Excelsior Correspondent
JAMMU, Jan 25: A deputation of Laghu Udyog Bharati (LUB), Jammu & Kashmir, met the Union Home Secretary at New Delhi and submitted a memorandum seeking extension and enhancement of the New Central Sector Scheme (NCSS) to ensure that all MSME units which applied before September 30, 2024 are granted full benefits. The delegation also demanded the announcement of a fresh 10-year industrial package for J&K to support sustained industrial growth.
The deputation was led by Om Gupta, National general secretary, Laghu Udyog Bharati and included Parveen Pargal, National working committee member and former president LUB J&K, and Manoj Goyal, president, Kathua Unit, LUB J&K.
The delegation highlighted that after the abrogation of Articles 370 and 35A, the Government of India announced an investment package of Rs 28,400 crore for J&K to be implemented from 2021 to 2037. However, due to administrative delays, non-availability of fully developed industrial estates and delayed land possession, many genuine MSME investors could not complete registration within the stipulated timeframe despite having made investments and completed most procedural formalities.
Raising concerns over imbalance in incentive distribution, the delegation pointed out that as per official data, around 953 MSME units received incentives amounting to Rs 12,426.51 crore, while only 18 large units were granted incentives worth Rs 20,098.40 crore. As per the minutes of the 4th Steering Committee meeting, nearly 67 percent of total incentives were availed by just about 3 percent of the units, leaving a large number of MSMEs without support.
The memorandum further stated that many MSMEs were allotted land only on paper and made payments, but physical possession was never handed over. In contrast, large investors were allotted land and registered smoothly in newly developed industrial areas like Bagthali.
LUB informed that 1,083 MSME units are still pending under NCSS, requiring incentives of approximately Rs 35,000 crore. The delegation urged that all MSMEs who made their first investment and applied before September 30, 2024 be granted full benefits without discrimination.
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