Lok Shakti

Nationalism Always Empower People

Industrial friendly Chhattisgarh government

The State Government headed by the Chief Minister Mr Bhupesh Baghel, took continuous decisions and strong measures in the best interest of industries.


Core sector industries across the state eligible for power exemption

24% growth recorded in GST collection

Capital investment of 14 thousand 983 crores invested in 848 industrial units amid Covid-19 period

Timeline for Early bird grant for setting up new bioethanol plant has now increased to 18 months

Reduction in prescribed water rates for industrial use of groundwater by 20 to 33 per cent* *Special package announced for industries engaged in sponge iron and steel sector: Sector-wise exemption limit has been increased from 60 per cent to 150 per cent

Increased industrial development has been recorded in Chhattisgarh, due to the far-sighted decisions taken by the state government amid the Covid-19 crisis. Industrial development received an impetus with visionary and tactful decisions taken by the state government under the leadership of the Chief Minister Mr.Bhupesh Baghel.
The Chhattisgarh Government took various sensitive decisions ranging from a concession in electricity rates, grants-in-aid, prioritising the products manufactured by local industries, convenient and simple system of providing approval, which thereby acted as a Sanjeevni (a life saviour) for Industries of the state. Even amid the Covid-19 crisis spreading its wings throughout the nation, when there were complete shutdown and industrial activities were stopped, Production was still going on the core sector industries of the state 
By the end of April, production activities had been resumed in other industries as well, apart from the core sector industries, which were already functional. The State Government has taken continuous decisions in the best interest of industries. As a result, Chhattisgarh has registered a growth of 24per cent in GST collection in September 2020, as compared to September last year. The GST collection in Chhattisgarh was Rs 1490 crore in the year 2019 September, which has rapidly increased to Rs 1841 crore in the year 2020 September despite the Corona crisis, which is a very big achievement in itself. This year, from January 2020 to June 2020, 848 industrial units have employed 15 thousand 424 persons in industries by investing capital of 14 thousand 983crorese.
Under the leadership of the Chief Minister, Mr Bhupesh Baghel, the State Government has consistently taken decisions in the interest of industries with extreme sensitivity.Mr. Baghel himself discussed the problems faced by various sectors, with their representatives from time to time amid the lockdown period and took rapid decisions to resolve the problems. In the recently held cabinet meeting, several major decisions regarding industries were taken, including an increase of one year in the period prescribed for establishing industries in the land leased to industries. The land transfer made convenient, in cases of non-use of industrial land allotted on lease.18 months has been fixed for Earlybird grant for setting up new bio-ethanol plant. Earlier, the first MOU provided for an early bird grant after starting production within six months,  This period has now been extended to 18 months.
A special package has been announced by the state government in the Industrial Policy 2019-24 for Scheduled Tribes, Scheduled Castes entrepreneurs and startups. The eligibility for granting waives and concessions for expansion of industries, to be set up in the Industrial Policy 2019-24 was also approved in the meeting of the Council of Ministers. It has been decided to facilitate permanent capital investment grant to micro and small industries as well as medium industries. Industries in the core sector are eligible for power duty exemption across the state. The core sector industries including steel have received a gift of life with the subsidy provided in electricity. This will benefit the industries of these core sectors from the market across the country. The state government has extended the Chhattisgarh State Processing Mission till 31st October 2024 to promote agro-based rural industries. Within this mission, the Forest Rights Act will give special priority to the leaseholders of community and forest resource empowered villages. Declaring a special package under the B-spoke policy for sponge iron and steel sector industries, the sector-wise exemption limit has been increased from 60per cent to 150per cent. Additionally, the prescribed water rates for industrial use of groundwater have been reduced from 20 to 33per cent. Also, it has been decided to allot the land to the new applicants with the withdrawal o  land holdings from the cancelled plots and closed units.
Within the new industrial policy, a  decision was taken to provide a special investment incentive package for investment in the mega ultra mega project of Ispat (Sponge Iron and Steel) sector. Investment incentives up to a maximum of 500 crores (up to 1000 crores for Bastar division) will be valid in the package announced for the mega investors. It will be necessary for the proposed units to commence commercial production on or before 31st October 2024. New units starting commercial production will get economic investment incentive by investing in a fixed capital investment fund of Rs 100 crore. The state government has further decided to set up food parks in all the 146 development blocks of the state for processing agricultural and horticultural crops. Under this, a total of 1346.656 hectares o  government land has been identified in 101 development blocks out of 146 development blocks. A total of 204.517 hectares of government landwas acquired by the Department of Revenue in 15 development blocks of the state, which has been given to the industrial department, where the infrastructure development work is in progress.
Micro, small and medium industries of the state are being prioritised in government procurement. For this, the marketing portal E-Manak has been initiated by the state government. GST Registration has been made mandatory for units outside the state to determine the tender rates. So far,  purchase of items worth 412 crore rupees has been made through the E-Manak portal. The state produced 27 lakh tonnes of steel during the lockdown period, which is the highest production, concerning other states of India. The Gems and Jewellery Park is being set up on 10 acres of land in the state capital Raipur. This will further boost the gems and jewellery business in the state and will employ artisans associated with the business at the local level. The state of Chhattisgarh has been ranked second in the field of MSME promotion and development at the national level by the Government of India, Ministry of Micro, Small and Medium Enterprises.  Chhattisgarh has been declared as the Best Emerging Startup Ecosystems State under the Youth Startup Scheme by setting up 4 incubators in the state. To employ the youth, in the financial year 2019-20, a total loan amount of 68.28 crores was disbursed by various banks to 1572 beneficiaries under the Prime Minister Employment Generation Program and the department paid the marginal grant amount of Rs. 31.26 crores. (till March 2020)Similarly, under the Mukhyamantri Yuva Swarojgar Yojana, in the financial year 2019-20, a total loan of Rs 10.14 crore was disbursed to 494 beneficiaries by various banks and several Rs 1.73 crore has been paid to the beneficiaries by the department as margin money grant. Under the interest subsidy scheme to industrial units, an amount of Rs 22.83 crore was disbursed to 848 industrial units from January 2020 to June 2020, along with Rs 80.13 crore was disbursed to these units as a permanent capital investment grant.