Discussion on Issues Affecting Industrial Units: Visit of Ministry of Home Affairs Director to BBIA Bhawan in Jammu

Jammu, 09-09-2023 :Prasanth Kumar Reddy, Director (J&K and L) Ministry of Home Affairs, Govt. of India visited BBIA Bhawan along with Dr. Raghav Langer (IAS), Secretary, Planning Development and Monitoring Department, J&K Govt., Sh. Kishore Singh Chib, (JKAS) Director, Industries & Commerce Department, Jammu, Sh. Virender Kumar Manyal (JKAS), General Manager, DIC, Jammu, and other officials to discuss the various issues related to the Existing as well as New Units to be established under NCSS-2021

While welcoming the Director (J&K and L), Ministry of Home Affairs, Govt.  of India during his Maiden visit to the Industrial Complex, Bari Brahmana Sh. T.S. Reen Chairman and Sh. Lalit Mahajan Co-Chairman FOIJ highlighted the various issues related to Existing working Industrial Units of J&K which includes the Enhancement in Budgetary Allocation for the Reimbursement of Turnover Incentives as per Govt. order No- 127- Ind. of 2021 dated 21-05-2021, Reimbursement of GST Linked Incentives under NCSS-2021 to the manufacturing units undertaking Substantial Expansion with the addition of new products, Marketing Support in the shape of Purchase Preference, Removal of Edible Oil from the Negative List of SRO 63 dated 05-02-2018 further extended upto 31-3-2031 of Finance Department, non availability of Developed Land for the prospective Investors under NCSS-2021 and other issues.

During the course of discussions, it has been brought in to the notice of the Director (J&K and Ladakh) about the plight of Existing Working Units suffering very badly due to denial of additional funds of Rs.160 Crores for the settlement of Turnover Incentives for the period 2021-22, no provision of GST Linked Incentives to Units under Substantial Expension in respect of change in the line of Activity or addition of New Products, denial of Purchase preference by Govt. Departments as the majority of Items being purchased by Govt. Departments through GeM Portal as it is not possible to supply the goods by local existing MSME units due to additional cost of Raw Materials.

In respect of supply of Goods to Govt. Departments, it is the need of the hour to reserve some quantity for  Micro and small Scale Units as  All is not well as Hundreds of Micro & Small Scale Units of J&K UT engaged in the supply of Goods to Govt. Departments prior to the introduction of the GeM Portal, on the verge of clouser which may be resulting the mass scale retrenchment of Industrial Workers in the near future.

In respect of the Negative List issued by the Finance Department for the Industrial Goods covered under the State Package of Incentives, the worst sufferers are the Units engaged in the manufacturing of Edible Oil by crushing of oil Seeds as the  said Item put under the Negative List whereas in NCSS-2021  the Manufacturing of Edible Oil in not

under Negative List resulting the Existing Units on the verge of clouser due to the stiff competition being faced from outside suppliers and new units being set up under the NCSS-2021.

It was further conveyed to Sh. D. Prasanth Kumar Reddy, Director (J&K and L) Ministry of Home Affairs, Govt.  of India & Dr. Raghav Langer (IAS), Secretary, Planning Development and Monitoring Department, J&K Govt. that majority of MSME Units heading towards the Sickness and it is the need of the hour to resolve the issues on priority basis which will encourage the Local Existing Units to survive with the additional Investment by utilizing the existing Infra Structure and also provide additional  Employment to Lakhs of Local People of the J&K.

 Prasanth Kumar Reddy, Director (J&K and L) Ministry of Home Affairs, Govt. of India & Dr. Raghav Langer (IAS), Secretary, Planning Development and Monitoring Department, J&K Govt., listened to all the issues highlighted by the representatives of Federation of Industries, Jammu & assured the FOIJ to take up the matter with the Commissioner/Secretary Industries and Commerce Department JKUT to resolve all the issue on priority basis.

The meeting was also attended by  Sh. Deepak Dhawan Co-chairman FOIJ, Sh. Viraaj Malhotra, Secretary General FOIJ, Sh. Pardeep Vaid Convenor FOIJ along with other Office Bearers of FOIJ, Members of BBIA, Estate Manager, J&K SIDCO, and other Officials of the Industries Department.