The Parliamentary Standing Committee on Home Affairs has rightly underscored the need to enhance the industrial sector in Jammu and Kashmir to generate employment for the region’s youth. While substantial progress has been made in infrastructure development-spanning road, rail, air connectivity, power generation, and tourism-the challenge of unemployment persists. J&K has witnessed significant investments in infrastructure projects, which are crucial for fostering an industrial-friendly environment. Investments worth Rs 61,528 crore in road connectivity, including the development of national highways, ring roads, and the Delhi-Amritsar-Katra Expressway, demonstrate a commitment to regional development. The near completion of the Jammu-Srinagar National Highway will further catalyze economic activities by reducing travel time and ensuring seamless business logistics. Likewise, the railway extension into Kashmir, costing Rs 37,000 crore, will integrate the region more effectively with national markets, offering new opportunities for trade and commerce.
The augmentation of power infrastructure is another milestone in J&K’s industrial development. With the projected doubling of hydropower generation by 2026 and a 50percent increase in transmission capacity, the region is poised to meet industries’ energy demands. A reliable electricity supply is a fundamental requirement for industrial growth, and this progress is a step in the right direction. Additionally, the enhanced distribution capacity will ensure that both urban and rural areas benefit from stable power, promoting balanced regional development.
Despite these achievements, the unemployment rate in J&K remains higher than the national average, standing at 6.1percent compared to India’s 3.2 percent for individuals aged 15 and above. This statistic highlights the urgency of industrial expansion and economic diversification. The Committee has rightly recommended investments in transportation, power supply, and internet connectivity to attract businesses and investors. A well-developed industrial ecosystem will not only absorb the local workforce but also position J&K as a hub for entrepreneurship and innovation.
The UT administration should implement policies that support startups and small businesses through financial incentives, skill development programs, and mentorship initiatives. Establishing business incubation centres and simplifying regulatory procedures will motivate young entrepreneurs to explore business opportunities. Additionally, providing loans at subsidised rates can empower aspiring business owners to establish sustainable ventures, thereby contributing to employment generation.
The tourism sector, a major contributor to J&K’s economy, has recorded an all-time high in visitor numbers in 2024. Efforts to develop nine new tourist destinations with multilateral funding are commendable. The year-round accessibility of Sonamarg through the operationalisation of the Sonamarg tunnel, the rejuvenation of Dal Lake, and other conservation projects further enhance J&K’s appeal as a global tourism destination. However, to fully harness the sector’s potential, a comprehensive roadmap is necessary. Sustainable tourism policies, enhanced hospitality infrastructure, and effective marketing strategies can attract international tourists, generating direct and indirect employment opportunities.
Moreover, self-employment schemes across various sectors must be expanded. Industries such as handicrafts, agriculture, and food processing hold immense potential for employment generation. The handicraft sector, in particular, is a key employment driver in J&K, preserving the region’s rich cultural heritage. The administration should actively pursue Geographical Indication tagging for all indigenous crafts to boost marketability and ensure better pricing for artisans. Promoting digital platforms for selling handicrafts globally can further expand market reach and provide craftsmen with sustainable livelihoods. Establishing vocational training institutes aligned with industry demands will equip youth with job-ready skills. Strengthening collaborations between educational institutions and industries can facilitate apprenticeship programs, ensuring smoother transitions from education to employment. Additionally, introducing specialised courses in tourism, hospitality, IT, and renewable energy can prepare the workforce for emerging job markets.
Effective implementation and monitoring remain key challenges. Jammu and Kashmir stands at a crucial juncture of economic transformation. The investments in infrastructure, power, and tourism are promising, but mega-industrial expansion remains the missing piece in the employment puzzle. The vision of positioning J&K as a global investment and tourism destination is within reach-what is needed now is steadfast commitment and proactive governance to translate this vision into reality.
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