Positioning itself as the top spot for retail trade, Andhra Pradesh today came out with a new policy that offers incentives and provides flexibility to enterprises in terms of business hours and part-time employees as the government sought to attract Rs 5,000 crore investments and create 20,000 jobs in the sector by 2020.
The government's 'Retail Trade Policy-2016' also allows removal of stock limits for essential commodities.
The policy, which was released at the ongoing Partnership Summit here, said the government will facilitate clearances in accordance with Single Desk Policy 2015-20, bringing together all stakeholder departments on to a common platform.
"Andhra Pradesh has a huge potential to become one of the leading destinations for retail trade. The retail trade is a key driver for socio-economic development in the state and will continue to be a significant employment generator," Chief Minister N Chandrababu Naidu said on the occasion.
Andhra Pradesh contributes about 8 per cent of India's total retail market of 13 million stores. It has 1.04 million retail stores, both in organised and unorganised sectors. The organised sector in the state comprises 83,000 stores and this number is estimated to rise to 1,66,000 by 2017.
Besides, AP recorded one of the fastest growth rates among states (at 9 per cent). Its industrial segment expanded at 7 per cent and agriculture sector grew at 3.8 per cent between 2004-05 and 2012-2013.
Under the policy, projects with an investment of at least Rs 100 crore, or direct employment generation of 2,000, will be accorded the mega retail enterprise status.
The government will extend tailor-made benefits to mega retail enterprises, taking into account the gestation period, locational aspects, technology automation, project's importance in the state's economic growth and its ability to generate large-scale employment or revenues for the exchequer.
Under the policy, retail enterprises can stay open seven days a week from 6 am to 11 pm and employ people on an hourly basis though their number should not exceed 25 per cent of the total employees of the firm.
The government, through its nodal agency Andhra Pradesh Industrial Infrastructure Corp (APIIC), will allot land for setting up distribution centres as well as warehouses under the commercial category for 33 years.
