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FAPCCI seeks close monitoring of NIP results, hike in budget allocation

Posted by on June 14, 2011 0 Comment

Hyderabad: The Federation of Andhra Pradesh Chambers of Commerce and Industries on Tuesday called for close monitoring of the results of the New Industrial Policy-2010-15 of the state government, which aims to attract Rs 1,50,000 crore in investments.

Besides this, the FAPCCI also urged the state government to raise the Budgetary allotment to the Industries Department from the announced Rs 3,000 crore to Rs 6,000 crore next year.

Speaking to the media at a press meet on “Issues on Industrialization and Employment Generation in AP” held at Surana Udyog Auditorium, Federation House, Red Hills, FAPCCI president Shekhar Agarwal said that the Federation has pinpointed a few issues that demand immediate attention to take the state forward.

Mr Agarwal said that the FAPCCI would continue pursuing the raised issues in the coming years and urged the government to take note of the points raised.

Besides the hike in Budgetary allocation to the Industries Department the FAPCCI called for close monitoring of the results of the New Industrial Police which aims to create 5,00,000 direct and indirect jobs.

For such monitoring there has to be a shift from outlays to outcomes to assess progress, Mr Agarwal said.

He added that it would be necessary to upgrade the Head of the Industries Department to the rank of Special Chief Secretary with a Secretary rank officer with requisite jurisdiction and powers for the monitoring as required.

Besides this, there is an urgent need to improve urban infrastructure in Hyderabad to make it the best liveable City.

To discuss some of the relevant issues, a Seminar was organized on Urban Infrastructure in Andhra Pradesh – Special Focus on Hyderabad as International Liveable City at which various stake holders like Hyderabad Metro Rail, APSRTC, South Central Railway, Hyderabad Metro Water Supply and Sewerage Board, Hyderabad Traffic Police, Engineering Staff College of India, etc. were present and expressed views/suggestions.

The FAPCCI president expressed the hope that the suggestions would be acted upon soon

He added that urban areas are becoming over crowded due to migration from rural and semi urban areas. The over-crowded areas are giving rise to the inevitable growth of slums as the present urban areas are not geared for such increased population.

Thus their administration and management is posing a challenge, he said.

In Andhra Pradesh, Hyderabad accounts for over 10 per cent of the state’s total population of about 8.5 crore.

Likewise other cities too! In regard to size of cities, after certain limit the law of diminishing returns operates with regard to their management. Therefore there is a need to stem such migration through creation of opportunities in every district, the FAPCCI chairman pointed out.

It is reported that an internationally reputed consultancy firm has recommended creation of new centres of economic activity in each district with a population of around one million, he said. Another study recommends agglomeration of villages into townships with a population of one to two lakh to be able to provide better health and educational facilities within reach of vast sections of the population.

Excluding the towns already in existence, Andhra Pradesh is reported as needing about 200 such townships to cover all the villages in the state numbering over 28,000. The activity for bringing in such a change will itself result in enormous growth of the GDP.

This is not a difficult task, but such a metamorphosis requires political acceptance. Sustained efforts for educating the people at large on the benefits of such a metamorphosis will have to be made.

Industry representatives across different segments, including banking, seeds and marketing, attended the conference.

Besides Mr Shekhar Agarwal, FAPCCI Secretary General MV Rajeshwara Rao, Seetharamaiah, Omprakash Tibrewala, Suraj Prasad Agarwal, BG Shastry, Indian Institute of Economic former chairman VK Srinivasan, Dr Subrahmanyam were present.(INN)

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