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President's Message
"
During the meeting of apex industry associations with the Finance Minister on 6th Jan 2015, I pointed out several steps that must be taken to alleviate the current pains of MSMEs and also steps needed for faster growth of the sector. Some of the key issues I raised have been:
To exempt MSMEs from the latest loans and deposit rules under the new Companies Act; To bring down investment allowance threshold from Rs. 25 crore to zero so that MSMEs can also take advantage of the important initiative; Income Tax exemption should be granted to manufacturing MSMEs to encourage manufacturing and job creation; To do away with BLR rating on MSMEs according to which all accounts having exposure over Rs. 5 crore is required to get a mandatory third party rating; To provide relief on C-form making the liability of collecting the form that of the buyer; To allow insurance companies to provide non-fund based finance such as in the form of bank guarantees, bid and performance bonds etc; Suggested a series of measures to ensure compliance of delayed payment provisions; Measures to popularize SME Exchange and Factoring and Reviewing and strengthening CGTMSE and CLCS schemes.
"
FISME organised “Awareness Programmes on Quality Management Standards and Quality Technical Tools” (QMS/QTT) under NMCP scheme sponsored by Development Commissioner, Ministry of MSME, Govt. of India.
In a nationwide series of 8 programmes spread across eight states, FISME in association with their industry partners have successfully organised Awareness Progammes in Gulbarga in Karnataka on 24th December, Bobbili in Andhra Pradesh on 3rd January, Kochi in Kerala on 8th January successfully.
Around 200 participants from food processing, sea food, engineering sectors attended these programme with active cooperation from Gulbarga Estimate Manufacturers Association and Kerala State Small Industries Association
’
A successful career is like a rollercoaster with many ups and downs, whether you're an employee or an entrepreneur. Understanding how to maintain your success and move past your failures can help you lead a more productive and fulfilling career.
To help provide some insight on how to navigate a career you're proud of, I've asked 33 tech entrepreneurs to share some of their biggest lessons learned from their own failures.
I learned that what you might think is the worst thing that ever happened to you in that moment might actually turn out to be the best thing that ever happened to you. I can recount a number of the instances when I thought the world was ending to only laugh about it several years later and thank my lucky stars that that's how things turned out.
India will be a bright spot in an otherwise mediocre global economic outlook. Its economy is expected to grow 6.4 per cent this year and even faster in 2016.
Of total 21,304 memorandums of understanding signed during the seventh edition of Vibrant Gujarat Summit, more than 17,000 relate to micro, small and medium enterprise (MSME) sector alone.
As per the figures released by the state government on Tuesday, 4,223 MoUs relate to large sector industries while 17,081 MoUs are in the MSME sector.
Of these 17,081 MoUs, 6,962 fall in the purview of MSME-IC (Industrial Commissionerate) while 10,119 in the MSME-GIDC (Gujarat Industrial Development Corporation).
In the MSME-GIDC category, where 10,119 MoUs were signed in 33 MSME sectors, the government expects to get investment of Rs 27,461 crore and 2.04 lakh jobs.
The valedictory session of Vibrant Gujarat Global Summit2015 ended with the chief minister announcing over 21,000 separate investment intentions have been signed, with 1,250 partnership agreements.
At conclusion, corporates from India and abroad pledged to invest Rs 25 lakh-crore.
Around 25,000 delegates came, from 110 countries. Also, a trade show held under the Vibrant Gujarat banner attracted a large number of visitors at an exhibition area of 125,000 sq metres.
The government is expected to implement a common Goods and Services Tax (GST) across the country in the course of next year, Finance Minister Arun Jaitley said on Monday.
Addressing the Vibrant Gujarat Summit 2015, Jaitley said, "I see the economy growing much faster in months to come. In order to attract investment, direction must be clear, pace of moving in that direction must be reasonably quick."
Taking on those who criticised the government's decision to take the ordinance route in Parliament, Jaitley said, "Should we have waited till the Opposition let Rajya Sabha function? Policy decisions cannot wait for 10 years to be taken."
The NITI Aayog CEO Sindhushree Khuallar and other senior officials briefed the Vice-Chairman about the newly created body.
Panagariya is expected to call on Prime Minister Narendra Modi, who is the Chairman of the Aayog, later in the day.
The government had announced the appointment of Vice- Chairman, 2 full time members, 4 ex-officio members (Union ministers) and 3 special invitees for the Aayog on January 5.
Economist Bibek Debroy and former DRDO chief V K Saraswat were appointed as full-time members by the Prime Minister. They are expected to join shortly.
The bilateral trade between India and Vietnam is likely to touch $20 billion by 2020, country's ambassador to India Ton Sinh Thanh has said.
"The two-way trade between Vietnam and India is expected to reach $8 billion this year and could rise to $10 billion in 2015 and $20 billion by 2020," Thanh, who was in the city to meet members of the Exim Club Association of Exporters and Importers, told reporters here yesterday.
Vietnam is currently India's tenth largest trade partner. Thanh is in Gujarat for the Vibrant Gujarat Global Investors Summit held in Gandhinagar.
Finance Minister Arun Jaitley along with his top officials today met industry association heads and listened to their demands on Union Budget 2015-16 here.
Presidents of FICCI, CII, ASSOCHAM and FISME were asked to present their views first followed by individual industry leaders.
Welcoming the industry captains Finance Minister sought their suggestions to put the economy on rapid growth path and said that Modi government was taking initiatives in many areas outside the scope of the Budget to bolster growth.
The Minister for Micro, Small and Medium Enterprises, Kalraj Mishra today launched the e-book of the Ministry of MSME featuring details of schemes, e-governance initiatives, budget announcements, etc.
The E-Book initiative of MSME is an entrepreneur-friendly step and can be accessed at the Ministries website:
http://msme.gov.in/WriteReadData/Whatsnew/MSME%20eBook%202015-07012015.pdf, according to an official release.
The EBook details priorities and programmes relevant to different stakeholders, covering an introduction to the sector, its achievements, its focus on khadi and village industry, coir sector, E-Governance initiatives and Prime Minister’s Employment Generation Programme (PMEGP).
The Reserve Bank plans to include export finance under priority sector lending category, with certain riders, Deputy Governor H R Khan said here today.
He said that a specially constituted internal group is working on this aspect and its inclusion would be over and above benefits granted to financing Micro, Small and Medium Enterprises (MSMEs).
A decision on this aspect is expected in the final report, which is scheduled to be submitted in two months.
A new draft of twelve Income Computation and Disclosure Standards (ICDS) has been uploaded on the Finance Ministry and Income-Tax Department website, seeking comments from stakeholders and general public.
The last date for sending comments is February 8, 2015, an official release from the Ministry of Finance said today.
“Sub- section (1) of Section 145 of the Income-tax Act, 1961 (‘the Act’) provides that the income chargeable under the head “Profits and gain of business or profession” or “Income from other sources” shall [subject to the provisions of sub-section (2)] be computed in accordance with either cash or mercantile system of accounting regularly employed by the assessee. Sub-section (2) of Section 145 provides that the Central Government may notify Income Computation and Disclosure Standards (ICDS) for any class of assessees or for any class of income,” it said.
The Department of Commerce has allowed the dual use of non-processing area of Special Economic Zones (SEZs) by SEZ entities as well as Domestic Tariff Area (DTA) entities by amending the SEZ Rules of 2006.
“The Gazette notification dated January 2, 2015 is available at http://sezindia.gov.in/writereaddata/GeneralNotifications/Amendment%20rule.pdf.” an official release from the Ministry of Commerce and Industry said on January-9.
As per the amended rule with regard to bifurcation of non-processing area, “The non-processing area can be bifurcated into two parts, namely: Where the social or commercial infrastructure and other facilities are permitted to be used by both the Special Economic Zone and Domestic Tariff Area entities: No exemptions, concessions or drawback shall be admissible for creation of such infrastructure.
In what could be the early signs of an industrial turnaround, factory output for November 2014 came in at a five-month high of 3.8 per cent on the back of improved manufacturing performance. This is a clear positive for the economy given that the Index of Industrial Production (IIP) had contracted 4.2 per cent in October 2014.
Manufacturing — which has 75 per cent weightage in IIP — grew 3 per cent in November, compared with a contraction of 2.6 per cent in October.
For April-November 2014, IIP recorded 2.2 per cent growth, higher than 0.1 per cent in same period in the previous year.
A think tank on intellectual property rights (IPR), constituted by the Commerce and Industry Ministry, would hold meetings with stakeholders on February 5 on its first draft report.
The six-member think tank has submitted its first draft report on the National Intellectual Property Rights (IPRs) policy on December 19 last year.
The Ministry has sought stakeholders' comment on the draft report till January 30.
"...the think tank will be ready to hold brief meetings with delegations of interested stakeholders' associations/ groups on February 5," the Department of Industrial Policy and Promotion (DIPP) said.
Karnataka has made its mark in the Vibrant Gujarat summit being held by the BJP government in Gandhinagar. On the last day of the summit, a team of 75 officials from Karnataka, led by additional chief secretary (commerce and industry) K Ratna Prabha, managed to sign a dozen memoranda of understanding to the tune of Rs 50,100 crore. A press release from the state commerce & industries department identified Rs 10,000-crore hydro-pumping station as the largest investment, followed by an LNG terminal.
For the growth of MSME (micro small and medium enterprises) sector in the state, the state MSME department plans to organise credit facilitation camps at the district level for providing on the spot credit to viable projects.
Credit facilitation camps will be organised at the key locations with provisions of on-the-spot sanctioning of loans to viable projects. Camps will be organised at places like Berhampur, Rourkela, Sambalpur.
Major districts with MSME concentration will be completed within March this year, said Panchanan Dash, state MSME secretary.
Dash said, for revival of the sick units, the banks must implement the KC Chakraborty Committee recommendations in letter and spirit.
Federation of Indian Chambers of Commerce and Industry (FICCI) is organising interactive business meetings with business delegations from Japan and Iran on January 19 and 20 respectively.
For the buyer-seller meeting on January-19 here, the delegation from Japan will represent sectors such as medical equipment, currency counter, accounting, IPO, ceramic, finance, HR/recruitment, banking, etc, according to an official release.
Emphasizing Canada’s focus on fiscal rectitude and innovation, the zeal with which it advocates open markets and its concerted efforts to overcome skills mismatch, Canadian Citizenship and Immigration Minister Chris Alexander wooed talented Indians, be they entrepreneurs or MBA graduates, in his hour-long talk at IIM Bangalore.
“We want to pursue the value of immigration. We have carefully and deliberately reformed our immigration system,” he said, listing Canada’s Express Entry visa and the start-up visas for entrepreneurs as steps in that direction.
Inviting start-ups to be incubated in Canada, he said many Indian entrepreneurs had set up businesses last year and there were many projects in the pipeline from Bengaluru this year. “You talk of Silicon Valley in our neighbour country, we have Quantum Valley in our country where cutting-edge research happens.”
India will catch up with China's growth at 7 percent in the year 2016-17, the World Bank has forecast, saying India's economy has recovered in the wake of the economic reform measures taken by the new Indian government, falling oil prices and lower interest rates.
"India will catch up with China's growth in the year 2016 and 2017," World Bank Chief Economist and Senior Vice-President Kaushik Basu told reporters here.
"China's growth will remain high, but will begin to taper very gently, reaching 6.9 percent in 2017," he said as the world Bank released the 'Global Outlook: Disappointments, Divergences, and Expectations Global Economic Prospects'.
Stakeholders Sensitization Programs on E-commerce, a joint initiative of FISME & FLIPKART
Date: November – December
Venue: Banaras, Ludhiana, Meerut
“Industry & Technology Expo” – 2015
A National Level event on National Vendor Development Programme cum Exhibition 12th, 13th, 14th and 15th February 2015 Parade Ground, Dehradun, Uttarakhand
Awards for “Responsible Indian BMOs”
At India International Centre, New Delhi, 17th March, 2015, 1700 hrs IST
Organised by
Foundation for MSME Clusters (FMC) under European Union (EU) co-funded project “Scaling up Sustainable Development of MSME Clusters in India”
Supported by
GIZ, GRI, IICA, UNIDO and SIDBI Last date to submit application : 23rd January 2015,1700 hrs IST
The new D-day for GST is 1st April 2016. Do you think by then the Act would be amended and the IT backbone ready for GST roll out?
According to the FISME Factor, 70 percent of Micro, Small and Medium Enterprises (MSMEs) think that by 1st April 2016, the new D-day for GST, the Act would be amended and the IT backbone ready for GST roll out. Whereas 12 per cent disagree, 18 per cent are not sure. .
3 Keys to Examining One of the Most Overlooked Business Costs: Workforce Management
For midsize businesses (those with more than 50 employees and less than 1,000) getting their arms around their total cost of ownership (TCO) in human resources -- what they are actually spending on employees and the cost of managing them -- can be easily overlooked.
Ten ways small business owners can improve their financial literacy
As a small business owner, a deep understanding of your company’s financial situation drastically improves your chance of long-term success. When you know exactly where you stand in terms of your financials, you can plan for the future and avoid common financial management pitfalls
At DMSQD we often see fledgling businesses that have spent significant amounts of cash – at a time when they can least afford it – on marketing materials that end up offering a poor return on investment or, even worse, damaging their brand. .
Centre to unveil skill development policy by April
The Centre will roll out a ‘National Skill Development’ policy by April to meet the increasing demand for skilled workforce in various sectors, Minister of State for Skill Development and Entrepreneurship Rajiv Pratap Rudy said here today.
WebEngage: Avlesh Singh & Ankit Utreja's startup helps e-commerce cos market their wares better
When Avlesh Singh and Ankit Utreja decided to strike out on their own in September 2010, it was their work experience in various start-ups that they banked upon to find success.
Chinese food, once considered to be the USP of street food market in India has witnessed a
revolution of sorts with the popularity of authentic Chinese restaurant chain Yo! China.
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
"
During the meeting of apex industry associations with the Finance Minister on 6th Jan 2015, I pointed out several steps that must be taken to alleviate the current pains of MSMEs and also steps needed for faster growth of the sector. Some of the key issues I raised have been:
To exempt MSMEs from the latest loans and deposit rules under the new Companies Act; To bring down investment allowance threshold from Rs. 25 crore to zero so that MSMEs can also take advantage of the important initiative; Income Tax exemption should be granted to manufacturing MSMEs to encourage manufacturing and job creation; To do away with BLR rating on MSMEs according to which all accounts having exposure over Rs. 5 crore is required to get a mandatory third party rating; To provide relief on C-form making the liability of collecting the form that of the buyer; To allow insurance companies to provide non-fund based finance such as in the form of bank guarantees, bid and performance bonds etc; Suggested a series of measures to ensure compliance of delayed payment provisions; Measures to popularize SME Exchange and Factoring and Reviewing and strengthening CGTMSE and CLCS schemes.
"
FISME organised “Awareness Programmes on Quality Management Standards and Quality Technical Tools” (QMS/QTT) under NMCP scheme sponsored by Development Commissioner, Ministry of MSME, Govt. of India.
In a nationwide series of 8 programmes spread across eight states, FISME in association with their industry partners have successfully organised Awareness Progammes in Gulbarga in Karnataka on 24th December, Bobbili in Andhra Pradesh on 3rd January, Kochi in Kerala on 8th January successfully.
Around 200 participants from food processing, sea food, engineering sectors attended these programme with active cooperation from Gulbarga Estimate Manufacturers Association and Kerala State Small Industries Association
’
A successful career is like a rollercoaster with many ups and downs, whether you're an employee or an entrepreneur. Understanding how to maintain your success and move past your failures can help you lead a more productive and fulfilling career.
To help provide some insight on how to navigate a career you're proud of, I've asked 33 tech entrepreneurs to share some of their biggest lessons learned from their own failures.
I learned that what you might think is the worst thing that ever happened to you in that moment might actually turn out to be the best thing that ever happened to you. I can recount a number of the instances when I thought the world was ending to only laugh about it several years later and thank my lucky stars that that's how things turned out.
Of total 21,304 memorandums of understanding signed during the seventh edition of Vibrant Gujarat Summit, more than 17,000 relate to micro, small and medium enterprise (MSME) sector alone.
As per the figures released by the state government on Tuesday, 4,223 MoUs relate to large sector industries while 17,081 MoUs are in the MSME sector.
Of these 17,081 MoUs, 6,962 fall in the purview of MSME-IC (Industrial Commissionerate) while 10,119 in the MSME-GIDC (Gujarat Industrial Development Corporation).
In the MSME-GIDC category, where 10,119 MoUs were signed in 33 MSME sectors, the government expects to get investment of Rs 27,461 crore and 2.04 lakh jobs.
The valedictory session of Vibrant Gujarat Global Summit2015 ended with the chief minister announcing over 21,000 separate investment intentions have been signed, with 1,250 partnership agreements.
At conclusion, corporates from India and abroad pledged to invest Rs 25 lakh-crore.
Around 25,000 delegates came, from 110 countries. Also, a trade show held under the Vibrant Gujarat banner attracted a large number of visitors at an exhibition area of 125,000 sq metres.
The government is expected to implement a common Goods and Services Tax (GST) across the country in the course of next year, Finance Minister Arun Jaitley said on Monday.
Addressing the Vibrant Gujarat Summit 2015, Jaitley said, "I see the economy growing much faster in months to come. In order to attract investment, direction must be clear, pace of moving in that direction must be reasonably quick."
Taking on those who criticised the government's decision to take the ordinance route in Parliament, Jaitley said, "Should we have waited till the Opposition let Rajya Sabha function? Policy decisions cannot wait for 10 years to be taken."
The NITI Aayog CEO Sindhushree Khuallar and other senior officials briefed the Vice-Chairman about the newly created body.
Panagariya is expected to call on Prime Minister Narendra Modi, who is the Chairman of the Aayog, later in the day.
The government had announced the appointment of Vice- Chairman, 2 full time members, 4 ex-officio members (Union ministers) and 3 special invitees for the Aayog on January 5.
Economist Bibek Debroy and former DRDO chief V K Saraswat were appointed as full-time members by the Prime Minister. They are expected to join shortly.
The bilateral trade between India and Vietnam is likely to touch $20 billion by 2020, country's ambassador to India Ton Sinh Thanh has said.
"The two-way trade between Vietnam and India is expected to reach $8 billion this year and could rise to $10 billion in 2015 and $20 billion by 2020," Thanh, who was in the city to meet members of the Exim Club Association of Exporters and Importers, told reporters here yesterday.
Vietnam is currently India's tenth largest trade partner. Thanh is in Gujarat for the Vibrant Gujarat Global Investors Summit held in Gandhinagar.
Finance Minister Arun Jaitley along with his top officials today met industry association heads and listened to their demands on Union Budget 2015-16 here.
Presidents of FICCI, CII, ASSOCHAM and FISME were asked to present their views first followed by individual industry leaders.
Welcoming the industry captains Finance Minister sought their suggestions to put the economy on rapid growth path and said that Modi government was taking initiatives in many areas outside the scope of the Budget to bolster growth.
The Minister for Micro, Small and Medium Enterprises, Kalraj Mishra today launched the e-book of the Ministry of MSME featuring details of schemes, e-governance initiatives, budget announcements, etc.
The E-Book initiative of MSME is an entrepreneur-friendly step and can be accessed at the Ministries website:
http://msme.gov.in/WriteReadData/Whatsnew/MSME%20eBook%202015-07012015.pdf, according to an official release.
The EBook details priorities and programmes relevant to different stakeholders, covering an introduction to the sector, its achievements, its focus on khadi and village industry, coir sector, E-Governance initiatives and Prime Minister’s Employment Generation Programme (PMEGP).
The Reserve Bank plans to include export finance under priority sector lending category, with certain riders, Deputy Governor H R Khan said here today.
He said that a specially constituted internal group is working on this aspect and its inclusion would be over and above benefits granted to financing Micro, Small and Medium Enterprises (MSMEs).
A decision on this aspect is expected in the final report, which is scheduled to be submitted in two months.
The Department of Commerce has allowed the dual use of non-processing area of Special Economic Zones (SEZs) by SEZ entities as well as Domestic Tariff Area (DTA) entities by amending the SEZ Rules of 2006.
“The Gazette notification dated January 2, 2015 is available at http://sezindia.gov.in/writereaddata/GeneralNotifications/Amendment%20rule.pdf.” an official release from the Ministry of Commerce and Industry said on January-9.
As per the amended rule with regard to bifurcation of non-processing area, “The non-processing area can be bifurcated into two parts, namely: Where the social or commercial infrastructure and other facilities are permitted to be used by both the Special Economic Zone and Domestic Tariff Area entities: No exemptions, concessions or drawback shall be admissible for creation of such infrastructure.
In what could be the early signs of an industrial turnaround, factory output for November 2014 came in at a five-month high of 3.8 per cent on the back of improved manufacturing performance. This is a clear positive for the economy given that the Index of Industrial Production (IIP) had contracted 4.2 per cent in October 2014.
Manufacturing — which has 75 per cent weightage in IIP — grew 3 per cent in November, compared with a contraction of 2.6 per cent in October.
For April-November 2014, IIP recorded 2.2 per cent growth, higher than 0.1 per cent in same period in the previous year.
A think tank on intellectual property rights (IPR), constituted by the Commerce and Industry Ministry, would hold meetings with stakeholders on February 5 on its first draft report.
The six-member think tank has submitted its first draft report on the National Intellectual Property Rights (IPRs) policy on December 19 last year.
The Ministry has sought stakeholders' comment on the draft report till January 30.
"...the think tank will be ready to hold brief meetings with delegations of interested stakeholders' associations/ groups on February 5," the Department of Industrial Policy and Promotion (DIPP) said.
Karnataka has made its mark in the Vibrant Gujarat summit being held by the BJP government in Gandhinagar. On the last day of the summit, a team of 75 officials from Karnataka, led by additional chief secretary (commerce and industry) K Ratna Prabha, managed to sign a dozen memoranda of understanding to the tune of Rs 50,100 crore. A press release from the state commerce & industries department identified Rs 10,000-crore hydro-pumping station as the largest investment, followed by an LNG terminal.
Federation of Indian Chambers of Commerce and Industry (FICCI) is organising interactive business meetings with business delegations from Japan and Iran on January 19 and 20 respectively.
For the buyer-seller meeting on January-19 here, the delegation from Japan will represent sectors such as medical equipment, currency counter, accounting, IPO, ceramic, finance, HR/recruitment, banking, etc, according to an official release.
India will catch up with China's growth at 7 percent in the year 2016-17, the World Bank has forecast, saying India's economy has recovered in the wake of the economic reform measures taken by the new Indian government, falling oil prices and lower interest rates.
"India will catch up with China's growth in the year 2016 and 2017," World Bank Chief Economist and Senior Vice-President Kaushik Basu told reporters here.
"China's growth will remain high, but will begin to taper very gently, reaching 6.9 percent in 2017," he said as the world Bank released the 'Global Outlook: Disappointments, Divergences, and Expectations Global Economic Prospects'.
According to the FISME Factor, 70 percent of Micro, Small and Medium Enterprises (MSMEs) think that by 1st April 2016, the new D-day for GST, the Act would be amended and the IT backbone ready for GST roll out. Whereas 12 per cent disagree, 18 per cent are not sure. .
At DMSQD we often see fledgling businesses that have spent significant amounts of cash – at a time when they can least afford it – on marketing materials that end up offering a poor return on investment or, even worse, damaging their brand. .
When Avlesh Singh and Ankit Utreja decided to strike out on their own in September 2010, it was their work experience in various start-ups that they banked upon to find success.
