FTCCI asks Telangana government to promote industrial growth beyond Hyd

The labour-intensive industries also need to be prioritised to help create more job opportunities in the manufacturing sector. The manufacturing industries, both existing and new, must be given priority in the allocation of land and offering low cost finance - Meela Jayadev, President, FTCCI

Hyderabad: The industrial progress in Telangana is largely concentrated in and around Hyderabad city as is evident from the fact that about 50 per cent of the revenue is generated from erstwhile undivided districts of Hyderabad and Rangareddy. The Federation of Telangana Chambers of Commerce and Industry (FTCCI) suggests the State government to make conscious efforts to promote industrial growth in other districts.

On the ways to fuel industrial growth and attract more investments into Telangana, FTCCI President Meela Jayadev asked the government to make other districts as attractive areas to the investors by offering special incentives. As there are no special advantages/ cost benefits offered to invest in backward areas, they are generally inclined to invest in Hyderabad for its infrastructure and availability of manpower.

“We suggest that the State shall be divided into three industrial zones – developed zone (Category A), semi-developed zone (Category B) and backward zone (Category C). The identification of the level of development also helps the government in identifying bottlenecks, lack of facilities and infrastructure requirements and focus sectors for giving

a thrust,” he said. FTCCI President further said: “In Telangana, the land cost is spiraling upwards and it is becoming very expensive for the micro, small & medium enterprises (MSMEs) to acquire land. The government may set up plug-and-play industrial parks for the MSMEs in all the districts and allot the sheds on lease basis in the initial years with the first option to the leaseholder to buy the land after a minimum period

of 25 years.” This will save the entrepreneur with initial capital required to start a unit and more local people may be encouraged to become entrepreneurs. Also, describing the eligibility for industries on the basis of ownership, size, employment and offering more for MSMEs will help stabilising the small industries in the initial years. The labour-intensive industries also need to be prioritised to help create more job opportunities in the manufacturing sector. This sector has taken a back seat with growth mostly concentrated in the IT and ITeS sector and hospitality sector. The manufacturing industries, both existing and new, must be given priority in the allocation of land and offering low cost finance, he said.