MANU/INDP/0012/2014

Ministry : Ministry of Commerce and Industry

Department/Board : Industrial Policy and Promotion

Press Note No. : 05(2014 Series)

Date : 02.07.2014

Streamlining The Procedure For Grant of Industrial Licenses.

I. Increasing the initial validity period of Industrial License

In supersession of all earlier Press Notes, the period of validity of Industrial License is being extended from two years to three years as a measure for ease of doing business.

II. Extension in validity of Industrial License

The revised guidelines are as follows:

Guidelines for Extension of validity of Industrial License

Note:-These guidelines are applicable for extension of validity of Industrial license in cases where the license holder has not commenced production of the items within three years of issue of license.

i. The application for extension of license should be submitted to the concerned Administrative Ministry, 60 days prior to the expiry of the three years period or otherwise specified for commencement of commercial production. In case the application is not received in time, justification for late application shall have to be submitted along with the application.

ii. At the time of applying for grant of extension of validity of license the condition and status of the firm should be same as mentioned in the Industrial License issued to the firm. Thus any amendment, viz. change in the name of the company, increases/changes in license capacity, alteration or change in the premises, part shifting etc. should have been endorsed in the License.

iii. Applicant's request should be forwarded to Ministry of Home Affairs* and concerned State Government and after seeking comments of these agencies, case should be considered for Extension of validity. MHA may be consulted only if there is change in Board of Directors/key personnel.

iv. Applicant shoul........