Excelsior Correspondent
JAMMU, Feb 11: Notwithstanding Government’s oft repeated statements that industrialization is the key to State’s economic development, Industries and Commerce Department has failed to take any decision on the report of a committee vis-à-vis revival of the sick industrial units.
According to the information furnished in the Legislative Assembly, there were a total of 3518 industrial units in the State prior to the eruption of militancy—up to 1988-89 across the Jammu and Kashmir and at present there are 9663 industrial units in Kashmir division and 11850 in Jammu division.
A total of 368 units have become sick in Kashmir valley and 89 in Jammu division and in order to identify the industrial units, which have become sick due to onset of militancy in the State, Government vide Order No.47-Ind of 1999 dated February 10, 1999 constituted a State Level Revival Committee.
The committee had to identify and provide incentives to only those units which were potentially viable where the promoters undertake to restart the business and where the track record of promoter was not adverse. On the basis of various decisions taken in the committee, 368 sick units were identified in Kashmir division and 89 in Jammu division.
Of the 368 sick units in Kashmir valley, only 59 units have been sanctioned soft loan by the Government under the rehabilitation package till date while in Jammu division among the identified 89 sick units, only 8 units were approved by the State Rehabilitation Committee for soft loan.
In the meantime, Government constituted a sub-committee vide Order No.166-Ind of 2013 dated July 26, 2013 to conduct fresh survey and ascertain the viability of all the sick units. Though the committee accomplished its task and submitted report yet no decision on the revival of viable sick units has been taken till date.
This has also been admitted by the Minister of Industries and Commerce, who in a written reply to the question of Prof Chaman Lal Gupta has said, “the report is under consideration”.
Not only on revival of viable sick units, the Industries and Commerce Department has also failed to make four Public Sector Companies as profitable bodies despite the fact that thousands of employees are engaged in these units.
According to the profit/loss statements of the Public Sector Bodies, Jammu and Kashmir Industries Ltd has failed to register profit/turnover during the past three years. This is despite the fact that there were 1811 employees on the establishment of JKI in 2010-11, 1186 in 2011-12 and 1077 in 2012-13.
Similarly, no profit/turnover has been recorded by Jammu and Kashmir Handloom Development Corporation during the financial years 2010-11, 2011-12 and 2012-13 respectively. The situation in J&K Handicrafts (S&E) Corporation and J&K Minerals Ltd is also gloomy as these Public Sector Bodies have also recorded no profit during this period.
Though other Public Sector Bodies under the control of Industries and Commerce Department like JK Cements Ltd, SICOP and SIDCO have registered profits/turnover yet the figures are not encouraging especially when much is stated about the promotion of industrial sector and the same is linked with the economic development of the State.
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