Small industries file complaint against 'erring' large cos

The Federation has lodged a complaint with the Ministry for Micro, Small and Medium Enterprises (MSME), seeking "closure of big units" which manufacture items reserved for micro and small units and launch of a nationwide investigation to identify companies violating the provisions of the MSME Act.

Micro unit is a unit which has investment in plant and machinery of not more than Rs 25 lakh while small unit has investment of not more than Rs 5 crore.

"Medium and large scale industries can not manufacture items which are reserved only for micro and small industries but we have seen that units which are in medium and large scale categories are also into manufacturing of these products which is a sheer violation of the law," FASII President Badish Jindal said today.

"Some large companies are involved in manufacturing of bread, sauces, pickles, in Punjab and also some companies are manufacturing mustard oil, stainless steel and aluminium utensils, laundry soaps, exercise books, padlocks, safety matches, wooden and steel furniture," he claimed.

"Any unit whose investment limit crosses its plant and machinery limit of Rs 5 crore cannot manufacture reserved products," he said, adding that medium and large scale companies had no right to tap opportunities meant of micro and small industries.

MSME Director Punjab S S Dhillon said he had received a

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