JOIN USAs per the draft, which is likely to get a nod from a high level committee, chaired by Prime Minister Manmohan Singh, the Government would take steps to make industrial land available by creation of land banks. The policy, aimed at creating 100 million new jobs by 2025, would encourage foreign investment and technologies, while reducing the compliance burden on the industry, a source said.
“This will be done through rationalisation of business regulations,” the source said adding a “comprehensive exit policy has been conceptualised which will promote productivity and provide flexibility by removing rigidity in the labour market”. But protection of workers's right would be ensured, he said. The new labour management norms would encourage “unwritten rules” for the unions and employers.
“The stress will be on modification in employment laws and in shop floor practices,” he said. However, what could be a dampener for the industry is the suggestion that the Government should prescribe technology or design standards for emission. Aimed at enhancing share of manufacturing in the country’s GDP the policy will encourage ‘national investment and manufacturing zones (NIMZs)’.
Indian companies would be encouraged to access foreign know-how and develop indigenous technology through fiscal incentives and subsidies.
Preferential purchases by government agencies of indigenously developed products and technologies would be encouraged.