Jammu MSMEs meet Jaitley; seek continuation of incentives during GST regime

Jammu, Aug 22 (KNN) Federation of Industries, Jammu has urged the Union Finance Minister Arun Jaitley to carry forward the extension of current central package of incentives during GST Regime as well for overall growth of industry in the state.

A delegation of Federation of Industries, Jammu led by Chairman Lalit Mahajan today presented a memorandum to  Jaitley.

State Industry Minister Chander Prakash also stressed on the need for the extension of current fiscal benefits to the industrial sector under GST Regime.

Mahajan said, “If these incentives are not restored in one form or the other in the proposed GST Regime there would not be any difference between the prices of the goods in J&K and other states.  On the contrary, the prices of the goods in J&K may be more than those in other states because of additional cost of transportation etc and as a consequence, the industries in the state would no longer be able to compete with other states.”

Therefore, he said the inter-state buyers would no longer be interested in buying goods from the industry there. The very purpose of providing incentives to the industry in the state was to promote employment and industrialization in the state which may get defeated unless such incentives are restored, he said.

Otherwise, industry may go out of the state resulting into job losses for lakhs of people. Thus, this aspect has to be factored while introducing GST in the State, he pressed.

Mahajan requested Jaitley to extend the present Fiscal Incentives which includes Refund of Central Excise, Income Tax Holidays, Extension of DIPP Package of Incentives and exemption of CST for the Interstate Sale at par with the North Eastern States and also provide sufficient funds to State Govt. for the relief to Industrial Sector under the GST regime for the remission of VAT, the present State Incentive to Industrial Sector.

Jaitley assured the delegation that the Government of India will resolve the issues highlighted. (KNN Bureau)