| Manufacturing Sector Priority Industries | Non-Manufacturing Sectors |
V.A + Export Cat (A) | Hi-Tech & IT Cat(B) | Engg+ Chem, Agri business, housing & construction, tourism
Cat(C&D) | Other Indus- tries | Agriculture | Infrastructure & Social | Services including IT & Telecom Services |
Govt. Permission | Not required except 4 specified industries * | Not required except specific licenses from concerned
agencies. |
Remittance of capital, profits, dividends, etc. | Allowed | Allowed |
Upper Limit of foreign equity allowed | 100% | 60% | 100% | Initially 100% but to be diluted to 60% within five years. |
Minimum Investment Amount (M $) |
No | 0.3 | 0.3 | 0.3 |
Customs duty on import of PME | 5% ** |
5%** | 10%** | 5-25% | 0% *** | 10%*** | 0-10%*** |
Tax relief (IDA, % of PME cost) | 50% |
50% |
Royalty & Technical Fee | No restriction for payment of royalty & technical fee. | Allowed as per guidelines - Initial lump-sum upto $100,000 - Max Rate 5% of net sales - Initial period 5 years |
