Gujarat industrial policy aims to make State global biz destination

Vibrant Gujarat

• Industrial policy on target to achieve mission to promote entrepreneurship, innovation
• World-class infrastructure, and initiatives aimed at easing the business environment
• Policy supports MSMEs funding up to 65% of cost of acquiring foreign patented technologies

Ahmedabad: The Gujarat government's industrial policy, launched in August 2020 with an aim to provide Rs 40,000 crore in subsidies to industries over five years, is a reflection of its commitment to make the State a global business destination, stakeholders have said. The policy, valid for a period of five years since its launch, promises an average annual outlay of Rs 8,000 crore, indicating substantial support for industries, they said ahead of the 10th edition of the Vibrant Gujarat Global Summit to be held from January 10-12, 2024, in Gandhinagar.

The summit is a forum for business networking, knowledge sharing and strategic partnerships for inclusive growth and sustainable development. The State's industrial policy has been well on target to achieve its mission to promote entrepreneurship and innovation by inclusive and balanced regional development, world-class infrastructure, and initiatives aimed at easing the business environment and export competitiveness.

This is a reflection of the government's commitment to make the State a global business destination for sustainable manufacturing and services industry and contribute to the vision of an "Aatmanirbhar Bharat" (self-reliant India), according to the stakeholders.

Gujarat Industrial Development Corporation (GIDC) Managing Director Rahul Gupta said the new industrial policy will provide a favorable environment for industrial growth and development in the State.

"If you look at the component of incentives, then you will find that those offered under the new policy are manifold, in the sense that importance has been given to value addition...because incentives are given by way of net GST reimbursement, more value addition takes place within the state," he said.

In a push for 'Aatmanirbhar Gujarat', the policy supports MSMEs by funding up to 65 per cent of the cost of acquiring foreign patented technologies, emphasising on self-reliance and innovation, officials said.

The policy also provides incentives for private industrial parks, offering 25 per cent of the fixed capital investment, which is enhanced to 50 per cent for industrial parks in tribal talukas, they said. Gujarat Chamber of Commerce and Industry Vice President Sandeep Engineer credited Prime Minister Narendra Modi's long-term vision for the growth of the state as an industrial hub.

"PM Modi was our honourable chief minister. So he started the story of the development of Gujarat. His initiatives have helped to simplify the way businesses are done and approvals are given," he said.