Addresses the Indian Merchants’ Chamber at an event on Indian MSMEs, releases research report on their global competitiveness
• Indian MSME sector affected by funding gap and lack of transparency, expert panel agrees
• Industry heads from top financial institutes hold panel discussion on helping country’s MSMEs achieve greater success
Mumbai, Feb 10, 2015: Honourable Minister of Industries, Government of Maharashtra, Shri Subhash Desai, addressed the ‘Conference on Indian MSMEs – Looking Beyond and Further’ organised by Indian Merchants’ Chamber’s Economic Research & Training Foundation (ERTF) on Monday. He outlined the State and Central Governments’ strategies to support India’s Micro, Small and Medium Enterprises (MSMEs).
Talking at the conference that comprised the MSME sector’s players, industry representatives, and heads of major financial institutions, Shri Desai said it was now time for his team to deliver on their promises. “The business and enterprise environment in the state has been shrouded in bureaucracy and we’re trying to change that – we’ve already taken steps to reduce substantially the number of permits required to set up a enterprise in the sector, from 76 to 25,” he announced.
“The scope of growth of both large and small industries in Maharashtra is huge – MSMEs contribute 40 per cent of our exports, with over two lakh units in the state. We are aware of their potential to boost the state and country’s economy and are hence in the process of introducing new, progressive policies as regards the IT sector, food and education. By creating 20 lakh new jobs, we plan to bring in investments up to Rs 5,000 crore,” he added.
Citing last year’s instance of the UK rejecting consignments of alphonso mangoes hailing from Konkan for hygienic reasons, Shri Desai said that our entrepreneurs must be more disciplined and cater to foreign buyers’ demands. He also added that “The MSME sector creates more jobs than large-scale industries, so any Government in Maharashtra must take it seriously.”
Shri Desai then proceeded to release the book ‘Indian MSMEs –Looking Beyond and Further’, a research-based report by the Economic Research and Training Foundation of the IMC. The report undertook a sample study in Maharashtra, Gujarat and Uttar Pradesh and gives an overview of MSMEs in India and the core problems affecting them such as lack of statistics and structure, absence of effective financial support, and inefficient government policies. It also shares industry-wise findings and macro level recommendations.
Mr. Prabodh Thakker , President IMC commented, “Today’s event was the result of an extensive study by our Economic Research and Training Foundation, and the very interesting findings have been shared with the State Government’s ministry. At the panel discussion, we had representatives from South Korea, Argentina as well as top industry experts. I hope today’s event helps propel India’s potentially great MSME industry to the world.”
IMC’s knowledge-sharing event also included a panel discussion on the subject of Indian MSMEs, which threw up engaging points about the sector’s challenges. Among the panelists were Mr. Major Singh, Deputy Director (Electronics), Ministry of MSME, Government of India; Mr. Sanjeev Gupta –Deputy General Manager of SIDBI; Mr. Ajay Thakur who heads BSE’s SME vertical; Mr. Janesh Nair, Regional Director of the Gyeonggi Business Centre of South Korea;Mr. Alejandro Meyer, Deputy Consul General, Consulate General and Promotion Centre of Argentina and Mr. Sankar Chakraborty, CEO of SMERA Ratings Ltd., who also delivered the concluding address.
Encapsulating the panel’s perspectives and driving home critical points was Mr. Umesh Nihalani, Head Strategy and New Initiatives, SMERA Ratings Limited. “There is a large funding gap that thwarts the progress of Indian MSMEs–let’s say out of every need three rupees; they struggle to get two rupees. If we close even 50 per cent of this gap, India can become a global powerhouse in five years!” he said, adding his advice for Indian SME players: “Please specialise, diversify and be transparent about it! Also, expose yourself to globally accepted benchmarks and see your export competitiveness.”
CCI Newswire
