With a view to provide all subsidies granted by MSME Department to new entrepreneurs, the State government will move almost all the units to the positive list, said Rural Industries Minister, Pongalur N. Palanisamy on Thursday.
“The proposed move by the Government will encourage entrepreneurs to set up new units or to upgrade the existing technology. However, this is not applicable to liquor and tobacco related products. The Industries Empowered Committee has finalised the positive list and it will be sent to the Cabinet soon for final approval,” Mr. Palanisamy told The Hindu.
Mr.Palanisamy requested the entrepreneurs to make use of the capital subsidy and said that out of the Rs.30 crore sanctioned for 2008-2009, they were able to distribute only Rs.20 crore and had to surrender the balance for want of new units.
“We thought the subsidy would be around Rs.100 crore for the last three years. But it is not so. Last year, we had difficulty in identifying the beneficiaries. This year too, it would be less due to the economic slow down,” he said.
Addressing an interaction meet of Industrial Estates’ Manufacturers with Tamilnadu Small Industries Development Corporation Limited (TANSIDCO) and Directorate of Industries and Commerce, he said that the State was placed third in the industrial list of the country due to its pro-active policies and other states were emulating it.
TANSIDCO has formed 20 out of the 22 industrial estates in the State, taking the total number to 98. Plot has been allotted to nearly 2,000 entrepreneurs. The industrial estates are being set up in different parts of the State except Tiruppur and Tiruvarur, he said.
Representatives from 33 industrial estates complained about the lack of infrastructure facilities, delay in allotment of land, issue of sale deed, setting up of industrial estates and multi-storied complex for micro industries and allotment of land to micro units at 50 per cent of cost among other things.
In his presidential address, P.Selvam, Additional Chief Secretary, MSME Department, said that to put an end to illegitimate encroachment of land, the industrial estates should be defined as protected area and there should be a time frame for granting sanctions for all business activities.
D. Rajendran, TANSIDCO, Chairman and Managing Director, said that there was difficulty in implementing the Industrial Township Act in Ambattur and Guindy Industrial Estates as the local bodies were reluctant to delegate the statutory power and revenue accruing from these areas to the newly formed statutory body.
D. Gandhikumar, TANSTIA president urged the State government to ramp up the industrial estates in the State from 100 to 500 in the next five years to meet the increasing needs. Industrial estates are being set up in different parts except Tiruppur and Tiruvarur
