Make Assam the destination point: Minister Chandra Mohan Patowary

STAFF REPORTER

GUWAHATI: Assam has moved Delhi to ensure that the State can be "the destination point" for the global companies that are planning to shift their production facilities from China to India over COVID pandemic; and in this regard, the State government has assured all logistic support to such firms.

This was informed by State Industry & Commerce Minister Chandra Mohan Patowary while addressing the media here on Wednesday.

He said, "Chief Minister Sarbananda Sonowal has already written a letter to Union Commerce & Industry Minister Piyush Goyal. The Industry department is ensuring that sufficient land could be provided to such firms. For instance, 1800 bighas of land at Nagarbera in Kamrup district is reserved to establish the proposed 'JETRO City'. Each of such companies will also be allotted a dedicated officer from the State government. Moreover, the foreign firms will get benefits from the Industrial Policy of the Government of India.

"They will be able to avail of further benefits if the Centre approves the changes that the Assam government is seeking."

Minister Patowary elaborated, "It is going around that many American, Japanese and Korean companies are contemplating to shift their production facilities from China to India. To woo these companies, Assam Government has taken up with Department for Promotion of Industry and Internal Trade (DPIIT), Government of India, Invest India, Japan External Trade Organization (JETRO), US-India Business Council and US Chamber of Commerce to facilitate and advise those companies to set up their production facilities in Assam as the State has strategic locational advantage, vast natural resources, robust industrial infrastructure and reliable connectivity etc.

"The Industries and Commerce Department is in touch also with DPIIT and JETRO for setting up of a Japanese Industrial Township in Assam to attract investment from Japanese industries."

Dwelling on the State government's plans on the pharmaceutical sector, Patowary said, "During COVID-19 pandemic, the potential of pharmaceutical industries have been realized and the Department of Fertilizers, Ministry of Chemicals and Fertilizers, Government of India has been requested to support the State Government in setting up of a bulk Pharma Park in Assam. Chief Minister Sarbananda Sonowal has written to Union Minister for Chemicals & Fertilisers Sadananda Gowda."

He further informed that "the Industries and Commerce Department has engaged world renowned firm Ernst & Young (E&Y) to study and assess the impact of lockdown on the industrial sector in Assam and suggest policy framework to attract the industries planning to move out of China.

"All the departments concerned including Environment & Forest, Labour, Urban Development Department etc. have been asked to extend the validity of all trade licences, permissions, clearances to industries, shops and business establishments from March 31 to June 30, 2020.

"As on May 5, altogether 820 industries are functioning and approximately 28,027 workers are at work in these industrial units. All 783 big tea gardens and 1.18 lakh small tea gardens have also been reopened. 508 tea factories and 296 bought-leaf factories have been allowed to function. 7.33 lakh workers are being engaged in the big tea gardens and about 3 lakh workers are working in the small tea gardens. Regular visits are being made by the department officers for ensuring compliance of COVID-19 guidelines in the industrial units. Industries in Assam contribute 39% to the State GDP and provide direct employment to approximately 4 lakh people and indirect employment to around 20 lakh people. Most of the industries were closed down during lockdown period which severely affected the State's economy."

Referring to the 'The NEST' project in Guwahati, the Minister said, "To guide, help and mentor the enterprising youths coming back to Assam from different States, a special cell has been set up at Assam Start-Up – The Nest at Ambari. The interested enterprising youths will be allowed to register at the digital platform and will be given mentoring by IIM, Calcutta and financial grant up to Rs. 50 lakh to the selected start-ups.

"The Industries and Commerce Department is going to sign an MoU with Indian Chapter of The Indus Entrepreneurs (TiE), Silicon Valley USA to leverage the startups in Assam so that they can have global access to the startup ecosystem.

"The Industries and Commerce Department is also going to organize a joint conclave in partnership with Microsoft on startup after the lockdown is over."

On the steps initiated to ensure uninterrupted supply chain, the Minister who also holds the charge of Transport department said, "Movement of intra-state and inter-state trucks and goods carriages has been allowed. During the lockdown period till May 5, 2020, a total of 460 railway rakes were unloaded with 42,769 labourers engaged and 53,956 trucks were mobilized to transport goods in every nook and corner of the State and other north-eastern States except Sikkim."

On the State Tea sector, Minister Patowary said, "The Tea sector is the biggest industry in the State; and being seasonal, the lockdown coincided with start of the new season. The tea industry has been hit hard as their major production period has been affected. The tea production in India during 2019 was 1389.70 million kg.

"Tea production in Assam in 2019 was 715.49 million kg, i.e., 51.51 % of the total tea production in India.

"But because of the lockdown, the total decline in production of tea in Assam by big tea gardens and small tea gardens is estimated at 32 million kg amounting to a loss of more than Rs. 600 crores.

"The Chief Minister has already announced the waiver of the Minimum Fixed Charge of supply of natural gas to the tea gardens which were closed during the lockdown period.

"Tea auction has restarted in Guwahati. All tea warehouses have also been opened."

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