New industrial policy on anvil in UP

To boost private investment and create a more conducive business environment, the Uttar Pradesh government is preparing a new industrial policy for the next five years.

A high-level steering committee in this regard has already been formed under the UP Industrial and Infrastructure Development (IID) commissioner with representation from the industry.

“The committee is holding regular meetings to prepare the blueprint of the policy,” IID commissioner VK Sharma told Business Standard.

Under the steering committee, different sub working groups have been formed for various sectors such as automobile, medical, and labour.

However, any announcement on this would be made only after the Lok Sabha elections.

UP is seeking private investment in several spheres such as power, education, medical, tourism, agriculture, infrastructure and transport.

Besides, the state government has realised that the micro, small and medium enterprises (MSME) need to augment their competency levels to sustain themselves in these troubled times.

“We are constantly working on the MSME agenda and would welcome good advice from the industry,” Sharma added. UP has three MSME development institutes at Kanpur, Allahabad and Agra.

The economic meltdown has hit the MSME sector most because of its low resource base and bargaining power. The sector accounts for almost 60 per cent of the total industrial output in the state. The financial crisis has adversely impacted units, especially engaged in export to the US and European markets.

Exports from UP mainly comprise leather goods, carpets, textiles, agro products, brassware and auto parts.