A delegation of industrialists presented their demands to Sanjeev Chawla, the assistant development commissioner-cum-director of the MSME-Development and Facilitation Office (MSME-DFO). They requested benefits under the credit-linked capital subsidy scheme (CLCSS) and the technology upgradation fund scheme for the bicycle industry, subsidies under the freight equalisation policy, a dedicated bank for micro, small, and medium enterprises (MSMEs), and an increase in the participation limit under the procurement and marketing support (PMS) scheme.
Led by the Federation of Industrial and Commercial Organization (FICO), the delegation urged Sanjeev Chawla to advocate for their demands with the central government. They also submitted a memorandum outlining these demands, which they consider crucial for the growth of MSMEs.
Gurmeet Singh Kular, president of the federation, stated, ‘We demand that CLCSS be made permanent with the finance limit extended to ₹5 crore, in line with the revised MSME definition. Additionally, the 15% subsidy should be increased to 25% to support the sector. He highlighted that the bicycle industry is pivotal to the state, making India the world’s second-largest manufacturer after China. However, China significantly out produces India, with 320 million bicycles annually compared to India’s 32 million. FICO emphasised the need for a technology upgradation fund scheme for the bicycle industry, proposing a 10% subsidy on capital investments up to ₹40 crore.
Rajeev Jain, the federation’s general secretary, advocated for a freight subsidy for North Indian MSME exporters due to their distance from seaports and central India’s iron and steel plants. This, he said, would help them compete with businesses closer to seaports.
He also called for a dedicated banking system for the MSME sector, providing loans and credit at an annual interest rate not exceeding 8%, with simplified procedures and documentation. Additionally, he suggested increasing the PMS scheme’s participation limit from 60 to 200 to further support manufacturers.
With a delegation of industrialists recently presenting their demands for MSME benefits, including an enhanced credit-linked capital subsidy scheme (CLCSS) and a dedicated bank for micro, small, and medium enterprises (MSMEs), now is an ideal time to ensure your business is properly registered. Vakilsearch provides expert MSME registration services to help you access crucial subsidies, technology upgradation funds, and more. Our team will assist you in navigating the registration process, ensuring you meet all regulatory requirements and can take full advantage of the support available to foster growth and competitiveness in your sector.
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