Hyderabad, July 31 (INN): Apex industry body ASSOCHAM has suggested Government of the newly formed state of Telangana to expedite timely completion of ongoing infrastructure projects and also take up new physical infrastructure projects to bridge the divide between Hyderabad and other parts of the state.
“Developing infrastructure in Telangana is essential for reducing costs of economic activities thereby leveraging public resources to access a large pool of private resources and providing an environment that help benefit from liberalized policies,” noted a strategy paper titled ‘Realizing Growth Potential of Telangana,’ undertaken by The Associated Chambers of Commerce and Industry of India (ASSOCHAM).
“With a view to highlight the commitment of new government, the state needs to roll out a strategy for taking growth to other parts of Telangana as aspirations for generating more jobs and improved standard of living have mainly fuelled the formation of India’s 29th state,” suggested the strategy paper that was jointly released by Mr Ravindra Sannareddy, chairman of Southern Region Development Council of ASSOCHAM along with its national secretary general, D.S. Rawat at a press conference held here in Hyderabad today.
“The paper has already been submitted to the Chief Minister and other concerned authorities and with a view to mobilize investments in the state, ASSOCHAM would be holding ‘Invest Telangana,’ in December this year,” said Rawat.
Telangana has a revenue surplus of Rs 3,555 crore for 2014-15 fiscal, however, the internal debt burden of over Rs 1.45 lakh crore of united Andhra Pradesh (after the Centre waived Rs 18,000 crore debt) to be apportioned between the two states on the basis of population ratio, Telangana would be left with a loan burden of Rs 61,000 crore, noted the ASSOCHAM paper. “As such, mobilizing resources to fulfill promises made in the election manifesto is the single most immediate concern for the State Government.”
“Employment generation is the key to development of Telangana state which has got relatively limited success in leveraging its spatial and human resource advantages for attracting investments in sunrise industries,” noted paper prepared by the ASSOCHAM Economic Research Bureau (AERB).
The available human resources of Telangana are largely considered to be unsuitable to work in a dynamic corporate environment, therefore, it is imperative to establish state of the art training centres through co-operation of the corporate sector across the state, recommended the ASSOCHAM paper. “This would reassure the corporate sector about the quality of state’s human resources and come forward for setting up knowledge based industries.”
The new state needs to pay more focus on improvement of power sector and the state must initiate adequate measures to reduce quantitative and qualitative shortfall of power supply across the state, particularly for industries, the strategy paper added. “The state needs to encourage private sector participation in efforts to enhance the generation capacity.”
The State Government must focus on sanctioning of new solar power projects and monitor their implementation on priority. Besides, vacant government owned lands must be allocated for installing viable concentrated photovoltaic and wind turbine generators.
In its strategy paper, ASSOCHAM has also stressed upon the need for the state to effectively marshal, harness and synergize developments to realize employment and growth opportunities in the biotechnology sector. “Employment generation, intellectual wealth creation, expanding entrepreneurial opportunities and augmenting industrial growth warrant a focused approach for development of biotechnology in Telangana.”
The chamber has also suggested the state to scientifically develop the food processing industry leveraging unexploited natural strengths of Telangana in this regard. Besides, the state has huge potential to promote growth and development of poultry and dairy industries across the state to emerge as an additional source of income for farmer community.
Providing adequate long-term finance to micro, small and medium enterprises (MSMEs), promoting tourism sector through up-gradation of tourist infrastructure are other significant recommendations highlighted in the ASSOCHAM strategy paper.