Fine tune strategies for infrastructure development: Minister

New Delhi, Feb 18 (UNI) Commerce and Industry Minister Kamal Nath today stressed the need for fine tuning the strategies towards development of infrastructure for industry.

Addressing the Parliamentary Consultative Committee members here recently Mr Nath said, ''We should go in for a more holistic and integrated approach towards the development of infrastructure for Industry.

The government has taken several initiatives to provide a fillip to the development of industrial infrastructure. Some of these initiatives, particularly the Industrial Infrastructure Upgradation Scheme (IIUS), can be seen as successful interventions, he said in a statement.

Welcoming the Members, Mr Nath explained that the primary responsibility for development of infrastructure vests with the State Government and State Industrial Development Corporations providing basic infrastructure to industrial units by setting up industrial estates in self-contained geographical areas.

Most State Governments have set up industrial estates and the experience so far has been mixed. The Central Government also supplements the efforts of the State Government through various schemes for the development of industrial infrastructure.

The Minister underlined that the IIUS, launched recently, focussed on infrastructure upgradation of existing industrial clusters.

Twenty-five projects are currently under implementation and five of these projects are nearing completion.

"We expect this scheme to continue in the 11th Plan with suitable modifications based on the outcome of the ongoing critical evaluation", he said.

Referring to the Industrial Park Scheme, the Minister said Income Tax exemption is available to infrastructure developers for any 10 consecutive years out of 15 years beginning from the year in which the eligible projects commence operation.

The response to this scheme has been good and it is estimated that nearly Rs 14000 crore have been invested towards the creation of infrastructure for industry.

Explaining the recent initiatives, Mr Nath said, "We have also initiated a novel approach for infrastructure development along the proposed Delhi-Mumbai Rail Freight Corridor through creation of high impact/market driven nodes such as Integrated Investment Regions (IRs) and Industrial Areas (IAs).

''These nodes/regions are proposed to be self-sustained industrial townships with world-class infrastructure, road and rail connectivity for freight movement to and from ports and logistics hubs, served by domestic/international air connectivity, reliable power, quality social infrastructure so as to provide a globally competitive environment for setting up businesses, he said.

UNI/BKS SG RK1640