Amaravati, Oct 29 (PTI) The Andhra Pradesh Chambers of Commerce & Industry Federation (AP Chambers) on Thursday appealed to Chief Minister N Chandrababu Naidu to intervene and ensure the early release of pending incentives to the tune of approximately Rs 5,000 crore for eligible MSMEs and food processing units across the state.
"AP Chambers has urged Naidu to personally intervene and expedite the release of around Rs 5,000 crore in pending incentives to eligible MSMEs and food processing industries across Andhra Pradesh," President of the industry body, P Bhaskara Rao, said in a press release.
Although approximately Rs 1,000 crore was released during the previous year, a substantial amount remains outstanding, placing pressure on the working capital of enterprises, their ability to service loans and meet operational expenses, and their capacity to sustain business activity and employment, he said.
The timely release of approved incentives is critical for many MSMEs to maintain cash flow and continue operations, the industry body said.
Rao said clearing the pending incentives would inject much-needed liquidity into the industrial ecosystem, help enterprises meet financial commitments, encourage investment in food processing, strengthen farmer-market linkages and safeguard employment.
He has also called for a transparent, time-bound mechanism to process and settle future incentive claims, with clear timelines and regular monitoring to prevent the accumulation of arrears.
With the CII Partnership Summit scheduled to be held in Visakhapatnam on November 12 and 13, Rao said clearing the pending dues would send a strong signal to investors and demonstrate the government's commitment to implementing industrial policies and honouring eligible commitments.
AP Chambers has urged the chief minister to accord the matter the highest priority and facilitate the early release of all eligible pending incentives, expressing confidence that prompt action will restore industry's confidence, provide relief to MSMEs and strengthen Andhra Pradesh's investment climate.
