The State government is working out a plan to bring all proposed Industrial Parks (IPs) under the purview of a Special Purpose Vehicle (SPV) to vest the necessary powers with it and have a revenue source like an Industrial Area Local Authority. The underlying objective is to create world-class infrastructure in those IPs and only then showcase the investment opportunities on global stages like the World Economic Forum (WEF).
Water availability is going to be a part and parcel of that ecosystem which the Department of Industries and Commerce has aimed at, said Minister for Industries and Commerce, IT and Skill Development Mekapati Goutham Reddy.
Cautious approach
In an exclusive interview to The Hindu on Wednesday, Mr. Goutham Reddy said the government has adopted a cautious approach to allotting land and giving incentives lest the State should become a haven for fly-by-night operators.
Besides, efforts were under way to attract garment manufacturers into the Chittoor-Nellore industrial belt from Chennai and IT companies from Bengaluru into an IT Park being developed in Anantapur.
Another significant thing which the government has started doing is negotiating with the South Korean ‘Chaebol’ Hyundai Group for becoming a partner in the establishment of the steel plant in Kadapa district.
‘Quality investors welcome’
The government was keen on giving land to companies which were quality investors having concrete plans for investment and future expansion but not craving for subsidies.
The Minister said importance was given to roping in IT companies to Visakhapatnam, and skill development for which the funds of 25 to 29 departments were being pooled to equip youth with skills that the industry needs.
Apart from these, the Industries and Commerce and Agriculture Departments were working together to harness the potential of the agriculture and horticulture sectors by “industrialising the agricultural processes and products.”
Facts like A.P. standing first in the production of eight fruits but utterly lagging behind other States in drawing the value thereof prompted the two departments to set up a joint task force, which began its work recently.
As far as the subsidy regime is concerned, Mr. Goutham Reddy said he suggested to the Union Minister of Industries and Commerce that the subsidies offered by the States should be shown in their budgets as ‘debt outstanding’ to fix accountability. This would go a long way in making the States fulfil their obligations while a robust policy framework ensures that the industries delivered their commitments, he added.
