MP's amended industrial policy to come a month later

Corporate houses seeking to invest in Madhya Pradesh will have to wait for another month for the amended Industrial Promotion Policy.

The amended policy will be announced only after final comments from the recently constituted Industrial Advisory Council are in.

"The draft of the amended policy, titled 'Industrial and Employment Policy 2007', has been finalised but we want to take the comments of industry stalwarts who are members of the Industrial Advisory Council.

The first meeting of the council will be organised in Khajuraho on January 15, which will coincide with the Investors Meet to be organised by the state industries department in association with the Federation of Indian Chambers of Commerce and Industry (Ficci)," said a senior government official.

The new policy, an overhauled version of the Industrial Promotion Policy 2004, will be effective till March 2009.

However, the policy has not much to attract investors.

The new policy, according to a government source, envisages rationalising the taxation system and power tariffs, providing more teeth to the Madhya Pradesh Trade and Facilitation Corporation (TRIFAC), creating a Growth Task Force for a quick and speedy disposal of industrial issues, including of a new self-employment scheme, setting up regional offices of TRIFAC, an annual block grant to TRIFAC and Rs 20 crore annual (revolving) fund to Industrial Infrastructure Development Fund instead of existing Rs 10 crore.

The other amendments in the new policy include separating industrial areas from local administrative bodies and de-markation of industrial areas, creatng a model cluster for small-scale industries, improvised version of the Deendayal Yojna for self-employment, new land and shed allotment rules, flexible labour laws for apparel parks and export-oriented units, promotion to information technology training institutes in the private sector, land on lease for a period of 99 years for medical colleges and nursing colleges, etc.

Importantly, state government has planned to abolish Madhya Pradesh Industrial Relation Act that may attract protest from labours. Earlier the state government had made a futile attempt to amend the Act.

The labour unions had challenged the decision in court.