Built Expressions Bangalore :: Bangalore Chamber Of Industry And Commerce

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Bangalore Chamber of Industry and Commerce

Karnataka is one of India's significantly industrialized States with a high growth rate and good industrial climate. However, of late the State had not been able to generate enough jobs for its growing population - its infrastructure crumbling and not registering a uniform growth rate. In addition, Bangalore, the pride of India and Silicon Valley is rapidly grappling with infrastructure and related issues of water and power crisis. Even metro projects are getting unduly delayed causing severe hardships and bottlenecks for movement of people in and around the City. At this juncture, Bangalore Chamber of Industry and Commerce (BCIC) that has a main objective to address the issues and concerns of the industry has been working constantly with the central and state governments by giving valuable inputs on various policy issues from time to time.

BCIC is the apex Chamber of Commerce representing large and medium industries in the state of Karnataka. Mr. H.V Harish, president of BCIC exclusively shares with Built Expressions on how the Chamber has been a catalyst to promote the industrial growth in Karnataka and he says, "In order to restore its pride and growth, we at BCIC urge that the new industrial policy should be pragmatic and result-oriented that should put the State back to its growth trajectory and simultaneously promote inclusive economic growth pan Karnataka."

Mr. H.V Harish (President of BCIC & Chairman, Karnataka Economic Summit)

BCIC organizes regular interactions with policy makers through Seminars/Interactive Sessions/Conferences on topical issues to understand its importance and implications to the industry. Earlier, BCIC was knows as Greater Mysore Chamber of Industry (GMCI) that represented only the Mysore region. In 2004, the name was changed to Bangalore Chamber of Industry and Commerce through a Special Resolution passed as Bangalore is known for engineering and other trade organizations around the world when compared to Mysore.

Construction and infrastructure industry

BCIC’s recommendations with specific to the construction and infrastructure industry are impeccable. The apex body has advocated the State Government to constitute a Task Force for the construction industry on the lines of tourism, manufacturing and Information Technology. "With the help of our members who are the stakeholders of the construction industry, we have been championing the cause of the industry in many ways by making representations particularly relating to Tax in state and central as well," adds Mr. Harish.

BCIC under the aegis of its Urban Development & Bangalore Infrastructure and Manufacturing & Services Expert Committees has been addressing the challenges relating to Infrastructure from time to time be it Land, Water, Power etc. In fact, BCIC is also one of the members in the Manufacturing Task Force Committee constituted by the Government of Karnataka that has submitted a Representation on the 'Formulation of New Industrial Policy for Karnataka:2014-2019,' through which BCIC gave recommendations for a comprehensive industrial policy to promote investment and development of the State as a whole.

BCIC's infrastructure development initiatives

BCIC has constituted infrastructure development programs encompassing specified district wise industrial layouts with water, power and connectivity to highways. It has laid out an explicit programs for supply of treated sewerage water to be incorporated create adequate capability in the local bodies for providing municipal services including water and solid waste management for the increasing urban population. Creating and encouraging low-cost housing takes the utmost priority for BCIC in order to promote real estate sector. Mass transportation linking housing hubs to business centres, enabling social services in education, healthcare also top the agenda for BCIC. In order to avoid geographically concentrated development, it is very imperative to develop 10 to 15 world class Tier II cities in Karnataka in a distributed manner to absorb the growing urbanization. BCIC has taken on engaging with the centre to ensure more number of Tier II cities of Karnataka under JNNURM because Karnataka is in a distributed manner to absorb the growing urbanization similar to Navi Mumbai and Gurgaon.

Recharging of Water Table

Even though the law pertaining to rainwater harvesting exists BCIC strongly urges Rain water harvesting to be made mandatory that requires rigorous implementation. "Recycling and Treatment of Waste Water should be made compulsory for industry to reduce pressure on ground water; undertake de-silting of Water Bodies including rejuvenation of lakes. Ensuring adequate water for various clusters that are being developed and the State should subsidize desalination plants as well as water treatment plans through Central schemes," he adds.

National Manufacturing Investment Zones (NMIZ)

It is clear that economic growth and job creation has not kept pace with the needs of the country. NMIZ is an initiative by BCIC that is a combination of production facilities, public utilities, residential areas and administrative services, along with environment protection mechanisms, harnessed for holistic development of a competitive manufacturing sector, supported by the Central Government. Karnataka should leverage this initiative while planning industrial parks and Special Economic Zones, where financial and administrative support is provided by the Central Government, Karnataka should press for NMIZs along primary and secondary corridors in the State and boost private sector investment in this perspective.

Skill Development initiatives

Skill development in any sector is the need of the hour and such a point in time, the State should promote private sector investment in skill development, through a market-driven approach. Emphasis should be laid on skill up gradation in the emerging sectors and phase out redundant skills as per the requirements of the industry. Skills need to be upgraded in three broad categories – specialized or highly-skills including product design and development, formal education consisting operations, production, maintenance and no formal education such as cutting, sewing, finishing, artisans and construction workers.

"Government needs to create a budget exclusively for skill development in the State budget. Centres of excellence and innovation, cluster-based skill development initiatives and intervention in curriculum redesign and finally, grass root level skill development initiatives are required. Institutions vested with the responsibility for aiding technological up gradation such as the Karnataka Council for Technology Up gradation, should become more effective and purposeful in their functioning and enhance both reach and impact," suggests Mr. Harish. It is important that rural youth are empowered with necessary skill sets to make them employable and to create the necessary ecosystem that enables enterprises to improve their competitiveness faster than enterprises in other countries.

Simplification of procedures in labour laws

Labour laws need to be made more flexible. The idea is not, as is commonly misunderstood, to enable a 'hire and fire policy,' but to enable companies to develop labour policies that is beneficial to all stakeholders, in the interests of all-round productivity, performance and security. Complexity arising from multiple labour laws should be streamlined. Simplification of procedures related to labour laws, Pollution control Act factories and boilers Act and land reforms Act etc are a mandatory. It is essential that labour laws should reflect the needs of the manufacturing sector under the changed economic scenario. As an immediate measure, the State Government should address the following regulations with respect to the organized sector:

Removal of complexities arising from multiple labour laws
Allowing women to participate in the workforce
Allowing companies to have its own discretionary power on the issue of retirement of blue collar workers
Pollution Control Board should consider granting permission depending on the quantum of effluent discharged by the industries rather than treating them as common zones.
Faster clearances from the Factories Act, Pollution Board for Green Industries or Industries taking active ‘Green Initiatives’ – on Energy and Water Conservation
Reducing procedural impediments by introducing ‘Sakaala’ in all aspects of starting and running a business

Membership

BCIC encourages membership to offer services to the maximum. Currently, the Chamber has around 600 members representing a cross-section of industry verticals viz., Manufacturing, IT/ITES, Biotechnology, Engineering, Consultancy and Legal firms etc. BCIC is also able to effectively address all their concerns by participating in all the Committees / Task Forces being constituted by the Central/State Governments from time to time as well as organize Seminars and Interactive Sessions on topical issues with experts drawn from the Industry and Government to analyze threadbare all the issues and evolve a consensus on the challenges being confronted with. Through these efforts, Chamber has successfully brought several policy changes and it has over the years evolved itself as a strong industrial body within the State of Karnataka.

BCIC hopes that the Policy will adapt to the requirements of Industry considering the changing economic scenario and it should be industry friendly and policies are implementable with letter and spirit with less government interventions. BCIC aims that the proposed new Industrial Policy to give its thrust on the following in order to transform the State to one of India’s significantly industrialized States with a high growth: