Industrial Policy in the Changing Global Scenario
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REPORT NO. 130 PARLIAMENT OF INDIA RAJYA SABHA DEPARTMENT RELATED PARLIAMENTARY STANDING COMMITTEE ON COMMERCE ONE HUNDRED AND THIRTIETH REPORT ON INDUSTRIAL POLICY IN THE CHANGING GLOBAL SCENARIO (Presented to the Rajya Sabha on 2nd December, 2016) (Laid on the Table of Lok Sabha on 2nd December, 2016) Rajya Sabha Secretariat, New Delhi December, 2016/Agrahayana 1938 (Saka) Website: http://rajyasabha.nic.in E-mail: [email protected] Hindi Version of this publication is also available PARLIAMENT OF INDIA RAJYA SABHA DEPARTMENT RELATED PARLIAMENTARY STANDING COMMITTEE ON COMMERCE ONE HUNDRED AND THIRTIETH REPORT ON INDUSTRIAL POLICY IN THE CHANGING GLOBAL SCENARIO (Presented to the Rajya Sabha on the 2nd December, 2016) (Laid on the Table of the Lok Sabha on the 2nd December, 2016) सयमेव जयते Rajya Sabha Secretariat, New Delhi December, 2016/ Agrahayana, 1938 (Saka) C O N T E N T S PAGES 1. COMPOSITION OF THE COMMITTEE (i)-(v) 2. INTRODUCTION (vi) 3. ACRONYMS (vii)-(xii) 4. REPORT 1-151 5. RECOMMENDATIONS /OBSERVATIONS -AT A GLANCE 152-185 6. MINUTES 186-254 7. ANNEXURES/APPENDICES 255-259 COMPOSITION OF THE COMMITTEE (Constituted w.e.f. 31 st August, 2012) 1. Shri Shanta Kumar Chairman RAJYA SABHA 2. Shri Vijay Jawaharlal Darda 3. Shri Shadi Lal Batra 4. Shri P. Bhattacharya 5. Shri Rangasayee Ramakrishna 6. Shri K.N. Balagopal 7. Shri Ishwarlal Shankarlal Jain 8. Shri Prem Chand Gupta 9. Shri Birendra Prasad Baishya 10. $Dr. Vijay Mallya LOK SABHA 11. Shri J.P. Agarwal 12. Shri G. S. Basavaraj 13. Shri Kuldeep Bishnoi 14. Shri C.M. Chang 15. Shri Jayant Chaudhary 16. Shri K. P. Dhanapalan 17. Shri Shivaram Gouda 18. Prof. Sk. Saidul Haque 19. Shri S.R. Jeyadurai 20. Smt. Putul Kumari 21. Shri P. Lingam 22. Shri Baijayant 'Jay' Panda 23. Shri Kadir Rana 24. Shri Vishnu Dev Sai 25. Shri Jagdish Sharma 26. Shri Adagooru Vishwanath 27. Shri Arun Yadav 28. #Shri Nalin Kumar Kateel 29. @Shri Nama Nageswara Rao 30. *Shri Mukul Wasnik 31. **Vacant _______________________________________________________________________ $ Nominated w.e.f. 26 th February, 2013 vice Ms. Anu Aga who resigned from the membership of Committee on 20 th December, 2012 # Nominated w.e.f. 14 th December, 2012 @ Nominated w.e.f. 14 th December, 2012 * Nominated w.e.f. 1st May, 2013 ** On account of the demise of Shri Dilip Singh Judev on 14 th August, 2013. (i) COMPOSITION OF THE COMMITTEE (Constituted w.e.f. 31 st August, 2013) 1. Shri Shanta Kumar Chairman RAJYA SABHA 2. Shri Birendra Prasad Baishya 3. Shri K.N. Balagopal 4. Shri P. Bhattacharya 5. Shri Shadi Lal Batra 6. Shri Vijay Jawaharlal Darda 7. $Shri Prem Chand Gupta 8. Shri Ishwarlal Shankarlal Jain 9. Dr. Vijay Mallya 10. Shri Rangasayee Ramakrishna LOK SABHA 11. Shri J.P. Agarwal 12. Shri G. S. Basavaraj 13. Shri Kuldeep Bishnoi 14. @Shri C.M. Chang 15. Shri Jayant Chaudhary 16. Shri K. P. Dhanapalan 17. Shri Shivaram Gouda 18. Prof. Sk. Saidul Haque 19. Shri S.R. Jeyadurai 20. Shri Nalin Kumar Kateel 21. Smt. Putul Kumari 22. Shri P. Lingam 23. Shri Baijayant 'Jay' Panda 24. Shri Kadir Rana 25. Shri Nama Nageswara Rao 26. Shri Vishnu Dev Sai 27. #Shri Jagdish Sharma 28. Shri Adagooru Vishwanath 29. Shri Mukul Wasnik 30. Shri Arun Yadav 31. Vacant ___________________________________________________________________ $ Resigned from the membership of Rajya Sabha on 12th February, 2014. @ Resigned from the membership of Lok Sabha on 21 st September, 2013. # Disqualified from the membership of the Lok Sabha. (ii) COMPOSITION OF THE COMMITTEE (Constituted w.e.f. 1 st September, 2014) 1. Dr. Chandan Mitra Chairman RAJYA SABHA 2. Shri Joy Abraham 3. Dr. Ashok S. Ganguly 4. Shrimati Thota Seetharama Lakshmi 5. Dr. Vijay Mallya 6. Shri Shantaram Naik 7. Shri D. Kupendra Reddy 8. Shri Jesudasu Seelam 9. Dr. C.P. Thakur 10. #Shri Vayalar Ravi LOK SABHA 11. Shri Sultan Ahmed 12. Shri Subhash Chandra Baheria 13. Shri Abhishek Banerjee 14. Shri Bodhsingh Bhagat 15. Shri Jitendra Chaudhury 16. Shri Chhotelal 17. Shri Sudheer Gupta 18. Dr. Kambhampati Haribabu 19. Shri Galla Jayadev 20. Shri Chandra Prakash Joshi 21. Shri Prabakaran K.R.P. 22. Shrimati Kavitha Kalvakuntla 23. Shri Dhananjay Mahadik 24. Shri Kamal Nath 25. Shri T. Radhakrishnan 26. Shri Janak Ram 27. Shri D.S. Rathod 28. Shri Charanjeet Singh Rori 29. Adv. Narendra Keshav Sawaikar 30. Shri Vinod Kumar Sonkar 31. @Shri Kamlesh Paswan ___________________________________________________________________ # Retired w.e.f 21 st April, 2015 and nominated afresh w.e.f. 30 th July, 2015. @ Nominated w.e.f. 25 th March, 2015 vice Shri Ram Charitra on his nomination to Committee on Transport, Tourism and Culture. (iii) COMPOSITION OF THE COMMITTEE (Constituted w.e.f. 1st September, 2015) 1. &Shri Bhupender Yadav Chairman RAJYA SABHA 2. Shri Joy Abraham 3. #Dr. Ashok S. Ganguly 4. Shrimati Thota Seetharama Lakshmi 5. @Dr. Vijay Mallya 6. Shri Shantaram Naik 7. Shri Vayalar Ravi 8. Shri D. Kupendra Reddy 9. %Shri Jesudasu Seelam 10. Dr. C.P. Thakur 11. $Dr. Narendra Jadhav 12 *Shri Ram Kumar Kashyap LOK SABHA 13. Shri Sultan Ahmed 14. Shri Subhash Chandra Baheria 15. Shri Abhishek Banerjee 16. Shri Bodhsingh Bhagat 17. Shri Jitendra Chaudhury 18. Shri Chhotelal 19. Shri Jayadev Galla 20. Shri Sudheer Gupta 21. Shri Chandra Prakash Joshi 22. Shrimati Kavitha Kalvakuntla 23. Dr. Hari Babu Kambhampati 24. Shri Dhananjay Mahadik 25. Shri Kamal Nath 26. Shri Kamlesh Paswan 27. Shri K.R.P.Prabakaran 28. Shri T. Radhakrishnan 29. Shri Janak Ram 30. Shri Dipsinh Shankarsinh Rathod 31. Shri Charanjeet Singh Rori 32. Adv. Narendra Keshav Sawaikar 33. Shri Vinod Kumar Sonkar ___________________________________________________________________ & Appointed on 17 th July, 2016 subsequent to retirement of Dr. Chandan Mitra w.e.f. 29 th June, 2016. # Retired w.e.f. 17 th November, 2015. @ Resigned w.e.f. 4th May, 2016. % Retired w.e.f. 21 st June, 2016. $ Nominated w.e.f. 20 th May, 2016. * Nominated w.e.f. 28 th July, 2016. (iv) COMPOSITION OF THE COMMITTEE (Constituted w.e.f. 1st September, 2016) 1. Shri Bhupender Yadav Chairman RAJYA SABHA 2. Shri Joy Abraham 3. Shri Ram Kumar Kashyap 4. Shri M.P. Veerendra Kumar 5. Shrimati Thota Seetharama Lakshmi 6. Shri Shantaram Naik 7. Shri Vayalar Ravi 8. Shri D. Kupendra Reddy 9. Shri Kapil Sibal 10. Dr. Kanwar Deep Singh LOK SABHA 11. Shri Subhash Chandra Baheria 12. Shri Abhishek Banerjee 13. Shri Bodhsingh Bhagat 14. Shri Jitendra Chaudhury 15. Shri Chhotelal 16. Shri Jayadev Galla 17. @Shri Chandra Prakash Joshi 18. Shrimati Kavitha Kalvakuntla 19. Dr. Hari Babu Kambhapati 20. Shri Saumitra Khan 21. Shri Dhananjay Mahadik 22. Shri Kamal Nath 23. Shri Kamlesh Paswan 24. Shri K.R.P. Prabakaran 25. Shri T. Radhakrishnan 26. Shri Janak Ram 27. Shri Dipsinh Shankarsinh Rathod 28. Shri Charanjeet Singh Rori 29. Adv. Narendra Keshav Sawaikar 30. Shri Vinod Kumar Sonkar 31. #Shrimati Bijoya Chakraborty SECRETARIAT Shri S.K. Verma, Joint Secretary and Financial Adviser Shri A.K. Gandhi, Director Shri Narendra Kumar, Joint Director Shri Amit Kumar, Assistant Director _______________________________________________________________ @ Resigned w.e.f. 22 nd November, 2016. # Nominated w.e.f. 20 th October, 2016. (v) INTRODUCTION I, the Chairman of the Department Related Parliamentary Standing Committee on Commerce, having been authorised by the Committee, present this One Hundred and Thirtieth Report on Industrial Policy in the Changing Global Scenario. 2. The Committee took up the subject for detailed examination on 27 th November, 2012 and the same was notified vide Parliamentary Bulletin Part-II dated 24 th December, 2012. As part of examination of the subject, the Committee considered the subject in detail spanning over ten meetings wherein it heard the views of Secretaries of Department of Industrial Policy and Promotion, Ministry of Commerce and Industry, Ministry of Labour and Employment, Ministry of Power, Ministry of Environment and Forest, Ministry of Skill Development and Entrepreneurship and Ministry of Micro, Small and Medium Enterprises and Chairman, Railway Board and the representatives of Dedicated Freight Corridor Corporation of India Limited (DFCCIL), India Infrastructure Finance Company Limited (IIFCL), Consumer Unity & Trust Society (CUTS International), Society for Justice, Jagatikaran Virodhi Kruti Samiti (JVKS) and Indian Community Activist Network (ICAN). The Committee also undertook six study visits to Chennai, Bengaluru and Mumbai from 29 th January to 5 th February, 2013, Ahmedabad and Pune from 26 th to 29 th June, 2013, Patna and Bhubaneswar from 2nd to 9 th October, 2013, Guwahati, Imphal and Kolkata from 27 th January to 1 st February, 2014, Amritsar, Mumbai and Bengaluru from 28 th January to 2 nd February, 2016 and Lucknow, Varanasi and Kolkata from 19 th To 22 nd October, 2016 and had interactions with various stakeholders and also the representatives of the State Governments. The Committee also benefitted from various press clippings, business journals and books on business and economy. 3. A Press Communiqué was issued on 3rd January, 2013 in the media with a view to elicit views of individuals and organizations on the subject. A second Press Communiqué was issued on 12 th February, 2016. In response, a total of thirty six memoranda were received (Annexure I). The points raised therein have also been duly considered by the Committee. 4. The Committee considered the draft Report at its sitting held on 29 th November, 2016 and adopted the same. 5. The Committee expresses its sincere gratitude to all the representatives of the various Departments / Ministries, organizations and individuals for placing before it their valuable suggestions, materials and information required in connection with the examination of the subject.