KASSIA presents memo to state govt highlighting issues of policy, power, tax
Updated: Aug 09, 2014 03:11:18pm
Bengaluru, Aug 9 (KNN) President of Karnataka Small Scale Industries Association (KASSIA), C M Rajamane has presented a memorandum to state government officials, highlighting various challenges of the MSME sector pertaining to accessing finance, infrastructure, power, labour laws, etc.
The memorandum was presented to Secretary to the Government, Commerce and Industries, Tushar Girinath; and Commissioner of Industrial Development and Director of Industries and Commerce, Government of Karnataka, Maheswar Rao, during an interaction meeting here yesterday.
With regard to the industrial policy, although it is drafted well, based on their experience, Rajamane said that implementation of the same will take 2-3 years, owing to delay in issuing government notifications and publication in state gazette. He cited the example of the Aerospace Policy that was released in February 2013 and awarded stamp duty concession of 75 per cent value. “Even after 5 months, the Govt. order has not reached Jala Sub registration office from revenue department,” he said.
As far as trade license is concerned, he said the government should expedite its proposal to abolish trade license to all industries as stipulated in the draft Industrial Policy 2014-19. This has been a long pending demand of MSMEs.
On land to micro and small industries, “Basic infrastructure requirement for an Industry is land with good roads, water, sanitation and uninterrupted power supply. The cabinet decision to allot on 99 years lease basis has become a retrograde step particularly to the Small Scale Industries,” KASSIA President said.
“KASSIA would appreciate if the Government of Karnataka takes our views also into consideration and allot land below THREE acres only to Micro and Small Industries under 10 years lease cum sale basis and exempt from 99 years lease (new legislation),” he added.
KASSIA has called for fixation of uniform property tax; continuous power supply, exemption of tax on electricity for SME sector; reservation of 25 per cent on purchase policy; implementation of MSMED Act; interest subsidy; exemption of entry tax; single window meetings; changes in labour laws; and census of small scale industries of Karnataka. (KNN/ES)
The memorandum was presented to Secretary to the Government, Commerce and Industries, Tushar Girinath; and Commissioner of Industrial Development and Director of Industries and Commerce, Government of Karnataka, Maheswar Rao, during an interaction meeting here yesterday.
With regard to the industrial policy, although it is drafted well, based on their experience, Rajamane said that implementation of the same will take 2-3 years, owing to delay in issuing government notifications and publication in state gazette. He cited the example of the Aerospace Policy that was released in February 2013 and awarded stamp duty concession of 75 per cent value. “Even after 5 months, the Govt. order has not reached Jala Sub registration office from revenue department,” he said.
As far as trade license is concerned, he said the government should expedite its proposal to abolish trade license to all industries as stipulated in the draft Industrial Policy 2014-19. This has been a long pending demand of MSMEs.
On land to micro and small industries, “Basic infrastructure requirement for an Industry is land with good roads, water, sanitation and uninterrupted power supply. The cabinet decision to allot on 99 years lease basis has become a retrograde step particularly to the Small Scale Industries,” KASSIA President said.
“KASSIA would appreciate if the Government of Karnataka takes our views also into consideration and allot land below THREE acres only to Micro and Small Industries under 10 years lease cum sale basis and exempt from 99 years lease (new legislation),” he added.
KASSIA has called for fixation of uniform property tax; continuous power supply, exemption of tax on electricity for SME sector; reservation of 25 per cent on purchase policy; implementation of MSMED Act; interest subsidy; exemption of entry tax; single window meetings; changes in labour laws; and census of small scale industries of Karnataka. (KNN/ES)
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