CII seeks implementation of VAT

The Confederation of Indian Industries (CII) will continue to demand the implementation of value added tax (VAT) in Tamil Nadu, said Sanjay Jayavarthanavelu, who has been elected as the chairman of CII-Tamil Nadu recently.

Addressing a press conference on 'CII-Tamil Nadu's road map for 2006-07', he said CII had been very consistent in recommending implementation of VAT in the state.

"We are waiting for the new government to settle down and then would work with the government for the implementation of VAT," he added.

Presenting CII-TN's theme "� 'Innovate to Compete' for 2006-07, he said with a number of companies focusing on productivity and quality initiatives, it was time to focus on innovation.

Stating that the focus areas of CII-TN for 2006-07 was a mixture of both new old initiatives, he said that the focus areas included creating incubation centres for regional innovation, skill upgradation, winning the skill race, southern prosperity through enhanced economic development (Speed) and sustainable urban renewal growth and expansion (Surge) and industry tracker. 'Surge', 'Speed' and skill upgradation are old initiatives of CII-TN.

Elaborating on its focus areas, Jayavarthanavelu said skill development activities would be initiated primarily in manufacturing, leather, light engineering, auto, textiles, construction, IT and ITES and financial services.

As a first step in the process, CII would work with industry and universities to change the curriculum, in order to make students employable easily and meet the requirements of the industry.

According to the findings of a recent skill mapping study by CII, Tamil Nadu will have a potential to create 13 to 15 million new (incremental) jobs (including about 4 million skilled and highly skilled professionals, and 9 to 11 million unskilled manpower) by 2015, primarily from automotive, IT & ITES, textiles, leather, light engineering, construction, and financial services sectors.

It had asked the state government to create a skill development fund to the tune of Rs 600 crore to Rs 700 crore annually for building additional educational infrastructure and creating a skilled workforce.

During 2006-07, CII will also work towards promoting regional research institutes and create a platform to facilitate interaction between RRIs and global research institutes. Cluster based initiative to facilitate interaction between RRI, industries and academia would also be worked out.

Answering a question, he said that CII would work with the government to make IT park initiatives in tier II towns in the state a reality.

During the year, CII-TN plans major events including Connect, an ICT event and TN Auto Vision in Chennai, a job fair and a tourism fair and food fest in Tiruchi, SPEED and SMExpressions in Madurai, and Coimbatore IT.com in Coimbatore.