Punjab Border Zone Duty Exemption
By Department of Industries & Commerce, Government of Punjab
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Quick Answer
The first two units per sector to start operations in Punjab's Border Zone and Kandi areas get 75% exemption from state duties, taxes and fees.
About this subsidy
Punjab's Industrial and Business Development Policy 2022 grants 75% exemption from all state duties, taxes and fees — such as Rural Development Fee, Market Development Fee and State Excise Duty — to the first two units that come into operation in the Border Zone and Kandi areas for each sector of manufacturing and service industry. Unlike a one-time capital concession, these are levies charged on procurement and operations, so the relief compounds with volume across the life of the unit. The first-two-per-sector limit means the incentive rewards whoever commissions first, not merely whoever applies.
Eligibility
See if you're eligible
Full eligibility criteria — entity type, stage, sector, founder profile and registration requirements — plus your fit for this program. Sign up to view.
Subsidy providers
The Department of Industries & Commerce is the Government of Punjab's department that runs the Punjab Start-up Cell. The Cell is headed by the Director of Industries and Commerce and acts as a single point of contact for the state's startup policy. The department is based at…
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What You Get
75% exemption from all state duties, taxes and fees — including the Rural Development Fee, Market Development Fee and State Excise Duty — for the first two units to come into operation in the Border Zone and Kandi areas in each sector of manufacturing and service industry.
- Bootstrap friendly
- Yes
Timelines & Process
Applications
Rolling basis
Application Process
- 1
Register project
Register the Border Zone/Kandi project on the Business First portal.
You - 2
- 3
- 4
How to apply
Four steps from draft to disbursement — one action each.
- 1
See the questions before you start
Download every question this programme's application form asks, so you can prepare your answers offline before opening the portal.
- 2
Line up your documents
Keep every document from the checklist ready in one folder. Missing docs are the #1 reason applications get bounced.
- 3
Submit on the official portal
Use the official application link and verify all details before final submission.
- 4
Follow up
Reach out 5–7 days after submitting to confirm receipt and ask about the review timeline.
Frequently Asked Questions
Which levies are covered?
All state duties, taxes and fees, such as Rural Development Fee, Market Development Fee and State Excise Duty.
How much is exempted?
75%.
Who qualifies?
The first two units that come into operation in the Border Zone and Kandi areas for each sector of manufacturing and service industry.
Does it cover service industry units?
Yes — the clause names both manufacturing and service industry sectors.
Sources
Data on this page is compiled from official program and provider references.









