J&K Industry Issues: LG Sinha holds interaction with business leaders

25 June 2022

Follow Ziraat Times on Whatsapp - Join Now

Srinagar, June 25: J&K’s Lieutenant Governor and other senior officials held a detailed interaction with business and industry representatives of Jammu & Kashmir at Srinagar today. The meeting deliberated on enhancing ease of doing business and support to local industries.

The meeting, held at SKICC Srinagar, was attended by representatives from Kashmir Chamber of Commerce and Industry (KCCI), Federation Chamber of Industries Kashmir (FCIK), PHDCCI Kashmir chapter, presidents of industrial estates from Kashmir region. KPO, TAHAFUZ, KCC, Confederation of Indian Industry, Hydel Power Association, Kathua Industrial Association, Industrial Estates etc also projected their issues and concerns on the occasion, sources told Ziraat Times.

On the government side, the meeting was also attended by Chief Secretary Arun Kumar Mehta, Additional Secretary Vivek Bhardwaj, Pandurang Pole Divisional Commissioner Kashmir; Additional Chief Secretary, Financial Commissioner Vivek Bhardwaj (IAS), Commissioner State Taxes Department Dr Rashmi Singh (IAS), Divisional Commissioner Kashmir Shri Pandurang K Pole (IAS), and Additional Commissioner State Taxes Mrs Ankita Kar (IRS), Mahamood Shah Director Industries & Commerce, Ms Anoo Malhotra (JKAS) Director Industries & commerce Jammu and Director Handicrafts and Handloom Kashmir Tariq Ahamd Zargar (JKAS).

The PHDCCI-J&K was represented by Kashmir Chapter Chair Baldev Singh Raina and Mushtaq Ahmad Chaya along with EC members including Shafi Tramboo, Javaid Anim, Jan Muhammad Kaul, Himayu Wani and Pervaiz Qalander. FCIK was led by Shahid Kamili President & Secretary General Ovees Qadir Jamie and also included Industrial Estate Presidents & District President of Kashmir Valley, spokesperson told Ziraat Times.

The PHDCCI delegation raised the issues of power tariff hike, extension in the project implementation beyond 30th June 2022, Extension of VAT Amnesty, Revival & rehabilitation of Sick Units, Review of Srinagar Master Plan, Mushtaq Chaya discussed the issue of Applicability of Turnover Incentive Scheme for Service Sector, the issue of regarding problems of MSME Finance, Clearances of Pollution Control Boar, establishment of Inland Container Depot & Warehousing Facilities, Completion of various Infrastructure Projects, Ease of Doing Bussiness, and drafting of J&K Real Estate Policy.

FCIK President Shahid Kamli put forth a charter of demands which includes Marketing Support, Issues in change of constitution & line of activity, Pending Payments & Delayed Payment Act, Industrial Land Allotment Policy, revocation for cancellation and eviction process of the Industrial Land, Extension of relief in Regulations and Taxation, Revival and Rehabilitation of Industrial Sector, Conversion of Lease hold rights to Free hold rights & Promotion of Entrepreneurship by Safeguarding Interests & framing of Standard bidding document.

FCIK Secretary General Ovees Qadir Jamie said that the Marketing Commitments made in the previous Industrial policy 2016-26 has been withdrawn during its currency of operation and the new policies has been implemented in which existing industry has not been protected. FCIK demands that the half of the amount of 28400 crore central Incentive package should be extended to exiting industry, so that they can be sustainable and competitive after withdrawal of incentives.

Jamie said that the Economic Revival Committee should be framed as previously done 2020 with time bound submission of report on the distress business community and thereon the measures should be taken for revival & rehabilitation. He said that the J&K is importing goods & commodities more than 60,000 crores and focus shall be on import substitution by promoting local industry.

FCIK demands for the extension period for provisionally registered units to obtain formal registration as the last date is up to 30.6.2022. The unit holders are stuck up in obtaining the NOC’s from the various departments which includes Pollution Control board, Forest license/clearance & others. The Lt Governor has assured for its extension.

FCIK demands that the department are floating Tenders, but the Industrial Units & MSMSE’s have not been allowed to participate in these tenders while as the A, B, C Class of contractors is mentioned only. The Local Purchase filter on GeM portal should be enhanced upto 3 crores. FCIK demanded that the departments may be directed to procure from local MSME by any means the government desires.

FCIK demanded the payment of supplies & works done by Industrial Sector. Despite “Delayed payments Act” in force, the due payments to the enterprises are not being made in time resulting in huge losses to the unit holders. The government has done various works under languishing and the department have done works without Administrative or Technical sanction for which the payment have not been disbursed.

FCIK discusses Issues in change of constitution, line of activity, Inclusion of Partner, Transfer, Merger & Substantial Expansion due to recent orders issued by government. We demand the government should allow and facilitate the existing disinterested & tired entrepreneurs to transfer their units to new breed of entrepreneurs with fresh blood and mind. Further, provide an exit route to the sick unit by allowing transfer of its ownership/lease hold rights to another entrepreneur if the revival & rehabilitation is not possible.

FCIK demands revocation for cancellation and eviction process of the Industrial Land. FCIK has demanded that the eviction order should be immediately kept in abeyance and government should look into the problems of such units & redressal of same.

FCIK demands that the government should made land allotment to all those bonafide prospective unit holders, who have applied with their proper applications on the same parameters by way of which the Government has earlier allotted huge chunk of l and at J&K.

FCIK demands that the clean slate for VAT regime should be provided as before the introduction of GST regime, industry was promised of a clean slate for VAT regime. Further, a mechanism for the reimbursement of GST should be made, so the tax amount should be set off without depositing the amount in cash and should be setoff for reimbursement portion amount.

A robust revival and rehabilitation policy regarding sick MSMEs need to be framed after taking cue from Government order No 1558-Ind & 47 of 1999 and after due consultation with the concerned stakeholders. The Procedural Guidelines needs to be issued for disbursement of soft as the matter is pending from last one year despite being included in new Industrial Policy. FCIK demanded reconstituting of the committee as previously has been framed in year 2020 by Hon’ble Lt. Governor to make an assessment of the overall economic scenario.

FCIK demands that Conversion of Lease Hold Right to Free Hold Right to the existing unit holders, for the land allotted by J&K SIDCO and J&K SICOP in the notified Industrial Estates/Areas as done by Delhi State Industrial Infrastructure Development Corporation Board to transfer or regularize leasehold rights into free hold of Industrial plots.

FCIK demanded Safeguarding Interests of unit holders & promotion of entrepreneurship. FCIK demanded to have a legally correct and safeguarde “Standard Bidding Document” covering & protection of Bidders as per governing Law. We face hardships due to the absence of such legally correct SBD. Thus it is to be demanded from the Govt. to frame a committee of experts comprising a team of Technical/Engineering, Legal, Planning & Procurement experts along with FCIK representatives.

Lt Governor has assured to all the demands will be thoroughly analyzed and the redressal of same has been assured. He also said that periodic interaction program will be held with Industrial sector to get the feedback for upliftment of Industrial sector.

Manoj Sinha in his address deliberated on enhancing ease of doing business & support to local industries. Certain measures of business revival package-2020, yet to be saturated across industries will be implemented within a time-frame to cushion the shock of pandemic. He further said that It has been the constant endeavour of the UT Govt to boost the investment climate of the country and we have undertaken multiple key initiatives to establish a transparent system to attract capital and harnessing local entrepreneurial potential.

A committee comprising of Industries & Commerce Deptt and entrepreneurs is being constituted as an institutionalized mechanism to hold regular interactions with the industry representatives, Chambers of both the divisions to resolve issues & challenges confronting the businesses. Hon`ble LG said that a similar interaction will be held in Jammu with representatives of Chamber and Industries soon. At the core of the govt’s industrial policy is providing opportunities & assistance to local industries, economic growth and generating employment.