Union Cabinet approves Rs.10,037 crore scheme for Northeast

Staff Reporter

GUWAHATI: The Union Cabinet chaired by Prime Minister Narendra Modi today, approved the proposal for Uttar Poorva Transformative Industrialization Scheme, 2024 (UNNATI - 2024)  by the Ministry of Commerce and Industry for a period of 10 years from the date of notification, along with 8 years for committed liabilities, at a total cost of Rs.10,037 crore. This is the last sitting of the Union Cabinet in the second term of the Modi government.

Government of India formulated New Industrial Development Scheme, UNNATI (Uttar Poorva Transformative Industrialization Scheme), 2024 as a Central Sector Scheme for the development of Industries and generation of employment in the states of North East region. The scheme's main objective is to generate gainful employment, which will lead to the area's overall socio-economic development.  It will create productive economic activity in the manufacturing and service sectors.

Industrial development in the NER needs to be given a fresh thrust with emphasis on job creation, skill development, and sustainable development by attracting new investments and nurturing existing ones. However, to maintain a proper balance between the industrial growth and pristine environment of the NE region, certain industries are kept in positive list such as Renewable energy, EV charging stations etc and there is a Negative list for certain sectors which may hamper the environment such as cement, plastic etc.

The proposed scheme envisages approximately 2180 applications, and it is anticipated that direct employment opportunities of about 83,000 will be generated during the scheme period. A significant number of indirect employment is also expected to be generated.

The scheme is proposed to be divided into two parts. Part A caters to the incentives to the eligible units (Rs. 9737 crores), and Part B is for implementation and institutional arrangements for the scheme (Rs. 300 Crore). 60% of the outlay of Part A has been earmarked to 8 NE states and 40% on First-In-First-Out (FIFO) basis.

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