Puducherry unveiled a startup policy of the Industries Department

15 December 2019 Current Affairs:The Union Territory Puducherry unveiled a startup policy of the Industries Department. It was announced by Puducherry Industries Minister Shajahan. The policy lays emphasis to provide financial grants, monthly stipend, fiscal incentives to interested entrepreneurs and bring new business ventures to the Union Territory.

New policy for startup:
♦ The policy creates a corpus fund of Rs.10 crore to support the setting up of startup incubators and to develop co-working spaces. 
♦ It will provide a grant of Rs.3 lakh to the projects recommended by incubators that are established by the government or private sector as a startup grant. 
♦ A committee of experts will be constituted under the Innovation and Entrepreneurship Development Committee. It will approve the projects and monitor the progress.
♦ A monthly allowance of Rs.10,000 will be given to individuals up to a maximum of 5 years with an aim to reduce their financial burden. If the co-founder of the venture is a woman, from the Scheduled Caste community, differently-abled or third gender, the department will give a monthly allowance of Rs.15,000. 
♦ The corpus fund will be utilized to provide infrastructure support such as workstation, cloud services, laboratory, and marketing facility. 
♦ All the incentives announced in the 2016 industrial policy will be applicable to start-ups. 
♦ The new industrial policy had envisaged 40 pc capital investment subsidy to micro and small enterprises subject to a maximum of Rs.40 lakh.
♦ The medium and large enterprises will be eligible for a 35% subsidy for the investment made on land, plant, building, and machinery subject to a maximum of Rs.35 lakh, women and SC/ST entrepreneurs will be given capital investment subsidy of 45 pc subject to a maximum of Rs.5 lakh.