Various measures to help support the development of micro, small and medium enterprises have been initiated by the Telangana government, including one where it linked incentives for mega industrial projects to their procurement from MSMEs.
It is mandatory, declared a senior official of the State government, for mega projects in core sectors to set aside a portion of the activity for MSMEs if they want to access the incentives. Mega projects are those with investment of Rs.200 crore and more.
Commissioner of Industries Jayesh Ranjan, who was addressing a meeting here on Monday, said the State government had also decided to set aside adequate space for MSMEs in industrial parks. The preference of large companies setting up units in such parks, he added, should be for local ancillary supplier.
In partnership with National Small Industries Corporation (NSIC), it will extend assistance to large industrial units to identify MSME vendors. Concerned about the imbalance in view of there not being many SC/ST and women entrepreneurs, the government wants to conduct vendor development programme. Mr. Ranjan, who is also vice-chairman and managing director of TSIIC, said that on their part, MSMEs could not progress unless they upgrade their technology.
Noting that the State industrial policy would be unveiled in the next few days, he said there would be a lot to look up to in the document. He also pointed out the opportunities that would open up for MSME as a result of the State government’s thrust on development of aerospace and defence sectors. The official was speaking at a buyer-seller meet pertaining to manufacturing and engineering sectors, organised by the Federation of Indian Chambers of Commerce and Industry (FICCI) in association with NSIC.
FICCI SME Sub-Committee Convenor Safir Adeni said SMEs in research and development and production of aerospace ancillaries in the defence sector are poised to increase their turnover from Rs.800 crore to Rs.1,000 crore in five years. The industry body, he said, through such event, sought to create linkages between SMEs and large public sector undertakings.
