Question : FACILITIES TO STATES FOR INDUSTRIALISATION



(a) whether the Government are supplementing the efforts of the State Governments for industrialisation and setting up of industries by way of various Centrally Sponsored Schemes;

(b) if so, the details of such schemes;

(c) the funds provided to each State under these Schemes during the Ninth plan and current year, Scheme-wise and year-wise;

(d) the extent to which the aim of industrialisation has been achieved in each State by this assistance; and

(e) the further schemes proposed by the Government to support the State Governments efforts?

Answer given by the minister


THE MINISTER OF STATE IN THE MINISTRY OF COMMERCE & INDUSTRY (DR. RAMAN SINGH)

(a) Yes, Sir.

(b) The brief details of the Centrally Sponsored schemes for facilitating industrialisation in the States are given as under:-


Transport Subsidy Scheme, 1971

The scheme aims at promoting industrialisation in hilly, remote and inaccessible areas of the country. Under the scheme, subsidy ranging between 50% to 90% is admissible on transportation cost incurred by an entrepreneur on the movement of raw materials and finished goods from the designated rail-head/ports upto the location of industrial units and vice-versa for a period of five years from the date of commencement of commercial production.


Growth Centre Scheme, 1971

The scheme aims at promoting industrialisation of the identified backward areas in the country. Under the scheme, subsidy is provided for creating basic infrastructure facilities like power water, telecommunication, banking etc. for attracting growth of industries in and around these centres.


Central Capital Investment Subsidy Scheme, 1997 for N.E. States

This scheme is a part of the package of measures initiated by the Central Government for the development of the North-Eastern region. Under the scheme, subsidy @ 15% of the investment in plant and machinery subject to a maximum, ceiling of Rs. 30 lakhs is admissible to the units to be set up in the identified locations.


Central Interest Subsidy Scheme, 1997 for N.E. States

This scheme is also part of the initiatives taken for the development of North-Eastern region and subsidy @ 3% is payable to industrial units on the working capital loans taken by them.


Central Comprehensive Insurance Scheme, 1997 for N.E. States

This is also part of the initiatives taken for the development of the North-Eastern region and under the scheme insurance paid by the eligible units is reimbursed to them.

(c) The information is contained in the statements at Annexure-I to III.

(d) On the basis of reports obtained, it can be said that operation of these schemes has helped the process of indusrialisation in the following manner.

i) Has helped in setting up of new Industrial Growth Centres in hitherto unexploited areas.

ii) Accelerated the process of setting up of new industrial units in the identified areas.

iii) Many of the existing units continue to operate in the identified locations because of the availability of subsidies under these schemes.

iv) Transport subsidy has resulted in 10.5% annual growth rate of factories in Himachal Pradesh. This has resulted in employment opportunities in Assam, Meghalaya, Mizoram, Nagaland & Himachal Pradesh. It has yielded income to states in the form of levies received from industrial units.

(e) Following new scheme are proposed to be introduced to support the efforts of State Governments towards industrialisation:

i) Package of incentives for the Industrial Development of the Special Category States i.e. Jammu & Kashmir (notified) and Himachal Pradesh and Sikkim (under process); and

ii) Industrial Clusters Development Scheme.


ANNEXURE-I

STATEMENT REFERRED TO IN PART-`C` OF LOK SABHA UNSTARRED QUESTION NO.906 FOR 19.7.2002 REGARDING FACILITIES TO STATES FOR INUDTRIALISATION.

STATEMENT INDICATING RELEASES MADE TO VARIOUS STATES/UTS DURING THE LAST FIVE YEARS, UNDER TRANSPORT SUBSIDY SCHEME.

(Rs. in lakh rounded off)

Sl. Name of the 1997-98 98-99 99-2000 2000-01 2001-02 No. State/UT
1. ASSAM 2548.61 1250.53 1195.24 4252.04+ 6583.19+

2. MANIPUR 18.96 24.41 4.01

3. TRIPURA 78.19 51.40 26.19

4. ARUNACHAL 1243.55 277.21 606.46 PRADESH

5. MEGHALAYA 506.55 127.45 703.96 6. NAGALAND 970.01 1169.19 649.02

7 MIZORAM - 103.29 347.22

8. SIKKIM 129.82 - - - 69.59

9. HIMACHAL 824.77 4814.06 4650.79 4037.88 2238.23 PRADESH 10. JAMMU & 138.62 594.51 280.23 275.86 69.54 KASHMIR 11. UTTAR PRADESH 0.92 45.13 - 0.76 - 12. A & NICOBAR - - - 33.46 3.19 13. LAKSHADWEEP - - - - - 14. WEST BENGAL - 42.82 36.88 - 36.26 (DARJEELING)
TOTAL 6460.00 8500.00 8500.00 8600.00 9000.00
+ From May, 2000, NEDFi has been designated as the nodal agency for disbursement of subsidy to eligible units in North Eastern Region (S.No.1-7) and accordingly funds are released in favour of NEDFi.



ANNEXURE-II

STATEMENT REFERRED TO IN PART-`C` OF LOK SABHA UNSTARRED QUESTION NO.906 FOR 19.7.2002 REGARDING FACILITIES TO STATES FOR INUDTRIALISATION.

STATEMENT INDICATING STATE-WISE/SCHEME-WISE/YEAR-WISE DISBURSEMENT BY NEDFI)/NIC.

Central Capital Investment Subsidy Scheme, 1997
(Rs. in lakhs rounded off)
Sl. Name of 97-98 98-99 99-2000 2000-01 2001-02 2002-03 Total No. the State
1.Ar Pradesh - - - 0 0 0 0

2.Assam - - - 0 389 150 539

3.Manipur - - - 0 0 0 0

4.Meghalaya - - - 0 0 87 87

5.Mizoram - - - 0 0 0 0 6.Nagaland - - - 0 0 0 0

7Tripura - - - 26 02 47 75
Total 26 391 284 701
Central Interest Subsidy Scheme, 1997
Sl. Name of 97-98 98-99 99-2000 2000-01 2001-02 2002-03 Total No. the State
1.Ar Pradesh - - - 0 0 0 0

2.Assam - - - 0 5 12 17

3.Manipur - - - 0 0 0 0

4.Meghalaya - - - 0 20 0 20

5.Mizoram - - - 0 0 0 0 6.Nagaland - - - 0 0 0 0

7Tripura - - - 0 0 0.1 0.1
Total 0 25 12.1 37.1
Central Comprehensive Insurance Scheme, 1997
Sl. Name of 97-98 98-99 99-2000 2000-01 2001-02 2002-03 Total No. the State


Under the Scheme, a sum of Rs.10.00 lakh has been released to National Insurance Company Ltd.(NIC), during 2000-2001, to disburse subsidy to eligible units in the States of N.E. region. The NIC is yet to finalise the modalities of the Scheme.


ANNEXURE-III

STATEMENT REFERRED TO IN PART-`C` OF LOK SABHA UNSTARRED QUESTION NO.906 FOR 19.7.2002 REGARDING FACILITIES TO STATES FOR INUDTRIALISATION.

DETAILS OF CENTRAL ASSISTANCE RELEASED TO APPROVED GROWTH CENTRES IN THE NINTH PLAN

(As on 31-03-2001)
(Rs. In lakhs)
Sl. Name of the Ninth Plan No. Growth Centre 1997-98 1998-99 99-2000 2000-01 2001-02
I.ANDHRA PRADESH
1.Hindupur - - - - -

2.Khammam - - - - -

3.Vizianagaram - 100 11 - - -Bobbilli

4.Ongole 150 200 - - -
II.ARUNACHAL PRADESH
5.Niklok Ngorlung - 48 50 - -
III.ASSAM
6.Chariduar - - 150 100 -

7Matia 50 - 100 100 -
IV.BIHAR
8.Begusarai - - - - -

9.Bhagalpur - - - - - 10.Chhapra - - - - - 11.Darbhanga 50 - - - - 12.Muzaffarpur - - - - -
V.CHHATTISGARH
13.Borai - - 125 - - 14.Siltara - - - - -
GOA
15.Electronic City 150 - - 150 -
VI.GUJARAT
16.Gandhidham - - - 250 235 17.Palanpur - - - 150 - 18.Vagra - - - - -
VII.HARYANA
19.Bawal - - - - - 20.Saha 50 - - 150 200
VIII.HIMACHAL PRADESH
21. Kangra - - - - -
IX.JAMMU & KASHMIR
22.Lassipora 50 - - 200 - 23.Samba - 50 200 - 50
X.JHARKHAND
24.Hazaribagh - - - - -
XI.KARNATAKA
25.Dharwad - - - - - 26.Raichur - 120 - 200 - 27.Hassan 60 - - - -
XII.KERALA
28.Alappuzha 200 532 - - - -Malappuram 29.Kannur-Kozhikode - - - - -
XIII.MADHYA PRADESH
30.Chainpura - - - - - 31.Ghirongi - - - - - 32.Kheda - - - - - 33.Satlapur - - - 100 -
XIV.MAHARASHTRA
34.Akola 450 - 200 50 - 35.Chandrapur 100 200 60 55 100 36.Dhule - 50 200 50 80 37.Nanded 550 - 200 100 60 38.Ratnagiri 200 - - - - XV.MANIPUR 39.Lamlai-Napet 50 - - 100 - XVI.MEGHALAYA 40.Mendipathar - - - - -
XVII.MIZORAM
41.Luangmual - - - 250 -
XVIII.NAGALAND
42.Ganeshnagar - 500 500 195 255
XIX.ORISSA
43.Chatrapur - - - - - 44.Kalinganagar-Duburi- 50 50 - 450 45.Jharsuguda - - - - 150 46.Kesinga - 50 - - 75
XX.PONDICHERRY
47.Polagam 50 - 250 - 100

XXI.PUNJAB
48.Bhantida - - - - - 49.Pathankot - - - - -
XXII.RAJASTHAN
50.Abu Road - - - - - 51.Khara 50 - 100 - - 52.Bhilwara - 100 150 - - 53.Dholpur 70 - - - - 54.Jhalawar - - - - -
XXIII.TAMILNADU
55.Erode - - - - - 56.Tirunelveli - - - - - 57.Oragadam - - 50 150 600
XXIV.TRIPURA
58.Bodhjung Nagar - - - 250 270 XXV.UTTAR PRADESH 59.Bijauli - - 100 200 243 60.Jamaur - - - 200 65 61.Pakbara - - - 200 550 62.Dibiapur 50 - - 50 50 63.Khurja 170 - - - - 64.Satharia - - - - 117 65.Sahjanwa - - - - -
XXVI.WEST BENGAL
66.Bolpur - - - - 50 67.Jalpaiguri - - - - 50 68.Malda - - - - 250
TOTAL 2500 2000 2496 3250 4000