Gujarat Biotechnology Policy 2022–27

The Gujarat State Biotechnology (BT) Policy 2022–27 is a five-year fiscal-incentive framework designed to make Gujarat a globally competitive biotechnology hub. Administered through the Gujarat State Biotechnology Mission (GSBTM) under the Department of Science & Technology, the policy structures support into two separate packages (Package 1 for projects below ₹200 Crore GFCI, and Package 2 for Mega and Special projects above ₹200 Crore or creating ≥500 jobs). Incentives include a 25% capital subsidy, operational assistance covering power, patents, and lease rentals, alongside interest subsidies, EPF reimbursements, and electricity duty relief.

Vision & Mission

• •Vision: Leveraging biotechnology for building Gujarat as an innovative, socially-responsible, sustainable bioeconomy.
• •Mission: To make Gujarat a preferred and globally competitive destination for the development of biotechnology products and services.

Objectives

• •Promote ecosystem-strengthening projects such as BSL-3 laboratories, genome sequencing, and clinical testing hubs.
• •Develop strategic and emerging technology sectors (synthetic biology, vaccines, synthetic bioplastics).
• •Encourage sustainable living by promoting bio-pesticides, bio-fertilizers, and biofuels.

Five-Year Policy Targets

• •Support at least 500 biotechnology units/businesses.
• •Attract more than ₹20,000 Crore of private investments.
• •Create more than 1.2 Lakh jobs in the biotechnology sector.

Eligible Applicants

New Biotechnology (BT) Units, existing units undertaking expansion/diversification, and Special Projects run by Business Enterprises, Institutes, SPVs, PSUs, or Industrial Associations registered under the Companies Act or LLP Act. Sole proprietorships and partnership firms are explicitly excluded.

Key Definitions

• •Biotechnology: Application of Science & Technology to living organisms to alter living or non-living materials for producing goods and services (per DBT, GoI).
• •Gross Fixed Capital Investment (GFCI): Investment made in buildings, plant & machinery, and related fixed assets (excluding land cost).
• •Eligible GFCI (eGFCI): Land cost and movable assets (vehicles, furniture) are excluded. Building construction is capped at a maximum of 20% of eligible GFCI.
• •Mega Project: Eligible BT Unit with GFCI ≥ ₹200 Crore, or direct employment on payroll ≥ 500.
• •Special Project: Strategic or emerging projects (vaccines, gene splicing, stem cell therapy, bioplastics, genome sequencing, BSL-3 labs, clinical animal-testing labs).

A. Capital Assistance — 25% of eGFCI, ceiling INR 40 Crore

Disbursed in 20 equal quarterly instalments over 5 years. Covered costs include:

• •Capital Cost: Equipment, instrumentation, plant & machinery, and building construction.
• •Registration & Stamp Duty: 100% reimbursement of stamp duty and registration fees on purchase/lease of land/office.
• •Technology Upgradation: Cost of acquiring technologies from within or outside India.
• •Utilities: Cost of ETP, ZLD plants, gas pipelines, captive solar, and HVAC systems.

B. Operational Assistance — 15% of operational expenditure, ceiling INR 5 Crore per annum

Employment Support & AatmaNirbhar Gujarat Rojgar Sahay

One-time support per local employee (retained ≥1 year) at 50% of one month's CTC, capped at ₹50,000 per male and ₹60,000 per female employee. Claimable once per employee lifetime across all units.

EPF Reimbursement (5 Years, Incremental Employees)

Interest Subsidy & Electricity Duty

• •Interest Subsidy: 7% on term loans up to ₹100 Crore (max ₹7 Crore p.a.), plus an additional 3% on borrowings above ₹100 Crore, within a total ceiling of ₹20 Crore p.a. valid for 5 years.
• •Electricity Duty: 100% reimbursement of electricity duty paid on power purchased from licensees for 5 years.

Package 2 Subsidies (GFCI ≥ ₹200 Cr or Direct Jobs ≥ 500)

Policy Exclusions & Compliance Rules

• •No Stacking: A biotechnology unit can avail incentives under either this BT Policy or the general Industrial Policy — not both for the same expenditure items.
• •90% Support Cap: Aggregate grants from all state/central government sources cannot exceed 90% of the actual expenditure on any single item head.
• •Clawback with 8% Interest: If a unit changes use, discontinues operations, or violates terms, GoG will recover all disbursed benefits with 8% p.a. interest. This recovery holds priority over all other corporate dues.
• •IP Commercialization: IP rights belong to the applicant. However, if not commercialized within 3 years of filing, GoG reserves the right to commercialize it.