West Bengals New Industrial Policy May Include Landowners as Stakeholders

Kolkata, August 24: West Bengal’s new government is set to announce its industrial policy by mid-September this year. A provision may be introduced to make landowners stakeholders in industrial units.

To address challenges in land acquisition, the government may incorporate this proposal into the new industrial policy. During the tenure of the Left Front government led by Buddhadeb Bhattacharjee, various issues arose during land acquisition.

Significant movements occurred in the state regarding land acquisition for industries, particularly during the small car project in Singur, Hooghly district, and the chemical hub project in Nandigram, East Midnapore district.

An official involved in drafting the new industrial policy stated that there could be two options to achieve the goal of including landowners as stakeholders in relevant industrial units.

The official explained, “The first option is to employ a family member of the landowner in the proposed industrial unit. The second option is to enable landowners to start ‘indirectly supportive’ enterprises that meet the needs of the main industrial unit.”

He noted that large industrial units, whether in the manufacturing or service sector, often have scope for auxiliary industries, which can be both ‘direct’ and ‘indirect’ enterprises.

“Directly supportive” entrepreneurs supply specialized technical equipment to main industries, leaving little room for landowners to become stakeholders. However, there is significant potential for “indirectly supportive” enterprises in large industries, which can allow landowners to participate as stakeholders.

Examples of such “indirectly supportive” enterprises include local sewing units run on a cooperative basis that supply uniforms for factory employees, or canteens that provide lunch boxes for factory staff.

Earlier this month, the state’s Commerce and Industry Minister, Tapas Roy, announced that the new industrial policy would prioritize sectors with strong demand for small auxiliary businesses, commonly referred to as ‘ancillary industries.’

These sectors include textiles and garments, iron and steel, heavy electrical equipment, the automotive industry, and information technology (IT) and electronics. In North Bengal, the proposed new industrial policy focuses on ‘Triple-T’ (Tea, Timber, and Tourism).