Updated on March 06, 2025 03:25:08 PM
State Logistics Policy of Bihar aims to enhance the logistic, transportation and supply chain infrastructure of Bihar. The goal of the Bihar Logistics Subsidy is to help boost the economic condition of the state, avail moving of goods across regions seamlessly, increase export and reduce transportation costs. The Bihar Logistics Policy helps industries and promotes commerce by giving job opportunities through improvement of the road, railway, and port linkages. Bihar State Logistics Subsidy attracts investment, streamlines business activities and increases competitiveness in the state with compliance to the National Logistics Policy.
To encourage logistics and transportation infrastructure in the states, the state governments launched the State Logistics Policy. The Bihar Logistics Policy is associated with the National Logistics Policy as its goal is to enhance the supply chains and accessibility of the goods transported. The State Logistics Subsidy in Bihar aims at improving road, rail, air, port, building new warehouses and usage of digital tracking techniques. Bihar Logistics Policy is also implemented to reduce logistics costs of enterprises, quicker delivery of goods and human resource development in logistics management. The Bihar Logistics Subsidy is proposed for investments to create employment and overall economic development in Bihar by promoting suitable logistics structures.
The State Logistics Subsidy in Bihar offers several benefits to enhance the logistics sector and overall economic growth of the state which are listed below:
The Bihar Logistics Policy provides maximum subsidy rates and amount to businesses to ensure prevention of exploitation or unfairness of the intermediary. The State Logistics Subsidy in Bihar is categorized under 6 programs which of listed below:
Category | Subsidy Rate | Subsidy Amount | Limitations |
---|---|---|---|
a) Proposals received during first two years from the date of notification of Bihar Logistics Policy 2023 | 20% of Fixed Capital Investment (FCI) | Up to Rs 20 Crore | Whichever is lower |
b) Proposals received from third year onwards from the date of notification of Bihar Logistics Policy 2023 | 15% of Fixed Capital Investment (FCI) | Up to Rs 10 Crore |
Subsidy Rate | Subsidy Amount | Limitations |
---|---|---|
a) Proposals received during first two years from the date of notification of Bihar Logistics Policy 2023 | 10% or actual rate of interest on term loan, whichever is lower, to the extent of 50% of Fixed Capital Investment | Up to Rs 60 Crore |
b) Proposals received from third year onwards from the date of notification of Bihar Logistics Policy 2023 | 10% or actual rate of interest on term loan, whichever is lower, to the extent of 40% of Fixed Capital Investment | Up to Rs 50 Crore |
Subsidy Rate | Subsidy Amount | Limitations |
---|---|---|
ICD (Inland Container Depot) - Proposals received during first two years from notification | 20% of FCI | Up to Rs 10 Crore |
ICD - Proposals received from third year onwards | 15% of FCI | Up to Rs 8 Crore |
Warehouse - Proposals received during first two years | 20% of FCI | Up to Rs 6 Crore |
Warehouse - Proposals received from third year onwards | 15% of FCI | Up to Rs 4 Crore |
Cold Chain - Proposals received during first two years | 20% of FCI | Up to Rs 4 Crore |
Cold Chain - Proposals received from third year onwards | 15% of FCI | Up to Rs 3 Crore |
CFS (Container Freight Station) - Proposals received during first two years | 20% of FCI | Up to Rs 3 Crore |
CFS - Proposals received from third year onwards | 15% of FCI | Up to Rs 2 Crore |
Subsidy Rate | Subsidy Amount | Limitations |
---|---|---|
a) Proposals received during first two years from the date of notification | 10% or actual rate of interest on term loan, whichever is lower, to the extent of 50% of FCI | Up to Rs 30 Crore |
b) Proposals received from third year onwards from the date of notification | Up to Rs 20 Crore |
Category | Subsidy Rate | Subsidy Amount | Limitations |
---|---|---|---|
a) Proposals received during first two years from notification | 20% of FCI | Up to Rs 25 Crore | Whichever is lower |
b) Proposals received from third year onwards from notification | 15% of FCI | Up to Rs 15 Crore |
Subsidy Rate | Subsidy Amount | Limitations |
---|---|---|
a) Proposals received during first two years from notification | 10% or actual rate of interest on term loan, whichever is lower, to the extent of 50% of FCI | Up to Rs 60 Crore |
b) Proposals received from third year onwards from notification | 10% or actual rate of interest on term loan, whichever is lower, to the extent of 40% of FCI | Up to Rs 50 Crore |
Listed below are some of the additional information about State Logistics Subsidy in Bihar for the logistics sector within the state.
The Bihar Logistics Subsidy is a program by the Government for the purpose of enhancing the economy of the state with improvement of transport and supply chain network. The Bihar Logistics Policy is in synchronization with the National Logistics Policy to upgrade road, rail, air, ports and attract more investment and generate employment in the state. The objective of the State Logistics Subsidy in Bihar is to reduce logistics costs, support sustainable development, and encourage ease of movement of goods in Bihar. Besides that, Bihar Logistics Policy also fosters competitiveness in the state and fosters healthy growth in various industries.
At Professional Utilities, we leverage our industry knowledge and expertise to help businesses navigate complex regulations, minimize risks, and optimize operations for maximum efficiency and profitability.
The Bihar Logistics Subsidy is a Financial Scheme to encourage the development of the Logistics Transport and Supply Chain sector in the state by minimizing transportation expenses, improving the flow of products, and boosting the competitiveness in the market.
State Logistics Policy in Bihar would benefit the sectors associated with logistic infrastructure development such as logistics parks, warehouses, cold chains and multimodal logistics and it also aims at employment generation and attracting investment in said sectors.
The additional benefits of Bihar Logistics Policy include 100% reimbursement of SGST and electricity duty for five years from the commencement of commercial production; 100% Stamp Act and registration fees exemption; reimbursement of cost incurred on training the first set of employees in logistics management.
Yes, the State Logistics Subsidy in Bihar does have training incentives, ESI and EPF reimbursements, and encourages the generation of new jobs in the logistics and warehousing sector.
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