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Revisiting New J&K Industrial Policy
R.B. SURI6/12/2016 10:09:49 PM
Prior to 1975, a very few Industrial units were working in the Jammu and Kashmir Divisions of J&K state . It was due to the hectic efforts of Shere- e- Kashmir Sheikh Mohammed Abdullah after becoming the Chief Minister pursuance to signing of Indira - Sheikh Accord in 1975, New era of Industrial development started in J&K then . Since Sheikh was a far sighted personality, he made the thrust on the Industrial sector so as to provide the employment avenues to the skilled and un skilled youth of the state . He paid personal visits to New Delhi , Mumbai , Tamil Nadu and other big cities of the country without caring for his health and old age to convince and invite the big corporate to start the industrial ventures in the state of Jammu and Kashmir as he was interested in the overall industrial development of the state . Due to his serious efforts following big corporate established their ventures in the state :-
1. Berger Paints - Samba
2. Uflex - Samba
3. Fena Detergents - Kathua
4. Satyam Cements - Kathua
5. Jackson DG Sets - Kathua
6. Nicer Paper Mills - Kathua
7. Bharat Boxes - Samba
8. Cadila Pharma - Samba
9. Sun Pharma - Samba
10. Jhelum Steel Industry - Samba
11. Sudhir DG SETs Industry Bari Brahamana Jammu
12. Bharat Boxes Industry, Samba
13. Hindustan Lever
14. Bhillwara Textiles - Jammu
15. Singer Swing Machines - Jammu
16. HMT - Srinagar
17. Cadilla Pharmaceuticals - Samba
18. Sun Pharmaceuticals - Samba
19. Khybre Group - Srinagar
20. Trombo Industries - Srinagar
21. ITI Industries - Srinagar -etc. etc.
Hindustan Lever , Bhillwara Textiles , Singer Swing Machines and several others left the state after closing there ventures here causing a great loss to the state . Mufti Mohammed too like Sheikh Sahib concentrated on this aspect and without caring for his health met the big corporate personally at their headquarters at New Delhi , Tamil Nadu and Mumbai etc. He could not be able to contribute towards this sector as he died on January 7 this year . Now his daughter Mehbooba Mufti is holding the reigns of the state effecting from April 4.
Earlier J&K Industrial Policy expired on 31-03-2015. New and current Industrial Policy in the state of Jammu & Kashmir was announced during the last Governor's Rule which ended as on 4th April this year . With the coming of BJP- PDP combine headed by Chief Minister Mehbooba Mufti this new Industrial Policy came into large scale criticism from the pro separatists political parties of the state as it is pro outsiders entrepreneurs and big corporate . Not only this , CCI of both the regions of the state have also reacted against it strongly as it does not come up to their expectations .
Under the previous Industrial Policy, big chunk of land bank of the state stands already given to the entrepreneurs and the big outside corporate groups for doing their industrial activities in the state of Jammu and Kashmir .
A sizeable amount which runs into thousand crores is lying in rent arrears as recoverable from them since long for which no serious efforts are initiated over the years by the State Government as the officers at the helm of affairs over the years have developed their personal good relations with the managements of these Industrial groups and entrepreneurs lobby .
Acres of land are being allotted to the entrepreneurs and big corporate at the very meager rate i.e. throw away prices just @ Rs. 1.50 lac per kanal of land to establish their business venture . With the passage of time after opening their ventures , they close down their ventures and leave the state thereby earning a lot from realizing their huge assets. Within a period of 7-10 years , they become multi milliner's at the cost of the state exchequer that too with the connivance of the state officials at the helm of affairs . Various clauses incorporated in their land Allotment Agreements / Deeds on this score are always side lined by them resulting which the state is suffering a lot due to their will full negligence.
Seeing the weakness of the state and its governing machinery , the entrepreneurs and the big corporate are enjoying a lot and they are not interested to repay the same which are lying as arrears against them . There are also penalty provisions for the same. Rent arrears are increasing day by day and being accumulating to the large extent . Various entrepreneurs and big corporate come in the state with light mind and they go out of the state closing their Industrial ventures on their own leave the state after having availed the various financial incentives and other facilities announced by the State and the Central Governments . There is no proper check from the state on this score . This practice is going on since long and in the new Industrial Policy of the state , no proper thought has been made on this important aspect . Allotment of land bank to the entrepreneurs and the big corporate from the outside is immaterial which needs no further discussion as the same the intent of the State Government is in the larger interests of the state and its people . It will not disturb the demography of the state of Jammu and Kashmir as aired by the separatists and pro separatist political parties of the state .
It is pertinent to mention here that this time when the Current Industrial Policy was required to be formulated it took a period of more than one year. Total Industrialization of the state is the Panacea for all the diseases. More and more Industry in the state means that more and more openings for the unemployed youth of the state both skilled and unskilled. Establishing of more and more Industries in the state by large groups will certainly lead to the economic prosperity of the state. The Industrial Policy in existence at the moment has been implemented in the state during the Governor's regime prior to taking over the reigns of the state by Mehbooba Mufti on April 4 . The Industrialists of the state as also their trade bodies whch include the Chambers of Industries of both the regions of the divisions of Kashmir and Jammu . They have opposed it very strongly. They alleged that their suggestions out rightly have been ignored and demanded for its modifications. Since Mehbooba Mufti has already announced that Industrial Policy of the state which is inflicted with many ills shall be re-casted soon after taking the corporate sector of the state and CCIs of Kashmir and Jammu regions . Let's wait and see . Better would be that Industrial Policy be modified taking each every point of relevant importance so the entrepreneurs are benefitted to the maximum extent possible . Major thrust should be on to provide the employment avenues to the skilled and unskilled unemployed youth of the state . It is pertinent to mention here that out sourcing of the Lakhanpur Toll Plaza should be on the top of the agenda of the State Government as during the last Budget session of the J&K Legislative Assembly , Dr. Hasseeb Drabu announced on this score . This would totally rout out corrupt practices prevailing over there benefitting the state exchequer to the large extent .
The author is a former KAS Officer and a Socio -economic / Political Columnist
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