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Download Freight Subsidy Scheme - Invest in Assam

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(n) ‘Selected Area (C)’ means the Union Territories of Andaman and Nicobar Islands andLakshadweep.(o) ‘Selected Area (D)’ means the State of Himachal Pradesh, Darjeel<strong>in</strong>g district of WestBengal and the State of Uttarakhand (exclud<strong>in</strong>g district of Haridwar).(p) ‘Substantial Expansion’ means an <strong>in</strong>crease of at least 25% of the registered capacityof the <strong>in</strong>dustrial unit through additional capital <strong>in</strong>vestment. However, if such <strong>in</strong>creaseis due to merger/amalgamation of two or more <strong>in</strong>dustrial units, it will not beconsidered as substantial expansion for the purpose of subsidy under the scheme.4. Sunset Clause— The scheme will automatically term<strong>in</strong>ate after five years from the date ofits publication <strong>in</strong> the Official Gazette.5. Ineligible <strong>in</strong>dustries/goods/movements (Negative List) – (1) The <strong>in</strong>dustrial units/itemslisted <strong>in</strong> Annexure-II of this notification will not be eligible for subsidy under the <strong>Scheme</strong>.(2) Unless otherwise specified, subsidy under the scheme will not be applicable to IndustrialUnit for movement of raw materials and f<strong>in</strong>ished goods with<strong>in</strong> the Sate/Union Territory <strong>in</strong>which they are located.6. Applicability—Unless otherwise specified,(1) This scheme is applicable to all eligible <strong>in</strong>dustrial units, both <strong>in</strong> the public and the privatesectors irrespective of their size, located <strong>in</strong> the selected areas and which commencecommercial production with<strong>in</strong> the period of validity of the scheme.(2) <strong>Subsidy</strong> under the <strong>Scheme</strong> will be admissible to eligible <strong>in</strong>dustrial units for a period of fiveyears from the date of commencement of commercial production.(3) Eligible <strong>in</strong>dustrial units <strong>in</strong> Micro, Small & Medium Enterprises (MSME) Sector, whichundergo substantial expansion dur<strong>in</strong>g the period of validity of the scheme, will be providedsubsidy under the scheme for an additional period of five years from the date ofcommencement of commercial production consequent to substantial expansion, over andabove the subsidy already drawn.(4) Exist<strong>in</strong>g eligible <strong>in</strong>dustrial units located <strong>in</strong> the selected areas are also eligible for subsidyunder the scheme <strong>in</strong> respect of the additional transport costs of raw materials and f<strong>in</strong>ishedgoods aris<strong>in</strong>g as a result of substantial expansion or diversification effected by them after thecommencement of the <strong>Scheme</strong>. <strong>Subsidy</strong> <strong>in</strong> such cases will be restricted to the transport costsof the additional raw materials required and additional f<strong>in</strong>ished goods produced as a result ofthe substantial expansion or diversification.7. Quantum of <strong>Subsidy</strong>—(1) Unless otherwise specified, the quantum of subsidy to the<strong>in</strong>dustrial units located <strong>in</strong> Selected Area (A) would be computed as follows:(a) 90% of the transport cost for movement of raw materials by rail from nearestdesignated rail-head i.e. Siliguri/New Jalpaiguri to the railway station nearest to thelocation of the <strong>in</strong>dustrial unit and thereafter the cost of movement by road to thelocation of <strong>in</strong>dustrial unit will be reimbursed. Similarly, while calculat<strong>in</strong>g the transportcosts of f<strong>in</strong>ished goods the cost of movement by road from the location of <strong>in</strong>dustrialunit to the nearest railway station and thereafter the cost of movement by rail toSiliguri/New Jalpaiguri will be reimbursed. For materials mov<strong>in</strong>g entirely by road orany other mode of transport, reimbursement of the transport cost will be limited to theamount which the <strong>in</strong>dustrial unit might have paid, had the raw material moved fromSiliguri/New Jalpaiguri by rail upto the railway station nearest to the location of the<strong>in</strong>dustrial unit and thereafter by road. Similarly <strong>in</strong> the case of movement of f<strong>in</strong>ished2

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