Lok Sabha Question No. 2935 (UNSTARRED), answered on 2026-03-10
Subject: Bihar Industrial Investment Package
Ministry: COMMERCE AND INDUSTRY
Asked by: Dr. Alok Kumar Suman

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

## LOK SABHA

UNSTARRED QUESTION NO. 2935.

TO BE ANSWERED ON TUESDAY, THE 10 TH  MARCH, 2026.

## BIHAR INDUSTRIAL INVESTMENT PACKAGE

## 2935.  DR. ALOK KUMAR SUMAN:

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

- (a) the special industrial investment packages that have been announced for Bihar;
- (b) the incentives and benefits included in these packages;
- (c) the number of companies that have availed these investment packages so far;
- (d) whether  any  projects  have  been  specifically  approved  for  districts like Gopalganj, if so, the details thereof; and
- (e) the  manner  in  which  packages  aim  to  promote  employment  and  industrial growth in Bihar?

## 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): 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.

Government of Bihar has informed that Bihar Industrial Investment Promotion Package (BIIPP), 2025 was approved by the State Cabinet on 26 August 2025. The objective of this package is to promote industrial development in the State and  attract large-scale private investment. This will increase industrial investment,  accelerate  economic  growth,  generate  large-scale  employment opportunities,  strengthen the  Micro,  Small  and  Medium Enterprises (MSME) sector.

- (b): Under the BIIPP, 2025, the following incentives are provided:
- i. Interest Subvention Incentive: In high-priority sectors, interest subvention of 10% for 5 years (and 12% for micro and small units) is provided, subject to a  ceiling  of  50%  of  the  approved  project  cost,  with  the  maximum  limit enhanced from ₹20 crore to ₹40 crore.
- ii. Tax-related Incentives: Reimbursement of taxes for 5 years up to 100%, subject to a maximum of 100% of the approved project cost.
- iii. Land allotment: Investors may obtain land for establishing industries at a token rate of ₹1. Industries investing more than ₹100 crore and generating at  least  1000  direct  jobs  may  be  allotted  up  to  10  acres  of  land,  while industries investing more than ₹1000 crore may be allotted up to 25 acres of land.
- (c): So far, 16 units have been granted Stage-1 clearance under the Bihar Industrial Investment Promotion Package, 2025.
- (d): Under the BIIPP, 2025, one proposal has been received for Gopalganj district, which is currently under the process of approval of Government of Bihar.
- (e): The  BIIPP,  2025,  which  is  effective  until  31  March  2026,  aims  to  promote industrial development and create employment opportunities in the Bihar State. It seeks to ensure balanced, sustainable and inclusive economic development across  the  State.  The  package  forms  part  of  the  Government's  efforts  to establish Bihar as a significant industrial hub.

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