ICC decries withdrawal of fiscal incentive from Northeast

Kolkata, May 9 (UNI) The Indian Chamber of Commerce today opposed withdrawal of several fiscal incentives and concessions for North Eastern states by a fresh notification.

ICC Secretary-General Rajeev Singh in a statement said the remote states had been protected under the North East Industrial and Investment Policy (NEIIPP)-2007, but central notification on March 27 modified the policy which was against the spirit of NEIIPP and generally accepted views on industrial promotion.

In a representation made at the High Level Committee meeting of the Ministry of Commerce and Industry in New Delhi on May 7, the ICC said the quantum of Excise Duty exemption curtailed by the Center will adversely affect the existing, as well as, the prospective investments in Northeast.

'' This will not only deprive the industries of the benefits, but also give wrong signals to prospective investors from India and abroad,'' Mr Singh observed.

The ICC said if provisions made in the notification were to be implemented, industries which use local raw material will be at a disadvantage compared to those which traditionally depend on raw materials procured from outside the region.

He said the NEIIPP 2007 was a dynamic policy and provided a monitoring system. Any decision taken by the Centre should have been discussed with the Advisory Committee and the Chambers of Commerce and Industry of the region and implemented,he stated.

The ICC has urged the Government to withdraw the notification with immediate effect and help the North Eastern Region come closer to the national mainstream.

UNI PC KK KLC1730