Move aims to expedite reduction of gestation period to start a new business in the state
The Gujarat government will soon announce sops for the local industries. These relate to expediting the process to reduce gestation period to start a business and relaxing environmental provisions that do not have significant impact in reducing pollution.
This follows the recent outbursts by major industrial associations on how industries are facing difficulties in setting up their businesses in estates of Gujarat Industrial Development Corporation (GIDC) and modifications in certain regulations for pollution control which can increase production and attract new investment without increasing the effluent load.
Soon after Diwali, Gujarat Chamber of Commerce and Industry (GCCI) had drawn attention towards a business slowdown in the industry as well as locking up of capital under Goods and Services Tax (GST) regime. Federation of Industries Association (FIA) had followed up complaining about the delay in executing the projects.
This resulted in a series of marathon meetings between government officials and representatives of industries this week. Industry representatives were bullish after the last round of meeting held on Friday. Business associations are also planning a felicitation of Chief Minister Vijay Rupani for his ‘positive response’.
“We had raised issues about policies of GIDC, notified areas. The approach of Chief Minister Vijay Rupani was very positive and instructed his officials accordingly,” said a press statement by GIDC. FIA secretary Ajit Shah said that most of the issues that they have been resolved. In another press statement GCCI president, Jaimin Vasa said that GCCI welcomes the gestures of the CM and hopes that such meetings between the government and representatives of the industry will be a regular feature.
“The government presented its broad vision about industrial growth in Gujarat. Rather than penalizing small businesses for the delay, we would like to incentivize them if they commission operations before the deadline. The CM also asked businesses to adapt of cluster-product approach. We will be coming out with a policy booklet which even a layman can understand,” said D Thara, managing director of GIDC.
Other issues that were discussed include upgradation of skills of workers, a mechanism to ensure that adequate skilled manpower is available as well as setting up of centre to take care of the occupational health of the workers.
GIDC-related issues
- Non-use duration to be extended, penalty reduced
- OTS for pending dues of industries
- Capital rebate for MSMEs if units commissioned in 3 years
- Redevelopment in GIDC estates as well
Environmental issues
- NOC waived off if Environment Clearance obtained
- Nod to dye makers based on groups rather than individual products
- Clearances to be expedited
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