Jammu and Kashmir, the Union Territory administration is wooing investors by setting up a 6000-acre land bank for setting up modern age industrial estate, in order to grow business in identified sectors.
According to newly appointed Lt. Governor Manoj Sinha, 10000 Kanal (equivalent to one-eighth of an acre) of lands was transferred in favor of the J&K Industries and Commerce Department for establishing 37 new industrial estates. The last industrial estate was established in the Ghatti area of the Kathua district.
Stakeholders are of the view that upcoming industrial estates should be made “vibrant centers of industrial activities”. Through this move, J&K aims at creating more employment opportunities in the region and push for the development of the valley.
On the other hand, some industrialists have raised concerns regarding the lack of proper road connectivity and power supply in the currently identified areas for constructing the industrial estates.
J&K administration has announced various incentives and subsidies in order to lure the businesses. The government has announced for providing 30 to 40% subsidy on purchase of plant and machinery, reimbursement of 3 to 5% interest on working capital for a period of five years and 100% subsidy on purchase of DG sets.
Lt. Governor Sinha has also set up a committee for the economic revival of the UT. The committee has been instructed to submit its report on 1 September.
However, as per the President of Kashmir Chamber of Commerce and Industry, the UT has incurred a loss of Rs. 40,000 cr and around 5 lakh jobs already due to internet restriction and pandemic. The President also said that restoring 2G services will not be enough to support the businesses of the region.
(By: Vidush Pandey)