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Manufacturing Unit

focused of Bio-
fertilizers and Bio-
pesticides Unit
Biotechnology

Biotechnology
Government of Uttarakhand
Contents

Advantage India
Uttarakhand – Key Credentials
Uttarakhand – Competitive Advantage
Project Concept
Market Potential
Growth Drivers
Project Information
Project Financials
Ease of doing business
Investor Facilitation
Policies, Schemes & Incentives
Key Contacts

Page 2 26 September
2018
Advantage India (1/3)

INDIAN BIOTECHNOLOGY INDUSTRY

► India is among the top 12 biotech destinations in the world.


► India is 3rd largest in terms of biotechnology in Asia Pacific
► India is the world’s largest producer of recombinant Hepatitis B vaccine
► India holds 3% of the global market share in Biotechnology
► By FY25, India’s biotech Industry is estimated to increase to USD100 billion from USD7
billion in FY15
► Biopharma is the largest sector contributing about 62 per cent of the total revenue followed
by Bio-services (18 per cent), Bio-Agri (15 per cent), Bio-industry (4 per cent), and Bio-
informatics contributing (1 per cent).
► Fast-developing clinical capabilities is helping country become a popular destination for
clinical trials, contract research and manufacturing activities
► Increasing government expenditure is likely to augment growth in biotechnology industry

BIOTECHNOLOGY SEGMENTS

Bio- Bio-
Bio-Pharma Bio-Agri Bio-Industrial
Services Informatics

KEY GOVERNMENT INITIATIVES


Uttarakhand Science and Technology The National National Regional
Council for for Harnessing Biotechnology Intellectual Centre for
Biotechnology Innovations Development Property Rights Biotechnology
(SATHI) Strategy 2015- (IPR) Policy in
2020 May,2016
Improved Development of Tax, service Starting a High- 30 Bio
reproductive molecular markers for tax and other Tech web portal incubators and
efficiency with monitoring agronomically incentives with international Biotech Parks
regard to yield important traits. given to visibility to invite supported/estab
convertibility. biotechnology Biotech/Biopharma lished during
companies industries in April 2014 to
Uttarakhand Sep 2016

Source: Make in India, Invest India, dbtindia


Page 3 26 September
2018
Advantage India (2/3)

OPPORTUNITIES FOR BIOTECHNOLOGY SECTOR

► India’s billion-plus population base offers a huge market for


biotech products & services.

Robust Demand ► Increasing economic prosperity and health consciousness will


continue to fuel demand for healthcare services in India
► Better accessibility to healthcare services further accelerates
the demand and helps in the growth of biotechnology in India

► Public funding is being offered for product innovation and


research in the biotech sector
Innovative ► The private sector has been aggressively pursuing focused R&D
Opportunities
► Public-Private partnership model will improve the market with
innovative research and developments

► FDI investment up to 100 per cent is permitted via the


automatic route
Increasing ► Telangana Governments biotech event for 2017 attracted
Investments investments to the tune of Rs 3,382 crore
► Launch of Biotechnology Industry Partnership Programme
(BIPP) is boosting industry participation to invest in
Biotechnology

► In FY15, Department of Biotechnology adopted the open


Policy Support access policy
► The Research Assistance Council has been set up
► Also, in FY16, DBT launched National Biotechnology
Development Strategy

Note: Data up to March 2017, Source CIS India, Ibef report march2017, TechSci Research

Page 4 26 September
2018
*Draft project report only for reference.
Advantage India (3/3)

STRATEGIES ADOPTED

► Launch of Four Major Missions – Healthcare, Food and


Nutrition, Clean Energy and Education
► Creating a Technology Development and Translation network
National across the country with global partnership-5 new clusters, 40
Biotechnology
Development Biotech incubators, 150 TTOs, 20 Bio connect centres
Strategy-2015- ► Strategic and focussed investment in building the Human
2020 Capital by creating a Life Sciences and Biotechnology
Education Council
► In the Union Budget 2018-19, the Department of
Biotechnology (DBT) received Rs 2,411.53 crore

► BIRAC in 2016 collaborated with the Department of


Electronics & Information Technology (DeitY) & announced a
call for proposal under Industry Innovation Programme on
Medical Electronics (IIPME) to promote innovative technologies
Strategic in Medical Electronics sector.
collaborations ► Department of Biotechnology, Ministry of Science &
with niche players
and Technology& Government of India, recently collaborated with
government bodies the Australian government & announced 4 new research
projects in biotechnology under the Indo Australia
Biotechnology Fund.

► Companies are evolving their product mix to reflect growing


repertoire in Biologics, Branded Formulations and Research
Services
► In FY15, Biocon launched Bionesp, antibody for managing
Ramping up service
anemia in its early-stage.
offerings
► The state will accord the units coming under the biotech sector
with the industry status and aims to establish an
internationally competitive business infrastructure and
environment for the biotech industry in the state

Page 5 26 September ► Source: Ibef 2017 report, dbtindia, Ministry of External Affairs
2018
*Draft project report only for reference.
Uttarakhand –
Key Credentials
UTTARAKHAND STATE OVERVIEW
Ø The state of Uttarakhand was formed on 9th November 2000 as the 27th State of India,
when it was carved out of northern Uttar Pradesh.

Ø Uttarakhand hosts diverse flora and fauna culture and contains rare species of both animals
and plants including a large number of rare medicinal and aromatic plants and a plethora of
land races and agriclimatic zones. This gives Uttarakhand a natural advantage in the
biotechnology sector.
Ø More than 75+ research institutions related to biotechnology are running in the state. Few
of these are of international repute; IIT Roorkee, GB Pant University, Defence Institute of
Bioenergy Research, Indian Veterinary Research Institute etc.

Ø The Uttarakhand government is establishing a high-level biotechnology board to pursue


initiatives in the research field. Furthermore, the government has also decided to develop a
biotechnology park, which will integrate all the resources and furnish a focused institutional
setup, thereby accelerating the commercial growth of bioinformatics and biotechnology.
CONDUCTIVE BIOTECHNOLOGY ECOSYSTEM

GSDP Increased at Plan to develop


75+ research
CAGR of 11.17% Uttarakhand as a centre for
facilities in State
(2011-18*) excellence in biotechnology

Page 6 26 September
2018
Uttarakhand –
Competitive Advantage
ADVANTAGE: UTTARAKHAND

Setting up of Close proximity to the


Biotechnology Favorable national capital region
Biotechnology Parks location and
Infrastructure Home to a variety of flora &
Establishment of abundant fauna including large
Environmental resources number of rare medicinal
biotechnology
and aromatic plants and a
laboratory
plethora of land races

The state has a stable Advanced training for


Stable Political Educational
political environment Environment Incentives researchers/faculty
with successive Scholarship scheme for
governments that have M.Sc. & PhD students of
been committed towards biotechnology in
creating a progressive Uttarakhand
business environment.

The state offers a wide Uttarakhand is one of the


Policy and Evolving
range of financial Infrastructure industrialisation fastest growing states in
assistance in terms of facilitating India. The state’s GSDP
interest incentives, growth
increased at a CAGR of
subsidies and 11.17% (2011-18*)
concessions.

KEY PLAYERS

Page 7 26 September *IBEF Report – May 2018


2018
Draft project report only for reference.
Project Concept

►Biofertilizers and biopesticides: overview


Biofertilizers and biopesticides form part of the bioagriculture. Bioagriculture is an emerging
scientific area which is useful for breeding nutritious, high-yielding and less resource input-
demanding crops.

Bioagriculture

Genetically
modified (GM) Biofertilizers Biopesticides Bio-fuels
crops

Biofertilizers are artificially multiplied Biopesticides are derived from natural


cultures of certain soil organisms that materials including animals, plants,
can improve soil fertility and crop bacteria, and certain minerals that can be
productivity. biofertilizers can be used to kill pests and weeds. Bio-
categorized into three major classes: pesticides fall into three major classes:
► Nitrogen-fixation ( ► Biochemical pesticides
► Phosphorus-solubilizing ► Microbial pesticides
► K-Solubiliser ► Plant-Incorporated-Protectants (PIPs)

Biofertilizers and biopesticides have various benefits listed below:

Soil fertility and Healthy food No adverse effects on health of humans

Provide sufficient yields Save water

Help in carbon sequestration Help in reducing pollution

The project involves establishing a biofertilizer and biopesticide manufacturing


unit in Uttarakhand.

Page 8
Market Potential

► Global biofertilizer and biopesticide market is driven by contamination


and other environmental hazards owing to excessive application of
fertilizers and agrochemicals on crops

Global biofertilizer industry - Market size (US$ m)*

1528.3
1176 1340.6
904.9 1031.6
696.3 793.8
535.8 610.8

2014 2015 2016 2017 2018E 2019E 2020E 2021E 2022E

► Nitrogen fixing was the largest product segment, accounting for over 75% of global revenue
share , followed by Phosphate solubilizers with 15% share in global revenue.
► Phosphate solubilizers are also expected to be the fastest growing at a CAGR of 13.9% till
2022.
► Seed treatment was the largest application, accounted for 65% of the end user industry .
► North America was the largest regional industry followed by Europe and together
accounted for over 54% of the global revenue.

Global biopesticide industry - Market size (US$ m)**


3767.9
3097.1 3416.1
2545.7 2807.9
2092.5 2308
1897.1
1720

2014 2015 2016 2017 2018E 2019E 2020E 2021E 2022E

► Microbial pesticides held the largest share accounting for 57.7% market share in 2014 and is
expected to grow at a CAGR of 9.7% from 2015 to 2023.
► North America held the largest market share (41.7%) in the bio-pesticides market in 2014. The
market growth in this region is attributed to growing demand for organic food as the organic
industry is dependent on chemical-free crop protection products to safeguard crops.

*Source: Global Newswire, EY analysis


Page 4
**Source: Morning Star, Grand view research, EY analysis
Growth Drivers

Widening demand – supply gap of food crops, increasing demand of


organic food and the government focus on conserving the
environment is expected to drive the growth of biofertilizers and bio-
pesticides industry in India

Demand-side Supply-side

Growing population Arable land is declining

India’s population is projected to increase by Increasing land for commercial and urban
~17%, from 1.31 billion in 2015 to reach 1.53 usage has led to the decline of arable land
billion by 2030 and surpass China’s population. from 0.34 ha in 1950 to 0.15 ha in 2000. It is
There will be an increase in crop growth further expected to reduce to 0.07 ha by 2030.
and protection nutrients to feed such a large
population.
Population of India (in billion) Per capita arable land in India (ha)
1.53 0.34
1.20
0.15
0.08 0.07

2011 2030E 1951 2001 2025E 2030E

Impetus by GoI to improve Low food grain yield


the soil health and conserve
environment Per hectare yield in India is 3 tons/ha, lower
Under the National Food Security Bill, GoI will than the global average of 4 tons/ha. For
ensure a monthly quota of 7 kg per person for a China and Indonesia, it is 6.5 tons/ha and 5
family below the poverty line. To meet this tons/ha respectively. Major reasons are low
target in a ecologically sustainable way and usage of pesticides (only 35% area is covered,
without degrading the environment, GoI is giving (25%), excessive use of conventional
a strong push to the organic farming by fertilizers (N, P, K) (120 kg/ha in India vs.
providing subsidies for new biofertilizer/ global average of 33 Kg/ha) leading to soil
biopesticide units. degradation.

Increasing affordability
Per capita net national income has increased by
10.1% to INR88,538 per annum in FY15, over
FY14. This has led to a shift in consumption
pattern, which will lead to increase in
sale of high-nutrition and high-priced organic
food products.

Source: FICCI agrochemical report - November 2015; Ministry of Agriculture, GoI

Page 6
Project Information (1/5)

Manufacturing process of biofertilizers/ biopesticides

Broth preparation Fermenter for large scale production

Mother Broth
culture

Broth in
small flask

Broth quality
checking

Broth is blended with


sterilized carrier

Broth in big
flasks or bottles

Peat culture 25 degree celsius Packaging in


quality checking curing in controlled polythene bags
temperature rooms

Dispatch to
4 degree Celsius storage in low
farmers
temperature rooms

Page 12
Project Information (2/5)

Technology - Biopesticides

Model Bio-agent Production Process in brief Remarks


i. Trichogramma spp. (egg Mass multiplied by using stored grain pest as Used for control of
parasite) a host. The production involves the sugarcane early shoot
multiplication of host insect on sorghum borer, bollworms of
grains, allowed to be parasitized by cotton, sorghum stem
trichogramma. Then egg are clued in cards borer.
as "tricho cards"
1
ii. Crysoperla carnea Mass multiplied in laboratory on the eggs of Controls larval pests in
(Chrysopid predetor) stored grain pest. pulses, vegetables /fruits
iii. Cryptolaemus Mass multiplied on already mass multiplied to control mealy bugs
montrouzieri (Ladybird mealy bugs with the help of pumpkin as especially on fruits.
beetle) under laboratory conditions.
i. NPV of Helocoverpa The production starts with raising of pod Used against boll worms
armigera & Spodoptera litura borer and tobacco caterpillar larvae (host in cotton and pod borers.
culture) on semi-synthetic diet. NP Virus is
smeared on cultured larvae. Then the
diseased larvae are collected to obtain virus
suspension after blending, filtration,
centrifugation.
2
ii. Trichoderma Fungal spp Multiplied in laboratory and formulated in To control root rot and
powder form with the help of carrier material wilt diseases especially
(talc powder). on pulses.
iii. Pheromone lures for Sex pheromones are filled into plastic lures To trap reproductive
Helicoverpa armigera & at required concentration with the help of males of gram pod borer
Spodoptera litura micro pippets and placed into rubber septa. and tobacco caterpillar.
The septa is fixed to the trap.

Page 13
Project Information (3/5)

Patents and technologies

SN Name IPC code

1 A process for preparing a novel biofertiliser strains of nitrogen fixer and C12N-15/74
phosphate solubiliser to promote soil health, in particular for growth of tea
plants
2 A process for preparing a novel biofertiliser strains of nitrogen fixer and C12N-15/74
phosphate solubiliser to promote soil health, in particular for growth of tea
plants
3 Mixtures comprising a superabsorbent polymer (sap) and a biopesticide A01N- 25/10,
A01N- 63/00,
A01N-63/02
4 A process for essential oil based biopesticidal compound from artemisia a01n-65/00
nilagirica (clarke) against four stored food product insect pests corcyra
cephalonica, sitiphilus granarius, tribolium confusum and trogoderma
granesia
5 Synergistic compositions comprising a bacillus subtilis strain and a A01N-63/00
biopesticide
6 Biopesticide from watermelon seed extract against stored food grain insects A01P-13/00
7 Lyophilized biopesticide effervescent granule and production method A01N-63/00,
thereof A01N-25/14
8 Consortium of bio-pesticides and bioformulation comprising same A01N-63/00

9 A process for producing a bio-pesticide composition containing trichodermaA01N-65/00


harzianum AND pseudomonas fluorescens
10 Novel biopesticide compositions and method for isolation and A01N-63/00,
characterization of same A01N-63/04
11 C05F 11/08,
Method of production of biofertiliser
C05F 3/00
12 Operation of a cricket mass-rearing farm for the production of meals and a A23K 1/10
biofertiliser for market gardening
13 Use of compounds comprising a polysaccharide structure as biofertiliser A01N 43/02
and phytosanitary products
14 Pesticidal mixture comprising a carboxamide compound and a biopesticide A01N 37/46

15 Compositions and methods for treating pests A01N 25/02


The list is non-exhaustive. For more details please refer to provided source.
Source: www.patentscope.wipo.int/search/en/result.jsf
www.ipindiaservices.gov.in/publicsearch/

Page 14
Project Information (4/5)

Equipment and machinery requirement

Essential equipments, for strain maintenance and quality control


glassware, plastic ware etc.
2 Vertical Autoclave 600x350 mm 1 pH Meter(Micro Processor based)
1 Hot air Oven 24x24x24” 2 Small oil free air compressor
2 Refrigerator 300 lit 4 Airconditioners 1.5 ton split type
1 Binocular research microscope with phase contrast Miscellaneous equipments and
attachment having turret condenser and matching phase tools such as colony counter,
objectives of 10x, 40x and 100x magnification, 10x wide balances, microliter pipettes etc.
field eye pieces and telescopic centring eyepiece.
2 Laminar air flow work station, working table size 3' x 2' Glassware and plastic ware aids
2 Rotary shaker (capable of holding 25no., flasks of 100- 1 Deep Freeze – 300 lit capacity (For
500 ml capacity) culture storage or culture Bank)
2 BOD Incubator 290 lit 1 Centrifuge

Fermentation and biomass up-scaling Product handling, machines,


equipments and machines packaging and storage equipments
30 Mother culture glass vessels/ fermenters 1-2 lit 1 Autoclave Horizontal 2x2x4 ft. chamber
cap. size
4 Stainless steel seed fermenters 50 lit cap., 1 Automatic bottle filling machine with
aerated, stirred type with auto pH, aeration and necessary conveyor system and laminar air-
temperature control flow provision at filling chamber
3 Stainless steel fermenters, aerated, stirred type, 1 Capping and labelling machines and
with auto pH, aeration and temperature control. miscellaneous Items
Total vessel cap 750 lit and working cap. 500 lit.
2 Air compressor oil free type, 2,000 lit air/min cap Miscellaneous fittings, electrical installation,
with moisture cum oil trap and filters other tools and equipments
2 Chiller 1 ton cap 4 Air conditioners for storage
1 Automatic steam generator 100 kg cap. 1 Peddal Mixer or Ribbon Blender
Fittings, pipe lines, filters, miscellaneous items 1 Generator (DG Set of 65 KVA)

Leading suppliers of plant equipment and machinery


Shree Biocare Solution Pvt. Ltd., Ahmedabad NAPRO Scientific, Pune

Murhopye Scientific Company, Mysore Industrial & Commercial Services, Hyderabad

Page 15
Project Information (5/5)

Types of biofertilizers and biopesticides produced in these units

Biofertilizers Biopesticides
► Rhizobium ► Azotospirillum Metarhyzium
► Trichoderma ►
► Azotobacter ► Bacillus megatherium anisopliae
► Pseudomonas
► Mycorrhizae ► Pseudomonas putida ► Bauveria bassiana
► Fluorscens
► Frateuria Aurentia ► AM Fungi ► Verticillium lacini
► Azolla ► Liquid biofertilizers
(Rhizobium/ Azospirlium

Sourcing of raw materials


Major raw materials used:
► Mother cultures
► Ingredients for growth medium for the production of broth include Manital, sucrose and chemical
nutrients
► Carrier material - lignite or bentonite or peat of desired quality in powder form
► Packing materials like polythene packets, HDPE bags, cardboard cartons
► Corrugated boxes

Industry/ Location
Research centre
Agricultural Universities and Regional Biofertiliser Development centres
► GB Pant University, Rudrapur
Mother cultures
► Department of Biotechnology, IIT Roorkee

Plastic and ► Delhi


polymers

Glass ► Delhi

Manpower requirement (approx. 15-20)


Designation Number of employee
Chief Executive Officer 1
Chief Biologist / Micro Biologist 1
Sales Officer 1
Accountant and clerical Assistant 1
Drivers 1-2
Floor Supervisor/ Factory Manager 1
Technical Staff (boiler operation, mechanical maintenance,
packing machine operations, electrical maintenance) 12
Skilled labourers 2-3
Semi- skilled, depending upon the volume of production 3-5
Unskilled 3

Page 16
Project Financials (1/2)
Cost of setting-up a biofertilizer / biopesticide manufacturing plant with capacity of 600
tons per annum (tpa) is likely to be ~INR 2.9 crore*

Project cost
Project components & specifications Cost (INR lakhs)
Land (Area: approximately 2,000 sq. mtr.) Government rates
as applicable
Land Levelling, fencing & compound wall and gates etc. 9.2

Buildings (civil structure, fencing & compound wall and gates etc.) 46.2
Built-up area: 600 sq. mtrs.
Average rate: INR 7,700 per sq. mtr.

Process plant and machinery, Working capital and miscellaneous expenses 194.0*
Total investment in land, machinery and working capital 249.4

Contingency (@2% of machinery, land and building) 5.7


Total investment required: ~INR 2.6 crore* excluding land rates

Page 18
Project Financials (2/2)

Payback period
Capacity (tpa) 600
Average capacity utilization in industry (%) 82%
Production (tpa) 492
Average revenue per ton (AR) (INR / ton) 117,040
Industrial average EBITDA margin 10%

Forecasting revenues at expected industrial growth rate 20%


Time (years) 1 2 3 4

Revenue (INR lakh) 576 691 829 995

EBITDA (@10%** of rev.)* 58 69 83 100

Undiscounted cumulative cash flows 58 127 210 309


Investment (INR lakh) 250
Estimated payback period: 3.4 years
*EBITDA is assumed as proxy for cash flows

Minimum viable size (figures in INR lakhs)


EBIT margin (Industry average) 7%
Total operating costs (as% of revenues) 93%
Total costs (93% @ 576) (INR lakh) 535.7
Depreciation cost (9%** of 116.4 lakhs)*** 10.5
Employee costs (40% of Total manpower cost) 17.1
Finance cost (16%** of INR145 lakh) 23
Total fixed cost (FC) 50.6
Variable cost (VC= TC-FC) 485
Variable cost/ton 0.98
Average revenue/ton 1.17
Minimum viable size (FC/(AR-VC)) 266.3
Estimated minimum viable size: ~53 tpa

**Industrial average

***Asset base is assumed to be 60% of total investment in PPE and working capital (INR 116.4 lakhs)

Page 19
Ease of Doing Business

EASE OF DOING BUSINESS

Under the ‘Ease of Doing Business’ initiative, the State has implemented a web based Single
Window Clearance System - www.investuttarakhand.com, allowing investors to avail the
necessary State Government approvals to establish and start their business operations
through a single platform without any physical touch point with the approving / licensing
authority.

150 100
+ +
50+ 40+

Regulatory Timelines notified New Standard New Online


Reforms under Uttarakhand Operating Systems
Undertaken Enterprises Single Procedures drafted Developed
Window Facilitation for Departmental
& Clearance Act services
2012

HASSLE FREE SETUP AND OPERATIONS IN THE STATE

Online Single Window System for Auto Renewal of Consent to


all required approvals Establish, Consent to Operate

Self / Third party certification in


Single Point Sectoral Clearances
lieu of departmental inspections

Investment facilitation centre to I Single Integrated Return for all


handhold investors labour laws

Objective Criteria for land Use of modern SCADA System to


allotment ensure reliable supply of electricity

Geographic Information System Commercial Court set up in


of all land banks Dehradun with entire state jurisdiction

Page 18 26 September
2018
Investor Facilitation

INVESTOR FACILITATION
► The Government of Uttarakhand has laid huge emphasis on business facilitation by creating
an enabling environment for industries to set up and start their operations in the State
► The State government houses a dedicated ‘Investment Promotion & Facilitation Centre
(IPFC)’ which acts as a centralized one-stop-shop for the investors / businesses and
provides complete handholding support in a structured, focused and comprehensive manner.
IFC will focus on investment promotion, facilitation, direct engagement and consultation
with investors / Stakeholders and ensures investment realization and sustainable
industrialization in the state
► ‘Uttarakhand Right to Service Act, 2011’ & ‘The Uttarakhand Enterprises Single Window
Facilitation and Clearance Act, 2012’ were enacted to provide necessary time bound
licenses, permissions and approvals for the setting up of commercial establishments in the
state. The State has ensured robust legal resolution mechanisms to ensure time bound
delivery of government services with more than 100 investor related services already
notified under both the acts separately and is in the process of adding more such services of
multiple sectors shortly

CREDITED BY INDUSTRY ASSOCIATIONS

NCAER Assessment based on Uttarakhand has emerged as


Story of `Make in
“Perception of good business the top state in the country
Uttarakhand` which
climate” ranks Uttarakhand as in terms of growth in the
started in 2003 is a classic
the Least Corrupt state in India industry and service sectors
example of what
manufacturing can deliver NCAER N-SIPI Index Survey ; in the last ten years.
to a region`s economy in Five states – Uttarakhand, Uttarakhand has also
terms of both economic Gujarat, Assam, Andhra figured as the second best
growth and employment Pradesh and Himachal Pradesh performing state in terms of
generation – had more than 90% project implementation,
respondents say they faced no improving investment
-CII Report `Making problem in getting land scenario in the state
Uttarakhand Competitive,
June 2016’

CII NCAER ASSOCHAM


Page 19 26 September
2018
Policies, Schemes & Incentives (1/5)

Mega Industrial and


Investment Policy 2015 Government of India
Incentives
01
Policies
&
Incentives
Available for
Investors
MSME Policy
2015
Industrial development Scheme 2017

Financial Incentives available

Interest Capital
Subsidy Subsidy

Stamp
Duty
Subsidy

Page 20 26 September
2018
Policies, Schemes & Incentives (2/5)
Incentives from GoI

► In view of the increasing and indiscriminate use of synthetic fertilizers and pesticides,
deteriorating soil health and productivity, the concept of organic farming is gaining importance
globally as well as in India. GoI has introduced a Capital Investment Subsidy Scheme (CISS)
under National Project on Organic Farming for commercial production units for organic/
biological inputs.

► The scheme is being implemented by the Department of Agriculture & Cooperation through
National Centre of Organic Farming (NCOF) in collaboration with NABARD or NCDC.

Capital Investment Subsidy Scheme (CISS) for biofertilizer / biopesticide production units

► 25% of total financial outlay subject to the maximum of INR40 lakh per
Subsidy unit, whichever is less
► Subsidy will be released in two instalments

NABARD releases subsidy to the units financed by:


► Commercial Banks,
► Regional Rural Banks (RRBs)
► State Cooperative Banks (SCBs),
Procedure for
► State Cooperative Agricultural and Rural Development Banks
sanction and
(SCARDBs)
release of Subsidy
► Scheduled Primary Urban Cooperative Banks (PUCBs), and such other
institutions which will be eligible for refinance from NABARD.
► NCDC may release subsidy to projects financed by it in the cooperative
sector

► To promote organic farming in the country by making available


Main the organic inputs such as biofertilizers, biopesticides and fruit
objectives & vegetable market waste compost and thereby better return
of the for the produce.
► To prevent pollution and environment degradation by proper
scheme conversion and utilization of organic waste.

Page 21
Page 21 26 September
2018
Ease of Doing Business

EASE OF DOING BUSINESS

Under the ‘Ease of Doing Business’ initiative, the State has implemented a web based Single
Window Clearance System - www.investuttarakhand.com, allowing investors to avail the
necessary State Government approvals to establish and start their business operations
through a single platform without any physical touch point with the approving / licensing
authority.

150 100
+ +
50+ 40+

Regulatory Timelines notified New Standard New Online


Reforms under Uttarakhand Operating Systems
Undertaken Enterprises Single Procedures drafted Developed
Window Facilitation for Departmental
& Clearance Act services
2012

HASSLE FREE SETUP AND OPERATIONS IN THE STATE

Online Single Window System for Auto Renewal of Consent to


all required approvals Establish, Consent to Operate

Self / Third party certification in


Single Point Sectoral Clearances
lieu of departmental inspections

Investment facilitation centre to I Single Integrated Return for all


handhold investors labour laws

Objective Criteria for land Use of modern SCADA System to


allotment ensure reliable supply of electricity

Geographic Information System Commercial Court set up in


of all land banks Dehradun with entire state jurisdiction

Page 22 26 September
2018
Investor Facilitation

INVESTOR FACILITATION
► The Government of Uttarakhand has laid huge emphasis on business facilitation by creating
an enabling environment for industries to set up and start their operations in the State
► The State government houses a dedicated ‘Investment Promotion & Facilitation Centre
(IPFC)’ which acts as a centralized one-stop-shop for the investors / businesses and
provides complete handholding support in a structured, focused and comprehensive manner.
IFC will focus on investment promotion, facilitation, direct engagement and consultation
with investors / Stakeholders and ensures investment realization and sustainable
industrialization in the state
► ‘Uttarakhand Right to Service Act, 2011’ & ‘The Uttarakhand Enterprises Single Window
Facilitation and Clearance Act, 2012’ were enacted to provide necessary time bound
licenses, permissions and approvals for the setting up of commercial establishments in the
state. The State has ensured robust legal resolution mechanisms to ensure time bound
delivery of government services with more than 100 investor related services already
notified under both the acts separately and is in the process of adding more such services of
multiple sectors shortly

CREDITED BY INDUSTRY ASSOCIATIONS

NCAER Assessment based on Uttarakhand has emerged as


Story of `Make in
“Perception of good business the top state in the country
Uttarakhand` which
climate” ranks Uttarakhand as in terms of growth in the
started in 2003 is a classic
the Least Corrupt state in India industry and service sectors
example of what
manufacturing can deliver NCAER N-SIPI Index Survey ; in the last ten years.
to a region`s economy in Five states – Uttarakhand, Uttarakhand has also
terms of both economic Gujarat, Assam, Andhra figured as the second best
growth and employment Pradesh and Himachal Pradesh performing state in terms of
generation – had more than 90% project implementation,
respondents say they faced no improving investment
-CII Report `Making problem in getting land scenario in the state
Uttarakhand Competitive,
June 2016’

CII NCAER ASSOCHAM


Page 23 26 September
2018
Policies, Schemes & Incentives (1/5)

Mega Industrial and


Investment Policy 2015 Government of India
Incentives
01
Policies
&
Incentives
Available for
Investors
MSME Policy
2015
Industrial development Scheme 2017

Financial Incentives available

Interest Capital
Subsidy Subsidy

Stamp
Duty
Subsidy

Page 24 26 September
2018
Policies, Schemes & Incentives (3/5)

MSME Policy 2015 (Government of Uttarakhand)

► Biotechnology Sector is covered under MSME industrial policy


► Biotechnology Units are eligible for electricity tariff on industrial rate

Categorization of regions for the purpose of quantum of incentives

Category Included Region

Whole Districts of Pithoragrah, Uttarkashi, Chamoli, Champawat,


Category A
Rudraprayag and Bageshwar
► Whole District of Almora
► All hilly development blocks of District Pauri Garhwal, Tehri
Category B Garhwal (Excluding regions under category B+)
► All hilly development blocks of District Nainital and Dehradun
(Excluding regions under category B+)

► Kotdwar, Sigaddi and adjoining plain regions of Dugadda


development block of district Pauri Garhwal
► Dhalwala, Muni Ki Reti, Tapovan and adjoining plain regions of
Category B+
Fakot development block of District Tehri Garhwal
► Kotabagh development block of District Nainital
► Plain regions of Kalsi development block of District Dehradun

► Regions located above 650 mtrs from sea level in Raipur,


Sahaspur, Vikasnagar and Doiwala development blocks of District
Category C
Dehradun
► Ramnagar and Haldwani development blocks of District Nainital
► Whole Districts of Haridwar and UdhamSingh Nagar
Category D ► Remaining area of District Dehradun and Nainital (which are not
included in category ‘B’, ‘B+’ and ‘C’)

Detailed central schemes and policies are available at https://www.doiuk.org/policies.php

Page 25 26 September
2018
Policies, Schemes & Incentives (4/5)

MSME Policy 2015 (Government of Uttarakhand)

Category A: Category A: % of Annual Turnover (Per

Transport Subsidy
Capital Subsidy
Interest Subsidy

10%(Max 8 lacs) 40%(Max 40 lacs) year/ unit) or Inbound/


Category B, B+: Category B, B+: Outbound Logistics Cost
8% (Max 6 lacs) 35% (Max 35 lacs) whichever is less

Category C: Category C: 30% (Max Category A: 7%


6% (Max 4 lacs) 30 lacs) Category B: 5%
Category D: 15% (Max Category B+: 5% (Max 5
Category D:
15 lacs) lacs)
5% (Max 3 lacs) *Per year/ unit

Category A: Category A:
SGST Concession*

Power Bill Rebate


100% for the first 5 Sanctioned Load upto 100
yrs and 90% KVA: 100% for 5 yrs and
Stamp Duty

thereafter 75% thereafter; If


Category A, B, B+, C: 100% Load>100 KVA: 60%
Category B, B+: Category B, B+:
Category D: 50%
100% for the first 5 Sanctioned Load upto 100
KVA: 100% for 5 yrs and
yrs and 75%
60% thereafter; If
thereafter Load>100 KVA: 50%

*The SGST after adjustment of ITC on sale of finished product (B2C) will be reimbursed from the date of commencement of
production of the unit
Internet Charges

Mandi Charges

Category A, B:
Excise Duty

75% reimbursement on
50% Reimbursement Category A, B: State Excise Duty,
on internet usage 100% exemption on Additional Excise Duty,
charges for all Mandi charges Bottling fees and other
categories charges as under State
Excise Policy

Reimbursement of cost incurred for carrying out standardization and quality certification of products by accredited
institutions at national and international level by means of ISI marking, registration of copyright, trade marking etc.
- 75% (maximum Rs. 1 lacs)

Detailed central schemes and policies are available at https://www.doiuk.org/policies.php

Page 26 26 September
2018
Policies, Schemes & Incentives (5/5)

Mega Industrial and Investment Policy 2015


(Government of Uttarakhand)
Biotechnology Industries are included in the policy

SGST after adjustment of ITC on sale of finished product (B2C) will be reimbursed

Categorization of industries for the purpose of quantum of incentives

Category Units Included

Large Projects Investments of INR 50 Cr.to 75 Cr.

Mega Projects Investments of INR 75 Cr.to 200 Cr.

Ultra Mega Projects Investments above INR 200 Cr.

Coverage:
New & Existing Projects undergoing expansion (falling within notified Industrial Estates / declared
non-agriculture land under section 143: Large projects (50 Cr to 75 Cr), Mega Projects (75 Cr to
200 Cr), Ultra Mega Projects (Above 200 Cr)
SGST Concession*

7% for 5 years
Stamp Duty
Interest
Subsidy

Investment – Interest
Large – 25L Max
Large: 30%
50% Exemption
Mega – 35L Max Mega / Ultra Mega: 50%
Ultra Mega – 50L Max

*The SGST after adjustment of ITC on sale of finished product (B2C) will be reimbursed from the date of commencement of
production of the unit

Extra Employment Land Registration Land Rates


ETP Subsidy Power Assistance
Subsidy Fees Rebate
Rebate of 15%,
@ 500 P.M. per 25% and 30% on
Male Land Rebate of 1/-
SIIDCUL
30% (up to 50 lacs) registration fee per unit on the
prevailing land
@700 P.M. per @1/- per 1000/- power bill and
rate for Large,
Female 100% rebate on
Mega and Ultra
electric duty for
Mega Projects
7 years
respectively

Detailed central schemes and policies are available at https://www.doiuk.org/policies.php

Page 27 26 September
2018
Approvals & Clearances (1/2)

INDICATIVE LIST OF CLEARANCES


Authority/ Agency/ Office/ Department
Sr. No. Name of Service
officer granting approval

Land allotment in departmental


1 Directorate of Industries
industrial estates

Application for new connection LT / HT


2 Uttarakhand Power Corporation Limited
line – non domestic / industrial

State Infrastructure and Industrial


3 Development Corporation of Uttarakhand
Application for Water Connection
Limited

4 Uttarakhand Jal Sansthan


Application for Water Connection

5 Application for building plan approval State Industrial Development Authority

Application for Completion cum


6 State Industrial Development Authority
Occupancy Certificate

Consent to Establish under Water


Uttarakhand Environment Protection and
7 (Prevention and Control of Pollution)
Pollution Control Board
Act, 1974
Consent to Establish under Air
Uttarakhand Environment Protection and
8 (Prevention and Control of Pollution)
Pollution Control Board
Act, 1981
Consolidated Consent & Authorization
under Water Act, 1974, Air Act, 1981 &
Uttarakhand Environment Protection and
9 Authorization under The Hazardous and
Pollution Control Board
Other Wastes (Management and
Transboundary Movement) Rules, 2016
Application for Pre-Establishment Fire
10 NOC Uttarakhand Fire and Emergency Services
(National Building Code, 2005)

Application for Pre-Operational Fire NOC


11 Uttarakhand Fire and Emergency Services
(National Building Code, 2005)

Page 28 26 September
2018
Approvals & Clearances (2/2)

INDICATIVE LIST OF CLEARANCES

Authority/ Agency/ Office/


Sr. No. Name of Service
Department officer granting approval

12 Site Plan Approval under Factories Act, 1948 Department of Labour

Registration of Factories under Factories Act,


13 Department of Labour
1948

Registration under Uttarakhand Dookan Aur


14 Department of Labour
Vanijya Adhisthan Adhiniyam, 1962

License under Contract Labour Act,


15 Department of Labour
(Regulation and Abolition),1970

Registration under GST (Uttarakhand Goods


16 Department of Commercial Tax
and Services Tax Rules, 2017)

Page 29 26 September
2018
KEY CONTACTS

Investment Facilitation Centre


Details of Licenses / Approvals / NOCs / Clearances for Automobile Industries
Directorate of Industries
Address
Industrial Area, Patel Nagar, Dehradun, Uttarakhand

Website www.investuttarakhand.com

Email ID ifc.uttarakhand@gmail.com

Toll Free 18002701213

Uttarakhand State Council of Science and Technology


/Uttarakhand Council of Biotechnology
Director General
Uttarakhand State Council for Science and Technology,
Address VIGYAN DHAM, Vigyan Sadan Block
Dehradun - 248007
Uttarakhand INDIA
https://www.ucost.in
Website

dg@ucost.in
Email ID

+91-9412051556 /57/58
Phone

Disclaimer: Uttarakhand State Council for Science and Technology/Uttarakhand Council of


Biotechnology, Government of Uttarakhand has made every attempt to ensure the accuracy and
reliability of the information provided in this document. However, the information is provided "as
is" without warranty of any kind. The department periodically adds, changes, improves or
updates the information in this document without any notice. For further clarification kindly get in
touch with Uttarakhand State Council for Science and Technology/Uttarakhand Council of
Biotechnology, Government of Uttarakhand.

Page 30 26 September
2018

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