HP Land/Shed Concession Scheme — Up to 75% Off Industrial Land — Frequently Asked Questions

It is a Himachal Pradesh government incentive that reduces the rate or premium an industrial unit pays for land or an industrial shed in the state. It operates under the Himachal Pradesh Industrial Investment Policy 2019 and is administered by the Department of Industries, Government of Himachal Pradesh (Startup Himachal). The support comes as a percentage concession on the cost of the land or shed, not as a cash grant.

The range is 25% to 75%, decided by your enterprise type and the category of the industrial area. MSMEs get 50%, 60% or 70%; Large Enterprises get 25%, 45% or 65%; and Anchor Enterprises get 50%, 60% or 75%. The top slab available under the scheme is 75%, and it is reserved for Anchor Enterprises.

Three types of enterprise qualify: Micro, Small and Medium Enterprises (MSMEs), Large Enterprises, and Anchor Enterprises. The unit must be establishing or expanding operations in an industrial area in Himachal Pradesh that falls under Category A, B or C. No sector-specific restrictions are specified, so the scheme is broadly open to industries setting up in the state.

Yes, it is a Himachal Pradesh state incentive, so the land or shed must be in the state. Specifically, it applies to industrial areas classified by the state as Category A, B or C. The differing slabs across those categories are intended to steer industrial investment across the state rather than into a single belt.

The published structure gives three possible percentages for each enterprise type, tied to whether the land or shed sits in a Category A, B or C area. The exact rate that applies to a specific plot should be confirmed with the Department of Industries when you apply, since the summary does not map each individual figure to its category.

No. The scheme is rolling and always open — it is an ongoing policy incentive rather than a time-bound round. Applications are processed according to the procedures laid out in the Industrial Investment Policy 2019, so you can apply whenever your project is ready, as long as the policy is in force.

It is none of those in the usual sense — it is a subsidy or concession applied to the rate or premium on industrial land or an industrial shed. That makes it non-dilutive: the state does not take a stake in your company, and there is nothing to repay beyond the reduced amount you pay for the land or shed.

The available scheme details do not specify a DPIIT or MSME registration requirement. What does matter is your enterprise classification, because MSME, Large and Anchor Enterprises get different slabs. It is worth checking the policy guidelines and confirming your category with the Department of Industries before you apply.

Yes. The concession applies to the rate or premium for industrial land as well as for industrial sheds, so it can be used whether you are buying a plot to build on or taking an industrial shed. In both cases it reduces the upfront capital cost of the space.

Applications are made as part of the overall application process under the Himachal Pradesh Industrial Investment Policy 2019. You submit a formal application to the designated industrial development authority in Himachal Pradesh, setting out the details of the proposed project and your enterprise category, along with the required supporting documentation. Online services for the state's industrial incentives are available at https://emerginghimachal.hp.gov.in/online-services.

HP Land/Shed Concession Scheme — Up to 75% Off Industrial Land is offered by Department of Industries, Government of Himachal Pradesh (Startup Himachal), a government body. It is provided as non-dilutive funding.

Apply directly through the official application link on this page. Review the eligibility criteria and prepare your startup documents before you begin.