JALANDHAR – The city that has been boasting of being the industrial hub of the state because of the presence of sports and leather industry in particular, has been been facing crisis under the SAD-BJP regime.
One of the major factors behind the deterioration in the Jalandhar industry is said to be the unhealthy tax system and the “apathetic” attitude of the government towards the industrial sector. Industrialists allege that the situation started declining during the first innings of the SAD-BJP alliance and the second innings proved to be “worst ever” for the local industry.
Once the sports manufacturing hub in the country, Jalandhar is now struggling to survive in this sector. “A majority of sports goods manufacturers have moved their units to Meerut in UP or have turned traders. Those in this industry in Jalandhar have been bearing above 6 per cent VAT that has not been refunded. This factor has crippled these units here. On the other hand, no VAT is imposed by the UP Government due to which the sports industry of Meerut has been thriving for the past eight years,” says Ravinder Dhir, a local sports industrialist.
The much-hyped skill development centre that was supposed to be opened for the sports industry in Jalandhar to fulfil the demand of skilled labourers, too, hangs in the balance.
“Apart from this, Chinese sports goods have occupied the Indian market. Demands to the Centre over the imposition of Anti-Dumping Duty on Chinese sports goods has proved futile,” Dhir adds.
Leather industry too faces its own problems. “European countries have levied 5 per cent import duty on Indian leather as it is a developing country but Pakistan has been exempted from it as it is an underdeveloped country, which has reduced the demand for Indian leather,” says Romi Singh, director, Jalandhar Leather India Private limited.
