What: NEIDS, 2017
When: March 21, 2018
Who: Union Cabinet
- The Union Government on March 21, 2018 approved the North East Industrial Development Scheme (NEIDS), 2017 with financial outlay of Rs.3000 crores upto March, 2020. Government will provide necessary allocations for remaining period of scheme after assessment before March 2020. NEIDS is a combination of the incentives covered under the earlier two schemes with a much larger outlay.
- Objectives: In order to promote employment in the North East States, Government is incentivizing primarily the MSME Sector through this scheme. Government is also providing specific incentive through the scheme to generate employment.
- Eligibility: All eligible industrial units, which are getting benefits of one or more components of other schemes of the Government of India, will also be considered for benefits of other components of this scheme.
- Under the Scheme, the following incentives shall be provided to new industrial units set up in the North Eastern States including Sikkim:
- Central Capital Investment Incentive for Access to Credit (CCIIAC): 30% of the investment in Plant & Machinery with an upper limit of Rs.5 Crore on the incentive amount per unit.
- Central Interest Incentive (Cll): 3% on working capital credit advanced by eligible Banks/ Financial institutions for first 5 years from the date of commencement of commercial production by the unit.
- Central Comprehensive Insurance Incentive (CCII): Reimbursement of 100% insurance premium on insurance of building and Plant & Machinery for 5 years from the date of commencement of commercial production by the unit.