The Kumaon Garhwal Chamber of Commerce and Industry (KGCC) has criticised the extension of the Special Package of Industrial Incentive recently approved by the Cabinet Committee on Economic Affairs (CCEA) for Uttarakhand and Himachal Pradesh from January 7, 2013 to March 31, 2017.
The KGCC president Vikas Jindal said that the CCEA’ recent resolution for the State is insufficient for creating an industry friendly environment in the State. He said the special industrial package for the State in 2003 had exempted income tax and excise duty for a period of 10 years; it proposed 15 per cent (Rs 30 lakh maximum) relief on investment in plant and machinery, while special package approved on January 15 this year gave exemption on investment of up to Rs 30 lakh only. Jindal said to say this resolution is an extension of the special package is only an eyewash. He said that to promote the industrial activities in the disaster struck State the Government should dish out a strong package.
The KGCC president said that the State of Uttarakhand has a rough geographical terrain and to transport the raw and finished materials here requires additional expenditure and to give one time waiver on setting up the plant is too meager to boost the industry. Jindal said that shortly after assuming power Chief Minister Vijay Bahuguna chaired a meeting of all industrial associations of the State on April 21, 2012 at Rudrapur and promised measures like abolishing 2.5 per cent mandi cess on the agricultural products required for the industry, reducing the Central sales tax to one per cent and construction of four rail over bridges in Udham Singh Nagar. He claimed that not even a single promise has been fulfilled even after two years of announcement.