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How To Start an Industry in Assam


      In setting up of an industry or business entity, essentially the following options needs to be considered:

Does the idea fire up your motivation

Is it a viable business proposition in your area?

Does it match the needs of your clientele?

Check it out with basic market research

Test it out with market place

Consult the experts

Look out for the competition in the field

Your business opportunity

Project conceptualization - Product (Shape, Size and Nature), Process (Technology to produce the proposed product), Place (Location of Plant) and Partner (Technological and Financial Collaborator)

Starting Business

Managing Business

Growing Business

Business Financing

Legal Aspects of Business

Doing Business in India - A Report by Ernst & Young

Decision TO Be An Entrepreneur

Many first time entrepreneurs do not have a clear perspective of the issues, legal or otherwise, involved in choosing one or the other form of a business. This often results in avoidable mistakes which later cost time and money to rectify.


how much do you plan to invest in your new business? Do you have the necessary resources to start an industry? If yes, where do you source for it? Can you qualify for a business loan or other financial assistance? By asking these questions, you can prepare a list of tools and resources to start the industry. 

Making A Product Choice

Know your target market

Define age, race, income level, and any other category of consumers you want to reach. Targeting your market makes it easier to design your products or services to meet consumer needs. The market survey needs to be done to estimate the demand-supply gap of a product. Estimate the demand-supply gap of a product. Local, national and international market for the product and the possible competition to be analyzed.

Trends in technology

The emerging technological advancements and the sources for the technology transfers must be taken into consideration. 

Types of Organization

Following are the main types of legal forms used predominantly to run business organizations, and are commpnly in practice the world over.


Sole proprietorship: where generally only one person funds the business activities.


Partnership: where two or more people can join together as partners to raise the finances for running a venture.


Limited company: where it is possible for many thousands to subscribe for a share in business ownership and, in theory at least, in its governance and direction.


Co-operative Society: This is the fourth legal form, which can be used in a particular type of businesses such as dairy, sugar etc.

Company Registration (Registrar of Companies)

To start any business as a private limited or limited company, one must register the name of the company with the Registrar of Companies (ROC). The registration allows you to 'legally' carry on day-to-day administration of business. The company registration form allows you to specify the 'physical' brick-and-mortar address where your company's office will operate out from, among other things. In Assam, company registration is filed with the Registrar of Companies, Morello Building ,Ground floor , Shillong - 793001

Ministry of Corporate Affairs, Government of India 
Whether one would like to register a Sole Proprietorship, Partnership, Limited (Public|Private), Co-operative Society, Association, etc., there are generally a couple of steps to be kept in mind in order to register a company. The following is an example for registering an Association, it may defer depending on the type of business being set up: 




Obtain approval for the proposed name of the Company from the ROC.


Draw up the Memorandum of Association.


Draw up the Articles of Association.


Getting the appropriate persons to subscribe to the Memorandum. (a minimum of 7 for a public company and 2 for a private company).


Payment of Registration Fee to the ROC.


Receipt of Certificate of Incorporation.


Obtain a certificate of commencement of business from the ROC in case of a public company.



The President under Notification dated 9th May 2007 has amended the Government of India (Allocation of Business) Rules, 1961. Pursuant to this amendment, Ministry of Agro and Rural Industries (Krishi Evam Gramin Udyog Mantralaya) and Ministry of Small Scale Industries (Laghu Udyog Mantralaya) have been merged into a single Ministry, namely, “MINISTRY OF MICRO, SMALL AND MEDIUM ENTERPRISES (SUKSHMA LAGHU AUR MADHYAM UDYAM MANTRALAYA)” 

Worldwide, the micro and small enterprises (MSEs) have been accepted as the engine of economic growth and for promoting equitable development. The MSEs constitute over 90% of total enterprises in most of the economies and are credited with generating the highest rates of employment growth and account for a major share of industrial production and exports. In India too, the MSEs play a pivotal role in the overall industrial economy of the country. It is estimated that in terms of value, the sector accounts for about 39% of the manufacturing output and around 33% of the total export of the country. Further, in recent years the MSE sector has consistently registered higher growth rate compared to the overall industrial sector. The major advantage of the sector is its employment potential at low capital cost. As per available statistics, this sector employs an estimated 31 million persons spread over 12.8 million enterprises and the labour intensity in the MSE sector is estimated to be almost 4 times higher than the large enterprises. 

Ministry of Micro, Small and Medium Enterprises, Government of India 

Types of Enterprises

Based on the investment limit on the plant and machinery, enterprises have been classified as given below: 


Manufacturing Sector

Service sector


upto Rs. 25 Lakh

upto Rs. 10 Lakh


More than Rs. 25 Lakh upto Rs 5 Crore

More than Rs. 10 Lakh upto Rs 2 Crore


More than Rs.5 Crore upto Rs 10 Crore

More than Rs.2 Crore upto Rs 5 Crore


Above Rs 10 crore

Above Rs 5 crore

Ministry of Micro, Small and Medium Enterprises, Government of India

Location of Industry

When choosing a location, consider the cost of utilities and rent. Other factors include accessibility to targeted customers, competition, demographics and proximity to other businesses. 


Raw material availability: Location of raw materials and the cost of conveyance to the site of industry must be worked out.


Skilled labour: Availability of skilled labour in and around the area also to be taken care of.


Infrastructure: Necessary infrastructure such as power, road, rail and port connectivity for movement of raw material and finished goods must be in place before the commencement of commercial production.

Registration of the Unit

The Department of Industries, Trade and Commerce, Government of Assam is concerned with the promotion, development and regulation of industries in the State of Assam. 

Please visit the nearest District Industires and Commerce Centre of your district for the registration or visit an Udayami Mitra for further guidance and hand holding. There are 26 DI&CC under Department of Industries of Commerce and Industries, Government of Assam. For details click Helpdesk.

Or visit Rajiv Gandhi Udyami Mitra Yojana (RGUMY)for further guidance.

Applying for Provisional Registration

The process of registration of any enterprise either manufacturing or service sector is covered under the MSMED Act, 2006. Entrepreneurs who want to start a new industry in Assam have to file an application for Entrepreneurs Memorandum PART-I (Provisional Registration). The application form is available at the facilitation counter of districts centre of DI&CC on all working days or can be downloaded 

The Industries Inspector at the facilitation counter will provide guidance to Entrepreneurs on how to fill-up the forms, issuing NIC and Product code numbers. 

After filling all the forms, it has to be handed over to the concerned Inspector for checking. If the form is complete in all respects, the concerned Inspector will sign the same and the forms are forwarded along with the required documents like (1) Partnership deed and Registration Certificate; (2) Memorandum and Articles of Association After receipt of the applications for PART-I along with the required documents, acknowledgment is the same day. The acknowledgement for PART-I is valid for 2 years only. 

After receipt of acknowledgement for PART-I, the Entrepreneurs have to start formalities for going into production after obtaining all required documents to start production. 

The Director of Industries and Commerce, as well as, the General Manager (DI&CC) reserves the right to seek copies of Project Report and other relevant information required to ensure the types of raw materials proposed to be used in the manufacturing process, type of machinery involved and other aspects of the unit.

Applying for Permanent Registration

As soon as production is started, an application has to be filed for Permanent Registration in Part-II. The form for filling in PART-II is available at Counter of DI&CC on all working days or can be downloaded from All help in filling PART-II of the form will be provided by the facilitation counter. 

The Provisional Registration (PART-I) is converted into Permanent Registration on confirming that the unit has taken all the effective steps, including installation of machinery and equipments, obtaining power/water connection, that the unit has gone into commercial production and has produced all the necessary NOCs/ Documents/clearances from the concerned authorities. 

Application in PART-II for permanent registration received at the facilitation counter is verified thoroughly by the Industries Inspector/Extension Officer (Industries) and if any deficiency is observed, the entrepreneur is directed to furnish the remaining documents /information. On receipt of such documents, the Industries Inspector/Extension Officer (Industries) inspects the unit for physical verification of the machinery, equipments and other assets of the factory/unit, verification of the documents, etc and submits his Inspection Report within a period of 15 days, along with all the documents to the General Manager (DI&CC).

The Industries Inspector's report and other documents are then further scrutinized by the Registration Section and if found in order, the case of Permanent Registration is approved by the General Manager (DI&CC) and acknowledgement for permanent registration, Part-II is issued. 

Applying for Eligibility Certificate for availing Central and State incentives and Tax benefits under North East Industrial & Investment Promotion Policy (NEIIPP) 2007 and Assam Industrial and Investment Policy (AIIP)2008.

After receiving the permanent registration the unit can apply for eligibility certificate to avail the Central and Sate incentives and benefit under NEIIPP 2007 and AIIP 2008. 

Applications complete in all respect should be submitted to the respective DI&CC of the district and it will be disposed of within a maximum period of 90 days.

Applying for Subsidy Claims against various incentives under NEIIPP 2007 and AIIP 2008

After receiving the eligibility certificate the unit can apply for the various subsidy grants as mentioned in the eligibility certificate to avail the Central and Sate incentives under NEIIPP 2007 and AIIP 2008. 

Applications complete in all respect should be submitted to the respective DI&CC of the district for further verification. Once the verification is complete, the claim will be sanctioned by the empowered committee for necessary payment.


Investors Guide

How to start an Industry in Assam

Advantage Assam

Industrial Map of Assam

Investment Facilitation

Finance & Banking

Taxation System

Legal & Judiciary System

Industry and Business Related Laws

Intellectual Property Rights