The Narendra Modi government is discussing revival of a policy to incentivise job creation in the Himalayan states and the Northeast. The policy will also apply to Jammu and Kashmir, which continues to be a cause of concern for the political leadership in New Delhi.
A team of Niti Aayog and department of industrial policy and promotion members has prepared a report that is currently being discussed within the government. “It shall be announced soon,” a source said.
Commerce minister Nirmala Sitharaman confirmed the move, saying the Northeast and Himalayan states have been demanding such a policy. “We recognise this as a way out to push industrialisation in these states,” she said. “We are keen to do something meaningful for the states.”
The then Atal Bihari government had announced a special package to provide fiscal incentive to new industrial units and substantial expansion of existing units in J&K, Himachal Pradesh and Uttarakhand.
A package of fiscal incentives and other concessions, named the North East Industrial and Investment Promotion Policy (NEIIPP), was also approved in 2007. These came to an end on March 31 this year.