Kerala revises its MSME registration target to 1.5 lakh by end of FY22-23

Ease of Doing Business for MSMEs: Kerela’s Industries Minister P Rajeev said that the government encourages industrial projects that demand less land.

Kerala revises its MSME registration target to 1.5 lakh by end of FY22-23
The Industries Minister said that the state government has decided to treat non-IT startups at par with the IT firms and the former will enjoy all the exemptions that were given to IT startups.

Ease of Doing Business for MSMEs: The state of Kerela has seen a signification upsurge in the number of MSMEs registering with the government. According to the report by ANI, in the first quarter of this fiscal, almost 42,300 MSMEs got registered with the Kerela government. This number is telling as only 17,300 MSMEs got registered in the state during the entire last financial year. 

The data was shared by Kerela’s Industries Minister P Rajeev at the inauguration of a new facility of Japanese software company Innovature at Infopark Phase 2 SEZ located in the Kakkanad region in the city of Kochi in Kerala. The Industries Minister added that this has led the government to revise their MSME registration target from the earlier 1 lakh to 1.5 lakh MSMEs by the end of 2022-2023. 

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The 500-people firm Innovature works primarily with Japanese clients and aims to expand its employee base to 2,000 by 2025. 

While speaking at the inauguration ceremony, the minister said that the government encourages industrial projects that demand less land. “We are a state with the fragile Western Ghats on one side and a coast with regulations zone act on the other. In between, we have eco-sensitive zones. This implies we can go only vertically,” he noted. 

He also said that the state government has decided to treat non-IT startups at par with the IT firms and the former will enjoy all the exemptions that are given to IT startups. Non-IT businesses with 10 acres of land will be given some concessions along with a Rs 3-crore grant. 

Rajeev shared that firms requiring an investment of Rs 50 need to obtain a license within six months of starting their operations. Also, licenses to firms with investments above Rs 50 crore will be granted within seven days of application. 

For ease of doing business, grievance redressal forums have begun at both the district and the state levels, and their decision will be binding on all government departments. 

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