Investment subsidy up to Rs 7 crore for logistics parks - Industries Department releases draft policy
Kochi / March 4, 2024
Kochi, March 04: Industry Minister P Rajeev released the draft logistics policy today, announcing an investment subsidy of up to Rs 7 crore for logistics parks in Kerala. According to the proposal, a 10-acre logistics park will get a subsidy of Rs 7 crore, while it is Rs 3 crore for a five-acre mini-park.
The draft policy also recommends declaring logistics parks as industrial zones and establishing a single window system for approval of the parks.
According to the order issued by the state’s Directorate of Industries and Commerce, industrial land can be released for logistics purposes, said Shri P Rajeev, the Minister for Law, Industries and Coir.
“Products worth one and a half lakh (1.5 trillion) rupees are arriving in Kerala from other Indian states, and this opportunity should be fully utilised,” the minister said, while presenting the draft policy.
A meeting of the Logistics Consultative Forum involving industry stakeholders in the region was also held in connection with the unveiling of the draft policy to tap into India’s logistics industry, which is growing by 8.8 per cent annually.
As per the draft policy, the skill development projects required for the logistics sector will be formulated in the areas of storage, transportation and other services.
The draft policy recommends stamp duty exemption for logistics and mini logistics parks. It also envisages a state-level Logistics Coordination Committee headed by the Chief Secretary, a Logistics Cell headed by the Principal Secretary of the Industries Department and a Special Committee for Cities.
Shri Suman Billa, Principal Secretary of Industries Department, said that logistics was of special importance in Kerala as a consumer state. “Kerala consumes more than 6 percent of fast-moving consumer goods (FMCG) in the country,” he said. “The government intends to use this potential to bring employment opportunities in the logistics sector through a comprehensive policy,” he added.
KSIDC Chairman Paul Antony said that Kerala had limitless possibilities in the logistics sector and the government would provide all necessary facilities for its growth. “But the industry players have a big role to play in this,” he added.
S Harikishore, Director, Industries Department, and MD, Kerala State Industrial Development Corporation (KSIDC), made a detailed presentation on the policy at the meeting.
“The government intends to submit the policy for approval by June after considering the suggestions received from the stakeholders in the field,” he said.
ENDS
