The state of Jammu and Kashmir cannot boast too much on the economic front. Be it the industrial growth or generating jobs in the private sector, the state has had to face lot of difficulties to overcome the challenges.
Just yesterday Chief Minister Mehbooba Mufti while interacting with some young entrepreneurs said that entrepreneurship has emerged as an important sector for providing livelihood not only to the youth who adopt it but also to a chain of people who work in subsidiary mode with them.
Even though she seemed optimistic about the capacities and capabilities of the youth of the state, the CM said there are many attractive schemes in micro, small and medium industry sectors which the youth should en-roll into, set up units with small equity and register their capabilities locally and nationally
She also said the problems and difficulties flagged by the young entrepreneurs would be addressed on priority and efforts would be made to make their operations as easy as possible and an inter-ministerial meeting will be held to sort out the issues confronting the young entrepreneurs.
However, the state which is yet to claim achievable development in the industrial sector, needs to implement out of the box suggestions.
If our readers remember it was in the Month of September 2015, that the then Chief Minister Mufti Mohammad Sayeed while chairing a high level meeting with various officials, including the Chairman of NABARD said that both manufacturing and the local or cottage based industry has been lacking a serious patronage from the government and the various financial and supporting institutions operating in the country.
The Chairman of NABARD (National Bank for Agriculture and Rural Development), while assuring the Chief Minister expressed his desire that two main industries of the State, horticulture and handicrafts, stand in need of pooling in more finances as these are the revenue generating sectors in the State’s rural economy.
NABARD is the country’s apex institution in developing rural India and as such, the State should also have its share in that development. In sectors like crop insurance for artisans, farmers and fruit growers, funding though Market Intervention Schemes, NABARD could make lifting exercise. Incidentally, it may be recalled that in new UN framework for funding of climate change projects, NABARD, amongst others, has been accredited by UN as the only agency from South East Asia.
Since in contemporary eco-industrial scenario, emphasis is on skill acquisition, the support of institutions like NABARD can be pursued in view of its two-fold benefits; one is to improve production and the second is opening opportunities of employment. The State stands in dire need of improving both sectors.
However, some stark realities confront us which need to be taken care of. NABARD had sanctioned 419 Cr loan allocation to the State for the year 2014-15, the State was able to lift only Rs 365.71 crore. For the next financial year, a total of 419 crore rupees was again sanctioned as the total loan allocation.
This issue not only needs to be re-discusses so that the loan allocation is revised upwards, but also the State Government shall have to assure that full lifting of the allocation would be desirable and depends on proper implementation of the schemes for which the loan is taken.
This will to some extent get things moving as the entrepreneurs have to run from pillar to post to get the projects financed by various financial institutions.