STATE
POLICIES

ORISSA

1. INCENTIVES

    1. The incentives envisaged under the Industrial Policy, 1996 are detailed below :

2. DEFINITIONS

    2.1 "Effective Date" means the date of issue of this policy on and from which, the provision thereof shall be operative. This policy was issued on 1st March, 1996.

    2.2 "Existing Industrial Unit" means an Industrial unit where fixed capital investment has commenced before the effective date.

    2.3 "Industrial Unit" means any industrial undertaking located inside the state (including public sector undertakings of the State Government and their subsidiaries) detailed in the annexure of this policy and excludes the undertakings expected therein.

    2.4 "Fixed Capital Investment" means investment in land, building, plant and machinery and other equipments of permanent nature.

    2.5 "New Industrial Unit" means an industrial unit located inside the State (including public sector undertakings of the State Government and their subsidiaries) where fixed capital investment has commenced on or after the effective date.

    1. Provided that an industrial unit which has started fixed capital investment before the effective date but on or after 01.04.95 will have the option to be treated as a new industrial unit to avail itself of inventives under IP-96 instead of those under the IPR-92.

    2. Provided further that such option shall be exercised in the prescribed form to the designated authority within 90 days from the effective date.

    3. Provided further that an industrial unit opting to be treated as a new industrial unit will be required to surrender/refund the incentives availed, if any, under IPR-92.

    2.6 "Pioneer Units" means the first two new medium/large scale industrial units with project cost of over Rs. 5.00 Crore going into commercial production in a Panchayat Samiti area provided that no other medium/large scale industrial unit has gone into commercial production in the concerned Panchayat Samiti prior to the said units.

    2.7 "Priority Industries" means industrial units in the following specific categories and having a project cost not less than Rs. 1 Crore.

    1. Electronics/Telecommunication (Hardware and Software)

    2. Agro and Food Processing

    3. Aluminimum based industries

    4. Garments including hosiery and knitwear

    5. Synthetic Yarn Spinning & Weaving Mills

    6. Gem and Jewellery

    7. Industries manufacturing leather goods.

    8. Industries manufacturing equipment and products relating to generation and/or use of non-conventional energy and relating to pollution control.

    9. Precision Engineering

    10. Automobile and Automatic Components

    11. Basic Drugs and Pharmaceuticals

    12. Petrochemcials

    13. Fly Ash based Industries utilizing a minimum of 25% by weight of Fly ash as abase raw material

    14. 100% Export Oriented Industries

    15. Ship breaking

    16. Stainless Steel downstream Industries.

    Provided that the requirement of minimum project cost Rs. 1 Crore shall not apply in respect of Electronics/Telecommunication (Hardware and Software) industrial units.

    Provided further that Government may notify from time to time the types of industrial activities which will come within the category of 'Priority Industries'.

    2.8 "SPECIAL CLASS ENTREPRENEURS" Means,

    1. an entrepreneur belonging to any of the Scheduled Castes or Scheduled Tribes

    2. a Women technical entrepreneur

    3. a Women's Co-operative

    4. an Artisans' Co-operative

    5. a certified physically handicapped entrepreneur

    2.9 "Expansion/Modernisation/Diversification" of an industrial unit means additional investment to the extent of 50% or more of the undepreciated book value of fixed capital investment made in an industrial unit in acquisition of plant and machinery for expanding/modernising/diversifying the production of the said unit.

    2.10 "Transferred Unit" means an industrial unit whose ownership/management has been transferred in pursuance of the provisions of the State Financial Corporation Act, 1951 for transferred with the approval of OSFC/IPICOL.

    Provided that the industrial unit in question should have been completed in all respects including installation of plant and machinery and the entire assets including land, building, plant and machinery should have been transferred.

    2.11 "Sales Tax" for the purpose of policy means 'Sales Tax' (State and Central), and purchase tax payable to government of Orissa under the Orissa Sales Tax Act, 1947 and Central Sales Tax Act, 1956 and shall include sales tax imposed on contracts.

    2.12 "GRIDCO" means Grid Corporation of Orissa Limited.

    2.13 "IPICOL" means The Industrial Promotion and Investment Corporation of Orissa Limited.

    2.14 "OSEB" means Orissa State Electricity Board.

    2.15 "OSEDC" means Orissa State Electronics Development Corporation.

    2.16 "OSFC" means The Orissa State Financial Corporation.

    2.17 "OSIC" means Orissa Small Industries Corporation

    2.18 "Public Sector" A public sector unit means a Government of Orissa Undertaking and its wholly owned subsidiary.

    2.19 "Sick Unit" means an industrial unit held sick by the Board for Industrial and Financial Reconstruction under the Sick Industrial Companies (Special Provisions) Act, 1985 or the Nodal Committee constituted under resolution No. 28949, Dt. 30.09.1992 of Industries Department or, the State Level Inter-Institutional Committee constituted under Resolution No. 25569, Dt. 25.10.1983 of Industries Department.

    2.20 "Technical Entrepreneur" means and entrepreneur having-

    1. recognised Engineering Diploma/Degree or

    2. National Trade Certificate of National Council for Vocational Training or

    3. recognised M.B.A. degree or

    4. recognised qualification as Chartered Accountant or Cost Accountant or Chartered Financial Analyst, or Company Secretary.

    5. Diploma in Computer Application, Master in Computer Application and other Computer and Software related qualifications recognised by All India Council and Software related qualifications recognised by All India Council of Technical Education and Certificates of O.A.B & C levels under the Department of Electronics Accreditation Scheme (DEAS) of Government of India.

    2.21 "Year" for the purpose of period of Incentives means a period of 365 consecutive days.

    2.22 "Earlier Industrial Policy Resolutions" means and includes the IPR 1992 (No. 21875, dt. 01.08.1992), the IPR 1989 (No. 36243, Dt. 01.12.1989), the IPR 1986 (No. 13195 Dt. 13.05.1986), and the IPR of 1980 (No. 20783 Dt. 31.07.1980).