West Asia war shock hits J&K industry as BBIA urges fuel support, loan relief and force majeure protection

• West Asia war shock hits J&K industry, BBIA seeks urgent relief package

Jammu, 06-04-2026: Sh. Lalit Mahajan, President of the Bari Brahmana Industries Association and Co-Chairman of the Federation of Industries Jammu, submitted a detailed memorandum to the Commissioner/Secretary of Industries and Commerce in respect of the impact on the working industrial sector of Jammu & Kashmir due to the ongoing war in the West Asia region in a meeting held on 04-04-2026 at Udyog Bhawan, Jammu, in the presence of the Director of Industries & Commerce, Jammu, and Managing Director, JKTPO, and other officials of the Industries Department.

While highlighting the issue, Sh. Lalit Mahajan drew the kind attention of Sh. Vikramjit Singh (IPS), Commissioner/Secretary of the Industries & Commerce Department, towards the plight of the working industrial sector of Jammu & Kashmir suffering very badly due to steep increase in the prices of raw materials/stoppage/curtailment of industrial production due to shortage of commercial LPG Gas, resulting in a number of Unit Holders suspended/curtailed their production activities. The main factors behind the crisis are Limited availability of Commercial LPG Gas to run the plant; shortage of petroleum-based solvents, recent massive hike in the prices of raw materials and freight cost, Blockage of Funds due to delay in the receipt of payments of Finished Goods, Setback for the Exporters of finished goods, Sharp decline in the Market Demand of finished goods within/outside the state, and huge burden of bank interest on working capital and term loans, which may be resulting in huge financial losses to the industrial units.

Sh. Lalit Mahajan conveyed heartiest thanks to the Commissioner Secretary of Industries & Commerce and Director of Industries & Commerce, Jammu for their kind intervention resulting in the restoration of 70% supply of commercial LPG to industrial units.

During the course of discussions, Sh. Lalit Mahajan suggested the following measures to meet the challenge during the current crises and requested  for providing immediate relief to the industrial sector of J&K: –

1. 1. PRODUCTION LINKED MEASURES:-

1. 1. Regular/ Uninterrupted Supply of Commercial LPG (19 Kg, 47 Kg, 400 Kg & Tank Supply) / Petroleum Products to Industrial Units.

1. 1. Grant of permission by J&K Pollution Control Committee in respect of shifting to other alternate fuels to replace petroleum bases fuels.
   2. Grant of permission by J&K Forest Department for the usages of wood as alternate fuel by Industrial Units.

1. 1. Notification regarding the implementation of “Force Majeure Clause” to waive off penalty by Central/ State Govt. Departments due to delay in the supply of Goods in the present extra ordinary situation in respect of supply to Central/ State Govt. Departments.

1. 1. FINANCIAL MEASURES

1. 1. Grant of Financial Support to Industrial Unit by Public/Private Sector Banks  Sector as a special relief package with the enhancement of 50% Working Capital Limit for one year within the Existing Collateral Security by all the Working Banks in J&K.

1. 1. Waive off Interest for Term Loan and Working Capital Limit for up to 31-03-2027.

1. 1. Restructure the Term Loan by Banks/ Financial Institutes of Industrial Units of J&K.

1. 1. Relax in the NPA guidelines for Industrial Sector.

Sh. Vikramjit Singh, (IPS)Commissioner/Secretary Industries & Commerce Department issued on spot directions for the appointment of Nodal Officers in each District for providing all sort of help to ensure the un-interrupted supply of Commercial LPG Gas and other Fuels to Industrial Units and also assured that Department will take up the matter with Finance Department to convene an urgent  meeting of UTSLBC for providing the all sort of Financial Relief to the Industrial Sector of J & K to meet the current situation.