The North Eastern Region (NER) of India holds immense potential for economic growth, industrial development, and sustainable progress. Recognizing this, the Government of India has implemented a series of transformative schemes and policies aimed at fostering investments and industrialization in the region. At Shiva Consultancy Group, we view these initiatives as pivotal opportunities for businesses and entrepreneurs to drive development while addressing regional disparities.
Evolution of Industrial Policies for the North East
- North East Industrial and Investment Promotion Policy (NEIIPP), 2007
- Active from April 1, 2007, to March 31, 2017, NEIIPP aimed to mitigate locational disadvantages and boost industrialization in the hilly, remote, and inaccessible areas of the North East. This policy laid the groundwork for subsidizing industrial units in transportation costs, facilitating smoother movement of raw materials and finished products.
- Freight Subsidy Scheme (FSS), 2013
- Replacing the Transport Subsidy Scheme of 1971, the Freight Subsidy Scheme provided financial support to industries for the transportation of goods, addressing one of the key logistical challenges faced by businesses in the region.
- North East Industrial Development Scheme (NEIDS), 2017
- NEIDS broadened the focus to encompass both manufacturing and service sectors, offering incentives for new units and expansions, fostering diverse industrial growth.
- Uttar Poorva Transformative Industrialization Scheme (UNNATI), 2024
- Launched in March 2024, this Central Sector Scheme aims to accelerate industrial development and employment generation. UNNATI marks a new era in industrial policy with targeted support to industries, ensuring inclusive and sustainable economic progress in the North East.
Flagship Programmes Driving Regional Growth
In addition to industrial policies, the Government of India has mandated 55 non-exempted Central Ministries and Departments to allocate at least 10% of their Gross Budgetary Support (GBS) for Central Sector and Centrally Sponsored Schemes to the North Eastern Region. This directive underscores the government’s commitment to equitable regional development. Key programmes include:
- North East Special Infrastructure Development Scheme (NESIDS)
- NESIDS focuses on infrastructure development, improving connectivity, and promoting sustainable livelihoods across the region. By addressing critical gaps, this scheme enhances the region’s capacity to attract investments.
- Prime Minister’s Development Initiative for North East Region (PM-DevINE)
- PM-DevINE is designed to drive economic growth and social development through targeted investments in key sectors such as healthcare, education, and technology.
- Schemes of the North Eastern Council
- The North Eastern Council (NEC) plays a vital role in strategizing and implementing initiatives for regional development, fostering collaboration between states, and optimizing resource utilization.
Opportunities for Businesses and Entrepreneurs
At Shiva Consultancy Group, we believe these policies and schemes present unparalleled opportunities for businesses to thrive in the North Eastern Region. Key sectors poised for growth include:
- Agribusiness and Agri-Tech: Leveraging the region’s rich biodiversity and agricultural potential.
- Green Energy: Harnessing renewable resources for sustainable development.
- Infrastructure Development: Participating in projects that improve connectivity and access.
- Tourism and Hospitality: Capitalizing on the region’s natural beauty and cultural heritage.
- Skill Development and Education: Enhancing employability and fostering entrepreneurship among the youth.
Strategic Insights from Shiva Consultancy Group
As a professional management and technology consultancy firm, we provide end-to-end support to businesses aiming to leverage the opportunities in the North Eastern Region. Our services include:
- Customized Solutions: Tailored strategies for navigating policy frameworks and maximizing benefits.
- Financial Advisory: Expertise in fund-raising and accessing government subsidies.
- Value Chain Development: Building sustainable ecosystems for long-term growth.
- Handholding Support: From project planning to execution, ensuring seamless operations.
Conclusion
The Government of India’s robust policies and targeted schemes are transforming the North Eastern Region into a hub of industrial and economic activity. For businesses, this is the time to act and invest in this promising region. At Shiva Consultancy Group, we are dedicated to driving innovation, sustainability, and value creation in the North East. Partner with us to unlock the true potential of this vibrant region and contribute to its holistic development.