Incentives to support your investment in Arunachal Pradesh
Explore incentives that can help reduce your investment costs, support business operations and finance cleaner technology. Find the support relevant to your project, then work with APIIP to confirm eligibility and next steps.
Explore 15 incentives across investment, operations, cleaner technology and business growth. Compare the available support and project-specific checks to build your shortlist.
01–03
Invest and finance
Reduce investment and financing costs
Explore capital subsidies, working-capital interest support and tax benefits for your enterprise.
01
Incentive 01
Capital investment subsidy
Reduce eligible setup costs for your manufacturing or service enterprise.
Available support
50% of the cost of plant and machinery (manufacturing) or building, shed and other durable assets (services).
Investment of ₹5 lakh to ₹25 lakh: capped at ₹15 lakh.
Investment above ₹25 lakh and up to ₹50 lakh: capped at ₹30 lakh.
An extra 10% on the incentive for priority-sector units, and another 10% for units whose skilled workforce is at least 50% APST or permanent residents, both within the same cap.
Confirm for your project
Confirm the eligible investment-cost definition, timing and claim route.
02
Incentive 02
Interest subsidy of working-capital loan
Lower the interest cost of financing your working-capital needs.
Available support
5% interest subvention on a working-capital loan from a scheduled bank or RBI-registered institution, for up to five consecutive years.
Maximum benefit ₹50 lakh over five years, and not more than 100% of the investment in plant and machinery (or building, shed and durable assets for services).
The unit bears at least 1% interest itself.
Confirm for your project
Reimbursed annually against the bank interest certificate.
03
Incentive 03
SGST reimbursement and VAT exemption
Explore tax relief based on your enterprise category and eligible investment.
Available support
SGST reimbursement for up to 7 years: micro enterprises up to 250%, small enterprises up to 200%, and medium and large enterprises up to 180% of the eligible amount of investment.
VAT (sales tax) exemption: 99% for 7 years.
Confirm for your project
Confirm the eligible investment base, qualifying tax paid, category classification, cumulative ceiling and current tax treatment.
04–08
Operate and reach markets
Support your day-to-day operations
Find support for export transport, electricity, industrial-land registration, shared facilities and capital finance.
04
Incentive 04
Incentive for exports
Offset the cost of moving your exports to an international port within India.
Available support
60% reimbursement of transportation cost to an international port within India, by air or sea, up to ₹5 lakh per year for 5 years.
Confirm for your project
Confirm eligible goods, origin, port, transport-cost components and when the five-year period begins.
05
Incentive 05
Power subsidy
Reduce your electricity costs, with support based on your enterprise or consumer category.
Available support
Micro, small and medium enterprises: ₹2 per unit consumed, up to ₹75 lakh per annum, for 5 years.
Large-scale factories and bulk electricity consumers: ₹1 per unit consumed, up to 100% of total investment in plant and machinery, for 5 years.
Confirm for your project
Confirm the qualifying connection and consumer category, eligible billing units, ceiling calculation and benefit start date.
06
Incentive 06
Stamp duty and registration fees
Recover eligible stamp duty and registration charges for your unit in industrial land.
Available support
100% reimbursement of the amount paid toward stamp duty and registration fees for units in industrial land.
Confirm for your project
Confirm what qualifies as industrial land, the eligible transaction and fees, and the reimbursement process.
07
Incentive 07
Common Facilitation Centres
Lower the cost of using recognised shared facilities, such as research centres and testing labs.
Available support
Reimbursement at 50%, up to ₹1 lakh per year for 3 years, for using a recognised common facility centre.
Confirm for your project
Confirm the eligible cost, recognised-facility criteria and claim basis before budgeting for this support; the cost basis requires clarification.
08
Incentive 08
Capital interest subvention
Reduce interest costs on loans for eligible assets in your manufacturing or service enterprise.
Available support
Investment of ₹5 lakh to ₹25 lakh: 6% a year, up to ₹10 lakh over five years. Priority sector: 8% a year, up to ₹15 lakh.
Investment above ₹25 lakh: 5% a year, up to ₹20 lakh over five years. Priority sector: 6% a year, up to ₹25 lakh.
Applies to loans on plant and machinery (manufacturing) or building, shed and durable assets (services). The unit bears at least 2% interest itself.
Confirm for your project
Disbursement starts after commercial production begins.
09–12
Invest in cleaner operations
Finance cleaner technology
Explore assistance to adopt green technology, recycle wastewater, control pollution and purchase electric load carriers.
09
Incentive 09
Green energy generation
Offset the cost of purchasing and installing green or environmentally friendly technology for your business.
Available support
50% reimbursement of purchase and installation cost, up to ₹25 lakh.
Confirm for your project
Confirm qualifying technologies and expenditure, the reimbursement base and whether the ceiling applies per unit or project.
10
Incentive 10
Wastewater recycling facility
Reduce your investment in wastewater-recycling technology, machinery and equipment.
Available support
50% reimbursement of expenditure on technology, machinery and equipment, up to ₹2 lakh.
Confirm for your project
Confirm the qualifying facility and equipment, eligible expenditure, approvals and ceiling basis.
11
Incentive 11
Pollution-control devices
Offset your expenditure on eligible pollution-control devices.
Available support
50% reimbursement of expenditure on pollution-control devices, up to ₹10 lakh.
Confirm for your project
Confirm eligible devices and costs, required environmental approvals and the reimbursement process.
12
Incentive 12
Electric e-load carriers
Get purchase-cost support for eligible electric vehicles that carry your goods.
Available support
Financial assistance of 10% of the ex-showroom price, up to ₹50,000 (Industrial Policy Section 7.5.4).
For new units: one carrier of at least 785 kg capacity per unit; e-rickshaws excluded. First-come, first-served, up to 100 units during the policy period.
Confirm for your project
Confirm current allocation availability, applicant eligibility and supporting purchase documents with the department.
13–15
Build and grow your business
Strengthen quality and market access
Find support for testing, quality certification and domestic air freight, alongside project-planning and land access for eligible underprivileged sections.
13
Incentive 13
Competitive, innovation and quality-control assistance
Invest in in-house testing and quality certification with support toward eligible costs.
Available support
35% reimbursement, up to ₹5 lakh, for installing in-house testing facilities and equipment and obtaining quality certifications.
Confirm for your project
Confirm eligible testing facilities, equipment and certifications, the reimbursement base and claim requirements.
14
Incentive 14
Support for underprivileged sections
Explore support to prepare your project report and access Industrial Estate plots if you qualify under the beneficiary criteria.
Available support
95% reimbursement of consultant fees for preparation of a Detailed Project Report (DPR), up to ₹1 lakh.
10% allotment of plots in Industrial Estates for underprivileged sections.
Confirm for your project
Confirm the applicable beneficiary definition, consultant and DPR requirements, and plot-allotment conditions.
15
Incentive 15
Transport subsidy for air freight
Lower the cost of transporting your goods by air to destinations within India.
Available support
50% reimbursement of the air-freight amount for transportation to any destination within India, up to ₹5 lakh per year, for 5 years.
Confirm for your project
Confirm eligible goods, origin and destination, freight-cost components and when the five-year period begins.
Next
Before you apply
Turn your shortlist into next steps
Before you apply, check which incentives are currently available and how the terms apply to your project. Eligibility and sanction depend on the applicable conditions and your project particulars.
01
Shortlist relevant incentives
Match the eligible costs and activities to your proposed project and enterprise category.
02
Confirm the applicable terms
Check current availability, eligible expenditure, rates, ceilings, exclusions, duration and whether benefits may be combined.
03
Discuss your application route
Share your sector, location, enterprise category, investment estimate and project stage so APIIP can identify the next authority or application step.
Project-specific guidance
Find the right support for your investment
Share your sector, proposed location, enterprise category, investment estimate and project stage. APIIP can help you shortlist relevant incentives and clarify the next authority or application step.
These 15 incentives draw on the Investment Brochure, pages 60–63. Capital investment, working-capital interest and capital-interest terms reflect the Industrial Development and Investment Policy 2025, Chapters 7.2, 7.4 and 7.3 respectively. Read the applicable notifications alongside project-specific guidance.
Incentive reference
Venture Arunachal Investment Brochure
See pages 60–63 for incentive references. Figures are shown in INR; undated approximate USD conversions are omitted. For Common Facilitation Centres, the phrase “on last incurred” requires clarification of the eligible cost basis.
