INDIAN STATE : MEGHALAYA
General Information
Meghalaya "the abode of clouds" became a full-fledged State on January 21, 1972. The State of Meghalaya is situated on the north east of India; it extends for about 300 kilometers in length and about 100 kilometers in breadth. It is bounded on the north by Goal Para, Kamrup, Nagoan and Karbi Anglong districts of Assam State and on the east by the Districts of Cachar and North Cachar Hills, also of the State of Assam. On the south and west is Bangladesh. Meghalaya lies between 20º1 'N and 26º5 latitude and 85º49 'E and 92.52 "E longitude. The state of Meghalaya has 7-districts:(i) East Khasi Hills District (ii) West Khasi Hills District (iii) Jaintia Hills District (iv) Ri-Bhoi District (v) West Garo Hills District (vi) East Garo Hills District and (vii) South Garo Hills.Shillong is the capital city of Meghalaya, which derived its name from the manifestation of the creator called Shyllong.
Fact file
| Geographical Area |
0.22 (lakh sq. km) |
| Capital |
Shillong |
| Population (2001 Census) In lakhs |
23.19 |
| Gross state Domestic product (GSDP) at current prices in 2004-2005 (as of Feb 2006) |
US$ 1.14070 bn |
| Gross state Domestic product (GSDP) at constant price (1993-94) in 2004-2005 (as of Feb 2006) |
US$ 0.661538 bn |
| Net State Domestic Product at Current Prices (2004-05) |
US$ 1.03046 bn |
| Net State Domestic Product at Constant Prices (1993-1994) for (2004-05) |
US$ 0.593858 bn |
| Per Capita Income at current prices (2004-2005) |
US$ 422.222 |
| Percentage of State Population to All India Population |
0.23 |
| Literacy Rate (2001 Census) |
62.56% |
|
65.43%
59.61% |
| Principal languages |
Khasi, Garo, and English |
Source: CSO Estimates
Advantage Meghalaya
- A peaceful and progressive state economy in north- east region of India
- A congenial invstment climate.
- A storehouse of vast natural resources, such as minerals, agricultural products, forest products, hydel power, etc.
- A liberalized state industrial policy providing attractive incentives and subsidies with single window clearance facility.
- Availability of skilled but cheap manpower.
- An automatic choice for tourists with its pleasant climate, scenic landscape, and other facilities.
- Special central government incentives for investment in Meghalaya.
- Favorable regulatory environment.
- Industrial estates/areas, Export Promotion Industrial Parks (EPIP) and growth centres set up at strategic locations within the State.
- Adequate infrastructure particularly in terms of power, transportation, communication, banking, medical facilities, education etc; surplus power being exported to neighboring states and countries.
- A ready market in the Northeast and the neighboring countries viz. Bangladesh.
- The state capital Shillong is an important centre for education in the Northeast.
- Communication is easy - English being the widely spoken language.
Economic infrastructure
Power
The development of the Power Sector in the state of Meghalaya is presently moving in the right direction so that the availability of affordable, reliable and quality power is ensured to the people of the state in the near future. The state's energy requirement in the year 2005-06 was 1228.43 MW and the peak load was 190.90 MW during the same year.
During the year 2005-06 the per capita consumption in Meghalaya was 313.442 units. Power generation in the state in the same year was 516.72 MU and the revenue generated was 23643.21 lakh.
Existing Power Stations
Meghalaya has following Power generating stations:
Source: Meghalaya State Electricity Board
Rural Electrification
Places like Sumer, Byrnihat and other villages numbering only 261 enjoyed electricity. Today the number of villages electrified has gone up to 4217 while the number of consumer up to about 2,08,871.
The current status of villages that are electrified in meghalaya during the year 2005-06 are
Status of villages electrified in meghalaya as on 31.03.2006
| District |
No. of Villages as per Census 2001 |
No. of Villages Electrified as on 31.03.06 |
| East Khasi Hills |
920 |
887 |
| West Khasi Hills |
924 |
583 |
| Jaintia Hills |
467 |
422 |
| Ri Bhoi |
543 |
495 |
| East Garo Hills |
864 |
556 |
| West Garo Hills |
1469 |
943 |
| South Garo Hills |
595 |
291 |
| Total |
5782 |
4177 |
Source: Meghalaya State Electricity Board
Transmission & Transformation scheme
Considering the rapid growth of load demand in the State, Meghalaya State Electricity Board (MeSEB) formulated a scheme for taking up the augmentation and construction work of 132KV/220KV Grid sub-stations and transmission lines.
The schemes being implemented are as follows:
| A. |
Construction of the 132 KV transmission line from Sarusajai in Assam to Byrnihat in Meghalaya |
| |
The project cost of the line is Rs. 1045.00 lakhs and is funded under Non-lapsable Central Pool of Resources for North Eastern Region (NLCPR). Dept. for development of NorthEastern Region (DONER) at the cost of Rs. 9.78 crores approved the project. The Meghalaya portion of the line has been completed and commissioned on 20-05-05. The Assam portion of the line is being taken up by Assam State Electricity Board (ASEB) and the work is in progress. This line on completion will enable the state to draw an additional 80 MW of power. |
| B. |
Construction of the 132 KV transmission line from the Me.S.E.B. Sub-Station at Khliehriat to PGCIL Sub-Station at Khliehriat |
| |
The project is funded under Non-lapsable Central Pool of Resources for North Eastern Region (NLCPR) at the estimated cost of Rs. 286.00 lakhs. The work is in progress. |
| C. |
Construction of the 132 KV double circuit transmission line from Agia in Assam to Nangalbibra in Meghalaya |
| |
The revised project cost of the line is Rs. 4693.65 lakhs. The NEC funds the project. The forest clearance for both the Meghalaya and Assam portion of the line had been obtained and forwarded to the North Eastern Council (NEC). The Eleventh Finance Commission (EFC) memorandum for the construction of line had been submitted to the North Eastern Council (NEC) in January 2006. |
| D. |
Construction of 220 KV transmission line from Misa in Assam to Byrnihat in Meghalaya along with the construction of the 220 KV/132 KV, 1 x 100 MVA at Byrnihat |
| |
The Detailed Project Report was cleared by Central Electricity Authority (CEA) and the work is to be executed by a Joint Venture between Me.S.E.B. and Power Grid Corporation of India Limited (PGCIL). MOU for this project was signed on the 08-09-05-. The project is scheduled to be completed by March 2009 and the project cost of the scheme is Rs. 243 Crores. |
| E. |
The 132/33 KV Sub-Station at NEIGHRIMS was commissioned on 6th May 2005 |
| F. |
Construction of the 132 KV/33 KV Sub-Station at Norbong, Byrnihat |
| |
The project cost of the work is Rs. 465.00 lakhs. The work is in progress. |
| G. |
Construction of the 132 KV/33 KV Sub-Station at Khliehriat |
| |
The project cost of the work is Rs. 84.00 lakhs. The work has been completed in all respect. |
| H. |
Augmentation of the 132 KV/33 KV Sub-Station at Nangalbibra |
| |
The project cost of the work is Rs. 85.00 lakhs. The work involves the augmentation of the Sub-Station from 17.5 MVA to 25 MVA and the work is in progress. |
| Other transmission line works being taken up are |
| A. |
LILO of 132 KV Stage IV - Sarusajai at Umtru Power Station
NEC under NEC 10th Plan at the project cost of Rs. 3.87 crores funds this project and the work is in progress. This line will improve the grid network and derive optimum benefit from the 100 MVA transformation capacity installed at Sarusajai to cater to the demand at Byrnihat. |
| B. |
132 KV Leshka Khliehriat line |
| |
The project was approved for funding under ACA. The NIT for the work is being issued and the material procurement work is in progress. |
| C. |
2nd circuit of the 132 KV single circuit line from Stage III Power Station to Stage IV Power Station |
| |
The project will be funded by NEC under the NEC 10th Plan. The revised project cost is Rs. 458.00 lakhs and the detailed project report had been submitted to NEC in January 2006.The project is scheduled to be completed by March 2007. |
| D. |
Construction of the 132 KV/33 KV Sub-Station at Lumshnong with LILO of the 132 KV Khliehriat - Panchgram line |
| |
The DONER at the cost of Rs. 4.63 crores approved the project. The work has been completed as per scheduled.This project will cater to the growing industrial load demand around Lumshnong and will improve the quality of domestic power supply. |
| Sub-Transmission and distribution schemes |
| A. |
Distribution master plan |
| |
This project is taken up in order to improve the existing transmission system and to provide quality and reliable power to the people of the state. The project will also enable additional sale of energy and reduce the energy losses that in turn would generate additional revenue income to the Board. The project is funded under Non-lapsable Central Pool of Resources for North Eastern Region (NLCPR) at an approved cost of Rs. 24.00 crores. The target date of completion of the project is June 2006. |
| B. |
Improvement of power supply in Tura |
| |
The project is funded under Non-lapsable Central Pool of Resources for North Eastern Region (NLCPR) at an approved cost of Rs.12.03 crores and the work was completed in the month of October 2005. |
Rail
Guwahati (103 km from Shillong) is the nearest railway station connecting the Northeast region with the rest of the country through a broad gauge track network. There is a plan for extending the rail link from Guwahati to Byrnihat (20 km From Guwahati) within Meghalaya.
Road
The road length at the time of creation of Meghalaya in 1970 was only 2786.68 km which has gone up to 7633.00 Km by 31st March 2003, out of which 3691 km is black topped and remaining 3942 km is graveled. The road density has increased from 12.35 km per 100 square kilometer to 34.03 km per 100 square.
Aviation
Umroi (35 km from Shillong) is the only airport in Meghalaya having landing facility for smaller aircrafts and is having flight connected with Kolkata, Aizawl and Silchar. Another small airport is planned near Tura. Borjhar, the most important airport in the North-Eastern Sector have facility for bigger jet aircrafts (like Boeing and Airbus) is 124 km from Shillong. There is also a helicopter service connecting Shillong to Guwahati and Tura
Telecommunications
Bharat Sanchar Nigam Limited offers the latest services in the state that telecommunication technology can offer. Following services are being offered by BSNL viz. Telephone, Integrated Services Digital Network (ISDN), Intelligent Network (IN), High Speed VSAT Network (HVNET), Remote Area Business Message Network (RABMN), Internet, Inet, Wireless in Local Loop (WLL), Leased Circuits, Telegraph, Centrex services at Shillong.
State of the art computer and communication network was also established in all the District Headquarters, linking through VSAT the District Headquarters with the State Capital and also with various states in the country and Central Ministries at Delhi through NIC.A Single. Channel Per Carrier-Demand Assignment Multiple. Access Very Small Aperture Terminal (SCPC DAMA VSAT) was installed in the National Informatics Centre (NIC) State Centre for accessing INTERNET services and Video Conferencing. Another SCPC VSAT was setup in North Eastern Council (NEC), Shillong for Video Conferencing facilities. This enable Shillong to be connected with the rest of the country through Video Conferencing.
Social infrastructure
Health
Medical facilities
List of hospitals in Meghalaya
Government Hospitals:
- Civil Hospital, Shillong
- Civil Hospital, Tura
- Civil Hospital, Nongstoin
- Civil Hospital, Williamnagar
- Civil Hospital, Jowai
- Ganesh Das Hospital, Shillong
- R P Chest Hospital, Shillong
Private Hospitals:
- K J P Synod Hospital, Shillong
- K J P Synod Hospital, Jowai
- Nazareth Hospital, Shillong
- Christian Hospital, Tura
- Bethany Hospital, Shillong
- Wood Land Hospital, Shillong
- Bethesda Hospital, Shillong
By 31-12-2003, 13 State Government Dispensaries, 22 Community Health Centres, 93 Primary Health Centres, 408 Sub-Centres and have been made functional in the State.
Major industries
Agriculture
Meghalaya is basically an agricultural state with about 80% of its total population depending entirely on agriculture for their livelihood. The total cropped area in the State has increased by about 42 per cent during the last twenty-five years. Food grain production sector covers an area of over 60 per cent of the total crop area.
Besides the major food crops of rice and maize, the state is also renowned for its horticultural crops like orange, lemon, pineapple, guava, litchi, banana, jack fruits and temperate fruits such as plum, pear, peach etc. potato, ginger, turmeric, black pepper, arecanut, tezpatta, betel vine, short-staple cotton, jute, mesta, mustard and rapseed etc. are some of the important cash crops in the State.
Apart from the above the state has achieved signal success in the cultivation of non-traditional crops like tea, cashew nut, oilseeds, tomato, mushroom, wheat, etc.
Today the state can claim that about 42 percent area under paddy has been covered with HYV with the average productivity of 2300 kgs/ha. So also is the case with Maize and Wheat where the productivity have increased tremendously with the introduction of HYV from 534 kgs/ha during 1971-72 to 1218 kgs/ha of Maize and from 611 kgs/ha to 1508 kgs/ha of Wheat.
New emphasis is laid on pulses, oilseeds and cash crops. An autonomous board is set up to promote plantation crops, pioneering work done in tea cultivation, with the State having 253 small tea growers at present.
Agro-based Industries
The potential for Agro-based industries in the state of Meghalaya is very high. The state produces substantial quantities of oranges, peaches, pineapples, pears, guavas, plums and bananas of superb variety. It also grows plenty of potatoes, tapioca, bay leaves, ginger, maize and jackfruit.
Meghalaya's turmeric, particularly the variety that is grown in Shangpung in the Jaintia Hills, is considered the best in the world and its curcumine content is as high as 7.5%. There is enough potential for setting up a starch based processing unit in the State. Plantation crops like coffee, rubber, black pepper and arecanut are also becoming important products. A major breakthrough has been made in tea cultivation and tea gardens have come up in various parts of the State.
Mineral Based Industry
Meghalaya with its wealth of mineral deposits has tremendous industrial potential. There are extensive deposits of coal, limestone, granite, clay and other minerals.
Coal deposits are available in all districts and particularly in the southern slopes of the state. The coal bears a low ash content and its calorific value ranges between 6500 to 7500 K.Cal/Kg. The total estimated reserve of coal is in the region of 640 million tonnes. The coal is mainly of sub-bituminous type and can be utilised in varied industries ranging from power, fertilizer, cement and textile to paper, rubber, brick burning and also pottery based industries. The coal that is found in the State can also be converted into coke to recover value added chemicals like light, medium and heavy oil, phenol and producer gas.
Limestone is another mineral that occurs in an extensive belt (approx. 200 Km. Long) along the Southern boarder of Meghalaya. The quality of limestone found here varies from cement grade to chemical grade having three brands as well. Total inferred reserve limestone within the State is about 5,000 million tonnes. The quality of limestone in the state has CaO content of 53% and can be of use in steel, fertilizer and chemical industries.
Granite of excellent quality is at present being mined in the East and West districts of Khasi hills. Sizeable deposits are estimated and can be found in various shades and colours.
Clay of various types such as Kaolin (China clay), white clay, and fire clay are found in various parts of the states. These clay are suitable for the ceramic, paper, rubber and refractory industries. It has been estimated that there are a few hundred million tonnes of clay reserved in the state.
Beside the above, other economically viable minerals like gypsum, phosphorite, glass-sand, base metals, quartz and feldspar can be located in various parts of the state. The State is also credited with having one of the most valuable sillimanite deposits in the world.
Floriculture
The climate of the State, particularly the areas near Shillong in East Khasi Hills District, is well suited for cut flower production. Proximity of Shillong to Guwahati and possibilities of restart of the Umroi Airport near Barapani, have strengthened the required infrastructure support for marketing of Floriculture Products from the State.
The Recommended Project Profiles are:
1. Area
a. Upper Shillong/Shillong
b. Barapani
c. Umiam
2. Products
a. Cymbidium, Carnation
b. Carnation, Gladiolus, Lilium
c. Carnation, Gladiolus, Lilium
Horticulture
The geo-climatic conditions of Meghalaya offer an excellent scope for growing of different types of horticultural crops including fruits, vegetables, spices, plantation crops medicinal and Aromatic plants of high economic values. A wide range of tropical, sub- tropical and temperate fruits such as Mandarin Orange, Pineapple, Banana, Lemon, Guava, Pear, Plum etc. are grown all over the state. A large variety of vegetables both indigenous and exotic are grown in many places of the state. The high altitudinal place of the state provides good opportunity to grow vegetables including Potato and Cole crops during the rainy season. Tuber and root crops such as Sweet Potato and Tapioca, Spice crops such as Turmeric, Ginger, Chillies, etc. grow abundantly in the state. Plantation crops such as Tea, Cashew nut, Coconut, Arecanut and Spice crops like Black pepper have been performing well and are coming up with promise. These in the long run can change the entire economic condition of the people of the state.
Growing of horticulture crops has the following distinct advantages over the traditional food crops:
i) Most of the horticulture crops are perennial in nature and offer larger biomass production;
ii) Horticulture crops and their products have high potentiality for export and foreign exchange earning;
iii) It enables productive and economic utilization of cultivable wasteland;
iv) Generates rural employment opportunities;
v) Provides viable alternative to shifting cultivation;
vi) Check Soil erosion and improves ecological balance.
Financial achievements
The Tenth Plan Outlay approved for Horticulture sector is Rs. 2150.00 lakhs. The expenditure during the first three years of the Tenth Plan was Rs.1436.86 lakhs constituting 66.83%. The approved outlay for the year 2005-06 is Rs.700.00 lakhs. The outlay for Annual Plan 2006-07 is Rs.770.00 lakhs.
Marketable Surplus Horticultural Crops in Meghalaya are given hereunder:
| Crops |
Total Production (MT) |
Estimated Marketable Surplus (MT) |
Value Added Products |
| Ginger |
45590 |
43310 |
Ginger Candy Ginger Cube |
| Turmeric |
6997 |
6300 |
Turmeric Powder, Dried Slices |
| Tezpatta |
4300 |
3600 |
Oil Extract |
| Potato |
201059 |
140740 |
Potato Chips Starch Extract |
| Pineapple |
80116 |
56080 |
Fruit Juice Concentrates, Canning |
| Oranges |
35205 |
28160 |
Fruit Juice Concentrates |
| Aerecanut |
11567 |
4630 |
Dried Form |
Betel vine |
27390 |
8320 |
Extraction |
| Broomstick |
18000 |
13400 |
Extraction |
| Black pepper |
400 |
380 |
Extraction |
| Dry Chillies |
1051 |
790 |
Oleoresin Extract |
Tourism
Thrust areas
Based upon the opportunities available in the State, the following forms of tourism have been identified: -
| (a) |
Nature Tourism (Flora & Fauna) - There is tremendous scope for development of tourism based on wildlife in the State particularly in Balpakram, Nokrek Biosphere reserve, Nongkhyllem and Nongdaju areas in West Khasi Hills, National parks and Game sanctuaries should be developed in coordination with the Forest Department and requisite facilities should be developed at or near such areas. |
(b) |
Adventure Tourism- Comprising of trekking, caving, water sports, hang gliding bungee-jumping, mountain trekking, climbing etc and abseiling activities. This type of tourism should be promoted in close coordination with recognized adventure associations. |
| (c) |
Cultural and Socio-cultural Tourism (Fairs and Festivals) - Cultural Centres are proposed to be developed in the major districts of East Khasi Hills, West Garo Hills and Jaintia Hills. Promotion of major fairs and festivals will be effected in both domestic and international markets. |
| (d) |
Health resort Tourism - The State as a whole is acquiring a reputation for alternative medicine and also for producing natural healer. Efforts will therefore be made to promote this type of tourism through the development of healthcare infrastructure. |
| (e) |
Golf Tourism - Meghalaya and Shillong in particular have tremendous potential for development of several golf courses. The temperate climate also is a comparative advantage for promoting this form of tourism. |
| (f) |
Conferencing and Convention Tourism - The salubrious climate and beautiful natural setting are a comparative advantage, which could make Shillong in particular an important convention centre. |
| (g) |
Sports Tourism - Once the studies are completed, Shillong, Jowai and Tura can become venues for one day international cricket tournaments and other sports such as badminton, tennis and so on. The temperate climate makes the State attractive for such events. |
| (h) |
Casino Tourism - This form of tourism is vital to overcome the constraints facing tourism development in the State, as it will have wide appeal especially in Muslim dominated countries such as Bangladesh, Malaysia and Indonesia. However, an international airport at Umroi is a prerequisite if this project is to succeed. |
| (i) |
Travel/Transportation and Communications - To reach the tourist destinations, considerate upgradation of State and National Highways and roads leading to the places of tourist interest are needed. The Government will actively pursue and facilitate developing of the existing airports in co-operation with the National Airport Authority. It is hoped that the current policy of the Ministry of Civil Aviation and Tourism encouraging charter flights will continue so that such destinations can be serviced regularly in the near future in Meghalaya.
The Government will encourage Transport services for tourism purposes and also cruises without any restriction on fares or any monopoly rights. It will take up the development of selected jetties and river ports for the smooth operation of boat services. Entrepreneurs in the private sector would also be encouraged to provide such facilities. |
| |
The passenger tax will be restructured to encourage larger tourist movement. The Government will continue to provide interstate transport permits and such other facilities as may be necessary. |
| (j) |
Arts & Crafts promotion Tourism - The Tourism Department in association with the Art and Culture Department and other State agencies will hold annual festivals and exhibitions for promoting specific destinations. Visitors' Reception Centres will be set up at five or six places in the State to provide recreation as well as to encourage local cuisine and village arts & crafts. The State Government will provide the funds for these purposes. |
Information Technology
Meghalaya has many advantages and an edge over other North Eastern States of India in the field of Information Technology. The strategic location of Meghalaya for IT business in South East Asia, the favorable weather conditions throughout the year, the surplus power generation and its being the English speaking state in the country are contributing to the stance of the State Government that a thrust for development of Information and Communication Technology should be provided.
Initiatives of the State Government
Setting up of Software Technology Park (STPI)
Efforts have been made by the State Government to set up the Software Technology Park of India, Shillong Centre. In this connection, the first step undertaken by the State Government is the identification of a suitable location to host the STPI in Shillong. It is expected that this exercise would be completed soon. The Government of India has already sanctioned an amount of Rs.50 lakhs towards procurement of High Speed Data Communication (HSDC) facilities for the STPI at Shillong. An additional amount of Rs.1.00 Lakh was provided by the State Government to the STPI for a Detailed Feasibility Project Report regarding setting up of STPI facilities at Shillong. The Software Technology Park at Shillong is expected to cater to the local Software Exports, IT Enabled Services, Call Centres and other IT related activities. It is therefore a matter of utmost importance that the local entrepreneurs keep interacting with the Department by way of feedback information, suggestions and active participation in IT Forums and such arrangements, which would be provided by the Department from time to time
Setting up of other Technology Parks
NEDFi established at Guwahati to host various activities such as IT Enabled Services, Call Centres etc. NEDFi informed the State Government that most of the manpower in these activities come from Shillong. As a result, NEDFi feels that they need to set up another Software Technology Park in Shillong.
Investment opportunities
Minerals based industries
- Meghalaya has extensive deposits of minerals like coal, limestone, granite, clay, etc.
- Coal, which is an important input, is available in plenty in all districts and particularly in southern slopes of the state
- Limestone is another mineral that exists in an extensive belt (approx 200 km long) along the southern border of meghalaya. Total inferred reserve limestone within the State is about 5,000 million tonnes. The quality of limestone in the state has CaO content of 53% and can be of use in steel, fertilizer and chemical industries.
- Granite of excellent quality is being mined in the East and West districts of Khasi hills. Sizeable deposits are estimated and can be found in various shades and colours.
- Clay of various types such as Kaolin (China clay), white clay and fire clay are found in various parts of the states. These clay are suitable for the ceramic, paper, rubber and refractory industries. There are a few hundred million tonnes of clay reserved in the state.
- Economically viable minerals like gypsum, phosphorite, glass-sand, base metals, quartz and feldspar can be located in various parts of the state
Horticulture and agro based industry
- The state produces substantial quantity of oranges, peaches, pineapples, pears, guavas, plums and bananas of superb variety. It also grows plenty of potatoes, tapioca, bay leaves, ginger, maize and jackfruit.
- Meghalaya's turmeric is considered the best in the world.
- There is enough potential in the state for setting up a starch based processing unit in the state.
- Plantation crops like coffee, rubber, black pepper and arecanut are also important products where investment potential exists.
- Tremendous potential for investment and development exists in food processing.
Export Promotion Industrial Park (EPIP)
- Export Promotion Industrial Park (EPIP) is proposed to be set up at Byrnihat near Guwahati.The scheme requires the state government to provide infrastructure facilities like power, water, roads, sewage and drainage, telecommunication facilities and other facilities for the park.
Tourism
- Wettest place on Earth (Cherrrapunjee & Mawsynram)
- Wildlife Tourism
- Adventure Tourism
- Golf Tourism
- Health resort tourism
- Nature tourism
- Sports tourism
Biotechnology- based units
Electronics and information technology
Tissue culture and orchid units
Investment incentives
Investment Incentives under the industrial policy
- Capital Investment Subsidy: 30 percent capital investment subsidy subject to a ceiling of US$ 43,360.73 per project.
- Interest subsidy: interest subsidy at the rate of 4 percent on interest payment to bank and financial institution subject to a ceiling of Rs. 0.20 lakh per month.
- Local Employment Promotion grant will be provided subject to a ceiling of US$ 2170.02 per annum for 3 years at the following rates:
- 30 percent of the wage bill for local tribal employee.
- 10 percent on the cost incurred on training of local tribal employee.
- Subsidy on Power on the fulfillment of certain prerequisites.
- Project Report Subsidy: Project report subsidy at the rate of 90 percent of the cost of the project report will be provided subject to a ceiling of Rs. 2 lakh per report.
- Sales Tax Exemption: CST paid on purchase of machinery and equipment would be reimbursed subject to a limit of US$1,625.66
- Stamp Duty Exemption: an additional 5 percent capital investment subsidy subject to a maximum of US$ 10852.54 will be provided.
- Special Incentives for Export Oriented Units.
Investment Incentives under the tourism policy (2001)
- Investment subsidy
- Maintenance and up- keep subsidy
- Publicity subsidy
- Sales tax exemption
- Subsidy on power generating set
- Subsidy on telephone connection
- Exemption from stamp duty
- Subsidy on the cost of feasibility studies and project reports
- Interest subsidy
- Exemption on luxury tax
- Support for paying guest accommodation
Indutrial Estates and Areas
To obviate the problems of prospective entrepreneurs in acquiring and developing sites for industrial purposes, some industrial Estates and Areas have been created and more are likely to come up in the near future.
Existing industrial estates and areas:
| Location |
Area in acre |
| Industrial estates: |
| Shillong |
10.22 |
| Mendipathar |
7.00 |
| Tura |
19.83 |
| Jowai |
14.56 |
| Williamnagar |
51.30 |
| Nongstoin |
10.00 |
| Total |
112.91 |
| Industrial areas: |
| Barapani |
109.67 |
Source: Meghalaya Industrial Dev. Corp. (MIDC)
These Estates and Areas provide well laid out land plots of different sizes with basic infrastructure like factory sheds, all season roads, sewerage and drainage, electricity, water, telecommunication, weigh bridge etc. Additionally, the Industrial Areas provide residential buildings on lease/ rent for employees of interested industrial units.
Export Promotion Industrial Park
An EPIP is being set up at Byrnihat over an area of 259 acres. This scheme, under the Government of India, is aimed at encouraging export efforts by
- Building up of infrastructure facilities of high standards to be used by Export Oriented Units (EOUs)
- Sustaining the interest of the State Government and local population in building and maintaining such facilities.
The following vital facilities will be made available at the proposed EPIP:
- RCC Buildings and Factory Sheds
- All Weather Roads
- Power Supply
- Water Supply
- Common facilities such as, administrative offices, utility stores, parking facilities, canteen, health centre, post office, banks, training centres, conference rooms etc.
Policy framework
Meghalaya Tourism Policy 2001
Objective of the policy
The overriding objectives of the Tourism Policy will be to: -
| 1. |
Create self-sustainable jobs for the local youth of the State; |
| 2. |
Generate substantial revenue for the State exchequer; |
| 3. |
Project a friendly tourist image to the world at large and make the State one of the best tourist destinations of the country by capitalising on the State's natural assets; managing them properly and creating a consistent competitive advantage; |
| 4. |
Promote local interests through strategic alliances with investors; |
| 5. |
To be the number one Indian destination by per capital market share of visitor's expenditure; |
| 6. |
Create a business climate that will attract outside investment; |
| 7. |
Encourage domestic tourism (inter State) with a view to provide to the people of the country as well as the State especially those living in rural areas to understand geographical and cultural diversity of the State as well as the aspirations and viewpoints of others so as to bring about a greater national integration and cohesion. |
| 8. |
Offer opportunities to the youth not only for employment but also for taking up activities of nation building character like sports, adventure and the like; |
| 9. |
Bring socio-economic benefits to the community and the state terms or faster economic growth, larger employment opportunities, better income generation and foreign exchange earning, balanced development of backward areas and weaker sections, higher tax revenue to the state and cause sustainable human development. |
| 10. |
Preserving and enriching our cultural heritage in all its manifestations and causing accretion and strength, rather than damage to our social and cultural values; |
| 11. |
To create suitable environment for development of basic infrastructure facilities for tourism including communication and transportation links. |
| 12. |
To promote and protect the interest of the people of Meghalaya by making various incentives available for setting up of hotels, health resorts, amusement parks etc. |
| 13. |
To encourage traditional artisans and the handicraft sector. |
| 14. |
To include ail Circuit houses and Dak bungalows under different Meghalaya government departments within and outside the state for providing facilities to tourists in co-ordination with the concerned departments. |
Full text of the Policy
IT policy 2004
The Vision
The Government envisages:
I. To make information Technology as a tool for attaining all round development programmes for all round development of the state.
II. To fully participate in the IT revolution to bring prosperity to our people. The goal is creation of wealth, employment generation and IT led economic growth.
The Mission
The Government would:
I. Use Information Technology based applications to manage development programmes for all round development of the state
II. Take necessary steps to make the state a favoured destination for IT business, industry, education and services.
III. Apply Information Technology tools and infrastructure to aid the process of good governance and efficient administration.
Objectives
In order to actualize the vision and mission, the government's thrust is to make Information Technology the vehicle for productive growth in the state.Productive growth can be classified into three categories
I. IT for all round developmental growth (IT as an aid for development)
II. Developmental activities leading to IT relating growth (Development of IT sector) and
III. Improved performance in governance and administration.
Full text of the Policy
Industrial Policy 1997
Objectives of the policy
With a view to take advantage of the liberalised economic scenario in the country, and also to keep pace with developments in the national industrial sector, Government of Meghalaya has decided to frame a new Industrial Policy. The Objectives of this new policy are as follows: -
- Generate employment opportunities for the local people in the industries and allied sectors.
- Develop human resources and bring about improvements in the quality of life by promoting industries in sectors where the state has comparative advantage.
- Achieve a balanced and growth oriented development covering the entire state through promotion of village and small scale industries.
- Create a conducive environment for industrial development by creation of the basic Infrastructural facilities and by setting up of industrial areas, growth centre and export promotion industrial park.
- Encourage the setting up of selective medium and large industries by utilising the resource base of the state thereby ensuring sustainable industrial growth but compatible with ecological imperatives and hence encourage positive efforts towards the regeneration of the environment.
- Provide preference to local Entrepreneurship in setting up of large, medium and small-scale units.
- Promote local interests through joint ventures with external investors so as to facilitate technology transfer and capital flow by a package of suitable incentives.
- Encourage need ? based development of local entrepreneurial skills through intensive motivation and training programmes at district, Sub-division and block levels.
- Provide guidance to prospective entrepreneurs by building up a data bank of project-profiles and other connected information.
- Simplify rules and procedures by providing a single-window clearance facility at the District Levels for the Small Scale Sector and at the State Level for Medium and Large Scale Industries.
- Promote the setting up of ancillary units for catering to the requirements of large and medium scale industries.
- Identify sick units that can be made viable and provide a comprehensive package of assistance for their revival.
- Promote and encourage high-value, low-volume products, in view of the transportation-bottlenecks in the State.
- Encourage setting up of export-oriented, Agro based, Mineral-based, Horticultural based and Electronic units as thrust area:
Salient features of the industrial policy:
The following are the salient features of the policy on industrial promotion :
- State Government welcomes the advent of advanced technologies and external investments, preferably in the joint sector, which would promote the economic development of the region.
- State Government considers the public sector as an important agency to promote social justice and balanced growth. However in the context of on-going changes in the policies of the Government of India, the need for mitigating the growing unemployment, and constraints on budgetary resources, State Government welcomes private sector investment for rapid industrialisation and accelerated growth in the State. To encourage industrialisation along these lines. Government would provide need based budgetary support where required.
- Along with the public and private sectors, the state Government looks upon the joint and assisted sectors as well as for mobilisation of necessary resources and expertise in vital areas of economic activity.
- State Government recognises that improvement and up gradation of industrial infrastructure is essential for accelerated growth of industries. Emphasis would be on improvement in roads, construction and up gradation of airport, construction of ropeways, improvement in communications and power supply and development of export promotion industrial park and growth centres with al connected facilities.
- State Government would expedite suitable approval under the Meghalaya Land Transfer Act so as to facilitate investment in the Industrial sector.
- In case of sick/closed industrial units, State Government would assist in conducting diagnostic studies to enable a view to be taken, within a specific time frame regarding the future of such units.
- State Government has set up a Single Window Agency under the Chairmanship of the Chief Secretary to provide time-bound decisions and clearances in respect of investment proposals. The Government will also constitute similar district level Committee (s) for the concerned District (s) under the chairmanship of the Deputy Commissioners to ensure quick decision making for enabling effective setting up of industries.
- State Government has decided that Meghalaya Industrial Development Corporation (MIDC) will provide escort services for the large and medium scale Industries under suitable terms and conditions.
- In order to develop human resources through the upgradation of skills, training institutions would receive due attention. Association of Private Sector in this important activity would be encouraged.
- Government will provide suitable assistance to prospective or deserving entrepreneurs (s) for gaining knowledge about advanced technologies as also acquiring training for the same.
Full text of the policy
Useful web links
Government of Meghalaya
Official Website of Industries Department