INDUSTRY DEMANDS
INTRODUCTION OF VAT AND SPEEDING UP OF LABOUR AND POWER
SECTOR REFORMS
Union Minister for
Chemicals and Fertilizers Shri Sukhdev Singh Dhindsa has said
that the recent gas find in the Krishna-Godawari basin would supplement
the feedstock availability for the Chemicals and Fertilizers industry
and help fresh spurt of investment, both from within the country
and abroad. During his interactions with the representatives of
chemical, petrochemical and pharmaceutical industries today he
exhorted them to make extra efforts to make the country achieve
an annual growth rate of 8 per cent during the Tenth Five-Year
Plan. The following was decided in the meeting:
- A group to examine various facets
of modernization of the Chemical industry based on available
models in other sectors was set up. This would prepare a blueprint
for consideration of the Government.
- A group of industry representatives
was set up to examine the requirement of industry to spend more
on R&D to prepare itself for the scenario in Pharmaceutical
sector after 2005. The group will prepare a pragmatic plan of
action. The Department of Chemicals & Petrochemicals would
play a coordinating role in this regard.
- It was appreciated that the lead
role in infrastructure development rightfully belongs to the
States and the responsibility for carrying this forward should
be with them. The Centre would support the pioneers in their
effort.
- Representatives from the industry
stressed the need for accelerating the process of economic reforms
and switching over to the VAT system so as to avoid cascading
effect of taxes. Expeditious reforms in Labor Laws and Power
Sector Reforms were also sought by the industry.
