Punjab Government’s one-year extension for mixed land use industry disappointment and  mockery of industrialists’ concerns: FICO

Ludhiana, October 9, 2026: Gurmeet Singh Kular, President, FICO, expressed deep disappointment over the Punjab Government’s decision to grant only a one-year temporary extension to industries operating in mixed land use areas. He stated that the decision fails to address the long-standing concerns of the industrial community and merely prolongs the uncertainty faced by industrialists.
Industrialists have invested huge amounts of money and have been operating their businesses in these areas for nearly 40 years, contributing significantly to Punjab’s economy, employment generation and industrial growth. For years, the industry has been demanding a permanent and clear-cut solution to this long-pending issue, particularly the declaration of mixed land use areas as permanent industrial zones.
Instead of resolving the issue once and for all, the government has extended the existing arrangement by just one year, leaving industrialists uncertain about their future yet again. There is no clear roadmap, no defined guidelines regarding permissible and non-permissible activities, and no concrete migration policy for industries that may be required to relocate.
Kular emphasized that such uncertainty discourages fresh investment, hampers business planning and creates unnecessary anxiety among entrepreneurs who have built their businesses over decades. An industry that has been operating for 40 years cannot be expected to plan its future on the basis of one-year extensions.
He urged the Punjab Government to move beyond temporary measures and introduce a comprehensive, permanent and industry-friendly policy. Mixed land use areas should be declared permanent industrial areas wherever feasible, ensuring long-term security and stability for existing industrial units.
Expressing his concern, Kular stated that the decision has left the industrial community deeply disheartened and disappointed. He questioned whether the government genuinely intends to create an environment in which industry can flourish in Punjab. If the state aspires to attract investment, generate employment and strengthen its industrial ecosystem, it must provide certainty and stability to existing industries instead of keeping them under a constant cloud of uncertainty.
FICO strongly urges the Punjab Government to take this matter seriously and announce a permanent policy that safeguards existing industrial establishments, protects investments made over decades and provides a clear, secure future for the industrial community.