New Delhi: The Narendra Modi administration on Wednesday took an important step towards resumption of normal economic activity by partially lifting restrictions on manufacturing and construction, and further eased movement of goods traffic from April 20.
Nearly 80% of India’s export units located in special economic zones, export oriented units (EOUs) and industrial townships and clusters could resume work in some form by April 20. Government officials say around 1,000 units in special economic zones (SEZs) could become operational.
The ministry of home affairs (MHA) on Wednesday set out detailed guidelines for partial resumption of economic activity with the nation divided into hotspot and non-hotspot districts. The ministry of health and family affairs has identified 170 hotspot districts — called red zones — with highest incidence of Covid-19, 207 yellow zone districts with some cases and 359 green zone districts with no cases in last 28 days. The new permitted activities can begin in these green zones, subject to permission from state or district administration.
While the industry will be somewhat relieved, many restrictions will remain in place, especially on factories, establishments and service industries operating within city and municipal limits.
All industrial activity in rural areas and outside municipal and city limits has been allowed, including manufacturing of essentials such as drugs, medical supplies and equipment.
Food Processing Units, Cargo Movement
Food processing units in rural areas have been allowed to resume. All cargo movement through road and railways has been permitted, including loading and unloading at major ports and land ports. Highway dhabas and restaurants will be allowed to remain open and movement of trucks has been permitted.
The government has also allowed construction activity to resume in rural areas and outside city and municipal limits and industrial parks, including those under the Mahatma Gandhi National Employment Guarantee Scheme (MGNREGS) in another major decision that will impact rural livelihood and incomes.
Restrictions have been lifted on construction of renewable projects, and construction firms and real estate companies have been asked to resume work in places where workers are available on site and don’t have to be brought in from elsewhere.
“I am happy to see the notification by MHA. I am glad that this gives us some clarity on what could happen after April 20,” TV Narendran, MD, Tata Steel, told a television channel.
At present, around 400 units in SEZs which are in essential sectors such as pharmaceuticals producing PPEs and power are already active while 2,000-odd units in the information technology sector are functional but their employees are working from home. “In the first week beginning April 20, we expect 1,000 units to become active but that depends on many factors such as the kind of industry and if they can maintain social distancing,” ..
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