Interaction with Experts on various issue
Dear Industrial Colleagues,
We are pleased to inform you that, all the three associations jointly organized a successful session on various topics at Daman Ganga Valley Resorts, Silvassa on 4th September 2015.
In the said session, the following topics were discussed in length and the industries colleagues actively participated in the session.
Shri Niraj Bagri, from CII Mumbai, a key speaker enlighten the gathering about the very important issue of the proposed provisions of the GST Bill, which is pending before the Rajyashabha for its approval. He also clarified the queries raised by the colleague industries present in the session and he also explained on the pros and cons of the said GST on the industries of this territory and requested industries of Dadra & Nagar Haveli to plan their future course of action in light of provision of the proposed GST. As the GST is a very sensitive and vital issue at this juncture, the present colleague industries took very keen interest in the discussion.
Shri K.C. Singhal, one of our member and Chartered Accountant by profession explained the gathering about enhancement in VAT in Dadra & Nagar Haveli from 4% to 5% on the goods mentioned in Schedule - III. And it was informed by him that, the enhancement has been proposed by the Central Government to put our territory at par with other States. He also explained about the procedure to get the refund of the VAT which has been paid by the industries in local purchase of RM & PM and after manufacturing the finished goods are sold outside the territory as inter-state sell against Form "C". As we all know that, the refund is also very crucial issue for the industries, as due to delay in refund huge amount is laying with the Department since long and the industries working capital are blocked.
Shri Chandrakant M Parekh, President, SIMA briefed the gathering about the efforts of all the three associations in preparing and representing the concern of adverse affect which shall cause on industries of Dadra & Nagar Haveli on introduction of the proposed GST Bill and its provisions. He further said that, due to the provision of GST Bill, the industries of Dadra & Nagar Haveli shall have to pay additional tax upto 1% on their inter-state purchase and again industries will have to pay additional tax upto 1% in their inter-state sell. As we all know that, in Dadra & Nagar Haveli industries are having maximum purchase of RM & PM from other States, so for all such purchase, we will have to pay additional tax upto 1% and in inter-state sell again we will have to charge additional tax upto 1%. This additional tax upto 2% shall make the industries of Dadra & Nagar Haveli unviable and we will lose the level play field in compare to such industries in other States. So, all the three association jointly under leadership of Shri Natubhai G Patel, Hon'ble Member of Parliament, DNH and Shri Lalubhai Patel, Hon'ble Member of Parliament, DD rushed to New Delhi and met Shri Arun Jaitleyji, Hon’ble Minister for Finance, Shri Rajnath Singhji, Hon’ble Minister for Home Affairs and Shri Haribhai P Chaudharyji, Hon’ble Minister of State for Home Affairs and appraised them about the adverse effect, which shall cause to the industries of Dadra & Nagar Haveli and Daman & Diu. He further informed that, Shri Arun Jaitleyji, Hon'ble Minister of Finance has understood our issue and he informed that, the provision of GST Bill empowered to charge additional tax upto 1%, so in case of UTs it can be reduced and can levy a very token additional tax for Union Territories, as UTs neither have local resources of raw material nor have local consumption/market. So, it was assured that, adequate measures shall be taken to protect the interest of small UTs like Dadra & Nagar Haveli, Diu & Daman. During the meeting with Shri Rajnath Singhji, Hon'ble Minister for Home Affairs and Shri Haribhai Chaudharyji, Hon’ble Minister of State for Home Affairs the setback which will face by UTs of Dadra & Nagar Haveli and Diu & Daman due to the provision was explained in detail and as UTs are under Ministry of Home Affairs, they also assure that interest of UTs will be protected and GOI want that the industrialization of Dadra & Nagar Haveli and Daman & Diu is not only maintain but new investment should be encouraged to these UTs.
On the issue of latest Notification on Minimum Wage, Shri R.N. Pandey, Labour Consultant explained that, the said revision in minimum wage is done to make at par with Daman. Still the minimum wage of Dadra & Nagar Haveli is lower compare to neighbouring States. While, explaining the meaning of basic wage it was told that, basic wage include basic and other components also like food, medical, house allowances etc. It was also briefed to the gathering that, how bonus, gratuity, leave encashment and PF are to be paid by bifurcation of basic wage prescribed in the Notification. Shri R.N Pandey, Labour Consultant and Shri P.K. Jadia, Labour Consultant clarified the queries raised by the colleague industries. Still any member has any doubt, he can contact Shri R.N. Pandey or Shri P.K. Jadia for further clarification.
It was requested to fellow industries colleagues to give their valuable feedback and suggestion to your association, so that such session can be organized on various other important topics at the regular interval. Such session shall enhance the knowledge and information of our industries colleagues and we shall be ready to face the challenges in near future.
The industries colleagues present appreciated the initiative of the associations for organizing such informative session.
To view some of the photographs please click here.
Thanking you,
With regards,
For Silvassa Industries & Manufacturers Association,
Narendra Trivedi,
Secretary
