Jammu: Shri Tarun Singla, Chairman, Federation of Industries Jammu (FOIJ) and President, Bari Brahmana Industries Association (BBIA), met the Hon’ble Chief Minister Sh. Omar Abdullah and held a detailed discussion on the serious challenges being faced by the existing industrial sector and the need for a strong and practical Industrial Policy for Jammu & Kashmir.
The meeting was also attended by Hon’ble Deputy Chief Minister Shri Surinder Choudhary and Advisor to the Chief Minister Shri Nasir Aslam Wani. Shri Sachin Kapoor, General Secretary, BBIA, also accompanied Shri Singla.
Singla apprised the Hon’ble Chief Minister about the ground realities of the industrial sector, stating that existing industries involving investments of approximately Rs. 30,000–40,000 crore are passing through a very difficult phase and require immediate policy support. He pointed out that the existing industrial sector, which has consistently contributed significantly to employment, economic activity and Government revenue, has felt neglected during the last several years.
Highlighting the poor infrastructure support, Singla stated that the Bari Brahmana Industrial Complex, contributing approximately Rs. 250 crore in revenue, is functioning with barely two linemen, which reflects the serious shortage of basic manpower and infrastructure in one of J&K’s largest industrial estates.
He cautioned that many existing industrial units are at the verge of closure unless the upcoming Industrial Policy provides meaningful and immediate relief. He strongly urged the Government to ensure regular interaction and consultation with industrial stakeholders before finalisation of the policy so that it addresses actual problems on the ground.
Protective Tax Essential for Survival of Local Industry
Singla strongly emphasised that the Government should introduce an appropriate protective/safeguard tax mechanism without fail to protect locally manufactured goods and create a level playing field for industries operating in Jammu & Kashmir.
He stated that J&K suffers from a deadlock market, geographical disadvantages, higher logistics costs and limited local consumption, and therefore the existing industry cannot flourish merely on general incentives without protection against unrestricted inflow of goods manufactured outside the Union Territory.
He cited the example of neighbouring Punjab, stating that if the Punjab Government can levy around 6% Mandi Tax/charges on wheat and agricultural produce to safeguard its revenue and local ecosystem, Jammu & Kashmir should also examine an appropriate and legally sustainable tax or levy mechanism for goods coming from outside, so that manufacturing within J&K becomes competitive and attractive.
Singla stressed that such a mechanism would not only safeguard thousands of crores of existing investment but would also encourage fresh manufacturing, protect employment and strengthen Government revenue.
The Hon’ble Chief Minister gave a patient hearing to the issues raised and displayed a very positive and well-informed approach, being fully conversant with the difficulties being faced by the industrial sector.
Singla expressed hope that the upcoming Industrial Policy would give first priority to the survival and revival of existing industries, along with measures for attracting new investment, and that continuous stakeholder consultation would remain an integral part of the policy-making process.