NEW DELHI, Dec 24 : Calling for review of the impact of the North East Industrial and Investment Promotion Policy (NEIIPP), 2007, the North East MPs today urged the Government of India to rescind the Finance Ministry notification that watered down the Excise Duty exemptions.
At a meeting called to review the implementation of the NEIIPP, 2007, chaired by Union Minister for Development of the North Eastern Region (DoNER), Mani Shankar Aiyar, MPs expressed their disappointment at the manner in which the industrial policy was being implemented. They claimed that no new worthwhile investments have come to the region because certain provisions were watered down.
The high-level meeting was also attended by Union Minister of State for Commerce Ashwani Kumar and Union Minister of State Power, Jairam Ramesh, besides top officials of the DoNER and Commerce and Industry Ministries. Besides, officials of National Highway Authority of India (NHAI) also attended the meeting. However, the meeting was marked by poor attendance of MPs of the North-east.
Secretary of the North East MP’s Forum (NEMPF), Dr Arun Kumar Sarma told this newspaper that MPs were not at all satisfied with the manner in which the Policy was being implemented.
He said the provision of Excise Duty exemption was watered down by the Finance Ministry, which is allowing duty exemption only value addition. The blanket order on excise duty exemption under the Industrial Policy has been modified by the Ministry of Finance, he alleged.
After this, industrialists are not showing interest in investing in the North-East and the Region has not attracted any new investments,” he said.
The second issue raised by the NEMPF was the accumulating backlog of the subsidies including the Transport Subsidy. The MPs pointed out that the problem was on account of the delay in making budgetary provision for the subsidies. There is no provision in the industrial policy and promotion, he said.
The MPs demanded that the Ministry of Finance take the initiative and make special provision in the next Vote on Account to be placed before the Parliament, next year, Dr Sarma said.
The Forum also urged the DoNER and Commerce Ministries to review the Industrial Policy to evaluate the outcome of the Policy. “There has been no review of the industrial policy so far, added the general secretary.
Meanwhile, the NHAI held that activities of insurgent groups in Assam and Manipur have delayed the East-West Corridor Project. The official told the meeting that the prestigious project has been particular hit in North Cachar Hills and Moreh area. They alleged failure of the State Government has not been able to provide security, resulting in number of kidnappings.
They pleaded that no contractor was willing to work in the areas, as a result of which project work has been hit.
A number of MPs suggested that the project work in these two sectors be handed over to the Border Road Organisation.
