Quoting reliable sources, a Recorder Report appearing on Friday, has dwelt upon the way the Directorate of Industries, Sindh, has gradually fallen from grace in the wake of the thrust of deregulation to streamline the process of economic development with a marked focus on efficiency.
The report said that while prior to this strategic shift, the directorate which hummed with multi-faceted activity due to its varied functions and administrative powers, now wears a deserted look, with hardly a casual visitor dropping in, as it has been left with virtually no administrative powers to monitor the industrial units or to accelerate completion of new projects and ensure smooth functioning of existing units.
Of course, a great deal having changed - for better or for worse - in the country's industrial scene in the wake of deregulation, nostalgic reference to the high efficiency of the directorate under the old system will certainly appear to be out of place.
The requirement of its NOC being no more obligatory for a new industry, might have jeopardised the purpose of the thrust of deregulation in one way or the other, thereby leaving an awkward vacuum in certain areas formerly handled by the directorate. Reference, in this regard may be made, among other things, to the sudden denial of its means to compile data of industries, and yet reportedly tasked, last year, to conduct an industry census for 2005-2010 for the Federal Bureau of Statistics.
Thankfully, a via media was found in the Labour Directorate, which was tapped to fulfil the assignment as it registers industries under the Factory Act. As pointed out by informed sources, errors and omissions in the process of deregulation also include neglect of the Industries Directorate in the matter of development of small and medium enterprises (SMEs) which is a new concept.
While no attempt was made to avail the services of experts available at the directorate, the provincial government went about establishing departments with customary paraphernalia, thus causing an uncalled for drain on the national exchequer.
Moreover, in so far as withdrawal of the provision of NOC is concerned, it remained intact in case of establishment of specified industries, such as arms and ammunition, high explosives, radio-active substances and security printing and mint. But the long list of items it procured for the provincial department was cut down, under the new dispensation, to only two items - typewriters and fans.
Similarly, it has been pointed out that while it was mandatory for all government departments to have newly acquired equipment and goods inspected by experts at the directorate to ensure quality and suitability of price, the rules are no more strictly followed either, inspection having been restricted to only gunny bags purchased by the food departments and vehicles by the police department, besides boilers installed in factories.
In the deregulated system inspection of factories to check production, consumption of raw material imported duty-free has been taken over by the Federal Board of Revenue.
A former Director of Industries, seemingly wearied by the disarray at the directorate had submitted a report to the government for review of its functions, and entrepreneurs be allowed to set up industries without any NOC need to be bound to furnish details of investment, installed capacity, raw material to be consumed and the labour employed.
More to this, he has suggested imposition of ban on setting up industries in residential and commercial areas, and also on utility connection provided without an NOC from the directorate. All in all, it will be noted there does appear to be disarray in the functioning and performance of the Industries Directorate, thus calling for its thorough restructuring.
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