Skip to main content • Independent Citizen Utility
Citizen Support
Sarkari Yojna List
Bihar & UP Government Welfare Schemes Portal

Bihar Textile and Leather Policy, 2022

Bihar MSME & Industry Application Mode: ONLINE Active
verified
Verified Scheme Data Profile

This profile has been independently compiled from official gazette notifications and verified web domains. Source Authority Link: sipb.bihar.gov.in Authority: Department of Industries (Bihar) • State/Region: Bihar • Last Audited: 20 Oct 2026

psychology Quick AI Summary

The policy incentivizes textile and garment manufacturing units in Bihar through capital subsidies, power tariff concessions, and land allotment benefits to generate large-scale employment.

Detailed Summary

Policy Objective

The Bihar Textile and Leather Policy, 2022 aims to establish Bihar as a preferred destination for textile and apparel manufacturing by leveraging the state's abundant labour pool and strategic location. It targets the creation of integrated textile parks and garment manufacturing clusters to absorb semi-skilled and unskilled workforce, particularly women.

Key Incentives

The policy provides a comprehensive fiscal package anchored by the State Investment Promotion Board (SIPB). Eligible units receive capital investment subsidies, reimbursement of power tariffs, and subsidized land within designated textile parks. Specific thrust is given to anchor units and MSMEs adopting modern technology and generating significant direct employment.

Institutional Framework

Implementation is monitored by the Department of Industries through the SIPB single-window clearance mechanism. The policy aligns with the Central Government's PM MITRA Parks scheme and Production Linked Incentive (PLI) for textiles to maximize viability gap funding for investors.

Key Benefits & Financial Assistance

Comparison Criteria Benefits
Key Benefits
  • Capital Investment Subsidy: 30% of eligible fixed capital investment (Plant & Machinery), subject to a ceiling of ₹10 Crore for MSMEs and ₹30 Crore for Large/Anchor units.
  • Land Subsidy: Land allotted at 50% of the prevailing industrial area rate within designated Textile Parks/Apparel Parks; 25% subsidy in other industrial areas.
  • Power Tariff Subsidy: Reimbursement of ₹3.00 per unit on actual power consumption for a period of 5 years from the Date of Commercial Production (DCP).
  • Interest Subsidy: Reimbursement of 5% per annum on term loans for 5 years, subject to an annual ceiling of ₹50 Lakh (MSME) and ₹1 Crore (Large/Anchor).
  • Employment Generation Subsidy: ₹5,000 per employee per annum for 5 years (direct employment only, verified via EPF/ESIC records), capped at ₹50 Lakh per annum.
  • SGST Reimbursement: 100% reimbursement of net SGST deposited for 5 years, capped at 100% of eligible fixed capital investment.
  • Skill Development Assistance: Reimbursement of training costs up to ₹5,000 per worker for certified skill training programs.

Eligibility Criteria Profile

Comparison Criteria Eligibility
Minimum Age Limit 18 Years or above
Physical Disability Not Restricted (Anyone can apply)
Domicile State All India (Central Scheme)

Application Process Guide

  1. Register the enterprise on the Bihar Single Window Clearance System (SWCS) portal (https://swcs.bihar.gov.in) or SIPB portal.
  2. Submit the Common Application Form (CAF) for 'Incentive Clearance' under the Bihar Textile and Leather Policy,
  3. Upload mandatory documents: Detailed Project Report (DPR), Land Possession/Lease Deed, Udyam Registration Certificate, Statutory Clearances (CTE/CTO), Bank Sanction Letter, and Projected Employment Plan.
  4. The General Manager, District Industries Centre (GM, DIC) conducts a preliminary scrutiny and site verification.
  5. The proposal is placed before the State Level Committee (SLC) / SIPB for 'In-Principle Approval' of incentives.
  6. Upon achieving Date of Commercial Production (DCP), file the 'Final Claim Application' with Chartered Accountant certified statements of Fixed Capital Investment, Power Consumption Bills, EPF/ESIC challans, and SGST Returns.
  7. Joint Physical Verification by GM DIC and Nodal Officer; disbursement of sanctioned subsidies via DBT to the unit's bank account upon final approval.

Common FAQs regarding this Yojana

Eligible permanent residents meeting the specified domicile, income, and category criteria can submit an application along with verified credentials.

Key mandatory documents include Aadhaar Card, Residence/Domicile Certificate, Income Certificate, and active Bank Account Passbook.

Benefits are directly credited to the beneficiary's Aadhaar-seeded bank account through the Public Financial Management System (PFMS) / DBT.

Applicants can track status in real-time by logging into the official portal using their Application Reference Number.