SRINAGAR: The Jammu and Kashmir government on Tuesday faced questions in the Legislative Assembly over the adequacy of coverage for unemployed educated youth under the Industrial Development Policy, even as it disclosed that over Rs 657.83 crore has been disbursed to entrepreneurs under the New Central Sector Scheme since its launch.
Replying to a starred question by MLA Ali Mohammad Sagar, the government said that while the JK Industrial Policy 2021–30 is primarily aimed at industrial growth and investment promotion, it also provides avenues for employment generation, including for unemployed youth. It said the policy emphasises job creation, first-time entrepreneurship and ease of access to incentives through online and time-bound mechanisms.
The government rejected the assertion that coverage under the policy was inadequate, stating that unemployed youth across Jammu and Kashmir are eligible to participate and benefit through multiple schemes, facilitation centres and district-level outreach programmes. It said awareness drives, handholding support and industry facilitation initiatives were being undertaken to widen participation, particularly in backward and rural districts.
Providing implementation details, the government said that under the New Central Sector Scheme 2021, a total of 3,973 incentive claims have been received so far, of which 3,165 claims have been approved. An amount of Rs 657.83 crore has been disbursed to entrepreneurs by the Department for Promotion of Industry and Internal Trade, Government of India, as of January 15, 2026.
Under the Industrial Development Scheme 2017, 293 claims have been approved across different incentive components, with financial assistance amounting to Rs 106.77 crore. These include capital investment incentives and interest subvention components, the reply said.
The government further stated that under the JK Industrial Policy 2021–30, a total of 2,784 claims have been sanctioned or disbursed so far, involving incentives worth Rs 51.62 crore. The highest number of claims were sanctioned under the turnover incentive component, followed by incentives for DG sets, pollution control devices and laboratory testing equipment.
Sharing long-term data on industrial growth, the government said that investment in the industrial sector has risen sharply over the past decade. Between 2014–15 and December 2025, investments worth Rs 18,332.93 crore have been realised, leading to the establishment of thousands of industrial units and generation of over 1.04 lakh jobs in the sector.
In recent years, investment increased from Rs 176.76 crore in 2021–22 to Rs 5,260 crore in 2025–26 up to December, while employment in the industrial sector rose from 2,351 to 7,431 during the same period.
The government also highlighted the role of self-employment schemes in tackling unemployment. Under the Prime Minister’s Employment Generation Programme, over 89,600 units have been established or assisted up to January 2026, with margin money disbursement exceeding Rs 1,848 crore and an employment potential of more than 7.16 lakh jobs.
Similarly, under the Rural Employment Generation Programme, nearly 6,000 units have been supported since 2018–19, with margin money assistance of Rs 154.97 crore and employment potential for around 35,940 persons.
The reply added that the government continues to expand the industrial land bank and incentive framework to support entrepreneurship and employment generation, particularly among educated youth, through ongoing policy measures and scheme implementation.
