If you are unable to view this mailer, click here.
President's Message
"
The first address by Prime Minister Narendra Modi from rampart of Red Fort certainly marks points of departure from ‘business as usual’ in New Delhi. While disbanding of Planning Commission is more symbolic at present, the emphasis on ‘Make in India’ and ‘Made in India’ is unprecedented. The key question, however, is how foreigners will come to ‘Make in India’ when Indians themselves are shunning manufacturing because of hostile regulatory environment and absence of even basic infrastructure. The MSME community- often at the receiving end the regulatory excesses, awaits with bated breath the follow through of PM’s announcement.
"
After promulgation of the Companies Act, FISME organized the first consultation workshop for MSME associations on 4th Aug 2014 in New Delhi.
A panel of experts headed by Pawan Kumar Vijay and his colleagues from Corporate Professionals- a leading law firm specializing in Corporate Law, gave a detailed presentation on the new provisions of Companies Act.
The Companies Act has thrown open a number of issues for companies. The new provisions needing urgent attention of the companies include Loans to Directors & related entities; Inter Corporate Borrowings & Guarantees, Related Party Transactions; Fund raising through Private Placements; Disqualifications of Director & Vacation of office of Director; Provisions related to Private Companies; Board meeting through Video Conferencing and E-voting at General Meetings.
Taking forward the national campaign, FLIPKART-FISME reached out to the MSMEs on 8th August 2014 in Jaipur. The sector in focus was handicrafts, jewellery, fashion accessories, home furnishings & garments.
The programme was supported by Federation of Rajasthan Exporters (FORE), Rajasthan Chamber of Commerce and Industry (RCCI), etc. The programme was attended by over 100MSMEs owners and had distinguished guest like Mr. Lekhraj Maheshwari, Chairman, Export Promotion Council for Handicrafts.
Enter "entrepreneurial traits" into Google, and the menu of frequent searches will complete the query with "... of Steve Jobs" and "... of Bill Gates," among others. These are the forces of nature that spring to mind for most of us when we think of entrepreneurs--iconic figures who seemed to burst from the womb with enterprise in their DNA.
They inspire, but they also intimidate. What if you weren't born with Jobs' creative genius or Gates' iron will? There's good news for the rest of us: Entrepreneurs can be guided to success by harnessing crucial attributes. Scholars, business experts and venture capitalists say entrepreneurs can emerge at any stage of life and from any realm, and they come in all personality types and with any grade point average.
The ability to deal with a sudden crisis and take hard decisions, the patience to take criticism and honest feedback head on, and maintaining transparency and honest communication... the journey to becoming a leader who embodies these and other traits is strewn with lessons learnt and unlearnt along the way.
Six leaders share personal anecdotes and their learning which helped them hone their leadership abilities.
“…Survey done by the central bank shows that there are higher expectations of an increase in employment and wages. These are all clearly positive signals, but for growth to get on the fast lane we need to await the return of the “animal spirits” in the corporate sector — which seems to be absent at this point in time.”
Tourism and Culture Minister of Seychelles Alain St Ange today met the MSME Minister Kalraj Mishra and sought to strengthen cooperation in sectors like SME, Tourism, Civil Aviation etc. by exchanging expertise between the two nations.
He further stated that Seychelles could be considered as the gateway to Africa and that there is tremendous scope improving bilateral trade between both the countries.
Stating that Prime Minister Narendra Modi is keen to strengthen relations with neighbouring countries and to work towards peace and prosperity in the region, micro, small and medium enterprises (MSME) Minister Mishra assured Seychelles of all help and cooperation in the development of MSME sector.
India’s steel consumption in the first four months of the current financial year grew by just 0.6 per cent to 25.72 million tonnes.
The country, where around 70 per cent of the steel demand comes from the construction sector, had consumed 25.57 MT steel during the April-July period of last year, data prepared by Joint Plant Committee showed.
JPC, a unit under the Steel Ministry, said the domestic consumption of steel during July was at 6.9 MT, an increase of 0.3 per cent over the same month last year.
Production of crude steel during the period rose by 0.9 per cent to 27.39 million tonnes compared to 27.15 million tonnes a year ago, JPC data showed.
Ringing the warning bell against crony capitalism, the RBI Governor Raghuram Rajan said, "One of the greatest dangers to the growth of developing countries is the middle income trap, where crony capitalism creates oligarchies that slow down growth. If the debate during the elections is any pointer, this is a very real concern of the public in India today".
Addressing the Twentieth Lalit Doshi Memorial Lecture here yesterday, he said, “Even as our democracy and our economy have become more vibrant, an important issue in the recent election was whether we had substituted the crony socialism of the past with crony capitalism, where the rich and the influential are alleged to have received land, natural resources and spectrum in return for payoffs to venal politicians,”
He pointed out that by killing transparency and competition, crony capitalism is harmful to free enterprise, opportunity, and economic growth.
The trouble with the Indian economy is that both in manufacturing and in services, it is becoming high cost which in a vicious cycle exerts wage pressure further complicating the issues, said an industry report.
More than inflation on account of merchandise goods as reflected in the Wholesale Price Index and the Consumer Price Index, the costs of services such as education including coaching, health, transport, servicing of personal vehicles, personal care services are increasing at a much higher pace pinching the average middle class family more by at least 25 per cent year-on-year, according to ASSOCHAM paper.
The government has allocated Rs 24,124 crore to boost the country's micro, small and medium enterprises sector during the Twelfth Five-Year Plan period (2012-17), an increase of 133.53 per cent over the Eleventh Plan, Parliament was today informed.
"In order to boost the growth of the micro, small and medium enterprises (MSMEs) sector during the Twelfth Five Year Plan an outlay of Rs 24,124 crore has been allocated for Ministry of MSME. This XIIth Plan allocation represents an increase of 133.53 per cent over the XIth Five Year Plan allocation of Rs 10,330 crore," Union MSME Minister Kalraj Mishra said in a written reply in the Lok Sabha.
There is a proposal for a single labour law for the entire micro, small and medium (MSME) sector to enhance its competitiveness and improve work culture.
The ministry of labour is preparing single law by merging all other existing labour laws regulating the sector in consultation with the MSME ministry. According to official sources, MSMEs contribute eight per cent of the country’s GDP, 45 per cent of the manufactured output and 40 per cent of its exports. However, the MSME sector is labour-intensive and highly disorganised, and different labour laws prevalent in different states have made the sector more scattered and difficult to regulate.
Business to Consumer (B2C) web portal – www.msmeshopping.com was launched here today by the Minister for Micro, Small and Medium Enterprises, Kalraj Mishra.
The web portal dedicated to the MSME sector is a project of the National Small Industries Corporation (NSIC) which fosters the growth of small scale industries, through various schemes and services.
Speaking at the event, Mishra appreciated the efforts of NSIC in launching the portal, which will enable MSMEs to sell retail products as well as industrial equipment/ machinery online.
He said that marketing was an expensive aspect and MSMEs often find it very difficult to spend on advertisement, brand building, distribution, etc. As a result, many of them depend on middlemen who take a large chunk of their profit. The online shopping portal would go a long way to help the units market their products.
The government is considering enhancing the limit for firms and businesses to qualify for being categorised as MSMEs, it was stated in Parliament.
"The issue of enhancement of investment limit for micro, small and medium manufacturing enterprises as well as of service enterprises is under consideration,” Union Minister of Micro, Small and Medium Enterprises, Kalraj Mishra said in the Rajya Sabha yesterday.
The present investment limit for MSMEs under MSMED Act, 2006 for manufacturing enterprises is - Micro enterprise: investment in plant and machinery upto Rs 25 lakh; Small enterprise: investment in plant and machinery from Rs 25 lakh to Rs 5 crore; Medium enterprise: investment in plant and machinery from Rs 5 crore to Rs 10 crore.
In the backdrop of the Economic survey 2013-14 which highlighted the need for trade facilitation by reducing the number of documents, transaction cost and time for export and import, the government has introduced a number of measures to simplify export and import related procedures and documentation and make these available online for the users.
On trade facilitation measures adopted by the government, “Most of India’s export and import documents are processed at Customs through the Electronic Data Interchange (EDI) system,” said Minister of State for Commerce and Industry, Nirmala Sitharaman in the Rajya Sabha today
President of Karnataka Small Scale Industries Association (KASSIA), C M Rajamane has presented a memorandum to state government officials, highlighting various challenges of the MSME sector pertaining to accessing finance, infrastructure, power, labour laws, etc.
The memorandum was presented to Secretary to the Government, Commerce and Industries, Tushar Girinath; and Commissioner of Industrial Development and Director of Industries and Commerce, Government of Karnataka, Maheswar Rao, during an interaction meeting here yesterday.
With regard to the industrial policy, although it is drafted well, based on their experience, Rajamane said that implementation of the same will take 2-3 years, owing to delay in issuing government notifications and publication in state gazette. He cited the example of the Aerospace Policy that was released in February 2013 and awarded stamp duty concession of 75 per cent value. “Even after 5 months, the Govt. order has not reached Jala Sub registration office from revenue department,” he said.
He said that marketing was an expensive aspect and MSMEs often find it very difficult to spend on advertisement, brand building, distribution, etc. As a result, many of them depend on middlemen who take a large chunk of their profit. The online shopping portal would go a long way to help the units market their products.
The Gujarat Government is planning to give the young entrepreneurs 5 to 7 per cent interest subsidy and priority in the land allotment in the new estates to be developed by the Gujarat Industrial Development Corporation (GIDC) in several parts of the state.
State industries commissioner Kamal Dayani said, “For the first time, the state government has decided to give financial and other incentives to the first time entrepreneurs who are beginning their medium or small scale industry. We are preparing the draft for the new incentive scheme for MSME sector under which special focus will be given to the first time entrepreneurs,'' as quoted in a media report.
The Odisha Industry Department officials have been directed to develop a land bank of at least 50, 000 acres for public and industrial purposes, and also work out a strategy for land acquisition.
The Industries department along with IDCO and IPICOL have been directed to carry forward the initiatives in a time bound manner.
Reviewing the activities of the industry department at a high level meeting held here yesterday, Chief Secretary G C Pati directed the officials to develop a land bank of at least 50,000 acres for public and industrial purposes.
The Telangana Government has plans to introduce the Right to Single Window Services Bill, under which, action would be taken if the projects are not given clearance in the specified time frame, according to the vice-chairman and managing director of Telangana State Industrial Infrastructure Corporation (TSIIC) Jayesh Ranjan.
While addressing a conference on manufacturing excellence here on Saturday, Ranjan said in the proposed industrial policy there would be provisions for projects to be cleared on self-certification.
Ranjan also said that the MSMEs would be given higher incentives and packages, covering special technology development fund, panel of consultants for technical and managerial advices and sick units insurance fund, according to a media report.
The Jammu and Kashmir government is keen for early formation and notification of industrial policy, and to implement it from 2015 in order to encourage investment in the state.
J&K Chief Minister, Omar Abdullah has said that the package for industrial backward areas should be incorporated as part of the new industrial policy and directed for early refund of VAT to the industrialists.
He also emphasized the need for encouraging young local entrepreneurs to invest in the feasible industrial and handicrafts sectors to boost state economy and employment opportunities for the youth.
Abdullah said this while addressing the 5th State Industrial Advisory Committee (SIAC) meeting here yesterday.
The recently concluded India-US Strategic Dialogue set the tone for improved strategic and economic ties at a pivotal point in bilateral partnership, representatives of American corporate sector and experts have said.
"It is heartening to see that despite divergent views on certain issues, there is a sincere commitment towards the renewed bilateral strategic partnership," said Diane Farrell, acting president of the US India Business Council (USIBC).
"Industry is pleased by the positive momentum provided by these talks in the lead up to Prime Minister (Narendra) Modi's visit to the US in September," she said in a statement on the successful conclusion of the fifth annual India-US Strategic Dialogue, for which Secretary of State John Kerry travelled to India.
Exports to Iran in Indian rupee will also be entitled for trade benefits as available to exporters realising proceeds in freely convertible currencies.
"Export proceeds against exports to Iran realised in Indian rupees are permitted to avail exports benefits/ incentives under the Foreign Trade Policy, 2009-14, at par with export proceeds realised in freely convertible currency," the Director General of Foreign Trade (DGFT) has said in a notification.
Indian exporters mainly trade in freely convertible currencies including US dollar and euro. The government provides export incentives under different schemes, including Focus Market Scheme, to exporters realising their proceeds in such currencies.
India and the 10-nation ASEAN are likely to sign the long-delayed free trade agreement in services and investments later this month when their economic and trade ministers meet here.
Foreign Ministers of all ASEAN countries as well External Affairs Minister Sushma Swaraj have hoped that the pact will be finally signed during the four-day-long meeting of Economic Trade Ministers of India and ASEAN beginning August 25.
Seeking better ties with India, the grouping after the India-ASEAN Foreign Ministers meeting, here said it was looking forward to signing of the ASEAN-India Free Trade Agreement in services and investment later this month.
Trade between India and Pakistan has been continuously rising despite recurring border tensions but is yet to tap its estimated potential of $12 billion, according to a study compiled by the SAARC Chamber of Commerce and Industry.
According to the SAARC Chamber's research report, the two nations have been trade partners since the beginning but the trade potential has remained under-utilised due to conflicts.
The study shows that bilateral trade was just $132 million till 1995 but increased in the coming years after India granted the Most Favoured Nation (MFN) status to Pakistan in 1996, immediately taking bilateral trade to $180.
5 ways to improve employee engagement with technology
Ask a dozen CEOs what they believe is their company’s most valuable asset and you’ll likely receive the same answer: their top performing employees. But, when asked what they do to maintain this asset—to keep employees engaged and happy—most will cite conventional benefits like compensation, vacation time or paid lunches. While those are certainly valuable benefits, they’re also "a given" in almost every industry.
The 4 Fundamental Priorities For Financial Success
Several years ago Mike jotted down four financial priorities that he often shares with clients. The priorities are not rocket science, but they can certainly help any individual and business leader to achieve a financially healthy life. My desire, as I learned from Mike, is to urge our business leaders to teach these principles to their people. As you’ll notice, many of the principles apply just as strongly to business leadership as they do to individual wealth.
Each quarter, research and measurement company Nielsen publishes the results of a Global Survey of Consumer Confidence. This is perhaps the largest survey of its kind, sampling more than 30,000 consumers online in 60 countries, to understand how confident they are about the future. It also gauges their future spending intentions, which are dependent on such confidence. The results of the latest survey were published by Nielsen a few days ago. What do these findings tell us?
How should Indian marketers respond to such growing consumer confidence? The answer will vary across categories and segments, but here are some initial thoughts for us to consider.
Delhi PVC traders allege harassment by authorities
PVC traders at the Tikri Kalan border in west Delhi were supported by the Congress Party in their protest against "harassment” by civic authorities and the police.
There are about 5000 small plastic traders in the area, who are in the business of buying and selling plastic.
“We just buy or sell the waste plastic. In no ways do we do anything with would cause pollution or harm to the environment,” said Raju Solanki, Proprietor of Rama Peer Plastic from Tikri Kalan.
The traders have been raising the issue of being harassed by the local police and the municipal corporation limited.
Pranjit Das of Assam's Bodoland area never knew that areca nut sheath, treated as a waste in the region, would one day help him earn a decent living.
It was Arindam Dasgupta, 35, a graduate from the Institute of Rural Management, Anand (Gujarat), who saw such an opportunity. As an officer with Entrepreneurship Development Institute of India (EDII) in Guwahati, in 2005, he decided to try and tap the potential of these sheaths to produce environment-friendly disposable dinnerware.
From Rs 50 to Rs 40 cr: Abhishek Rungta's Indus Net Tech flourishing in web designing
Starting with a measly Rs 50, Abhishek Rungta has expanded his website designing and hosting business to Rs 40 crore through perseverence and passion in less than two decades.
I belong to a family of Kolkata-based businessmen. However, when I decided to start my own venture—an e-mail service centre—I received their support and encouragement. This was in 1997 and the Internet was a relatively new concept.
The centre was supposed to facilitate communication between businesses and their customers through mass mailers sent via the Net. I took a loan of Rs 46,000 from my family, paying around Rs 30,000 to an Internet service provider and the rest going into the purchase of a modem. I didn't need to buy a computer as I had one.
Buy our one-of-a-kind guide to all industrial testing laboratories in India. Find the one most convenient for getting your products tested and certified. An invaluable compendium for all industrial units and exporters.
PP: 894, Hard Cover.
Price: Rs 900.
50% discount for members.
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.
send mail to: newsletter@fisme.org.in
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.
This Newsletter is edited by the FISME Secretariat. We welcome contributions as well as comments and suggestions. Please write to newsletter@fisme.org.in
"
The first address by Prime Minister Narendra Modi from rampart of Red Fort certainly marks points of departure from ‘business as usual’ in New Delhi. While disbanding of Planning Commission is more symbolic at present, the emphasis on ‘Make in India’ and ‘Made in India’ is unprecedented. The key question, however, is how foreigners will come to ‘Make in India’ when Indians themselves are shunning manufacturing because of hostile regulatory environment and absence of even basic infrastructure. The MSME community- often at the receiving end the regulatory excesses, awaits with bated breath the follow through of PM’s announcement.
"
After promulgation of the Companies Act, FISME organized the first consultation workshop for MSME associations on 4th Aug 2014 in New Delhi.
A panel of experts headed by Pawan Kumar Vijay and his colleagues from Corporate Professionals- a leading law firm specializing in Corporate Law, gave a detailed presentation on the new provisions of Companies Act.
The Companies Act has thrown open a number of issues for companies. The new provisions needing urgent attention of the companies include Loans to Directors & related entities; Inter Corporate Borrowings & Guarantees, Related Party Transactions; Fund raising through Private Placements; Disqualifications of Director & Vacation of office of Director; Provisions related to Private Companies; Board meeting through Video Conferencing and E-voting at General Meetings.
Taking forward the national campaign, FLIPKART-FISME reached out to the MSMEs on 8th August 2014 in Jaipur. The sector in focus was handicrafts, jewellery, fashion accessories, home furnishings & garments.
The programme was supported by Federation of Rajasthan Exporters (FORE), Rajasthan Chamber of Commerce and Industry (RCCI), etc. The programme was attended by over 100MSMEs owners and had distinguished guest like Mr. Lekhraj Maheshwari, Chairman, Export Promotion Council for Handicrafts.
Enter "entrepreneurial traits" into Google, and the menu of frequent searches will complete the query with "... of Steve Jobs" and "... of Bill Gates," among others. These are the forces of nature that spring to mind for most of us when we think of entrepreneurs--iconic figures who seemed to burst from the womb with enterprise in their DNA.
They inspire, but they also intimidate. What if you weren't born with Jobs' creative genius or Gates' iron will? There's good news for the rest of us: Entrepreneurs can be guided to success by harnessing crucial attributes. Scholars, business experts and venture capitalists say entrepreneurs can emerge at any stage of life and from any realm, and they come in all personality types and with any grade point average.
The ability to deal with a sudden crisis and take hard decisions, the patience to take criticism and honest feedback head on, and maintaining transparency and honest communication... the journey to becoming a leader who embodies these and other traits is strewn with lessons learnt and unlearnt along the way.
Six leaders share personal anecdotes and their learning which helped them hone their leadership abilities.
Tourism and Culture Minister of Seychelles Alain St Ange today met the MSME Minister Kalraj Mishra and sought to strengthen cooperation in sectors like SME, Tourism, Civil Aviation etc. by exchanging expertise between the two nations.
He further stated that Seychelles could be considered as the gateway to Africa and that there is tremendous scope improving bilateral trade between both the countries.
Stating that Prime Minister Narendra Modi is keen to strengthen relations with neighbouring countries and to work towards peace and prosperity in the region, micro, small and medium enterprises (MSME) Minister Mishra assured Seychelles of all help and cooperation in the development of MSME sector.
India’s steel consumption in the first four months of the current financial year grew by just 0.6 per cent to 25.72 million tonnes.
The country, where around 70 per cent of the steel demand comes from the construction sector, had consumed 25.57 MT steel during the April-July period of last year, data prepared by Joint Plant Committee showed.
JPC, a unit under the Steel Ministry, said the domestic consumption of steel during July was at 6.9 MT, an increase of 0.3 per cent over the same month last year.
Production of crude steel during the period rose by 0.9 per cent to 27.39 million tonnes compared to 27.15 million tonnes a year ago, JPC data showed.
Ringing the warning bell against crony capitalism, the RBI Governor Raghuram Rajan said, "One of the greatest dangers to the growth of developing countries is the middle income trap, where crony capitalism creates oligarchies that slow down growth. If the debate during the elections is any pointer, this is a very real concern of the public in India today".
Addressing the Twentieth Lalit Doshi Memorial Lecture here yesterday, he said, “Even as our democracy and our economy have become more vibrant, an important issue in the recent election was whether we had substituted the crony socialism of the past with crony capitalism, where the rich and the influential are alleged to have received land, natural resources and spectrum in return for payoffs to venal politicians,”
He pointed out that by killing transparency and competition, crony capitalism is harmful to free enterprise, opportunity, and economic growth.
The trouble with the Indian economy is that both in manufacturing and in services, it is becoming high cost which in a vicious cycle exerts wage pressure further complicating the issues, said an industry report.
More than inflation on account of merchandise goods as reflected in the Wholesale Price Index and the Consumer Price Index, the costs of services such as education including coaching, health, transport, servicing of personal vehicles, personal care services are increasing at a much higher pace pinching the average middle class family more by at least 25 per cent year-on-year, according to ASSOCHAM paper.
The government has allocated Rs 24,124 crore to boost the country's micro, small and medium enterprises sector during the Twelfth Five-Year Plan period (2012-17), an increase of 133.53 per cent over the Eleventh Plan, Parliament was today informed.
"In order to boost the growth of the micro, small and medium enterprises (MSMEs) sector during the Twelfth Five Year Plan an outlay of Rs 24,124 crore has been allocated for Ministry of MSME. This XIIth Plan allocation represents an increase of 133.53 per cent over the XIth Five Year Plan allocation of Rs 10,330 crore," Union MSME Minister Kalraj Mishra said in a written reply in the Lok Sabha.
There is a proposal for a single labour law for the entire micro, small and medium (MSME) sector to enhance its competitiveness and improve work culture.
The ministry of labour is preparing single law by merging all other existing labour laws regulating the sector in consultation with the MSME ministry. According to official sources, MSMEs contribute eight per cent of the country’s GDP, 45 per cent of the manufactured output and 40 per cent of its exports. However, the MSME sector is labour-intensive and highly disorganised, and different labour laws prevalent in different states have made the sector more scattered and difficult to regulate.
Business to Consumer (B2C) web portal – www.msmeshopping.com was launched here today by the Minister for Micro, Small and Medium Enterprises, Kalraj Mishra.
The web portal dedicated to the MSME sector is a project of the National Small Industries Corporation (NSIC) which fosters the growth of small scale industries, through various schemes and services.
Speaking at the event, Mishra appreciated the efforts of NSIC in launching the portal, which will enable MSMEs to sell retail products as well as industrial equipment/ machinery online.
He said that marketing was an expensive aspect and MSMEs often find it very difficult to spend on advertisement, brand building, distribution, etc. As a result, many of them depend on middlemen who take a large chunk of their profit. The online shopping portal would go a long way to help the units market their products.
The government is considering enhancing the limit for firms and businesses to qualify for being categorised as MSMEs, it was stated in Parliament.
"The issue of enhancement of investment limit for micro, small and medium manufacturing enterprises as well as of service enterprises is under consideration,” Union Minister of Micro, Small and Medium Enterprises, Kalraj Mishra said in the Rajya Sabha yesterday.
The present investment limit for MSMEs under MSMED Act, 2006 for manufacturing enterprises is - Micro enterprise: investment in plant and machinery upto Rs 25 lakh; Small enterprise: investment in plant and machinery from Rs 25 lakh to Rs 5 crore; Medium enterprise: investment in plant and machinery from Rs 5 crore to Rs 10 crore.
In the backdrop of the Economic survey 2013-14 which highlighted the need for trade facilitation by reducing the number of documents, transaction cost and time for export and import, the government has introduced a number of measures to simplify export and import related procedures and documentation and make these available online for the users.
On trade facilitation measures adopted by the government, “Most of India’s export and import documents are processed at Customs through the Electronic Data Interchange (EDI) system,” said Minister of State for Commerce and Industry, Nirmala Sitharaman in the Rajya Sabha today
President of Karnataka Small Scale Industries Association (KASSIA), C M Rajamane has presented a memorandum to state government officials, highlighting various challenges of the MSME sector pertaining to accessing finance, infrastructure, power, labour laws, etc.
The memorandum was presented to Secretary to the Government, Commerce and Industries, Tushar Girinath; and Commissioner of Industrial Development and Director of Industries and Commerce, Government of Karnataka, Maheswar Rao, during an interaction meeting here yesterday.
With regard to the industrial policy, although it is drafted well, based on their experience, Rajamane said that implementation of the same will take 2-3 years, owing to delay in issuing government notifications and publication in state gazette. He cited the example of the Aerospace Policy that was released in February 2013 and awarded stamp duty concession of 75 per cent value. “Even after 5 months, the Govt. order has not reached Jala Sub registration office from revenue department,” he said.
He said that marketing was an expensive aspect and MSMEs often find it very difficult to spend on advertisement, brand building, distribution, etc. As a result, many of them depend on middlemen who take a large chunk of their profit. The online shopping portal would go a long way to help the units market their products.
The Gujarat Government is planning to give the young entrepreneurs 5 to 7 per cent interest subsidy and priority in the land allotment in the new estates to be developed by the Gujarat Industrial Development Corporation (GIDC) in several parts of the state.
State industries commissioner Kamal Dayani said, “For the first time, the state government has decided to give financial and other incentives to the first time entrepreneurs who are beginning their medium or small scale industry. We are preparing the draft for the new incentive scheme for MSME sector under which special focus will be given to the first time entrepreneurs,'' as quoted in a media report.
The Odisha Industry Department officials have been directed to develop a land bank of at least 50, 000 acres for public and industrial purposes, and also work out a strategy for land acquisition.
The Industries department along with IDCO and IPICOL have been directed to carry forward the initiatives in a time bound manner.
Reviewing the activities of the industry department at a high level meeting held here yesterday, Chief Secretary G C Pati directed the officials to develop a land bank of at least 50,000 acres for public and industrial purposes.
The Telangana Government has plans to introduce the Right to Single Window Services Bill, under which, action would be taken if the projects are not given clearance in the specified time frame, according to the vice-chairman and managing director of Telangana State Industrial Infrastructure Corporation (TSIIC) Jayesh Ranjan.
While addressing a conference on manufacturing excellence here on Saturday, Ranjan said in the proposed industrial policy there would be provisions for projects to be cleared on self-certification.
Ranjan also said that the MSMEs would be given higher incentives and packages, covering special technology development fund, panel of consultants for technical and managerial advices and sick units insurance fund, according to a media report.
The Jammu and Kashmir government is keen for early formation and notification of industrial policy, and to implement it from 2015 in order to encourage investment in the state.
J&K Chief Minister, Omar Abdullah has said that the package for industrial backward areas should be incorporated as part of the new industrial policy and directed for early refund of VAT to the industrialists.
He also emphasized the need for encouraging young local entrepreneurs to invest in the feasible industrial and handicrafts sectors to boost state economy and employment opportunities for the youth.
Abdullah said this while addressing the 5th State Industrial Advisory Committee (SIAC) meeting here yesterday.
The recently concluded India-US Strategic Dialogue set the tone for improved strategic and economic ties at a pivotal point in bilateral partnership, representatives of American corporate sector and experts have said.
"It is heartening to see that despite divergent views on certain issues, there is a sincere commitment towards the renewed bilateral strategic partnership," said Diane Farrell, acting president of the US India Business Council (USIBC).
"Industry is pleased by the positive momentum provided by these talks in the lead up to Prime Minister (Narendra) Modi's visit to the US in September," she said in a statement on the successful conclusion of the fifth annual India-US Strategic Dialogue, for which Secretary of State John Kerry travelled to India.
Exports to Iran in Indian rupee will also be entitled for trade benefits as available to exporters realising proceeds in freely convertible currencies.
"Export proceeds against exports to Iran realised in Indian rupees are permitted to avail exports benefits/ incentives under the Foreign Trade Policy, 2009-14, at par with export proceeds realised in freely convertible currency," the Director General of Foreign Trade (DGFT) has said in a notification.
Indian exporters mainly trade in freely convertible currencies including US dollar and euro. The government provides export incentives under different schemes, including Focus Market Scheme, to exporters realising their proceeds in such currencies.
India and the 10-nation ASEAN are likely to sign the long-delayed free trade agreement in services and investments later this month when their economic and trade ministers meet here.
Foreign Ministers of all ASEAN countries as well External Affairs Minister Sushma Swaraj have hoped that the pact will be finally signed during the four-day-long meeting of Economic Trade Ministers of India and ASEAN beginning August 25.
Seeking better ties with India, the grouping after the India-ASEAN Foreign Ministers meeting, here said it was looking forward to signing of the ASEAN-India Free Trade Agreement in services and investment later this month.
Trade between India and Pakistan has been continuously rising despite recurring border tensions but is yet to tap its estimated potential of $12 billion, according to a study compiled by the SAARC Chamber of Commerce and Industry.
According to the SAARC Chamber's research report, the two nations have been trade partners since the beginning but the trade potential has remained under-utilised due to conflicts.
The study shows that bilateral trade was just $132 million till 1995 but increased in the coming years after India granted the Most Favoured Nation (MFN) status to Pakistan in 1996, immediately taking bilateral trade to $180.
According to the FISME Factor, almost all the Micro, Small and Medium Enterprises (MSMEs) think that Government is serious in pushing labour reforms.
Ask a dozen CEOs what they believe is their company’s most valuable asset and you’ll likely receive the same answer: their top performing employees. But, when asked what they do to maintain this asset—to keep employees engaged and happy—most will cite conventional benefits like compensation, vacation time or paid lunches. While those are certainly valuable benefits, they’re also "a given" in almost every industry.
Several years ago Mike jotted down four financial priorities that he often shares with clients. The priorities are not rocket science, but they can certainly help any individual and business leader to achieve a financially healthy life. My desire, as I learned from Mike, is to urge our business leaders to teach these principles to their people. As you’ll notice, many of the principles apply just as strongly to business leadership as they do to individual wealth.
PVC traders at the Tikri Kalan border in west Delhi were supported by the Congress Party in their protest against "harassment” by civic authorities and the police.
There are about 5000 small plastic traders in the area, who are in the business of buying and selling plastic.
“We just buy or sell the waste plastic. In no ways do we do anything with would cause pollution or harm to the environment,” said Raju Solanki, Proprietor of Rama Peer Plastic from Tikri Kalan.
The traders have been raising the issue of being harassed by the local police and the municipal corporation limited.
Pranjit Das of Assam's Bodoland area never knew that areca nut sheath, treated as a waste in the region, would one day help him earn a decent living.
It was Arindam Dasgupta, 35, a graduate from the Institute of Rural Management, Anand (Gujarat), who saw such an opportunity. As an officer with Entrepreneurship Development Institute of India (EDII) in Guwahati, in 2005, he decided to try and tap the potential of these sheaths to produce environment-friendly disposable dinnerware.
Starting with a measly Rs 50, Abhishek Rungta has expanded his website designing and hosting business to Rs 40 crore through perseverence and passion in less than two decades.
I belong to a family of Kolkata-based businessmen. However, when I decided to start my own venture—an e-mail service centre—I received their support and encouragement. This was in 1997 and the Internet was a relatively new concept.
The centre was supposed to facilitate communication between businesses and their customers through mass mailers sent via the Net. I took a loan of Rs 46,000 from my family, paying around Rs 30,000 to an Internet service provider and the rest going into the purchase of a modem. I didn't need to buy a computer as I had one.
" Entrepreneur is someone who has a vision for something and a want to create.” " 
Buy our one-of-a-kind guide to all industrial testing laboratories in India. Find the one most convenient for getting your products tested and certified. An invaluable compendium for all industrial units and exporters.
