Bangalore, Mar 18 (KNN) The question of land allocation for the SMEs, a pending request for review of 99 years "lease only" policy, has been left unaddressed in the state budget, said Karnataka Small Scale Industries Association (KASSIA).

The industry body said that the budget for 2016-17 by Siddaramaiah, State Chief Minister is a mixed bag as far as industry is concerned, particularly MSMEs. 

“Though the Budget has addressed some issues, the approach appears to be in bits and pieces lacking a wholesome focus. The allocations made for upgrading industrial estates in terms of infrastructure facilities is welcome but inadequate.  What is required is a comprehensive approach to improve infrastructure in industrial estates in terms of roads, water supply, drainage, street lights, walk ways and the other supporting facilities, which are absolutely essential for a modern work place but remain poor in our industrial areas,” it said in a press statement.

The Chief Minister has mentioned some new power projects in addition to the stress on the development of solar power which is indeed welcome and hopefully mitigates the shortage to an extent.  But the power sector has failed to keep pace with the growth of demand in the last 3-4 decades and it is difficult to see how the slide will halt and a turnaround achieved, KASSIA pointed.

Nevertheless, the focus of the budget and the substantial enhancements in allocations for agriculture, irrigation, rural development and general infrastructure development are indeed the need of the hour and the Chief Minister has done well to lay a sharper focus on them in the face of alarming deceleration of growth and share of agriculture in SDP. 

“We also welcome the allocation of over Rs.6000 crores made for Bangalore, a city which seems to be perpetually crying for improvement of its infrastructure including waste management and improvement of sanitation,” the industry body for MSMEs said.

On the whole, while KASSIA welcomes the overall developmental focus of the budget, we are unhappy that the allocations made for industry overall and the thrust laid leave a lot to be desired, the press statement said. (KNN Bureau)