Government of Jammu & Kashmir

Department of Industries & Commerce

DISTRICT INDUSTRIES CENTRE KATHUA

• The District Industries Centre (DIC) scheme was introduced by the Central Govt. with a view to give boost to the Small Scale Industrial Sector for its Development/Expansion being a very vital segment

of the Country’s Economy. Therefore DICs were set-up all over the country during May,1978 with uniform guide-lines for promotion of Industrial Growth and to help/assist the entrepreneurs to solve their problems.

• Since, the inception of the scheme, the District Industries Centre, Kathua has made much headway in setting-up of industrial enterprises under different line of activities in the district. The department is assisting the intended entrepreneurs by way of affording them with all facilities available under the Govt. Policies announced from time to time. To achieve the economic goal with rapid industrialization in J&K State, the Govt. of India announced a special package of incentives for this industrially backward state during 2002-03 followed by industrial Policy-2004 announced by J&K Govt. In the backdrop of this policy the investors especially from outside the state have shown keen interest in setting-up of their project in the district which has a locational advantage being situated on a place bordering Punjab, Himachal Pardesh and not for way from National Capital H.P and Haryana.

• Since inception of the District Industries Centre Kathua, 4800 no. of units has been registered formally. Out of which 2326 no. of units are functional as on 31-03-2013 which gave direct/indirect employment to 15323 no. of youth. At present there are 4 no. of large & medium scale industrial units in the district which has given employment to 8690 no. of youth. During the financial year 2012-13, twenty five units are registered formally which has given employment to 322 no. of youth.

Out of total units registered formally in DIC Kathua the main categories of

the units are as under:- S.NO LINE OF ACTIVITY NO. OF UNITS REGISTERED

1 BRICK KILN UNITS 37

2 CEMENT UNITS 14

3 STONE CRUSHER UNITS 17

4 PESTICIDES UNITS 04

5 WOOD BASED UNITS 63

6 MEDICINE INDUSTRISL UNITS 02

7 LEAD BASED UNITS 06

8 GUN MANUFACTURING UNITS 02

9 RICE MILLS 42

At present under DIC Kathua there are eight no. of Industrial Estates. A. Industrial Estate, Kathua

•Total Land 102 Kanal 08 Marlas • No. of Plots 27 Nos. • Vacant Plots Nil • No. of Sheds 14 Nos. • Vacant Sheds Nil • Plot allotted 27 Nos.

B.Industrial Extension Area, Kathua

1. Total Land 274 Kanals 2. No. of Plots 48 Nos. 3. Vacant Plots Nil C. Industrial Estate, Dewal Billawar

1. Total Land 53 Kanal 18 Marlas 2. No. of Plots 07 Nos. (All Prov. Regd) 3. Vacant Plots 01 No. (4 Kanal) D. Industrial Estate, Hiranagar

1. Total Land 21 Kanals 2. No. of Sheds 12 Nos. 3. Vacant Sheds Nil 4. No. of Plots 02 5. Vacant Plots Nil

E. Industrial Area, SICOP

1 Total Land 522 Kanal 10 Marlas 2. Land allotted 522 Kanals 3. Vacant Plots Nil 4. No. of Units 120

F. Industrial Area, SIDCO

1. Total Land 210.16 Kanals 2. No. of Units 06 Nos. 3. Functional units 06 Nos.

G. IID Centre, Govindsar (Proposed)

1. Total Land 979 Kanal 17 Marlas Kothi 116.16 Kanals Govindsar 681.12 Kanals Gaterwan 156.03 Kanals Mehtabpur 25.06 Kanals

Possession has been given to SICOP for its development and work is under progress

H. Industrial Area, Gathi

1. Village Kalana 1457.00 Kanals 2. Village Nanan 716.00 Kanals 3. Village Mearth 478.18 Kanals 4. Village Pandhrar 712.17 Kanals 5. Village Chak Nanan 137.12 Kanals Total: 3502.07 Kanals

During the financial year 2012-13, Rs. 2.25 lacs have been released under Capital Component used for purchase of DG Set & invertor/ batteries etc. to augment office work as prolonged and frequent power cuts hampers office work and efficiency and full expenditure has been made as on 31-03-2012 with liability of Rs. 0.17 lacs for making the balance payment of the purchase of D.G.set.

• Under State Plan allocations to the tune of Rs. 133.60 lacs was made for the year 2012-13 by the Directorate of Industries & Commerce, Jammu i.e. Rs. 122.00 lacs as Package of Incentives, Rs. 0.50 lacs under Publicity/Publication and Rs. 11.10 lacs as Misc. Expenditure (DIC Building), against which expenditure to the tune of Rs. 116.47 lacs has been incurred and balance unspent amount of Rs. 17.13 lacs has been surrendered.

As per Industrial Policy-2004 State Package of Incentives for

Industry in J&K are as follow:-

State Incentives:

•100% Subsidy on DG Set upto Rs. 25.00 Lacs. •100% Subsidy on Lab. Testing Equipments up to Rs. 25.00 Lacs. •15% Subsidy on Purchase of Plant & Machinery (CIS) •30% Subsidy on purchase of Pollution Control Devices. •100% Project Report Subsidy

Central Incentives

•3% Interest Subsidy on Working Capital •90% Transport Subsidy. •100% Insurance Subsidy. •30% Capital Investment Subsidy etc.

WEAKNESSES/SHORTCOMINGS OF THE DEPARTMENT

• The package of incentives announced by the Govt. in 2002-03 has expired in june 2012. But till date the Govt. has neither enhanced the period of incentives nor announced some new incentives, as a result the industrialists are not interested to establish new industrial units in the state.

• The New IID Centre Govindsar is still without electricity facility and the maximum units registered provisionally are waiting eagerly for power, so that they can establish their units.

POTENTIAL/FURTHER SCOPE OF DEVELOPMENT NOT INCLUDED IN

THE PRESENT ONGOING PROGRAMMES

Industrial Estate, Ghatti with total land 3502.07 Kanals is being developed in order to cater to the need of future expansion. Out of the total land, possession of 2800 kanals has been given to SIDCO for its development. The basic infrastructure like roads/street lights etc. has been developed. Evironment clearance of the project is pending with Ministry of Environment, Govt. of India.

RESPONSIBILITIES OF THE DEPARTMENT

•The department acts as a facilitator to attract more and more investment in the state for the overall ecomonic growth of the State. •Planning and development of Industrial Estates. •Nodal Agency for implementation of Central and state Package of incentives. •Implementation of Prime Minister’s Employment Generation Programme (PMEGP). Rehabilitation of Sick units. •Creating Awareness through Melas/ awareness camps, advertisements in media and Newspaper, through hoarding for information of the general public to set up their industrial units. •Motivation of entrepreneurs for establishment of their units by ensuring the provision of various facilities.

Year No. of units registered Employment Investment

(Rs.in lacs)

2008-09 18 214 1355.98

2009-10 32 332 1834.66

2010-11 18 294 1122.72

2011-12 52 977 5935.51

2012-13 25 322 2032.91

Total 145 2139 12281.78

NOTABLE ACHIEVEMENTS UNDER DIFFERENT PROGRAMMES

The achievements made in respect of Formal and Provisional Registration of Micro & Small Scale Industrial Units in District Kathua for the last five years are as under:-

A) Formal Registration

Year No. of units registered Proposed Employment

2008-09 46 1082

2009-10 83 2031

2010-11 89 2685

2011-12 125 3075

2012-13 87 2192

Total 430 11065

Provisional Registration

SUCCESS STORIES

1. Chenab Textile Mills.

A unit of Sutlej Textiles and Industries ltd. a Bluechip Company of K.K.Birla Group. It isthe largest and oldest industrial unit of J&K set up at Kathua in 1965 with initial capacity of 12600 spindles with first foundation stone laid by Late Jenab Bakshi Ghulam Mohammad, the then Prime Minister of J&K on 12th October 1962. Since then mill has been continuously investing on modernization and expansion of capacities. This unit has created direct employment avenues to 8315 persons and thousands others as indirect employment.

M/s Aneja Dairy, Sicop Industrial Area Kathua(J&K)

M/s Aneja Dairy, Sicop Industrial Area Kathua(J&K) is formally registered with District Industries Centre Kathua for the manufacturing of Desi Ghee, Cream & Skimmed Milk with date of production as on 01.02.2003 with total investment of Rs. 70 Lacs. Unit is importing the raw milk from outside the state and selling the 90% finished products within the state. The Unit provide employment to 38 employees and is functioning on three shifts.

M/s Jakson Limited-DTA

Jakson is one of the largest Genset manufacturers in India and is

professionally managed group having network across the country for

rendering effective sales and after sales support to our customers.

Product range includes: Complete Range of Diesel/Gas operated

Generating Sets from 15 KVA to 3000KVA.

Problems/Bottlenecks being faced by the department in proper

implementation of the programme

•There is acute shortage of general as well as technical staff which effects the efficiency of the department.

•Stipend given to the trainees in the Knitting training centres is too meagre to attract them to these centres.

•The package of incentives announced by the Govt. for ten years i.e. from 2002-03 to June 2012. has expired and the same has not been extended, neither any new package has been annonced, as a result the industrialists are not interested to establish new industrial units in the state.

•The Units are unable to achieve the optimum level of production due to power shortage.

•Infrastructure in Industrial Area is not in a proper condition.

1. SSI units regd. Formally. 25

2. Employment Generated 322

3. SSI units regd. Provisionally. 87

4. Employment to be Generated 2192

PHYSICAL AND FINANCIAL PROGRESS/ACHIEVEMENTS FOR THE YEAR

2012-13

PHYSICAL ACHIEVEMENT

APPROVED

OUTLAY 2012-13

FUNDS RELEASED

AGAINST THE

ALLOCATION

EXPEDITUR

INCURRED DURING

2012-13 S.NO NAME OF THE

SECTOR/SCHEME

1. Establishment of Knitting training

centre

- -

2. Establishment of DICs 2.25 lacs 2.25 lacs 2.25

TOTAL 2.25 lacs 2.25 lacs 2.25

FINANCIAL ACHIEVEMENT

OUTLAY AND EXPENDITURE UNDER DISTRICT PLAN FOR THE YEAR 2012-13 IN RESPECT OF DIC KATHUA

2 State Sector Outlay 2012-13 Cummulative

expdt. ending

March, 2013

Amount

Surrendered

a. Direction & Admn.

1. Salaries -

2 TE/POL -

3 OE -

4 Telephone (PABX) -

5 Trg. & Study Tour -

6 M&E -

OUTLAY AND EXPENDITURE UNDER STATE PLAN FOR THE YEAR 2012-13 IN RESPECT OF DIC KATHUA

b Package of

incentives

122.00 lacs 104.87 lacs 17.13 lacs

c Central Outlay

on DIC Bldg.

-

1 Pub./

Publication

0.50 lacs 0.50 lacs -

2 KT/OSS - - -

3 Acquisition of Land

(in lacs)

- - -

4 Infrastructure

Development

Programme

- - -

5 CSS Collection of

Statistics

- - -

6 Misc. exp. (DIC

Bldg.)

11.10 lacs 11.10 lacs -

Total State Sector 133.60 lacs 116.47 lacs 17.13 lacs