Industrial Investment and Employment Promotion Policy 2017

The Industrial Investment and Employment Promotion Policy, 2017 (IIEPP-2017) is run by the Government of Uttar Pradesh (GoUP), through its Department of Industries & Enterprise Promotion in coordination with its investment‐promotion agency Invest UP. It was launched in July 2017 to attract new industrial investment, promote job creation and strengthen the manufacturing/value-added sectors in the state.
The purpose is to make Uttar Pradesh an attractive destination for industry, reduce regional imbalances, and encourage inclusive growth. It offers fiscal and non‐fiscal incentives to enterprises that set up in the state. Your business as an MSME or startup can benefit by getting access to land, subsidies, duty exemptions, interest and employment linked incentives under this policy.

Key Features
Financial Assistance
Eligibility Criteria
Documents Required
Application Process for the Scheme

Key Features

Wide scope of eligibility: The policy applies to new industrial units (manufacturing) as well as expansion/modernisation. It also covers private industrial parks/estates.
Region-wise differential incentives: The policy divides the state into regions (e.g., Bundelkhand, Poorvanchal, Madhyanchal, Paschimanchal) and assigns higher incentives for more backward areas to encourage dispersion of investment.
Fiscal incentives: Examples include 100% stamp-duty exemption (in some regions) on land registration, interest subsidy, SGST reimbursement of a large percentage for a number of years.
Ease of doing business: The policy emphasises infrastructure (roads, rail, power, water), promotion of industrial & investment regions, and simplifying clearances via single-window mechanism.
Employment generation focus: For units that provide employment, especially unskilled employment exceeding certain thresholds, the policy offers reimbursement of employer’s EPF contribution (in part) for a period.
Incentives for parks/estates & infrastructure: Private parties developing industrial estates of area more than specified hectares are eligible for incentives such as interest subsidies and stamp duty exemptions.

Financial Assistance

Component	Assistance Provided	Detailed Explanation & Example
Stamp Duty Exemption	E.g., 100 % exemption in Bundelkhand & Poorvanchal; 75 % in Madhyanchal & Paschimanchal; 50 % in Gautam Buddh Nagar & Ghaziabad districts.	For instance, if you purchase land for your factory in Bundelkhand region, you may pay zero stamp duty instead of the full amount.
SGST (State GST) Reimbursement	For small industries: net SGST reimbursement of up to 90 % for 5 years.	Suppose you are a small manufacturing unit and pay SGST of ₹10 lakh annually; you may get ₹9 lakh reimbursed for five years.
Employer’s EPF Contribution Reimbursement	Up to 50 % reimbursement of employer’s contribution for units employing 100 or more unskilled workers.	If your company employs 120 unskilled workers and pays employer’s EPF contribution of ₹50,000 per month, half of that (₹25,000/month) may be reimbursed for the eligible period.
Interest Subsidy / Capital Subsidy	Example: For industrial parks/estates: 50-60 % interest subsidy on loan for 7 years etc.	If you as developer take a loan of ₹10 crore to build an industrial estate in a backward area – you may get subsidy on interest, say 60% of interest cost for 7 years.

Eligibility Criteria

Who Can Apply:

New industrial units setting up manufacturing or expansion within Uttar Pradesh under defined capital investment categories (small, medium, large, mega).
Industrial parks / estates developers meeting size/inside criteria.
Projects located across all regions of the state — but with extra incentives for backward areas (Bundelkhand, Purvanchal, etc).

Who Cannot Apply:

Units outside Uttar Pradesh.
Projects that do not comply with the eligibility criteria defined in the 2017 policy rules.
Projects which have already received incentives under other conflicting policy without meeting conditions.
Units that fail to begin production within prescribed timelines or do not comply with employment norms. (Implied by policy conditions)

Documents Required

Certificate of incorporation/registration of enterprise
Project report including capital investment, employment plan
Land allotment/lease deed or purchase document
Commencement of production certificate
Bank statement/loan sanction document (for interest subsidy)
GST/SGST registration and return documents
Employment details/records for unskilled workers (for EPF reimbursement)
Utility bills (for electricity duty exemption)

Application Process for the Scheme

Option 1: Apply with Bullit (Recommended)

Click here to start with guided support. Our team verifies eligibility, compiles documents, and handles application & follow-ups on your behalf. You can monitor progress while focusing on operations.

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Option 2: Direct Application via State Portal

Visit the state single-window portal (e.g., Nivesh Mitra) for Uttar Pradesh.
Register your industrial unit/investment project and submit required forms (including DPR, employment plan, investment plan).
Submit requisite documents (listed below).
The competent authority assesses eligibility and issues “Letter of Comfort” or sanction of incentives.
After commercial production, apply for claims of reimbursement/exemption as per the policy guidelines.

Option 3: Through Nodal Agency/Industrial Development Authority

Approach the relevant nodal agency (for example, Invest UP or district-level industrial development authority) for hand-holding.
Provide project details and request guidance on incentive category, regional classification, job commitment and timelines.
Receive assistance for infrastructure allotment, clearances, and monitoring compliance for incentive claim.

Power Combos with The Scheme