The state government has decided to accord the private industrial areas facilities at par with the Bihar Industrial Area Development Authority (BIADA)'s industrial parks. These private entities will also be entitled to concessions announced under the new industrial policy of the state government.
"We have authorised a policy especially for privately owned industrial areas," said Chief Minister Nitish Kumar, "Under this policy, entrepreneurs and land owners, with at least 25 acres of land, have been allowed to set up industrial parks. For this first they have to set up a Special Purpose Vehicle (SPV) and then transfer the ownership of the land to this SPV. After that, the state government will examine the documents and, if found legitimate, they will be allowed to do so." The state government has also decided to accord these industrial parks facilities at par with BIADA industrial areas.
"We have also decided to give these industrial areas facilities and rebates at par with the BIADA industrial parks," added the Chief Minister.
This means that these industrial areas would be exempted from stamp duties and other registration fees. They also would not have to pay any money for land use conversion. The state government has also decided that the units set up in these industrial areas will also be entitled to various tax rebates, which it has announced under its new industrial policy. In last eight years, the state government has received investment proposals worth Rs 3 lakh crores.
However, unavailability of land and power proved to be the major bottleneck in the industrialisation of the state.
Kumar, who spoke to top honchos of the India Inc on Saturday in Mumbai, said that Bihar is at the right track of the development and industry leaders have expressed happiness over the growth story of the state.
"They were very happy about the development of the state. They have accepted that under new leadership the state has we have able to create an investment friendly atmosphere in the state and soon Bihar will be one of the most preferred destinations for investment. They have also supported our demand of special status to Bihar."
