Punjab’s Right to Business Act Spurs Industrial Growth

by The_unmuteenglish

CHANDIGARH, Oct 7— Punjab’s industrial landscape is witnessing a transformative shift with the Punjab Right to Business Act, 2020, a flagship policy to empower Micro, Small, and Medium Enterprises (MSMEs) across the state, Punjab Chief Minister Bhagwant Singh Mann said.

Introduced to eliminate bureaucratic hurdles and accelerate industrial growth, the Act has simplified procedures for entrepreneurs, making it easier than ever to start a business in Punjab.

Chief Minister Bhagwant Singh Mann explained that the law was conceived to instill confidence in small business owners. “The government trusts its people. Punjab’s entrepreneurs are honest and, if given convenience, can take the state’s economy to new heights,” he said.

The Act has emerged as the backbone of Punjab’s industrial revolution, enabling thousands of entrepreneurs to bypass months of administrative delays.

Under the Act, the cumbersome process of obtaining multiple departmental approvals has been replaced by a ‘Self Declaration Model’. Entrepreneurs now submit a simple ‘Declaration of Intent’ online, after which a Certificate of In-Principle Approval is issued immediately, allowing construction or operations to begin without waiting for further permissions. The entire process is conducted through the Invest Punjab portal, ensuring transparency and minimal risk of corruption. “It’s now ‘work first, paperwork later’,” officials said.

The policy provides a three-year grace period, during which businesses are exempt from factory licenses, environmental clearances, labor approvals, and other state-level permissions. Departments cannot conduct inspections unless serious complaints arise, giving entrepreneurs the confidence to start operations without fear of bureaucratic interference. Once businesses stabilize, required permits can be obtained seamlessly.

To facilitate implementation, the government has set up a District Bureau of Enterprise (DBE) in every district, chaired by the Deputy Commissioner. These bureaus serve as one-stop centers for application submission, document verification, certificate issuance, and grievance redressal. Previously, entrepreneurs had to navigate 8–10 different departments; now, everything is centralized under a single office, significantly reducing delays and enhancing transparency.

The results have been tangible. Hundreds of new industries have begun operations under this policy, generating employment for over 4,000 youth and attracting investments exceeding Rs 400 crore. Industrial hubs in Ludhiana, Mohali, Amritsar, and Jalandhar have seen renewed momentum, with entrepreneurs reporting that processes that previously took months are now completed within days.

The Act has also created opportunities for women entrepreneurs in rural Punjab. Many have launched small-scale industries in food processing, handloom, and handicrafts, benefiting from the simplified approval system and reduced administrative friction. The Mann government has emphasized promoting women and youth as leaders in the industrial sector.

According to officials, the Right to Business Act is more than a law — it is an administrative revolution. “This policy treats the public not as a burden, but as partners. Starting a business is no longer difficult, but easy and a matter of pride,” they noted.

With this trust-based, technology-driven model, Punjab is positioning itself as one of the most investment-friendly states in India, turning the vision of ‘Rangla Punjab’ — a self-reliant, economically vibrant state — into reality. The Act continues to inspire confidence among small businesspersons and industrialists, ensuring that entrepreneurship in Punjab is not only possible but also celebrated.

 

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