State govt repeats pitch to woo investments to districts

Bengaluru: Deputy Chief Minister DK Shivakumar and Minister for Large and Medium Scale Industries and Infrastructure MB Patil called on industry leaders to invest in districts apart from Bengaluru, citing incentives for the same. They made the remarks on the second day of the Global Investors Meet (GIM) at the Bangalore Palace in the city on Thursday. The comments were a part of the speech that preceded ceremonial acknowledgement of Memoranda of Understanding (MoUs) signed during the event.

“Our new industrial policy provides enhanced incentives to zone 1 and zone 2 districts. Having balanced regional development, we are providing talukas classified as more backward and most backward as per the Nanjundappa report with three per cent and five per cent higher incentives over and above the regional and zonal incentives. In addition, we have also expanded the coverage of zone 1 to ensure highest incentives to these regions,” Patil said.

In line with Nanjundappa report: The minister was referring to the report submitted by Professor DM Nanjundappa in 2002, which had examined regional imbalances within Karnataka and categorized taluks based on a cumulative development index. It had also proposed resource allocations to uplift underdeveloped taluks.

“With our mind on inclusive growth, we’re one of the first states to offer higher incentives to greater women workforce participation as part of our new industrial policy,” he said, adding that more women in the workforce also constituted inclusivity. Shivakumar also emphasised the added incentives for investments in the poorer districts of Karnataka. “Under the leadership of Industries and Commerce Minister MB Patil, our government has announced a new industrial policy.

I urge the businesses to focus on tier 2 and 3 cities and not on Bengaluru. The government has identified backward taluks as per the Nanjundappa report and it would provide incentives if businesses invest there. The government is also considering setting up industrial parks at taluk levels. The new industrial policy focuses more on incentivising small enterprise,” he said. “If businesses want cheaper labour, it is imperative that you look at tier 2 and 3 cities of the state. You need not worry about infrastructure, the State government will set up infrastructure in the smaller cities too,” he added.

Shivakumar asserted that private industries and the state were in a mutually beneficial partnership.“Enterprises are state’s assets. The state grows if they grow and the state slows down if you slow down. Small enterprises are major employment generators. Our state has a long history,” he said. “We are expecting an investment of Rs 10 lakh crore from Global Investors Meet 2025. Companies from 19 countries have signed agreements for investment. Along with a new tourism policy, our government is also looking to develop 300 km of coastal belt,” he added.