Parliament Question: Industrial Ecosystem in Bihar

GOVERNMENT OF INDIA MINISTRY OF COMMERCE & INDUSTRY DEPARTMENT FOR PROMOTION OF INDUSTRY AND INTERNAL TRADE LOK SABHA UNSTARRED QUESTION NO. 665. TO BE ANSWERED ON TUESDAY, THE 03RD FEBRUARY, 2026. INDUSTRIAL ECOSYSTEM IN BIHAR 665. SHRI TARIQ ANWAR: Will the Minister of COMMERCE AND INDUSTRY be pleased to state: वाणिज्य एवं उद्योग मंत्री (a) whether the Government has conducted any recent study to assess the present status of the industrial ecosystem in Bihar and particularly in the Seemanchal region (Kishanganj, Araria, Katihar and Purnea) and if so, the details thereof; (b) whether the said region has got the benefits from schemes being implemented by the Government such as Make in India and Industrial Corridors, if so, the details thereof; (c) the details of employment generation in the manufacturing and services sectors in this regard; and (d) the concrete and time-bound action plan of the Ministry of Commerce and Industry to attract investment to establish industrial units and to address unemployment in the said region? ANSWER वाणिज्य एवं उद्योग मंत्रालय में राज्य मंत्री (श्री णिणिन प्रसाद) THE MINISTER OF STATE IN THE MINISTRY OF COMMERCE & INDUSTRY (SHRI JITIN PRASADA) (a) to (d): The primary responsibility for developing the industrial sector rests with the State Governments, which adopt different policy measures to promote industrial development. The Union Government supplements the efforts of the State/UT Governments through various schemes, programmes, and policy initiatives for the overall development and promotion of industry across the country, including in Bihar. These initiatives include the Scheme for Investment Promotion, Ease of Doing Business (EoDB) and initiatives aimed at reducing compliance burden, the Industrial Infrastructure Upgradation Scheme, the Production Linked Incentive (PLI) Scheme, Integrated Manufacturing Clusters (IMCs) under the National Industrial Corridors, Startup India, Make in India, PM Gati Shakti, National Infrastructure Pipeline (NIP),National Single Window System (NSWS), India Industrial Land Bank (IILB),reforms in Foreign Direct Investment (FDI), Project Monitoring Group (PMG)etc. which facilitates setting up of major infrastructure projects across the country.Govt. of Bihar has informed that the Seemannchal region comprising Kishangaj, Araria, Katihar and Purnea has received benefits under Government investment promotion initiatives aligned with Make in India. A total of 66 industrial units have been approved in these four districts with a cumulative proposed investment of approximately ₹1041.01 crores across sectors such as Food processing, General Manufacturing, Textile & Leather, Plastic & Rubber etc. Further, Govt. of Bihar has informed that a total of 44,452 employment opportunities have been generated, out of which 39,404 are in the Manufacturing sector and 5,048 in the Services Sector. Further, Govt. of Bihar has notified the Bihar Industrial Investment Promotion Package (BIIPP), 2025, valid up to 31.03.2026, to attract fresh industrial investment and promote employment generation. The package provides incentives such as capital subsidy, interest subvention, SGST reimbursement, employment generation incentive, export incentive and allotment of industrial land at a token rate of ₹1 per acre for eligible High Priority and employment- intensive projects, along with customized incentive packages for large and mega projects. The Government has been implementing various initiatives to promote entrepreneurship development in the country including Bihar which inter alia includes Entrepreneurship Development Programmes (EDP) and Entrepreneurship and Skill Development Programmes (ESDP). Further, the Government is implementing three flagship Schemes, Fund of Funds for Startups (FFS), Startup India Seed Fund Scheme (SISFS), and Credit Guarantee Scheme for Startups (CGSS) to provide funding opportunities and support startups across sectors at various stages of their business cycle. FFS has been established to catalyze venture capital investments and is operationalized by Small Industries Development Bank of India (SIDBI), which provides capital to Securities and Exchange Board of India (SEBI)-registered Alternative Investment Funds (AIFs) which in turn invest in startups. Supported Alternative Investment Funds (AIFs) have invested around Rs. 25,547.98 crore in 1,371 startups from across the country as on 31st December 2025. Of this, Rs. 196.06 crore have been invested in startups from the State of Bihar as on 31st December 2025. Startup India Seed Fund Scheme (SISFS) provides financial assistance to seed stage startups through incubators. SISFS is implemented from 1st April 2021. Supported incubators under the Scheme have approved funds of around Rs. 590.93 crore to 3,271 Startups as on 31st December 2025. Of this, Rs. 8.78 crore have been approved to startups from the State of Bihar as on 31st December 2025. Credit Guarantee Scheme for Startups (CGSS) is implemented for enabling debt funding to startups through eligible financial institutions. CGSS is operationalized by the National Credit Guarantee Trustee Company (NCGTC) Limited and has been operationalized from 1st April 2023. As on 31st December 2025, 334 loans amounting to around Rs 808.18 crore have been guaranteed to startup borrowers under CGSS. Of this, Rs. 28 lakhs have been guaranteed to startup borrower from the State of Bihar as on 31st December, 2025.As on 31st December 2025, the recognized startups have reported to have created over 21.9 lakh direct jobs. Particularly in the State of Bihar, 4,565 entities have been recognized as startups by DPIIT, which have reported to have created more than 40,400 direct jobs, as on 31st December 2025. Govt. of India has approved development of an Integrated Manufacturing Cluster (IMC) in Gaya admeasuring 1,670 acres in state of Bihar as part of the Amritsar Kolkata Industrial Corridor (AKIC) under National Industrial Corridor Development Programme (NICDP). The total project cost approved by Govt. of India for development of internal trunk infrastructure is Rs. 1,339 crore (incl. land cost) with a projected investment potential of INR 16,524 crore and is expected to create approximately 1 lakh jobs. For ease of doing business, initiatives aimed at simplifying and streamlining business regulations have been undertaken by the Central Government including the Business Reform Action Plan (BRAP), the B-Ready assessment, Jan Vishwas and Reducing Compliance Burden on Businesses and Citizens and measurement of Cost of Regulation. Under, the Regulatory Compliance Burden (RCB) initiative various Ministries, Departments, and States/UTs are supported in reducing the compliance burden on citizens and businesses. The goal is to enhance Ease of Doing Business and Ease of Living through four key strategies: Simplification of procedures, Rationalization of laws, Digitization of processes, and Decriminalization of minor offences. Regulatory Compliance (RC) Portal has been developed for tracking action taken by Ministries/ Departments and States/UTs to reduce compliance burden. There is no specific study instituted recently by Government to assess the status of the industrial ecosystem in Bihar and particularly in the Seemanchal region (Kishanganj, Araria, Katihar and Purnea). *******