KOCHI
The State government has approved a land allotment policy in industrial areas and on industrial estates that will help unit owners easily diversify into new areas, add new partners in their ventures, transfer units, and even leverage property for raising loans from financial institutions.
“This has been a long-standing demand, and industrialists in the State are happy that the government has approved the land allotment policy,” Kerala State Small Industries Association president A. Nizarudeen said on Saturday, echoing the sentiments of other industrialists in the State.
Industrialists in industrial areas and estates had been requesting the government to make their businesses smooth and easy through some legislation that would formalise transfer of entities when needed or to add new partners to enterprises.
The units in industrial areas have already paid off their dues to the government, which had introduced a hire purchase agreement for the land around 1965. Industry owners have been prompt in paying off their dues to the government with an eye on expanding or diversifying business as well as bringing in more capital using the land allotted to them, said P.J. Jose, general secretary of the association.
He added that the new policy would not only help draw more players into the industry scene but also help improve Kerala’s standing among States in terms of ease of doing business.
Mr. Nizarudeen said a total of 1,279 units housed in industrial estates and industrial areas under the Directorate of Industries would immediately benefit from the government’s decision to allot land that they had already purchased under the hire purchase scheme.
Industrial estates were established on land set aside for the purpose to develop concentrated infrastructure facilities so as to cut down expenses for investors. According to Industries department data, there are 40 industrial development areas and development plots in the State. The total area is 2,5,25 acres of which 2,064 acres have been allotted to various units. Ernakulam district has the largest number of units and area under industrial estates. There are 780 industry units in 752 acres in the district.
