VIJAYAWADA: With the COVID-19 crisis looming large over the economy and reports pointing at large-scale job cuts in the industry sector, the Andhra Pradesh government has decided to come up with a special package to ensure that not even a single employee out of the nine lakh workforce in Micro, Small and Medium Enterprises (MSMEs) is sacked.
The State government will announce the package next week to rescue the MSME sector from COVID blues, Industries and Commerce Minister Mekapati Goutham Reddy revealed.
The government, which focuses on the way forward by resuming operation of industries after lockdown, has also decided to change priorities in the new industrial policy 2020-2025 to be rolled out soon after analysing the existing scenario.
In an interview with TNIE, Mekapati said that AP would emerge as the most preferred destination for investors after the Covid crisis. “The efforts put by the State government in the time of Covid crisis resulted in getting positive queries from various quarters,” the minister said. Mekapati exuded confidence that the effective crisis management by the State government in tackling Covid-19 would attract investors, particularly those who have plan for shifting their base from other States.
Observing that the chances are more for withdrawal of investments from China and other States after the COVID crisis, the minister explained that the robust administration, better infrastructure and other facilities would come in handy for the State to attract investors. “The world has changed. Investors don’t expect incentives now. All they want are better infrastructure and transparency. Our government has reduced red-tapism and is providing all support to the industries, including world-class workforce as per their needs. Our only appeal to the investors is to ‘grow and let the State grow’. We are sure that the State will witness rapid industrial growth due to its strategic advantages compared to other States,” Mekapati maintained.
Admitting that the contribution of Industry and Information Technology sectors to the State GDP was low, the minister said it would improve in the near future as the State government was set to give more focus on these sectors. Stating that the industry scenario would change completely after the Covid crisis, the minister said the government would give more priority to the existing industries in the new industry policy.
New industrial policy to be changed
Govt will change the industrial policy 2020-2025, to be rolled out soon, after analysing the prevailing situation Mekapati says AP will emerge as the most preferred destination for investors after the Covid crisis Chances of withdrawal of investments from China and other States are more