Date:30/06/2006 URL: http://www.thehindu.com/2006/06/30/stories/2006063022060400.htm

Karnataka - Bangalore

New industrial policy likely to be approved in three days

Staff Reporter

Draft policy finalised, says Deputy Chief Minister B.S. Yediyurappa

BANGALORE: Deputy Chief Minister B.S. Yediyurappa on Thursday announced that the Cabinet was expected to approve the new industrial policy in three or four days. Speaking after inaugurating the 89th annual general meeting of the Federation of Karnataka Chambers of Commerce and Industry (FKCCI) here, Mr. Yediyurappa said the draft of the policy had been finalised. He said the policy would contain all those proposals that could attract large-scale investment in the State.

Mr. Yediyurappa noted that the thrust of the policy would be on tier-two cities such as Mangalore, Mysore, Shimoga, Hubli-Dharwad, Belgaum, Bidar, Gulbarga. Adequate infrastructure, including proper roads, rail and air links, power and water supply, would be offered at these centres, he announced.

Stating that fresh tax proposals on industries might not fetch much revenue, Mr. Yediyurappa said the Government would instead bring 58,000 traders under the tax net. The Government had carried out a survey to identify such traders, he noted.

Mr. Yediyurappa said the State's finances were good. Revenue collection had been good since May. He said the Government expected more revenue in the coming days.

FKKCI outgoing president S. Babu said the fee prescribed for land conversion had become a hurdle for new ventures in the food processing sector. The Government should reduce the number of pages in the value-added tax form from the present 100 as filing all these pages had become a cumbersome process, he said. FKCCI president-elect R.C. Purohit and joint managing director of MICO M. Lakshminarayana were present.