Industry body Federation of Indian Chambers of Commerce and Industry (FICCI), concerned over the slowdown in manufacturing has suggested a 12-point action plan to stimulate growth in the sector, which exhorts the government to devise a roadmap for streamlining and cutting existing rules and procedures for manufacturing sector.
The measures suggested by the industry body includes, issuance of rupee bonds to non-resident Indians (NRIs), avoiding retrospective amendments in tax laws, adoption of a consultative approach in designing tax policies, establishing coal linkages and strengthening of power distribution network. One of its suggestions include, setting up of a single quasi-judicial regulatory authority for dispute resolution to enable faster rollout of infrastructure projects.
It has also suggested reducing the threshold for minimum investments and said that 'The threshold for minimum investments needs to be reduced from Rs 100 crore to Rs 10 crore to encourage investments by smaller investors. Further, the period for which the (investment) allowance is available should be increased from two years to five years.”
The action plan has also shown its concern over employment in manufacturing and has suggested measures including creation of an enabling policy framework to attract skilled, semi-skilled or unskilled workers, affordable housing for industrial workers. Earlier too it has suggested specific amendments in the Factories Act, Contract Labour Act and Industrial Disputes Act to align them with the international best practices and ensure faster employment generation.
The measures suggested by the industry body includes, issuance of rupee bonds to non-resident Indians (NRIs), avoiding retrospective amendments in tax laws, adoption of a consultative approach in designing tax policies, establishing coal linkages and strengthening of power distribution network. One of its suggestions include, setting up of a single quasi-judicial regulatory authority for dispute resolution to enable faster rollout of infrastructure projects.
It has also suggested reducing the threshold for minimum investments and said that 'The threshold for minimum investments needs to be reduced from Rs 100 crore to Rs 10 crore to encourage investments by smaller investors. Further, the period for which the (investment) allowance is available should be increased from two years to five years.”
The action plan has also shown its concern over employment in manufacturing and has suggested measures including creation of an enabling policy framework to attract skilled, semi-skilled or unskilled workers, affordable housing for industrial workers. Earlier too it has suggested specific amendments in the Factories Act, Contract Labour Act and Industrial Disputes Act to align them with the international best practices and ensure faster employment generation.
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