Lok Sabha Question No. 665 (UNSTARRED), answered on 2026-02-03
Subject: Industrial Ecosystem in Bihar
Ministry: COMMERCE AND INDUSTRY
Asked by: Shri Tariq Anwar

## GOVERNMENT OF INDIA MINISTRY OF COMMERCE & INDUSTRY DEPARTMENT FOR PROMOTION OF INDUSTRY AND INTERNAL TRADE

## LOK SABHA

UNSTARRED QUESTION NO. 665.

TO BE ANSWERED ON TUESDAY, THE 03 RD  FEBRUARY, 2026.

## INDUSTRIAL ECOSYSTEM IN BIHAR

## 665.   SHRI TARIQ ANWAR:

## Will the Minister of COMMERCE AND INDUSTRY be pleased to state: वाणिज्य एवं उद्योग मंत्री

- (a) whether the Government has conducted any recent study to assess the present status of the industrial ecosystem in Bihar and particularly in the Seemanchal region (Kishanganj, Araria, Katihar and Purnea) and if so, the details thereof;
- (b) whether the said region has got the benefits from schemes being implemented by the Government such as Make in India and Industrial Corridors, if so, the details thereof;
- (c) the details of employment generation in the manufacturing and services sectors in this regard; and
- (d) the  concrete  and  time-bound  action  plan  of  the  Ministry  of  Commerce  and Industry  to  attract  investment  to  establish  industrial  units  and  to  address unemployment in the said region?

## ANSWER

## वाणिज्य एवं उद्योग मंत्रालय में राज्य मंत्री ( श्री णिणिन प्रसाद ) THE MINISTER OF STATE IN THE MINISTRY OF COMMERCE & INDUSTRY (SHRI JITIN PRASADA)

- (a) to (d) : The primary responsibility for developing the industrial sector rests with the State Governments,  which  adopt  different  policy  measures  to  promote  industrial development. The Union Government supplements the efforts of the State/UT Governments through various schemes, programmes, and policy initiatives for the overall development and promotion of industry across the country, including in Bihar. These initiatives include the Scheme for Investment Promotion, Ease of Doing Business (EoDB) and initiatives aimed at reducing compliance burden, the Industrial Infrastructure  Upgradation  Scheme,  the  Production  Linked Incentive  (PLI)  Scheme,  Integrated  Manufacturing  Clusters  (IMCs)  under  the National  Industrial  Corridors,  Startup  India,  Make  in  India,  PM  Gati  Shakti, National Infrastructure Pipeline (NIP),National Single Window System (NSWS), India  Industrial  Land  Bank  (IILB),reforms  in  Foreign  Direct  Investment  (FDI), Project  Monitoring  Group  (PMG)etc.  which  facilitates  setting  up  of  major infrastructure projects across the country.

Govt. of Bihar has informed that the Seemannchal region comprising Kishangaj, Araria, Katihar and Purnea has received benefits under Government investment promotion initiatives aligned with Make in India. A total of 66 industrial units have been approved in these four districts with a cumulative proposed investment of approximately  ₹1041.01  crores  across  sectors  such  as  Food  processing, General Manufacturing, Textile & Leather, Plastic & Rubber etc. Further, Govt. of Bihar has informed that a total of 44,452 employment opportunities have been generated, out of which 39,404 are in the Manufacturing sector and 5,048 in the Services Sector.

Further, Govt. of Bihar has notified the Bihar Industrial Investment Promotion Package  (BIIPP),  2025,  valid  up  to  31.03.2026,  to  attract  fresh  industrial investment  and  promote  employment  generation.  The  package  provides incentives such as capital subsidy, interest subvention, SGST reimbursement, employment generation incentive, export incentive and allotment of industrial land at a token rate of ₹1 per acre for eligible High Priority and employmentintensive projects, along with customized incentive packages for large and mega projects.

The  Government  has  been  implementing  various initiatives to promote entrepreneurship development  in  the  country  including  Bihar  which  inter  alia includes Entrepreneurship Development Programmes (EDP) and Entrepreneurship  and  Skill  Development  Programmes  (ESDP).  Further,  the Government  is  implementing  three  flagship  Schemes,  Fund  of  Funds  for Startups  (FFS),  Startup  India  Seed  Fund  Scheme  (SISFS),  and  Credit Guarantee Scheme for Startups (CGSS) to provide funding opportunities and support startups across sectors at various stages of their business cycle. FFS has been established to catalyze venture capital investments and is operationalized by Small Industries Development Bank of India (SIDBI), which provides capital to Securities and Exchange Board of India (SEBI)-registered Alternative Investment Funds (AIFs) which in turn invest in startups.

Supported  Alternative  Investment  Funds  (AIFs)  have  invested  around  Rs. 25,547.98 crore in 1,371 startups from across the country as on 31st December 2025. Of this, Rs. 196.06 crore have been invested in startups from the State of Bihar as on 31st December 2025. Startup India Seed Fund Scheme (SISFS) provides financial assistance to seed stage startups through incubators. SISFS is implemented from 1st April 2021. Supported incubators under the Scheme have approved funds of around Rs. 590.93 crore to 3,271 Startups as on 31st December 2025. Of this, Rs. 8.78 crore have been approved to startups from the State of Bihar as on 31st December 2025. Credit Guarantee Scheme for Startups (CGSS) is implemented for enabling debt funding to startups through eligible  financial  institutions.  CGSS  is  operationalized  by  the  National  Credit Guarantee Trustee Company (NCGTC) Limited and has been operationalized from 1st April 2023. As on 31st December 2025, 334 loans amounting to around Rs 808.18 crore have been guaranteed to startup borrowers under CGSS. Of this, Rs. 28 lakhs have been guaranteed to startup borrower from the State of Bihar as on 31st December, 2025.

As  on  31st  December  2025,  the  recognized  startups  have  reported  to  have created over 21.9 lakh direct jobs. Particularly in the State of Bihar, 4,565 entities have  been  recognized  as  startups  by  DPIIT,  which  have  reported  to  have created more than 40,400 direct jobs, as on 31st December 2025.

Govt. of India has approved development of an Integrated Manufacturing Cluster (IMC) in Gaya admeasuring 1,670 acres in state of Bihar as part of the Amritsar Kolkata Industrial Corridor (AKIC) under National Industrial Corridor Development Programme (NICDP). The total project cost approved by Govt. of India for development of internal trunk infrastructure is Rs. 1,339 crore (incl. land cost) with a projected investment potential of INR 16,524 crore and is expected to create approximately 1 lakh jobs.

For  ease  of  doing  business,  initiatives  aimed  at  simplifying  and  streamlining business  regulations  have  been  undertaken  by  the  Central  Government including the Business Reform Action Plan (BRAP), the B-Ready assessment, Jan Vishwas and Reducing Compliance Burden on Businesses and Citizens and measurement of Cost of Regulation. Under, the Regulatory Compliance Burden (RCB) initiative various Ministries, Departments, and States/UTs are supported in reducing the compliance burden on citizens and businesses. The goal is to enhance Ease of Doing Business and Ease of Living through four key strategies: Simplification of procedures, Rationalization of laws, Digitization of processes, and  Decriminalization  of  minor  offences.  Regulatory  Compliance  (RC)  Portal has been developed for tracking action taken by Ministries/ Departments and States/UTs to reduce compliance burden.

There  is  no  specific  study  instituted  recently  by  Government  to  assess  the status of the industrial ecosystem in Bihar and particularly in the Seemanchal region (Kishanganj, Araria, Katihar and Purnea).

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