It is a good time to get into crushing and screening industry in India. Wondering why? It is because the government favours infrastructure development and sees it as a way to revive the economy, hard hit by the COVID pandemic.
In his Independence day address, Prime Minister Narendra Modi said that 7,000 projects have been identified across various sectors as part of the National Infrastructure Pipeline (NIP) project which would be executed at an investment of Rs 110 lakh crore.
He also shared how his government is prioritising on improving the infrastructure for faster development with the help of NIP projects.
In PM’s words, “ NIP is a project that will revolutionise India’s infra creation efforts. Many new jobs will be created, our farmers, youngsters, entrepreneurs will benefit.”
Infrastructure development has been the central government’s focus as the NIP project was first made public by the PM during his 2019 Independence day’s speech.
It is plain truth that infrastructure is a major sector that propels overall development of the Indian economy.
Mining sector
Major reforms have been announced in the mining sector in May 2020. The central government announced its intention to bring in the reforms through a seamless composite exploration-cum-production regime. The Finance Minister Ms. Nirmala Sitharaman has announced that 500 blocks of minerals will be auctioned in a composite exploration-cum-mining-cum-production regime.
She also said that the distinction between the captive and non-captive mines will be removed to allow the transfer of mining leases and sale of surplus unused minerals, leading to better efficiency and production.
Subsidy
The Central government through the Ministry of Micro, Small and Medium Enterprises(MSME) has a scheme called Credit linked capital subsidy for the small scale industries.
| What is CLCSS? |
Felicitates technology up gradation |
| What does it provide? |
15% upfront capital subsidy on institutional finance availed by MSME units |
| Ceiling on the cost of the machinery |
Rs 100 lakhs |
| Subsidy amount |
Rs 15 lakhs |
For more details on the scheme, contact the marketing department of Propel Industries.
The subsidy is generally released within 6 months from the time the application is submitted and it is remitted directly to the loan account of the beneficiary’s bank.
RBI extends help
According to the newspaper reports, the RBI has allowed banks to restructure loans as a one-time measure to deal with the effects caused by the COVID-19 pandemic. This, without classifying them as bad debts and pushing the defaulters into bankruptcy.
The RBI has allowed banks to restructure the individual borrowers’ loans by December 31, 2020, permitting a maximum extension of two years. This is subject to certain conditions.
With the compound annual growth rate (CAGR) at 15% plus, the crushing and screening industry is sure to soar greater heights!
So, Welcome on board!
