Sarangi assures MSMEs of linkages with global marketplace
The Free Trade Agreements (FTAs) can enable better global value chains (GVCs) integration for MSMEs and promote higher quality standard and sustainability norms in the domestic MSME ecosystem, says Rajesh Agrawal, Additional Secretary, Ministry of Commerce, and Industry.
“There are a few key challenges that needs to focus on including information asymmetry, access to affordable finance, environmental compliances, access to new markets, diversification, and capacity building through skill development programs,” he underlined.
Addressing the 20th CII Global MSME Business Summit 2023 in New Delhi on 23 Jan 2024, Agrawal also noted that MSME’s are now gaining importance with separate chapters dedicated to them being included in recent and upcoming foreign trade agreements.
DGFT Director General Santosh Kumar Sarangi assured that the Ministry is focused on MSME sector and the Department will continue its support to ensure suitable linkages with the global marketplace, thus leveraging ecommerce platforms to increase exports from the sector.
“To achieve this, ensuring manufacturing competitiveness of the sector, creation of a conducive policy ecosystem, supplementing institutional financing and emphasis on quality and standards are imperative,” he said.
The business environment today is highly conducive for the growth of MSMEs with the world recognizing their importance, observed MSME Ministry Secretary S C L Das.
He pointed out that the Government is actively working towards establishing a central front office, together with other related Ministries and Departments, to address various issues pertaining to the MSME Sector that would facilitate ease of doing business (EODB) for the sector.
Das continued, “The Ministry would be interested in working together with CII to boost the MSME segment and to mitigate the asymmetries related to Finance & Credit, Technology Infusion and Adoption, Access to Markets and Ease of Doing Business to reduce regulatory burdens.”
Shreekant Somany, Chairman, CII Centre of Excellence for Competitiveness of SMEs, spoke about the Digital Saksham Initiative, launched by CII in 2021 in association with Mastercard Centre for Inclusive Growth.
Initiating the journey to digitally empower the Micro and Own Account Enterprises, the Digital Saksham Project is now operational in 10 states covering 40 cities.
“Till date, the Project has reached out to 1.2 lakh enterprises; with over 30% of women and 24% young entrepreneurs trained under the programme.”
M Ponnusami, Co-Chairman, CII National MSME Council, called on the MSME community to build trust within its customers and supply chain partners and emphasized the importance of creating a solid reputation for creating a successful business.
Ashok Saigal, Co-Chairman, CII National MSME Council, highlighted the key suggested recommendations for the MSME sector.
He also noted the creation of a Success Rewards Programme (SRP) for MSMEs, in line with the PLI Scheme.
Saigal wants creation of a Technology Fund for Industry 4.0 adoption for MSMEs, Extension of timeline for NPA classification MSME cell in line ministries and reduction in tax rates for Partnership and LLP firms concerns, amongst others. Fiinews.com
