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President Message
Recent meeting of GST Council has carried out four set of changes. Firstly, it has reduced tariff for many consumers related items such as imitation zari, uncooked food etc. Secondly, given parity to private sector service providers such as satellite launch etc. Thirdly, imposed high Tax on casino and online gaming. And last but not the least, has taken steps to simply the processes and facilitate trade. The reports emanating from the ground, however, are mixed. Most MSMEs feel their cost of Tax compliance has increased. Frequent changes in laws and subjective interpretation, difficulties related to GSTN and the old style of threatening by Tax officials have left a large number of MSMEs quite unhappy. The major difficulties are with former sales tax officials of the State. The difficulties faced by MSMEs need to be captured and highlighted to higher authorities. FISME is to start the process of consultation and release a White paper on the issue. I urge you all please let us know the difficulties you are facing in GST compliance.
The Federation of Indian Micro and Small & Medium Enterprises (FISME) and World Bank jointly organised a workshop on the interlinkages between trade facilitation and gender in cross-border trade on July 12.
The primary aim of the workshop was to discuss the methodological approach for a study on understanding the reasons behind low women participation in the trade sector. It served as a platform for key stakeholders to share their perspectives on women employment in logistics and international trade as well as share knowledge and good practices on the key agenda.
Manifesting refers to the process of bringing something into reality through focused intention, belief and alignment with one's desires. It is often associated with the law of attraction, which suggests that positive or negative thoughts and beliefs can attract corresponding experiences into one's life. When manifesting, individuals typically set clear intentions for what they want to manifest, visualize and imagine the desired outcome and take aligned actions to bring it into reality. The process involves cultivating a positive mindset, believing in the possibility of what is being manifested and aligning one's thoughts, emotions and actions with the desired outcome. Most people seem to forget about taking ACTION. Without action, you will not get any results.
Meeting after nearly five months, the Goods and Services Tax (GST) Council on Tuesday unravelled some knotty issues that were hanging fire for a long time, such as the constitution of Appellate Tribunals and the tax treatment for the booming online gaming industry. With the appointment norms for tribunal members cleared, the Centre has given an assurance that the first set of tribunals should become operational in four to six months. While States have proposed 50 tribunal benches, these will come up in a phased manner, beginning with State capitals and cities with High Court benches. Industry may hope for quicker redress of mounting GST litigations clogging up courts. On the other hand, businesses have reacted with much consternation to the Council’s decision to finalise a 28% GST levy on the face value of all bets placed in online games, casinos or horse-racing, with many e-gaming players terming it a death knell for the growing industry and its thousands of jobs. This was not a hasty decision, having been considered by a ministerial group of the Council not once, but twice since its formation in late 2020. Finance Minister Nirmala Sitharaman said the Council acknowledged that Goa and Sikkim
The Reserve Bank of India (RBI) will soon release comprehensive guidelines to address the challenges faced by businesses when engaging in trade with other countries using the local currency, a senior official said on Friday.
These guidelines aim to streamline the documentation process for banks, facilitating smoother transactions and fostering increased trade opportunities. “There were some initial teething troubles with regard to the rupee trading mechanism, but in many of these areas, the transactions have started happening.
In the month of June, India’s merchandise trade deficit narrowed to USD 20.13 billion from USD 22.12 billion in May, as per government data released on Friday.
The country's merchandise exports fell 22% to USD 32.97 billion in June from USD 42.28 billion a year earlier. While imports declined 17.48% to USD 53.1 billion in June compared to USD 64.35 billion a year ago, data showed. In the previous month, merchandise exports were USD 34.98 billion, while imports stood at USD 57.10 billion.
The Ministry of Statistics revealed on Wednesday that India's industrial output (INIP=ECI) rose 5.2% year-on-year in May.
The factory output growth measured in terms of the Index of Industrial Production (IIP) stood at 19.7% in May 2022, mainly due to a lower base effect. Power generation rose 0.9% in May 2023 compared to a growth of 23.5% a year ago. Mining output rose by 6.4% during the month under review against an 11.2% expansion in the year-ago period. Along with the Quick Estimates of IIP for the month of May 2023, the indices for April 2023 have undergone the first revision and those for February 2023 have undergone final revision in the light of the updated data received from the source agencies.
India lawmaker will consider a new drugs bill on rules for importing, manufacturing and selling medicines, according to a parliamentary notice on Thursday.
The drug bill will aim at ensuring "quality, safety, efficacy, performance and clinical trial of new drugs. With the objective of highest possible regulatory standards and a transparent regulatory regime," reported Reuters stating the notice. India's USD 41 billion pharmaceutical industry is one the largest in the world and has for years helped provide cheaper alternatives to Western products, especially to poor and developing nations.
The Department for Promotion of Industry and Internal Trade (DPIIT) has appointed nodal officers in all the states to help startups, MSMEs, and retailers onboard the government's initiative open network for digital commerce (ONDC). ONDC is an initiative of the DPIIT which aims to build an open, interoperable network on which buyers and sellers can transact without needing to be present on the same platform. It is neither an application, nor platform, intermediary or software but a set of specifications/provisions designed to promote open, unbundled, and interoperable open networks.
The Government e Marketplace (GeM) and the Ministry of MSME have partnered to create awareness, advocate and mobilize capacity building of last-mile MSEs on the GeM portal. On 27 June, 2023 GeM and the Ministry of MSMEs signed a MoU to materialise this initiative.
This partnership will pave the way for cluster-level interventions through sector-specific engagements driven by GeM and the Ministry of MSME through its affiliate offices, specialized institutes and statutory bodies.
Micro, Small and Medium Enterprises (MSMEs) in the pharmaceutical industry will have to mandatorily follow good manufacturing practices detailed in the Schedule M of the Drugs and Cosmetics Act for better quality assurance. Union Health Minister Mansukh Mandaviya announced this on Tuesday adding, “This will help in quality assurance and also reduce compliance burden.” “It is important for MSME pharma companies to be alert to quality of drugs and expeditiously move towards good manufacturing processes through self-regulation,” said the Minister.
Ludhiana’s industrial associations are urging the government to provide uninterrupted 24x7 power supply to the industries, according to a report in the TOI.
During a Joint meeting of bicycle and auto parts’ manufacturers in the city, Federation of Industrial and Commercial Organisation (Fico) chairman K K Seth said, “The government must ensure uninterrupted 24x7 power supply to the industry as we are witnessing long power cuts.”
The Southern Gujarat Chamber of Commerce & Industry (SGCCI) and Vidhyadeep University have partnered to establish the SGCCI Vidhyadeep Skill Acquisition Centre.
This move aligns with the vision of Prime Minister's "Skill India" campaign. This initiative is a result of the collaborative efforts of BS Agrawal, Past President of SGCCI, Ketan Panchal Chief Advisor and Zonal Officer of the Placement Cell Government of Gujarat, and Rakeshkumar, State Head of NSDC.
The union government is all set to provide an interest free loan of Rs 100 crore to the Goa government to set up a Unity Mall in the state.
Union Minister of State for Commerce and Industry Som Parkash on Thursday asked the State government to submit the proposal for Unity Mall at the earliest.
“An interest free loan of Rs 100 crore will be extended to Goa to set up Unity Mall, which is a dynamic retail space that will serve as a comprehensive destination for visitors to immerse themselves in the essence of Goa. It will feature one district-one product offerings and also an extensive range of local handicrafts,” the minister said.
The Jharkhand government is soon coming out with its new pharmaceutical policy, ethanol production policy and the solar policy, Jitendra Kumar Singh, IAS Secretary, Department of Industries, Government of Jharkhand said on Thursday. Speaking at the inaugural session of the 10th Manufacturing Conclave organised by Confederation of Indian Industry (CII), Singh said, “The share of the industry sector has been 48 percent of the GSDP of Jharkhand in 2021-22. The mining industry is among the leading industries in the state.”
Union Minister of Commerce and Industry Piyush Goyal is all set to visit the UK from July 10-11 for Free Trade Agreement (FTA) negotiations.
During his visit to the UK, the commerce minister will also meet ministers from the European Free Trade Association (EFTA) member countries to discuss the progress of the Trade and Economic Partnership Agreement (TEPA) with EFTA, an official statement said. He will also engage in high-level meetings with his UK counterparts, including the Secretary of State for International Trade, as well as representatives from various sectors and industries.
Bangladesh and India on Tuesday launched trade transaction in rupees to reduce dependency on the US dollar and make regional currency and trade stronger.
This marks Bangladesh’s first bilateral trade with a foreign country in addition to the US dollar. Abdur Rouf Talukder, Bangladesh Bank Governor described the start of trade settlement in rupees as the “first step in a great journey”. Speaking at the launch ceremony, Indian High Commissioner Pranay Verma said, “The trade position between India and Bangladesh has seen remarkable growth, with both countries benefiting from their economic cooperation.”
Which approach, job enlargement or job enrichment, is more effective for employee development and career growth?
Employees tend to remain loyal to organisations where they either get the opportunity to excel in their specific field or are allowed exposure to additional responsibilities that add value to their skill set. Naturally, organisations are increasingly realising and recognising the importance of employee development and career growth.
The Financial Literacy Basics Entrepreneurs Need to Know
Like most of you, I grew up with virtually no formal training on money. I learned that we definitely need money to get the things we want and one way or another, we have to work for it. Short of getting my passbook savings account back in the '80s, I was taught very little about how to be financially literate
Every business has to make money. This is why companies need to think of effective strategies to attract customers and sell their products/services. Here are some ways you can propel your business! Focus on your customers Customers are an important asset of a business. Understanding about their preferences and dislikes can assist you to sell your product or service. Additionally, you can also try to learn the challenges faced by your target customers to serve them better and ultimately build trust.
Agra footwear manufacturers threaten to shutdown units over compulsory ISI mark
The footwear manufacturers in Agra have threatened to shut down the units over the government’s decision to enforce ISI standardisation in the footwear production process.
The move, which requires ISI marks on all footwear priced above Rs 150, has sparked concerns among small businesses in the cottage footwear manufacturing sector.
How the 2018 Kerala floods led this duo to develop a multi-purpose device for rescue and relief
In August 2018, when Kerala experienced unusually heavy rainfallthat led to death and destruction in the state, Anoop AB witnessed first-hand the horrific effects of a natural disaster. As the president of the state drone operators’ association, he was called on by the government to help press drones into action for rescue and relief.
Hubballi startup CarbonCraft is making tiles out of polluted air
According to the Annual World Air Quality report released by IQAir, a Swiss air quality technology company, India ranks eighth in the list of countries with the worst air quality index in 2023. The report placed 12 Indian cities in the list of 15 most-polluted cities in Central and South East Asia. And, that’s not all. According to a Lancet Study in 2022, nearly 1.6 million deaths in 2019 were due to air pollution alone.
The National Statistical Office (NSO), Ministry of Statistics and Programme Implementation (MoSPI) has released All India Consumer Price Index (CPI) on Base 2012=100 and corresponding Consumer Food Price Index (CFPI) for Rural (R), Urban (U) and Combined (C) for the month of June 2023 (Provisional).
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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You are receiving this Newsletter because you are included in our mailing list of recipients who are involved or interested in FISME or Indian MSMEs. You are welcome to partly or fully reproduce and disseminate the contents of this publication provided that you acknowledge the source.
Recent meeting of GST Council has carried out four set of changes. Firstly, it has reduced tariff for many consumers related items such as imitation zari, uncooked food etc. Secondly, given parity to private sector service providers such as satellite launch etc. Thirdly, imposed high Tax on casino and online gaming. And last but not the least, has taken steps to simply the processes and facilitate trade. The reports emanating from the ground, however, are mixed. Most MSMEs feel their cost of Tax compliance has increased. Frequent changes in laws and subjective interpretation, difficulties related to GSTN and the old style of threatening by Tax officials have left a large number of MSMEs quite unhappy. The major difficulties are with former sales tax officials of the State. The difficulties faced by MSMEs need to be captured and highlighted to higher authorities. FISME is to start the process of consultation and release a White paper on the issue. I urge you all please let us know the difficulties you are facing in GST compliance.
The Federation of Indian Micro and Small & Medium Enterprises (FISME) and World Bank jointly organised a workshop on the interlinkages between trade facilitation and gender in cross-border trade on July 12.
The primary aim of the workshop was to discuss the methodological approach for a study on understanding the reasons behind low women participation in the trade sector. It served as a platform for key stakeholders to share their perspectives on women employment in logistics and international trade as well as share knowledge and good practices on the key agenda.
Manifesting refers to the process of bringing something into reality through focused intention, belief and alignment with one's desires. It is often associated with the law of attraction, which suggests that positive or negative thoughts and beliefs can attract corresponding experiences into one's life. When manifesting, individuals typically set clear intentions for what they want to manifest, visualize and imagine the desired outcome and take aligned actions to bring it into reality. The process involves cultivating a positive mindset, believing in the possibility of what is being manifested and aligning one's thoughts, emotions and actions with the desired outcome. Most people seem to forget about taking ACTION. Without action, you will not get any results.
The Reserve Bank of India (RBI) will soon release comprehensive guidelines to address the challenges faced by businesses when engaging in trade with other countries using the local currency, a senior official said on Friday.
These guidelines aim to streamline the documentation process for banks, facilitating smoother transactions and fostering increased trade opportunities. “There were some initial teething troubles with regard to the rupee trading mechanism, but in many of these areas, the transactions have started happening.
In the month of June, India’s merchandise trade deficit narrowed to USD 20.13 billion from USD 22.12 billion in May, as per government data released on Friday.
The country's merchandise exports fell 22% to USD 32.97 billion in June from USD 42.28 billion a year earlier. While imports declined 17.48% to USD 53.1 billion in June compared to USD 64.35 billion a year ago, data showed. In the previous month, merchandise exports were USD 34.98 billion, while imports stood at USD 57.10 billion.
The Ministry of Statistics revealed on Wednesday that India's industrial output (INIP=ECI) rose 5.2% year-on-year in May.
The factory output growth measured in terms of the Index of Industrial Production (IIP) stood at 19.7% in May 2022, mainly due to a lower base effect. Power generation rose 0.9% in May 2023 compared to a growth of 23.5% a year ago. Mining output rose by 6.4% during the month under review against an 11.2% expansion in the year-ago period. Along with the Quick Estimates of IIP for the month of May 2023, the indices for April 2023 have undergone the first revision and those for February 2023 have undergone final revision in the light of the updated data received from the source agencies.
India lawmaker will consider a new drugs bill on rules for importing, manufacturing and selling medicines, according to a parliamentary notice on Thursday.
The drug bill will aim at ensuring "quality, safety, efficacy, performance and clinical trial of new drugs. With the objective of highest possible regulatory standards and a transparent regulatory regime," reported Reuters stating the notice. India's USD 41 billion pharmaceutical industry is one the largest in the world and has for years helped provide cheaper alternatives to Western products, especially to poor and developing nations.
The Department for Promotion of Industry and Internal Trade (DPIIT) has appointed nodal officers in all the states to help startups, MSMEs, and retailers onboard the government's initiative open network for digital commerce (ONDC). ONDC is an initiative of the DPIIT which aims to build an open, interoperable network on which buyers and sellers can transact without needing to be present on the same platform. It is neither an application, nor platform, intermediary or software but a set of specifications/provisions designed to promote open, unbundled, and interoperable open networks.
The Government e Marketplace (GeM) and the Ministry of MSME have partnered to create awareness, advocate and mobilize capacity building of last-mile MSEs on the GeM portal. On 27 June, 2023 GeM and the Ministry of MSMEs signed a MoU to materialise this initiative.
This partnership will pave the way for cluster-level interventions through sector-specific engagements driven by GeM and the Ministry of MSME through its affiliate offices, specialized institutes and statutory bodies.
Micro, Small and Medium Enterprises (MSMEs) in the pharmaceutical industry will have to mandatorily follow good manufacturing practices detailed in the Schedule M of the Drugs and Cosmetics Act for better quality assurance. Union Health Minister Mansukh Mandaviya announced this on Tuesday adding, “This will help in quality assurance and also reduce compliance burden.” “It is important for MSME pharma companies to be alert to quality of drugs and expeditiously move towards good manufacturing processes through self-regulation,” said the Minister.
Ludhiana’s industrial associations are urging the government to provide uninterrupted 24x7 power supply to the industries, according to a report in the TOI.
During a Joint meeting of bicycle and auto parts’ manufacturers in the city, Federation of Industrial and Commercial Organisation (Fico) chairman K K Seth said, “The government must ensure uninterrupted 24x7 power supply to the industry as we are witnessing long power cuts.”
The Southern Gujarat Chamber of Commerce & Industry (SGCCI) and Vidhyadeep University have partnered to establish the SGCCI Vidhyadeep Skill Acquisition Centre.
This move aligns with the vision of Prime Minister's "Skill India" campaign. This initiative is a result of the collaborative efforts of BS Agrawal, Past President of SGCCI, Ketan Panchal Chief Advisor and Zonal Officer of the Placement Cell Government of Gujarat, and Rakeshkumar, State Head of NSDC.
The union government is all set to provide an interest free loan of Rs 100 crore to the Goa government to set up a Unity Mall in the state.
Union Minister of State for Commerce and Industry Som Parkash on Thursday asked the State government to submit the proposal for Unity Mall at the earliest.
“An interest free loan of Rs 100 crore will be extended to Goa to set up Unity Mall, which is a dynamic retail space that will serve as a comprehensive destination for visitors to immerse themselves in the essence of Goa. It will feature one district-one product offerings and also an extensive range of local handicrafts,” the minister said.
The Jharkhand government is soon coming out with its new pharmaceutical policy, ethanol production policy and the solar policy, Jitendra Kumar Singh, IAS Secretary, Department of Industries, Government of Jharkhand said on Thursday. Speaking at the inaugural session of the 10th Manufacturing Conclave organised by Confederation of Indian Industry (CII), Singh said, “The share of the industry sector has been 48 percent of the GSDP of Jharkhand in 2021-22. The mining industry is among the leading industries in the state.”
Union Minister of Commerce and Industry Piyush Goyal is all set to visit the UK from July 10-11 for Free Trade Agreement (FTA) negotiations.
During his visit to the UK, the commerce minister will also meet ministers from the European Free Trade Association (EFTA) member countries to discuss the progress of the Trade and Economic Partnership Agreement (TEPA) with EFTA, an official statement said. He will also engage in high-level meetings with his UK counterparts, including the Secretary of State for International Trade, as well as representatives from various sectors and industries.
Bangladesh and India on Tuesday launched trade transaction in rupees to reduce dependency on the US dollar and make regional currency and trade stronger.
This marks Bangladesh’s first bilateral trade with a foreign country in addition to the US dollar. Abdur Rouf Talukder, Bangladesh Bank Governor described the start of trade settlement in rupees as the “first step in a great journey”. Speaking at the launch ceremony, Indian High Commissioner Pranay Verma said, “The trade position between India and Bangladesh has seen remarkable growth, with both countries benefiting from their economic cooperation.”
According to the FISME factor, 100% of MSMEs think that India should focus on FTAs to boost exports.
Employees tend to remain loyal to organisations where they either get the opportunity to excel in their specific field or are allowed exposure to additional responsibilities that add value to their skill set. Naturally, organisations are increasingly realising and recognising the importance of employee development and career growth.
Like most of you, I grew up with virtually no formal training on money. I learned that we definitely need money to get the things we want and one way or another, we have to work for it. Short of getting my passbook savings account back in the '80s, I was taught very little about how to be financially literate
Every business has to make money. This is why companies need to think of effective strategies to attract customers and sell their products/services. Here are some ways you can propel your business! Focus on your customers Customers are an important asset of a business. Understanding about their preferences and dislikes can assist you to sell your product or service. Additionally, you can also try to learn the challenges faced by your target customers to serve them better and ultimately build trust.
The footwear manufacturers in Agra have threatened to shut down the units over the government’s decision to enforce ISI standardisation in the footwear production process.
The move, which requires ISI marks on all footwear priced above Rs 150, has sparked concerns among small businesses in the cottage footwear manufacturing sector.
In August 2018, when Kerala experienced unusually heavy rainfallthat led to death and destruction in the state, Anoop AB witnessed first-hand the horrific effects of a natural disaster. As the president of the state drone operators’ association, he was called on by the government to help press drones into action for rescue and relief.
According to the Annual World Air Quality report released by IQAir, a Swiss air quality technology company, India ranks eighth in the list of countries with the worst air quality index in 2023. The report placed 12 Indian cities in the list of 15 most-polluted cities in Central and South East Asia. And, that’s not all. According to a Lancet Study in 2022, nearly 1.6 million deaths in 2019 were due to air pollution alone.
“ No man ever steps in the same river twice, for it’s not the same river and he’s not the same man. ”
