Industry status

Uttar Pradesh grants industry status to warehousing and logistics sector, Real Estate News, ET RealEstate

LUCKNOW: The government of Uttar Pradesh has decided to grant industrial status to the state’s warehousing and logistics sector, a move that will help reduce the cost of establishing parks and facilities. units by a fair margin, officials said Tuesday.

Regarding the new incentive for the warehousing and logistics sector, the state’s Industrial Development Minister Satish Mahana said in a statement: Migrant workers are returning from other states due to the COVID lockdown- 19. ”

He added that by granting industry status to the sector, the state is poised to establish itself as a favorable destination for investment.

Infrastructure and Industrial Development Commissioner Alok Tandon said this would significantly reduce the cost of setting up units in Uttar Pradesh.

For example, currently, land use change is charged at 150% of the circular rate from agriculture to commercial land use, which will now only be 35% of the circular rate, because the change in use land from agriculture to industry will be applicable, he said.

From now on, industrial land use charges will apply to units and parks in the warehousing and logistics sector in Uttar Pradesh, he added.

Elaborating on the new initiative, the Principal Secretary, Infrastructure and Industrial Development, Alok Kumar informed that the activities of parks and warehousing and logistics units will be authorized for the land use of “industrial land” of all authorities of industrial development in accordance with the provision of ‘Warehousing and Logistics Policy UP 2018’.

“From now on, warehousing and logistics units will pay 1.5 times the industrial rate to industrial development authorities for the allocation and use of land in areas reserved for industrial activity, which will allow substantial savings by compared to the existing costs of establishing units in the sector. now reduced to almost a third, ”he said.

The decision is likely to attract investments supporting the various state projects such as Jewar airport, waterway, multimodal transport and logistics hub, etc.

Strengthening the warehousing and logistics sector in the state will also complement the state’s unique location advantage with proximity to the National Capital Region (NCR).