The Karnataka government has constituted a four-member Cabinet sub-committee to work out a package of incentives and concessions to companies investing in the State.

Briefing reporters after a Cabinet meet chaired by Karnataka chief minister Chief Minister BS Yediyurappa, the Minister for Law and Parliamentary Affairs JC Madhuswamy said the sub-committee will work out a package of incentives and concessions under an industrial policy to address investments regarding mega and ultramega projects, Aerospace policy, Electric vehicle and energy storage policy and the textile and handloom policy.

The four-members are Chief Minister Yediyurappa as Chairman and Minister for Large and Medium Scale Industries Jagadish Shettar; Revenue Minister R Ashoka; and the Minister for Small Scale Industries (as of now vacant).

“This is being done as the existing industrial policy is to end shortly and other policies need to be fine tuned as other States have also begun to offer attractive incentives and concessions,” said Madhuswamy.

The Cabinet also approved a ₹100-crore project to erect barriers to block elephants entering human settlements. “This is part of ₹628 crore three-year plan to erect barriers using old rails in Nagarahole, Bandipur, MM Hills, Kollegala, Madikeri, Hassan, Bannerghatta and Ramanagara,” said Madhuswamy.

Industry seeks road map

In a related development, CR Janardhana, President, FKCCI, who had met the Chief minister and Industries Minister, urged the State government to work on a road map by giving major thrust on strengthening of district clusters, establishment of skill development centre at Dabaspet, industrial townships, women enterprises, agro-food processing sector and incubators.

He said, “To make government services industry-friendly, KSSIDC should be brought under Sakala .” The Government has brought several departments under Sakala , which recently included ESCOMs. But KSSIDC is yet to be brought under its fold. Entrepreneurs have been made to run from pillar to post for getting approvals from KSSIDC such as layout plan, water, NOC, road cutting etc. At this juncture, we urge the government to provide online facility for approval process and time bound automatic clearance as is done by BBMP for plots measuring 40x60 and less.”

Another area of concern according to Janardhana is lack of a comprehensive public procurement policy. For this he suggested the industry has been demanding a comprehensive public procurement policy on the lines of Government of India’s policy. Though this is mentioned in several industrial policies, steps have not been taken to implement the same. The government departments themselves insist onearnest money deposit, and price preference policy is not implemented.

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