Ensure free flow of incentives to budding industrialists: CM


KL Report


Chief Minister, Omar Abdullah Wednesday directed for early formulation of new industrial policy and its notification, so that it comes into force form the binging of the year 2015. He said that package for industrial backward areas should be incorporated as part of the new industrial policy and directed for early refund of VAT to the industrialists, an official statement said on Wednesday.

Omar Abdullah underlined the need for encouraging young local entrepreneurs to invest in the feasible industrial and handicrafts sectors promising greater economic prospects for them and huge employment opportunities for youth.

Chairing the 5th State Industrial Advisory Committee (SIAC) meeting here today, the Chief Minister said that incentives as provided under the State and the Central Industrial Policies should easily accrue to the local industrialists and budding entrepreneurs so that they could expand their industries and launch new ones.

He said holistic industrial development is imperative for all round development of the State and generation of wide-ranging economic activities for both skilled and unskilled human resource, the statement said.

The Chief Minister was given detailed account of the functioning of Industries and Commerce Department and the policy it is pursing to strengthen the sectors of industries and handicrafts in the State which are responsible for providing livelihood to more than five lakh people.

The meeting was informed that during the last two years about Rs. 47 crores worth incentives have been paid to the industrial units under the State Policy while the cumulative figure in this regard is Rs. 196.78 crores by the end of last year, the statement informed.

“The Centre package incentives worth Rs. 186 crores have been paid to the industrial units cumulatively till the end of the last year,” it further said.

The statement said that meeting was told that presently 29454 small scale industrial units are registered in the State while the number of medium and large industrial units registered is 115. “There are 53 industrial estates and the total investment in the industrial sector other than handicrafts is Rs. 7509 crores. This sector provides employment to 1.51 lakh people.”

The meeting was told that more than 3.75 lakh artisans are associated with handicrafts sector and the production of handicraft items worth Rs. 2017 crores was achieved in the last year. Of this, exports to the tune of Rs. 1695 crores were registered. There are about 38000 weavers earning their livelihood from handloom sector. Government has registered 523 Handloom Cooperative Societies and it runs 100 training centres for capacity building of weavers, the statement said.

The meeting discussed issues relating to Trade Policy, Labour Development, Local Employment, Subsidy, Brand Promotion, Extension of GOI package incentives, VAT Refund, Removal of Negative List, Reduction in the rate of Electricity Duty, one time debt relief to MSME, power infrastructure improvement, setting up of eco-sensitive zones around National Parks and Wild Life Centuries, marketing support, grievance redressal, raw material for Pashmina, promotion of local industry through cluster approach, uniform lease, online registration, etc.


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