Budget 2019:New industrial policy to attract investment

The government will introduce a new industrial policy to attract investment in the state, the chief minister H D Kumaraswamy announced on Friday.

Delivering the Budget speech, he said the government would also spend Rs 110 crore to continue “compete with China” scheme during 2019-20.

“The existing 2014-2019 industrial policy will end in September 2019. The new policy aims at attracting investment, new technologies and generation of additional employment. It will be rolled out keeping in mind the comprehensive development of industries, especially to priority sectors in the backward areas of Tier-2 and Tier-3 centres,” Kumaraswamy said.

As part of its plans to compete with China, the government will establish nine industrial clusters in nine districts. Vision groups have been constituted relating to such industries. The government is acting upon the reports of such vision groups, he said.

“The investors are coming forward to establish industries in Koppal, Ballari and Kolar districts. In four and a half years, we expect that 1 lakh in each district amounting to a total 9 lakh employment generation will take place. To continue this scheme in the current year, Rs 110 crore is provided,” the chief minister said.

The government also proposes to organise a ‘Global Capital Investment Conference’ in January 2020, he said.

In an effort to promote setting up of industries across the state as part of its plans to decongest Bengaluru, the government intends to develop new industrial areas at Arasikere in Hassan district, Nagamangala in Mandya district, Chittapur in Kalaburagi district, Mulavad in Vijayapura district, Kanagala in Belagavi district and Madhugiri in Tumakuru district through the Karnataka Industrial Area Development Board.

The government also proposed to conduct the survey of leasing of mines using new drone technology and Global Positioning System (GPS) technology at a cost of Rs 82 crore for the first time, Kumaraswamy said.

A ‘Tumakuru Industrial Node’ is being established in 9,629 acres at Vasanthnarasapur in Tumakuru district under the Chennai-Bengaluru Industrial Corridor Project.

A Special Purpose Vehicle (SPV) called CBIC, Tumakuru Industrial Township Limited has been established. To provide excellent quality infrastructure for the development of industries, a detailed plan is being prepared.

With this, an estimated Rs 50,000 crore will be invested and 2 lakh employment will be provided, Kumaraswamy said.

“Our government will take action to attract this mega investment and to provide effective and seamless public road and rail transport system. A rail-based efficient and useful multi-modal transport system between Vasanthnarasapur, Tumakuru, Ramanagara and Bengaluru on a separate track will be developed which will accelerate the economic growth of these areas,” he added.