Chandigarh, February 18: Presenting the Budget for 2019-20, Finance Minister Manpreet Singh Badal said a new policy, titled “Make in Punjab”, is being drafted to promote goods manufactured in the state.
As per the policy, in a public procurement order, purchase preference shall be given to the local suppliers up to 50 per cent of the total quantity tendered.
The goods should have a minimum local content of 40 per cent and their bids should come under 15 per cent margin of purchase preference above the lowest bid. The policy is likely to benefit the industry such as sports, bicycle, auto parts, engineering goods and textiles.
Also, considering the problems of local business community, the state has increased the limit of generation of e-way bill from Rs 50,000 to Rs 1 lakh for intrastate supplies. The state government expects that both initiatives will go long way in promoting the Punjab-based industries. However, non-reduction of electricity duty, absence of special package for border district industries and no specific funds for development of focal points has left the industries left high and dry.
“The power duty at 20 per cent is one of the highest in the country. We were anticipating that the government will bring it down to facilitate the industry. However, nothing has been done,” said PHD Chamber Chairman RS Sachdeva.
Badal also said the state remains committed to providing subsidised power to the industry. He allocated Rs 1,513 crore to providing subsidised power to industry during 2019-20. “The government is already paying Rs 1,513 crore for power subsidy to the industry, but the industry is getting power between Rs 8 and Rs 12 per unit because of the taxes and duties imposed on it,” said Badish Jindal, president, Federation of Punjab Small Industries Associations.
