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    Govt working on policy to push MSME exports: Gadkari

    Synopsis

    Gadkari emphasized on three important factors - reducing capital cost, power cost and logistic cost - to become competitive in international market and these these factors have also been discussed while making the new policy.

    Gadkari also said that MSMEs do not get much work from the defence sector and asked for study to make a good policy which can facilitate work for MSMEs in the sector.
    NAGPUR: The government is working on two policies to increase MSME exports and bring down imports by encouraging local production, Union MSME and Road Transport Minister Nitin Gadkari said on Saturday.

    While addressing the gathering at Small Micro Enterprise (SME) conference at Nagpur, Gadkari mentioned that the MSME sector has 29 per cent contribution in country's growth and 48 per cent of export is done through MSMEs. Similarly, about 10-11 crore jobs have been created in MSMEs.

    "The government is working on two policies. Firstly on the industries which are into export business - how to support and increase their export," the minister said.

    The leather industry has a total turnover of Rs 1,40,000 crore of which Rs 80,000 crore to Rs 90,000 crore is domestic and around Rs 45,000-50,000 crore is from export.

    "I have suggested them on working on modernisation, upgradation, product designing and how to reduce the cost of production and improve quality, so that our share increases in the international market. We are working on a policy on how to strenghten export business," Gadkari said.

    He further said that secondly, the government is working on policy to increase indigenous production of products that are being imported.

    "The products that being particularly imported should get manufactured in the country itself. We are in talks with the commerce ministry on these two policies and it is in the final stages," said Gadkari.

    Gadkari emphasized on three important factors - reducing capital cost, power cost and logistic cost - to become competitive in international market and these these factors have also been discussed while making the new policy.

    Gadkari also spoke about contribution of MSMEs in the defence sector.

    Gadkari raised concern over defence procurement procedure saying that the files are stuck for many years and when the product is finalised and tenders are issued till then the product becomes outdated.

    He asked for change in Defence procurement system. Gadkari also said that MSMEs does not get that much work from defence sector as these should get and asked for study to make a good policy which can facilitate work for MSME in defence sector.

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    20 Comments on this Story

    Sagar U.S262 days ago
    Never knew how eCommerce players have built their models and in turn slowly eating the small and medium enterprise , high time some of us shop with these giants ! thank you for the article - it was an eye opener for me !
    Ram Prakash Shroff263 days ago
    Government Policies will ensure the export of MSME sector itself from India.
    Kushal Kumar263 days ago
    News report published on 19 November 2019 has revealed the ambitious intent of the Central Govt in the export sector. It has been said that it is working on policy to push MSME exports, which has 29% contribution in country’s growth and 48% of exports are done through MSMEs. Policy to increase indigenous production of commodities or stuff so as to reduce imports is also said to be in the exercise. It appears that the same and like ambitious policy schemes can be expected to seek to address , to ‘an extent’ , some of 2019 worries in economic slowdown corresponding to this Vedic astrology writer’s predictive alerts in article - “ Predictions for coming year 2020” - published on 10 October , 2019 at theindiapost.com. It has already been predicted that some elephantine endeavors to deal with the slowdown are likely in early months of 2020 but something to ‘an extent’ may be in second half of 2020.
    The Economic Times