State Profile of Haryana

Haryana Agribusiness & Food Processing Policy -2018

• Department of Industries & Commerce Government of Haryana

• Single Window & Online Single Window System (www.investharyana.gov.in)

• Mega projects- 100% exemption for 10 years in ‘D’ category blocks, 7 years in ‘C’ category blocks and 5 years in 'B' category blocks.
• Large enterprises- 100% exemption for 10 years in ‘D’ category blocks, 7 years in ‘C’ category blocks and 5 years in 'B' category block
• MSME- 100% exemption for 12 years in ‘D’ category blocks, 10 years in ‘C’ category blocks and 7 years in 'B' category blocks.
• Thrust sector- 100% exemption for 20 years in ‘D’ category blocks, for 15 years in ‘C’ category blocks and for 10 years in 'B' category blocks
As per Haryana Agri business and food processing 2018 Rs. 2 per unit up to connected load of 40kW in ‘D’ category blocks and 30kW in ‘C’ category blocks at source only for Micro and Small Enterprise. The funds shall be provided by the Government to UHBVN/DHBVN for DBT of subsidy amount

Capital Investment Subsidy for Agro and Food Processing units:

• 25% Capital Investment Subsidy on FCI (fixed capital investment) limited to Rs. 1 Cr. made available to new units to be set-up in ‘C’ and ‘D’ category blocks.

Capital investment subsidy for Farmer Producer Organizations (FPOs) Agro/Food Cooperatives:

• To promote registered Farmer Producer Organizations (FPOs) and Agro/Food Cooperatives, assistance of 25% Capital Investment Subsidy on FCI (fixed capital investment) limited to Rs. 1 Cr. shall be made available to new units to be set-up only by registered FPOs and Agro/Food Cooperatives only in “C” and “D” category blocks
• Agro/Food Cooperatives cover all agriculture and cooperative institution of farmers, milk producers, fishery/poultry/piggery etc.

Assistance for individual units to set-up in Food Parks in “C” and “D” category blocks

• Capital Investment Subsidy: 25% Capital Investment Subsidy on FCI (fixed capital investment) limited to Rs. 1 cr.
• SGST reimbursement: 100% (net tax) reimbursement for a period of 10 years, from the date of commencement of commercial production with cap of 100% of fixed capital investment (FCI)
• The incentives under this provision shall be applicable to new/expansion/diversification units setting up in old food parks and new units to be set-up in Mega Food Parks/Mini Food Parks in “C” and “D” category blocks.

Assistance for individual units to set-up in Food Parks in “A” and “B” category blocks

• iCapital Investment Subsidy: 25% Capital Investment Subsidy on FCI (fixed capital investment) limited to Rs. 50 lakhs.
• ii. SGST reimbursement: 100% (net tax) reimbursement for a period of 10 years, from the date of commencement of commercial production with cap of 100% of fixed capital investment (FCI)
• iii. The incentives under this provision shall be applicable to new/expansion/diversification units setting up in old food parks and new units to be set-up in Mega Food Parks/Mini Food Parks in “A” and “B” category blocks

Support for Integrated cold chain and value addition infrastructure:

Special Support to promote milk processing of indigenous breed of cows in Haryana

Support for establishing Backward Linkage and Forward Linkages in rural areas

Special support to promote integrated packaging of horticulture produce i.e. Fresh Fruits and Vegetables grown in the state

Support for setting up/upgradation of Food Testing and Calibration Labs

Haryana Gramin Udyogik Vikas Yojna in B, C and D Category Blocks

Agro-based thrust sector

• 7% for Micro, Small and Medium Enterprises on term loan or maximum up to Rs. 20.00 lakh per year for 7 years in ‘C’ & ‘D’ Categories Blocks.
• 7% for Micro, Small and Medium Enterprises on term loan or maximum up to Rs. 20.00 lakh per year for 5 years in ‘B’ Categories Blocks.

Thrust Sector

• 6% for Micro and Small Enterprises on term loan or maximum up to Rs.20.00 lakh per year for 7 years in ‘C’ & ‘D’ Categories Blocks
• 6% for Micro and Small Enterprises on term loan or maximum up to Rs.20.00 lakh per year for 5 years in ‘B’ Categories Blocks

MSME

• 5% for Micro and Small Enterprises on term loan or maximum up toINR20.00 lakh per year for 5 years in ‘C’ & ‘D’ Categories Blocks
• 5% for Micro and Small Enterprises on term loan or maximum up toINR20.00 lakh per year for 3 years in ‘B’ Categories Blocks
• 6% for woman/SC/ST led Micro Enterprise on term loan or maximum up to INR20.00 lakh per year for 5 years in ‘B’, ‘C’ & ‘D’ Categories Blocks.

State Renewable Energy Scheme:

• State will provide interest subsidy on term loan to the tune of 5% (maximum up to Rs. 5 lakhs per year) for three years for adoption of renewable energy technologies like rooftop solar.

Credit Linked Capital Subsidy for Technology Up -gradation

• State Credit Linked Interest Subsidy for Technology Up-gradation of existing enterprises- @6% in ‘C’ and ‘D’ category blocks and @5% in ‘A’ and ‘B’ category blocks up to a maximum of Rs. 10 lakh per year for a period of 3 years to an eligible unit in specified sectors/products (appraisal by HSIIDC/SIDBI)

Haryana Gramin Udyogik Vikas Yojna in B, C and D Category Blocks

• 7% for Micro Enterprises on term loan or maximum up to Rs. 8.00 lakh per year for7years

Special provisions for Start-Ups:

• Interest subsidy of 8%, maximum up to Rs. 20 lakh per year for a period of 5 years

• 100% refund of stamp duty in ‘D’ category blocks; 75% in ‘C’ category blocks and 60% in ‘B’ category blocks on the land meant for industrial use, after commencement of commercial production within 5 years from the date of purchase of land.

Investment Subsidy on net SGST for Mega Projects

• 75% of Net SGST for first 5 years, 35% for next 3 years in 'D' category blocks with cap of 125% of FCI.
• 50% of Net SGST for first 5 years, 25% for next 3 years in 'C' category blocks with cap of 100% of FCI.
• 30% of Net SGST for first 5 years, 15% for next 3 years in 'B' category blocks with cap of 100% of FCI.

Investment Subsidy on net SGST for Large Projects

• 75% of Net SGST for first 7 years, 35% for next 3 years in ‘D’ category blocks with cap of 125% of FCI.
• 50% of Net SGST for first 5 years, 25% for next 3 years in ‘C’ category blocks with cap of 100% of FCI.
• 30% of Net SGST for first 5 years, 15% for next 3 years in B category Blocks with cap of 100% of FCI

Investment Subsidy on net SGST for Micro, Small and Medium Enterprises

• 75% of Net SGST for first 10 years, 35% for next 3 years in ‘D’ category blocks with cap of 150% of FCI.
• 75% of Net SGST for first 7 years, 35% for next 3 years in ‘C’ category blocks with cap of 125% of FCI.
• 50% of Net SGST for first 5 years, 25% for next 3 years in ‘B’ category blocks with cap of 100% of FCI.
• 75% of Net SGST for first 7 years, 35% for next 3 years in ‘B’, ‘C’ and ‘D’ category blocks with cap of 150% of FCI for woman/SC/ST led micro enterprise.

• For capacity building of persons belonging to Haryana (skilled/semi-skilled/un-skilled) [having Haryana Resident Certificate], Subsidy @ INR 36,000/- per year for SC/ Women and INR 30,000/- per year for general category for 7 years in 'B’ 'C'& ‘D’ category blocks for direct employment on pay roll or contract with valid ESI/PF Number.

• Export Award Scheme: ‘Outstanding Exporter Awards’ for Agro-based, Food, Horticulture related exporters, 1 each for Large & Medium Industries and Micro & Small Industries
• The Award Amount for the State Export Awards shall be enhanced to INR 5 lakh each and Consolation Prizes to INR 51,000/- each for acknowledging and recognizing the contribution of Exporters. The exporting unit once selected for award shall not further be considered during 5 years. (More information)

Market Development Assistance:

• International fair: 75% space charges, shipment of exhibits, cost of product literature, display material, stall/stand construction/ fabrication/ designing charges or maximum up to INR 4 lakh and air fare by economy class up to INR 1 lakh (maximum 2 person) will be reimbursed for participation by Micro & Small Enterprise in the international fairs / exhibitions for one fair in a year
• Domestic fair: 75% space charges, transportation of exhibits, cost of product literature, display material, stall/stand construction/ fabrication/ designing charges or maximum up to INR 3 lakh and air fare by economy class up to INR 0.50 lakh and boarding charges @ INR 5000/- per day per person (maximum two persons) will be reimbursed for participation by Micro & Small Enterprises in the domestic fairs/ exhibitions for one fair in a year.
• Testing Equipment Assistance:
• In order to ensure ‘Zero Defect’ in the quality of products to make globally competitive, Financial support of 50% as subsidy or maximum of INR20 lakh per year for the purchase of testing equipment shall be provided
• Assistance for Technology Acquisition:
• 75% of cost for acquiring technology from premier National/International Institutes/Patented Technology from domestic/foreign companies, max. of INR 50.00 lakh.

Patent Cost:

• Financial support by reimbursement of 100% of the actual expenses (including filing fees, consultancy fees, search fees, maintenance fees and Publishing fees) with a maximum of INR 25 lakhs for domestic and international patent registrations.

Quality Certification:

• 75% reimbursement of the total expenditure incurred for obtaining certification and logistics charges thereof subject to a maximum of INR 5 lakhs per certification for obtaining ISO/ HACCP/ BSI/ WHO-GMP/ ZED/TS/ Hallmark certifications and INR 10 Lakhs per certification for other country specific certifications and would be in addition to the support being provided by Government of India.

Assistance for Environment Compliance:

• 50% financial support or maximum of INR 50.00 lakh on capital cost for setting up of Effluent Treatment Plant and for installation of Air Pollution Control Devices for new Micro, Small and Medium Enterprises of all sectors. The Units adopting zero effluent discharge as certified by HSPCB and reusing treated waste water will be considered for higher benefit upto 75% of capital cost, maximum of INR 1 crore.

State Renewable Energy Scheme:

• State will provide interest subsidy on term loan to the tune of 5% (maximum up to INR 5 lakhs per year) for three years for adoption of renewable energy technologies like rooftop solar.

Energy Conservation:

• 75% reimbursement or maximum of INR 2 lakhs for conducting energy audit. Further, subsidy on cost of capital equipment required for undertaking measures to conserve energy, 50% in ‘D’ category blocks, 40% in ‘C’ category blocks and 30% in ‘B’ category blocks and 20% in ‘A’ category blocks, subject to maximum of INR 20 lakhs once in every 5 years. No subsidy for energy audit in case audit recommendations are not implemented.

Water Conservation:

• 75% reimbursement of cost of Water audit subject to maximum of INR 1 lakh. Also, subsidy up to 50% or maximum of INR 20 lakhs on the cost of capital equipment required for Water Conservation/ Harvesting System. No subsidy for water audit in case audit recommendations are not implemented.

Safety Compliance:

• 75% reimbursement of expenses incurred on safety audit subject to maximum of INR. 1 lakh for conducting safety audit. Further, 50% subsidy on cost of capital equipment and capital expenditure required for undertaking safety measures, subject to maximum of INR 20 lakh in ‘D’ category blocks, INR 15 lakh for ‘C’ category blocks, INR 10 lakh for ‘B’ category blocks and INR 5 lakh for ‘A’ category blocks once in every 5 years [for compliance of Safety provisions under Factory Act, 1948]. No subsidy for safety audit in case audit recommendations are not implemented.

Collaborative Industry-Academia Research To promote Industry-

• Academia linkage and development of new technologies, State will provide assistance up to INR 50 lakh per project for undertaking R&D activities that should result in emergence of new commercialized technologies through joint industry academia collaboration.

Credit Rating:

• Reimbursement of the expenses incurred towards the credit rating to the extent of 75% or maximum of INR 2 lakhs for Micro, Small and Medium enterprises carried out by SIDBI / Govt. accredited credit rating agency once in every 5 years.

Collateral Free Credit Guarantee Scheme:

• Reimbursement @ 100% guarantee cover fee charged by the Financial Institutions/ banks from Micro Enterprises for collateral free term loan/working capital under CGTMSE for the period of 05 years.

SME Exchange Equity:

• One-time support of 25% of expenditure, up to INR 5 Lakh for raising funds through SME exchange platform after successful raising of equity.

Enterprise Resource Planning adoption

• Financial assistance up to 75% of capital cost up to INR 5 Lakh for adopting ERP system. This will help in improving operational efficiency and resource optimisation.

Lean Manufacturing Competitiveness Scheme:

• GoI reimburses 80% of the cost of hiring the lean manufacturing consultant (LMC) through National Monitoring and Implementing Units (NMIUs) to SPVs/Units and 20% of the cost is borne by the SPVs/units. The State shall reimburse remaining 20% of the cost of hiring a lean manufacturing consultant maximum up to INR 9 Lakh per mini cluster of 10 units under this scheme.