JAMMU:The working Industrial Sector in our State is passing through a very crucial Stage due to casual attitude of the Govt. in respect of grant of Fiscal Incentives at par prior to GST Regime resulting slow down of Industrial Production, shifting of Production base by Industrial Units near to the market.
As per the data available with the Federation of Industries Jammu, Industrial Growth declining day by day due to non availability of Central/State Govt. fiscal Incentives due to which very negligible new units registered with Industries Department in last three years as annually only around 200 MSME Units commenced the Production with the Employment of around 1100 persons. The position is more serious as nos. of Units is in the process of surrendering the Land allotted to them due to non availability of State/Central Fiscal Incentives to new units.
It is pertinent to mention here that present working MSME/Large Scale Units suffering very badly due to delay in the Grant of fiscal Incentives as approved in the State Budget 2018-19 as the files are rolling between Finance and Industries Department in spite of repeated requests and reminders by Federation of Industries, Jammu.
The position is more serious as majority of the Micro & Small Sector mostly owned by sons of the soils on the verge of closer due to non availability of requisite fiscal incentives at par in the VAT Regime which may resulting in to mass scale retrenching of work force due to discrimination in the Grant of Fiscal Incentives by State Govt. to those units Exempted under the Central Excise Regime prior to GST Regime.
All is not well as the financial position of Industrial Units eroding day by day due to delay in the release of Notified Fiscal Incentives by Commercial Tax Department in respect of Reimbursement of CGST/SGST due to cumbersome guidelines of the SRO 519/521 and 63.
The Industrial Units have no option but to pay additional freight on the Import of Raw Materials and Finish goods due to delay in Implementation of Central Govt. Transport Department Notification dated 16-07-2018 in respect of enhancement in the Safe Axel Load for Commercial Vehicles.
Govt. Departments clandestinely refusing purchase of material by issuing Tenders on turnkey basis by ignoring the guidelines of Industrial Policy 2016 which clearly says that the material shall be purchased from Micro & Small Sector with Price/ Purchase preference through SICOP.
Federation of Industries, Jammu appeals to Governor of J&K to kindly intervene into the matter to resolve issues of Industrial Sector of J&K with a request to convene an urgent meeting with the participation of Stake holders from Jammu/ Kashmir Industrial Stake holders with the of grant State Fiscal Incentives to the Existing as well as new Units and take up the matter with the Central Govt. for the grant of fiscal incentives at par with the North Eastern States to the Industrial Sector of J&K for the rapid Industrial Growth to provide employment to unemployed youths of the State.