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New J&K industrial policy aims to attract Rs 35,000 cr investment by 2022

Last Updated on January 1, 2021 at 6:40 pm

In order to support the economy of Jammu and Kashmir, the central government is planning to introduce a new industrial policy. This policy will aim develop industries and attract investors to invest heavily in the union territory in the next two years.

Manoj Sinha new LG of J&K
New J&K Manoj Sinha

This industrial policy was drafted by the UT administration and is estimated to be headed by Lieutenant Governor Manoj Sinha. Officials say that the Union Cabinet is likely to approve it soon. The government is focusing to attract investments worth Rs 30,000-35,000 crore in Jammu and Kashmir within the upcoming two years. Investors will also be provided subsidies in order to attract them to the UT however, these subsidies will only be provided after they deliver progress on the projects in ground. The new policy will also concern itself with matters such as sale of land and regulations regarding rent, lease or tenancy of properties.

Sources said senior administration officials have already held meeting with representatives of top industrialists, including the Ambanis, Tata group and Hinduja Group. Many projects have also started working.

Tata Group will operate two skill development training centres — in Baramulla and Jammu under their project. Similarly, Ashok Leyland, a Hinduja Group company, has collaborated with the UT administration in order to provide subsidies for semi-commercial vehicles and provide employment and enhance entrepreneurship under Pradhan Mantri Mudra Yojana in J&K.

Sources told The Print that these investments will have a special focus on the UT’s horticulture while developing almost all economic sectors. A large part of J&K’s population relies on horticulture. Fruit trade in the UT involves around About 33 lakh people or 7 lakh families directly or indirectly.

In order to produce more power, Union Power Minister will visit J&K on January 3. He is expected to sign MoUs with the National Hydroelectric Power Corporation involving projects which will generate over 3000 MW additional power. Earlier, L-G Manoj Sinha has promised that J&K will become power surplus by 2024.

The J&K government has signed four MoUs with Stock exchange BSE Ltd in November to make people more financially aware, support economic development and encourage the youth of UT to lead sustainable livelihood. The J&K administration also signed a pact with e-commerce giant Flipkart in October to help local artisans and craftsmen to reach customers across the globe by selling their products. In July last year, the administration gave the GI tag to saffron produced in Kashmir to differentiate it from other products.