The Associated Chamber of Commerce and Industry of India (Assocham) has suggested that the Indian Government should provide Rs 10,000 crore as special aid to Uttarakhand for rehabilitating and restoring the areas damaged and people affected by the recent disaster.
Assocham secretary general DS Rawat said this after releasing the chamber’s paper on coping with the impact of disaster in Uttarakhand. This paper has been submitted to the Prime Minister, Planning Commission and Finance Minister.
Rawat said that damage to buildings, crops, livestock and tourism in Uttarkashi, Rudraprayag and Chamoli districts alone amounts to an estimated Rs 8,400 crore. The report prepared on the basis of feedback provided by the two-member Assocham team which visited affected areas in three districts States that trade, hotels and tourism sector account for about one-fourth of Uttarakhand’s State domestic product.
The three worst-affected districts jointly accounted for about 19 per cent of total tourist inflows and contributions made by the trade, hotels and restaurants segment of services.
He said, “The loss to the State GDP by the disaster damage would be to the tune of over Rs 5,000 crore owing to the decreased contribution from tourism and trade, hotels and restaurants segments. Over and above this, there would be further loss to State GDP owing to the low demand for transport services in affected areas,” he stressed.
Rawat emphasised that development should not be achieved at the cost of environment, while adding that corruption in the State had prevented this from being ensured. Strict action should be taken against anyone damaging the environment, he added.
In the three worst-affected districts alone, more than one lakh people would become unemployed for six months this year due to disruption caused by the disaster.
The Assocham paper reveals that there were more than 4,500 micro and small industrial enterprises in the affected districts employing at least 10,000 persons with an investment of about Rs 90 crore. At least 50 persons of these people will directly lose employment apart from indirect job losses down the line in marketing, distribution and sales. In Uttarakhand unregistered manufacturing units account for about three percent of State GDP while the registered units account for close to 21 per cent of State GDP.