Ludhiana: Trade body hails Punjab Government for amendments to development policy

The Association of Trade and Industrial Undertaking (ATIU) welcomed the amendment made by the state government in Industrial and Business Development Policy, 2022 (IBDP). ATIU president Pankaj Sharma said Punjab Cabinet’s decision to amend the policy is a progressive and industry-friendly step.

He said the amendment that replaces the requirement of furnishing bank guarantees for availing fiscal incentives under IBDP will provide much-needed relief to the industry.

“For a long time, industry associations had been highlighting that bank guarantees were blocking working capital, leading to liquidity constraints. This was adversely impacting industrial expansion, research and development activities and job creation,” he said.

Sharma pointed out that under the new provisions, the incentive of exemption of stamp duty will now be secured through a first charge on the property concerned, up to the commencement of commercial production.

Similarly, for change of land use exemptions, the state government introduced a robust alternative mechanism, ensuring adequate safeguards while easing the financial burden on entrepreneurs, Sharma said.

ATIU vice-president Captain Rajesh Mittal emphasised that the amendment will improve the ease of doing business in Punjab, enhance liquidity for industries and encourage fresh investments.

“ATIU appreciates the Punjab Government for being receptive to industry concerns and taking timely corrective measures. This decision will go a long way in restoring industry confidence and accelerating growth and employment generation in Punjab,” said industrialist Sanjay Gupta.