The Union Cabinet, chaired by the Prime Minister of India, has recently approved the Uttar Poorva Transformative Industrialization Scheme (UNNATI-2024) proposed by the Ministry of Commerce and Industry, Department for Promotion of Industry and Internal Trade. This scheme aims to foster industrial development and generate employment opportunities in the North East Region of India. With a focus on creating productive economic activities in manufacturing and services, UNNATI-2024 is set to transform the industrial landscape of the region.
Scheme Overview
UNNATI-2024 is a comprehensive initiative designed to promote industrialization and socio-economic development in the North East Region.
Key Features
- Effective from the date of notification until March 31, 2034
- Financial outlay of Rs. 10,037 crore for the scheme period
- Divided into two parts:
- Part A: Incentives to eligible units (Rs. 9,737 crore)
- Part B: Implementation and institutional arrangements (Rs. 300 crore)
- Central Sector Scheme with 100% funding from the Government of India
Objectives
- Generate gainful employment opportunities
- Promote overall socio-economic development of the North East Region
- Encourage productive economic activities in manufacturing and services sectors
Eligibility and Incentives
UNNATI-2024 offers a range of incentives to eligible industrial units setting up operations in the North East Region.
Eligibility Criteria
- New industrial units and expanding units are eligible for incentives
- Units must apply for registration between the date of notification and March 31, 2026
- Production or operation must commence within 4 years from the date of registration
Incentive Structure
| Incentive Category | Zone A (Industrially Advanced Districts) | Zone B (Industrially Backward Districts) |
| Capital Investment Subsidy | 30% of eligible investment | 40% of eligible investment |
| Interest Subsidy | 5% per annum for 5 years on term loans | 7% per annum for 7 years on term loans |
| GST Reimbursement | 100% reimbursement for 5 years | 100% reimbursement for 7 years |
| Income Tax Exemption | 100% exemption for 5 years | 100% exemption for 10 years |
Implementation and Monitoring
UNNATI-2024 will be implemented by the Department for Promotion of Industry and Internal Trade (DPIIT) in collaboration with the state governments of the North East Region.
Implementation Mechanism
- Steering Committee at the national level for policy decisions and oversight
- State Level Committees for project approval and monitoring
- Transparent online portal for application submission and tracking
Monitoring and Evaluation
- Regular progress reviews by the Steering Committee and State Level Committees
- Third-party evaluations to assess the impact and effectiveness of the scheme
- Grievance redressal mechanism for addressing concerns of industrial units
Expected Impact
UNNATI-2024 is expected to have a significant impact on the industrial development and socio-economic growth of the North East Region.
Employment Generation
- Creation of direct and indirect employment opportunities
- Skill development and entrepreneurship promotion
Economic Growth
- Increase in industrial output and value addition
- Attraction of domestic and foreign investments
- Development of ancillary industries and service sectors
Regional Development
- Balanced regional growth and reduction of regional disparities
- Improvement in infrastructure and connectivity
- Social upliftment and inclusive development
The Uttar Poorva Transformative Industrialization Scheme (UNNATI-2024) is a game-changer for the North East Region of India.
- By providing attractive incentives and a conducive ecosystem for industrial growth, the scheme aims to unlock the untapped potential of the region.
- With a focus on manufacturing and services sectors, UNNATI-2024 is poised to create employment opportunities, foster economic growth, and promote overall socio-economic development.
- The collaborative efforts of the central and state governments, along with the participation of industry stakeholders, will be crucial in ensuring the success of this transformative initiative.
- As UNNATI-2024 takes shape, it holds the promise of ushering in a new era of industrial prosperity and inclusive growth in the North East Region of India.
