New industrial policy to be unveiled soon

New industrial policy to be unveiled soon

Sarojini Mahishi report favours 80 per cent jobs for locals

The State’s new industrial policy will be launched tentatively on October 17 in the city and the industries department plans to invite top entrepreneurs for the launch.

The policy was cleared by the State cabinet last month. It envisages to attract investments worth Rs five lakh crore and generate employment to the tune of 15 lakh in the five year period between 2014-19.

“We have sought the policy to be launched on October 17 and are waiting for a confirmation from the chief minister’s office,” Additional Chief Secretary K Ratna Prabha said. Chief Minister Siddaramaiah will be unveiling the policy.

The new Industrial Policy 2014-19 aims to lay thrust on micro, small and medium enterprises by providing incentives and subsidies. For the purpose of incentives, the state has been divided into six zones, with the highest incentive to be provided for investments in the Hyderabad-Karnataka region.

The department is keen on making the launch memorable and the list of entrepreneurs to be invited is being prepared, said Ratna Prabha. “All the top industrialists in the state will be invited. Our concern was that the launch date does not clash with the spate of holidays this month”, she added.

An aspect that was keenly looked into for the new industrial policy was whether to implement the recommendation of Sarojini Mahishi report to earmark a percentage of private sector jobs for the local people.

The draft policy specifies that all new industrial investments should provide a minimum 80 per cent of employment to the local people. The State government will monitor the industries with regard to employment generation. According to the policy, failure of industries to recruit local people could lead to the recovery of incentives and concessions sanctioned to the unit.

However, sources said that the state government will have to come out with an executive order to give effect to this particular provision of the policy.

The labour department has been collecting details from across the state on the number of jobs provided by industries to local people. The information gathered will be compiled district and sector-wise and will be placed before the State cabinet to take a final decision on passing the executive order, sources added.

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