Govt’s sop opera precedes GIM

Govt’s sop opera precedes GIM Bangalore,
June 4, 2012, DHNS: 

Special package of incentives, concessions for projects worth Rs 250 cr and above In an effort to attract investors ahead of the second edition of Global Investors’ Meet (GIM), the State government has extended a special package of incentives and concessions for projects worth Rs 250 crore and above coming up outside Bangalore.

Industries Ministers Murugesh Nirani on Monday told media that the special package would be over and above those already announced under the State Industrial Policy. The package will be offered on case-to-case basis, depending on the sector and the amount of investment proposed. The government has taken a liberal stand on offering incentives for the sake of industrial development in the State, the minister said. He, however, refused to divulge details on the new incentives and concessions that the government has been planning to offer. He only said a high-level committee headed by the Chief Minister will be set up to look into the applications seeking special packages by investors. 

Some of the big ticket companies which signed MoUs with the government in GIM 2010 too have got special incentives and concessions. For instance, Honda Motorcycle and Scooter India have been given 40 per cent value added tax (VAT) repayable by the company to the Government as interest-free loan for up to 10 years for its proposed investment in Narasapura in Kolar district. The company will start repaying the loan from the 11th year. Besides, 95 per cent of CST will be reimbursed to the company for a period of five years and the land registration cost has been completely waived of. 

Principal Secretary to Industries and Commerce department M N Vidyashankar said entrepreneurs always go to the place where they get the maximum benefit. Hence, the government has to offer special packages to attract them. Nirani said Japan International Construction Company (JICC) has evinced interest to implement the proposed high-speed train on Bangalore-Mysore and Hubli-Dharwad corridors in the first phase. A detailed project report will be ready by December this year, he added. 

As many as 55 top industrialists, including N R Narayana Murthy of Infosys, chairperson of Aditya Birla Group Kumaramangalam Birla, President and CEO of General Electronics John Flannery, GVK Group chairperson G V K Reddy, have confirmed their participation in the GIM-II which is scheduled to be held at Bangalore International Exhibition Centre off Tumkur Road on June 7 and 8. Business delegations from about 30 countries are expected to attend the meet, Nirani said. 

Toll-free The Minister said the road connecting to BIEC from Bangalore will be declared toll-free for the convenience of the participants. Steps are being taken to fill potholes on the main thoroughfares of Bangalore. Information about the projects cleared during the two-day event will be immediately posted on the Commerce and Industries department’s website, he added. Manipal Global Education chairperson Mohandas Pai said despite repeated political upheavals, Karnataka continues to be the most sought-after destination for investors because of the availability of quality manpower and good industrial policy.