Lagatar24 desk
Patna, July 20: The state government has decided to sell land to business owners at a steep discount for those prepared to invest in industries. The amount of land that is now available for lease through the Bihar Industrial Area Development Authority (BIADA) can be obtained for as low as 20% of the current rate.
The Industries Department’s proposal to grant up to an 80% discount on the rates of industrial plots in comparison to the existing rates at the distant and vacant plots of BIADA was accepted by the State Cabinet during its meeting under the chairmanship of Chief Minister Nitish Kumar. To promote industrialization, the Industries Department chose to reduce plot prices.
Despite improved industrial policies that offer several incentives and tax breaks for new investors, industry sources claimed that the high cost of land was a key barrier to investment.
To attract investors, the state government has granted four discounts, ranging from 80% to 20%, depending on the type and location of the plots. S Siddharth, Additional Chief Secretary, Cabinet, told reporters after the Cabinet Meeting. According to the current minimum value register (MVR), which determines the cost of land, “the cost of land in BIADA zones is high.” Siddarth.
“This will prove to be a significant inducement for investors.” According to the ACS, “They can now invest more money in machinery and equipment than in real estate.” The land prices in a few zones in the industrial areas of Gopalganj, Siwan, Aurangabad, Rohtas, Buxar, Gaya, Munger, West Champaran, Madhubani, Madhepura, Saharsa, and Nalanda are available to investors at a discount of 80%.
Plots in Gopalganj that are now priced at 2.97 crores can be had for 59 lakh after the discount. Plots in Siwan’s Phase-2 industrial sector, worth 5.75 crores, are also available for 1.15 crore. Lots in several industrial phases in West Champaran, Purnia, Araria, Madhubani, East Champaran, Muzaffarpur, Vaishali, Patna, Buxar, Nawada, Munger, and Khagaria are being discounted by 60%.
Additionally, BIADA will offer discounts of 40% and 20% on vacant plots in the following locations: Rohtas, Bhojpur, Jehanabad, Siwan, Madhubani, Sitamarhi, Darbhanga, Katihar, Kishanganj, Bhagalpur, Purnia, East Champaran, Vaisali, Aurangabad, Buxar, Nawada, and Lakhisarai.
The long-awaited PM Micro Food Processing Enterprise Scheme, which is sponsored by the government, will soon be introduced by the Industries Department. Under this program, individuals and farmers’ producer organizations (FPOs) will receive up to a 35 per cent subsidy on their investment in the food processing industry.
As the state contribution for the project to be implemented through the fiscal year 2024–2025, the State Cabinet has approved 469 crores or around 40% of the overall spending on the scheme. 60 per cent of the fund would be used for the scheme by the central government. Credit-linked subsidies up to Rs. 10 lakh, or 35% of the total investment, would be provided to individuals and FPOs. Entrepreneurs must contribute at least 10% of the project’s overall cost, with the State Government managing the remaining funds.
