Extend Industrial Development Scheme for two more years, Piyush Goyal urged

Tribune News Service

Solan, June 27

In a bid to attract fresh investment, the Industries Minister has requested the Union Minister of Commerce and Industry Piyush Goyal to extent the Industrial Development Scheme (IDS) for two more years.

The scheme, which was granted in April 2017, will expire on March 31, 2022. It provides capital investment subsidy and comprehensive insurance incentive to give impetus to industrial development in the hilly areas.

The scheme provides other incentives like interest subvention, income tax reimbursement, transport subsidy, GST reimbursement and employment subvention to Jammu and Kashmir (J&K) while the state’s industry was bereft of these benefits.

“A new Industrial Development Scheme, which entails capital investment subsidy, interest subsidy on working capital as well as on term loan and GST linked incentives, has been granted to J &K. It is valid till March 31, 2037,” said Industries Minister, Bikram Singh, who recently met the union minister in Delhi.

“Our government has successfully organised Global Investors Meet 2019 where MoUs worth about Rs 96,000 were signed and the first ground-breaking of investment worth Rs 13,000 crore was performed within a month. “The momentum was, however, lost due to the pandemic but we are back on track again. A request has, therefore, been made to the Union minister to consider grant of these incentives to Himachal as well,” added Bikram Singh.

He added that in order to translate the MoUs into reality, the extension of the IDS for two more years until 2024 was necessary. Eextending similar incentives to Himachal will help fetch fresh investment.

Industries not only offer large-scale employment to the youth in the state but also contribute significantly to the state’s gross domestic product.

The unavailability of manpower during the lockdown had significantly reduced the growth rate of manufacturing as per the economic survey report.

The government was keen to revive industrial growth now to fetch employment and promote manufacturing.