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  The FISME Factor  


President's Message
Mr Animesh SaxenaThe tragic suicide by the promoter of Café Coffee Day (CCD) chain has sparked a huge debate in the country about alleged un-ease of doing business in India. The incident should allow raising serious questions about business eco system in India. Why failed business owners don’t commit suicide in developed countries but they do in developing countries like India? As a matter of fact most of wildly successful businessmen in US from Ford to Walt Disney to Steve Jobs survived bankruptcy at least once in lifetime and rose again to staller heights. Working in a capitalist set-up characterized by fierce global competition, requires a different set of institutions, legal framework and social norms than what we inherited from pre-liberalization era. They are getting changed but perhaps too slowly while the competition is all over us. Look at the Insolvency and Bankruptcy Law, while it is functional for companies, partnership and proprietorship firms- most of MSMEs, continue to operate in a legal vacuum. Failure means imprisonment and social death for them. Further, it is high time that accountability is also fixed of officials who routinely misuse the unbridled powers of state for personal gains and in process destroy entrepreneurship. Seems like after farmers committing suicide, it is the turn of entrepreneurs. That needs to stop. "
Mr Animesh Saxena, President, FISME
Vol VII, Issue 184: Aug 1, 2019
CNBC with FISME organized a series ‘Boost your business’
Business Banter: Lessons from Entrepreneurs
Entrepreneurship: How to (really) own your scars
Macro Metre
India at 52nd position in Global Innovation Index 2019
No tax invoice required for goods brought back to India within 6 months post export promotion events
Domestic Digest
Smart Edge lending platform launched for MSMEs by Yes Bank Knowledge and News Network (KNN)
Labour Ministry notifies pension scheme for retailers and small traders
Weavers urged to increase the production base & also develop new designs
State Scan
AP Cabinet approves YSR Navodayam scheme for MSMEs Knowledge and News Network (KNN)
Gujarat Assembly passes a bill to ease industrial land sale
Assam Cabinet approves State Industrial Policy; has grant of 30% subsidy for MSMEs
World Watch
India and Benin sign MoU on export credit
India and Italy to set up fast-track mechanism to facilitate investors & companies in both sides
Knowledge Store
How Should Entrepreneurs Manage Their Debt?
...And A Lot More

CNBC with FISME organized a series 'Boost your business'.

CNBC with FISME organized a series ‘Boost your business’ focusing MSMEs. The series concluded with a panel discussion on 26th July 2019 in Noida. The objective of the series was to gauge ‘How IT can be leveraged to create competitive advantage and barriers MSMEs face in its adoption. The panelists included Kiran Karnik- former Chairman NASSCOM, Anil Bharwdaj, SG FISME, Prakash Mallya- VP and MD (Sales & Marketing) Intel, Vickram Bedi, Senior Director, HP and Shirin Bhan, Managing Editor CNBC TV 18. The programme was conducted by Mridu Bhandari, CNBC. The key findings had been that while it was true that use of IT in most MSMEs had been for data and word processing, two major barriers they encountered in adoption of It for strategic purpose are: i. lack of affordable and trusted advice for selection of hardware and software including human resources. ii. Financing IT spend.
Business Banter: Lessons from Entrepreneurs

Entrepreneurship: How to (really) own your scars

Life would be easy if you could take lessons from another entrepreneur and become successful overnight. But that’s not how it works. You need to learn your own lessons, and have plenty of scars to show for the journey. Having spent two decades in the entrepreneurial hustle, let me share my lessons and some of my memorable scars. Be optimistic, not blind In mid-2008, I was in a conversation with a large global media company to launch their titles online in India. As a part of the deal, the company had in principle agreed to invest $7 million in the venture.
Writing on the Wall

A tragedy’s lessons: VG Siddhartha’s untimely demise should catalyse a look at India’s compliance environment

VG Siddhartha was among the front ranks of Indian entrepreneurs, who built a massive cafe chain that could take on multinational giants like Starbucks. There remain many unanswered questions about his tragic demise. A letter attributed to him, alluding to what triggered his mental turmoil, points to a larger problem confronting the economy. India is a particularly challenging place to actualise an entrepreneur’s dream....

Media Monitor

Macro Metre

Export related charges will be revised; charges to be bifurcated for MSME and non-MSME customers: SBI

The country’s largest public sender lender, State Bank of India (SBI) has revised their export related service charges in order to improve the ease of doing business and provide clear visibility of cost structure to exporters. Keeping in view the concerns raised by various export promotion councils, SBI said the revised service charges will be payable upfront once in a year as against existing practice of collecting multiple charges for every transaction. This will result in bringing about operational conveniences to the exporters.

India at 52nd position in Global Innovation Index 2019

The Union Minister for Commerce and Industry Piyush Goyal has launched Global Innovation Index (GII) 2019. It has ranked India as the 52nd most innovative country globally in its 12th edition. India's rank jumps from 57 in 2018 to 52 in 2019. In last 4 years, India's rank has jumped from 81 in '15 to 52 in '19, the biggest rise amongst all the world's major economies. GII 2019 has ranked innovation performance of 120 economies globally relying on 80 indications. India, for the first time, hosted the launch of GII.

No tax invoice required for goods brought back to India within 6 months post export promotion events

Entities taking goods out of India on consignment basis for exhibitions or other export promotion events will not have to generate tax invoice for those goods which are brought back to India within six months, said Ministry of Finance. Issuing a clarification in respect of goods taken out of India for exhibition or on consignment basis for export promotion, Ministry said “No tax invoice is required to be issued in respect of goods which are brought back to India within the period of six months.”

Domestic Digest

Smart Edge lending platform launched for MSMEs by Yes Bank

Private sector lender Yes Bank has announced launch of the lending program, Smart Edge, for the Micro, Small and Medium Enterprises (MSMEs) to avail secured loans of upto Rs. 1 to 3 crore, based on their GST Returns and Bank Statements. Under this program, a MSME can avail secured working capital with a limit to Rs. 1 to Rs 3 crore in forms of Letter of Credit (LC), Financial Bank Guarantees of Overdraft (OD) and Financial Bank Guarantees.

Labour Ministry notifies pension scheme for retailers and small traders

The Union Labour and Employment Ministry has notified the Pradhan Mantri Laghu Vyapari Maan-dhan Yojana 2019. It is a pension scheme for retailers and small traders, one of the proposals cleared by the Cabinet at its first meeting. The pension scheme assures a minimum monthly pension of Rs 3000 to small shopkeepers, retail traders and the self-employed people after attaining the age of 60 years once they have contributed to the scheme every month from the time of enrolment and till that age.

SBI raises penal interest from 2% to 5%, a big jolt for MSMEs

The State Bank of India has raised the penal interest from 2% to 5% in case of non-adherence to agreed terms & conditions including delays and non-financial stipulations, according to sources. It means, if the installments are not received as per the repayment terms and any stipulations are not met, the bank will impose penalty interest of 5% which is too high and higher penalties often lead to corruption, affirmed by one of the entrepreneurs in the name of anonymity.

Weavers urged to increase the production base & also develop new designs

Assam's Deputy Director of Weavers Service Center (WSC), Dr. V. Sivakkumar urged the weavers to increase the production base and also develop new designs. Invited as a Chief Guest at the Ministry of MSME sponsored awareness program on Scheme of fund for regeneration of traditional industries (SFURTI), Sivakkumar shared various schemes of Weavers Service Centre. The program on SFURTI was organized by Naga Women’s Welfare Society, Dimapur in association with Export Promotion Council for Handicrafts (EPCH) at Tseithrongse village here.
State Scan

Andhra Pradesh    

AP Cabinet approves YSR Navodayam scheme for MSMEs

In order to promote Micro, Small and Medium Enterprises (MSMEs), the State Cabinet is going to launch a scheme titled YSR Navodayam. Cabinet met under the chairmanship of Chief Minister Y.S. Jagan Mohan Reddy discussed about the MSMEs. YSR Navodayam scheme will benefit the MSMEs, whicha are facing a financial crisis for three years. The government proposes to provide a one-time grant of 4,000 crore for restructuring to the MSMEs so as to ensure that they do not become Non-performing assets (NPAs).


Gujarat Assembly passes a bill to ease industrial land sale

The Gujarat Assembly has recently passed a bill that will allow industries including Micro, Small and Medium Enterprises (MSMEs) to sell land acquired for industrial purpose, instead of surrendering back to the Government. The Gujarat Tenancy and Agricultural Lands (Amendment) Bill 2019 was passed by a majority of the vote in the State Assembly. Earlier it was mandatory to pay smaller premiums if the industrialists failed to start a project within the bounded time. Due to this, the relaxation in land laws was in high demand.


Punjab Govt for helping local artisans sell Phulkari and handicraft items online to cater to buyers across globe

In a bid to promote the sale of local handicrafts, Punjab Government is planning to take Punjab Phulkari and handicrafts to the e-commerce platforms to tap global buyers. Vijay Inder Singla, State Cabinet Minister said he will take the issue to the Chief Minister Amarinder Singh that the Punjab Phulkari and handicrafts be marketed on e-commerce portals in order to cater to the Non-Resident Indian (NRI) consumers worldwide.


Assam Cabinet approves State Industrial Policy; has grant of 30% subsidy for MSMEs

The Assam Cabinet has approved the Assam State Industrial Policy which provides interest subsidy on working capital loans and power subsidy amongst other benefits. The Cabinet, during a meeting chaired by Assam Chief Minister Sarbananda Sonowal, decided on the new industrial policy which will provide power subsidy at Rs two per unit for a period of five years subject to a maximum of Rs 50 lakh per annum, 50 per cent generating subsidy up to Rs 20 lakh, exemption of stamp duty of up to 100 per cent up to Rs 25 lakh.
World Watch


India and Benin sign MoU on export credit

India and Benin signed a Memorandum of Understanding (MoU) on Cooperation in the field of Export Credit and Investment Insurance. President Ram Nath Kovind is currently on the first leg of his three-nation visit to Africa, having reached the port city of Cotonou in Benin. He was accorded a ceremonial welcome by his Beninese counterpart Patrice Talon on Monday, following which the two sides held a meeting on bilateral relations. Kovind and Beninian President Talon witnessed the signing and exchange of the MoU along with four other MoUs. Subsequently, the President led delegation-level talks between the two sides.
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South Africa    

Indian MSMEs can collaborate with South African business community to create long lasting relationship

Indian Micro Small and Medium Enterprises (MSMEs), who generate 70-80% of total employment can collaborate with South African business community to create long lasting relationship, said Maropene L. Ramokgopa, Consul General, Consulate General of the Republic of South Africa. She was speaking at a business forum organized by MVIRDC World Trade Center Mumbai and All India Association of Industries (AIAI). Ramokgopa acknowledged the role of MVIRDC World Trade Center Mumbai in incubating MSMEs, imparting skills and creating business linkages. The Consul General invited business delegation from India to explore commercial opportunities in South Africa.
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India and Italy to set up fast-track mechanism to facilitate investors & companies in both sides

In order to facilitate Indian and Italian companies as well as investors in both the countries, the Ministry of Commerce & Industry said it has been decided to establish fast-track system for companies and investors of both the countries. The key objectives of the fast track system in India will be to pave way for and identify and solve problems faced by Italian companies and investors with their operations in India. The system will also serve as a platform for discussing general suggestions from the point of view of Italian companies and investors with regard to ease of doing business in India, stated the release.
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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


Date: 02-05 Aug 2019
Venue: Nehru Centre, Mumbai
See Details

Knit Show

Date: 04-06 Aug 2019
Venue: Velan Hotel Greenfields, Tiruppur
See Details


Date: 05-06 Aug 2019
Venue: Pragati Maidan, New Delhi
See Details

Pro Wave Expo

Date: 08-10 Aug 2019
Venue: Classic Convention Three, Hyderabad
See Details

Machine Tool Expo

Date: 08-11 Aug 2019
Venue: India Exposition Mart, Greater Noida
See Details

Pharma B2B Expo

Date: 09-10 Aug 2019
Venue: Hitex Exhibition Center, Hyderabad
See Details

India International Jewellery Show

Date: 09-12 Aug 2019
Venue: Bombay Exhibition Centre (BEC), Mumbai
See Details
Your Views

Do you think that Modi 2.0 plan can achieve $5 trillion GDP goal?

According to FISME factor 25% of MSMEs think that Modi 2.0 plan can achieve $5 trillion GDP goal, 25% think they cannot achieve while 50% can’t say anything.
Knowledge Store

HR Heuristics

Helping each department of the organisation function better

More than ever before, talent today is increasingly becoming one of the biggest sources of competitive differentiation for companies, as we transition to the ‘new skills economy’.

Finance Fundamentals

How Should Entrepreneurs Manage Their Debt?

Starting your own business requires a lot of capital upfront which implies raising capital either in the form of Debt or Equity. An Entrepreneur would have saved a certain portion of his capital to invest in the business, but that might not be enough. He would be needing additional funding to run and grow his business and meet the day to day needs.

Marketing Mantras

Digital Marketing 101 for Entrepreneurs

In today’s times, Digital Marketing tools like Google Analytics enable us to trace the rate of conversion on each page of the website. There are also platforms like Google AdWords and Facebook Ads enable us to bid for the sales and leads.

Policy Polemic

Tariff free trade route has come as a curse for Ludhiana bicycle MSMEs: Industry

The world renowned bicycle industry of Ludhiana which produces crores of bicycles with the support of Micro Small and Medium Enterprises (MSMEs) is at the verge of closure as it is facing tough competition from China.

SME Special

From recycling to reusing: how this Mumbai startup is going green by turning plastic into wearable fabric

It is estimated that a massive 25,940 tonnes of plastic waste is generated in India every day, according to a report published by the Central Pollution Control Board (CPCB) in 2017. This translates to a per capita consumption of 11 kilograms of plastic on an average.

Success Story

This entrepreneur went from trading coffee to building a tech-driven commodity management startup

The world of commodities deals in a lot of instability and volatility because of the very nature of the business. But this was compounded even further earlier because the process lacked a data-driven approach. Companies needed to make faster decisions with agility in an ever-changing regulatory environment.


The National Statistical Office (NSO), Ministry of Statistics and Programme Implementation has been bringing out the employment related statistics in the formal sector covering the period September 2017 onwards.

Quotable Quotes

“ Successful people do what unsuccessful people are not willing to do. Don't wish it were easier; wish you were better. ”
– Jim Rohn - American Entrepreneur and Author
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:
New Members

1 New Member Join FISME

1 new MSME became members of FISME during the period from 16th July 2019 to 31st July 2019
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:  Subhan Khan


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