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Policy Brochure

Ease Of Doing Business

1 Starting a Business
  • Invest Punjab Business First portal for regulatory clearances and fiscal incentives.
  • Sector specific list of approvals online.
  • Time bound approvals - Punjab Transparency and Accountability in Delivery of Public Services Act, 2018.
  • GIS mapping of 49 Industrial Focal Points
2 Setting up a Business
  • Power connection in Industrial focal points within 15 days
  • Online Single Window for construction permits
  • Online Land Allotment
  • White category industries exempted from approvals (PPCB)
  • Single joint site inspection for granting construction permits
3 Operating a Business
  • Invest Punjab Business First portal for regulatory clearances and fiscal incentives.
  • Validity of factories licence/renewals extended to 10+ years.
  • No inspection/renewal for registration under Shops & Establishment Act.
  • CTO for green category industries for 5-10 years. Auto renewal with self certification or third party certification

Attractive Fiscal Incentives

The State provides a variety of fiscal and non-fiscal incentives to support the growth of existing industries and to attract new investments. The Industrial and Business Development Policy provides strong support to MSMEs to enhance their access to Finance, Technology, Market, Infrastructure and other needs.

The State has identified certain thrust sectors for growth and they have been provided higher incentives. Keeping in view the significance of Anchor investors, they have been offered special incentives in the policy. It has also given a package of incentives for the revival of sick industries.

Extreme Border Zone has also been given special incentives.


Policy provides incentives to following categories of business projects:

  • Manufacturing Sector Units
  • Service Sector Units
    _______________________________
  • Large Units
  • MSME Units (as defined by GoI)
  • Start-ups
    _______________________________
  • New Projects (Green Field Projects)
  • Expansion Projects (Brown Field Projects)

 

Key Incentives available in the Policy are:

  1. GST Reimbursement
  2. Employment Subsidy
  3. Electricity Duty Exemption
  4. Stamp Duty Exemption/Reimbursement
  5. Property Tax Exemption
  6. CLU/EDC Exemption

*Quantum of incentive and eligibility period to avail incentives depends upon the size of the investment. There are other incentives available in the IBDP 2017.

Anchor Unit as defined below gets GST incentive up to 200% of Fixed Capital Investment (FCI) in 15 Years

Sectors

Minimum FCI (Rs in Crore)

OR Minimum Direct Employment Generation

IT/ITES

Apparel & Made-ups

Footwear & Accessories

Electronics

Food Processing Industries

50

500

Any other Manufacturing Sector or Service Sector (as defined for large Industries)

200

1000

 

Thrust Sectors as defined below get GST incentive up to 125% of Fixed Capital Investment (FCI) in 10 Years

  1. Manufacturing Industry
    1. E-vehicle, NRSE Equipment, Energy Storage Devices, Medical Equipment, Industry 4.0 based manufacturing enterprises
    2. Textile including Apparel and Made-ups, Technical Textiles
    3. Agri & Food Processing Industries
    4. Footwear and accessories
    5. Electronics
    6. Aerospace and Defence
    7. Biotechnology, Pharmaceutical
    8. Processing of Agro waste (Biomass) into Energy, Bio-Energy, manure or any other usable Form
    9. Bicycle and Bicycle components/ parts
    10. Alloy Steel
  2. Service Industry
    1. IT and ITES
    2. Life Sciences
    3. Skill Development Centres, Incubation Centres, Accelerators
    4. Healthcare
    5. Tourism & Hospitality
    6. Media and Entertainment
    7. Logistics
    8. Maintenance, Repair and overhaul (MRO) for activation & Defence sector

 

Thrust Sector Units –Other Units (Large/MSMEs/Startups) get GST incentive upto 100% of Fixed Capital Investment (FCI) in 7 Years

*For more detail please refer
IBDP 2019 and it’s guidelines. Or contact INVEST PUNJAB for any assistance.
T
o apply your project, please click IP-Business First Portal at www.investpunjab.gov.in

Thrust Sector

Sector Specific Special Incentives for Units in Thrust Sectors