New industrial policy

Usually, industry is considered the mainstay of the economy of a given State. That is why policy planners give more than necessary attention to the development and growth of industrial segment.  But industrialization is not just a wishful exercise; much planning and adequate financial and technical resources are needed. In terms of industrial growth, J&K State has not been able to perform well and there are some basic reasons for that. Topography, climatic conditions, road and rail connectivity, availability of raw material and skilled manpower, marketing competence and ability to face competition etc. are essential ingredients of a sound and result-oriented industrial policy. The fact of the matter is that our State’s industrial potential is yet to be explored and exploited to capacity. Moreover, if we want that unemployment among the youth of the state should be done away with and all able bodied persons provided with work, then we shall have to focus on industrialization.
The State adopted a model of industrial policy way back in 2004. It was to stay for ten years and came to an end on to March 31, 2015 but the same had to be extended four times despite announcement in 2015-16 budget because of inordinate delay in formulation of new one. In October 2015, the State Cabinet directed the Industries and Commerce Department to formulate draft of new industrial policy for the consideration and approval before the end of current financial year. According to information available to us, the department has worked on the draft for new industrial policy. It has to be noted that the industrial policy is formulated after input of several other departments especially the Finance Department. According to reliable sources two of the four Departments concerned with the formulation of new industrial policy have already cleared the policy and the remaining two are expected to send in their remarks within a day or two. Comments from the Power and Forest Departments are still awaited and they have been asked to expeditiously complete this exercise within next few days. In this way, after many hiccups new industrial policy for the state is almost on the anvil and will be submitted to the State Administrative Council headed by Governor for approval.
It is yet premature to react on the recommendations made in the draft policy. The picture will be clear once the draft is submitted to the Administrative Council. According to the sources privy to the contents of the new industrial policy, measures have been recommended for providing quality and uninterrupted power supply to the industrial units that too without compromising on the realization of revenue by the Power Development Department strictly as per the consumption of electricity. Electric power supply has been a major failure for our industrial development. The irony is that despite having reasonably adequate water resources, the State has not been able to generate as much hydroelectric power as would make us self sufficient in the area of energy. The major hesitation with the small and big entrepreneurs in the State is uncertainty about continuous and uninterrupted power supply, something which the PDD is not prepared to commit about. Commissioner/Secretary Industries and Commerce confirmed that all such issues as are presently creating impediments in giving required impetus to the industrialization, have been dealt with in the new policy.  Several new measures have been recommended in the policy to ensure that existing industries function smoothly and new units come up in required number and play crucial role in checking problem of unemployment. He disclosed that for the first time Entrepreneurship Skill Development Fund is created in order to extend hand-holding to the aspiring entrepreneurs. This fund would be utilized for providing some sort of training and guidance to the young and aspiring entrepreneurs so that their ventures become successful.
We hope that policy planners will have taken all aspects of public concern into view before putting the last signature on the document the Jammu Chamber of Commerce has already made its input and we expect the new industrial policy to embody various suggestions made by the representatives of industrial magnates. Adequate and meaningful incentives are needed by the new industrial units. The idea of developing land bank is a novel and good one that will go long way in resolving the land policy for new and small scale industrialists. The decision of the Government to propose training and adaptation of new entrepreneurs in the industrial sector is welcome. This is a positive step towards eradication of unemployment among the youth.

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