AP Cabinet approves enhanced subsidies for SC, ST, BC, minority, women entrepreneurs

VIJAYAWADA: The State Cabinet meeting held under the chairmanship of Chief Minister N Chandrababu Naidu on Thursday, approved amendments to the Andhra Pradesh MSME and Entrepreneurship Development Policy (MEDP), AP Food Processing, AP Sustainable Electric Mobility Policy, and AP Textiles, Apparel and Garments Policy to extend more benefits to entrepreneurs hailing from SC, ST, BC, Minority, women and differently abled categories.

Disclosing the decisions taken at the Cabinet meeting to mediapersons, Minister for Housing and Information and Public Relations Kolusu Parthasarathy said the government enhanced the investment subsidy to 45% from the existing 35% to the above said categories by making amendments to the said policies.

Investment subsidy facility which was limited to manufacturing activities so far, was extended to transport and logistics also. It was decided to provide 45% investment subsidy up to Rs 75 lakh. The enhanced subsidy will be applied only to new investors. The subsidy will be 40% for those already invested. Earlier, 50% subsidy was given on land value to SC and ST entrepreneurs up to a maximum of Rs 2 lakh, but the subsidy was extended to 75% up to a maximum of Rs 25 lakh now.

As per the MSMEDP 4.0 policy, women, BC and differently abled entrepreneurs used to get Rs 1 subsidy per unit of electricity for six years, but it was now increased to Rs 1.50 for five years to SC, ST, BC, Minority and women and differently abled categories.

Similarly, State GST reimbursement incentive will also be given for five years. The Cabinet approved the recent recommendations of the State Investment Promotion Board (SIPB).

He said incentives will be provided to Coromandel International Limited as requested by the company.

The Cabinet approved the proposal for amendments to the AP Land Rights and Pattadar Passbooks Act, 1971. Also, the move to withdraw disciplinary action against 386 engineers, who implemented the Neeru-Chettu programme from 2014 to 2019. Bills worth Rs 50.56 crore pending payment will be cleared, he said.

Fresh tenders will be invited for the remaining works in the R&R housing colonies for the Polavaram project oustees. Besides building fresh houses, all the basic amenities will be created in these colonies. To reduce rush at land registration offices, the Cabinet decided to introduce the dynamic queue management system.

The Cabinet approved the draft of Andhra Pradesh Knowledge Capacity Building Policy, 2025. The proposals made by the Energy Department on green energy were also approved.