CII favours implementation of VAT in TN

Tiruchirapalli, Jun 26 (UNI) Tamilnadu State Council of Confederation of Indian Industry (CII) today favoured the earlier implementation of Value Added Tax (VAT) system in the state for the economic development of the state.

Addressing a press conference here this evening, CII State Council chairman Sanjay Jayavarthanavelu said the VAT would ensure better growth rate, and would never hurt anybody, nor affect the state revenue. Similarly, it would not affect the manufacturers, the middleman and also the traders.

He cautioned that if the VAT system was not implemented lot of companies and manufacturing institutions might even go out of the state. He pointed out that even the new born state like Uttaranchal or the neighboring state of Andhra Pradesh etc enjoy lot of privileges for the Industries and thereby enjoy cost differences to the extent of 20 percent and more.

The chairman said it was high time that Tamilnadu also favoured VAT at par with other states in the country, that too at the status when the state was poised to scale new heights in manufacturing sector, with scores of MNCS evincing interest in putting up their shows in the state.

On the disinvestments proposal on Tamilnadu-based PSU of Neyveli Lignite Corporation (NLC), he said Disinvestments on non-core and non-strategic aspects of Industry were always important. CII was of the opinion that Disinvestments proposal was always a healthier proposition in the larger interest of the industry, he added Outlining the major events to be organised by the CII in Tamilnadu, he listed that Job Opportunities Fair would be hosted at Trichy in August followed by venture capital event at Chennai in September - with special focus to IT industry.

In the month of October, CII would host a programme on SPEED (Southern Prosperity Enhancement for Economic Development) at Madurai which would explore the growth potential of various fields of industry as specialized in different districts. CII had mapped eight districts like Trichy and down south of Tamilnadu, along with the list of areas of specialization.

The annual calendar included manufacturing conclave at Chennai in September, a tourist festival at Trichy in January 2007, Agri-Industry Conference at Trichy in February 2007, an event at Madurai with special impetus to small and medium industries in March 2007.

He claimed that Tamil Nadu state council of CII was the largest council in the country next to Maharashtra with a total membership of 870 plus. The membership number would touch the 1000-mark before end of this fiscal, he expressed hope.

Mr Sanjay further said the CII has planned to establish new zones at Karur and Tuticorin before end of this year. Already in Tamil Nadu that apart the state council at Chennai, there were three zones in Trichy, Coimbatore and Madurai.

UNI GSM JJ 2101