Bangalore, September 11, 2014 – The Karnataka Cabinet on Thursday unveiled a five-year new industrial policy with a strong emphasis on self-employment creation and opportunities for micro and small enterprises, as well as a host of incentives for companies investing in the State.
Briefing reporters after the State cabinet meet, TB Jayachandra, Law and Parliamentary Affairs Minister, said the Cabinet meet chaired by Chief Minister Siddaramaiah, which cleared the new policy, aims to attract investments worth Rs. 5 lakh crore, provide 15 lakh jobs and increase the State’s manufacturing GDP by 20 per cent in five years.
The policy aims to set up anchor industries in districts, taluks and industrial areas where no similar industries exist so that MSME’s can benefit from the downstream opportunities. The government also plans to develop industrial parks exclusively for women entrepreneurs in Harohalli, near Bangalore and also at Hubli-Dharwad.
Sectors
To pursue this, government wants to focus on the following sectors: defence and aerospace, steel, cement, machine tools, automotive, biotech-pharmaceuticals, agro-food processing and sugar.
“Through the policy the government is offering an attractive package of incentives.
“Tax-related incentives include interest-free loans of 100 per cent of value-added tax (VAT) and Central sales tax (CST), with the maximum of 100 per cent of the value of fixed assets for seven to 14 years, depending on the investment and zone,” said Jayachandra. Business Line
