Sustainable development, leg-up to MSMEs and women entrepreneurs, and accountability in land allotment are the key takeaways of the ‘Industrial Development Policy 2020-23’ that was unveiled by Minister for Industries and Commerce Mekapati Goutham Reddy and A.P. Industrial Infrastructure Corporation (APIIC) chairperson R.K. Roja on Monday.
‘YSR AP One’
The new policy promises replacement of the existing ‘lease and buy’ option in the APIIC land policy with ‘lease plus buy’ model with low upfront payment and choice to purchase land after 10 years of successful operations. It also proposes establishment of a multi-faceted business enablement centre ‘YSR AP One’, which would acts as a one-stop resource and support centre for industries.
Another significant intervention necessitated by the recent string of industrial accidents is to permit the establishment of hazardous industries and those manufacturing bulk drugs (active pharmaceutical ingredients) only in designated parks having a proper mechanism for environment protection.
MSMEs get a boost
“The due priority has been given to extending all possible support to the Micro, Small and Medium Enterprises (MSMEs) which has borne the brunt of the economic downturn triggered by the COVID pandemic,” said Mr. Goutham Reddy after unveiling the policy.
The new policy also intends to allot industrial plots only after all pre-clearances (including environmental impact assessment) are obtained to facilitate fast set-up and risk-free operations.
Incentives
Adequate incentives will be extended to MSMEs and the SGST would be reimbursed for five years for medium, large and mega industries contingent upon employment creation.
Besides, 16.2% and 6% of the APIIC plots would be reserved for the SC and ST entrepreneurs respectively.
Mr. Goutham Reddy said that the APIIC, A.P. Economic Development Board (APEDB), A.P. Trade Promotion Corporation, A.P. Industrial Development Corporation and MSME Corporation would be restructured as per the changed industrial scenario.
Further, the APIIC has been tasked with the development of multi-sector or sector-specific industrial parks in the notified industrial zones on the basis of categories of industries permitted, raw material and skills availability, market assessment and external infrastructure and connectivity. Special purpose vehicles would be floated for meeting the water requirement of industries.
Special Chief Secretaries R. Karikal Valaven (industries), Poonam Malakondaiah (agriculture) and G. Anantha Ramu (skill development and training), Secretary to Chief Minister Solomon Arokia Raj and APEDB CEO and Director of Industries J.V.N. Subramanyam were among those present on the occasion.
