Kerala draws Rs 12,000 cr investment from 282 entrepreneurs in 3 years

Kochi: Kerala has mustered close to Rs 12,000 crores of investment from nearly 300 entrepreneurs with amounts of Rs 5 crore or above from each of them in the last three years, Minister for Industries, Law and Coir P Rajeeve said in Kochi on Monday.

The minister revealed the data supporting the government’s claims of the industry-friendly climate in the state while inaugurating a ‘Conclave on Continuing Investments’, organised by Kerala State Industrial Development Corporation (KSIDC) and the Department of Industries & Commerce.

Thirty of 282 entrepreneurs who invested Rs 5 crore or above chipped in with per-head investments of Rs 50 crore or above, he said.

To boost the trend, the government is setting up investment facilitation centres at the taluk level, enabling prospective entrepreneurs to wriggle out of red tape beside a prompt resolution of related issues, the minister told the gathering at Le Meridien.

“We have come up with a system that facilitates investors to give authorities a monthly briefing about the development of their projects, by uploading the update with photos,” Rajeeve said.

Renewed efforts by the Ministry of Industry have generated 2.6 lakh investment initiatives, the minister said. Small-scale industries alone pooled in capital totalling Rs 16,000 crore, while providing jobs to 5.5 lakh people, he added.

Listing out the various subsidies being provided chiefly by KINFRA and KSIDC, he said those with investments of above Rs 100 crore need to submit only 10 per cent of the lease amount at the start. “A new facility enables them to pay the rest of the subsidy amount over nine years after the two-year moratorium on the lease amount,” he added. “If the investment is between Rs 50 crore and Rs 100 crore, one can repay 20 per cent of the lease amount at the beginning and then pay the rest of the money in five instalments.”

If the lease amount is below Rs 50 crore, the investor can pay back 20 per cent in the first year. The rest can be paid as fixed instalments over the next five years. “For investments in high-rises or logistics, industrial parks will allow a sub-lease,” the minister said.

While invitations for investments at campus industrial parks received an unprecedented response, 80 higher education institutions, too, have applied to start ventures there. “We have sanctioned 27 industrial parks in the private sector,” he added.

Calling for online solutions to complaints from investors, Rajeeves aid the Kerala State Small Industries Association (KSSIA) must be equipped to enable entrepreneurs to tune into such facilities. “Investors, who submit all valid documents, will receive the composite licence in seven days. If the acknowledged affidavit shows the investment amount to be Rs 50 crore or above, the business can operate without a licence for three years,” he pointed out.

Principal Secretary, Industries, APM Mohammed Hanish chaired the inaugural meet. He said the state has been witnessing a steady flow of investments from modern as well as traditional industries.

KSIDC Managing Director S Harikishore, who is Director of Industries and Commerce, said authorities have been providing 18 kinds of grants for industries under various sectors. “We have facilities for investors to know more about them and interact with the officials,” he added.

KSIDC Chairman Paul Antony, CII representative NavasMeeran, FICCI Co-Chairman (Kerala State Council) Deepak Aswani, KSSIA President A Nizarudeen, KINFRA Managing Director Santhosh KoshyThomas, KSIDC Executive Director Hari Krishnan R and DIC Additional Director Dr Kripakumar K S spoke.