The Tripura Industrial Policy and the Industrial investment promotion scheme 2007, announced by the Government of Tripura has identified bamboo as principal non-timber forest produce of Tripura. The government has constituted the Tripura Bamboo Mission to undertake the integrated development of the Bamboo sector in the state, with an objective to ensure employment generation and economic development based on available bamboo resources in the State. The focus is to develop the technology based applications of bamboo and establish viable enterprises engaged in the production of high value added bamboo based products in the State.

The Government is setting up a State of Art, Bamboo Park with an estimated investment of Rs 50 crores. The Park will have state of the art common facilities that comprises of production processes generic to the enterprises, business development platforms, product development & training centers.

The state of Tripura is best positioned to lead the bamboo sector in the country on account of the rich bamboo resources available in the state and the large skill base of people who are adept in the various aspects handling of bamboo. To encourage private investment in the state, the government offers an attractive package of state & central government incentives for enterprises.

Incentive Package for Investment in Tripura:

There is a package of Incentives comprising of both the central and state government incentives to promote industrial development in Tripura. The detail of each package is enclosed below. In addition I want to highlight the following:

• Zero interest loan from NMBA (National Mission on Bamboo Applications, setup under the Department of Science & Technology, Government of India ) for all machinery. The loan is for a period of five years with one year moratorium.
• Land Lease by TIDC (Tripura Industrial Development Corporation)at the Industrial Growth Centre.
  Fixed Costs:
  
  • Premium for land and shed: One time deposit non-refundable lease premium of Rs.1 lakh per acre of land and Rs 1.00 lac per shed (shed area 25mX 10m).
  • Lease Period: The lease period is 30 years. The tenure is renewable.
  Recurring Costs :
  
  • Lease Rent per month - @ Rs.4000/- per acre per month for land and Rs 5000/- per month per shed (25mX 10m).
  • Water Charges - @ Rs.5/- per K. Lit and to be deposited monthly on total consumption.

State Incentives under Tripura Industrial Investment Promotion (TIIP) Scheme 2007

1. Capital Incentive Subsidy : 30% subsidy on fixed capital investment on land & civil works only subject to a ceiling of Rs. 50 lakhs.

1. Procurement Preference : 10% Procurement Preference on all purchases by State Government Agencies. 

1. Re-imbursement of commodity Taxes : The cumulative benefit shall be limited to maximum Rs. 50 lakhs per enterprise per annum.

1. Re-imbursement of Power charges : on an annual tapering basis, shall not exceed a maximum of Rs.12.00 lakhs for any enterprise in a year.

1. Partial Re-imbursement of Interest paid : @ 3% on the term loan for five years subject to a ceiling of 10% of the Annual turn over for the relevant year or Rs.1,00,000 per year per enterprise whichever is lower.

1. Re-imbursement of Standard Certification Fees/ Charge : one time full re-imbursement without any ceiling.

1. Pertial Re-imbursement of floor space rentals for IT Industries : for a maximum period of 5 (five) years on tapering basis, with a maximum celing of Rs.24.00 lakhs per annum per enterprise.

1. State Transport Subsidy : All eligible enterprises will be provided 10% Transport Subsidy on expenditures for transportation of raw materials and finished goods following the same procedures/guidelines of Central Transport subsidy.

• 30% Capital Investment Subsidy on plant and machinery without ceiling.
• 100% exemption of Excise Duty on finished products.
• 100% Income Tax exemption
• Interest Subsidy @ 3% on working capital loans.
• Re-imbursement of 100% insurance premium.
• Central Transport Subsidy @ 90% of transport costs of raw materials/finished goods
• Subsidies to service sector, bio-technology and power generating plants upto 10 MW.

• Subsidized cargo tariff on Indian Airlines between Agartala-Kolkata, Agartala - Guwahati  and  Agartala - Delhi up to 50% on graded basis.
• Tripura Industrial Development Agency (TIDA), as Single Window for facilitation of clearances and other assistance to entrepreneurs.
• Prompt and regular clearance of incentives and subsidy claims –  State up-to-date in payment/ reimbursement of incentives and subsidies
• Fast Track Mechanism to facilitate decisions related to investment proposals.