SRINAGAR: The Federation of Chambers of Industries of Kashmir (FCIK) has expressed optimism that the newly established government in Jammu and Kashmir will take decisive action to support local businesses and foster economic growth. The Federation hopes that policies which currently favour non-local entities for major development contracts will be revised, enabling local enterprises to participate more actively in the region’s economic landscape.
In recent meetings with Chief Minister Omar Abdullah, Deputy Chief Minister Surinder Kumar Choudhary, Advisor Nasir Aslam Sogami, and Chief Secretary Atal Duloo, FCIK leaders conveyed their concerns about policies they believe have marginalised local businesses. FCIK was assured by officials that the government is committed to reviewing these policies to create fairer opportunities for local enterprises.
FCIK highlighted how large infrastructure projects have predominantly been awarded to non-local contractors due to stringent qualification requirements and inflated project volumes. These criteria, the Federation argues, have systematically excluded local small and medium enterprises (SMEs), despite their capacity to handle regionally diverse projects.
“Exclusionary policies have stifled local businesses and weakened our economic fabric,” said Shahid Kamili, President of FCIK. “Increased project volumes and qualification thresholds have prevented local companies from competing, affecting opportunities for our youth and damaging the local economy.”
Kamili expressed confidence that the new administration represents a chance for much-needed policy reforms. By allowing local enterprises to participate in development projects, the Federation believes the government could stimulate job creation and economic self-sufficiency in Jammu and Kashmir.
A particular point of concern raised by FCIK was the Revamped Distribution Sector Scheme (RDSS), aimed at revitalising the power sector. The Federation criticised the awarding of RDSS project packages for 7,000 distribution transformers and 1.5 lakh steel tubular poles in the Kashmir Valley to non-local contractors. FCIK has urged government officials to consider reserving such contracts for local manufacturers in Kashmir and Jammu, to ensure that development benefits are shared locally.
FCIK’s appeal for a policy shift aims to create an inclusive economic ecosystem that prioritises local businesses and strengthens the livelihoods of regional workers. The Federation awaits a formal response from the government and is hopeful that prompt action will lead to a more equitable policy landscape, enabling sustainable growth and empowerment for Jammu and Kashmir’s local enterprises.
