Excelsior Correspondent
JAMMU, Nov 9: A delegation of Bari Brahmana Industries Association under the presidentship of Lalit Mahajan in presence of Tarun Singla, senior vice president, Ajay Langer vice president, Viraaj Malhotra general secretary interacted with Arun Kumar Manhas, Director, Industries and Commerce, Jammu today in his office chamber.
During meeting Lalit Mahajan highlighted the issues regarding the uncertainty prevailing in the mind of existing working Industrial units and units under substantial expansion due to non- availability of incentives of State/Central Fiscal incentives at par with the new units under NCSS-2021.
Mahajan drew the attention of Manhas towards the notification No. 1(1/2020-SSS) dated 19-02-2021 issued by Govt of India as New Central Sector Scheme for Industrial Development of Union Territory of Jammu and Kashmir by the virtue of which GST linked incentive of 300 % on the investment in Plant & Machinery has been granted to new units to be established on or after 01-04-2021 under the said Scheme whereas no gross GST reimbursement incentive has been given to existing units who opt for substantial expansion resulting stiff competition being faced by the existing units from new units.
He highlighted that in past prior to GST regime, all the fiscal incentives at par with the new units always granted to the existing units also under substantial expansion as per the previous Notification of Govt of India/State Govt. since 2002 onwards till IDS Scheme 2017 by the virtue of which all the fiscal incentives always applicable to existing units under substantial expansion whereas under the NCSS 2021 the fiscal incentives in the shape of reimbursement of Gross GST reimbursement not applicable to existing units if they go for the substantial expansion after 01-04-2021 resulting numbers of such units already in the process of closing down their units or shifting to other parts of the Country as it is not possible for them to compete with the new units in near future due to locational disadvantages, limited local Market avenues, higher transportation cost of raw materials and finished goods, which may be resulting into mass scale retrenchment of industrial workers resulting rapid increase in the unemployment.
The other issues highlighted during the meeting include request for the enhancement in Budgetary allocation for the reimbursement of turnover incentives to existing as per Govt. order No- 127- Ind. of 2021 dated 21-05-2021. They said the department failed to release the pending claims amounting to Rs 210 crores for the year 2021-22 in spite of repeated requests and reminders to enhance the budgetary allocations from Rs 50 crores to Rs 210 crores.
Director, I&C gave a patient hearing to all the issues highlighted by BBIA members and assured the delegation that all the issues will be resolved for the survival of existing Industrial Sector.
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