Improve connectivity to New M’lore port: Exporters

Visvesvaraya Trade Promotion Centre (VTPC) Managing Director Satheesha S R has said that the new industrial policy, to be unveiled in October 2019, is aimed at doubling the exports and helping Karnataka reach the third position in terms of export in the country.

Speaking at an interaction with exporters, organised by Kanara Chamber of Commerce and Industry (KCCI) here on Friday, he said Karnataka stands the fourth position in the export of merchandised goods and it is in the top position in software export.

Satheesha said Karnataka is able to achieve 10.72% growth though the industrial policy of 2014-2019 had a target to achieve 12% growth in export. The target of the industrial policy was to attract Rs 5 lakh crore investment and Karnataka was able to attract investment worth Rs 3 lakh crore, he noted.

Though the industrial policy proposed Reimbursement of Export Credit Guarantee Insurance (Maximum of Rs 50,000 or 10% of the premium paid towards Export Credit Guarantee Insurance), hardly a few exporters have availed of the benefit, he said.

Due to poor connectivity, the exporters in Karnataka are preferring other neighbouring ports over New Mangalore Port for the export of goods. The poor connectivity has been a burning issue for the last 25 years and it needs to be addressed as soon as possible, he said.

Satheesha said VTPC has already identified a few potential sectors to double the export. Efforts will also be made to create a conducive atmosphere for ease of business. “We will also make market intelligence report readily available to the exporters,” he said.

He urged the MSMEs to upgrade the skills of their labourers by utilising the courses offered by National Skill Development Corporation.

Department of Industry and Commerce Joint Director (Projects and Planning) B K Shivakumar said Chinese are looking forward to investing in India due to availability of skilled labourers, young working population, knowledge of English and the democratic set-up of the government. Hence, there is a need to prevail upon the government to improve the connectivity to the port, he stressed.

Kanara Small Industries Association (KSIA) President Gaurav Hegde said the poor road connectivity forces the investors to prefer other areas over Ganjimutt, though the Export Promotion Investment Park (EPIP) has been set up at Ganjimutt.

“Small industrialists are facing infrastructure problems at Baikampady. The KSIA has come out with a proposal to set up an export facilitation centre and exhibition centre at Baikampady at an estimated cost of Rs 11 crore. The Centre has promised to provide 50% of the cost. The state government should share 50 % of the cost,” he demanded.

An exporter, representing the cashew industry, said there is a shortage of availability of raw materials for the industry and contract farming to expand the area under cultivation should be given priority. An export cell should be set up to address the small grievances of the exporters, he urged.

District Industries Centre Joint Director Gokuldas Nayak said the land has been identified at Karnire in Bantwal taluk for the setting up of industries in Dakshina Kannada. Special land acquisition officer is working on the identified land. When the land is made available, the industries will come up in the district, he felt.

KCCI president P B Abdul Hameed was present in the meeting.