MP industry wants credit-linked subsidy for SSIs

Madhya Pradesh Laghu Udyog Sangh has demanded from central government to extend credit-linked subsidy to all small scale industries, annulment of mandatory minimum turnover and experience conditions in government purchases, inclusion of trial purchase order for new small scale industries, uniform interest rates at 7 per cent for all small scale industries, simplification of rules and regulations for setting up cottage and small industry in rural areas, exemptions from value added tax and exemption from processing fees.

Pointing out the poor condition of small-scale industries, various associations under the banner of Madhya Pradesh Laghu Udyog Sangh demanded an immediate action on the demands in an interaction with Chandrapal, secretary, small scale industries.

"Credit-linked subsidy is available for limited category of small scale, it should be extended to all categories. All mandatory conditions in government tenders should be abolished," said RS Goswami, president, Sangh.

He also pointed out that excise duty imposed on maximum retail price had started taking its toll on pharmaceutical small-scale units.

"As many as 2,000 units have now been closed in the country while 22 small scale units in pharma sector has shifted their base from Madhya Pradesh to Uttarakhand and Himachal Pradesh which are tax-free states," Goswami said.

He said, "The central government had announced the Pharmaceutical Policy 2006 which has not been implemented so far. "