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President's Message
" It was an honour to represent Indian MSMEs and articulate their views before the Hon’ble Finance Minister last week. Also handed over FISME’s comprehensive budget memorandum which covered a range of budget related issues including direct and indirect taxes, banking and finance etc. (A link to the memo is provided in FISME Factor). However, during the meeting WE highlighted the need to take immediate measures to alleviate pain of MSMEs following demonetisation. We stressed two additional points: Need for strengthening cheque if we want to move away from cash based commercial transactions. Secondly, creation of a consultative mechanism prior to taking protective measures such as safeguards duties or Min. Import Price (MIP) etc to take into consideration the views of the down-stream MSMEs who might be affected adversely because of such decisions.These points were reiterated these points with the media channels after the meeting. You are encouraged to have a look at the proposal we submitted and let us know your views on them. Please also share your experience of demonetisation and any suggestion you have in this regard.
"
De-monetisation: Share your experience How has it affected your business? How are you coping with problems ? What would you like to suggest the Government?
While the aftershocks of demonetisation dominated the pre-budget consultation meeting chaired by Finance Minister Arun Jaitley, the Micro Small and Medium Enterprises (MSME) sector demanded rollback of protectionist measures such as Minimum Import Prices and Safeguard duties on Steel and Aluminium.
Raising the issue with the Finance Minister, Dr Sangam Kurade, President of Federation of Indian Micro and Small & Medium Enterprises (FISME)- the largest SME body in India, said , “while the intention of the Government may be to support the domestic steel and aluminium industry to be viable,
The two-day international policy workshop on ‘Innovation Voucher’, jointly organized by GIZ and Office of the DC-MSME, kick-started in the national capital today.
The programme has been organized in partnership with industry body FISME and TFSC.
Addressing the workshop, Additional Secretary and DC, Ministry of MSME, SN Tripathi said, “There is a need to make India more and more innovative and Innovation Voucher is a concept which the country would like to adopt.”
FISME organised a Public Private Dialogue Forum (PPD) for SAARC countries at Kolkata on 25th November in association with EEPC and FOSMI. The objective of the forum is to bring both private and public sector representatives in one platform to discuss various trade related issues in the SAARC region with emphasis on Non-tariff barriers and to evolve future roadmap to address these issues. In his welcome address, Shri. R.P Sehgal, Sr. Vice Chairman, EEPC listed out the problems being faced by the engineering sector exports for the SAARC region. While expressing the positive outcome of this forum, Shri. Biswanath Bhattacharya underline the importance of constructive role of both private and public sector in addressing the trade impediments with the neighbouring countries.
There is no one-size-fits-all source of inspiration for startup founders. For example, Neil Blumenthal, co-founder Warby Parker, finds inspiration through Jack Kerouac's 1958 novel The Dharma Bums, while Ben Kaufman, founder of Quirky, is inspired by the construction of the Empire State Building. Lemp is inspired by a potential world in which Revcontent does not accomplish its mission.
That could expose their violations of PF, ESI and minimum wage norms. The government should, however, be a bit lenient here
Today, many MSME companies and workers are reluctant to receive payments through banks.
The short-term adverse impact of the demonetisation move is being felt in the irregular heartbeat of the economy, which appears, from all available evidence, to be slowing down.
Both macroeconomic data projections and anecdotal evidence from the marketplace establish that the cash squeeze has dampened consumer sentiment and is proving a drag on GDP growth in this quarter. Sales of modern conveniences (mod-cons) have virtually stalled, and production targets are being scaled down in response.
With deposits in Jan Dhan accounts swelling manifolds since the day Prime Minister Narendra Modi announced the withdrawal of legal tender of Rs 500 and Rs 1000 bills the Reserve Bank of India has now started capping withdrawals in these accounts. In a notification issued on Wednesday RBI announced that withdrawals from Jan Dhan accounts would be capped at Rs 10,000 per month.
The central bank said that fully KYC compliant holders may withdraw Rs 10,000 from their account every month.
The government today introduced a new bill to amend Income Tax Act in Lok Sabha. In order to curb black money in the country, Finance Minister Arun Jaitley proposed an alternative scheme called, 'Taxation and Investment Regime for Pradhan Mantri Garib Kalyan Yojana, 2016' (PMGKY) for the Bill.
As per the proposal, under this regime, the declarant will be required to pay tax at 30% of the undisclosed income and penalty at the rate of 10% of the undisclosed income.
As calls for going cashless grow louder in India, a key challenge being faced globally is to check the continuing rise in the total value of currency in circulation and their share in the overall GDP -- a trend particularly visible in the US, Switzerland and Euro area.
With Prime Minister Narendra Modi's sudden move to cancel the legal character of old Rs 500 and Rs 1,000 currency notes in the fight against black money and corruption, the focus is all the more high on digital payments as the way forward.
MSMEs are always innovating keeping in view the consumers changing demands, however, they lack in R&D and market access, said SN Tripathi, Additional Secretary, MSME Ministry.
He said this in an interview to KNN on the side-lines of a workshop on ‘Innovation Voucher’, jointly organized by GIZ and Office of the DC-MSME last week.
Tripathi, who is also the DC-MSME, MSME Ministry, said, “If we support MSMEs somewhere in their Research & Development (R&D) for innovation then MSMEs would be more willing to innovate.
The Ministry of MSME, Government of India, has created a Fund of Funds called as Micro Small and Medium Enterprises Fund for promotion and development of the MSMEs.
In a notification, DC MSME SN Tripathi said, “In exercise of the powers conferred by section 12 of the Micro, Small and Medium Enterprises Development Act, 2006 (27 of 2006), the Central Government hereby establishes a fund to be called the Micro Small and Medium Enterprises Fund."
In a major enhancement towards improving ease of doing business environment in the country, the importers and exporters will now not be required to submit paper documents such as GAR 7 forms / TR 6 Challans, Trans-shipment Permit (TP), Shipping Bill (Exchange Control copy and Export Promotion copy) & Bill of Entry (Exchange Control Copy) to Banks/ DGFT / Customs Ports etc.
The step will help the Importers and Exporters to move towards electronic messaging and paper–free environment.
Union Minister Kalraj Mishra today laid the foundation stone for an MSME Technology Centre here with focus on technological and skilled manpower support for electronics systems design and manufacturing (ESDM) and automotive electronics sector of the region.
Union Minister Kalraj Mishra today laid the foundation stone for an MSME Technology Centre here with focus on technological and skilled manpower support for electronics systems design and manufacturing (ESDM) and automotive electronic sector of the region.
Following the successful launch of training course on “Managing Innovation in Small Businesses” in ISB in the beginning of November, IIM Indore is now geared to introduce the training course for SMEs in Indore jointly with Gesellschaft fuer Internationale Zusammenarbeit, Ministry of Micro, Small and Medium Enterprises (MoMSME) and Steinbeis Germany.The first training which is offered at an attractive subsidized rate will start on November 28 with 5 days practical training till December 2 followed by a 4 weeks implementation break and ending with a 2-day finishing school on 6-7 January 2017.
The Haryana Government’s Technical Education Department has entered into a pact with National Small Industries Corporation (NSIC) to set up a Technology Centre at Neemka in Faridabad district.
In a tweet, the MSME Ministry said, “NSIC signed MOU with Haryana Gov seṭṭing up of Technology Centre by NSIC in the presence of Mr DS. Dhesi, CS Shri KKJalan Secretary MSME.”
The MoU was signed by the NSIC Chairman-cum-Managing Director Ravindra Nath and Haryana Technical Education Department Principal Secretary Anil Malik in the presence of Union MSME Secretary K K Jalan and Haryana Chief Secretary D S Dhesi.
A walk through Bengaluru's Kadalekai Parishe (groundnut fair) would make you wonder drought and demonetisation what? About 600 farmers and traders from nearby villages as well as Tamil Nadu have dotted the Bull Temple Road and its surroundings with over 2,500 stalls.Estimates suggest that traders are collectively making hay with a turnover of around Rs 2.5 crore a day , with an average of Rs 10,000 per trader. But “that's conservative“, said Basavanagudi MLA LA Ravi Subramanya, because it excludes sales of artefacts, toys and clothes. “Without exaggeration, I can say the Parishe has a turnover of more than Rs 10 crore over four five days,“ he said.
The Himachal Pradesh Housing and Urban Development Authority (HIMUDA) on Tuesday gave green light to a Singapore company for developing a smart integrated township on the outskirts of Shimla town to decongest it, said a state minister.Urban Development Minister Sudhir Sharma told IANS the HIMUDA board, of which he is chairman, at its meeting here accorded approval to sign the MoU with Singapore Cooperation Enterprises for developing a smart and livable township at Jathiadevi near Jubbarhatti airport, some 20 km from here.
Asserting that India was today the top trade partner for Israel, Reuven Ruvi Rivlin, President of the State of Israel said his visit will open the way for a full Free Trade Agreement between the two countries.
Israeli President said the business delegation accompanying him “are here to make in India and make with India”.
He said this while addressing the India-Israel Economic Forum: Innovative Partnership, organised by FICCI, CII and ASSOCHAM.
Jammu based MSME entrepreneurs visited the Plastic & Rubber Exhibition in Jakarta, Indonesia, from November 16-19 to explore the potential sectors and opportunities available for collaboration.
This year 29th edition of Plastics & Rubber Indonesia was held and attracted key players from across the globe including from countries like China, Germany, Italy, Korea, Singapore, Switzerland, Taiwan and the UK.
It is a dedicated event for plastics and rubber in Indonesia with the sole focus of serving the industry.
The Nepal Rastra Bank (NRB) has reduced the exchange limit of Indian to Rs 2,000 from Rs 5,000 after India introduced new banknotes of Rs 500 and Rs 2000.
On Thursday, the NRB also requested the public not to use newly introduced currency notes of Rs 500 and Rs 2000, terming it "illegal", and added that any ratification of bank notes has to be done according to the Foreign Exchange Management Act.
Do you think that demonetisation of Rs 500 and Rs 1,000 Currency notes is a poorly planned move?
According to the FISME Factor, 100 percent of Micro, Small and Medium Enterprises think that demonetisation of Rs 500 and Rs.1000 currency notes is a poorly planned move.
Getting together as a team and launching a company with someone who will help you in a specific area that you know little about is a good idea, but more than one head running a business can also mean differences of opinions and conflicts of interest. This is one thing you don’t want, especially when your company is in the nascent stage.
Cash Ki Charcha: How youth can support less-cash society
Cash Ki Charcha - a movement for each young Indian to reach out to 10 others to make them aware about technology enabling them to opt for digital methods to transact for their personal/business use instead of depending on physical currency.
Demonetisation: E-wallets up their marketing spend
As the race hots up to capture the consumer market that is ready to go digital post demonetisation, digital wallets are untying the purse strings and are deploying a big part of their budgets for marketing this month. MobiKwik launched a marketing campaign called MobiKwik Hai Na over the weekend with front-page newspaper ads in five cities, radio campaigns as well as a company 'anthem'.
Demonetisation hits kirana stores, some see sales drop by 26%
The liquidity crunch following the recent demonetisation of higher value currency notes has hit retail at kirana stores and the sale of FMCG products sold there, and startups in the space are facing a heavy brunt. Bengaluru-based iD Fresh Foods, which sells ready-to-cook products which sells ready-to-cook products in more than 10 cities, has seen almost 26% drop in sales in the last two weeks at corner stores and about 12% in modern trade stores such as supermarkets.
Jobs will be safe in MSME sector, government assures workers
Government today sought to soothe concerns of layoff in micro, small and medium enterprises (MSMEs) that employ 80 million people against the backdrop of demonetisation, saying the decision might cause initial problems but will not impact job scenario in the sector.
1001 Startup Idea | Brain Music for Improving Performance
The startup idea is to create an app, which will produce music, that will help users to improve their performance. The basic concept behind the app will be to make use of music to trigger the relevant brainwave patterns that will aid in improved performance. The startup will target all users ranging from students to athletes to artists and help them in improving their performance.
The Central Statistics Office (CSO), Ministry of Statistics and Programme Implementation, has released the Consumer Price Index numbers on base 2012=100 for rural, urban and combined for the month of June 2016
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
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This Newsletter is edited by the FISME Secretariat. We welcome contributions as well as comments and suggestions. Please write to newsletter@fisme.org.in
" It was an honour to represent Indian MSMEs and articulate their views before the Hon’ble Finance Minister last week. Also handed over FISME’s comprehensive budget memorandum which covered a range of budget related issues including direct and indirect taxes, banking and finance etc. (A link to the memo is provided in FISME Factor). However, during the meeting WE highlighted the need to take immediate measures to alleviate pain of MSMEs following demonetisation. We stressed two additional points: Need for strengthening cheque if we want to move away from cash based commercial transactions. Secondly, creation of a consultative mechanism prior to taking protective measures such as safeguards duties or Min. Import Price (MIP) etc to take into consideration the views of the down-stream MSMEs who might be affected adversely because of such decisions.These points were reiterated these points with the media channels after the meeting. You are encouraged to have a look at the proposal we submitted and let us know your views on them. Please also share your experience of demonetisation and any suggestion you have in this regard.
"
While the aftershocks of demonetisation dominated the pre-budget consultation meeting chaired by Finance Minister Arun Jaitley, the Micro Small and Medium Enterprises (MSME) sector demanded rollback of protectionist measures such as Minimum Import Prices and Safeguard duties on Steel and Aluminium.
Raising the issue with the Finance Minister, Dr Sangam Kurade, President of Federation of Indian Micro and Small & Medium Enterprises (FISME)- the largest SME body in India, said , “while the intention of the Government may be to support the domestic steel and aluminium industry to be viable,
The two-day international policy workshop on ‘Innovation Voucher’, jointly organized by GIZ and Office of the DC-MSME, kick-started in the national capital today.
The programme has been organized in partnership with industry body FISME and TFSC.
Addressing the workshop, Additional Secretary and DC, Ministry of MSME, SN Tripathi said, “There is a need to make India more and more innovative and Innovation Voucher is a concept which the country would like to adopt.”
FISME organised a Public Private Dialogue Forum (PPD) for SAARC countries at Kolkata on 25th November in association with EEPC and FOSMI. The objective of the forum is to bring both private and public sector representatives in one platform to discuss various trade related issues in the SAARC region with emphasis on Non-tariff barriers and to evolve future roadmap to address these issues. In his welcome address, Shri. R.P Sehgal, Sr. Vice Chairman, EEPC listed out the problems being faced by the engineering sector exports for the SAARC region. While expressing the positive outcome of this forum, Shri. Biswanath Bhattacharya underline the importance of constructive role of both private and public sector in addressing the trade impediments with the neighbouring countries.
There is no one-size-fits-all source of inspiration for startup founders. For example, Neil Blumenthal, co-founder Warby Parker, finds inspiration through Jack Kerouac's 1958 novel The Dharma Bums, while Ben Kaufman, founder of Quirky, is inspired by the construction of the Empire State Building. Lemp is inspired by a potential world in which Revcontent does not accomplish its mission.
The short-term adverse impact of the demonetisation move is being felt in the irregular heartbeat of the economy, which appears, from all available evidence, to be slowing down.
Both macroeconomic data projections and anecdotal evidence from the marketplace establish that the cash squeeze has dampened consumer sentiment and is proving a drag on GDP growth in this quarter. Sales of modern conveniences (mod-cons) have virtually stalled, and production targets are being scaled down in response.
With deposits in Jan Dhan accounts swelling manifolds since the day Prime Minister Narendra Modi announced the withdrawal of legal tender of Rs 500 and Rs 1000 bills the Reserve Bank of India has now started capping withdrawals in these accounts. In a notification issued on Wednesday RBI announced that withdrawals from Jan Dhan accounts would be capped at Rs 10,000 per month.
The central bank said that fully KYC compliant holders may withdraw Rs 10,000 from their account every month.
The government today introduced a new bill to amend Income Tax Act in Lok Sabha. In order to curb black money in the country, Finance Minister Arun Jaitley proposed an alternative scheme called, 'Taxation and Investment Regime for Pradhan Mantri Garib Kalyan Yojana, 2016' (PMGKY) for the Bill.
As per the proposal, under this regime, the declarant will be required to pay tax at 30% of the undisclosed income and penalty at the rate of 10% of the undisclosed income.
As calls for going cashless grow louder in India, a key challenge being faced globally is to check the continuing rise in the total value of currency in circulation and their share in the overall GDP -- a trend particularly visible in the US, Switzerland and Euro area.
With Prime Minister Narendra Modi's sudden move to cancel the legal character of old Rs 500 and Rs 1,000 currency notes in the fight against black money and corruption, the focus is all the more high on digital payments as the way forward.
MSMEs are always innovating keeping in view the consumers changing demands, however, they lack in R&D and market access, said SN Tripathi, Additional Secretary, MSME Ministry.
He said this in an interview to KNN on the side-lines of a workshop on ‘Innovation Voucher’, jointly organized by GIZ and Office of the DC-MSME last week.
Tripathi, who is also the DC-MSME, MSME Ministry, said, “If we support MSMEs somewhere in their Research & Development (R&D) for innovation then MSMEs would be more willing to innovate.
The Ministry of MSME, Government of India, has created a Fund of Funds called as Micro Small and Medium Enterprises Fund for promotion and development of the MSMEs.
In a notification, DC MSME SN Tripathi said, “In exercise of the powers conferred by section 12 of the Micro, Small and Medium Enterprises Development Act, 2006 (27 of 2006), the Central Government hereby establishes a fund to be called the Micro Small and Medium Enterprises Fund."
In a major enhancement towards improving ease of doing business environment in the country, the importers and exporters will now not be required to submit paper documents such as GAR 7 forms / TR 6 Challans, Trans-shipment Permit (TP), Shipping Bill (Exchange Control copy and Export Promotion copy) & Bill of Entry (Exchange Control Copy) to Banks/ DGFT / Customs Ports etc.
The step will help the Importers and Exporters to move towards electronic messaging and paper–free environment.
Union Minister Kalraj Mishra today laid the foundation stone for an MSME Technology Centre here with focus on technological and skilled manpower support for electronics systems design and manufacturing (ESDM) and automotive electronics sector of the region.
Union Minister Kalraj Mishra today laid the foundation stone for an MSME Technology Centre here with focus on technological and skilled manpower support for electronics systems design and manufacturing (ESDM) and automotive electronic sector of the region.
Following the successful launch of training course on “Managing Innovation in Small Businesses” in ISB in the beginning of November, IIM Indore is now geared to introduce the training course for SMEs in Indore jointly with Gesellschaft fuer Internationale Zusammenarbeit, Ministry of Micro, Small and Medium Enterprises (MoMSME) and Steinbeis Germany.The first training which is offered at an attractive subsidized rate will start on November 28 with 5 days practical training till December 2 followed by a 4 weeks implementation break and ending with a 2-day finishing school on 6-7 January 2017.
The Haryana Government’s Technical Education Department has entered into a pact with National Small Industries Corporation (NSIC) to set up a Technology Centre at Neemka in Faridabad district.
In a tweet, the MSME Ministry said, “NSIC signed MOU with Haryana Gov seṭṭing up of Technology Centre by NSIC in the presence of Mr DS. Dhesi, CS Shri KKJalan Secretary MSME.”
The MoU was signed by the NSIC Chairman-cum-Managing Director Ravindra Nath and Haryana Technical Education Department Principal Secretary Anil Malik in the presence of Union MSME Secretary K K Jalan and Haryana Chief Secretary D S Dhesi.
A walk through Bengaluru's Kadalekai Parishe (groundnut fair) would make you wonder drought and demonetisation what? About 600 farmers and traders from nearby villages as well as Tamil Nadu have dotted the Bull Temple Road and its surroundings with over 2,500 stalls.Estimates suggest that traders are collectively making hay with a turnover of around Rs 2.5 crore a day , with an average of Rs 10,000 per trader. But “that's conservative“, said Basavanagudi MLA LA Ravi Subramanya, because it excludes sales of artefacts, toys and clothes. “Without exaggeration, I can say the Parishe has a turnover of more than Rs 10 crore over four five days,“ he said.
The Himachal Pradesh Housing and Urban Development Authority (HIMUDA) on Tuesday gave green light to a Singapore company for developing a smart integrated township on the outskirts of Shimla town to decongest it, said a state minister.Urban Development Minister Sudhir Sharma told IANS the HIMUDA board, of which he is chairman, at its meeting here accorded approval to sign the MoU with Singapore Cooperation Enterprises for developing a smart and livable township at Jathiadevi near Jubbarhatti airport, some 20 km from here.
Asserting that India was today the top trade partner for Israel, Reuven Ruvi Rivlin, President of the State of Israel said his visit will open the way for a full Free Trade Agreement between the two countries.
Israeli President said the business delegation accompanying him “are here to make in India and make with India”.
He said this while addressing the India-Israel Economic Forum: Innovative Partnership, organised by FICCI, CII and ASSOCHAM.
Jammu based MSME entrepreneurs visited the Plastic & Rubber Exhibition in Jakarta, Indonesia, from November 16-19 to explore the potential sectors and opportunities available for collaboration.
This year 29th edition of Plastics & Rubber Indonesia was held and attracted key players from across the globe including from countries like China, Germany, Italy, Korea, Singapore, Switzerland, Taiwan and the UK.
It is a dedicated event for plastics and rubber in Indonesia with the sole focus of serving the industry.
The Nepal Rastra Bank (NRB) has reduced the exchange limit of Indian to Rs 2,000 from Rs 5,000 after India introduced new banknotes of Rs 500 and Rs 2000.
On Thursday, the NRB also requested the public not to use newly introduced currency notes of Rs 500 and Rs 2000, terming it "illegal", and added that any ratification of bank notes has to be done according to the Foreign Exchange Management Act.
According to the FISME Factor, 100 percent of Micro, Small and Medium Enterprises think that demonetisation of Rs 500 and Rs.1000 currency notes is a poorly planned move. 
Getting together as a team and launching a company with someone who will help you in a specific area that you know little about is a good idea, but more than one head running a business can also mean differences of opinions and conflicts of interest. This is one thing you don’t want, especially when your company is in the nascent stage.
Cash Ki Charcha - a movement for each young Indian to reach out to 10 others to make them aware about technology enabling them to opt for digital methods to transact for their personal/business use instead of depending on physical currency.
As the race hots up to capture the consumer market that is ready to go digital post demonetisation, digital wallets are untying the purse strings and are deploying a big part of their budgets for marketing this month. MobiKwik launched a marketing campaign called MobiKwik Hai Na over the weekend with front-page newspaper ads in five cities, radio campaigns as well as a company 'anthem'.
The liquidity crunch following the recent demonetisation of higher value currency notes has hit retail at kirana stores and the sale of FMCG products sold there, and startups in the space are facing a heavy brunt. Bengaluru-based iD Fresh Foods, which sells ready-to-cook products which sells ready-to-cook products in more than 10 cities, has seen almost 26% drop in sales in the last two weeks at corner stores and about 12% in modern trade stores such as supermarkets.
Government today sought to soothe concerns of layoff in micro, small and medium enterprises (MSMEs) that employ 80 million people against the backdrop of demonetisation, saying the decision might cause initial problems but will not impact job scenario in the sector.
The startup idea is to create an app, which will produce music, that will help users to improve their performance. The basic concept behind the app will be to make use of music to trigger the relevant brainwave patterns that will aid in improved performance. The startup will target all users ranging from students to athletes to artists and help them in improving their performance.
“ Change will not come if we wait for some other person or some other time. We are the ones we've been waiting for. We are the change that we seek. ”
