Liberal wine policy in offing
The State Government is preparing a wine policy on the lines of Maharashtra. It will provide a liberal dose of tax concessions to encourage setting up of wineries in Madhya Pradesh.india Updated: Sep 07, 2006 14:28 IST
The State Government is preparing a wine policy on the lines of Maharashtra. It will provide a liberal dose of tax concessions to encourage setting up of wineries in Madhya Pradesh.
The apex committee on investment promotion decided after discussions to prepare the wine policy. The horticulture and food processing department has already prepared the draft and it is likely to be placed before the Cabinet after some formalities are over.
The draft has recommended incentives like exemption on excise duty for the first 10 years, exemption from VAT on wineries, promoting wine tourism, special provisions for selling wine, according wineries SSI status and so on. It has also recommended that wineries be treated as a food-processing industry.
The government will also request NABARD and other financial institutions to provide primary sector status to those who will establish wineries in the State and extend such units exemptions and facilities given to small-scale industries.
“At a meeting where the chief minister and top officials were present, the apex committee on investment promotion sought Cabinet approval to introduce the wine policy in the State,” a sources in Mantralaya told HT.
A few months ago, wine major Champagne Indage Ltd (Indian wine company) chief SC Chougle visited Ratlam district, a major grape-growing belt. He discussed ways for setting up the first winery in the State. Some farmers are growing wine-quality grapes on about 50 hectares in the district on experimental basis. And some grape growers have set up a small wine unit too. Besides Ratlam, quality grapes are also produced in Burhanpur, Harda and Rajgarh districts.
1Excise duty exemption for first 10 years
2Wineries to be off VAT net
3Wine tourism promotion
4SSI status for units
First Published: Sep 07, 2006 14:28 IST