Excelsior Correspondent
JAMMU, Sept 27: Bari Brahmana Industries Association (BBIA) has said that Industrial sector in the State was facing lot of hardships due to denial of State package of incentives under GST regime.
In a meeting of the Association held here under the chairmanship of Lalit Mahajan, president, BBIA, the members expressed serious concern over the non-issuance of State package of incentives by the Government under GST regime. The members expressed resentment in respect of non-issuance of notifications by the State Govt for the extension of package due to which uncertainty is prevailing in the mind of Industrial unit holders, who are totally dependent on the sale of their products within the State.
Pertinent to mention here that the State Finance Department has not fulfilled its promise of the extension of State package to Industrial sector by delaying the issue of notifications for the extension of fiscal incentives to the J&K Industry with the lame excuse of Central Government notification, whereas, the State package have no link with the Central package. Any further delay in the issue of Notifications by the State Finance Department will convert the Industrial sector e as non- functional in coming months due to stiff competition from outside the State.
During discussions, it was also highlighted in the meeting that while going though the package of incentives announced by Govt of India, it was observed that the incentives are to be granted only to 400-500 units who were getting Central Excise benefits prior to the GST for their residual period up to 31-3-2027 where as no incentives were given to approx 7000-10000 existing units, which include the units who are in the process of substantial expansion and new units and if the Finance Department does not issue the Notification by 30-09-2017 for the grant of State package of incentives to the Industrial sector of J&K the unit holders will have no option but to close down their units, which will be resulting into retrenchment of lakhs of Industrial workers.
Mahajan said that prior to GST regime, thousands of Small Scale Units of our State did not avail the Excise Duty Incentives due to Excise exemption up to 1.50 crores but under the GST regime the Exemption is limited to only Rs 20 lakh resulting great resentments amongst the SSI Units holders who are not brought into the ambit of GST.
The BBIA urged upon the Chief Minister and Finance Minister to intervene into the matter.
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