IIA protests against turnover limit for tenders

KANPUR: The members of Indian Industries Association have protested against the government decision of inviting tenders for Madhyanchal Vidyut Vitaran Nigam from only those who have had a turnover of Rs 25 crore in the last three years.
Stating the same, a senior IIA member said that Small Scale Industries occupy a significant role in the economy of the state.Large number of SSI units are engaged in the manufacturer of electrical items.
IIA delegation led by its president (elect) Anil Gupta met chairman UPPCL and principal secretary SSI government of UP in this regard.
IIA members further said that in all other states, the respective government decides/plans incentives or relaxations to the industries within the state so that their industries remain competitive compared to outside industries. Unfortunately, the situation in UP is opposite to it. From time to time decisions are taken to harm its own industry within the state.
IIA cites the case of Rajiv Gandhi Gramin Viduytikaran Yojana, wherein the state government decided to exempt tax for suppliers of the equipments from outside the state whereas the industries within the state were subjected to full tax of rate.
IIA further says that VAT rates on several items which otherwise are industrial inputs/equipments and machinery are higher than other states. A case in point is transformers that are taxed at 12.5% here whereas it is 4% in other states.