SRINAGAR: The Federation of Chambers of Industries of Kashmir (FCIK) has strongly objected to the Agriculture Department’s mixed tendering approach under the Kisan Khidmat Ghar scheme, part of the Holistic Agriculture Development Programme (HADP). The FCIK has urged Chief Minister Omar Abdullah and Deputy Chief Minister Surinder Kumar Choudhary to intervene, citing significant risks to local manufacturing units.
The FCIK highlighted that the department has amalgamated furniture and electronic items into a single tender package, which it argues could alienate local manufacturers and hinder fair competition. The Chamber warned that such an approach might reduce the number of qualified bidders and lead to inflated costs and substandard product delivery.
FCIK President Shahid Kamili expressed frustration with the tendering structure, calling it impractical for local furniture manufacturers who cannot supply electronic equipment. “The tenders are simply unworkable for our members in the furniture sector. This mixed tendering approach will result in inadequate bids or a lack of qualified suppliers altogether,” Kamili stated.
The FCIK underscored that furniture falls under the 358 reserved items for Micro and Small Enterprises (MSEs) under the Union government’s Public Procurement Policy, introduced under the MSME Act of 2006. Kamili criticised the Agriculture Production Department’s actions, particularly in Budgam and Srinagar, where tenders have combined the procurement of unrelated product categories.
In other districts, including Bandipora, Baramulla, and Anantnag, the department has issued separate tenders but imposed what the FCIK described as “irrationally stringent” qualification criteria, effectively excluding local manufacturers from participating.
The FCIK argued that the mixed tendering practice contradicts the principles of transparency and competition in public procurement. “This approach undermines the objective of securing quality products at competitive prices while adhering to laid-down procurement policies,” Kamili stated.
The Chamber also expressed concerns about the broader impact on the Rs 5,000-crore HADP initiative, which aims to boost Jammu and Kashmir’s agricultural sector. The programme includes establishing 1,000 Kisan Khidmat Ghars equipped with multifunctional kiosks and industrial products made by local enterprises.
The FCIK said it has already raised the issue with the Chief Minister and Deputy Chief Minister, who, according to Kamili, have directed a review of the practice. Kamili expressed optimism about the draft Public Procurement Policy currently under consideration, which promises to address local manufacturers’ concerns.
The policy, once finalised, is expected to incorporate provisions for reservation in procurement, exemptions for earnest money deposits, and turnover relaxations for local units. Kamili noted that these measures would ensure local manufacturers’ fair participation in government schemes, aligning with the vision of the HADP.
Launched on March 7, 2024, by the Prime Minister, the HADP seeks to revolutionise agricultural practices in Jammu and Kashmir by creating farmer-friendly infrastructure and promoting local industries. However, the FCIK’s opposition highlights the need for balanced policies that support local enterprises while maintaining procurement standards.
The Chamber emphasised that it would continue to push for local manufacturers’ inclusion to ensure that they benefit from this transformative initiative.
