Government of Maharashtra notifies the Industries, Investment and Services Policy 2025

In brief

The Maharashtra Industries, Investment and Services Policy 2025¹ (policy), released recently, is a comprehensive framework designed to transform Maharashtra into a premier global business destination and India’s first trillion-dollar state. 

The policy provides distinct incentives for manufacturing and select service sector units. Manufacturing sector incentives are primarily based on fixed capital investment (FCI) or employment generation, offering benefits including gross State Goods and Service Tax (SGST) reimbursement, capital and interest subsidies, power tariff subsidy and electricity duty exemptions, production-linked incentives, etc. 

Furthermore, service sector incentives are focused on direct employment generation, and incentives are provided in the form of Employees’ Provident Fund (EPF) reimbursement, rental lease subsidy, support for skilling and Research and Development (R&D), etc. 

The policy provides additional incentives for import substitution projects in the form of reimbursement of costs related to technology, R&D and plant and machinery (P&M). The policy also promotes ease of doing business (EoDB) in the form of enhancements with key upgrades including AI-powered approvals, blockchain-based document verification, and real-time tracking, to improve investor experience on the MAITRI portal.