Question : PROMOTION OF INDUSTRIES IN BACKWARD AREAS

(a) whether any reference has been made to the Planning Commission to conduct a survey to arrive at a comprehensive and scientifically verifiable definition of industrially backward area/district in the country;

(b) if so, the details thereof and the terms of reference of the said exercise;

(c) the details regarding the names and the number of industrially backward areas/ districts in the country, State-wise;

(d) whether the Government has any incentive package to promote industrialization in backward areas including feasibility study for the same;

(e) if so, the details thereof and if not, the reasons therefor;

(f) whether the Government has received proposal from State Governments including Orissa for setting up of industries in the States; and

(g) if so, the details thereof and action taken by the Government in this regard?

MINISTER OF THE STATE IN THE MINISTRY OF COMMERCE AND INDUSTRY (SHRI JYOTIRADITYA M. SCINDIA)

(a): No, Madam.

(b) & (c): Do not arise.

(d) & (e):The Government is implementing a package of incentives for the Special Category States of the North East (including Sikkim) and the States of Jammu & Kashmir, Himachal Pradesh and Uttarakhand.

Incentives for the States of North East (including Sikkim), States of Jammu & Kashmir, Himachal Pradesh and Uttarakhand comprise the following:-

For the North East States (including Sikkim) and the State of Jammu & Kashmir

i) Central Capital Investment Subsidy;

ii) Central Interest Subsidy;

iii) Central Comprehensive Insurance Subsidy;

iv) Transport Subsidy;

v) 100% Central Excise duty exemption with CENVAT benefit;and

vi) 100% Income Tax exemption

For the States of Himachal Pradesh and Uttarakhand

i) Central Capital Investment Subsidy;

ii) Transport Subsidy;

iii) 100% Central Excise duty exemption (lapsed on 31.03.2010); and

iv) 100% Income Tax exemption for five years and thereafter @ 30% for companies and 25% for other than companies for the next five years.

(f) & (g): Many other States have also requested for similar packages but it has been the consistent stand of the Government not to extend or announce any fresh package in view of the reason that the afore-mentioned special category States have adverse geographical locations and other specificities. The States which have requested for packages in the past are Andhra Pradesh, Bihar, Chhattisgarh, Goa, Gujarat, Jharkhand, Karnataka, Madhya Pradesh, Orissa, Punjab, Rajasthan, Uttar Pradesh and West Bengal.