Maharashtra Government Industrial Policy- 2001

Government of Maharashtra has announced a pro-investment policy for industrial development in the year 2001. Few salient features are given below:
  1. Full fledged infrastructure development, in MIDC industrial areas with five star facilities in selected areas, including Butibori and Nandgaonpeth. In addition to electricity, water, roads, telephones, transport etc. educational institutions, health facilities, effluent treatment facility, residential township, single window clearance etc.
  2. Exemption from payment of electricity duty for 15 years in C, D, D+ and no industry areas. Entire Vidarbha is covered by this facility.
  3. Exemption from payment of Stamp duty & registration fee for setting up new industries, for acquisition of land, loan mortgage documentation etc, for six years upto 31st March 2006.
  4. Refund of Octroi paid by units in Municipal Corporation areas to the extent of 100% of Fixed Capital Investment for the period of 7 years, 9 years, and 15 years in C, D, D+ and No industry district respectively.
  5. Refund of interest paid to financing agency for term loans @ 5%, limited to Rs. 10 lakhs in C area, Rs. 20 lakhs in D area, Rs. 25 lakhs in D+ area and Rs. 35 lakhs in No industry area. The incentive is available for small scale industries in textile, readymade garments, hosiery and knitwear product lines.
  6. Special capital incentives in the form of grant, to the extent of 20%, 30%, 35%, 40%, in C, D, D+, No industry areas, with upper ceiling of Rs. 10 lakhs, Rs. 20 lakhs, Rs. 25 lakhs & Rs. 35 lakhs respectively.
  7. New as well as existing industries in D, D+ and No industry areas will be permitted to set up captive power plants. Except Nagpur city and Amravati city, entire Vidarbha region is covered in this classification of D and D+.
  8. Self Governing New Industrial Township, with powers to raise resources and determine application of funds will be established at 12 locations in Maharashtra which includes Butibori Industrial Area Dist. Nagpur, Nandgaonpeth Industrial Area Dist. Amravati, Tadali Growth Centre MIDC Area Dist. Chandrapur, Additional MIDC Area Yavatmal Dist. Yavatmal, from Vidarbha region.
  9. Butibori Industrial Area Dist. Nagpur will be proposed to Govt. of India for establishment of Special Economic Zone.
  10. Sales Tax on IT products, will be maintained at the level of minimum floor rates upto 31st March 2006. No additional sales tax/surcharge, turnover tax shall be applied to IT Products.