Infrastructure hitting Himachal industry: CII

Industry in Himachal Pradesh has warned that unless the Himachal government does not provide proper infrastructure soon, there may be flight of capital from the state.

This was expressed by Confederation of Indian Industry (CII) representatives here today at a seminar "Strategy for Sustainable Development of Himachal Pradesh."

"The infrastructure has broken down in the Baddi and Barotiwala industrial zones and isn't able to cope with the rapid expansion of industry here due to the Central excise package, which came into effect in early 2003," said Sachit Jain, a top industrialist and CII representative.

Himachal is witnessing one of the fastest booms in industry in northern India since the central excise package came into effect almost four years ago. So far, industrial investment of Rs 22,000 crore has taken place.

The excise package is to expire in early 2010. The CII has said steps must be taken immediately to ensure that industry doesn't leave once these incentives are over.

"Proper roads, housing, schools, hospitals, and entertainment facilities, among others are absent in the state's fastest-growing industrial belt of Baddi and Barotiwala," said Jain.

"The Himachal government must get its act together so that industry isn't forced to leave once the incentives expire in three years," Jain added.

"Baddi is functioning as a satellite town of Chandigarh, from where it is two hours' journey and in fact should be less than that," he said.

"If the state government had provided the required infrastructure at Baddi, people could have concentrated more on their jobs by being based in Baddi," said Jain.

"The state government must allow non-Himachalis to purchase land and not be treated as outsiders despite being in the state for several years," he added.

The CII has pointed out that almost all workers in Baddi and Barotiwala are males. There was an urgent need to correct this gender bias at the workplace by encouraging women to take up jobs, it said.

Speaking on behalf of the state government, Ashok Thakur, secretary (industries), said, "The state government has recently set up the Baddi and Barotiwala authority headed by a senior IAS officer; this body will acquire land and later sell them to industry."