Jammu, 31-05-2024: Industrial working Units of J & K UT are suffering very badly due to the non-release of Funds by the Finance Department to the Industries Department for the Reimbursement of Turnover Incentives Claims for 2021-22 and 2022-23.
While highlighting the issue Sh. Lalit Mahajan President Bari Brahmana Industries Association and Co-Chairman of Federation of Industries Jammu draw the kind attention of Hon’ble Lt. Governor Sh. Manoj Sinha that Turnover Incentive to Industrial Units was granted as notified by the Industries Department vide Govt. order No. 127-Ind of 2021 dated 21-05-2021 and the Claims has been submitted by Industrial Units for the Financial Year 2021-22 and 2022-23, but not a single Rupees has been received by the Industrial Units of Jammu & Kashmir during the Financial Year 2023-24 in-spite of the fact the Bills for the Financial Year 2021-22 has been uploaded by Industries Department in the month of March 2024 on the basis of Funds available but the Bills remained Unpaid resulting great resentment amongst the Unit Holders. The matter has been taken up with the Industries Department and it was assured to us that the payment of Liability of 2021-22 within the Budgetary provision of 50 Crores shall be released in the month of April 2024 from the Funds released by the Finance Department for the 1st Quarter of 2024 but till date nothing has been received by the Industries Department from the Finance Department.
It is pertinent to mention here that in 2018, Interstate Turnover Incentives as Budgetary Support to Industrial Units was notified by the Finance Department vide SRO No.431 of 2018 of Finance Department dated 25-09-2018 valid up to 31-3-2026 by virtue of which approx. Rs.200 Crores Per Annum was disbursed to Industrial Units till 31-3-2021 but the said SRO has been withdrawn by the Finance Department w.e.f. 01-04-2021 and the Industries Department has notified Industrial Policy 2021-30 with the initial Budget under Turnover Incentives to Industrial Units of Rs. 50 Crores Per Annum. w.e.f 01-04-2021 with the assurance that the Budgetary allocation shall be increased on the basis of Actual Turnover Incentives Claims of the each Financial Year and accordingly Turnover Incentive Claims amounting to Rs. 207 Crores has been received and processed by the Industries Department for the Financial Year 2021-22 but till date not a single Rupees has been disbursed as the Industries Department not yet received the requisite Funds from the Finance Department for the reason best known to Finance Department.
It is unjustified that Govt. has withdraw the Budgetary Support to Industrial Units under SRO No. 431 by virtue of which saved Approx. Rs. 200 Per Annum and replace the same with the allocation of Rs. 50 Crores Per Annum as Turnover Incentives as per Industrial Policy 2021 resulting a setback of approx. 150 Crores to Existing working Units established in J&K State since long and working in spite of all the Odds like Limited Market Avenues as we are surrounded by the hostile Neighbors like China and Pakistan, Locational Disadvantages resulting higher cost of Raw materials and Stiff competition from the Units Located in the Neighboring States and providing Direct/Indirect Employment to around four Lac peoples of the State which is equivalent to State Govt. Employees.
We request Sh. Manoj Sinha, Hon’ble Lt. Governor Union Territory of J&K, Sh. Atal Dulloo, IAS, Hon’ble Chief Secretary Union Territory of J&K, Sh. Santosh Dattatreya Vaidya (IAS), Principal Secretary Finance Department and Sh. Vikramjit Singh, (IPS) Commissioner/ Secretary, Industries & Commerce Department, for their kind intervention for the release of requisite funds on a priority basis for the Reimbursement of Turnover Incentives to Industrial Units of Jammu for the Financial Year 2021-22 & 2022-23 on actual basis with the enhancement of Budgetary allocation which will provide great relief to the working Industrial Units of JKUT.