New Delhi, Dec 15 (ANI): The Union Cabinet on Wednesday approved modifications in the central capital investment subsidy schemes under the industrial packages available to Jammu and Kashmir and the North Eastern Region (NER).
Under the modified scheme, the capital investment subsidy for the Micro, Small and Medium Enterprises (MSME) units in Jammu and Kashmir will be enhanced to 30 per cent of the investment on plant and machinery against 15 per cent available at present, at par with the units in the NER.
The subsidy for MSME units in Jammu and Kashmir for investment in plant and machinery will be raised from 15 to 30 percent at par with the North East region.
These units in both Jammu and Kashmir and North East will now be eligible to claim subsidy for expansion not exceeding ten crore rupees for manufacturing sector and five crore for service sector units.
The scheme is part of the industrial packages announced for Jammu and Kashmir in 2002 and North East region in 2007 for boosting industrialisation in these States.
These states are already enjoying hundred percent exemptions on excise duty and Income Tax as well as three percent interest subsidy on working capital loan. (ANI)