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  The FISME Factor  


President's Message
Dr. Sangam Kurade, President, FISME ‘Make in India’ has been a flagship initiative of Prime Minister Modi. In June this year, DIPP, MoC&I issued the ‘Make in India’ Order which earmarked 50% of procurement by domestic manufacturer even if foreign supplier is L1. Based on feedback on the policy, I wrote a letter on 3rd Oct 2017 to the Prime Minister highlighting serious flaws in the policy and asked for urgent review. I am happy to share that following the communication DIPP has decided to convene the meeting with major stakeholders soon. FISME has asked for increase in set-aside from 50 to 75%; doing away with minimum value addition criteria and addressing issues of setting arbitrary pre-qualification conditions among others. In coming months we would focus on public procurement and adjunct ‘Make in India’ to ensure that MSMEs have a fair chance of competing and winning government contracts. "
Mr. Dinesh Chandra Tripathi, President, FISME
Vol V, Issue 141: October 15, 2017
FISME CEC discusses urgent issues related to MSMEs
Business Banter: Lessons from Entrepreneurs
Persistence Could Save your Business from Risks
Macro Metre
Major ports record 3.24% growth in H1
‘Centre working on ways to speed up refund process for exporters’
Domestic Digest
NITI Aayog to introduce Digital Transformation Index for start-ups Knowledge and News Network (KNN)
AEPC urges Government to address issue of embedded taxes -refund through the drawback route ahead of peak festival season
Govt. to establish 16 new industrial estates for MSMEs: Vijay Rupani
State Scan
IILD sets up MSME training centre in Hyderabad Knowledge and News Network (KNN)
Power subsidy for industries in Punjab soon: Amarinder Singh
High Under-Implementation rate of industrial projects in Uttar Pradesh: Study
World Watch
Cabinet approves India-Belarus MoU for Skill development
India-US High level delegation meet, discussions over upcoming Global Entrepreneurship on the agenda
Knowledge Store
Ultimate Sun Systems helps clients leverage renewable energy for affordable power
...And A Lot More

FISME CEC discusses urgent issues related to MSMEs

The Central Executive Committee of FISME held a meeting recently and discussed the crucial issues before the MSME sector. The meeting was chaired by Mr. Dinesh Chandra Tripathi, President, FISME, and discussed the problems MSMEs are facing in implementing GST. The Committee identified areas like working capital blocked in transition credits and delayed reimbursement of IGST to exporters. At the meeting it was decided that FISME will take up the issues with the Government at the earliest. The ongoing restructuring of labour law regime was also discussed at the meeting. The Committee expressed strong reservation on the all India minimum wage proposed in the draft wage bill. The CEC was unanimous that such a directive will be un-implementable by MSMEs and will only promote shady operations.
Business Banter: Lessons from Entrepreneurs

Persistence Could Save your Business from Risks

Quitting a 9-5 job to take a plunge into the startup world, raising money from investors while others place bets on your idea, handling employees who count upon you for their daily wages... an entrepreneur’s life is not one without risks. Being the founder of a startup, one has to be aware of the mistakes they could make and take calculated risks while keeping their fingers crossed, hoping it pays off. We spoke to some of the entrepreneurs who have built successful startups and they shared the biggest risks they have taken as well as their secret mantra of tackling those situations.
Writing on the Wall

Welcome candour

In a welcome admission that the economy is indeed in slowdown mode and needs to be fixed, the Economic Advisory Council to the Prime Minister has conceded that “various reasons had contributed to the slowdown of growth rate”. The admission, which is the first step to setting things right, comes a week after the Prime Minister's combative speech which made light of the first quarter growth figures (5.7 per cent), and suggested that critics, including those within the party, were overreacting to the disappointing numbers. He added that green shoots were in evidence since June, referring to the rising sales of tractors, commercial vehicles, passenger cars and two-wheelers as well as a pick-up in telephone subscribers. But with the EAC swinging into action, it would seem that those at the top are actually worried. The formation of the EAC marks a subtle concession to critics that economy managers in North Block and the NITI Aayog could have done better.

Media Monitor

Macro Metre

Major ports record 3.24% growth in H1

Major ports in India have recorded a growth of 3.24 per cent and together handled 326.4 million tonnes of cargo during April to September this year, as against 316.1 million tonnes during the corresponding period last year. Seven ports — Kolkata, Paradip, Chennai, Cochin, New Mangalore, Mumbai and JN Port — registered positive growth in traffic during the period. Cochin tops The highest growth was registered by Cochin Port (19.62 per cent), followed by Kolkata (Haldia), New Mangalore, and Paradip with growth of about 12 per cent. Cochin Port growth was mainly due to increase in traffic of petroleum products (27.8 per cent) and containers (10.3 per cent).

‘Centre working on ways to speed up refund process for exporters’

The Centre is working on ways to further fast-track the refund process for exporters, post rollout of GST. According to CR Chaudhary, Union Minister of State for Commerce and Industry, Food and Public Distribution and Consumers Affairs, feedback from exporters has also been sought on how refunds can be sped up so that their working capital requirements do not face problems. In a recent development, the GST Council has already decided to provide pending exporters’ refunds in 15 days.

Exports climb 25.67 per cent in Sept, imports up 18 per cent

India’s merchandise exports rose sharply in September, belying fears of a slump due to disruption and working capital issues brought on by the introduction of the goods and services tax. Exports climbed 25.67 per cent in September, exceeding an 18.1 per cent increase in imports, helping to narrow the trade deficit to $8.98 billion from $9.07 billion in September 2016. In absolute terms, India’s exports were pegged at $28.6 billion dollars in September against $22.8 billion a year ago, according to data released by the commerce department on Friday. Imports were up at $37.6 billion from $31.8 billion.

Factory output jumps to 9-month high in August, inflation eases

The government had twin cause for cheer with industrial growth picking up pace to a nine-month high in August and consumer inflation remaining steady in September, exceeding expectations and raising hope the economy is set for a revival after slumping to a three-year low in the June quarter. The index of industrial production (IIP) rose 4.3 per cent in August, reversing a contraction in June and faster than a 0.9 per cent rise in July, according to data released by Central Statistics Office on Thursday. Inflation based on the consumer price index (CPI) was at 3.28 per cent in September, unchanged from August, the statistics office said.

Domestic Digest

NITI Aayog to introduce Digital Transformation Index for start-ups

Eyeing at facilitating digital transformation among the startups in the country, NITI Aayog is in the process of coming up with a Digital Transformation index (DTI) for start-ups. Aalekh Sharan, Officer on Special Duty, NITI Aayog, in a press interview informed about the latest development. Sharan informed that the Digital Transformation Index would emerge as a tool for the startups to grow as well as survive along digital lines.

AEPC urges Government to address issue of embedded taxes -refund through the drawback route ahead of peak festival season

In an attempt to voice concern of the textile sector comprising of a fair share of the Micro, Small and Medium Enterprises (MSMEs), Apparel Export Promotion Council (AEPC) have urged the government to address the refund of embedded taxes on exports under the Goods and Services Tax (GST). AEPC in a press statement informed that it has written to the GST council regarding the embedded taxes including the levies on cotton, electricity, input tax credit restrictions for man-made fibers used in textiles and purchases made from unregistered dealers.

Core sector registers 4.9 per cent growth in August

The core sector comprising of eight core industries drew a growth trajectory of over 4.9% in August, the data from the Ministry of Commerce and Industry revealed. According to the data, the latest figure from August is a result of the better performance in the electricity and coal sector, even when certain sectors of the core industry registered negative figures. The figure from the eight core industries that amounts to over 40.27 % of the volume of items included in the Index of Industrial Production (IIP) for the month of August this year is higher than 3.1% in August 2016 and 2.6% of July this year.

Govt. to establish 16 new industrial estates for MSMEs: Vijay Rupani

Eyeing at facilitating thrust to the Micro, Small and Medium Enterprises (MSMEs) in the state, the Gujarat Chief Minister Vijay Rupani announced setting up of 16 new industrial estates across the state. The Minister in a press interview informed that Gujarat Industrial Development Corporation (GIDC) will be setting up the project in 14 districts across Gujarat. He further said that these estates will be spread over 2,460 hectares, and will comprise of 14,540 industrial plots of different sizes for micro, small and medium enterprises.
State Scan


IILD sets up MSME training centre in Hyderabad

Eyeing at equipping the Micro, Small and Medium Enterprises (MSMEs) with appropriate training, The Indian Institute of Learning and Development (IILD) announced its centre in Hyderabad for the MSME entrepreneurs. IILD Chairman and Managing Director, Pravin Daryani in a press interview informed about the latest development. Daryani said the insitute is established with the main aim to contribute to the growth of MSMEs in Telangana.


Power subsidy for industries in Punjab soon: Amarinder Singh

Eyeing at addressing the concerns of the industry in the state comprising of a fair share of Micro, Small and Medium Enterprises (MSMEs), the Punjab government is to introduce subsidy, Punjab CM Captain Amarinder Singh informed. The Minister said that the government would roll out power subsidy to industry, with power at the rate of Rs 5 per unit, from November 1 onwards. Singh added that the development comes post approval from the state assembly.

Jammu & Kashmir    

Jammu Kashmir MSMEs not happy with the notification of support under GST, says not in line with the promised provisions

With the government announcing the scheme of budgetary support under Goods and Service Tax regime to the units located, the industrial sector of the state comprising of a fair share of Micro, Small and Medium Enterprises (MSMEs) have expressed discontent over the structure of the notification. Federation of Industries Jammu (FOIJ) in a press statement said that the sector is not happy with the notification issued by Department of Industrial Policy & Promotion, Ministry of Commerce & Industry, Government of India wherein scheme of budgetary support under Goods and Service Tax regime to the units located in state of Jammu & Kashmir has been announced.

Uttar Pradesh    

High Under-Implementation rate of industrial projects in Uttar Pradesh: Study

In a report to the Uttar Pradesh government, ASSOCHAM stated that in the recent years, the under-implementation rate of the projects in Uttar Pradesh is on a rise. According to the study, under-implementation rate in UP has been increased to 70 per cent in 2016-17 from 52.4 per cent in 2011-12, Uttar Pradesh being India’s fourth largest state in terms of economic size, its economic contribution is mere 7.9 percent. Talking to KNN, Sunil Vaish, President of Indian Industries Association (IIA) said that a lot is to be done in the state in order to realize higher implementation rates and achieve desirable economic goals.
World Watch


Suresh Prabhu invites Swedish companies to Make in India

Eyeing at fostering Indo-Swedish economic ties and explore new avenues of growth and innovation, Indian diplomats, attending the Make in India: Sweden summit invited Swedish companies to come and Make in India. The Indian delegation led by Minister of Commerce & Industry, Suresh Prabhu in a bilateral meeting with Prime Minister of Sweden Stefan Löfven said India and Sweden must head towards a new wave of business oriented structural reforms and partnerships Chief Minister of Maharashtra, Devendra Fadnavis who is a part of the delegation also attended the meeting. Batting for his state, Fadnavis informed that there are huge business opportunities in Maharashtra and the state is looking forward to collaborate with technology providers in different fields including solid and liquid waste management.
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Cabinet approves India-Belarus MoU for Skill development

The Memorandum of Understanding (MOU) between India and Belarus for cooperation in the areas of vocational education and skill development that was signed earlier, recently got the approval by the cabinet chaired by Prime Minister Narendra Modi. This is the first time that a MOU has been signed with a Eurasian country in this field. The memorandum was signed on 12th September, 2017 during the visit of President of Belarus, Mr. Alexander Lukashenko to India. According to the agreement Belarus will provide vocational educational and advisory services in the areas of manufacturing, construction,electric power production,transport and also internships for vocational education and training managers. Knowledge on emerging technologies, training and evaluation methodologies, will also be shared by Belarus as a part of the memorandum.
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United State of America    

India-US High level delegation meet, discussions over upcoming Global Entrepreneurship on the agenda

A high-level delegation from the Government of India and the United States met today, at NITI Aayog to discuss the proceedings of the upcoming 2017 Global Entrepreneurship Summit, scheduled for November. The Summit is to be inaugurated by the Prime Minister Narendra Modi and Advisor to the President, Ivanka Trump, who leads the U.S. delegation. Niti Aayog in a statement informed that the summit is to feature emerging entrepreneurs, investors, and business leaders from different countries of the world. The Summit aims to enhance the coordination between the two countries through networking, mentoring, and workshops. Niti Aayog further said that the summit is a vital step to empower entrepreneurs to pitch their ideas, build partnerships, secure funding, and create innovative goods and services that will transform societies.
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FISME’s official Twitter handle
Knowledge and News Network (KNN)
KNN India’s official Twitter handle
Anil Bhardwaj, Secretary General
Other Events

International conference on Current research in Applied Business and Social Sciences

Date: 16-17 Oct 2017
Venue: Hotel The Hans, New Delhi, New Delhi
See Details

International Conference On Communication And Electronics Systems

Date: 19-20 Oct 2017
Venue: The Arcadia, Coimbatore
See Details

E-Security Expo

Date: 25-27 Oct 2017
Venue: Pragati Maidan, New Delhi
See Details

Business and Luxury Travel Mart Delhi

Date: 26-27 Oct 2017
Venue: Hyatt Regency Gurgaon, Gurgaon
See Details

Safety Security India

Date: 26-28 Oct 2017
Venue: Hitex Exhibition Center, Hyderabad
See Details

Drink Technology India

Date: 26-28 Oct 2017
Venue: Pragati Maidan, New Delhi
See Details

Dairy Industry Expo 2017

Date: 26-28 Oct 2017
Venue: Auto Cluster Exhibition Center, Pune
See Details

Food Tech India - Kolkata

Date: 26-29 Oct 2017
Venue: Science City, Kolkata
See Details

Furniture & Home Decor Expo Goa

Date: 27-29 Oct 2017
Venue: Dr Shyama Prasad Mukherjee Stadium, Taleigao
See Details

Udayabhanu National Ayurvedic Expo

Date: 27-30 Oct 2017
Venue: Industrial Development Corporation Odisha, Bhubaneswar
See Details

Krishi Darshan Expo

Date: 28-30 Oct 2017
Venue: Northern Region Farm Machinery Training and Testing Institute, Haryana
See Details
Your Views

RBI kept the reverse repo rate unchanged (5.57%). How do you think it will impact MSMEs?

According to the FISME Factor, 57.1 percent of Micro, Small & Medium Enterprises think that RBI decision to keep the reverse repo rate unchanged (5.57%) will positively impact MSME while 42.9 percent can’t say.
Knowledge Store

HR Heuristics

How to leverage employee loyalty during lean period

The success of any company, in the long term, is heavily dependent on the quality of its employees and their loyalty towards the company. However, when it comes to calculating the economics, employee worth is often considered to be intangible and soft, as compared to the tangible figures, such as costs of labour and operations.

Finance Fundamentals

SBI to offer short term loans to MSMEs

State Bank of India on Thursday announced that it will start offering short term loans to its MSME customers. Under its new initiative called SME Assist, it will render working capital loans to MSMEs according to their input credit tax.

Marketing Mantras

11 Ways to Boost Your Sales Performance

The sales profession is a fast-paced, constantly adapting industry with an onslaught of new competitors and niches. As a result, it’s vital for sales professionals to strive for continuous improvement.

Policy Polemic

MSME sector in shambles in Tamil Nadu due to GST

The Goods and Services Tax (GST) has taken its toll on the Micro, Small and Medium Enterprises (MSME) in Tamil Nadu. Most of the companies are facing loss of working capital due to high rates of GST. Many companies in the sector have halted their operations, MSME body Tamil Nadu Small and Tiny Industries Association said.

SME Special

23-year-old IIT Delhi alumnus Anu Meena is building a farm to business agritech startup

From a small village Manoli in Rajasthan, Anu Meena grew up watching her farmer grandfather face challenges in selling his produce. She started to think of ways to solve his problems such as attaining a fair price for his vegetables with the aid of technology. But for Anu, it wasn’t just about her grandfather or a single farmer: “It’s about India’s 13 percent GDP which comes from agriculture — a sector which is highly unorganised. The incorporation of technology for organising it will take time,” says Anu.

Success Story

Ultimate Sun Systems helps clients leverage renewable energy for affordable power

Creating a niche in the renewable energy sector this Gurugram-based startup is an integrator and developer of solar power projects, offering turnkey services including engineering, procurement and construction among others.


The Central Statistics Office (CSO), Ministry of Statistics and Programme Implementation, has revised the Base Year of the Consumer Price Index (CPI) from 2010=100 to 2012=100 with effect from the release of indices for the month of January 2015.

Quotable Quotes

“Don’t play games that you don’t understand, even if you see lots of other people making money from them. ”
– Tony Hsieh-An American entrepreneur and venture capitalist
Country Chronicles
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:
Starting a New Venture
Coming August, K J Somaiya Institute of Management Studies and Research located in Vidyavihar, Mumbai is launching a certificate programme on Creating New Ventures.
New Members

4 New Members Join FISME

During the period from 1st October 2017 to 15th October a total of 4 new MSME became members of FISME
Reader Reactions

Write and Win prize!

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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Editorial Team:
Hon. Editor: Anil Bhardwaj
Asstt. Editor: Kalpana Sharma
Types setting & websdesigning: Sanjay Sachan  
Video & Photography:  Vipul Kumar Chettry


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