No proposal to include AP in North East Industrial Development Scheme: Govt

The government today said there is no proposal to include Andhra Pradesh in the industrial development schemes currently operatiing in north-eastern states and Jammu and Kashmir.

"At present there is no proposal to include Andhra Pradesh in North East Industrial Development Scheme and Industrial Development Scheme for Jammu and Kashmir, Himachal Pradesh and Uttarakhand," Minister of State for Commerce and Industry C R Chaudhary said in a written reply to the Lok Sabha.

He was replying to a question whether the government is considering to include Andhra Pradesh in special industrial promotion scheme being formulated by Department of Industrial Policy and Promotion along with North East and Himalayan states.

He said that Section 94 of the Andhra Pradesh Reorganisation Act, 2014 provides that the central government shall take appropriate fiscal measures, including offer of tax incentives to Andhra Pradesh and Telangana, to promote industrialisation and economic growth in both the states.

"In view of this, special packages to backward areas of newly formed states of Andhra Pradesh and Telangana each Rs 50 crore per year are being provided since 2016-17," he added.

The minister also said that a sum of Rs 350 crore each year flows to both the states separately from special grant to the states.

Andhra Pradesh is demanding special category status from the central government following bifurcation of the state in 2014.