Ease of Doing Business for MSMEs: The government is working on creating an agro MSME category to push entrepreneurship in rural and tribal areas and help manufacturing via local and raw produce.
Ease of Doing Business for MSMEs: The government is working on creating an agro MSME category to push entrepreneurship in rural and tribal areas and help manufacturing via local and raw produce. Under this category, “MSME industries will be planned at Gram Panchayat level and such industries will contribute towards the development of the respective village,” Nitin Gadkari, Union Road Transport & MSME Minister, said on Friday, adding that plans to build smart village, smart city, industrial clusters and other facilities at both sides of highways are also on cards. The move will help in lowering the cost of power and labour at low level and will also enable MSMEs to produce goods at competitive prices.
Urging traders to contribute to the changing India, Nitin Gadkari said that in the aftermath of coronavirus crisis, “Innovation, entrepreneurship, knowledge, digital technology shall be the four basic fundamentals of future business in the country and therefore the traders of India should began the transformation process from traditional system to digital system.” The minister was addressing a conference by trade body CAIT. He also addressed the issue of farmers and said the country needs to increase the purchasing power of farmers. He also stressed on the need of technological advancements in the farming sector to sustain the sector.
Meanwhile, Finance Minister Nirmala Sitharaman announced a major relief package for the country’s Micro, Small, and Medium Enterprises as India reels under the coronavirus crisis. In the major announcements, FM Sitharaman said that the definition for MSME has been altered to bring more companies in the ambit. “Definition being changed for MSMEs in their benefit. So that they can grow in size and get benefits,’’ she said while briefing the nation on the centre’s Rs 20 lakh crore economic package announced by PM Narendra Modi. Now, manufacturing units with investments upto Rs 1 crore will now be called MSME. The earlier limit for the same was Rs 25 lakh. The government also announced collateral free loans to boost the MSME sector.