Jammu, 19-11-2024: An urgent meeting of the Federation of Industries, Jammu, was held today under the chairmanship of Sh. Lalit Mahajan in the presence of Sh. Varinder Jain, Sh. Jatinder Aul, Sh. S.C. Dutta, Sh. Ajit Lal Bawa, Sh. Raman Jolly Co-Chairmen, FOIJ, and other Executive Members of the Federation of Industries, Jammu in which members present humbly requested Hon’ble Chief Minister Sh. Omar Abdullah and Deputy Chief Minister Sh. Surinder Kumar Choudhary for pre-budget discussions with stakeholders before the finalization of budget estimates for 2025-26 related to fiscal incentives for existing working industrial units of Jammu & Kashmir.
While highlighting the issue Sh. Lalit Mahajan Chairman, Federation of Industries Jammu, draws the kind attention of Hon’ble Chief Minister Sh. Omar Abdullah and Deputy Chief Minister Sh. Surinder Kumar Choudhary that J&K Govt. has already started the process for the finalization of budget proposals for the financial year 2025-26 and it is the need of the hour to consult all the stakeholders of the industrial sector for a threadbare discussion for the grant of fiscal incentives to existing units during the financial year 2025-26.
It is worthwhile to mention here that the State Fiscal Incentives for the Existing Industrial Working Industrial Units have been reduced to Rs. approx. 500 per annum from Rs. 1800 crores per annum by the UT Administration since 2021. The resulting uncertainty prevails in the mind of the Existing Working Industrial Units mostly run by the Sons of the Soil, providing direct and indirect employment to approx. 3 to 4 Lacs Local local people.
It is pertinent to mention here that the State Fiscal Incentives have been reduced to only Rs. 500 Crores per annum for Existing Working Units as on 01-04-2021 whereas Rs. 2840 Crores per annum has been allocated to New Units under NCSS-2021 Scheme of Govt. Of India resulting stiff competition has been reported between the Old and New Units and immediate relief shall be provided to Existing Working Units with the Restoration of State Package to Rs. 1800 Crores per annum in the shape of Turnover Incentive, Reimbursement of SGST/CGST and Interest Subvention to Existing Working Units/ Units under Substantial Expension with the grant of Additional Budgetary Support of Rs. 1000 Crores as Price/Purchase Preference as Marketing Support for the Supply of Goods to State Govt. Department by the Local Industrial Units with the total allocation of Rs. 2800 Crores per annum for the Existing Industrial Units.
We appeal to Hon’ble Chief Minister Sh. Omar Abdullah and Deputy Chief Minister Sh. Surinder Kumar Choudhary for their kind intervention to convene pre-budget discussions with industrial stakeholders with the participation of the concerned officials as per the past practice of previous popular governments.