NEIDS 2017 refers to the North East Industrial Development Scheme, which was launched by the Government of India in 2017 to promote industrialization in the North Eastern Region (NER). It was approved by the Cabinet in March 2018, with a total financial outlay of ₹3,000 crore for the period from 2017 to 2022.

• Objective: To boost industrial development in the eight North Eastern states — Arunachal Pradesh, Assam, Manipur, Meghalaya, Mizoram, Nagaland, Sikkim, and Tripura — by offering financial incentives to investors.
• Launched By: Ministry of Commerce and Industry, Government of India.
• Outlay: ₹3,000 crore for 2017–2022.
• Type of Scheme: Central Sector Scheme – 100% funded by the central government.

 Key Features of NEIDS 2017

1. Comprehensive Incentive Structure:

NEIDS 2017 combines the benefits of earlier schemes like the North East Industrial and Investment Promotion Policy (NEIIPP) 2007 and introduces additional incentives:

Incentive Type	Description
Central Capital Investment Incentive for Access to Credit (CCIIAC)	30% of the investment in plant and machinery with an upper limit of ₹5 crore per unit.
Central Interest Incentive (CII)	3% interest subsidy on working capital credit.
Central Comprehensive Insurance Incentive (CCII)	Reimbursement of 100% insurance premium on buildings, plant, and machinery.
Goods and Services Tax (GST) Reimbursement	Reimbursement of the central government’s share of CGST and IGST for 5 years.
Income Tax Reimbursement	Reimbursement of central share of income tax for 5 years.
Transport Incentive	20% incentive on the cost of transportation by rail, inland waterways, or air freight.

 Eligible Units

• New industrial units and existing ones undertaking substantial expansion.
• Includes sectors like manufacturing, services, bio-technology, food processing, tourism, IT/ITeS, and power generation (excluding hydel power).

Ineligible Sectors

• Tobacco products
• Pan masala
• Plastic carry bags
• Power plants (hydel)
• Others deemed polluting or hazardous

Benefits & Impact

• Encouraged entrepreneurship and employment generation in the region.
• Promoted balanced regional development.
• Attracted private investment in sectors with growth potential.
• Boosted infrastructure development indirectly through increased industrial activity.

Challenges Faced

• Infrastructure constraints: Poor connectivity, power supply, and logistics.
• Bureaucratic delays in disbursement of subsidies.
• Low awareness among entrepreneurs about scheme benefits.
• Security issues in some states affecting investor confidence.

Conclusion 

NEIDS 2017 was a strategic effort to transform the North East into an economic growth engine through incentives that reduce the cost of doing business. While it showed promise, the scheme’s success largely depends on complementary infrastructure development, policy consistency, and administrative efficiency.