West Bengal CM Mamata Banerjee with Governor Jagdeep Dhankhar
West Bengal CM Mamata Banerjee with Governor Jagdeep Dhankhar

Amid the COVID-19 pandemic and consequent lockdowns, businesses in West Bengal have suffered heavy losses. In response, the state administration has worked out special incentives to encourage companies to establish private industrial parks. Financial assistance of Rs. 2 crore to Rs.10 crore will be given to any organization or entrepreneur to set up industrial units on a private initiative. The decision was taken at the state cabinet meeting on Wednesday where 34 cabinet ministers were present.

In 2014, the state government had adopted an incentive policy to encourage investment in small and cottage industries and create employment. This time, the incentive policy has been renewed for five years for industrial parks with the aim of re-employment and to encourage the establishment of industries.

According to the policy, Rs. 2 crore will be given to those who will build industrial estates on 20 to 39 acres of land, Rs. 4 crore will be given for 40 and 59 acres of land and Rs.6 crore financial assistance will be given to those who have set up industrial estates on 60 to 69 acres of land. The government will provide Rs. 8 crore for 80 to 99 acres of land for industrial parks. And in case of more than 100 acres of land, the state will give a maximum incentive of Rs.10 crore.

“The announcement of special incentives to encourage companies to set up industrial parks will offer the much needed one-stop plug and play readymade infrastructure for setting up new Industries. This will be a big boost for industrial activities in the state and will specifically encourage MSMEs to set up new Units," said Sanjay Budhia, MD Patton Group.

Budhia also feels that with the airlines in operation and metros and local trains opening up, there will be proper attendance at the factories and work places. This will accelerate and augment the economic activities.

Other measures have also been announced for industrialists. That is, the state government will build free electricity sub-stations in the industrial area, but the land has to be given to that industry. The government will also build a road up to one and a half kilometers. Nabanna, the state secretariat will also refund the stamp duty on land purchase later.

Besides, Rs.5 lakh will be provided for construction of Common Effluent Treatment Plant (CETP) in the industrial area. So far, 14 such parks have been set up on 1,300 acres of land in the state. The state government is keen to increase that number.

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Free Press Journal