AP to raise Rs 50,000 cr investment in manufacturing sector: CM
Vijayawada: Chief Minister Nara Chandrababu Naidu has said the state government has introduced six new policies, including a new industrial policy, to attract investment and advance the development of Andhra Pradesh.
Speaking in the Assembly on Thursday, Naidu said the alliance government would implement ‘speed of business’ practices as also focus on the ‘ease of doing business’ norm under the 'one family-one entrepreneur' concept.
The chief minister addressed the assembly on the six industrial policies -- namely the AP Industrial Development Policy 4.0, the AP MSME and Entrepreneur Development Policy 4.0, the AP Food Processing Policy 4.0, the AP Electronic Policy 4.0, the AP Private Parks Policy 4.0 and the AP Integrated Clean Energy 4.0 policy.
“We will introduce the Nano policy for up to 10 acres through the private industrial policy, establish MSME parks of 10 to 100 acres, large parks of 100 to 1000 acres and mega parks of above 1000 acres.”
He said the farmers who set up a park on their land will be given permission as also immediate incentive and will be exempted fully from the Nala and CLU charges, layout approval fees, stamp duty and registration charges.
Naidu claimed, “During our term, we have given Rs 3,900 crore as incentives to industrialists. The YSRC government has incurred debts of Rs 1900 crore. Through the PLI (Production Linked Incentive) scheme brought by the Centre, there was scope for 8.50 lakh jobs with a grant of Rs 1.28 lakh crore, but the fund had not been utilized by the previous government.”
“We aim to create jobs for 20 lakh people in five years,” he said.
The CM said, “In the past, we came first in the Ease of Doing Business. Now we are moving ahead with the Speed of Doing Business. We will achieve the One Family-One Entrepreneur goal.”
“The Economic Development Board is being reconstituted. If the investment is more than Rs 1,000 crore, a senior officer will be appointed as an escort officer to monitor the completion of the project on schedule,“ Naidu said.
The chief minister stated, “We have targeted 10 billion US dollars in foreign direct investment. We have also targeted the creation of 5 lakh jobs in the manufacturing sector by setting up industrial parks in 175 constituencies. We have made a policy to attract Fortune 500 companies.”
“We have brought 4 investment categories under which Subclass is between Rs 50 crore to Rs 500 crore, Large is between Rs 501 crore to Rs 1000 crore, Mega is between Rs 1001 crore to Rs 5000 crore and Ultra Mega is above Rs 5001 crore. The investment subsidy we would offer to the respective industries ranges from 12 to 15 per cent,” the CM stated.
Naidu also announced, “Now we have also brought forward an employment subsidy under which an additional 10 per cent incentives will be given to those who create jobs and 6 per cent additional incentive to those who adhere to the norms of green energy.”
Naidu said, “As soon as the MoU is signed, we will give a 30 per cent investment subsidy and a 40 per cent value addition to the investors.”
“Anyone who invests up to Rs 250 crore will get 12 to 40 per cent incentives. We will give 18 per cent additional incentives if the industries are operational within 18 months. There will be an additional 20 per cent incentive when it comes to value-added manufacturing.”
“We will attract large-scale investments as part of our MSME and Entrepreneurs Development Policy. We are working to raise at least Rs 50,000 crore in the manufacturing sector. We are looking to have at least 22 lakh MSMEs,” Naidu added.
