BMSME:SCIS

“State Capital Investment Subsidy (CIS)” incentives under “Banglashree for MSMEs” scheme implemented by the MSMEs Department, Government of West Bengal, aims to provide Capital Investment Subsidy for its approved project to an eligible micro or small enterprise.

The scheme “State Capital Investment Subsidy” is a sub-scheme under the “Banglashree for Micro, Small and Medium Enterprises” scheme. It was launched on 1st April 2020 by the Department of Micro, Small and Medium Enterprises and Textiles, Government of West Bengal, and shall remain in force till 31st March 2025.

> Objectives of the "Banglashree for MSME” Scheme

The objective of the scheme is to extend fiscal incentives to encourage entrepreneurs to set up Micro, Small and Medium Enterprises with a view to focusing on the balanced development of MSMEs across the State and creating a sustainable ecosystem in the MSME sector which can maximize the utilization of resource, generate new employment and widen the area of operation to make the State emerge as the MSME leader in the country.

> Objectives of the "State Capital Investment Subsidy" Scheme

Through this incentive, an eligible micro or small enterprise located in Zone C, D & E area will be entitled to State Capital Investment Subsidy for its approved project.

• The business/organization should be a Micro/ Small/ Medium Enterprise.
• The business/organization should belong to the manufacturing sector.
• The business/organization should have started production on or after 1st April 2019.
• The business/organization should be in the private sector/ cooperative sector/ joint sector undertaking or should be a company/ undertaking owned and managed by the State Government or the Industrial SHGs.
• The Date of Commencement of Commercial Production (DOCCP) should be between 1st April 2020 to 31st March 2025.

The enterprise will be provided a subsidy as a percentage of the fixed capital Investment (FCA) for its approved project as follows:

Micro Enterprise: 25% for Zone C; 40% for Zone D; 60% for Zone E.

Small Enterprise: 15% for Zone C; 30% for Zone D; 40% for Zone E.

• An additional subsidy of 20% on State Capital Investment Subsidy normally admissible will be provided to all eligible micro and small enterprises wholly owned (100%) by women, SC/ST, and minority community entrepreneurs.
• An eligible micro or small enterprise wholly owned by women, SC/ST, and minority community entrepreneurs and set up in Zone – A and B will be entitled to a subsidy as a percentage of the fixed capital Investment (FCA) as follows:
• _15% for Micro Enterprise, and 10% for Small Enterprise_

NOTE 1: The subsidy normally admissible and additional subsidy taken together will not exceed ₹ 50,00,00/- for a Small Enterprise located in Zone C & D.

NOTE 2: The subsidy normally admissible and additional subsidy taken together will not exceed ₹ 75,00,000/- for a Small Enterprise located in Zone E.

> Enterprises Excluded from this Scheme

• Enterprises registered and for which eligibility certificates have been issued /incentives have been sanctioned and/ or disbursed under the respective Incentive Scheme of the State.
• Enterprises registered and for which eligibility certificates have been issued in terms of the respective Incentive Scheme of the State but no sanction or disbursement of incentive has been made.
• Enterprises commenced production before 01.04.2019 and applied for incentive under the respective Incentive Scheme of the State within the stipulated date.

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> Negative List Of Industries

• Sponge Iron Factory.
• Bricks (Excluding Fly Ash bricks, Sand lime Bricks, Refractory Bricks).
• Any other industry notified by the State Govt. for inclusion in this list.

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> Items excluded while calculating the investment made in Plant & Machinery

• Equipment such as tools, jigs, dies, moulds and spare parts for maintenance and the cost of consumable stores.
• Installation of Plant and Machinery.
• Research and development equipment and pollution control equipment.
• Power generation set and extra transformer installed by the enterprise as per the regulations of the State Electricity Board.
• Bank charges and service charges paid to the National Small Industries Corporations or the State Small Industries Corporations.
• Procurement or installation of cables, wiring, bus bars, electrical control panels (not mounted on individual machines), oil circuit breakers or miniature circuit breakers which are necessarily to be used for providing electrical power to the Plant and Machinery or for safety measures.
• Gas producer plant.
• Transportation charges for indigenous machinery from the place of their manufacture to the site of the enterprise.
• Charges paid for technical know-how for the erection of the Plant and Machinery.
• Such storage tanks which store raw materials and finished products only and are not linked to the manufacturing process.
• Fire fighting equipment.

NOTE: The cost of any second-hand plant and machinery purchased and installed for implementation of the project will be excluded in the calculation of the cost of the plant and machinery.