The Uttar Pradesh government, to ensure all-round and balanced socio-economic progress, is presently working on policies to enable a conducive and attractive environment for the global investor fraternity.
In this direction, a new Industrial Investment and Employment Promotion Policy-2022 has been formulated after consultations with all stakeholder and analysis of the best practices prevalent in various states in India.
The draft of the proposed policy aims to establish Uttar Pradesh as a nationally and internationally competitive investment destination, thereby generating employment and igniting sustainable and inclusive economic growth in the state. It primarily focuses on fostering a progressive, innovative and competitive industrial ecosystem to enable the state’s aim of becoming a one trillion-dollar economy.
Infrastructure and Industrial Development Commissioner Arvind Kumar said, “In the last few years, Uttar Pradesh has emerged as one of India’s fast growing economies and as a dream destination for industrial investment. Leveraging the infinite potential of the state, Uttar Pradesh has set an ambitious vision of making the state a trillion-dollar economy.”
Invest UP’s Chief Executive Officer Abhishek Prakash said that the draft policy provided an option-based incentive model to enable the state to become a competitive and attractive investment destination to industry.
The capital subsidy option is graded by region of investment and is linked to production capacity utilisation. It is also coupled with boosters, including employment booster, which enhance the capital subsidy for creating employment and boosting exports.
On the other hand, by providing the ‘PLI top-up subsidy’, the policy provides grounds to enable investors shortlisted/selected under the Government of India PLI schemes to choose UP as their investment destination.
Other than the option-based subsidy, the policy provides other incentives as well, including stamp duty exemption, subsidy for research and development (R&D) and acquiring intellectual property rights (IPR), setting up R&D units and Centres of Excellence. It also promotes clean manufacturing measures and attracts investments in the circular economy.
The policy also attracts investments in infrastructure projects such ‘pump storages’ and for development of ‘private industrial parks’. Most importantly, the policy focuses on overcoming the hurdles in providing land to industry. For this, the policy proposes a licensing process for land acquisition by private developers; process for fast track land allotment to premium investment projects, and provides other measures for land bank creation for industry.
This unique model ensures ‘Make in UP’, R&D and innovations, entrepreneurship, employment generation, creation of world-class industrial infrastructure along with sustainable and balanced regional industrialisation.
The draft policy is available for ‘public review and feedback on Invest UP’ website (https://invest.up.gov.in. Comments on the draft policy are invited on email (advantageup@investup.org.in) till October 4, 2022. Thereafter, the policy will be finalised and put up for the approval of the state cabinet.
