Lok Sabha Question No. 1375 (UNSTARRED), answered on 2016-07-25
Subject: Industrial Development
Ministry: COMMERCE AND INDUSTRY
Asked by: ADHIR RANJAN CHOWDHURY, MALLIKARJUN  KHARGE, ASHOK MAHADEORAO NETE, MAJ. GEN. (RETD) BHUWAN CHANDRA KHANDURI AVSM

## GOVERNMENT OF INDIA MINISTRY OF COMMERCE & INDUSTRY DEPARTMENT OF INDUSTRIAL POLICY & PROMOTION

## LOK SABHA

## UNSTARRED QUESTION NO. 1375. TO BE ANSWERED ON MONDAY, THE 25 TH  JULY, 2016.

## INDUSTRIAL DEVELOPMENT

1375.  SHRI ADHIR RANJAN CHOWDHURY: SHRI MALLIKARJUN KHARGE: SHRI ASHOK MAHADEORAO NETE: MAJ GEN B C KHANDURI AVSM (Retd):

Will the Minister of COMMERCE AND INDUSTRY be pleased to state:

## वाणिज् यवव द्यग ं ्री

- (a) the  details  and  total  number  of    industries  that  were  shut  down  in  various States/UTs  of  the  country  during  the  last  three  years  and  the  current  year along with the reasons therefor, State/UT-wise;
- (b) whether  underutilisation  of  capacity,  inefficiency  in  operation  and  uneven growth are some of the key worries of industrial development in the country;
- (c) if  so,  the  details  thereof  along  with  the  steps  taken  by  the  Government  to address  them  and  give  impetus  to  Improve  the  slow  pace  of  industrial development in the country;
- (d) whether the State Government of Uttarakhand has submitted any proposal to the  Government  seeking  financial  assistance  to  enhance  industrialisation  in the  State  and  if  so,  the  details  thereof  along  with  the  action  taken  by  the Government thereon; and
- (e) the rate of employment generation in major industries during the last couple of years along with the steps taken for promotion of industries?

## ANSWER

## वाणिज् यवव द्यग ााज् यं ्रीस् वतं ््रभााा(स्रींतंरीिरंमलााीरीतंाांि( THE MINISTER OF STATE (INDEPENDENT CHARGE) OF THE MINISTRY OF COMMERCE & INDUSTRY (SHRIMATI NIRMALA SITHARAMAN)

- (a): The details of industries closed down and reason thereof are given at Annexure I.
- (b) & (c): Industrial  development  in  India  has  been  facing  several  challenges during the last few years. To overcome these, the Government of India has  taken  a  number  of  initiatives  such  as rationalization of tax structure, liberalization  of  Foreign  Direct  Investment  (FDI)  Policy, launching  of  Modified  Industrial  Infrastructure  Upgradation  Scheme (MIIUS) for development of Industrial clusters in the country, steps to improve ease of doing business and launching of National
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|      | Manufacturing Policy (NMP) with the objective of enhancing the share of manufacturing in GDP to 25% within a decade of its launch. The Government has also launched 'Make in India' programme with 25 thrust sectors in September, 2014 to provide a major push to manufacturing in India. An Investor Facilitation Cell has been created in 'Invest India' to assist, guide, hand hold and facilitate investors during the various phases of business life cycle. This Cell provides necessary information on vast range of subjects; such as policies of the Ministries and State Governments, various incentive schemes and opportunities available, to make it easy for the investors to make necessary investment decision. Also, the Start up action plan has been rolled out to promote new entrepreneurs.   |
|------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| (d): | Claims amounting Rs.34.17 Crore in respect of 201 Industrial units arising under the Special Package Scheme have been received from the Government of Uttarakhand. An amount of Rs.3.52 Crore was released during the last financial year 2015-16..                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
| (e): | According to the Labour Bureau's Quarterly Quick Employment Surveys, there was a net additional employment of 43.72 lakh (persons) since Jan 2009 (year-wise details at Annexure II). The steps taken by the Government for promotion of industries are given at (b) & (c) above.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |

## ANNEXURE I

## ANNEXURE  REFERRED  TO  IN  REPLY  TO  PART  (a)  OF  THE  LOK  SABHA UNSTARRED QUESTION NO. 1375 FOR ANSWER ON 25.07.2016.

STATEMENT - 1

State & Cause-wise number of Permanent Closures & Workers affected thereby during  2013 (No. of Units)

| STATE / UNION TERRITORY   | Cause                | Cause                    | Cause                       | Cause        | Cause                        | Cause   | Cause           |       |
|---------------------------|----------------------|--------------------------|-----------------------------|--------------|------------------------------|---------|-----------------|-------|
| STATE / UNION TERRITORY   | Financial Stringency | Shortage of Raw Material | Increase in Production Cost | Land Problem | Due to Question of Pollution | Others  | Cause not Known | Total |
| Andhra Pradesh            | -                    | -                        | -                           | -            | -                            | 1       | -               | 1     |
| Chhattisgarh              | 1                    | -                        | -                           | -            | -                            | -       | -               | 1     |
| Goa                       | 1                    | 1                        | -                           | -            | -                            | 1       | 1               | 4     |
| Gujarat                   | 2                    | 1                        | -                           | -            | -                            | -       | -               | 3     |
| Himachal Pradesh          | 2                    | -                        | -                           | -            | -                            | -       | -               | 2     |
| Karnataka                 | -                    | -                        | -                           | -            | 1                            | 1       | -               | 2     |
| Tripura                   | 21                   | 1                        | 1                           | 11           | -                            | 4       | 44              | 82    |
| TOTAL :                   |                      |                          |                             |              |                              |         |                 |       |
| State Sphere              | 27                   | 3                        | 1                           | 11           | 1                            | 7       | 45              | 95    |
| Central Sphere            | (-)                  | (-)                      | (-)                         | (-)          | (-)                          | (-)     | (-)             | (-)   |
| GRAND TOTAL               | 27                   | 3                        | 1                           | 11           | 1                            | 7       | 45              | 95    |

Note 1.The information in respect of remaining States/Union Territories is either 'NIL' and  or Not available.

2. Figures in brackets relate to Central Sphere

## STATEMENT - 2

## State & Cause-wise number of Permanent Closures & Workers affected thereby during  2014(P)

(No. of  units)

| STATE / UNION TERRITORY   | Cause                | Cause                       | Cause                                     | Cause                                         | Cause   | Cause           | Cause   |
|---------------------------|----------------------|-----------------------------|-------------------------------------------|-----------------------------------------------|---------|-----------------|---------|
| STATE / UNION TERRITORY   | Financial Stringency | Lack of Demand for Products | Shifting of Premises/ Opening of new unit | Workers Problems /Demand for better amenities | Others  | Cause not Known | Total   |
| Andhra Pradesh            | -                    | -                           | -                                         | -                                             | 3       | -               | 3       |
| Chandigarh                | -                    | -                           | 1                                         | -                                             | -       | -               | 1       |
| Haryana                   | -                    | -                           | -                                         | -                                             | -       | 2               | 2       |
| Karnataka                 | -                    | 1                           | -                                         | -                                             | 4       | -               | 5       |
| Odisha                    | -                    | -                           | -                                         | -                                             | -       | -               | -       |
|                           | (-)                  | (-)                         | (-)                                       | (-)                                           | (1)     | (-)             | (1)     |
| Telangana                 | -                    | -                           | -                                         | -                                             | 2       | -               | 2       |
| Tripura                   | 2                    | -                           | -                                         | 1                                             | 6       | 7               | 16      |
| Uttarakhand               | 1                    | -                           | -                                         | -                                             | 1       | -               | 2       |
| TOTAL :                   |                      |                             |                                           |                                               |         |                 |         |
| State Sphere              | 3                    | 1                           | 1                                         | 1                                             | 16      | 9               | 31      |
| Central Sphere            | (-)                  | (-)                         | (-)                                       | (-)                                           | (1)     | (-)             | (1)     |
| GRAND TOTAL               | 3                    | 1                           | 1                                         | 1                                             | 17      | 9               | 32      |

(P) = Provisional and based on the returns /clarifications received in the Bureau till 21st July, 2016

Note 1.The information in respect of remaining States/Union Territories is either 'NIL' and  or Not available.

2. Figures in brackets relate to Central Sphere

## State & Cause-wise number of Permanent Closures & Workers affected

(No. of Units)

| STATE /UNION   | Cause                | Cause   | Cause           | Cause   |
|----------------|----------------------|---------|-----------------|---------|
| TERRITORY      | Financial Stringency | Others  | Cause not Known | Total   |
| Andhra Pradesh | -                    | 1       | -               | 1       |
| Chhattisgarh   | -                    | -       | -               | -       |
| Chhattisgarh   | (-)                  | (1)     | (-)             | (1)     |
| Goa            | 2                    | -       | -               | 2       |
| Karnataka      | 1                    | -       | -               | 1       |
| Tripura        | -                    | -       | 9               | 9       |
| TOTAL :        |                      |         |                 |         |
| State Sphere   | 3                    | 1       | 9               | 13      |
| Central Sphere | (-)                  | (1)     | (-)             | (1)     |
| GRAND TOTAL    | 3                    | 2       | 9               | 14      |

- = Nil

- (P) = Provisional and based on the returns /clarifications received in the Bureau till 21st July, 2016
- Note 1.The information in respect of remaining States/Union Territories is either 'NIL' and or Not available.
2. Figures in brackets relate to Central Sphere

## State & Cause-wise number of Permanent Closures & Workers affected

(No. of Units)

STATEMENT - 4 thereby during 2016 (Jan. to May)(P)

| Cause                  | Cause           | Cause   |
|------------------------|-----------------|---------|
| STATE /UNION TERRITORY | Cause not Known | Total   |
| Andhra Pradesh         | -               | -       |
| Chhattisgarh           | -               | -       |
| Chhattisgarh           | (-)             | -       |
| Karnataka              | -               | -       |
| Tripura                | 1               | 1       |
| TOTAL :                |                 |         |
| State Sphere           | 1               | 1       |
| Central Sphere         | (-)             | -       |
| GRAND TOTAL            | 1               | 1       |

- (P) = Provisional and based on the returns /clarifications received in the Bureau till 21st July, 2016

- = Nil

- Note 1.The information in respect of remaining States/Union Territories is either 'NIL' and  or Not available.
2. Figures in brackets relate to Central Sphere

*********

STATEMENT - 3 thereby during  2015(P)

Annexure II ANNEXURE  REFERRED  TO  IN  REPLY  TO  PART  (e)  OF  THE  LOK  SABHA UNSTARRED QUESTION NO. 1375 FOR ANSWER ON 25.07.2016. The yearly changes in employment based on Quarterly Employment Survey (in Lakhs)

| Sl. No.                                        | Industry/ Group                                | Jan, 09 to Dec, 09                             | Jan, 10 to Dec, 10                             | Jan, 11 to Dec, 11                             | Jan, 12 to Dec, 12                             | Jan, 13 to Dec, 13                             | Jan, 14 to Dec, 14                             |   Jan, 15 to Dec,15 |
|------------------------------------------------|------------------------------------------------|------------------------------------------------|------------------------------------------------|------------------------------------------------|------------------------------------------------|------------------------------------------------|------------------------------------------------|---------------------|
| 1                                              | Textiles                                       | 3.88                                           | 1.03                                           | -0.34                                          | 1.00                                           | 2.86                                           | 1.41                                           |                0.72 |
| 2                                              | Leather                                        | -0.25                                          | 0.41                                           | -0.21                                          | 0.03                                           | 0.44                                           | -0.07                                          |               -0.08 |
| 3                                              | Metal                                          | 0.58                                           | 0.76                                           | 1.07                                           | 0.21                                           | -0.35                                          | 0.74                                           |                0.37 |
| 4                                              | Automobile                                     | 0.55                                           | 1.27                                           | 0.47                                           | 0.09                                           | 0.16                                           | 0.25                                           |               -0.08 |
| 5                                              | Gems & Jewellery                               | 0.78                                           | 0.22                                           | 0.28                                           | -0.01                                          | 0.09                                           | 0.11                                           |               -0.19 |
| 6                                              | Transport                                      | -0.07                                          | -0.11                                          | 0.33                                           | 0.17                                           | -0.09                                          | -0.11                                          |               -0.04 |
| 7                                              | IT/BPO                                         | 6.54                                           | 5.07                                           | 7.64                                           | 1.95                                           | 1.09                                           | 1.93                                           |                0.76 |
| 8                                              | Handloom/ Powerloom                            | 0.8                                            | 0.01                                           | 0.05                                           | -0.23                                          | -0.02                                          | -0.05                                          |               -0.11 |
|                                                |                                                | 12.8                                           | 8.65                                           | 9.3                                            | 3.22                                           | 4.19                                           | 4.21                                           |                1.35 |
| Total Change in employment since January, 2009 | Total Change in employment since January, 2009 | Total Change in employment since January, 2009 | Total Change in employment since January, 2009 | Total Change in employment since January, 2009 | Total Change in employment since January, 2009 | Total Change in employment since January, 2009 | Total Change in employment since January, 2009 |               43.72 |

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