Jammu : Chamber of Commerce & Industry Jammu hailed and complimented the union Finance Ministry for clarifying that the existing industrial units in J&K can avail excise duty exemption again by way of second substantial expansion under the new industrial policy.
In a statement issued to the press, Mr. Y.V. Sharma, President Chamber of Commerce & Industry Jammu expressed satisfaction that the confusion created by the local office of the Central Excise refusing to provide excise duty exemption to the industrial units in J&K on 2nd substantial expansion on the ground that they had already availed the benefit under the central package of incentives 2002 has finally been cleared.
Mr. Sharma, however, regretted that the decision has come very late for which the industrial units in J&K had to launch a grim struggle as the units which had invested huge sums of money on 2nd substantial expansion has been denied their due share of excise exemption under law by the local authorities of the central excise department and had been suffering great losses which threaten their very existence. Chamber of Commerce & Industry Jammu initiated a vigorous campaign in this regard not only with the government of Jammu & Kashmir but also with the authorities in the Union Finance Ministry to give the industrialists in J&K their rightful share of exemptions under law without any hassles or delay. Many memoranda were submitted to the government of J&K and the Union Finance Ministry by the delegations of Chamber of Commerce & Industry Jammu and also to Mr. Rahul Gandhi the Congress Vice President when he visited Jammu on 6th November 2013.
Mr. Sharma thanked everyone in the State Administration and the Union Finance Ministry as also the representatives of the state including the Chief Minister Mr. Omar Abdullah and Prof. Saif-ud-din Soz, the Congress President in this regard. Mr. Sharma also expressed his gratitude to Sh. Ghulam Nabi Azad, Hon’ble Union Health and Family Welfare Minister and Mrs. Ambica Soni incharge J&K State for intervening in this matter and getting the issue resolved.
Mr. Sharma asserted that the circular no 977/01/2014 issued by the Union Finance Ministry makes it amply clear that the existing industrial units in J&K were fully eligible for exemptions in excise duty by way of second substantial expansion under the notifications of 2002 and 2010 in this regard. He called upon the local authorities of the Central Excise Department to implement this belated but welcome decision without any reservation so that the local industries get the much needed help without any further delay.
Mr. Sharma opined that the industries in J&K were not in a very healthy state due to many factors and many more incentives like Income Tax exemption, special packages, upgraded infrastructure etc. were needed to be given in a manner which ensures the opening of new industries, strengthening the existing industries and motivating the young entrepreneurs to enter this field in order to enable the state to occupy a respectful place in the industrial map of the country, thus creating large employment to the unemployed youth of the state.
Mr. Sharma further made it clear that to promote industrialization in J&K State a mother incentive in the shape of exemption from the Income tax is sine-qua-non for industrialization. He appealed to the Union government to provide this incentive and requested the state government to take up this issue with the Central Government in the coming budget 2014-15