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Kerala Hi-Tech Manufacturing Framework New

Comprehensive ecosystem for high-technology manufacturing investment

Scope and Objectives
Hi-Tech Manufacturing
KERALA HI-TECH MANUFACTURING FRAMEWORK

The Kerala Hi-Tech Framework 2025 serves as the strategic blueprint for developing the StateΓÇÖs advanced manufacturing and innovation ecosystem. It reflects the governmentΓÇÖs vision of moving from resource-based to knowledge-based industrialization, driven by technology, R&D, and intellectual property.

Scope and Objectives

The framework identifies sunrise sectors with global growth potential ΓÇö including semiconductors, electronics system design and manufacturing (ESDM), biotechnology and life sciences, aerospace and defence, medical devices, robotics, nanotechnology, and advanced materials. It emphasizes self-reliance through design, innovation, and high-value manufacturing, aligned with national missions such as ΓÇ£Make in IndiaΓÇ¥ and ΓÇ£Atmanirbhar Bharat.ΓÇ¥

Cluster-Based Development
Cluster-Based Development

The framework promotes the creation of Hi-Tech Manufacturing Parks and Innovation Clusters across KeralaΓÇÖs industrial belts, particularly along the emerging KochiΓÇôPalakkadΓÇôThiruvananthapuram Corridor. These clusters will feature plug-and-play facilities, shared R&D and testing infrastructure, incubation centres, and collaboration spaces for academia and startups. Research, Innovation, and Collaboration KeralaΓÇÖs strong academic base is leveraged through partnerships with universities, R&D institutions, and technology centres. The framework encourages establishment of Applied Research Hubs, Innovation Acceleration Programs, and Technology Transfer Offices (TTOs). It supports joint ventures with global technology firms and encourages participation of KeralaΓÇÖs diaspora professionals in knowledge exchange.

Incentives and Industry Support
Capital Subsidies for hi-tech units investing in advanced technology and equipment. R&D Grants and IP Support for patent filing, prototype development, and pilot production. Start-up Integration: Hi-tech start-ups will be co-located in industrial parks to facilitate collaboration with manufacturing
Expected Outcomes
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Expected Outcomes

No outcome details added yet.

Kerala Hi-Tech Manufacturing Framework – Policy Document
This document outlines the comprehensive Kerala Hi-Tech Manufacturing Framework including cluster development norms, eligibility criteria, incentive structures, and implementation guidelines.

Campus Industrial Parks (CIPs) Scheme

Private-sector led premium industrial campuses with state support

Overview
Campus Industrial Parks
Campus Industrial Parks (CIPs) scheme

The Kerala GovernmentΓÇÖs Campus Industrial Parks (CIPs) scheme is a groundbreaking initiative aimed at bridging the gap between academia and industry while fostering entrepreneurship among students. This program enables higher education institutions, such as colleges, polytechnics, and ITIs, to establish industrial parks within their campuses, facilitating the immediate production of research-based products. With financial assistance provided for essential infrastructure, the scheme empowers educational institutions to play a pivotal role in driving economic growth and addressing skill gaps by enhancing student opportunities in innovation and entrepreneurship.

Campus Industrial Parks (CIPs) scheme-2

The Kerala Government is extending substantial infrastructure support for the establishment of Campus Industrial Parks (CIPs) across the state. Each selected educational institution will receive up to ₹1.5 crore (₹20 lakh per acre) for developing essential infrastructure, including roads, electricity, drainage, and laboratory facilities. Additionally, a financial aid of ₹1.5 crore is available for setting up Standard Design Factories (SDFs) and related basic amenities. This funding will be provided on a reimbursement basis upon the completion of infrastructure facilities, ensuring that CIPs are equipped to foster entrepreneurship and enhance industrial production effectively.

Our Mission
Our Mission

The Government of KeralaΓÇÖs Campus Industrial Parks (CIPs) initiative is set to transform the educational landscape by merging industry with academia. This innovative project aims to nurture entrepreneurship among students and enhance collaboration between educational institutions and the industrial sector. By converting research outcomes into tangible industrial production, CIPs will enable the swift commercialization of innovative products developed within academic settings.

1
Land Requirement
  • Minimum Land AreaA minimum contiguous land area of 10 acres is required for CIP development.
  • Clear Title RequirementThe land must have a clear, encumbrance-free title with a detailed land use plan submitted alongside the application.
  • Zoning & Land UseLand must be zoned for industrial or mixed-use purposes as per local town planning regulations. Agricultural land conversion approval is mandatory where applicable.
  • Accessibility NormsThe plot must be accessible via a public road with minimum carriageway width as specified in scheme guidelines.
2
Application Process
  • Online Submission via K-SWIFTApplications must be submitted online through the K-SWIFT portal. All fields must be completed and supporting documents uploaded before final submission.
  • Document UploadUpload land ownership proof, detailed project report, audited financial statements, and entity registration certificates.
  • Application FeeA non-refundable processing fee as prescribed by the government must be remitted online at the time of submission.
  • Acknowledgement & TrackingUpon successful submission, an acknowledgement number is issued. Track your application status anytime through the K-SWIFT dashboard.
Apply via K-SWIFT Portal
3
Approval Process
  • Preliminary ScrutinyThe submitted application undergoes preliminary scrutiny by the nodal officer to verify completeness of documents and eligibility.
  • SLEC ReviewApplications are placed before the State Level Empowered Committee (SLEC) which evaluates the project proposal, land details, and financial capacity.
  • In-Principle ApprovalIn-principle approval is typically granted within 60 working days. The approval letter details all conditions to be fulfilled before final sanction.
  • Final Sanction & AgreementUpon fulfilling all conditions, the final sanction order is issued and a Development Agreement is executed between the developer and the government agency.
4
Financial Support
  • Capital SubsidyEligible CIP developers may avail a capital subsidy of up to 20% of infrastructure development cost, subject to the ceiling defined by the state government policy.
  • Infrastructure GrantAdditional grants for internal road development, power infrastructure, and water supply systems within the campus park boundary.
  • SGST ReimbursementReimbursement of State GST paid on construction materials and services used for common infrastructure development within the CIP.
  • Soft Loan FacilitationKSIDC facilitates access to soft loans from state financial institutions at concessional interest rates for eligible CIP developers.
Government Orders

Private Industrial Estate (PIE) Scheme

Enabling private developers to establish industrial estates across Kerala

Overview
Private Industrial Estate
Private Industrial Estate (PIE) Scheme

The initiative aims to stimulate employment opportunities through the strategic development of private lands for establishing industrial enterprises across the state, thereby fostering a conducive business environment. With industrial land in short supply and demand on the rise, this scheme seeks to address these challenges effectively. The minimum land requirement for developing a Private Industrial Estate is set at 10 acres, while for establishing a Standard Design Factory, it stands at five acres. ItΓÇÖs imperative that the identified land does not fall under environmentally sensitive areas, coastal regulation zones, paddy lands, or wetlands. Entities possessing a minimum of 10 acres of land can apply online to obtain the Private Industrial Estate Developer Permit. For projects exceeding 15 acres, exemptions under the Kerala Land Reforms Act of 1963 will be granted by the Government. The Directorate of Industries and Commerce will scrutinize applications, assessing site feasibility and project viability. Subsequently, a high-level committee, comprising representatives from various government departments, will review and approve applications within 30 days. Upon committee approval, the Industries Department will issue the Private Industrial Estate Developer Permit. Government financial assistance, capped at Rs. 30 lakhs per acre and not exceeding Rs. 3 crores, will support infrastructure development, including electricity, water, transportation, drainage, and common facilities. Each Private Industrial Estate will operate under the jurisdiction of a Single Window Clearance Board, in alignment with the Kerala Industrial Single Window Clearance Board and the Industrial Township Area Development Act of 1999. The Private Industrial Estate Developer Permit will delineate timelines, infrastructure facilities, and utilities commitments. Land within the Private Industrial Estate will be exclusively allocated to industrial enterprises, barring vehicle showrooms, shopping complexes, malls, or retail outlets. An online portal has been established for streamlined application submission, ensuring efficient processing.

Scheme-02

The minimum land requirement for developing a Private Industrial Estate is set at 10 acres, while for establishing a Standard Design Factory, it stands at five acres. ItΓÇÖs imperative that the identified land does not fall under environmentally sensitive areas, coastal regulation zones, paddy lands, or wetlands. Entities possessing a minimum of 10 acres of land can apply online to obtain the Private Industrial Estate Developer Permit. For projects exceeding 15 acres, exemptions under the Kerala Land Reforms Act of 1963 will be granted by the Government. The Directorate of Industries and Commerce will scrutinize applications, assessing site feasibility and project viability. Subsequently, a high-level committee, comprising representatives from various government departments, will review and approve applications within 30 days. Upon committee approval, the Industries Department will issue the Private Industrial Estate Developer Permit. Government financial assistance, capped at Rs. 30 lakhs per acre and not exceeding Rs. 3 crores, will support infrastructure development, including electricity, water, transportation, drainage, and common facilities.

Apply for New Private Industrial Park
Applications must be submitted online. Ensure all land and financial documents are ready before initiating the application.
Private Industrial Estate

The initiative aims to stimulate employment opportunities through the strategic development of private lands for establishing industrial enterprises across the state, thereby fostering a conducive business environment. With industrial land in short supply and demand on the rise, this scheme seeks to address these challenges effectively. The minimum land requirement for developing a Private Industrial Estate is set at 10 acres, while for establishing a Standard Design Factory, it stands at five acres. ItΓÇÖs imperative that the identified land does not fall under environmentally sensitive areas, coastal regulation zones, paddy lands, or wetlands. Entities possessing a minimum of 10 acres of land can apply online to obtain the Private Industrial Estate Developer Permit. For projects exceeding 15 acres, exemptions under the Kerala Land Reforms Act of 1963 will be granted by the Government. The Directorate of Industries and Commerce will scrutinize applications, assessing site feasibility and project viability. Subsequently, a high-level committee, comprising representatives from various government departments, will review and approve applications within 30 days. Upon committee approval, the Industries Department will issue the Private Industrial Estate Developer Permit. Government financial assistance, capped at Rs. 30 lakhs per acre and not exceeding Rs. 3 crores, will support infrastructure development, including electricity, water, transportation, drainage, and common facilities. Each Private Industrial Estate will operate under the jurisdiction of a Single Window Clearance Board, in alignment with the Kerala Industrial Single Window Clearance Board and the Industrial Township Area Development Act of 1999. The Private Industrial Estate Developer Permit will delineate timelines, infrastructure facilities, and utilities commitments. Land within the Private Industrial Estate will be exclusively allocated to industrial enterprises, barring vehicle showrooms, shopping complexes, malls, or retail outlets. An online portal has been established for streamlined application submission, ensuring efficient processing.

Government Order
Guidelines

The following guidelines govern the establishment and operation of Private Industrial Estates in Kerala:

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Details of Private Industrial Estates in Districts
Sl. No.Name of the ParkDistrictLocationExtent (Acres)
1VMPS Food Park and VenturesKannurPariyaram14.72
2Malabar EnterprisesMalappuramEdayur13.49
3Indian Virgin Spices (P) LimitedKottayamKanjirappally12.00
4Kadambur Industrial ParkPalakkadAmbalappara5.66
5Jacob and Richard International Pvt.LtdKottayamBharananganam14.11
6Sance Steriles (P) LtdKottayamMoonnilavu11.11
7Delta Aggregates & Sand(P) LtdPathanamthittaChittar14.49
8Pathanamthitta Industrial Promotions (P) Ltd.PathanamthittaPandalam10.32
9Hi Tech Industrial ParkPalakkadAmbalappara12.88
10Featherlike (P) LtdPalakkadPudussery12.41
11Zehub Technopark (P) Ltd.KollamPattazhi12.64
12Mount park Industrial Estates Private LimitedKozhikodeKarassery10.54
13Ozone GranitesErnakulamPayipra13.33
14Tuffoply Resigns India (P) LtdErnakulamAyana11.24
15Classy Industrial ParkMalappuramKuruva5.42
16Haritha Industrial EstateKannurVilamana10.00
17Woodon MDF Panels Pvt LtdIdukkiIdukki0.00
18KBOARD Panel Products Pvt LtdKottayamKottayam0.00
19KBOARD Wood Industries Pvt LtdKottayamKottayam0.00
20KBOARD Rubber Factory Pvt LtdKottayamKottayam0.00
21PK EnterprisesMalappuramMalappuram0.00
22Karikkad DevswomMalappuramMalappuram0.00
23Avigna Jaya Pvt LtErnakulamErnakulam23.00
24Ponnore Enterprises LLPThrissurThrissur0.00
25Yousuf Malabar Industrial Park LLPMalappuramMalappuram0.00

Kerala Logistics Park Policy

Transforming Kerala into a premier logistics gateway for South Asia

Vision and Objectives
Kerala Logistics Park
Vision and Objectives

The vision of the policy is to establish Kerala as a cost-efficient, sustainable, and digitally connected logistics hub that serves as a gateway for exports and regional trade. Its objectives include: Strengthening multimodal transport connectivity between industrial clusters, ports, and airports. Encouraging private investment in warehousing, logistics parks, and last-mile delivery systems. Promoting green and digital logistics ecosystems to reduce emissions and improve transparency. Building a skilled logistics workforce to support modern supply-chain operations. Creating an enabling regulatory framework to ensure coordination among transport, port, and industry departments.

Integrated Logistics Infrastructure
Integrated Logistics Parks (ILPs)

Large-scale, multimodal facilities combining warehousing, cold storage, distribution, and value-added services. Each ILP will serve as a regional logistics hub integrating road, rail, port, and air cargo movement. Proposed ILPs in Ernakulam, Palakkad, Thiruvananthapuram, and Kozhikode will cater to port-based, manufacturing, and export-linked industries. ILPs will provide plug-and-play infrastructure with container yards, bonded warehouses, customs facilities, trans-shipment terminals, and freight consolidation zones. Development will be encouraged under Public-Private Partnership (PPP) models with facilitation from KINFRA, KSIDC, and the Kerala Maritime Board.

Mini Logistics Parks (MLPs)

Smaller-scale logistics nodes located near industrial estates, agri-processing zones, and district-level commercial hubs. MLPs will focus on storage, last-mile delivery, small parcel handling, and e-commerce fulfilment. Each MLP will cover 5ΓÇô10 acres and act as a feeder node to larger ILPs. Local bodies and cooperatives may be involved in site identification and co-development to ensure inclusion of rural and MSME logistics operators.

Multimodal and Sectoral Nodes

Agro-logistics hubs for perishable commodities in Alappuzha, Wayanad, and Idukki. Coastal shipping nodes at Beypore, Kollam, and Vizhinjam to promote short-sea movement. Air cargo terminals at Thiruvananthapuram, Kochi, and Kannur with dedicated perishables corridors. Rail-linked freight terminals and dry ports in Palakkad, Ernakulam, and Kasaragod to facilitate inland container movement.

Warehousing Clusters and Cold Chains

The policy proposes to develop specialized warehousing clusters near ports and industrial parks with facilities for temperature-controlled storage, automated inventory management, and bulk commodity handling. Priority sectors include food processing, marine products, pharmaceuticals, electronics, and rubber-based goods.

Digital and Green Logistics Ecosystem
Digital and Green Logistics Ecosystem

The policy envisions a Digital Freight Management Platform (DFMP) that will integrate vehicle tracking, cargo booking, and document processing in real time. This single platform will support route optimization, cost estimation, and data analytics for all major logistics operators. Green logistics will be promoted through electric mobility, solar-powered warehouses, and carbon-neutral freight corridors. The State will incentivize the use of electric trucks, LNG-based transport, and sustainable packaging practices. Incentives are also planned for green building certification of warehouses and logistics parks.

Skill Development and Institutional Mechanisms
Skill Development and Institutional Mechanisms

To address the skills gap in the logistics sector, a dedicated Kerala Logistics Skill Council (KLSC) will be established. The Council will design and deliver training in supply chain management, cold chain logistics, warehouse operations, fleet management, and digital tools. These programs will be implemented in collaboration with KASE, ASAP Kerala, and industry associations. Institutionally, a State Logistics Coordination Committee chaired by the Principal Secretary (Industries) will monitor policy implementation, while district-level logistics committees will coordinate local infrastructure and workforce needs. A Single-Window Logistics Facilitation Portal, integrated with K-SWIFT, will streamline approvals and licensing for logistics infrastructure projects.

Implementation Strategy and Expected Outcomes

No implementation stats added yet.

Kerala Export Promotion Policy

Positioning Kerala as a leading export hub in South Asia

Strategic Focus and Institutional Mechanisms
Kerala Export Promotion
Strategic Focus and Institutional Mechanisms

A key feature of the policy is the establishment of a multi-tier facilitation structure comprising a State Export Promotion Committee, District Export Promotion Committees, and a State Export Facilitation Desk. These institutions will coordinate export-oriented initiatives, prepare district-wise export plans, and provide policy feedback to the government. An online export facilitation portal will connect exporters with global buyers, support grievance redressal, and act as a knowledge hub.

Strategic Focus and Institutional Mechanisms

The policy aligns KeralaΓÇÖs approach with national frameworks such as the Foreign Trade Policy, Districts as Export Hubs, Sagarmala, and Trade Infrastructure for Export Scheme (TIES). It envisages strong coordination with the DGFT, Export Inspection Council, and Commerce Mission for joint programs, data sharing, and sector-specific interventions.

Vision and Outcome

No vision stats added yet.

Sectoral Priorities

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Incentive and Support Framework
Export Infrastructure Support: 25% subsidy (up to ₹1 crore) for export-oriented facilities such as cold storage, warehousing, and testing labs. Turnover-based Incentive: 1% of Free Onboard (FOB) value, up to ₹1 crore per annum for three years. Logistics Assistance: 50% reimbursement of
Export Promotion Policy Document

Unified Land Lease Policy

Consolidated, transparent land allocation and leasing norms for industrial purposes

Unified Land Lease Policy — Overview
This policy supersedes all earlier land lease circulars and consolidates norms for rental allotment, private builder allotment, and mortgage to financial institutions under one framework.
Investment-Based Lease Terms
Investment Above 100Cr 50 Cr–100Cr Upto 50 Cr
Initial Payment 10% 20% 20%
Payment Period 9 Years 5 Years 5 Years
Lease Period 90 Years 60 Years 60 Years
Moratorium 24 Months 24 Months Nil

Interest applicable

Policy Highlights
Unified Land Lease Policy Highlights

ESG Policy – Environmental, Social and Governance 2025

Kerala's comprehensive industry ESG framework

Vision and Objectives
Vision and Objectives

The vision of the Kerala ESG Policy 2025 is to embed sustainability, ethics, and social equity into the DNA of KeralaΓÇÖs industrial and investment ecosystem

Institutional Framework
01
Institutional FrameworkTo operationalize these goals, the policy establishes a State ESG Council chaired by the Chief Secretary, with representation from the Departments of Industries, Environment, Labour, Finance, and Social Justice. The Council will function as the apex body to develop ESG benchmarks, oversee implementation, and review performance at regular intervals.
02
Institutional FrameworkA State ESG Monitoring Cell under the Department of Industries & Commerce will coordinate ESG adoption at the enterprise level, provide advisory support to industries, and maintain a centralized ESG performance database. Sectoral sub-committees may be formed for specific industries such as manufacturing, food processing, ports, logistics, and tourism to develop sector-relevant ESG standards.
03
Institutional FrameworkKSIDC (Kerala State Industrial Development Corporation) is indeed envisaged to play a key nodal and implementing role for the ESG Policy, but with shared responsibilities across a few agencies.
Incentive Framework — ESG Rating Tiers

A dual incentive framework covering fiscal and non-fiscal benefits for ESG-compliant industries, with higher ratings unlocking greater benefits.

No rating tiers added yet.

Fiscal Incentives
Green Industry Capital Subsidy: 25% capital subsidy (up to ₹1 crore) for installation of renewable energy systems, waste recycling plants, or water treatment facilities in industrial units.
Energy Efficiency Rebate: Reimbursement of up to 50% of energy audit costs and 25% of expenditure on implementing energy-saving recommendations.
ZLD and Waste-to-Energy Support: Financial assistance up to ₹75 lakh for industries adopting ZLD or converting industrial waste into renewable energy.
ESG Certification Reimbursement: Up to 50% reimbursement (capped at ₹5 lakh per enterprise) for obtaining accredited ESG or green building certifications.
ESG-linked Interest Subvention: Additional 1% interest rebate on term loans sanctioned by KSIDC or Kerala Bank for industries meeting ESG performance criteria.
ESG Innovation Grant: Annual grant up to ₹20 lakh for R&D or pilot projects demonstrating scalable ESG solutions (waste reuse, clean tech, or circular economy models).
Tax Rebates for Green Parks: Property tax concessions and reduced lease rent for units located in officially notified Green Industrial Parks.
Non-Fiscal Incentives

No non-fiscal incentives added yet.

Capacity Building and Awareness
Capacity Building and Awareness

The policy prioritizes ESG capacity building among industry stakeholders. Training programs will be organized. A Kerala ESG Portal will be developed to serve as a one-stop digital platform for registration, certification, and dissemination of best practices. This portal will also host a public ESG Dashboard displaying aggregated state performance indicators.

Implementation and Monitoring
Implementation and MonitoringThe ESG policy will be implemented in three phases: 1- Phase I (2025ΓÇô26): Adoption by all new medium and large industries. 2- Phase II (2026ΓÇô27): Integration into funding, land allotment, and export assistance frameworks. 3- Phase III (2027ΓÇô30): Statewide coverage including MSMEs, logistics hubs, and tourism-linked enterprises.
The Kerala ESG Policy 2025 is Expected to
01
The Kerala ESG Policy 2025 is expected to:Establish Kerala as a national leader in responsible and sustainable industrialization. Enable over 1,000 industries to achieve ESG certification within the first three years.
02
The Kerala ESG Policy 2025 is expected to:Promote green investment and climate-resilient infrastructure, attracting ESG-focused investors and funds. Reduce the carbon footprint of KeralaΓÇÖs industrial sector through renewable energy and circular practices.
03
The Kerala ESG Policy 2025 is expected to:Create a strong international reputation for KeralaΓÇÖs industries as ethical, environmentally conscious, and socially progressive producers.
Integrated Impact

No impact stats added yet.

The Kerala ESG Policy 2025 integrates environmental stewardship, social progress, and governance excellence into a single, coherent framework — making sustainable development the default mode of industrial growth in Kerala.

Industrial Policy 2023 2023

Kerala's comprehensive roadmap for strategic industrialisation

Industrial Policy

The Kerala Industrial Policy 2023 is the state's comprehensive roadmap for transforming Kerala's economy through strategic industrialisation — built on seven transformative pillars, clear focus sectors, and a competitive incentive structure.

Vision: To make Kerala a ₹30 lakh crore economy by 2030 through technology-driven, inclusive, and sustainable industrial growth.
Seven Focus Pillars
Pillar 1: Ease of Doing BusinessStreamlined approvals, K-SWIFT, deemed approvals, and decriminalisation of minor violations.
Pillar 2: Technology & InnovationR&D incentives, startup-industry linkages, and support for technology-intensive manufacturing.
Pillar 3: Sustainable IndustrialisationGreen industry promotion, renewable energy mandates, and ESG compliance framework.
Pillar 4: Skill & Human CapitalIndustry-aligned skilling, apprenticeship programmes, and higher education–industry partnerships.
Pillar 5: Infrastructure DevelopmentWorld-class industrial parks, logistics hubs, and utility infrastructure across all districts.
Pillar 6: Export PromotionTargeted export incentives, quality certification support, and global market linkage programmes.
Pillar 7: Inclusive GrowthSpecial provisions for MSMEs, SC/ST entrepreneurs, women-led enterprises, and backward regions.
Focus Sectors

Electronics & IT Hardware

Pharmaceuticals & MedTech

Renewable Energy

Food Processing

Shipbuilding & Marine

Textiles & Apparel

Precision Engineering

Chemicals & Petrochemicals

Ayurveda & Natural Products

Incentives
Capital subsidy: 15% (up to ₹25 lakhs) for micro & small units
SGST reimbursement: 50% for 5 years
Interest subsidy: 4% per annum for 5 years
Electricity duty exemption: 5 years
Stamp duty waiver: 100%
Quality certification subsidy: up to ₹1 lakh
SGST reimbursement: 100% for 7 years (anchor units)
Capital subsidy: 20% on eligible fixed assets
Electricity duty exemption: 7 years
Employment generation subsidy: ₹1,000/employee/month
Land cost reimbursement for mega projects
Customised incentive packages for strategic investments
Women entrepreneurs: Additional 5% capital subsidy
SC/ST entrepreneurs: Enhanced subsidy and priority land allotment
Backward districts: 25% additional capital subsidy
Green industries: ESG-linked additional SGST reimbursement
Startups: 3-year moratorium on all repayments
NRI investments: Fast-track approvals & NRE/FCNR fund facilitation
Documents & Further Details
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