Sikkim to be part of North East industrial policy: Cabinet

New Delhi, Mar 29 (UNI) Announcing the North East Industrial and Investment Promotion Policy (NEIIPP) 2007 which will be a ''great, great opportunity for the public and private investors,'' the Centre today said Sikkim will be part of the policy.

Under the NEIIPP approved at a meeting of the Cabinet Committee on Economic Affairs chaired by Prime Minister Manmohan Singh, all new units as well as existing units which go in for substantial expansion will be eligible for incentives for 10 years from the date of commencement of production.

All such units will be eligible ''unless otherwise specified and which commence commercial production within the ten year period from the date of notification of NEIIPP, Information and Broadcasting Minister Priya Ranjan Dasmunsi told reporters.

The New Industrial and Policy and other concessions for the state of Sikkim announced earlier on December 2002 will be discontinued from the date of notification of NEIIPP 2007.

Mr Dasmunsi said the new policy would result in a ''quantum jump'' in industrial investment coming into the North East, including in information and technology.

In all, the policy has 12 features. Under the other features, the distinction between 'thrust' and 'non-thrust' industries made in NEIP 1997 will be discontinued.

Incentives on substantial expansion will be given to units effecting an increase by not less than 25 per cent in the value of fixed capital investment in plant and machinery for the purpose of expansion of capacity/modernisation and diversification as against an increase by 33.5 per cent prescribed at present.

UNI