Lok Sabha Question No. 1541 (UNSTARRED), answered on 2021-07-28
Subject: Private Entities
Ministry: COMMERCE AND INDUSTRY
Asked by: Sisir Kumar Adhikari

## GOVERNMENT OF INDIA MINISTRY OF COMMERCE & INDUSTRY DEPARTMENT FOR PROMOTION OF INDUSTRY AND INTERNAL TRADE

## LOK SABHA

## UNSTARRED QUESTION NO. 1541. TO BE ANSWERED ON WEDNESDAY, THE 28 TH  JULY, 2021.

## PRIVATE ENTITIES

## 1541.  SHRI SISIR KUMAR ADHIKARI:

Will the Minister of COMMERCE AND INDUSTRY be pleased to state: वाणिज्य  एवं उद्योग मंत्री

- (a) whether  it  is  a  fact  that  during  COVID-19  more  than  two  lakhs  of  private entities have been shut down during the last eight months;
- (b) if  so,  the  details  of  units  closed  and  new  companies  registered  State-wise since April 2020 to June 2021;
- (c) the  number  of  unemployment  registered  and  losses  incurred  and  reported thereto; and
- (d) the  proposal  of  the  Government  to  assess  the  fact  and  reality  therefor  and action taken/to be taken therein?

## ANSWER

## वाणिज्य  एवं उद्योग मंत्रालय में राज्य मंत्री (श्री सोम प्रकाश) THE MINISTER OF STATE IN THE MINISTRY OF COMMERCE & INDUSTRY (SHRI SOM PARKASH)

- (a) to (c): As per information received from Ministry of Corporate Affairs (MCA), the terms shut down and closed are not defined in the provision of the Companies  Act,  2013.    A  total  of  16,527  of  Companies  have  been struck  off  as  per  the  provisions  of  section  248  of  the  Act  from April 2020 to June 2021. The State-wise details of new companies (1,91,569) registered under the provisions of the Companies Act,2013 from April 2020 to June 2021 is given in Annex I.
- (d): Government  has  announced  various  relief measures  for several sectors  under  the  Atmanirbhar  Bharat  Packages  announced  on  13th May,  2020  to  17 th May,  2020,  12th  October,  2020  &  12 th November, 2020  involving  a  total  amount  of  Rs.29,87,641  crore.  Besides,  a Rs 6.28 lakh crore Covid stimulus package has also been announced on  28.06.2021.  The  details  of  the  measures  are  at Annex-II .  These measures will provide necessary impetus to the industries and help in boosting the economy.

Some of the recent steps taken by DPIIT to boost the manufacturing sector are achieving integration of India Industrial National Land Bank

(GIS Land Bank) in 17 states; covering over 400 industrial parks under Industrial Park Rating System 2.0. Steps like Startup India Seed Fund Scheme;  Credit  Guarantee  Scheme  for  Startups;  Startup  Ranking Framework;  National  Startup  Awards  etc  has  been  taken  to  build  a strong ecosystem for nurturing innovation and entrepreneurship; continuation of Footwear Leather & Accessories Development Programme  (FLADP)  2021-26  for  boosting  leather  sector.  Details  of measures  taken  by  DPIIT  to  boost  Industrial  activities  in  country  is provided at Annex-III.

****

## ANNEXURE- I

## ANNEXURE    REFERRED  TO  IN  REPLY  TO  PARTS  (a)  TO  (c)  OF  LOK  SABHA UNSTARRED QUESTIO  NO.1541 FOR ANSWER ON 28.07.2021.

## State wise details of new companies registered from April 2020 to June 2021

| Sl No   | State                |   Number of Companies |
|---------|----------------------|-----------------------|
| 1       | Andaman & Nicobar    |                    51 |
| 2       | Andhra Pradesh       |                  4229 |
| 3       | Arunachal Pradesh    |                    85 |
| 4       | Assam                |                  1513 |
| 5       | Bihar                |                  6797 |
| 6       | Chandigarh           |                   762 |
| 7       | Chattisgarh          |                  1664 |
| 8       | Daman and Diu        |                    32 |
| 9       | Delhi                |                 19626 |
| 10      | Dadra & Nagar Haveli |                    64 |
| 11      | Goa                  |                   510 |
| 12      | Gujarat              |                 10192 |
| 13      | Himachal Pradesh     |                   793 |
| 14      | Haryana              |                  9484 |
| 15      | Jharkhand            |                  2436 |
| 16      | Jammu & Kashmir      |                  1061 |
| 17      | Karnataka            |                 15178 |
| 18      | Kerala               |                  7658 |
| 19      | Lakshadweep          |                     7 |
| 20      | Ladakh               |                    22 |
| 21      | Maharashtra          |                 35088 |
| 22      | Meghalaya            |                    62 |
| 23      | Manipur              |                   270 |
| 24      | Madhya Pradesh       |                  5224 |
| 25      | Mizoram              |                    27 |
| 26      | Nagaland             |                    75 |
| 27      | Orissa               |                  3925 |
| 28      | Punjab               |                  2643 |
| 29      | Pondicherry          |                   172 |
| 30      | Rajasthan            |                  6878 |
| 31      | Telangana            |                 12586 |
| 32      | Tamil Nadu           |                 12041 |
| 33      | Tripura              |                   161 |
| 34      | Uttar Pradesh        |                 19616 |
| 35      | Uttarakhand          |                  1655 |
| 36      | West Bengal          |                  8982 |
|         | Total                |                191569 |

********

## ANNEXURE    REFERRED  TO  IN  REPLY  TO  PART  (d)  OF  LOK  SABHA UNSTARRED QUESTIO  NO.1541 FOR ANSWER ON 28.07.2021.

## A. Announcements made on 13.05.2020

1.  Rs. 3 lakh crore Emergency Working Capital Facility for Businesses, including MSMEs
2.  Rs. 20,000 crore Subordinate Debt for Stressed MSMEs
3.  Rs. 50,000 crore equity infusion through MSME Fund of Funds
4.  New Definition of MSME and other Measures for MSME
5.  No Global tenders for Government tenders of upto Rs.200 crore.
6.  Extending the Employees Provident Fund Support for business and organised workers  for  another  3  months  for  salary  months  of  June,  July  and  August 2020
7.  EPF Contribution to be reduced for Employers and Employees for 3 months to 10% from 12% for all establishments covered by EPFO for next 3 months
8.  Rs. 30,000 crore Special Liquidity Scheme for NBFC/HFC/MFIs
9.  Rs.  45,000  crore  Partial  credit  guarantee  Scheme  2.0  for  Liabilities  of NBFCs/MFIs
10.  Rs. 90,000 crore Liquidity Injection for DISCOMs
11.  Relief to Contractors given by extension of up to six months for completion of contractual obligations, including in respect of EPC and concession agreements
12.  Relief  to  Real  Estate  Projects  the  registration  and  completion  date  for  all registered projects will be extended up to six months.
13.  Tax relief to business as pending income tax refunds to charitable trusts and non-corporate businesses and professions to be issued immediately
14.  Reduction  in  Rates  of  'Tax  Deduction  at  Source'  and  'Tax  Collected  at Source' by 25% for the remaining period of FY 20-21
15.  Due Dates for various tax related compliances extended

## B. Announcements made on 14.05.2020

16.  Free food grains supply to Migrants for 2 months.
17.  Technology system to be used enabling Migrants to access PDS(Ration) from any Fair Price Shops in India by March,2021-One Nation one Ration Card
18.  Scheme for Affordable Rental Housing Complexes for Migrant Workers and Urban Poor to be launched
19.  2% Interest Subvention for 12 months for Shishu MUDRA loanees- Relief of Rs. 1500 crore
20.  Rs. 5000 crore Credit facility for Street Vendors.
21.  Rs.70,000  crore  boost  to  housing  sector  and  middle-income  group  through extension of Credit Linked Subsidy Scheme for MIG under PMAY(Urban)
22.  Rs. 6,000 crore for Creating employment using CAMPA funds
23.  Rs.  30,000 crore Additional Emergency Working Capital for farmers through NABARD
24.  Rs.  2  lakh  crore  concessional credit boost to 2.5 crore farmers under Kisan Credit Card Scheme

## C. Announcements made on 15.05.2020

25.  Rs.  1  lakh  crore  Agri  Infrastructure  Fund  for  farm-gate  infrastructure  for farmers
26.  Rs. 10,000 crore scheme for formalisation of Micro Food Enterprises (MFE)
27.  Rs.  20,000  crore  for  Fishermen  through  Pradhan  Mantri  Matsya  Sampada Yojana (PMMSY)
28.  National Animal Disease Control Programme
29.  Setting  up  of  Animal  Husbandry  Infrastructure  Development  Fund  -  Rs. 15,000 crore
30.  Promotion of Herbal Cultivation : outlay of Rs. 4,000 crore
31.  Beekeeping initiatives -Rs. 500 crore
32.  From 'TOP' to TOTAL- - Rs. 500 crore [Operation Greens Scheme TOP to TOTAL provides 50% subsidy on transport and storage of notified fruits and vegetables if prices of such fruits or vegetables are below the trigger price.
33.  Measures for Governance and Administrative Reforms for Agriculture Sector
- a.  Amendments to Essential Commodities Act to enable better price realisation for farmers
- b.  Agriculture Marketing Reforms to provide marketing choices to farmers
- c.  Agriculture Produce Price and Quality Assurance

## D. Announcements made on 16.05.2020

34.  Commercial Mining introduced in Coal Sector
35.  Diversified Opportunities in Coal Sector
36.  Liberalised Regime in Coal Sector
37.  Enhancing Private Investments and Policy Reforms in Mineral Sector
38.  Enhancing Self Reliance in Defence Production
39.  Policy Reforms in Defence Production
40.  Efficient Airspace Management for Civil Aviation
41.  More World-Class Airports through PPP
42.  India to become a global hub for Aircraft Maintenance, Repair and Overhaul (MRO)
43.  Tariff Policy Reform in Power Sector; Privatization of Distribution in UTs
44.  Boosting  private  sector  investment  through  revamped  Viability  Gap  Funding Scheme in Social Sector
45.  Boosting private participation in space activities
46.  Reforms in Atomic Energy Sector

## E. Announcements made on 17.05.2020

47.  Rs. 40,000 crore increase in allocation for MGNREGS to provide employment boost
48.  Increased  investments  in  Public  Health  and other  health  reforms  to  prepare India for future pandemics
49.  Technology Driven Education with Equity post-COVID
50.  Further  enhancement  of  Ease  of  Doing  Business  through  IBC  related measures
51.  Decriminalisation of Companies Act defaults
52.  Ease of Doing Business for Corporates
53.  Public Sector Enterprise Policy for a New, Self-reliant India
54.  Increase  borrowing  limits  of  States  from  3%  to  5%  for  2020-21  only  & promoting State level reforms

## F. Announcements made on 12th October 2020

55.  LTC Cash Voucher Scheme- cash payment to employees in lieu of one LTC during 2018-21, (full payment on Leave encashment and tax-free payment of LTC fare)
56.  Special Festival Advance Scheme- interest-free advance of Rs. 10,000  in the form of a prepaid RuPay Card, to be spent by March 31, 2021.
57.  Capital Expenditure Boost for States- A special interest-free 50-year loan to states for ₹ 12,000 crore capital expenditure
- ₹ 200 crore each for 8 North East states
- ₹ 450 crore each Uttarakhand, Himachal
- ₹  7,500  crore  for  remaining  states,  as  per  share  of  Finance Commission's devolution
58.  Capital Expenditure Boost for the Centre-Additional budget of ₹ 25,000 crore (in addition to ₹ 4.13 lakh crore given in Budget 2020-21) provided for capital expenditure on roads, defence, water supply,  urban  development  and domestically produced capital equipment.

## G. Announcements made on 12th November 2020

59.  Aatma  Nirbhar  Bharat  Rozgar  Yojana-  to  incentivize  job  creation  during COVID-19 recovery. If EPFO-registered establishments take in new employees without EPFO numbers or those who lost jobs earlier, the Yojana will benefit these employees.
60.  Emergency Credit Line Guarantee Scheme for MSMEs, businesses, MUDRA borrowers and individuals (loans for business purposes), extended till March 31, 2021. Credit guarantee support scheme launched for Health care sector and 26 sectors stressed due to COVID-19. Entities will get additional credit up to  20%  of  outstanding  credit;  repayment  can  be  done  in  five  years  (1  year moratorium + 4 years repayment).
61.  Production Linked Incentive worth ₹ 1.46 Lakh Crore offered to 10 champion sectors.
62.  ₹ 18,000 Crore Additional outlay for PM Awaas Yojana - Urban
63.  Support  for  Construction  &  Infrastructure  -  Relaxation  of  Earnest  Deposit Money & Performance Security on Government Tenders
64.  Income Tax relief for Developers & Home Buyers
65.  Platform for Infra Debt Financing
66.  Support for Agriculture: ₹ 65,000 Crore for subsidized fertilizers
67.  Boost  for  Rural  Employment:  Additional  outlay  of  ₹  10,000  Crore  is  being provided  for  PM  Garib  Kalyan  Rozgar  Yojana.  Funds  can  be  used  for MGNREGA  or  for  Gram  Sadak  Yojana,  this  will  help  accelerate  rural economy.
68.  Boost for Project Exports ₹ 3,000 Crore boost to be given for project exports through  assistance  given  by  India  to  developing  countries  under  Indian Development and Economic Assistance Scheme (IDEAS Scheme). This will help  EXIM  Bank  facilitate  these  Line  of  Credit  development  assistance activities and promote exports from India.
69.  Capital and Industrial Stimulus ₹ 10,200 Crore additional budget stimulus will be  provided  for  capital  and  industrial  expenditure  on  defence  equipment, industrial infrastructure and green energy.
70.  R&D grant for COVID Vaccine; ₹ 900 Crore is being provided to Department of Biotechnology for research activities related to COVID-19 vaccine development.  This  does  not  include  cost  of  vaccine  or  logistics  for  vaccine distribution (whatever is required for that will be provided)

## H. Announcements made on 28.06.2021

1.  Rs. 1.1 lakh crore loan guarantee scheme for COVID affected sectors
2.  Additional Rs. 1.5 lakh crore for Emergency Credit Line Guarantee Scheme
3.  Credit Guarantee Scheme to facilitate loans to 25 lakh persons through Micro Finance Institutions (MFIs)
4.  Financial  support  to  more  than  11,000  Registered  Tourists/  Guides/  Travel and Tourism Stakeholders
5.  Free one-month Tourist Visa to first 5 lakh tourists
6.  Extension of Aatma Nirbhar Bharat Rozgar Yojana till 31st March 2022
7.  Additional subsidy of Rs. 14,775 crores for DAP & P&K fertilizers
8.  Extension of  Pradhan Mantri Garib Kalyan Anna Yojana (PMGKAY)  - Free food grains from May to November, 2021
9.  Rs.  23,220  crores  more  for  public  health  with  emphasis  on  children  and paediatric care/paediatric beds
10.  21 varieties of bio-fortified crop for nutrition, climate resilience and other traits to be dedicated to the nation
11.  Revival of North Eastern Regional Agricultural Marketing Corporation (NERAMAC) with package of Rs. 77.45 crore
12.  Rs. 33,000 crore boost for project exports through National Export Insurance Account (NEIA)
13.  Rs. 88,000 crore boost to Export Insurance Cover
14.  Rs.  19,041  crores  For  Broadband  to  each  Village  through  BharatNet  PPP Model
15.  Extension of Tenure of PLI Scheme for Large Scale Electronics Manufacturing till 2025-26
16.  Rs.  3.03  lakh  crore  for  Reform-Based  Result-Linked  Power  Distribution Scheme
17.  New Streamlined Process for PPP Projects and Asset Monetizatio

******

## ANNEXURE    REFERRED  TO  IN  REPLY  TO  PART  (d)  OF  LOK  SABHA UNSTARRED QUESTIO  NO.1541 FOR ANSWER ON 28.07.2021.

## DPIIT's measures to boost Industrial activities in country

## 1. Ease of Doing Business and compliance burden:

-  Government  is  working  with  Central  Ministries/  Departments  and  State Governments  to  get  to  the  target  of  India  being  in  top  nations.  India  has improved its rank from 142 to 63, a leap of 79 ranks, during the last 5 years in the  World  Bank's  Doing  Business  Report  (DBR).  With  a  view  to  track implementation of business reforms at the State and district level, State and District Reform Action Plan is also being promoted.
-  To  translate  the  Atmanirbhar  Bharat  vision  into  a  reality,  Government  is working to reduce Compliance Burden on businesses and citizens. Initiatives taken  for  compliance  reduction  are  focused  on  simplifying  and  digitizing various  processes,  reduction  in  documents  to  be  submitted  along  with applications,  reduction  in  frequency  of  inspections,  third-party  inspections, auto-renewals, decrease in frequency of return filings and digital maintenance of registers/records.

## 2. Startup India:

-  India  is  counted  as  one  of  the  largest  startup  ecosystem  in  the  world  with more than 50,775 recognized startups.
-  To simplify ease of starting up, till 9th April 2021, 48 regulations have been simplified  since  the  launch  of  the  Startup  India  initiative.  To  enable  ease  of procurement, Central Ministries/ Departments are directed to relax conditions of prior turnover and prior experience in public procurement for all Startups.
-  A Fund of Funds for Startups Scheme (FFS) with corpus of Rs. 10,000 crores to  meet  the  funding  needs  of  startups.  Start-up  India  Seed  Fund  Scheme approved with an outlay of Rs 945 Crore. The scheme shall provide financial assistance to startups for proof of concept, market entry, commercialization, etc. It will support an estimated 3,600 entrepreneurs through 300 incubators in the next 4 years.

## 3. Production linked Incentive Scheme

-  Keeping  in  view  India's  vision  of  becoming  'Aatmanirbhar'  and  enhancing India's  Manufacturing  Capabilities  and  Exports,  an  outlay  of  Rs.  1.97  lakh crore  has  been  announced  in  Union  Budget  2021-22  for  Production  Linked Incentive scheme (PLI) schemes for 13 key sectors for 5 years starting from fiscal year (FY) 2021- 22.
-  DPIIT's PLI Scheme for White Goods (ACs and LED lights) : The PLI Scheme with  an  outlay  of  Rs  6238  crore  on  White  Goods  is  designed  to  create complete component ecosystem for Air Conditioners and LED Lights Industry in  India  and  make  India  an  integral  part  of  the  global  supply  chains.  The

scheme  is  expected  to  attract  global  investments,  generate  large  scale employment and enhance exports substantially.

## 4. Foreign Direct Investment (FDI):

-  The FDI policy reforms carried out by Government in the last seven years are nothing less than historic. In the last two years alone, reforms in the FDI policy have  been  undertaken  across sectors such as Coal Mining, Contract Manufacturing, Digital Media, Single Brand Retail Trading, Insurance Intermediaries, Civil Aviation, Defence and Insurance Companies.
-  Measures taken by the Government on FDI policy reforms have resulted in increased FDI inflows in the country, which year after year is setting up new records.  FDI  inflow  in  India  stood  at  US$  45.15  billion  in  2014-15  and  has continuously  increased  since  then.  India  registered  its  highest  ever  annual FDI inflow of US$ 81.72 billion (provisional figures) in the financial year 202021.

## 5. Investment Promotion:

-  Empowered  Group  of  Secretaries  (EGoS)  &  Project  Development  Cells (PDCs have been established in 30 Ministries/Departments of the Government  of  India,  headed  by  respective  Joint  Secretary-level  nodal officers. It aims to support, facilitate and provide an investor-friendly ecosystem to investors investing in India.
-  An  Investment  Clearance  Cell  (ICC)  to  provide  facilitation  and  support  to businesses through a one-stop digital platform  -  the  central Single Window System (SWS) is being set up. This national portal will integrate the existing clearance systems of the various Ministries/Departments of Govt. of India and State Governments without disruption to the existing IT portals of Ministries.

## 6. Public Procurement

-  Public  procurement  is  a  sizeable  share  of  Indian  economy.  To  promote domestic investment and usage of made in India products by the government, the Public Procurement (Preference to Make in India) Order has been revised on 16.09.2020. Some of the salient features of the present order are:
- a)  For purchases with estimated value less than Rs. 200 Crore, no Global tender enquiry will be issued.
- b)  For the items, where there is sufficient local capacity and local competition, Class  -1  local  suppliers  (i.e.  suppliers  offering  items  with  minimum  50% domestic value addition) are only eligible to bid irrespective of purchase value. In all other purchases, Class -1 local suppliers get purchase preference over other suppliers in government procurement process.

## 7. India Industrial Land Bank (IILB)

-  Government has developed a national level land bank by integrating Industrial Information  System  (IIS)  with  State  industrial  GIS  systems.  This  will  enable the  investors  to  see  plot  level  data  and  availability  of  updated  land  related information  in  real  time.  Integration  with  17  states  achieved  and  currently ongoing with 6 States.

## 8. Industrial Corridor:

-  The  National  Industrial  Corridor  Programme  (NICP)  has  been  conceived  to promote world  class  manufacturing  facilities  and  develop  futuristic  industrial cities  in  India.  Eleven  (11)  Industrial  Corridors  have  been  identified  with  32 nodes/projects proposed to be developed in 04 phases until 2024- 25.
-  Implementation  works  for  04  industrial  cities  under  Delhi  Mumbai  Industrial Corridor (DMIC) are underway, as below;
- a)  Trunk  infrastructure  activities  completed  for  02  nodes,  namely,  Integrated Industrial Township (IITGN) at Greater Noida (747 acres), Uttar Pradesh and Integrated  Industrial  Township  (IITVUL)  at  Vikram  Udyogpuri  (1,100  acres), Ujjain in Madhya Pradesh.
- b)  Trunk infrastructure activities nearing completion in other 02 nodes, namely, Dholera  Special  Investment  Region  (DSIR)  (22.5  sq.  kms),  Gujarat  and Shendra  Bidkin  Industrial  Area  (AURIC)  (18.55  sq.  kms),  Aurangabad, Maharashtra.
-  Planning & development activities are underway for 21 nodes/projects under Industrial Corridor Programme.

## 9. Intellectual Property Rights:

-  The  introduction  of  the  National  IPR  Policy,  2016  is  a  giant  leap  by  the Government of India to spur creativity and stimulate innovation. Some of the major achievements are:
- a)  Filing and Processing fees for small entities reduced to 20% (from the existing 50%) w.e.f 4.11.2020 as compared to large entities. This will incentivize Small entities to file for more patents.
- b)  To  encourage IPR protection amongst Startups, the Scheme for Facilitating Start-Ups Intellectual Property Protection (SIPP) which was launched in 2016 has been extended upto 31.03.2023.
- c)  80% fee concession for patent application filed by Startups whereas 50% fee concession  for  trademark  applications  by  Startups,  as  compared  to  large entity.
-  Modernisation  of  IP  offices:  Offices  under  Controller  General  of  Patents, Design and Trademarks (CGPDTM) have been modernized to enable e-filing of  applications.  With  these  steps,  time  required  for  Patent  Examination reduced  from  average  72  months  in  2015  to  5-30  months  at  present, depending upon technology fields.
-  Patent filings  increased  by  36.8%  and  Examination increased by 223.3% in 2020-21  vis-à-vis  2014-15.  Patent  grants  increased  by  374.9%;  Disposal increased by 269.8%.

*******