Scheme for Industrial Development in Jammu and Kashmir – Application Procedure
Scheme for Industrial Development in Jammu and Kashmir – Application Procedure
The Department for Promotion of Industry and Internal Trade (DPIIT) has notified general operational guidelines for the registration of units under the new central scheme for industrial development in Jammu and Kashmir (J&K). As per the guidelines, registration under the scheme has commenced from April 1, 2021, and will continue till September 30, 2024. The applicant unit willing to avail incentive under the scheme has to apply for registration through the official website of the J&K Industrial Scheme. The current article briefs the application procedure for the registration of units under the new central scheme.
Synopsis of DPIIT Notification
The synopsis of the notification about the Units Under the scheme for Industrial Development in Jammu and Kashmir (J&K) is as follows:
- Registration of units under the scheme for Industrial Development in Jammu and Kashmir (J&K) shall commence from 01.04.2021 and will continue till 30.09.2024.
- All registration applications shall be disposed of by 31.03.2025 unless otherwise extended.
- The applicant unit willing to avail incentives under the scheme need to apply for registration through an online portal in the prescribed forms along with all mandatory documents
New central scheme for industrial development in Jammu and Kashmir (J&K)
The Ministry of Commerce and Industry (MCI) on February 19, 2021, has launched the New Central Sector Scheme for Industrial Development of the Union Territory of Jammu & Kashmir. This new industrial policy of Jammu and Kashmir (J&K) is the largest incentive to date, intending to spend an outlay of Rs 28,400 crore on the industrial development of J&K for the next 15 years.
The scheme is made attractive for both smaller and larger units. Smaller units with an investment in plant and machinery up to Rs. 50 crore will get a capital incentive up to Rs. 7.5 crore and get capital interest subvention at the rate of 6% for a maximum of 7 years.
Know more about the new central scheme for industrial development in Jammu and Kashmir (J&K)
Documents Required for Units Registration
The documents required for the registration of units under the industrial development scheme of J&K is as follows:
- Detailed Project Report
- Land documents (Revenue paper regarding ownership/rent deed duly registered by the registering authority/lease deed in case of Government land)
- Bank loan sanction letter
- Appraisal Report from the financial institution showing the appraised cost of building, plant, and machinery, miscellaneous fixed assets, etc
- Appraisal Report from Jammu & Kashmir Development Finance Corporation Limited (JKDFC) in case of self-financed units
- Certificate from CA for fixed assets of the unit regarding investment already made in the project in case of units that are under implementation or have to commence commercial production/operation
- No Objection Certificate from State Pollution Control Board to establish and manufacture the finished product or run unit
- Certificate of mandatory, obligatory registration from the concerned department
- Copy of Incorporation Certificate in respect of firm and unit
- Certificate from CA stating detail of all the owners, director, and partners
- Copy of PAN
- Copy of GSTIN certificate
- Copy of last GST return filing
- Udyam Registration/EM II
Detailed Project Report (DPR)
- The Applicant must submit a Detailed Project Report (DPR) online along with the application. The detailed project report must consist of the following points:
- Promoter’s background
- Details of product to be manufactured/ services rendered and its marketing potential
- The land area applied for and the tentative breakup of possible areas
- Layout plan
- Implementation schedule
- Product process flowchart
- Projected Cash flow statements
- Total investment detail including investment in Plant and Machinery (in case of Manufacturing Sector), Building & Other Physical Durable Assets (in case of service sector), Requirement of Working Capital
- Detail of plant & machinery /construction of building and durable assets required by the unit
- Sources of Finance for the Project
- Projected Employment Detail
- Power requirement
- Water requirement
- All statutory clearances, such as environmental clearance
Application Procedure for Registration of Units
The applicant unit willing to avail of the incentive needs to access the official web portal of the new central scheme for industrial development in Jammu and Kashmir (J&K).
By clicking on the Login option, the applicant unit will be redirected to the registration process. Provide all the following details in the application and upload documents.
- Organization’s Detail
- Owner(s)/Partner(s)/Director(s) Detail
- Detail of Unit against which application is to be submitted
- Confirmation for availing Incentives from other schemes of the Government of India
- Additional Detail of Unit based on the selection of Type of Establishment and Sector
- Detail of fixed capital Investment based on applicability
- Source of Finance and Employment Generation Detail based on Applicability based on applicability8) Scheme Eligibility based on data entered above and further detail required for relevant schemes to be entered
By clicking on submit option, the application will be submitted to the Ministry of Commerce and Industry (MCI).
Scheme_Registration_Guidelines_01April2021-6-14Verification of Application
Merely applying for registration will not entitle any applicant to registration under the scheme. The following shall be taken into consideration for granting registration to the unit under the scheme:
Application submitted through an online portal with all the details required therein along with all the documents with their correctness
- Detailed Project Report, Bank Appraisal Report
- Eligibility of unit as per the provision contained in the notification dated 19.2.2021 of the scheme.
- Fixed Financial Assets, availability of land, required power connection, the adequate required infrastructure to run the unit, source of finance, employment generation potential, and sustainability to run the unit.
- Submission of required documents from the authorized authority to run the unit
- The unit should not be blacklisted by any authority under the law or bankrupt or declared NP A
- Any other information/documents required by the registering authority.
Note: No unit will have the right to register under this scheme or claim the benefits unless it is specifically approved by the registering authority.
Site visit by DIC
The details of the application and documents uploaded for registration will be verified after the site visit of the unit and examination of the documents by the concerned DIC.
After checking the eligibility of the applicant unit, the General Manager, DIC shall recommend the application for registration to the Directorate of Industries and Commerce along with the online certificate that the unit does not fall in negative list in case of manufacturing units and service activity falls in the positive list and the unit fulfils all criteria as per the scheme.
The applications received on the portal at Directorate Level recommended by General Manager, DIC shall be placed before the designated committees for approval of a grant of registration
The beneficiary of this scheme has to furnish an undertaking to abide by the terms and conditions of the scheme
Click here to know more about the official notification pertaining to the General Operation Guidelines for Registration Of Units Under New Central Sector Scheme For Industrial Development of Jammu And Kashmir.
