Haryana AVGC-XR Policy 2026: Subsidies, Incentives & Investment Opportunities
Haryana AVGC-XR Policy 2026: Transforming Haryana into India’s Digital Content and Innovation Hub
Introduction
The Government of Haryana has launched the Haryana AVGC-XR Policy 2026, a landmark initiative aimed at establishing the state as a leading destination for Animation, Visual Effects (VFX), Gaming, Comics, and Extended Reality (XR) industries.
Notified on 27 May 2026, the policy will remain effective for five years and seeks to attract investments, encourage innovation, create high-quality employment opportunities, and develop world-class infrastructure for the rapidly growing digital content sector.
With a combination of capital subsidies, operational support, startup incentives, employment benefits, and infrastructure development initiatives, Haryana is positioning itself as a preferred investment destination for AVGC-XR companies and creative technology startups.
What is the AVGC-XR Sector?
AVGC-XR stands for:
- Animation
- Visual Effects (VFX)
- Gaming
- Comics
- Extended Reality (XR)
These industries are driving the future of entertainment, education, simulation, healthcare, marketing, and immersive digital experiences worldwide.
Recognizing the sector’s immense growth potential, Haryana has introduced a comprehensive policy framework to nurture creators, studios, startups, and technology innovators.
Major Financial Incentives under Haryana AVGC-XR Policy 2026
1. Capital Expenditure (CAPEX) Support
Eligible AVGC-XR units can receive:
- 30% reimbursement of eligible capital investment
- Maximum assistance of ₹10 Crore per unit
Eligible investments include:
- Building and infrastructure development
- Servers and data storage systems
- Production equipment
- Motion capture systems
- Specialized AVGC-XR hardware and technology infrastructure
This incentive significantly reduces the upfront investment burden for companies establishing operations in Haryana.
2. Operational Expenditure (OPEX) Support
To improve business sustainability, the government will provide:
- 50% reimbursement of eligible operational expenses
- Support available for five years
- Maximum assistance of ₹2 Crore per annum
Eligible expenses include:
- Net SGST reimbursement
- Electricity duty
- Lease rentals
- Internet bandwidth charges
This support helps businesses lower recurring operational costs while scaling their operations.
Startup-Focused Benefits
Free Incubation Facilities
Top-performing AVGC-XR startups can avail:
- Free incubation space
- Support period of up to 3 years
Prototyping Assistance
Eligible startups can receive:
- 50% reimbursement of prototyping expenses
- Maximum support of ₹10 Lakhs
These initiatives encourage innovation and help entrepreneurs convert ideas into commercially viable products.
Production Incentives for Content Creators
The policy promotes the creation of original intellectual property (IP) and digital content by providing production-linked incentives.
Animation Films
- 20% reimbursement of production cost
- Maximum support of ₹1 Crore per film
- Minimum film duration: 60 minutes
Animation Series
- 20% reimbursement of production cost
- Maximum support of ₹30 Lakhs per series
Gaming Projects
- 20% reimbursement of development cost
- Maximum support of ₹10 Lakhs per game
XR and VFX Projects
- 20% reimbursement of project cost
- Maximum support of ₹50 Lakhs per project
Employment Condition
To avail these incentives, companies must ensure that at least 50% of their workforce consists of Haryana-domiciled employees.
Employment Generation and Workforce Development
One of the key objectives of the policy is to create high-quality employment opportunities within the state.
Employment Generation Subsidy
Eligible units can receive employment-based subsidies for up to 10 years depending on the proportion of Haryana-based employees in their workforce.
Additional Incentives for Inclusive Hiring
Enhanced benefits are available for employing:
- Women
- Scheduled Caste (SC) candidates
- Divyang individuals
- Ex-Servicemen
These provisions encourage diversity and inclusive workforce participation.
Skill Development and Industry Readiness
To bridge the talent gap, Haryana will support:
- Industry-academia collaborations
- Job readiness programs
- Apprenticeship and internship opportunities
Internship Support
The government will provide:
- Stipend support of ₹15,000 per month
- Duration up to 6 months
This initiative aims to create a strong talent pipeline for the AVGC-XR ecosystem.
Development of AVGC Parks
To build world-class infrastructure, Haryana will support private developers establishing AVGC Parks.
Developers may choose between:
- Capital Subsidy support
OR - Net SGST reimbursement
Eligible infrastructure includes:
- Power backup systems
- Utility corridors
- Digital infrastructure
- Common facilities
Maximum Assistance
- Up to ₹45 Crore per AVGC Park
This initiative is expected to attract large-scale investments and create specialized digital content clusters.
Centers of Excellence (CoEs)
The policy proposes the establishment of:
One Center of Excellence for:
- Gaming
- Interactive Media
Two Centers of Excellence for:
- Animation
- VFX
- Comics
These centers will serve as:
- Research and Development hubs
- Skill development centers
- Industry collaboration platforms
- Innovation accelerators
Why the Haryana AVGC-XR Policy Matters
The global demand for animation, gaming, VFX, and immersive technologies is growing rapidly. Haryana’s proactive policy framework provides a strong foundation for attracting both domestic and international investments.
The policy offers:
- Attractive financial incentives
- Reduced operational costs
- Startup support
- Employment-linked benefits
- Advanced infrastructure development
- Talent development programs
Together, these measures create a robust ecosystem for businesses, content creators, technology innovators, and investors.
Conclusion
The Haryana AVGC-XR Policy 2026 represents a significant step toward building a thriving digital creative economy. By supporting investment, innovation, content creation, employment generation, and infrastructure development, Haryana is positioning itself as a major AVGC-XR destination in India.
For animation studios, gaming companies, XR innovators, VFX producers, startups, and investors, the policy opens new opportunities to establish, expand, and scale operations in a business-friendly environment backed by strong government support.
As the digital content industry continues to grow globally, Haryana is creating the foundation for becoming one of India’s leading centers for creative technology and immersive digital experiences.
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