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CM Mann unveils Punjab Industrial Policy-2026; eyes ₹75k-crore investment
New policy extends incentive periods, introduces capital subsidies, and slashes job creation thresholds to boost regional growth.
Chief minister Bhagwant Singh Mann on Saturday launched the Punjab Industrial Policy-2026 in Ludhiana, setting an ambitious target to draw ₹75,000 crore in investments this year.
Flanked by state industry minister Sanjeev Arora and business leaders, the CM positioned the policy as a roadmap to making Punjab India’s premier investment hub.
Addressing the gathering, Mann emphasised that the framework offers unprecedented flexibility. “The policy is designed to provide long-term stability. For the first time, we are allowing investors to curate their own incentive packages from a menu of 20 different options,” he said.
Longer fiscal support, new subsidies
A major shift in the 2026 policy is the extension of the incentive eligibility period, which has been increased from the previous seven-10 years to 10-15 years.
This ensures sustained financial cushioning for new units during their critical growth phases. Additionally, the state has debuted a capital subsidy to lower the entry barrier for fresh industrial ventures.
To democratise industrial growth, Arora announced a reduction in eligibility for the employment generation subsidy.
The investment bar has been lowered from ₹250 crore to just ₹25 crore, while the workforce requirement has been slashed from 1,000 employees to 50.
The policy also includes a social mandate with a standard subsidy of ₹3,000 per employee; inclusive hiring of ₹4,000 per employee for hiring women, SC/ST candidates, and persons with disabilities.
Arora said that priority sectors, including electric vehicles (EVs), defence, and IT, as well as units in border and Kandi regions, will receive a 25% top-up on existing incentives.
To bolster the local tech scene, the startup seed grant has been hiked from ₹3 lakh to ₹5 lakh.
