PROJECT REPORT

ON

“MIDC SERVICES”

PROJECT UNDERTAKEN AT

CHARTERED ACCOUNTANT. AT PUNE

DEPARTMENT : MIDC
SUBMITTED BY

ANMOL SATYAWAN YELMATE

UNDER THE GUIDANCES OF

PROF. RAKESH BHATI
SUBMITTED TO
“SAVITRIBAI PHULE PUNE UNIVERSITY”
IN PARTIALLY FULFULMENT OF THE REQUIRMENT FOR THE AWARD
OF THE DEGREE OF
MASTER OF BUSINESS ADMINISTRATION (MBA)
THROUGH
ASM’S, INSTITUTE OF PROFESSIONAL STUDIES, PIMPRI PUNE
(YEAR 2022-2024)
 INDEX
Chapter Content Pages No.
No.

1 Excutive Summary

2 Introduction
3 Capital Management
in MIDC
4 Organization profile
5 Objective
6 Subletting
7 Development of
MIDC plots by
utilization of
minimum 40% FSI
8 Financial
department service
offered by MIDC
9 Document
10 MIDC Auction plot
11 BCC/OC
12 Finding
13 Conclusion
 DECLARATION

This is to declare that I, Anmol Satyawan Yelmate of IBMR,

Chinchwad station (2022-2024) have given original data and
information to the best of my knowledge in the project report title
“To Study Capital Management in MIDC” Under the guidance of Dr.
Rakesh Bhati and that, no part of this information has been used
for any other assignment but the partial fulfillment of the
requirement toward the completion of the said course.

I have prepared this report independent and I have gathered all the
relevant information personally. I have prepared this project for
M.B.A. for the year 2022-2024

I also agree in principle not to share the vital information with any
other person outside the organization and will not submit the project
report to any other university.

Place Pune Anmol Satyawan Yelmate

Date / / M.B.A. (Finance)
 ACKNOWLEDGEMENT

The Success of any project report depend largely on the

encouragement and guidelines of many people. I take this
opportunity to express my gratitude to the people who have been
instrumental in the successful completion of the project. I would like
extend my sincere thanks to all of them.

The Following report on “The Study of Capital Management in

MIDC” is and honest and sincere effort on my part to put into
practice the concept learned in the classroom.

His Project report would not have been possible without the
guidance and support of empty guide, Dr. Rakesh Bhati who with her
technical know-how and experience guided me from the very start. It
is by Virtue of her valuable suggestion and mentoring that this
project report has materialized into concretion.

Anmol yelmate
EXCUTIVE SUMMARY
 Company : Mehta Naviwala & Company
SERIVICE : INTERN (Project Management)
AREA : PUNE, Shivaji Nagar ,Wakdewadi 411003

Executive training is nothing but a on the job training in these

sessions we have to perform the actual job that we are learn in the
book, We have to implement the knowledge in the job. Executive
training gives the exposes us for implication of theoretical knowledge
into actual practical like work under pressure, perceptions of
customer & customer satisfaction. It is way to understand the actual
market for the company. Executive training gives us an opportunity
to develop our skills, our personality.
Maharashtra Industrial Development Corporation (MIDC) allots plots
to the companies/firms for setting up their industrial units in the
designated industrial areas. However, sometime due to
financial/technical difficulties plot holder are not able run their
industry and require to transfer the plot and other assets either to
the third party or their subsidiary or sister company for the
furtherance of their business interest or changes of business
strategy. MIDC sets transfer process of industrial plots of leasehold
properties in Maharashtra.
Over a period of time the MIDC has revised its transfer guidelines
few times keeping in view the main objective of MIDC regarding
utilization of plots for the business activity which result in the
economic growth of the country and also generates employment.
The Main Objectives of this document is to provide salient feature of
the various transfer guidelines issued by the MIDC during last 25 year
for transfer process of industrial plots in Maharashtra.
MIDC Circular No. 2633 dated 12 may 1998 laying transfer Guidelines
The MIDC formulated and issued detailed transfer guidelines to
facilities transfer process of industrial plots. This Circular categorized
the transfer process of MIDC plots in 2 Broad categories.

Formal Transfer :
Standard ( Minimum) Transfer fee*/no fees is playable for transfer
plot .

Non-Formal Transfer :
Transfer fee i.e . 10% / 30% of the differential premium** is
payable as per MIDC policy for transfer of plot.
INTRIDUCTION
Industry scenario
Maharashtra Industry Development Corporation (MIDC) is a
project of the government of Maharashtra state in India, and is the
leading corporation of Maharashtra. It provides businesses with
infrastructure such as land (open plot or built-up space), road, water
supply, drainage facilities and street light.
After the formation of Maharashtra state on May 1, 1960, the
Government of Maharashtra constituted a “Board of Industry
Development” (BID) on October 1, 1960, under the chairmanship of
Shri. S. G. Barve, I. C. S. The various committees recommendation
received in the industries department were taken up for
implementation and per the Borkar Committee’s recommendation,
development of Ulhas Valley Water Supply was entrusted to the
Board of Industrial Development (BID). The BID framed the
legislation and it was introduced before the state legislation and
passed in the form of “Maharashtra Industrial Act” which gave birth
to MIDC, as a separate corporate on August 1, 1962. A small
Ceremony at wagle Estate Thane, Under the Chairmanship of the
Chief Minister Shri Y.B. Chavan, marked the birthday of MIDC on
August 1,1962

They key historical policy decision taken by MIDC Certainly changed

the socioeconomic scenario of the state as its activities spread in the
interior. The important policy decision of setting up “independent
filtered, potable water supply system of adequate capacity” as
essential infrastructure for industry.
It established the population base near the industrial areas. The
strategic wise decision taken simultaneously to provide water supply
to nearby domestic population from the capabilities created by MIDC
of their own water supply system resulted in phenomenal urban
growth in the nereby small towns and villages.
The growth of Kalyan complex and pimpri-Chinchwad are result of
this key policy decision taken by MIDC. Up to date 229 industrial
areas are development by MIDC in state of Maharashtra on 53120
Hectors of land. With the experienced of 45 year MIDC observed that
certain industries are required to be provide some specialized
facilities . For the Growth of such industries and according
specialized parks/industries culsters are development with
specialized infrastructure facilities.
In this way IT & BT Park, Wine Park, Textile Park, Chemical Zones,
Food Parks, Leather Park, Floriculture Park and Electronic Zone etc.
are developed by MIDC. Considering the international standard
facilities required to attract multination companies five star
industries area are developed by MIDC at 9 location in the state of
Maharashtra.
Considering the export potentional of the various product specifically
delineated duty free enclave which is to be deemed to be foreign
territory for the purpose of trade operation and duties and traffics
special economic zone are being developed by MIDC to provide
hassle free environment for exported. Maharashtra got
overwhelming 74 special Economic Zone approval from the
government of India which is leading at No.1 position compare to
other states in India.
The planned and systematic industrial development in the state of
Maharashtra has continuously placed Maharashtra at No.1 position
in India for the highest productivity economics performance,
business efficiency, government efficiency, infrastructure and overall
competitiveness.
As per the world competitiveness Report 2006 Maharashtra ranks
37, ahead of south- korea, south Africa, Philippines, Greece, Brazil,
Itlay, Russia & Indinesia. In the Maharashtra State MIDC has
demarcated 57650 No. of plot and allotted 48701 no. of plot to the
entrepreneurs. There are total 28918 No. of industries in production
MIDC has provided the water supply scheme of total 2240.83 MLD
capacity and water consumption is 1314.73 MLD in the MIDC areas in
the state of Maharashtra. MIDC has provided the water supply
pipelines of 3238.60 K. M. lengths to cater the water supply demand
of the industries in Maharashtra. Total roads of 2422.82 K. M.
lengths are constructed by MIDC for provided good quality approach
to the industries. The development expenditure of 3096.75 Crores is
incurred for the various infrastructure works by MIDC. The annual
revenue generated from the water supply is Rs.432.00 Crores.
 Capital Management in MIDC
Capital Management in the context of a MIDC (Midsize
Industrial Development Corporation) primarily refers to the
financial strategies and practice aimed at efficiently utilizing
and managing the financial resources and assets of the
corporation. Here are some financial term related to capital
management in a MIDC:
Capital Budgeting
The process of planning and allocating funds for long-term
investment in infrastructure development, facility expansion,
and other project within the MIDC.

Debt Financing
The use of borrowed fund, such as loan or bound to
finance capital project or other activities within the MIDC.

Equity Financing
Raising capital by selling ownership share (equity) in the
MIDC to investor, which may involve issuing stock or other
equity instruments.

Working Capital
 The capital available for day-to-day operational expenses,
calculated as current assets minus current liabilities.
Cash Flow Management
Monitoring and managing the cash inflow and outflow of
the MIDC to ensure that it has adequate liquidity to meet its
financial obligations.

Leverage Ratios
Metrics that assess the MIDC’s reliance on debt to finance
its operation such as debt-to-equity ratio and debt service
coverage ratio.

Investment Analysis
Evaluating potential investment or project in term of their
financial viability, including assessing their return on
investment (ROI) and net present value (NPV).

Risk Management
Strategies for identifying mitigating, and managing
financial risk, such as interest rate risk, currency risk, and
market risk.

Financial Reporting
 The process of preparing and presenting financial
statement, including balance sheets, income statement, and
cash flow statement, in accordance with accounting
standards.
Regulatory Compliance
Ensuring that the MIDC adheres to financial regulations
and compliance requirements, including tax regulations,
financial reporting standards, and industry-specific
regulations.

Asset Management
Efficiently managing the MIDC’s assets, such as industrial
properties, to optimize their utilization and generate returns.

Financial Performance Metrics

Key performance indicators (KPIs) used to measure and
evaluate the financial performance of the MIDC, including
profitability ratios (e.g., ROI, ROE), Liquidity ratios (e.g.,
current ratio), and solvency ratios.

Capital structure
The Combination of debt and equity used to finance the
MIDC’s activities. It involves determining the right mix of
debt and equity to optimize the cost of capital.
Capital Allocation
The process of deciding how to allocate financial resource
among different projects, divisions, or investment to achieve
strategic objectives.
Dividends Policy
Decisions related to distributing profits to shareholder in
the form of dividends or retaining earnings within the MIDC
for reinvestment.
ORGANIZATION PROFILE
Economic sectors
MIDC Has develop specialized parks based on sector such as:
 Automobiles and Auto Components
 Biotechnology
 Consumer
 Chemical
 Engineering
 Electronic Hardware
 Information Technology
 Petrochemical
 Pharmaceuticals
 Transportation
 Textile
 Wine

Location
MIDC areas are spread over the state of Maharashtra. The MIDC
started in 1962 with Wagle estate. Thane as its first industrial Areas.
MIDC’s major Industries Areas are at:
 TTC (Trans Thans Creek) near Thane & Navi Mumbai
 Pimpri-Chinchwad near pune
 Butibori near Nagar
 Sangli-miraj
  Latur
 Waluj near Aurangabad
 Satpur Ambad near Nashik

MIDC’s major IT parks are at:

 Airoli Knowledge parks, Navi Mumbai
 Millennium Business parks, Navi Mumbai
 Samruddhi Venture parks, Mumbai
 Rajiv Gandhi Infotech park, Hinjawadi, Pune
 Sangli Infotech park, Sangli
 Latur Infotech park, Latur

MIDC Wine Parks:

 Krishna Valley Wine parks, palus near Sangli
 Wine park, Nashik

Organization Structure

Regional location
The Properties like plot, built-up shed and built-up warehouses are
leased out by MIDC for industries, commercial or residential
purpose. The allotment can be done at regional offices located at 12
location across the state:
 Mumbai Region
 Thane ([email protected])
 Mahape ([email protected])
 Mahad ([email protected])
 Ratnagiri ([email protected])

 Pune Region
The Region leads in the number of industrial units, investments
and employment opportunities among all MIDC areas in
Maharashtra, the state Economic survey 2022-23 presented by
deputy chief minister Devendra Fadnavis on Wednesday
revealed.
 Chakan MIDC
 Bhosari MIDC
 Ranjangoan MIDC
 Pune MIDC
 Shirwal MIDC
 Pimpri-Chinchwad MIDC

 Nashik Region
 Nashik MIDC
 Dhule MIDC
 Jalgaon MIDC

 Sangli Region
 Sangli-Miraj
 Solapur
 Krishna valley Wine Park, Palus
 Islampur
 Pandharpur
  Aurangabad Region
 Aurangabad
 Jalna

 Latur Region
 Latur
 Osmanabad

 Nagpur Region
 Nagpur
 Amravati

Activities
The MIDC has been declared as an agent of the state government for
carrying out activities within the framework of the MIDC Act and
MIDC rules. These activities are in three broad categories:

 Acquisition and disposal of land

 Provision of infrastructure facilities.
 Providing services—supply of potable water from MIDC’s own
water treatment plants, Maintaining roads, street light,
Drainages lines ect.

Achievements
 Bulit 225 indutries complexes with 1,300,000 acres (5,300
km*Km) of land
  Developed specialized parks for different industrial sector,
including IT, BT, Wine (Grape processing) parks, Silver Zones,
gems and jewellery, textiles, leather, chemical industry,
electronics, food processing, floriculture etc.
 Elaborated network of industries & domestic water supply,
total quantity supplied 1285 MLD.

Proposed Pune International Airport

A brand new Pune international Airport for Pune metropolitan region
has been on the horizon for a long time, and the Government of
Maharashtra has entrusted the responsibility to MIDC for executing
the Pune international Airport project. The Airport would replace the
existing Pune Airport . The Current areas under consideration is the
areas between chakan and Rajgurunagar, namely around the village
of chandus and Shiroli both situated at a distance of 40km from Pune
along the Pune to Nashik National highway (NH-50) . MIDC is
conducting survey and completing other formalities to get the
required permission to start executing the project.
Objective of the study
The term “MIDC DEPARTMENT” Typically refers to a professional
firm that provides various services related to Maharashtra industrial
Development Corporation (MIDC) or similar industrial development
organization in the state of Maharashtra, India. The work of an MIDC
Department can be diverse and may encompass a range of services
tailored to the need of businesses and industries looking to establish
or expand their operation within MIDC industries estate and zone.
Here are some common tasks and responsibility associated with the
work of an MIDC Department:
Site Selection
MIDC Department help businesses indentify suitable location
within MIDC estates based on specifies requirement such as the size
of land or industries sheds, proximity to transportation network, and
infrastructure availability.

Regulatory Compliance
This assist in navigating the regulatory environment, helping
businesses obtain permits, licenses, and approvals required for
setting up and operating industries within MIDC regions.

Government Liaision
MIDC Department often act as intermediaries between
businesses and government authorities, facilities communication and
interaction to ensure a smooth setup process.

Incentives and Subsidies

They Provides Guidence on the various government
incentive, subsidies, and tax benefits available to businesses
operating within MIDC estate.
Infrastructure Assessment
Department Assess the existing infrastructure within MIDC
estate and advise businesses on any additional infrastructure
requirement, such as power supply, water, and connectivity.

Market Research
They may offer market research services to help businesses
understand local market dynamics, competition, and demand
for their product or services.

Environment Compliance
Department assist businesses in complying with
environment regulations, obtaining necessary clearances, and
implementing eco-friendly pratices.

Due Diligence
They Conduct due diligence on land titles, legal aspect, and
environment clearances to ensure that businesses can proceed
without legal complication.

Project Planning
MIDC Department help create comprehensive project plans,
including timelines, budgeting, and resources allocation, to
ensure efficient project execution.
Sustainability Initiatives
They Advise on and assist in implementing sustainable and
environmentally responsible practices within industries
operation.

Financial Planning
Some Department may help businesses secure project
financing, prepare financial projections, and create business
plan for attracting investors or lenders.

Training and Skill Development

Department May offer training programs to develop the skill
and capabilities of the workforces to ensure safe and efficient
industrial operations.

Project Management
Some Department provide project management services,
overseeing the entries setup process and ensuring that project
are completed on time and within budget.

Risk Management
They may conduct risk assessment to identify and mitigate
potential hazards in industries environment, prioritizing safety
and compliance.
Ongoing Support
MIDC Department often provide ongoing support and
advisory services to businesses operating within MIDC region to
address regulatory changes and evolving business needs.

The Specific Tasks and responsibilities of an MIDC

Department can depending on the client’s needs, the
industries, and the stages of the project. Businesses typically
engage MIDC Department to leverage their expertise in
Navigating the complexities of industries development within
MIDC estate and to ensure a smooth and complaints setup
process.

Sub –letting of industrial premises in

Maharashtra
Subletting of MIDC property is a general practice in Maharashtra in
which a lessee rents out the portion of the lease property to sub
lessee for a specific period of time, subject to MIDC NOC and
payment of subletting fees proportionate to the area being leased
out.
Subletting is done to promotes industrialization, as the aspiring
industrialist does not have surplus capital to invest in purchasing a
land, form utmost utilization of the available resource with MIDC and
get additional income for developing industrial infrastructure
throughout Maharashtra.
There is set a process for getting MIDC NOC. To get complete insight
on the subletting process , required document from a lessee and sub
lessee, calculation of subletting fees, subletting duration,
Sub-letting process of MIDC plot
Meaning
Sub-letting means when owner of the plots (Licensor) wants to
give his plots or portion of his plot (Built up or open lands) on leaves
& license basis to another person (Licensee) for carrying out his
activity.
Criteria for granting the sub-letting permission by MIDC
 The plot owner should have consumed minimum stipulated FSI
and obtained the B.C.C. as per MIDC norms.
 Sub-letting permission can be given by MIDC for the same
activity only. Example- Industrial to Industrial, Commercial to
Commercial.
 Sub-letting permission can be granted by MIDC up to 1-10 year
at the request of licensor.
 MIDC charges Sub-letting charges.
Sub-letting Charges
 Sub-letting charges are 3% of MIDC land rate for Industrial
Activity and 0.5% for IT & ITES Activity for per annum.

 Sub-letting charges to be paid in advance by licensor for the

period sub-letting permission is applied.

 The MIDC recover the enhanced sub-letting charges from the

licensor if there is an upward revision of rates.

 Example for calculation of sub-letting charges by MIDC:-

 Sub-letting Charges = Area Subleted *3% of MIDC Rate
= Sub-letting charges per annum

Document to be submitted to MIDC for obtaining Sub-letting

permission
Licensor Licensee
Request Letter to MIDC Request Letter to MIDC
MIDC online Application Form Board Resolution (Pvt.Ltd.co)
Board Resolution (For Pvt MOA & AOA ( For Pvt Ltd/Ltd co)
Ltd/Ltd co) or Partnership Deed (If
Partnership Firm)
Building Completion Certificate Detailed Project Report
Copy of Final Lease
Proposed Sub-letting plan
Upto date paid water &
Electricity bill
Upto date paid lease rent
receipt

NOC From Financial Institution if

property is mortgage.
From A & B
 Flow chart for Sub-letting of plot

Submission of Scrutiny of Issuance of

Application to Application by Demand letter
MIDC MIDC by MIDC

Execution &
Issuance of Sub- Payment of
Registration of
letting Order by Sub-letting
leave & Licence
MIDC Charges
Agreement

Submission of
copy of leaves
& Licence
Agreement to
MIDC
DEVELOPMENT OF MIDC PLOTS BY UTILIZATION OF MINIMUM 40%
FSI
Maharashtra Industries Development Corporation (MIDC) is a lead
entity for development of industrial Area in Maharashtra. With the
aim of developing industrial areas the MIDC has been acquiring land
from the farmers, developing infrastructure and allot industrial plots
to the firms/companies to carry out their manufacturing/industrial
activities. However, it was noticed by the MIDC that the plots allotted
to the firms/companies were not being fully utilized. Some plot
holder carried out minimum construction as per MIDC policy and
obtain the BCC to avoid payment of penalty to MIDC but did not
either utilized the balanced area or commenced the production. To
stop this practice of land hoarding. The MIDC has decided to raise
the FSI limit for minimum utilization and added a clause of
production to improve availability of plot for the new industries. This
articles highlight the FSI norms for industries plots.
According to earlier guidelines of the MIDC the firms/companies
were required to use minimum 10% of the FSI which was
subsequently revised to 20% un year 2012 and then to 40% in year
2019. The main objective of this document is to bring out the salient
feature of various MIDC circulars on FSI norms for industries plots
which has been timely amended to develop manufacturing and
service industries in Maharashtra.

MIDC Circulars No. 152 dated 17 April 2012 for revision of minimum
utilization from 10 to 20% of FSI
The Minimum utilization of FSI was enhanced from 10% to 20%. The
unit holder have to develop the plot and utilize minimum 20% FSI
within stipulated development period. If plot holder is unable to
utilized minimum 20% FSI within the stipulated time period then he
is liable to pay the time extension charges as per policy until
utilization of 20% FSI and commencement of product.
If the construction is not done as per approved plan or if the unit has
not gone into production after utilizing of minimum 20% FSI, then he
is liable to pay extension charges as per policy till construction is
done as per the approved plan and units goes into production.
While applying for new allotment of plot phase wise development
should be clearly mentioned in the project report which must include
utilization of 20% FSI in the First phase.
Extension charges as per policy should be payable if the unit has not
gone into production after utilising minimum 20% FSI and water
charges should be payable 1.5 times of the prevailing rates.
If the construction is of multi-storey building as per the project
report submitted for allotment of plot, and the plot holder
completed 20% construction but it is not possible to go into
production until the construction of above floors is done, in such
case extension charges are applicable till the construction is
completed and until has gone into production.
If the part BCC is issued in that case extension charges are applicable
till the construction is completed as per approved plan and BCC is
issued, Final lease will be executed only after construction is
completed as per project report.
This circular is also applicable for the cases where plans for more
than 20% construction is approved but still BCC is not obtained and
production is not started.
This rule of minimum 20% construction is not applicable to industries
like Fabrication, Dal Mill, Pipe Industries etc. where more open space
is required for which the approval of CEO is taken, But the units
holder must complete the construction as per project report and
start production in stipulated time period.
Those plot holder who have obtained the part BCC will be charged
water charges 1.5 times of the prevailing rates till the time they
obtain the minimum 20% FSI and start production.
SWOT ANALYSIS

Strength -:
We have a public private partnership which is in between
MIDC
First mover advantage which no more one have this kind of
collaboration
First mover advantage

Weakness -:
Awareness is very less in MIDC areas
Relationship management is very poor of the employees of the
MIDC

Opportunity -:
Potential in the print media
Very big market and the competitor is very less

Threats -:
Existing Competitors
Me too brand like MIDC
 Financial Department Service offered by MIDC
Project Financing
MIDC Help industrial project secure financing through various
financial institution and banks. They can assist in preparing project
reports, Financial projections, and business plan required for
obtaining loan loans of financial assistance.

Subsidy and Incentive Schemes

MIDC can provide information and assistance regarding
government subsidies, incentives, and grants available for industries.
These may include incentive for export-oriented units, technology
up-gradation, and other state or central government schemes.

Investment promotion
MIDC work forward promoting investments in Maharashtra.
They can provide potential investor with information about various
investment opportunities, project feasibility, and potential returns
on investment in the state.

Industrial Finance Department

MIDC offers financial department services to industrial to
optimize their financial operation. This includes guidance on
managing working capital, optimizing costs, and improving overall
financial performance.
Export and Import Finance
MIDC can help business with export and import finance,
including export credit, letters of credit, and other international
trade financing service.

Investor Facilitation
MIDC Facilities interaction between businesses and financial
institution, making it easier for investor to secure loans, subsidies,
and other financial assistance.

Compliance and regulatory Guidance

MIDC can provide information and guidance on compliance with
financial and regulatory requirement, including taxation, customs,
and other financial regulation application to businesses operating in
Maharashtra.

Customized Financial Solution

MIDC provide tailor-made financial solution to meet the specific
needs of different industrial projects. This can include assistance in
preparing financial institution, and helping with negotiation.

Infrastructure Development
In addition to financial service, MIDC also focuses on
infrastructure development. They develop industrial parks, provide
utilities, and create a conductive environment for industries.
Financial Assistance
MIDC provides financial assistance to industries in Maharashtra in
the form of loan, grants and subsidies. This financial aid is often
directed toward specific sector or for promoting industrial growth in
certain regions.

Project Planning
MIDC assists industrial project in securing the necessary funds for
their establishment and expansion. This includes helping companies
identify potential source of financing, such as bank, financial
institution, or government schemes.

Subsidies and Incentives

MIDC administers various government schemes and incentives
designed to attracted and support industries. These may include tax
incentive, subsidies on land acquisition, and financial support for
infrastructure development.

Vendor Development Programs

MIDC Facilities vendor development program that aim to help
small and medium-sized enterprises (SMEs) by connecting them with
larger industries for financial and technical support.

Financial Counseling
MIDC offers financial counseling to industrialists, helping them
understand their financial requirement, options for raising capital,
and structuring their finances for sustainable growth.
Loan Syndication
MIDC can assists in loan syndication, where it help business
secure loans from multiple financial institution, reducing the risk for
individual lender and potentially improving loan terms.

Export Promotion
For industries involved in export activities, MIDC may provide
guidance and support in assessing export finance and navigating
international trade regulation.

Investment promotion
MIDC work to attract domestic and foreign investment into the
state of Maharashtra. They may help connect potential investor with
financial institution and provides information on investment
opportunities.

Infrastructure Development Financing

MIDC plays a key role in the development of industries
infrastructure, including roads, water supply, electricity, and more. It
often secure funding for such projects, which benefit industries
located in the region.

Monitoring and Compliance

The Corporation also monitors the financing health and
compliance of industries within its jurisdiction to ensure that they
are meeting their financing obligation and utilization subsidies and
incentives appropriately.
Role of MIDC
MIDC plays a pivotal role in the development of industrial
infrastructure in Maharashtra. It acquires land, development
industrial estates, provides utilities, and facilities various permission
for industries to set up and operate in the state.

Financial Work in MIDC

MIDC carries out various financial activities related to its industrial
development projects. This includes budgeting, financial planning,
fund allocation, revenue generation, and management of financial
resources.

Financial Department Role

A financial department working with MIDC could have several
responsibilities, which may includes -
 Budgeting - Creating and managing budget for MIDC’s various
project and activities. This involves estimating expenses,
revenue projection, and ensuring that project stay within
budget.
 Fund Management - Overseeing the allocation of fund for
different industrial project. This might involve managing loans,
grant, and investments.
 Financial Analysis - Conducting financial analysis and providing
insight to MIDC management. This includes financial
forecasting, cost-benefits analysis, and risk assessment.
 Revenue Generation - Developing strategies for revenue
generation, which might include leasing of industrial plots,
charging fees for service, and exploring other financial
opportunities.
 Compliance and reporting - Ensuring that MIDC complies with
financial regulations and reporting requirement. This includes
tax compliance, auditing, and financial reporting.
 Investment Management - Managing MIDC’s Investment to
ensure they generate returns and meet the organization’s
financial goals.
 Advisory Services - Providing financial advice and
recommendation to MIDC’s management to support their
decision-making processes.
 Risk Management - Identifying and mitigating financial risk
associated with MIDC’s project and operations.
 Qualification and Skill - Financial Department working with
MIDC are typically expected to have a background in finance,
accounting, or a related field. They should possess strong
analytical and problem-solving skill, financial modeling
expertise, and an understanding of government financial
regulation.
 Collaboration : Financial Department in MIDC often collaborate
with other department and professionals such as engineers,
project managers, legal experts, and government officials to
ensure that financial considerations align with the organization
broader objectives.
 Importance - Effectives financial management is crucial for
MIDC as it ensure the successful execution of industrial
development, and the overall economic growth of the state.
 DOCUMENT
SELLER PLOT
Description for selling a plot
 MIDC has issued certain guidelines for reseals of MIDC plot,
industrial galas, industrial sheds, etc.
 As per MIDC norms, after successful completion of the deal
between buyer and seller, MIDC accept the transfer
application only if there is minimum 40% construction and
building completion certificate and the plot has been utilized
for intended industrial use.
Seller Document
 Request letter to MIDC
 Board Resolution (if pvt. Ltd.)
 NO Dues certificate/latest paid water bill
 Up to date lease rent receipt
 Latest paid property tax
 NO Encroachment certificate
 NOC from Labour commissioner
 NOC from Financial Institution (if property mortgaged)
 Online application for transfer of leasehold right
 From “A” & “B”
Buyer Document
 Request letter to MIDC
 Board Resolution (if Pvt. Ltd)
 MIDC Application form
 MOA (if Pvt. Ltd) / Partnership deal (if partnership firm)
 C.A. certificate (if Pvt. Ltd)
 Project report.
BUY A PLOT
Description for buying a plot
 Maharashtra is one of the best destination for setting up any
industry because of the friendly policy of the government of
Maharashtra besides many other favorable factors. So we
would suggest Maharashtra industrial development
corporation (MIDC) land for setting up a factory or IT park
because of ease of business and simplifies MIDC rule to obtain
land and go in production for 95 year lease on certain terms &
condition which are stipulated in the lease deed.
 If one land requirement is not very large and its project falls
under medium or small scale, then one should set up industry
only on MIDC land because of the availability of infrastructure,
water, power, labour, CETP, Good connectivity, etc. MIDC also
provides various benefits to industries under Maharashtra
Industrial policy. For Industrial units falling under the red
category (small, medium or large) we only recommend MIDC
land as it is easy to get all kinds of permits and licenses. MIDC
land is bit expensive, but keeping in view the overall benefits,
Infrastructure, facilities, etc. Available, MIDC land always
outweighs the freehold land for setting up any industry.
 The allotment of land in MIDC for industrial use is being done
through a direct online application. Sometimes MIDC resorts to
auction, where availability of plot is less as compared to the
demand. Commercial and residential plots in MIDC are
normally allotted through auction only.
 While submitting the application for allotment of an industrial
plot in MIDC, the proposal containing the following document
is to be submitted to MIDC:
 Request letter to MIDC on letterhead
 Online application
 White application form duly filled
  Detailed project report
 Copy of MOA (if Pvt. Ltd) / Registered partnership Deed (if
Partnership firm)
 A. Certificate for shareholding (if Pvt. Ltd)
 Board resolution (If Pvt. Ltd)
 Block plan of proposed utilization of plot
 Demand draft toward processing fees.
 MIDC after scrutiny of the proposal issues a letter to the
applicant to present before the land allotment committee (LAC)
meeting.
 The land allotment committee check-up the project viability
and according takes decision for allotment of plot to the letter.
 If LAC agrees to allot the plot to the applicant, then MIDC issues
the offer letter for payment of EMD of 25% within 15 days
issuance of the letter.
 After payment of EMD, MIDC issues the allotment letter with
the plot number and ask the applicant to pay the balance 75%
of premium within 30 days of issuance of the letter.
 Road width charges are also applicable for plots up to 10 acres.
50% concession is given to plots above 10 acres up to 25 acres.
There are no road width charges for allotment of plots above
25 acres or if the investment is above 100 cr.
 Once the balance payment is made, then possession of the is
given by MIDC and agreement to lease is executed between
MIDC and allottee.
 Normally the entire process takes about 3-4 month for
completion of MIDC plot allotment. After taking possession of
the land and executing agreement to lease, the enterpreneure
is to apply and obtain various consent and licenses to establish
the industry. Normally the entrepreneur needs to obtain MSME
registration and provisional fire department fire NOC from
MIDC fire Department before submission of plans to special
planning authority (SPA) of that region.
 In case the allottee of MIDC plot is going to store any
hazardous, explosive or inflammable items. He/she would
needs to take the permission from Maharashtra Pollution
control Board (MPCB) for required category (orange, red,
white)
 The Next step is to get the plans approved from the planning
authority of MIDC and carry out development activity on the
plot of land. You may also get a temporary water connection
from MIDC for construction purpose and temporary electricity
connection from MSEB. On completion of construction, you can
obtain building completion certificate (BCC), Drainage
Completion certificate, tree plantation certificate and
occupancy certificate (OC) from SPA and install your plant and
machinery.
 For the post-construction activity you will need – MSME
Registration, MPCB consent to operate, Factory license,
permanent water connection and execute the water supply
agreement with MIDC, electricity connection from MSEB. You
may also need other permits and licenses specific to your
activity.

MIDC AUCTION PLOT

MIDC allows selling its plot through MIDC auction. Auction is carried
out through E-bidding of plot.
The Procedure for bidding of the plot is as follows:
 The allotment of land in MIDC for industrial use is being done
through a direct online application. Sometime MIDC resorts to
auction, where availability of plots is less as compared to the
demand. Commercial and residential plots in MIDC are
normally allotted through auction only.
 While submitted the application for allotment of an industries
plot in MIDC, the proposal containing the following document
is to be submitted to MIDC:-
 Request letter to MIDC on letterhead
 Online application
 White application from duly filled
 Detailed project report
 Copy of MOA (if Pvt. Ltd) / Registered partnership deed
(if partnership firm)
 A. Certificate for shareholding (If Pvt. Ltd)
 Board resolution (if Pvt. Ltd)
 Block plan of proposed utilization of plot
 Demand draft toward processing fees.
 MIDC after scrutiny of the proposal issues a letter to the
applicant to present before the land allotment committee (LAC)
meeting.
 The land allotment committee checks-up the project viability
and according takes a decision for allotment of plot to the
applicant.
 If LAC agrees to allot the plot to the applicant, them MIDC
issues the offer letter for payment of EMD of 25% within 15
days of issuance of the letter.
 After payment of EMD, MIDC issues the allotment letter with
the plot number and ask the applicant to pay the balance 75%
of premium within 30 days of issuance of the letter.
 Road width charges are also applicable for plot up to 10 Acres.
50% concession is given to plots above 10 acres up to 25 acres.
There are no road width charges for allotment of plots above
25 acres or if the investment 100cr.
 Once the balance payment is made, then possession of the plot
is given by executed between MIDC and the allottee.
 Normally the entire process takes about 3-4 month for
completion of MIDC plot allotment. After taking possession of
the land and executing agreement to lease, the entrepreneur is
to apply and obtain various consent and license to establish the
industry. Normally the entrepreneur needs to obtain MSME
registration from DIC, MPCB consent to establish and
provisional fire NOC from MIDC fire department before
 submission of plans to special planning Authority (SPA) of that
region.
 In case the allottee of MIDC plot is going to store any
hazardous, explosive or inflammable items, he/she would need
to take the permission from Maharashtra pollution control
Board (MPCB) for required category (orange, red, white).
 The Next step is to get the plans approved from the planning
authority of MIDC and carry out development activity on the
plot of land. You may also get a temporary water connection
from MIDC for construction purpose and temporary electricity
connection from MSEB. On completion of construction, you can
obtain building completion certificate (BCC), Drainage
completion certificate, Tree Plantation certificate and
Occupancy certificate (OC) from SPA and install your plant and
machinery.

BCC/OC
Details for Building Completion Certificate (BCC)
Building Completion Certificate (BCC) is a mandatory document that
validates that construction is in line with building norms. The local
development and Municipal Corporation are the competent
authorities to provide the certificate.
Building Competition Certificate (BCC) for MIDC plots
MIDC is a grantor of the plot for industrial, Commercial and
residential purpose in Maharshtra. Maharashtra industrial
development corporation grants plots for the lease period of 95
years. According to the MIDC norm, the plot holder have to develop
their plot and obtain the building completion certificate (BCC) within
the stipulated time depending on the zonal division. Special planning
authority (SPA) is the department which approval the plan submitted
prior to the construction and after completion, the department
examines the site and verifies the construction as per norms
followed by providing BCC. After obtaining the BCC the plot holder
can start the industrial activity and even in case the holder wants to
transfer the leasehold right that is possible.
For setting up new industry in MIDC area, 10 number of permission
are required after allotment, out of which following permission are
within the purview of E&MD offices.
 Building plan approval.
 Drainage plan approval (External) if Applicable
 Provisional and final fire NOC (upto 5000m*m plot area)
 Power NOC
 Water connection
 CETP membership (if applicable)
 Plinth completion
 Building Completion Certificate (BCC) / Occupation certificate
(OC)
To start construction on a plot, building permission is a major a
activity and ultimately the allottee has obtain BCC and start
production with the stipulated period. Out of eight permission, the
allottee has to simultaneously obtain following permission from
MIDC.
 Building plan approval
 Drainage plan approval (External)
 Fire NOC
 Water Connection
 CETP membership
Power NOC
Sanction to the building plan, drainage plan, fire NOC, water
connection. CETP membership

Extension of time limit

Details for extension of time limit –
 Those plot holder who had obtained BCC, but the constructed
areas is less than 40% of the plot & balance land of plot is open.
Those plot holder should consume a minimum 40% FSI within 2
year from the data of issuance of this circular.

 After completion of two year from 21st June 2019 if revised BCC
for 40% is not obtained, then non-utilization charges at @ 10%
of the prevailing MIDC rate for open land till revised BCC of
minimum 40% is obtained would be charged. The penalty
would be charged till the last date of the month of issuance of
revised BCC.

 After completing of 2 year from the date of circular non-

utilization charges are applicable for the next 2 years.

 After completion of the extension period of two year if the BCC

of minimum 40% isn’t obtained in such case no further
extension would be given. Leaving the area of FSI consumed by
the plot , (as per the set norms the required area for the
development of the FSI would be left with the lessee), the
remaining plot would be taken away by MIDC.

 If the BCC is not obtained in a given period and delayed then

penalty charges may be applicable as per MIDC circular and
yearly charges for delay in production and completion of BCC
can be imposed.

Amalgamation
Amalgamation of the plot is the merging of plot. Amalgamation of
plot is done if you have two or more plots side by side and want to
merge them into one plot so as to save marginal space and increase
the production.
Document Required for Amalgamation of plot
Following are the document required for amalgamation of plot:
 Request letter to MIDC
 NO Dues certificate for water from Executive engineer/Dy.
Engineer (SPA) MIDC
 Copy of project report
 Copy of on-line application to MIDC
 NOC from financial institution (if the plot is mortgaged with the
permission of MIDC)
 Declaration on form no. A & B,
 Copy of up to date lease rent paid receipt.
 FINDING

To provide finding in a MIDC (Maharashtra Industries Development

Corporation) Project, you will need to conduct research and data
analysis specific to your project’s objective and research question.
Here’s a generalized example of what finding in a MIDC project might
look like -

Research Question -
“what is the impact of the Maharashtra industrial Development
Corporation (MIDC) on the economic development of the region?”
Economic Growth –
Our analysis reveals a significant positive correlation between
the presence of MIDC industries zones and economic growth in the
Maharashtra region. Over the past decade, areas with actives MIDC
project experienced a higher GDP growth rate compared to region
without such industrial development.
Employment Generation-
MIDC project have played a crucial role in employment
generation. The data indicates that over 50,000 direct jobs have
been created in MIDC zones, with an additional 20,000 jobs in
ancillary industrial and support services. This demonstrates the
corporation’s contribution to reducing unemployment rates in
region.
Infrastructure Development
The MIDC has made substantial investment in infrastructure
development, including roads, utilities and industrial parks. Our
finding suggest that this investment has improved the overall
infrastructure of the areas, making them more attractive to
businesses and investor.
Foreign Direct Investment (FDI)
MIDC has successfully attracted foreign direct investment into the
state. Our analysis indicates that FDI inflow have increased by 30% in
areas with active MIDC Project compared to other region. This
suggested that MIDC’s efforts to promote Maharashtra as an
investment destination have been effective.

SME Growth
The MIDC has also supported the growth of small and medium-
sized enterprises (SMEs) by providing them with affordable industrial
spaces and infrastructure. Our research shows that SMEs in MIDC
zones have experience higher growth rates and export opportunities
than those outside these zones.

Challenges
Despite its successes, the MIDC project face challenges such as
land acquisition disputes, environmental concern, and infrastructural
bottlenecks. These challenges need to be addressed to sustain and
enhance the positive impact of MIDC on the region’s department.

Sustainability Initiatives
Our study also highlights the efforts of MIDC in promoting
sustainable industrial development. Several MIDC project have
adopted green and environmentally friendly practices, contributing
to a reduction in carbon emission and resource conservation.

Community Impact
 The presence of MIDC project has had mixed effects on local
communities. While it has improved employment opportunities,
there are concern regarding land displacement and the need for
better community engagement and development Program.

Future Prospects
Based on our findings, we recommend that MIDC continues to
focus on infrastructure development, sustainability, and promoting
ease of doing business to attract more investment. Additionally,
addressing the challenges associated with land acquisition and
community engagement will be crucial for the long-term success of
the project.

Policy Implication
Our research finding have important policy implication for the
government of Maharashtra. Policymakers should consider
expanding the scope of MIDC project while simultaneously
addressing the associated challenges to ensure balanced and
sustainable economic development.
Conclusion
Creating a conclusion for Maharashtra Industrial Development
Corporation (MIDC) summer internship project (SIP) report would
depend on the specific details and finding of your project. However, I
can use as a starting point:
“In summary, the MIDC summer internship project has been a
valuable and enlightening experience. During this internship, we had
the opportunity to develop deep into the various functions and
operations of the Maharashtra industrial development corporation.
Through research, data analysis, and practical exposure, we gained
insight onto the complexities of industrial development in
Maharashtra.
Our finding revealed that MIDC plays a pivotal role in attracting
investments, promoting economic growth, and supporting the
industrial ecosystem in the state. We identify areas where MIDC
excels, such as infrastructure development and investment
facilitation. We also uncovered areas that could benefit from
improvement, including sustainability initiatives and streamlining
administrative processes.
This internship not only enhanced our understand of industrial
development but also provided a platform for practical learning and
skill development. We are grateful for the opportunity to contribute
to MIDCs mission and appreciate the guidance and support of the
organization’s staff.
In conclusion, the MIDC SIP project has been an enriching experience
that has broadened our knowledge and allowed us to witness
firsthand the crucial role that MIDC plays in shaping the industrial
landscape of Maharashtra. We look forward to carrying these
insights forward as we continue our academic and professional
journey.”