The Government of Bihar has approved the Bihar Industrial Investment Promotion Package (BIIPP), 2025, a landmark initiative under the Bihar Industrial Investment Promotion Policy (2016). Building on the success of earlier investor-friendly and progressive policies, this package aims to accelerate industrial growth, generate large-scale employment, strengthen MSMEs, and ensure balanced, sustainable, and inclusive economic development across the state.
The package will remain valid for cases approved by the SIPB up to 31st March 2025.
Key Features of BIIPP, 2025
1. Enhanced Financial Incentives Interest Subsidy:
For high-priority sectors, it has been increased from ₹20 crore to ₹40 crore, and for priority and non-priority sectors, it has been raised from ₹10 crore to ₹20 crore. Additional support through CGTSME fee reimbursement has been implemented for micro and small enterprises.
SGST Reimbursement, which previously capped at 100% for 5 years, has now been extended up to 300% as an independent option. The reimbursement period has also been expanded to 14 years.
Capital Subsidy is a newly introduced benefit according to which industries will get 20-30% subsidy on project costs.
2. Land Allocation Benefits
To promote large-scale investments and job creation, some land allocation benefits have also been implemented.
Free land is provided to eligible large-scale industrial units that invest over ₹100 crore and create more than 1,000 jobs.
Anchor industries (Fortune 500 – Global/Indian companies) investing ₹200 crore+ → Up to 10 acres land.
Industries investing ₹1,000 crore+ → Up to 25 acres land.
Other companies → Land at 50% of BIADA’s notified rate.
3. Development of Special Parks
To create world-class industrial hubs, specialized parks will be developed:
Textile & Toy Parks
Pharma & Medical Device Parks
EduCity & MediCity
FinTech City
Automobile/EV/OEM Parks
4. New Investor Incentives
Export Promotion: Benefits doubled.
Environmental Protection: Incentive up to ₹1 crore for setting up Effluent Treatment Plants (ETPs).
Renewable Energy Promotion.
Common Facility Centers (CFCs).
Patent Registration Support.
Quality Certification Incentives.
5. Continuation of Existing Benefits
In addition to the new provisions, all earlier benefits under BIIPP 2016 remain:
Employment incentives
Skill development support
100% reimbursement on stamp duty and land conversion fees
Dovetailing with central & state government schemes
Why BIIPP 2025 is a Milestone for Bihar
With enhanced subsidies, land support, specialized industrial parks, and long-term tax reimbursements, BIIPP 2025 will act as a game-changer for Bihar’s industrial growth. It promises to attract large investors, empower MSMEs, create employment, and transform Bihar into an attractive investment destination.
👉 For detailed information, visit the official Department of Industries, Bihar website.
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