The Kerala assembly on Wednesday passed the Micro Small and Medium Enterprises Facilitation (Amendment) Bill, 2021 enabling industries with an investment above ₹50 crore to get licence within 7 days of application.
This new law will allow non-red category industries listed by the pollution control board to fast track their application, industry minister P Rajeev said, adding the license will be issued by Investment Facilitation Bureau comprising all senior officials from concerned departments.
The minister said the law will bring historic changes in the industrial climate of the state and will attract more investments. “We want to avoid red tape and attract more investments. We will also fast track industrial disputes and solution will be found in 30 days. Officials, who flout these norms, will have to cough up heavy fines,” he said.
After Kochi-based garment giant Kitex Group pulled out of its latest project and relocated it in Telengana alleging witch hunt many criticised the government and militant trade union image of the state.
Dented its image badly, since then the state government has been trying its best to establish an investor-friendly climate. “Situation is changing fast and we are getting enough inquiries for investment. We have good infrastructure and human resources and we will tap them properly,” said the minister.
The government also decided to take stringent action against those who seek gawking charges. In 2018, the government had abolished the practice of charging people by licensed members of the head load workers by not doing any work.
Affiliated to trade unions, the practice is still continuing in many parts of the state. Fearing violence and intimidation many end up paying charges sought by them, it is better known as extortion by registered trade unions. The government has made it clear that such offences will attract non-bailable provisions and asked all police stations to keep a strict tab on such elements.
