Excelsior Correspondent
JAMMU, Sept 5: Association of Industries Gangyal today expressed grave concern over the severe distress faced by the Micro/Small Industrial Sector due to the prevailing flood situation and financial crunch.
The recent natural calamities have wrecked havoc not only in Jammu & Kashmir but also in the neighboring states of Punjab, Haryana, Himachal Pradesh, causing losses to the tune of crores of rupees to the general public and in turn, significantly impacting the industrial sector of Jammu & Kashmir.
In a meeting chaired by its president, Virendra Jain along with the office bearers, the AOI highlighted the burning issues plaguing the sector and urged the Govt to provide immediate financial relief to mitigate the crises.
Jain said the Micro/Small Industrial Sector in J&K is grappling with unprecedented challenges, including massive production losses due to adverse weather condition, a sharp decline in demand for finished goods, and mounting bank interest on working capital and term loans due to the severe shortage of funds. These challenges threaten the very survival of the sector, necessitating urgent intervention from the Government.
He appealed to the Govt to formulate a new package of incentives and financial assistance for the existing industrial units to ensure their revival and survival. Specifically, the AOI has requested the Govt to alleviate the distress of the industrial sector by enhancing a 20% in working capital limits for one year under existing security with banks to help entrepreneurs navigate the financial crunch, waiver of interest on term loans and working capital loans until March, 2026 or till the situation improves, restructuring of term loans by reducing interest rates and adjusting repayment scheduling, waiver of minimum demand charges on electricity bill for at least one month for the Micro/Small Industrial sector and above all the Govt should expedite the release of much pending claims to the industrial sector and also issue order for according Power amnesty to this sector.
Jain has appealed to Lt Governor Manoj Sinha and Chief Minister Omar Abdullha besides Deputy Chief Minister Surinder Chowdhary and Chief Secretary Atal Dulloo to consider these demands, and prevent the closure of industrial unit in J&K.
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