The Assam Bamboo and Cane Policy, 2019

50% / ₹5 Cr
State Capital Investment Subsidy
100%
Artisan Tool Grant & Skill Training
SBDA
Implementing Nodal Agency
5 Years
Policy Operation Validity
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Policy Overview

Harnessing Assam's natural bamboo and cane resources

Bamboo has long been part of Assam's cultural, social and economic life — a renewable, versatile resource grown in natural forests, homesteads, groves and private plantations. The North-East holds more than 60% of the country's growing stock of bamboo, and Assam is among the major sources of both wild and home-grown bamboo in the region.

The Assam Bamboo and Cane Policy, 2019 sets out a multi-disciplinary, multi-department and multi-dimensional approach to harness this sector for employment, revenue and livelihood generation, while realising its social and environmental potential. It equally promotes the cane (rattan) sector through conservation, craft and small-enterprise support, product diversification, improved processing and enhanced shelf life.

Key ParameterProvision / Detail
Issuing AuthorityIndustries & Commerce Department, Government of Assam (Notification No. CI.227/2019/61)
Implementing AgencyState Bamboo Development Agency (SBDA), supported by Environment & Forest, Agriculture, P&RD, Soil Conservation & Water Resources
Governing CommitteeState Level Executive Committee (SLEC), headed by the senior-most Commissioner & Secretary, Industries & Commerce
Effective Date / Validity01.01.2020 · Valid for 5 years
Sector FocusBamboo & Cane (rattan) — cultivation, propagation, processing, handicrafts, furniture, housing, market infrastructure
Aim & Objectives

Scientific management, value addition, and environmental protection

The policy aims at the sustainable development and utilisation of bamboo and cane resources through scientific management and stakeholder participation. Specific objectives include:

  • Protection and conservation of biodiversity in bamboo and cane forests and growing areas.
  • Enhancement of resources via plantation in forests, wastelands and private land, with sustainable, scientific harvesting.
  • Productivity improvement through better planting stock and scientific management practices.
  • Promotion of bamboo-based industries at cottage, small, medium and large scale — and cane-based industries — for assured income.
  • Revival of traditional handicrafts plus product diversification and value addition in the organised sector.
  • Employment and livelihood security through assured raw-material supply and appropriate institutions.
  • Improvement of traditional and modern bamboo housing, reducing pressure on forest wood.
  • Use of bamboo and cane for environmental protection, greening degraded land, watershed and riverbank protection.
  • Skill development, capacity building and awareness generation across the value chain.
Eligible Activities & Priority Uses

Value chain scope and priority industrial applications

Support is organised around resource conservation, nurseries & plant propagation, plantations, transfer of technology, post-harvest storage & treatment, inventory & research, entrepreneurship, clusters, and marketing.

DimensionDetails & Preferred Beneficiaries
Preferred BeneficiariesIndividual farmers, Farmer Producer Organisations (FPOs), Farmer Producer Companies (FPCs), Village Producers' Organisations (VPOs), and SHGs. Free sapling distribution for farmers planting <0.5 ha.
Preferred SpeciesBambusa tulda, Bambusa balcoa, and Calamus rotang.
Priority Industrial UsesAgarbatti (incense) sticks, fishing rods, umbrella handles, bamboo board/mat/tiles, furniture, handicrafts, fibre/fabric, activated carbon, bio-energy, ethanol, and low-cost bamboo housing.
Assam's Additional Fiscal Incentives

State-specific incentives unique to this policy (Section XI)

Over and above the Central and State schemes it draws on, the policy adds the following State-specific incentives:

Incentive TypeQuantum & Ceiling
Capital Investment Subsidy (CIS)50% of eligible Plant & Machinery and internal electrical installations, ceiling ₹5.00 Crore.
Startup GrantGrant up to ₹5 Lakh for innovative ideas in the Bamboo & Cane sector.
Tools & Machinery Distribution100% grant by the State for tools/machinery to artisans (furniture, incense sticks, bamboo mats/crafts).
Skill Training Sponsorship100% sponsorship for training in ITIs and Skill Development Centres.
Souvenir Shops Subsidy50% subsidy on Fixed Capital Investment incl. civil works at tourist spots, ceiling ₹5.0 Lakh.
Online Marketing Portal Subsidy50% subsidy for developing an online portal for bamboo & cane products, ceiling ₹5.0 Lakh.
National Bamboo Mission (NBM) Assistance

NBM cost norms and funding pattern delivered through SBDA

Nurseries & Plantation Assistance

Component / ActivityMax. IncentivePattern of Assistance
Hi-Tech Nursery (2 ha)₹50 Lakh100% cost to Govt. sector; 50% cost to private sector as credit-linked back-ended subsidy.
Big Nursery (1 ha)₹16 Lakh100% cost to Govt. sector; 50% cost to private sector as credit-linked back-ended subsidy.
Small Nursery (0.5 ha)₹10 Lakh100% cost to Govt. sector; 50% cost to private sector as credit-linked back-ended subsidy.
High-Density Plantation (Wastelands)₹1.00 Lakh/ha over 3 yrs100% Govt.; 50% private (up to 2 ha), 30% (2–4 ha) over 3 yrs (50:30:20).
Block / Boundary Plantation₹1.00 Lakh/ha (≈₹240/plant)100% Govt.; 50% private over 3 yrs (50:30:20).

Processing, Product Development & Infrastructure

Item / FacilityMax. IncentiveAssistance / Subsidy Rate
Treatment & Seasoning Plants₹20 Lakh50% credit-linked back-ended subsidy.
Carbonisation Plants₹30 Lakh50% credit-linked back-ended subsidy.
Livelihood Business Incubators₹100 Lakh100% to Govt.; 50% to private (P&M only).
Processing Units (Value Addition)₹30 Lakh60% of cost.
Handicraft / Cottage / Jewellery Micro Units₹15 Lakh60% of cost.
Furniture / Incense Stick Units₹25 Lakh60% of cost.
Fabric / Fibre Extraction Units₹50 Lakh60% of cost.
Common Facility Centre (CFC)₹25 Lakh60% of cost.
Bamboo Board / Mat / Tiles Units₹200 Lakh40% credit-linked back-ended subsidy.
Bio-Energy / Activated Carbon₹200 Lakh40% credit-linked back-ended subsidy.
Ethanol Gassifier₹500 Lakh30% credit-linked back-ended subsidy + additional 10% for NE States (total 40%).
Bamboo Depots & Godowns₹50 Lakh100% to Govt.; 33% credit-linked back-ended subsidy to private.
Bamboo Mandi & E-Trading₹100 Lakh100% to Govt.; 33% to private.
Implementation & Stacking Rules

Single-source rule and policy coordination

Critical Stacking Rule (Single-Source): A unit may be eligible for fiscal incentives under the Industrial & Investment Policy of Assam 2019, NEIDS 2017, the National Bamboo Mission, and this policy — but subsidy for any particular purpose will be given from only ONE source among these schemes. There must be no duplication. No dual incentives are admissible unless specifically mentioned.
  • The SBDA implements the policy through action plans approved and monitored by the State Level Executive Committee (SLEC).
  • Eligible entities include new and expanding/modernising bamboo & cane units, individual farmers, FPOs, FPCs, VPOs, SHGs, artisans, and startups.
  • Commercial production must commence within the 5-year validity window starting from 01.01.2020.
Referenced Frameworks

Umbrella policy linkages

Referenced SchemeRole in this Policy
National Bamboo Mission (NBM)Primary source of nursery, plantation, training, processing, market-infrastructure and research quantum.
Industrial & Investment Policy of Assam, 2019General fiscal-incentive framework under which units are also eligible.
North East Industrial Development Scheme (NEIDS), 2017Central industrial incentive scheme under which units are also eligible.
Skill India MissionCost norms adopted for training of farmers, artisans, and functionaries.
Ministry of MSME (Incubation)Norms and processes for the Incubation Centre component are drawn from MSME scheme norms.
Source: The Assam Bamboo and Cane Policy, 2019 (Government Notification No. CI.227/2019/61 dated 28.11.2019), State Bamboo Development Agency, Industries & Commerce Department, Government of Assam. All figures are reproduced from the primary policy document, which itself quotes National Bamboo Mission cost norms. The policy is effective 01.01.2020 for a period of 5 years. This page is an informational summary and not a substitute for professional advice.