Gujarat Industrial Policy

Updated on May 18, 2022, 2:17 p.m.

Gujarat is located on the western coast of India and is having the longest coastline of 2400 kilometres among all the states in India. It is a state of critical importance and shares its borders with other states like Maharashtra, Rajasthan, Madhya Pradesh, Union territories of Dadra and Nagar Haveli. The state is having Arabian Sea as its important maritime borders to the west and the south western parts.

After Independence the state of Gujarat has established by leaps and bounds and many people have migrated to this area in search of employment. Earlier only Ahmedabad and Surat were considered industrial areas, however due to growth of industries all the districts has developed and showing exceptional growth due to good exploitation of natural resources, oil, gas, minerals, marine agriculture, and agricultural wealth.

Gujaratis are born with good business acumen and this is the major factor leading to rise of companies and many business houses that developed in the state in the last 75 years. Institutions like the Gujarat Industrial Development Cooperation (GIDC) set up many industrial estates, Parks and enclaves to enhance business.

The Gujarat Industrial Policy emphasised on the need to develop the Roads, Power, Ports, Business Enterprises, Corporate World, MNC, Promoting the local products and establishments, develop the exports and reduce imports, Water Supply and promoting Technical Education to up skill the people in the state.

RISE OF GUJARAT AS AN INDUSTRIAL POWER

Gujarat has seen extraordinary growth in terms of investments, both Domestic and the Foreign Direct Investments (FDI). There is an initiative to give extra push to the “Atmanirbhar Bharat”, after 75 years of Independence.

The New Gujarat Industrial Policy is presented with further emphasis on key thrust sectors, like enhancing combined value chains, invention and doing the empirical research on usage of advanced technology and logistics.

Great industrialists and business men were born in this state like Dhirubhai Ambani (Reliance), Gautam Adani (Adani Group), Ratan Tata (Tata Group), Ratilal Chandaria (Lexicon), Gopalakrishna Damani (D-Mart), Cyrus Poonawala (Serum Institute) and the list is endless.

Gujarat is the most industrialised state in India and provides 8% of the Indian GDP. If you look at Industrial output for the last 4 years Gujarat is standing tall with 25% of the total industrial output of India. Gujarat is first in terms of complete investment done in 2019 and as per survey done by a reputed institution; it recorded 40% growth compared to the previous years.

The state is home to the world’s largest corporations including 100+ Fortune 500 companies. MSMEs form an essential part of the entire supply chain of these large companies and act as supplementary units to medium and large scale industries leading to growth in the state. If you look at the statistics from 2014, the growth of MSME has enhanced by 70% and currently has 4 million MSME in Gujarat.

VISION OF THE GUJARAT INDUSTRIAL POLICY

To make Gujarat a Global Business Terminus for next-generation viable service and manufacturing industry driven by the advanced infrastructure, a well-adjusted regional growth and creating employment in the urban and rural areas of Gujarat, and support immensely to “Aatmanirbhar Bharat”.

MISSION OF THE GUJARAT INDUSTRIAL POLICY

To make Gujarat number one state in exports and mend the economic growth and development.
Emphasis on the concept of Vocal for Local, and enhance the domestic production and distribution of products.
Undertaking the greater execution of various schemes in Gujarat in a timely fashion.

OBJECTIVES OF THE GUJARAT INDUSTRIAL POLICY

The objectives of the Gujarat Industrial Policy are given below as follows:

Transforming the state of Gujarat into a global super power and manufacturing hub reinforced by encouraging infrastructure and ease of doing business.
To give importance to the MSME (Micro Small and Medium Enterprises), and facilitate the cluster development.
Enhance the value chain across various products in the state with focus on ‘Make in India’ initiatives.

FEATURES OF THE GUJARAT INDUSTRIAL POLICY

The features of the Gujarat Industrial Policy mooted by the Government of Gujarat are given below as follows:

We believe in improving manufacturing through investment, innovation and quality infrastructure in Gujarat.
To improve the Research and Development across various segments in the state.
Start-ups into making of COVID-19 Vaccines, Masks and liquid sanitizers will get INR 10 Lakhs since they are creating revolution in society and in the field of Pharmacy.
Industries, business establishments not having land, will get government land on lease basis at 6% of the market rates up till 50 years for establishing the industrial enterprises in Gujarat.
Start-ups in Gujarat state can get support till INR 30 Lakhs for product development, marketing and professional support.
1% of additional subsidy is given to SC/ST Entrepreneur/Physically Handicapped person, Women Entrepreneurs in the manufacturing sector.
The Gujarat Industrial Policy will offer financial support by offering partial reimbursement of the cost of filing the domestic patents and international patents till 75% of the cost sustained to a maximum of INR 25 Lakhs.
Maximum interest subsidies will be allotted at 10% for all the categories of business.
Units switching to solar power will be motivated and interest subsidies will be offered based on the term loans.
Create a good environment for making local brands and find ways to capture new markets in other states of India.
Giving importance to the underdeveloped areas of Gujarat and stress on the balanced and wide-ranging growth.
Highlighting on the concept of Make in India and prevent depending on the imported products, components and machineries in the state.
MSME can take help of 50% of certification costs up till INR 50,000 after deducting assistance received from Government of Gujarat.
Enhance the complete growth and developments in various thrust areas with complete potential for growth, investments and exports.
This policy plays a major role in adopting the sustainable clearer manufacturing and boosting the concept of Industry 4.0.
Developing amazing infrastructures like the Power, Roads, Ports, Water supply and establishing centres of Technical Education and up skill the employees.
Creating a beneficial business environment where in the project is cleared under the single window systems and there is less paperwork in processing of the request.

ELIGIBILITY CRITERIA FOR GETTING BENEFITS UNDER THE GUJARAT INDUSTRIAL POLICY

The eligibility criteria for getting all the benefits under the Gujarat Industrial Policy proposed by the Government of Gujarat are given below as follows.

Micro, Small and Medium Manufacturing Enterprises recognised under the MSMED Act 2006 of the Government of Gujarat revised from time to time is qualified.
MSME other than GIDC/approved Industrial Parks and has paid charges to Power Distribution Company for new connection or for getting extra load (in case of expansion) or for shifting of connection/ service line can apply for benefits under the new industrial policy of Gujarat.
Establishment must have Udyog Aadhaar/Udyam registration.
Business enterprises which installs Enterprise resource Planning System (ERP) in Gujarat leading to effective management of the resources.
Explosives and arms making companies are not eligible under this policy.

DOCUMENT REQUIRED FOR ENROLMENT UNDER THE GUJARAT INDUSTRIAL POLICY

The documents needed for registering under the Gujarat Industrial Policy projected by the Government of Gujarat are given below as follows.

Printed Copy of application form with declaration signed by authorised person describing his/her designation and name with stamp of the company.
The documents like the Memorandum of Understanding and Partnership Deeds should be attached.
No objection certificate from the bank.
The Power of attorney and the Board Resolution of Authorised Signatory/consent letter.
The copy of the Agreement, MOU and Contract stamped and signed regarding acquisition done by the company.
Patent certificate of technology.
Propose cost of project and means of finance for technology to be acquired.
Supporting documents for the SC/ST Enterprise attested by the gazetted authority.
CA certificate about the fixed capital investment and shareholding pattern and expenditure statement made recently.
Business Contingency Report done by the companies in the state.
Send a brief description of work done with notes on the outcome after adoption of new strategies on letter head.
Prepare an Audited report with Balance sheet as on MOU/ Agreement/Contract.
Project report and the Technical Presentation regarding new initiatives done by the company.
Create a Term loan detail as per bank sanction letter.
You must submit the PAN CARD of Enterprise, Promoters/ Directors/ Partners and authorised signatory.
The GST (Goods and Services Tax) Registration certificate signed by the gazetted authority.
Technology and Compliance report of the companies.
Bank Details for assistance showing the Bank name, Account No, IFSC Code No, Address, Branch Code No, and the Branch name.

NEW PROJECTS UNDER THE GUJARAT INDUSTRIAL POLICY

The new wave of exciting projects are available under the Gujarat Industrial Policy estimated by the Government of Gujarat are given below as follows.

MANDAL BECHARAJI SPECIAL INVESTMENT REGION

This is a prime land area located 80 Kilometres from Ahmedabad and it is emerging as the major Automobile Hub for the Japanese Auto manufacturing giant like Honda Motorcycles, Suzuki Motorcycles, Toyota Tsusho in Gujarat. Spread over 700 acres, it is the one of the finest industrial region in the state.

MUMBAI AHMEDABAD HIGH SPEED RAIL PROJECT

People are really excited to be part of the Mumbai-Ahmedabad high speed bullet train project; where in the bullet train will be operational in mid-2025 between Ahmedabad and Mumbai.

A true symbol of the Indo-Japanese collaboration worth INR 81000 Crores and consists of 30 bridges, 10 tunnels, 2 undersea tunnels, 18 stations, Training Institutes, 471 Kilometres Overpasses including the bridges. The journey will be completed within 6 hours.

GIFT (GUJARAT INTERNATIONAL FINANCIAL TECH) CITY

The Gift is the major Smart City of Gujarat with amazing facilities for offshore and companies doing the business in Stocks, Trade, Banking, Capital Markets, and Insurance segments.

It is covered with 881 acres of land areas having the companies like IBM, Accenture, Dell, Bank of America, TCS, National Stock Exchange, and New India Assurance.

All the facilities like Hotels, Parks, Religious Places, Sports complexes, Malls, Hospitals, Bus, Schools, Colleges, Housing, and Entertainment centres are available under one roof in this city of Gujarat state.

DREAM CITY (SURAT)

The Diamond Research and Mercantile City worth INR 3000 Crores in Surat is another milestone, where in many diamond cutting and processing plants will be set up.

Spread over 2500 acres and it will have an international diamond hub, and processing centre to cater to customers both domestic and foreign.

PROCEDURE FOR APPLYING FOR THE GUJARAT INDUSTRIAL POLICY

The procedures for applying for the Gujarat Industrial Policy are given below as follows:

The application form prescribed by the Government of Gujarat is filled and print out is taken.
Go to the website https://msmec.gujarat.gov.in
Click on the IFP Portal and on the right hand side select New Investor registration.
Enter all the basic details like the Name, Company, Address, Date of Birth and Aadhar Number.
After registration you cannot change Aadhar Number, Address and Date of Birth.
OTP number in shows on your mobile.
Enter the OTP number and click on the submit button.
The documents are submitted and it will take 20 or 30 days to process your applications.
After that you have to sign the undertaking that employment to 70% of the population will be for locals.

Gujarat Industrial Policy

FEATURES OF THE GUJARAT INDUSTRIAL POLICY

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