Investment limit for small scale/ancillary industrial undertakings - FEMA - 15

Government of India Ministry of Commerce and Industry Department of Industrial Policy and Promotion ***** PRESS NOTE NO.15 (1999 SERIES) Subject:- Investment limit for small scale/ancillary industrial undertakings. Government had earlier notified its decision to increase the investment limit on plant and machinery in respect of small scale/ancillary industrial undertakings upto Rs.300 lakh by an order in the extra ordinary issue of the Gazette of India dated 10.12.97. Subsequently, there have been requests from individual SSI units and SSI associations to reduce the investment limit on plant and machinery in respect of SSI/ancillary industrial undertakings. These requests have been under consideration of the Government for some time. It has now been decided to reduce the investment on plant and machinery in respect of small scale/ancillary industrial undertakings from Rs.3 crore to Rs.1crore. The investment limit for tiny units would, however, continue to be at the level of Rs.25 lakh. 2. The decision of the Government to stipulate the investment limit in fixed assets in plant and machinery in respect of small scale/ancillary industrial undertakings, whether held on ownership terms or on lease or on hire purchase, at the level of Rs.1 crore has been notified in the extra ordinary issue of the Gazette of India dated 24th December, 1999. ( Ashok Kumar ) Joint Secretary to the Govt. of India . F.No.10(6)/97-IP(Vol.III) New Delhi , the 24th December, 1999 . Forwarded to the Principal Information Officer, Press Information Bureau for giving wide publicity to the contents of the above Press Note. Press Information Officer, Press Information Bureau, New Delhi.