Bihar Logistics Policy, 2023

Bihar has a unique location-specific advantage owing to proximity to the vast markets of Eastern, Central and Northern India, Nepal and Southeast Asia. The State can leverage its position next to land-locked Nepal via the BBIN Motor Vehicles Agreement, through the Inland Container Depot at Birgunj, Nepal, less than 10 km from Raxaul in Bihar. Through this policy, the Government envisages attracting investment in warehousing, cold storage, technological solutions, robotics & automation, and skill development.

• •Infrastructure Status: MMLPs and Logistics Parks (comprising ICD, cold chain, warehousing) are granted infrastructure-lending status, enabling easier borrowing terms and access to ECBs.
• •High Priority Status: All eligible Logistics Units, Logistics Parks, and MMLPs receive High Priority Status for clearances.
• •Dedicated Logistics Division: Headed by an officer not below Director rank under the Department of Industries to coordinate inter-departmental clearances.
• •Green Channel for EXIM Cargo: Reduced-inspection channels to prevent transit delays, plus comprehensive transport zones near highways with lay-byes, workshops, and rest-houses.
• •Logistics Zones: Dedicated Logistics Zones (DLZ) declared along the EDFC periphery with 24x7 water-power and link-infrastructure support.
• •Deemed Land-Use Conversion: Automatic land-use conversion within 30 days from date of application.

Logistics Parks & Multi-Modal Logistics Parks (MMLPs)

Logistics Units (ICD, Warehouse, Cold Chain, CFS)

Special Class Entrepreneurs top-up

For SC, ST, EBC, EWS, Women, Differently-abled, War-widows, Acid attack victims, and Third gender entrepreneurs: Interest subvention rate is increased by 15% (i.e. 11.5% or actual rate, whichever is lower) and the maximum subvention cap is increased by 15% (i.e. up to 57.5% of FCI or ₹23 Cr for Logistics Units).

• •Logistics Park/MMLP CIS Schedule: 1st instalment (50%) after 12 months on min 12 acres or 50% park area. 2nd instalment (30%) after 24 months on cumulative 20 acres or 80% area. 3rd instalment (20%) after 36 months on 100% area.
• •Logistics Units CIS Schedule: 1st instalment (50%) after 12 months or 50% completion. 2nd instalment (30%) after 24 months or 80% completion. 3rd instalment (20%) after 36 months or 100% completion.
• •Shareholding Lock-in: More than 50% of shareholding value of a Logistics Park/MMLP cannot be transferred until 5 years from the last incentive payment.
• •Maximum Capping: The maximum total incentive value under this policy is ₹150 Crore per eligible entity.
• •Development Reserve Fund (DRF): Promoters must contribute 5% of land-allotment collections and 10% of Annual Net Profit into a fixed deposit DRF for maintenance.
• •Clawback / Recovery: False declarations or diversion of use triggers recovery of all incentives with 18% per annum compounded interest.

1. 1Eligible units submit fully-filled online applications for Stage-1 clearance on the Single Window Clearance portal (swc2.bihar.gov.in); processed within 7 working days.
2. 2Apply for land allotment on the BIADA portal (biadabihar.in); disposed of by BIADA within 30 working days.
3. 3Apply for Financial Clearance on the Single Window Clearance portal (swc2.bihar.gov.in) of the Department of Industries.