Srinagar, Feb 19: The Federation Chamber of Industries Kashmir has demanded extension of central package of incentives to the existing units in J&K without riders like substantial expansion and location bar.
 In a memorandum that a federation delegation led by its president Shakeel Qalander submitted to union finance minister P Chidambaram, it sought certain ‘corrections’ in the package.
 The federation also put its demands to Rohit Kansal, Secretary to the union finance minister, federation president Shakeel Qalandar told Greater Kashmir on phone from Delhi.
 Earlier, the delegation had a meeting with minister of state for commerce, Jairam Ramesh at his office chambers in Udyog Bhawan, New Delhi wherein they sought his support to redress their demands of state entrepreneurs.
 The FCIK demanded a debt-relief package of Rs 500 crores in next union budget for the revival, rehabilitation, upgradation and modernization of the industry of state.
 Qalander said that 87.13 per cent of industrial units in  Kashmir had turned sick as per a survey by Entrepreneur Development Institute, Ahmadabad entrusted with the job for the purpose of seeking a debt-relief package from center for revival and rehabilitation.
 He said the then Prime Minister of India in June 2002, while unveiling the central package of incentives for new units in Srinagar had assured the existing units that debt-relief package was under positive and final consideration of New Delhi, which would be in consonance with the recommendations of the inter-ministerial committee constituted for the purpose.
 However, the said package had not been extended to the state, he said.
 The FCIK also expressed concern over the working of J&K Development Finance Corporation (JKDFC) and informed the minister that even after the lapse of about six years, the JKDFC had neither established any office in the Kashmir Valley or Ladakh nor had started its lending operations to the industrial units.
 Besides implementation of central package incentives to existing and new units without riders, FCIK also demanded expansion of the package by including sectors like tourism as has been done in respect of North-East states.
 The federation demanded that existing industrial units should be provided with the incentives without any Khasra bar.
 “As on date units at selected locations with specified khasra numbers are entitled for the incentives that is unlike the state of Himachal where there are no such requisites,” Qalander said.
 The FCIK also demanded grant of income tax exemption to the industry in J&K state for 10 years.  “Benefit of exemption granted under the package has not benefited local units,” Qalander said.
 Explaining this the president FCIK said that under the package of incentives, the industrial units were exempted from income tax for a period of five years from the date of starting production and therefore did not apply to existing units whose date of production had been prior to 1990s. However, these units deserved this benefit as the turbulent situation in the state had rendered them to their primitive and nascent stage.
 The memorandum explained that the applicability of the package of incentives was restricted to new industrial units and those having undergone substantial expansion only in selected locations of the state besides some more stipulations are there in the package.
 “Owing to these riders, most of the industrial units particularly the state subjects had not taken any benefit from the package, and as much needed corrective measures,” Qalander said.
 The copies of FCIK memorandum were also given by the delegation to minister for water resources, Saif-ud-Din Soz, and all members of Lok Sabha and Rajya Sabha from the state and requested them to take the cause of state industry forward. 

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