Gujarat Govt. To Assist Start-Ups And Plastic Industry | SupportBiz

News

Gujarat Govt. To Assist Start-Ups And Plastic Industry

 
The Gujarat state government has decided to give Rs. 10,000 per month for an year to such youngsters as assistance, to motivate them to do more research and start their own business.

Ahmedabad: Gujarat government on Tuesday announced a slew of initiatives to assist start-ups, plastic industry as well as labour intensive units, as part of its new industrial policy for 2015.

Young innovators would be provided a mentor service by a designated university through an incubation centre. "These mentor institutions, such as universities, will also get Rs 5 lakh for providing such services. To acquire raw material and other technology required by the innovator, each of these institutions will get an additional assistance of Rs 10 lakh," Gujarat Finance Minister Saurabh Patel said.

To put innovations in the market after mass production, the government has declared an assistance of Rs 50 lakh as venture capital for each project. "In addition, we will return 70% of tax paid by the entrepreneur for five years. These units are also entitled to get all other benefits which we have declared for MSME units recently," Patel said.

Gujarat's Industrial Policy, 2015 has recognised the plastics industry as its focus sector and announced a 7% assistance, up to Rs 1 crore, on the loan interest for five years. The Gujarat government would refund 70% of the net tax paid by these units for five years, Patel said.

To encourage labour intensive industries in Gujarat, the state government has declared assistance to three such sectors, including garments, besides apparel, agro and food processing as well as assembly enterprises.

"Apart from a seven per cent assistance on the loan interest and 70% refund on tax, we will also encourage them by providing payroll assistance. We will give them Rs 1,200 per month for male employees and Rs 1,500 per month for each of their female employees," Patel said.