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President's Message
" With an elephant sized issue, GST, out of the room, the gaze of the Government is now turning to long pending reforms especially those related to labour laws. The Cabinet has already cleared a uniform Wage bill. There is traction in other labour legislation too. Though it is early days, yet the emerging trends are worrying for employers. The paid Maternity leaves for women employees have been increased from 12 weeks to 26 weeks. Secondly, the minimum wage bill talks of a national threshold of minimum wages. The states can hike it further, over and above the central threshold, if they wish so! All such measures will increase cost of employing and will act as a deterrent in hiring more people. In a country which requires to generate 12 Mn (1.2 Crore ) jobs every year it is a suicidal policy. Further, interference of the State in labour markets is likely to make markets more inefficient. The impact of these actions will be malignant on competitiveness of industry which is facing enormous global competition to survive. Though, against the popular political belief, we need to bring home the point that we need to create sustainable employment which is only possible when labour markets function efficiently. "
FISME delegation request Dr. Arun Kumar Panda Secretary, MSME for a fair share of MSMEs in public procurement
A high level delegation from FISME led by Mr. V K Agarwal, Past President, called to Dr. Arun Kumar panda, who has recently taken over as the Secretary in the Ministry of MSME.
During the visit, the delegation briefed the Secretary about the activities of FISME and also requested his immediate attention to a couple of policy issues stifling the growth of the MSME sector.
Secretary MSME was informed about capturing of Government procurements by the multi- nationals in the name of make in India. He was requested by the delegation to advise the authorities concerned to treat MSMEs making quality items with foreign know how as equally eligible for supply to Government.
Dr. Panda, agreed that MSMEs need better support policies for getting a fair share in public procurement and agreed to Chair a session with the stakeholders to discuss the bottlenecks.
He also agreed to set up a specialised Desk in the Ministry to address grievances of MSMEs related to public procurement.
In recent years, Indians have got on the entrepreneurship bandwagon in very large numbers. From bringing an idea to life to being your own boss, there are many motivations. One of them is the need for the Indian youth to create their own jobs. With a staggering 65 percent of the population is under the age of 35 and explosive statistics around the adoption of smart phone and broadband, it is the youth that is truly driving this era of entrepreneurship in the country.
Over three years into the Narendra Modi government, the economy presents a strange paradox. On the one hand is a positive sentiment that springs from overall macro-economic stability and fiscal discipline that the government has managed to bring about, although aided so far by low crude oil prices. That sentiment has had a rub off on the country's bourses, which are trading at all time highs. However, at the other end of the spectrum, the general public, by and large, remain concerned with the twin troubles that have come to dog the Modi government - creation of jobs, and rise in prices of essential commodities.
The government on Friday hiked the import duty on crude palm oil to 15 per cent from 7.5 per cent and on refined to 25 per cent from 15 per cent to curb cheaper shipments and boost local prices for supporting domestic farmers and refiners.
The import duties on other crude edible oils like soya and sunflower have been raised to 17.5 per cent from 12.5 per cent, according to a notification issued by the Central Board of Excise and Customs (CBEC).
India Inc reported a revival in year-on-year sales growth in the June quarter albeit amid pressure on profits and profitability. The trend is expected to continue since the next two quarters will reflect gradual stability in business after the implementation of the goods and services tax (GST) on July 1 and expected higher demand due to the festival season and a good monsoon.
However, firm input costs including those of raw materials and staff as a percentage of sales, along with a rising interest burden relative to operating profit may affect profitability.
Gems and jewellery exports grew by about 4 per cent to USD 9.17 billion during the first quarter of the current fiscal, driven largely by demand in major markets like the US.
In the April-June quarter of last financial year, the sector's exports aggregated to USD 8.84 billion, according to the data from Gems and Jewellery Export Promotion Council (GJEPC). The labour intensive sector contributes about 14 per cent to the country's overall exports.
Commerce and industry minister Nirmala Sitharaman on Wednesday said anti-dumping duty is in force on 93 products imported from China
These products fall in the broad groups of chemicals and petrochemicals, products of steel and other metals, fibres and yarn, machinery items, rubber or plastic products, electric and electronic items and consumer goods, among others. “In addition, 40 cases concerning imports from China have been initiated by Directorate General of Anti-Dumping and Allied Duties,” she told Rajya Sabha in a written reply.
In a bid to extend credit to the Micro, Small and Medium Enterprises (MSMEs), Allahabad Bank announced its target of raising over Rs 2000 crores in the current fiscal. The bank’s credit book will focus primarily on the MSME sector and agriculture.
Usha Ananthasubramaniam, MD and CEO of Allahabad Bank in a press interview said that the bank intends to focus on retail loans along with the MSME sector and the agriculture to boost its growth.
The Ministry of Micro, Small and Medium Enterprises announced approval 54 NSQF aligned courses that are being conducted in association with Ministry of Rural Development and Indo German Tool room (IGTR).
The Ministry informed that these courses are recognized as valid skill development courses under the Deen Dayal Upadhyaya Grameen Kaushalya Yojana (DDU-GKY).
The assessment for the courses will be undertaken by the MSME Technology Centre under the Ministry of Micro, Small and Medium Enterprise.
The finance firm Lendingkart in a recent collaboration with Kotak Mahindra Bank, Aditya Birla Financial Services and other institutions has raised 10 million dollars as fund for extending credit to its clients.
With the fresh funds, Lendingkart aims at widening its credit base to the Small and Medium Enterprises (SMEs) in the country.
CEO and Co-Founder of Lendingkart, Harshvardhan Lunia, in a press interaction informed that the main focus of his organization is to enable a financially inclusive environment for the SMEs in the country.
Khadi Institutions are now mandated to obtain registration under GST and also pay GST on various Khadi products which is 5%, Ministry of MSME has said.
The Ministry has welcomed the introduction of GST and said, “The entire Khadi & Village Industries (KVI) sector has been enjoying the benefit of tax exemption even under the pre-independence era.” With the exemption to the SSI sector being drastically reduced from the existing Rs.150 lakh to Rs.20 lakh, the exemption cover enjoyed by many of the Khadi Institutions (KIs) has been removed, Minister of State for MSME, Giriraj Singh said in a written reply to a question in Rajya Sabha.
The Odisha government has decided to send fresh demand notices to miners held guilty of excess production of minerals after the Supreme Court order on rampant illegal mining in the state. The fresh notices are expected to be dispatched to the errant mining companies in phases in 10 days.
For production beyond the limits approved under environment clearance (EC), the state government will go by the calculation of the apex court appointed a central empowered committee (CEC).
Eyeing at accelerating entrepreneurship in the region, the social media giant Facebook has signed a pact with the Odisha Government to educate over 25, 000 Micro, Small and Medium Enterprises (MSMEs) and Self Help Groups (SHGs). The collaboration aims to help the MSME sector as well as the SHGs in the state of Odisha go digital.
Facebook will conduct training program and workshops to enable the entrepreneurs to sell their products online. Also the program will assist the MSMEs and the SHGs in expanding their customer base by deploying their products online
The Micro, Small and Medium Enterprises (MSMEs) in Punjab are seeking exemption for the unorganized work sector, responding to which the State government has assured taking the matter with the GST council in the upcoming GST Council meeting.
Talking to KNN, Sanjay Bhatia, Joint Secretary of Chamber of Industrial and Commercial Undertakings (CICU) explained the situation.
He said that the firms that fall under the non-excise units are facing a lot of problems because of the GST on the work force.
Responding to the credit request of the Micro, Small and Medium Enterprises (MSMEs) in the state of Gujarat, the state government has decided to extend funds of over Rs 730 crores to the sector.
The amount will be extended to over 16,000 MSME units in the state in the form of capital incentives. M.K Das, Principal Secretary, Industries and Mines Department in a press interview informed about the decision.
India and the United States of America will be co-hosting the Global Entrepreneurship Summit (GES) that is to be organized in Hyderabad.
The International Summit is scheduled will kick off on 28thNovember and continue till 30th November.
Commenting upon the significance of the summit, Prime Minister Narendra Modi said that the event is a unique opportunity for bringing together entrepreneurs and startups with global leaders.
Aiming at directing flow of investment in food processing sector of the country, Ministry of Food Processing Industries (MoFPI) is organizing World Food India road show in Dubai, United Arab Emirates.
The Indian delegation for World Food India will be headed by Sadhvi Niranjan Jyoti, Minister of State, Ministry of Food Processing Industries.
The event is being seen as an important step towards strengthening of the bilateral economic relationship between India and UAE, especially with special focus on the food processing sector.
How has been your experience of working with GST so far?
According to the FISME Factor, 54.5 percent of Micro, Small & Medium Enterprises have a good experience of working with GST, 18.2 percent feel they have a bad experience while 27.3 percent can’t say.
Safeguarding one’s interests is a natural tendency that all living beings are born with. From single- cell organisms to humans, each one has one or the other innate reflex for defence against potential harm. Why should then organisations look at it as a mere tick in the box, while hiring employees?
Struggling to raise money? AI-powered bank loans from Loan Frame can help
Rising non-performing assets (NPAs), overleveraged large companies and the general unwillingness of banks to lend money has meant small businesses are now finding it next to impossible to raise money. As loan portfolios sour, banks do not want to take the risk of lending to an SME.
Cost-effective digital advertising methods that every brand must adopt
The best advertising strategy is one that helps the advertiser in delivering the message to a maximum number of people at a minimum cost. That is why from startup companies to large corporates; digital advertising is the first choice of smart businesses all over the world.
Delay in power connections haunting MSMEs in Jammu & Kashmir: BBIA
The Micro, Small and Medium Enterprises (MSMEs) in Jammu and Kashmir continue to face problems in obtaining a power connection, because of which the sector is suffering, Bari Brahamana Industries Association (BBIA) informed.
The story of Bangalore based startup accelerator Appy Hours
Appy Hours is a startup accelerator program by Appiness Interactive. They are a Product Development Accelerator, one of the very few around. The Appy Hours team works with startups in the early stages to develop their Minimum Lovable Product (MLP).
Electrocraft Industries is helping SMEs manufacture better with quality components
Travel to any of the 100 industrial clusters across India and SME owners will tell you one thing: “There is a paucity of capital and lack of technology that can make us competitive.”
The Central Statistics Office (CSO), Ministry of Statistics and Programme Implementation, has released the Consumer Price Index Numbers on Base 2012=100 For Rural, Urban and Combined for the month Of July 2017
FISME regularly receives monthly reports on the economies of various countries from their missions in India. These reports provide information on key economic parameters, trade related information and all news relevant for importers and exporters. In this edition you can take a look at reports on:
Write your comments on the FISME Factor. Share your views and suggestions on MSME issues. Win prize! The best mail will get a special book every fortnight.
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" With an elephant sized issue, GST, out of the room, the gaze of the Government is now turning to long pending reforms especially those related to labour laws. The Cabinet has already cleared a uniform Wage bill. There is traction in other labour legislation too. Though it is early days, yet the emerging trends are worrying for employers. The paid Maternity leaves for women employees have been increased from 12 weeks to 26 weeks. Secondly, the minimum wage bill talks of a national threshold of minimum wages. The states can hike it further, over and above the central threshold, if they wish so! All such measures will increase cost of employing and will act as a deterrent in hiring more people. In a country which requires to generate 12 Mn (1.2 Crore ) jobs every year it is a suicidal policy. Further, interference of the State in labour markets is likely to make markets more inefficient. The impact of these actions will be malignant on competitiveness of industry which is facing enormous global competition to survive. Though, against the popular political belief, we need to bring home the point that we need to create sustainable employment which is only possible when labour markets function efficiently. "
FISME delegation request Dr. Arun Kumar Panda Secretary, MSME for a fair share of MSMEs in public procurement
A high level delegation from FISME led by Mr. V K Agarwal, Past President, called to Dr. Arun Kumar panda, who has recently taken over as the Secretary in the Ministry of MSME.
During the visit, the delegation briefed the Secretary about the activities of FISME and also requested his immediate attention to a couple of policy issues stifling the growth of the MSME sector.
Secretary MSME was informed about capturing of Government procurements by the multi- nationals in the name of make in India. He was requested by the delegation to advise the authorities concerned to treat MSMEs making quality items with foreign know how as equally eligible for supply to Government.
Dr. Panda, agreed that MSMEs need better support policies for getting a fair share in public procurement and agreed to Chair a session with the stakeholders to discuss the bottlenecks.
He also agreed to set up a specialised Desk in the Ministry to address grievances of MSMEs related to public procurement.
In recent years, Indians have got on the entrepreneurship bandwagon in very large numbers. From bringing an idea to life to being your own boss, there are many motivations. One of them is the need for the Indian youth to create their own jobs. With a staggering 65 percent of the population is under the age of 35 and explosive statistics around the adoption of smart phone and broadband, it is the youth that is truly driving this era of entrepreneurship in the country.
The government on Friday hiked the import duty on crude palm oil to 15 per cent from 7.5 per cent and on refined to 25 per cent from 15 per cent to curb cheaper shipments and boost local prices for supporting domestic farmers and refiners.
The import duties on other crude edible oils like soya and sunflower have been raised to 17.5 per cent from 12.5 per cent, according to a notification issued by the Central Board of Excise and Customs (CBEC).
India Inc reported a revival in year-on-year sales growth in the June quarter albeit amid pressure on profits and profitability. The trend is expected to continue since the next two quarters will reflect gradual stability in business after the implementation of the goods and services tax (GST) on July 1 and expected higher demand due to the festival season and a good monsoon.
However, firm input costs including those of raw materials and staff as a percentage of sales, along with a rising interest burden relative to operating profit may affect profitability.
Gems and jewellery exports grew by about 4 per cent to USD 9.17 billion during the first quarter of the current fiscal, driven largely by demand in major markets like the US.
In the April-June quarter of last financial year, the sector's exports aggregated to USD 8.84 billion, according to the data from Gems and Jewellery Export Promotion Council (GJEPC). The labour intensive sector contributes about 14 per cent to the country's overall exports.
Commerce and industry minister Nirmala Sitharaman on Wednesday said anti-dumping duty is in force on 93 products imported from China
These products fall in the broad groups of chemicals and petrochemicals, products of steel and other metals, fibres and yarn, machinery items, rubber or plastic products, electric and electronic items and consumer goods, among others. “In addition, 40 cases concerning imports from China have been initiated by Directorate General of Anti-Dumping and Allied Duties,” she told Rajya Sabha in a written reply.
In a bid to extend credit to the Micro, Small and Medium Enterprises (MSMEs), Allahabad Bank announced its target of raising over Rs 2000 crores in the current fiscal. The bank’s credit book will focus primarily on the MSME sector and agriculture.
Usha Ananthasubramaniam, MD and CEO of Allahabad Bank in a press interview said that the bank intends to focus on retail loans along with the MSME sector and the agriculture to boost its growth.
The Ministry of Micro, Small and Medium Enterprises announced approval 54 NSQF aligned courses that are being conducted in association with Ministry of Rural Development and Indo German Tool room (IGTR).
The Ministry informed that these courses are recognized as valid skill development courses under the Deen Dayal Upadhyaya Grameen Kaushalya Yojana (DDU-GKY).
The assessment for the courses will be undertaken by the MSME Technology Centre under the Ministry of Micro, Small and Medium Enterprise.
The finance firm Lendingkart in a recent collaboration with Kotak Mahindra Bank, Aditya Birla Financial Services and other institutions has raised 10 million dollars as fund for extending credit to its clients.
With the fresh funds, Lendingkart aims at widening its credit base to the Small and Medium Enterprises (SMEs) in the country.
CEO and Co-Founder of Lendingkart, Harshvardhan Lunia, in a press interaction informed that the main focus of his organization is to enable a financially inclusive environment for the SMEs in the country.
Khadi Institutions are now mandated to obtain registration under GST and also pay GST on various Khadi products which is 5%, Ministry of MSME has said.
The Ministry has welcomed the introduction of GST and said, “The entire Khadi & Village Industries (KVI) sector has been enjoying the benefit of tax exemption even under the pre-independence era.” With the exemption to the SSI sector being drastically reduced from the existing Rs.150 lakh to Rs.20 lakh, the exemption cover enjoyed by many of the Khadi Institutions (KIs) has been removed, Minister of State for MSME, Giriraj Singh said in a written reply to a question in Rajya Sabha.
The Odisha government has decided to send fresh demand notices to miners held guilty of excess production of minerals after the Supreme Court order on rampant illegal mining in the state. The fresh notices are expected to be dispatched to the errant mining companies in phases in 10 days.
For production beyond the limits approved under environment clearance (EC), the state government will go by the calculation of the apex court appointed a central empowered committee (CEC).
Eyeing at accelerating entrepreneurship in the region, the social media giant Facebook has signed a pact with the Odisha Government to educate over 25, 000 Micro, Small and Medium Enterprises (MSMEs) and Self Help Groups (SHGs). The collaboration aims to help the MSME sector as well as the SHGs in the state of Odisha go digital.
Facebook will conduct training program and workshops to enable the entrepreneurs to sell their products online. Also the program will assist the MSMEs and the SHGs in expanding their customer base by deploying their products online
The Micro, Small and Medium Enterprises (MSMEs) in Punjab are seeking exemption for the unorganized work sector, responding to which the State government has assured taking the matter with the GST council in the upcoming GST Council meeting.
Talking to KNN, Sanjay Bhatia, Joint Secretary of Chamber of Industrial and Commercial Undertakings (CICU) explained the situation.
He said that the firms that fall under the non-excise units are facing a lot of problems because of the GST on the work force.
Responding to the credit request of the Micro, Small and Medium Enterprises (MSMEs) in the state of Gujarat, the state government has decided to extend funds of over Rs 730 crores to the sector.
The amount will be extended to over 16,000 MSME units in the state in the form of capital incentives. M.K Das, Principal Secretary, Industries and Mines Department in a press interview informed about the decision.
India and the United States of America will be co-hosting the Global Entrepreneurship Summit (GES) that is to be organized in Hyderabad.
The International Summit is scheduled will kick off on 28thNovember and continue till 30th November.
Commenting upon the significance of the summit, Prime Minister Narendra Modi said that the event is a unique opportunity for bringing together entrepreneurs and startups with global leaders.
Aiming at directing flow of investment in food processing sector of the country, Ministry of Food Processing Industries (MoFPI) is organizing World Food India road show in Dubai, United Arab Emirates.
The Indian delegation for World Food India will be headed by Sadhvi Niranjan Jyoti, Minister of State, Ministry of Food Processing Industries.
The event is being seen as an important step towards strengthening of the bilateral economic relationship between India and UAE, especially with special focus on the food processing sector.
According to the FISME Factor, 54.5 percent of Micro, Small & Medium Enterprises have a good experience of working with GST, 18.2 percent feel they have a bad experience while 27.3 percent can’t say. 
Safeguarding one’s interests is a natural tendency that all living beings are born with. From single- cell organisms to humans, each one has one or the other innate reflex for defence against potential harm. Why should then organisations look at it as a mere tick in the box, while hiring employees?
Rising non-performing assets (NPAs), overleveraged large companies and the general unwillingness of banks to lend money has meant small businesses are now finding it next to impossible to raise money. As loan portfolios sour, banks do not want to take the risk of lending to an SME.
The best advertising strategy is one that helps the advertiser in delivering the message to a maximum number of people at a minimum cost. That is why from startup companies to large corporates; digital advertising is the first choice of smart businesses all over the world.
The Micro, Small and Medium Enterprises (MSMEs) in Jammu and Kashmir continue to face problems in obtaining a power connection, because of which the sector is suffering, Bari Brahamana Industries Association (BBIA) informed.
Appy Hours is a startup accelerator program by Appiness Interactive. They are a Product Development Accelerator, one of the very few around. The Appy Hours team works with startups in the early stages to develop their Minimum Lovable Product (MLP).
Travel to any of the 100 industrial clusters across India and SME owners will tell you one thing: “There is a paucity of capital and lack of technology that can make us competitive.”
“ Chase the vision, not the money, the money will end up following you. ”
