SRINAGAR: The government has disbursed Rs 657.83 crore in industrial subsidies over the last four financial years, from 2022–23 to 2025–26 (up to 15 January), while incentives worth Rs 1,003.55 crore have been approved for 3,187 industrial units under various support schemes in Jammu and Kashmir, the Assembly was informed.
Data tabled in the House show that out of 4,007 claims received under different components of the Union Territory’s industrial incentive framework, 3,187 claims — nearly 80 per cent — have been processed and approved. However, actual financial release so far stands at about two-thirds of the sanctioned amount.
The disbursement has risen steadily year on year. Payments stood at Rs 44.08 crore in 2022–23, increased to Rs 165.01 crore in 2023–24, further rose to Rs 227.48 crore in 2024–25, and sharply climbed to Rs 566.98 crore during the current financial year so far, accounting for the bulk of the total payout.
The incentives are being extended under the JK Industrial Policy 2021–30 and the Government of India’s New Central Sector Scheme (NCSS), which together aim to attract investment and reduce operating costs for industry through capital subsidies, tax reimbursements and interest support.
Component-wise, 268 of 289 claims have been approved under the Capital Investment Incentive, 597 of 676 under Capital Interest Subsidy, 1,412 of 1,524 under Working Capital Interest Subsidy, and 910 of 1,518 under GST-linked incentives.
The policy provides a range of benefits including 100 per cent subsidy on installation of DG sets up to prescribed limits, exemptions on stamp duty, subsidies on automation and quality certification, support for pollution control equipment, environment-friendly technology assistance and reimbursement of net SGST for eligible existing units.
Officials also informed the House that the Centre’s NCSS, launched with a total outlay of Rs 28,400 crore for industrial development in the Union Territory, has exhausted its allocation, and a request has been made to the Department for Promotion of Industry and Internal Trade for enhancement of funds.
On the infrastructure side, 64 industrial estates spread over 35,575 kanals are operational with 5,671 units, while new estates are being developed on additional land parcels to expand industrial capacity across both Jammu and Kashmir divisions.
The government said the twin approach of financial incentives and land availability is intended to promote balanced industrial growth and generate employment across the region.
