SRINAGAR: The Federation of Chambers of Industries Kashmir (FCIK) has sought immediate government intervention on a range of issues confronting existing industries in Jammu and Kashmir, saying several problems required resolution before the proposed Revised Industrial Policy is finalised.
A delegation led by FCIK Advisory Committee head Shahid Kamili met Chief Minister Omar Abdullah on Friday and raised concerns including ease of doing business, public procurement, industrial sickness, power and other government dues, and raw-material shortages.
FCIK welcomed the Government’s decision to review the existing Industrial Policy and the stakeholder consultations conducted by the committee constituted for the purpose. It urged the Government to incorporate the industry’s consensus-based recommendations and share the draft revised policy with stakeholders before its final approval.
The delegation, however, said several pressing matters could not wait for completion of the policy process. It called for early enactment of a statutory Ease of Doing Business framework providing for a genuine single-window mechanism, self-certification, automatic renewals, deemed approvals, simplified procedures, digitisation and rationalisation of recurring fees and charges affecting micro, small and medium enterprises (MSMEs).
On public procurement, FCIK sought stronger protection for local manufacturers through strengthening of SICOP, MSME-friendly e-tendering and allocation of a prescribed share of government orders to eligible local manufacturers willing to match competitively discovered rates.
The delegation also highlighted growing industrial sickness and stressed bank accounts. It sought the intervention of the Chief Minister for a transparent, uniform and non-discretionary One-Time Settlement (OTS) scheme through JK Bank, broadly based on the State Bank of India’s 2020 scheme but without linking settlement to the value of collateral.
FCIK sought a reasonable reduction in the principal Non-Performing Asset (NPA) balance, along with waiver of unapplied, penal and compound interest. It also urged that coercive recovery proceedings be kept in abeyance until eligible MSMEs are given an opportunity under an appropriate settlement or revival framework.
The industrial body further sought a time-bound amnesty for electricity and other government dues. Its demands included relief from penal interest, surcharge and demand charges on power arrears, reasonable instalments for settling dues, waiver of penal and compound interest on lease rent and other government liabilities, and resolution of legacy VAT demands involving units that had operated under exemptions available under the policy at the time.
The delegation also raised concerns over the shortage of raw materials affecting mineral-based industries, particularly Plaster of Paris and stone-crushing units, due to delays in renewing or finalising extraction contracts.
FCIK warned that continued disruption of raw-material supplies could force operational units to shut down, affecting employment and developmental works, particularly in Kashmir where the working season is limited. It sought an immediate lawful arrangement for regulated supply until the contracting process is completed.
The Chief Minister assured the delegation that the Government would take all possible steps to address the pressing concerns of the industrial sector. He also assured FCIK that the issues raised would be taken up with the concerned authorities and that follow-up meetings would be held during the coming week to work towards their resolution.
FCIK expressed hope that the Chief Minister’s intervention would provide immediate relief to existing industrial units while the Revised Industrial Policy is being finalised.
