Filing of Industrial Entrepreneurs Memorandum Central Scheme
The Government’s liberalization and economic reforms program aims at rapid and substantial economic growth which is integrated with global economy in a harmonized manner. The industrial policy reforms have reduced the industrial licensing requirements, removed restrictions on investment and expansion and facilitated easy access to foreign technology and foreign direct investment.
All industrial undertakings exempt from the requirements of industrial licensing, including existing units undertaking substantial expansion, are required to file information in the prescribed form for Industrial Entrepreneurs Memorandum (IEM), i.e. “Form IEM”, with the Secretariat of Industrial Assistance (SIA), Department of Industrial Policy and Promotion (DIPP), Government of India, and obtain an acknowledgement. No further approval is required.
All Industrial undertakings also need to file information in Part ‘B’ of the Memorandum at the time of commencement of commercial production.
No amendment/modifications are made to any IEM filed before 30th June, 1998 except for clerical errors. Where any amendment/modification is sought to be made in such IEMs, a fresh memorandum in Form IEM, along with the prescribed fee has to be filed for which a fresh acknowledgement will be issued. An IEM would be cancelled / deleted from the SIA records if, on scrutiny, it is found that the proposal contained in the IEM is licensable.
- Before filing for IEM registration, applicant needs to make sure that
- Requirement of location policy is fulfilled.
- Local zoning and land use regulations of a State Government or regulations of Ministry of Environment which do not permit setting up of an industry at a location should be adhered to.
- Attaching ‘Distance certificate from Directorate of Sugar from the respective State Govt.’ along with copy of certificate from Survey of India is mandatory in case of Sugar industry.
- Items being manufactured should not fall under any of the schedules ( i.e. Schedule 1- Reserved for Public Sector, Schedule II- Under Compulsory License, or Schedule III- for Small Scale Sector). Click here pdffor more details.
Use the correct NIC code for filling IEM form. NIC code can be referred from:
Submission of IEM form requires a fee of Rs.1000/- (Rupees One Thousand only) for up to 10 items proposed to be manufactured in the same unit. For more than 10 items, an additional fee of Rs 250 for up to 10 additional items is applicable.
Applicant can file Form IEM, Part ‘A’, at any time of the year.
• Form IEM, Part ‘B’, needs to be filed once commercial production has commenced within the unit.
Your application, once submitted will flow through the following status before the request is completed. You may use this information to track the status of your application.
- Resubmission Required*
- Resubmission Complete
- Application Acknowledgement
- Scanned copy of AR*
Note: Items marked with * are states in certain exception flows. Your application may not necessarily pass through these states during processing.
Frequently Asked Questions
|1. What are the locational restrictions which must be adhered to before filing for IEM?
Answer: The proposed location of unit should be at least 25 KM away from the Standard Urban Area limits of cities with population of more than a million (as per the 1991 census), unless it is to be located in an area designated as an “industrial area” before the 25th July, 1991.
|2. Are there any restrictions on any specific types of units for grant of IEM?
Answer: Notified industries which are termed as “Non Polluting Industries” like Electronics, Computer Software and Printing are exempt from Locational restrictions.
|3. Are there any other clearances required before filing of Form IEM?
Answer: The Environment Protection Act 1986 has listed 29 projects in respect of which environmental clearance needs to be obtained from the Ministry of Environment, Government of India before IEM can be granted. This list includes industries like petro-chemical complexes, petroleum refineries, cement, thermal power plants, bulk drugs, fertilisers, dyes, paper etc. If unit is not dealing with pesticides, bulk drugs and pharmaceuticals, asbestos and asbestos products, integrated paint complexes, mining projects, tourism projects of certain parameters, tarred roads in Himalayan areas, distilleries, dyes, foundries and electroplating industries and where investment is less than Rs. 500 million, such clearance is not necessary.
Further, any item reserved for the small scale sector with investment of less than Rs 10 million is also exempt from obtaining environmental clearance from the Central Government. Setting up industries in certain locations considered ecologically fragile (eg Aravalli Range, coastal areas, Doon valley, Dahanu, etc.) are guided by separate guidelines issued by the Ministry of Environment of the Government of India.
|4. Is there any fee which is required to be paid for filing Part ‘B’ of Form IEM?
Answer: No fee is required to be paid while filing for Part ‘B’ of Form IEM.
The applicant has to apply online using their DSC & there after needs to submit the hard copies at SIA, DIPP Udyog Bhawan, New Delhi.
For further facilitation in obtaining the IEM please contact the undersigned-
CP: Mr. Ravi Jha
Disclaimer: Please refer to official sources before effecting a decision
“We Provide Specialized Service / Consultancy on the subject matter. For a Quote Please provide a detailed outline of your Query / Requirement through email.”