AOI Calls on J&K UT Govt. to Formulate Incentive Package for Existing Industries Under Substantial Expansion and Line of Activity Change

08-05-2023 : Association of Industries, Gangyal shows its dismay over the neglecting attitude of the J&K UT Govt. towards existing industry.AOI has always welcome and appreciated the efforts of the Govt. To invite fresh investments in industrial sector in UT. 

 Sh. Rajesh Jain, President of AOI, Gangyal appeals to the Govt. of J&K UT to shun its neglect approach towards existing industry as existing industry can become the brand ambassador of the govt. to fetch fresh investment. The flourishing of existing industry shall be an attraction for new investment. 

 Sh. Rajesh Jain, President of AOI states that we are happy if the fresh investments come to UT but Govt. should also take care of the existing industry. It is not beneficial for the Govt. and the existing industrial sector of J&K UT to ignore the existing industry. Govt. has announced incentives for the new industry which is again a welcome step but the Govt. should look into the fact that existing industry is running at very low cost of incentives but providing employment to the higher no. of employees as compared to the new industry. 

 Govt. has announced reimbursement of gross GST on invoice value to the new industry whereas only refund of SGST that too on value addition only is being provided to the existing industry. It is pertinent to mention here that under the state industrial policy 2021, the SGST reimbursement has been provided to the existing industry but denied to the industries under substantial expansion and which undertake change of line of activity. AOI is afraid that this incomparable incentives between the two sets of same industry shall prove fatal to the existing industry. It is pertinent to mention here that it is a matter of sustenance for the existing industry. Govt. should take care of the existing industry to make them sustainable.  

 AOI appeals to the Hon’ble Lt. Governor to come to the rescue of existing industries and issue instructions to the concerned authorities to formulate an incentive package for existing industry to provide the reimbursement of gross GST of invoice value.  

 AOI again request the Hon’ble Lt. Governor Sh. Manoj Sinha Ji to issue instructions to the concerned authorities to formulate a package of incentives for the existing industries under substantial expansion and the industry which undertakes change of line of activity since at present no incentive is available for such industries.