in:
• New Building
• New plant and machinery / equipment
• Imported second hand plant and machinery/ equipment having residual life of minimum five years as certified by chartered Engineer
• Cost of installation, erection, transportation, electrification
• Other related assets for manufacturing product
• Investment in Land, is not eligible
Total Amount of Incentive
• Interest Subsidy: 7% p.a. interest on the term loan
• Maximum Rs.1 crore p.a. for period of 5 years
• SGST Incentive:
• 75% of Eligible Investment
• 80% of net SGST reimbursement
• 7 Years
• Eligible enterprises will be entitled to avail SGST incentive to the extent of 1/7th of ceiling in particular year
Time limit for Investment & Labor Restrictions
• Investment Period for Fixed assets acquired after 1.1.2015:
• For MSME Units: 6 months from the DOCP
• Eligible Investment upto Rs. 100 crore: 12 months from the DOCP
• Eligible Investment more than Rs. 100 crore: 18 months from the DOCP
• Labor Restrictions:
• Undertaking shall be required to employ persons domiciled in Gujarat to extent of at least 85% of its total number of employees
• Managerial and supervisory capacity person shall not be less than 60% domiciled in Gujarat
Previous News
Next News
{{comment.DateTimeStampDisplay}}
{{comment.Comments}}