States should give industry incentives on time: Union Minister Piyush Goyal

Union Minister Piyush Goyal on Tuesday said some industries have raised concerns that certain states announce incentives but delay their disbursal, and urged states to provide the promised benefits on time.

He also suggested states to simplify laws related to labour, shops and establishment, and environment to attract investments.

Concerns have been raised on incentives promised by states, he said, adding “incentives should be paid on time”. The minister was addressing state commerce and industries ministers here at Udyog Samagam 2025.

Goyal encouraged states and Union Territories to establish third-party mechanisms to effectively implement and monitor industrial incentives, ensuring timely disbursement and execution to maintain industry confidence.

Talking about the importance of quality control orders (QCOs), the commerce and industry minister said it has helped in cutting down imports of substandard goods, promoting domestic manufacturing and improving consumer safety. He said that these orders are being implemented to make superior-quality products available to consumers and to promote a culture of quality in manufacturing. Citing the success of QCOs on toys and plywood, he noted that such measures have strengthened Indian industries while curbing substandard imports.

He added that states should convey industries to focus on manufacturing quality products and follow sustainable practices.

“Sustainability, quality and ease of doing business are key for manufacturing,” he said adding states should leverage schemes rolled out by the Centre.

He said that there is a need to focus on eastern and north-eastern states with a view to boost the country’s economic growth.

Goyal said that unlike the previous government, the Centre is doing free trade agreements with developed nations such as the US, European Union, UK and New Zealand.

“We want to promote open trade with developed nations,” he said.

Further he expressed concern that certain states have not sent their representatives in this meeting.

“We are taking it seriously …it shows their seriousness,” Goyal said, adding every state in India has developed good practices that can serve as models for others, and by learning from one another, the nation can accelerate industrial progress.

The conference brought together Industries and Commerce Ministers from 14 states and Union Territories, senior officials, and industry representatives to review progress under the Business Reforms Action Plan (BRAP) 2024 and felicitate the best-performing states and UTs.

Uttarakhand and Punjab were recognised as top achievers across five reform areas, the commerce ministry said, adding Andhra Pradesh, West Bengal, Jammu & Kashmir, Kerala, Tamil Nadu, Madhya Pradesh, Telangana, Rajasthan, Jharkhand, and Chhattisgarh were top achievers across four reform areas.

Similarly, Maharashtra, Assam, Himachal Pradesh, Haryana, Odisha, and Uttar Pradesh were recognised as top achievers across three reform areas.

“Gujarat, Karnataka, and Tripura were top achievers across two reform areas, while Goa and Meghalaya were recognised across one reform area,” it added.