Panaji: Goan industry on Thursday sought additional grants to the state from the 16th Finance Commission for infrastructure development.
During an hour-long meeting, the industry members pinpointed deficiencies in four key infrastructure sectors, that is, transportation, port, tourism and power. “Additional grants for infrastructure will help to bridge the resource gap, promote economic growth and improve the quality of life for citizens,” said president of Goa Chamber of Commerce and Industry (GCCI) Shrinivas Dempo.
The GCCI sought inclusion of ease of doing business as criteria for devolution of funds. “This move will encourage states to simplify regulations, reduce compliance costs, and attract investment,” it said.
It also recommended phasing out open-ended cesses and surcharges, which were imposed for specific purposes but became a permanent feature of the tax landscape, saying it will “reduce the financial burden on taxpayers, simplify tax laws, and increase the divisible pool to states.”
Almost all industry associations, including the CII- Goa, TTAG, GMOEA, the Indian Medical Association, ASSOCHAM, and Goa Pharmaceutical Manufacturers Association, among others, were part of the meeting. CII-Goa raised the issue of lack of amenities at the Mormugao Port, which, despite being a major port, does not have, “a modern functioning container terminal.” Dedicated resources for its development will not only support the growth of Goan industries but also the entire western region, it said.
CII-Goa flagged the reduction in the allocation for overseas tourism promotion and publicity, by 67 per cent, from Rs 100 crore to Rs 33 crore in the 2024-25 Budget. The decline has impacted states like Goa where a significant section of the economy depends on tourism.
Pitching for higher funds to develop the shipbuilding industry, the CII Goa said that, the state boasts a thriving shipbuilding industry fulfilling approximately 50 per cent of the nation’s shipbuilding orders and supporting the entire ecosystem. “It has the biggest maritime cluster on the western coast of country and several shipbuilding companies forming the ecosystem are specialised in shipbuilding with a focus on exporting vessels to Middle East, European markets and the PSU shipyards for Indian Navy and Coast Guard fleet. Goa needs a place in the National Shipping Board and also higher subsidy linked to local content in shipbuilding projects,” said CII.
TTAG president, Jack Sukhija, suggested that tourism in the state can be enhanced by constructing a world-class convention centre. “The Verna industrial estate would be an ideal location for convention centre,” said Sukhija.
