KCCI dishes out mixed reaction to Budget presented by Omar Abdullah

STC NEWS DESK
SRINAGAR, MARCH 08 (STC): The Kashmir Chamber of Commerce and Industry (KCCI) in a statement has said that many of its recommendations have been incorporated in the Budget, which aligns with aspirations of the business community in Jammu and Kashmir. However, it expressed disappointment over the reduced budget size and noted the absence of funding for water management amid climate change challenges.
The chamber hailed the provision of 200 units of free electricity for Antyodaya Anna Yojana (AAY) households and the introduction of free transport services for women. The Chamber called both as key measures for promoting social equity.
The KCCI in its statement welcomed the announcement of establishment of PM Unity Malls in Srinagar and Jammu as another key takeaway from the Budget. These Malls will lend a huge support to local artisans.
“Additionally, Rs 75 crore allocation for a strategic investment plan for Micro, Small, and Medium Enterprises (MSMEs) is good, but KCCI had hoped for more funding for the revival of industrial sector and general trade in the Budget,” the KCCI said in its statement.
The budget support for 2,000 handicrafts and handloom cooperatives reflects a strong commitment to cultural heritage of the Union Territory, reads the KCCI statement.
The chamber also appreciated the allocation of Rs 50 crore for financial aid and mentorship programmes for emerging entrepreneurs.
The development of 46 new industrial estates with Rs 310 crore allocation, along with Rs 100 crore for upgrading existing estates, indicates a focus on industrial growth, which is a welcome move, it said.
The chamber further stated that initiatives in education, such as introducing new courses in 10 Industrial Training Institutes (ITIs) and placement drives for 1,000 graduates are positive moves. Moreover, there has been an allocation for sewage and water treatment plants at tourist locations, amounting to Rs 80 crore.
However, KCCI expressed disappointment over the reduced budget size and noted the absence of funding for water management amid climate change challenges. The 2024-25 budget size was Rs 1.18 lakh crore.
“This reduction raises concerns among industry/business stakeholders who were looking for more substantial fiscal support to address pressing economic challenges and stimulate business activities,” the chamber said.
KCCI had “hoped” the Budget would focus on addressing the high unemployment rate.
“The budget should have also prioritised the regulation of common STPs to prevent the discharge of liquid waste into rivers and water bodies, thereby protecting public health and preserving ecological integrity,” reads the statement of the Chamber. (STC)