90% industrial units in J&K since 2019 were set up by locals, says report by parliamentary panel | Current Affairs | Vision IAS

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90% industrial units in J&K since 2019 were set up by locals, says report by parliamentary panel

10 Aug 2026
2 min

Industrial Development in Jammu and Kashmir Post-2019

A recent report by a Parliamentary Standing Committee on Home Affairs highlights significant industrial growth in Jammu and Kashmir (J&K) since the abrogation of Article 370 in August 2019.

Key Findings from the Report

  • From 2019-20 to 2025-26, a total of 2,279 industrial units were established in J&K.
  • Of these, 90% were set up by local entrepreneurs, amounting to 2,056 units.
  • The remaining 223 units were set up by non-locals.
  • The total investments attracted by these projects amounted to ₹16,598.97 crore.
  • These industrial units have generated a total of 75,848 jobs in the region.

Impact of Article 370 Abrogation

The abrogation of Article 370 by the National Democratic Alliance (NDA) government was aimed at fostering development and opening avenues for business investments in J&K. The data indicates a positive shift towards local entrepreneurship post this political change, with local entrepreneurs leading the way in new industrial establishments.

The New Central Sector Scheme-2021 (NCSS-2021)

  • The NCSS-2021 is a ₹28,400-crore incentive program aimed at boosting industrialization in J&K.
  • Under this scheme, 971 units were registered, with 754 established by locals and 217 by non-locals.
  • Employment proposals from local establishments accounted for 20,629 jobs, while non-local units proposed 31,268 jobs.
  • The scheme has approved 3,338 incentive claims worth ₹951 crore, with ₹814.68 crore already disbursed.

Committee's Observations and Recommendations

The committee, led by Radha Mohan Das Agrawal, regards the industrial growth in J&K as significant. The participation of both local and non-local entrepreneurs is seen as a sign of growing investor confidence in the region.

  • The report emphasizes the need for sustained policy support to continue the momentum of industrial growth and job creation.

Socioeconomic Indicators

  • Jammu & Kashmir has achieved a Total Fertility Rate (TFR) of 1.5, below the national average of 1.9.
  • 90.3% of women in J&K marry at the age of 21 years or above, compared to the national average of 72.9%.
  • Female literacy in the region stands at 77.3%, higher than the national average of 71.5%.

The improvement in these indicators is attributed to enhanced female education, awareness programs, and better healthcare services, reflecting informed reproductive choices and socio-economic development.

Conclusion

Overall, the report suggests that J&K is witnessing significant industrial and socio-economic growth post-2019, driven by local participation and supportive government schemes. Continuous policy support and infrastructural development are crucial to sustaining this positive trend.

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Non-locals

Individuals or entities from outside a specific region (in this context, outside Jammu and Kashmir) who invest in or establish businesses within that region.

Local Entrepreneurs

Individuals from within a specific region (in this context, Jammu and Kashmir) who establish and manage businesses. The article highlights their significant contribution to industrial growth in J&K.

Total Fertility Rate (TFR)

The average number of children born to a woman over her lifetime. The article suggests using TFR-adjusted formulas for seat allocation in delimitation to account for population stabilization efforts by states.

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