Budget Supports Business Community Aspirations in Jammu and Kashmir, Says KCCI

The Kashmir Chamber of Commerce and Industry (KCCI) acknowledged that several of its suggestions were included in the new budget, aligning with the business community's goals in Jammu and Kashmir. Chief Minister Omar Abdullah presented the Union Territory's first budget, totalling Rs 1.12 lakh crore, proposing various welfare and development initiatives for 2025-26.

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KCCI praised the provision of 200 units of free electricity for Antyodaya Anna Yojana (AAY) households and free transport services for women, viewing these as significant steps towards social equity. The establishment of PM Unity Malls in Srinagar and Jammu to support local artisans was another highlight, fulfilling a long-standing demand from KCCI.

Focus on Industrial Growth

The budget allocated Rs 75 crore for a strategic investment plan for Micro, Small, and Medium Enterprises (MSMEs). While KCCI appreciated this, it expressed a desire for more funding to revive the industrial sector and general trade. The development of 46 new industrial estates with a Rs 310 crore allocation, along with Rs 100 crore for upgrading existing estates, indicates a focus on industrial growth.

Support for handicrafts and handloom cooperatives was also acknowledged by KCCI. The budget's allocation of Rs 50 crore for financial aid and mentorship programmes for emerging entrepreneurs reflects a commitment to preserving cultural heritage in the Union Territory.

Education and Environmental Initiatives

In education, the introduction of new courses in 10 Industrial Training Institutes (ITIs) and placement drives for 1,000 graduates were seen as positive developments. Additionally, Rs 80 crore has been allocated for sewage and water treatment plants at tourist locations.

Despite these initiatives, KCCI expressed disappointment over the reduced budget size compared to last year. The current budget is smaller than the previous year's Rs 1.18 lakh crore allocation. This reduction raises concerns among industry stakeholders who expected more substantial fiscal support to address economic challenges.

Unmet Expectations

KCCI had anticipated that this year's budget would surpass last year's allocation but was disappointed when it did not. The chamber highlighted the need for addressing high unemployment rates and effective solid waste management solutions to mitigate environmental impacts.

Furthermore, KCCI stressed the importance of regulating common sewage treatment plants (STPs) to prevent liquid waste discharge into rivers and water bodies. This measure is crucial for protecting public health and preserving ecological integrity.

The chamber's feedback underscores the need for comprehensive fiscal measures to stimulate business activities while addressing pressing economic challenges in Jammu and Kashmir.