The apex body for exporters’ in the country, Federation of Indian Export Organizations (FIEO), has urged Union Finance Minister Arun Jaitley to create Export Development Fund and increase limit under Credit Linked Capital Subsidy Scheme (CLCSS).

Talking to KNN on Budget Expectations of the MSME exporters, Ajay Shai, Director General and CEO of FIEO, said, “An Export Development Fund should be created to focus on export marketing. Through this the MSME exporters can do aggressive marketing in the overseas market.”

The Ministry of Micro, Small and Medium Enterprises (MoMSME) is operating a scheme namely “Credit Linked Capital Subsidy Scheme (CLCSS)” for technology upgradation of Micro and Small Enterprises.

The scheme aims at facilitating technology upgradation of Micro and Small Enterprises (MSEs) by providing 15% capital subsidy (limited to maximum Rs.15 lakhs) for purchase of Plant & Machinery.

The ceiling for loans under the Scheme is currently Rs. 1 crore and rate of subsidy is 15 per cent.

Presently, more than 1,500 well established/improved technologies under 51 sub-sectors have been approved under the scheme.

On this, FIEO Chief suggested that the CLCSS limit should be extended from Rs 1 crore to Rs 2 crore and the rate of subsidy should be raised from 15% to 25%

He said if the MSME exporters are extended support to develop technology, it will help the sector boost exports. (KNN Bureau)