Karnataka: Industry bodies seek incentives in Budget

Ahead of the 2020-21 state budget, various trade and industry delegations met Chief Minister B S Yediyurappa on Monday, seeking incentives and other initiatives, here on Monday.

The Federation of Karnataka Chambers of Commerce and Industry (FKCCI), in its appeal to the CM, has sought a reduction in minimum wages in the state to help the industrial sector. The Federation has also requested the government to establish Export Promotion Cell in Kalaburagi region, the continuation of clusters under ‘Compete with China’ scheme, comprehensive public procurement policy and establishment of micro industrial zones.

Similarly, the Karnataka State Small Scale Industries Association (KASSIA) has sought the government to establish new industrial estates on the Public-Private Partnership model. Noting that this was an assurance made a few years ago, representatives of KASSIA said the project “does not seem to have taken off.”

Other demands by KASSIA included Karnataka State Finance Corporation loans at 4% for small and micro enterprises, additional inland container depots, highway connectivity to New Mangalore Port and creating industrial township authority, among others.

GST demands

Representatives of Karnataka Hosiery and Garment Association urged to solve GST related issues. Among their demands were to issue ‘suitable clarifications’ to state GST officials “who continue the search operations at the traders’ premises after office hours.” The association also urged the CM to simplify e-way bill procedures further.

Earlier in the day, Walmart-owned Flipkart’s Chief Corporate Affairs Officer Rajneesh Kumar met the chief minister.

Later, the CM chaired a Cabinet sub-committee meeting to review major investment proposals and to give them special concessions and incentives.