Srinagar: The Jammu and Kashmir government has received new applications for private investments totalling Rs 20,000 crore in the industrial sector; however, they will soon be approved as the administration looks for suitable land banks to facilitate new investments.
According to highly placed sources, following Prime Minister Narendra Modi’s groundbreaking ceremony for Rs 38,080 crore worth of private investment proposals in Jammu and Kashmir on April 24 this year, the Government has received Rs 20,000 crore worth of further investment proposals.
The government, on the other hand, has depleted the Land Bank by giving land to investors whose groundbreaking ceremonies the Prime Minister has previously attended.
“The government has now acquired more land, but it considers that allocating it without adequate development will be damaging. Tenders have been issued for its development,” sources said adding that after the land bank is developed, the government will approve private investment proposals totalling Rs 20,000 crore that has been submitted to the LG administration.
The government has already accepted private investment proposals totalling Rs 38,080 crore; adding another Rs 20,000 crore will raise the total amount of investments to more than Rs 58,000 crore.
Sources claim that up till one and a half years ago, private investments in Jammu and Kashmir in the Union Territory had only reached a total of Rs14,000 to Rs15,000 crore.
According to officials, “work on the establishment of industrial units has also started in some cases.”
At a cost of Rs 4400 crore, the government has approved the creation of 22 projects under Medi-Cities in Jammu and Kashmir.
According to sources, the government expects private investment in Jammu and Kashmir to increase once the pending plans are approved.
The Industries Department has also received suggestions for the creation of private Industrial Estates from the districts of Samba and Kathua, with many more in the queue. The response to developing ‘Private Land Banks’ for industrial expansion has been very positive, according to sources.
The government has set aside five acres of land for the establishment of private industrial estates and two acres for IT/ITes to house IT units in flatted homes. Depending on the investments, they will be eligible for Capital Infrastructure Subsidy.
Previously, the government identified almost 25,000 kanals of the Government Land Bank for industrial development. With a positive response from national and international investors interested in investing in the Union Territory, the government land is nearly depleted.
Officials expressed confidence that by developing the ‘Private Land Bank,’ the government will be able to accommodate more private investments in Jammu and Kashmir, as there were reports that investments could reach Rs 75,000 crore soon, as many corporate houses are in contact with the administration about investing in various sectors in the Union Territory.