SRINAGAR, MARCH 07: The Kashmir Chamber of Commerce and Industry (KCCI) has extended a warm welcome to the budget presented by Chief Minister Omar Abdullah, stating that many of its recommendations have been incorporated, aligning with the aspirations of the business community in Jammu and Kashmir.
KCCI particularly praised the provision of 200 units of free electricity for Antyodaya Anna Yojana (AAY) households and the introduction of free transport services for women, calling these “key measures that promote social equity.” The Chamber also welcomed the announcement of PM Unity Malls in Srinagar and Jammu, which aim to support local artisans. “The demand for establishing an exhibition mart in Kashmir was presented by KCCI at different levels of governance, both at the Centre and in J&K, and we are pleased to see it materialise,” KCCI stated.
The Chamber acknowledged the ₹75 crore allocation for a strategic investment plan for MSMEs, describing it as “a positive step,” but expressed that “more funding was expected for the revival of the industrial sector and general trade.” KCCI also welcomed budgetary support for 2,000 handicrafts and handloom cooperatives, noting that this “reflects a strong commitment to preserving our cultural heritage.”
The budget’s allocation of ₹50 crore for financial aid and mentorship programmes for emerging entrepreneurs was another move KCCI lauded. “This will encourage innovation and self-employment among our youth,” the statement read. Furthermore, KCCI noted the ₹310 crore investment in 46 new industrial estates and ₹100 crore for upgrading existing ones as a promising sign of industrial expansion.
Commenting on the agricultural and horticultural sectors, KCCI acknowledged the ₹2,221 crore allocation, an increase of ₹332 crore from last year, and welcomed plans to increase fish production and establish 50 fruit processing units. The Chamber also highlighted that the tourism sector would benefit from a doubled promotion budget of ₹36 crore, along with ₹50 crore for developing new destinations and plans to revive existing tourism assets. KCCI further appreciated investments in education and employment, including new courses in 10 Industrial Training Institutes (ITIs) and placement drives for 1,000 graduates. The budget’s inclusion of 200 e-buses under the PM E-Bus Sewa programme and the commitment to completing major hydro projects by 2027 were also welcomed. “The emphasis on sustainable transportation and renewable energy is a step in the right direction,” KCCI said. In terms of environmental concerns, the Chamber recognised ₹80 crore allocated for sewage and water treatment plants at tourist locations as a much-needed initiative. However, it expressed disappointment over the lack of an increased budget for 2025-26, stressing that it fell short of expectations. “We had anticipated a budget larger than last year’s, but that has not been realised, which raises concerns about the government’s fiscal approach towards business growth,” the statement read.
KCCI also pointed out the absence of funding for water management amid climate change challenges. The Chamber emphasised the need for effective solid waste management solutions and better regulation of sewage treatment plants (STPs) to prevent liquid waste discharge into rivers and water bodies. Additionally, it called for stronger measures to tackle the region’s high unemployment rate, which stands at 32.8% in urban areas, according to the Ministry of Statistics and Programme Implementation (MOSPFI). “The business community expected stronger financial backing to address pressing economic challenges and stimulate trade and industry,” the statement concluded.