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Limited growth for MSME sector engaged in manufacturing: BBIA

Updated: Dec 07, 2019 11:48:32am
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Limited growth for MSME sector engaged in manufacturing: BBIA

Srinagar, Dec 7 (KNN) Bari Brahmana Industries Association (BBIA) on Saturday said that there has been limited growth in the Micro Small and Medium Enterprises (MSMEs) engaged in manufacturing in post Goods and Services (GST) regime due to dilution in the fiscal incentives to the existing units and non-availability of state fiscal incentives for new units and units under substantial expansion.

''Due to dilution of state/central package of incentives in post GST regime and non-availability of state fiscal incentives for new units and units under substantial expansion, several numerous investors surrendered the land allotted to them prior to 2017 for the setting up of the units and shelved their projects,'' BBIA said in press release.

BBIA further said that the state is a landlocked state with the limited marketing Avenues, hostile conditions since last 30 years. It is not possible for the industrial units to survive without the fiscal incentives for the sale within the state and outside the state due to additional cost of incoming raw materials and export of finished goods to other parts of the country.

However, the association appreciated the efforts of the state government to attract new investment in the state in post UT status in the industry, tourism, and service sector which includes the medical, education and other areas.

BBIA further and requested Hon’ble Lt Governor Girish Chandra Murmu to constitute a high level committee with the participation of stakeholders to examine the whole issue on priority basis for the extension of fiscal incentives to the existing units.

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