Odisha keen to sign MoU with NSIC for MSME credit

It may be noted that NSIC had planned to set up three more incubation centres in Odisha

The Odisha government is keen to enter into a memorandum of understanding (MoU) with National Small Industries Corporation (NSIC) to facilitate credit linkage for MSMEs (micro, small & medium enterprises) in the state.

Since NSIC has signed MoU with various nationalised banks for credit facilitation to the MSMEs under its bank tie-up scheme, the units in Odisha can also avail credit under the arrangement.

"I understand NSIC has signed a MoU with the West Bengal government for setting up business incubation centres in that state with special focus on backward and less industrialised regions. The Odisha government would like to have a similar MoU arrangement with your organisation for the benefit of MSMEs of our state. We have 30 district industrial centres in the state wherein MSME credit proposals can be mobilised and forwarded to NSIC for sanction of loan under bank tie-up scheme”, Panchanan Dash, secretary, MSME wrote to chairman cum managing director of NSIC.

NSIC, a mini-ratna Government of India enterprise, had planned to set up three more incubation centres in Odisha. These centres would be over and above two such centres that are already running in the city. Each of these incubation centres would have a capacity to train 300 people every year.

The training would be of three months duration and will be offered in a simulated condition besides providing hand holding support and marketing.

Micro, small and medium enterprises (MSMEs) in the state that have gone into production have invested Rs  4969.59 crore (as on March 2013).

Food and allied industries leads the pack with an investment of around Rs 1349.93 crore. There are about 26498 food and allied units in the state that have generated 142016 jobs. This is followed by repairing and servicing industry with an investment of about Rs 966.23 crore.

In toto, the MSMEs in the state have provided employment opportunities for 7,06, 342 persons.

The state government has unveiled a Rs 1600-crore investment plan aimed at creation of 32,000 new units in the MSME (micro, small & medium enterprises) sector in the 12th Plan period (2012-17). The move is expected to add 160,000 new jobs in the sector. According to available data, there are 111,856 units in the MSME sector. Between 2005 and 2011, investment in the MSME sector has grown by 9.96 per cent.