Gujarat’s Performance So Far

1. 1^st Rank in Export Competitiveness Index 2020 by NITI Aayog 
2. 1^st Rank in Water Management per NITI Aayog in the last two years 
3. Ranked “Best Performing State” by DPIIT in the National Startup Ranking for 2018 
4. 1^st Rank in Logistics Performance Index and LEADS Index in 2019 
5. In FY 2019-20, Gujarat saw the highest national increment of 240% in FDI inflows from previous year as against a growth of 14% in FDI in India

Key Features of the Gujarat Industrial Policy 2020 

1. Gujarat is the first state to undertake a bold decision to de-link incentives from SGST
2. Talukas have been categorized into three categories: Category 1 (backward), Category 2 (developing) and Category 3 (mature)
3. Thrust sectors have been identified and enhanced incentives have been announced for them
4. Gujarat government to offer relocation incentives to companies trying to move from other geographies on a case to case basis 
5. Gujarat government to lease out government land for long term – upto 50 years – to industrial enterprises at 6% market rate 
6. Government to support private entities setting up R&D Centres for upto 30% of the project cost of equipment cost upto INR 5 Crore
7. MSME definition modified and extra incentives and subsidies announced to provide a boost them. The policy now exempts all MSMEs from obtaining approvals for a period of 3 years & start operations immediately.
8. Many service sectors included under the scope of the policy as well as support to startups announced 
9. Exempts new companies for a period of 1000 days from all labor laws in the state
10. Provides access to 160+ applications of 16 departments under one platform. Over 5 Lakh applications received so far.
11. Fully digitized and GIS-based land map available at gujarat.ncog.gov.in.  

Gujarat’s new industrial policy can be found here: Gujarat Industrial Policy 2020

For more information on Gujarat’s new industrial policy, please reach out to: 

Drushti Joshi

Team Gujarat @InvestIndia
Email: Drushti.joshi@investindia.org.in 

Read Part 2: Capital subsidies to large investments here
Read Part 3: Subsidies and incentives for MSMEs and Startups here
Read Part 4: Industrial infrastructure in Gujarat here