Export & Import - Exim Policy- Industrial Policy - States- Tamil Nadu, India Finance & Investment Guide

Tamil Nadu is situated in the south-eastern side of the Indian peninsula. It is the most urbanized Indian state with eight cities exceeding onemillion in population. Given its favourable industrial climate, Tamil Nadu’s importance as an investment destination will continue to attract attention. Tamil Nadu is developing a single-window clearance procedure with respect to industrial estates and parks and proposes to delegate the power of clearance to the committees in the industrial estates. The state is also rich in human resources and has a high rate of literacy.

Land area: 130,058 sq. km.
Population: 55.9 million
Capital: Chennai
Per Capita Income: Rs 8,941
Inflation Rate: 7.1%

Incentives:

Investment subsidy of 20% of fixed assets (up to Rs 2,000,000) for units in most backward areas
Investment subsidy of 20% (up to Rs 2,000,000) of fixed assets for new electronics and leather units
Capital subsidy of 10% of fixed assets for medium-scale units in thrust-sector industries
Capital subsidy of 20% of fixed assets for small-scale units in thrust-sector industries
Subsidies of between Rs 2,500,000 and Rs 1 crore for projects with investment up to Rs 50 crore
Power subsidy of up to 40% for units located outside the Chennai metropolitan areas
15% reimbursement (up to Rs 500,000) of the cost of generators installed for captive use
An additional subsidy of 5% (up to Rs 500,000) for new units with more than 30% women employees