Uttarakhand gets tough with industry

Industries which are availing of the tax holiday schemes benefits but are not complying with the government orders will now come under the scanner in Uttarakhand.

Taking a tough stand on all those industries which are not complying with the government order to provide 70 per cent jobs to local youths, Chief Minister B C Khanduri has asked the Chief Secretary SK Das to prepare a report and take action against them. The erring industries would not be allowed toavail of the tax holiday incentives," Khanduri made it clear.

Khanduri also asked Das to convene a meeting of the industrialists in this regard as soon as possible.

Under the special industrial package, the government provides sops to the industries for setting up new units as well as other expansion programmes in the state.

The seven-year long tax holiday scheme, which will continue till 2010, gives benefit in excise as well as income tax exemptions among other things to the industries.

Already, Uttarakhand has received investments proposals worth Rs 20,000 crore with companies like Tata Motors, Nestle, HLL, Mahindra & Mahindra, Britannia, Bajaj Auto, Hero Honda interested in setting up their units in the state at the various industrial estates being developed by the government.

Khanduri said the industries must provide regular jobs to local youth instead of contractual work on daily wages.