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Procurement Policy: Share of MSME procurement is less than 10% and that of SC/STs is less than 0.2%

Updated: Feb 05, 2016 09:37:30am
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New Delhi Feb 5 (KNN) From April last year, all PSUs, Central Government ministries and departments have been directed to procure at least 20 per cent of products and services required by them from micro and small enterprises (MSEs), but even after the direction nothing has changed much.

The information has come out after the Union Micro, Small and Medium Enterprises (MSME) Minister Kalraj Mishra reviewed the Public Procurement Policy by all the Central Government Departments and Central Public Sector Undertakings, after it was reviewed in the PMO.

It was found that that the share of MSME procurement is less than 10% against mandatory 20% and that of SC/ST entrepreneurship is less than 0.2% against  mandatory 4%.

After the meeting Kalraj Mishra directed the Secretary (MSME) to identify top 50 CPSUs and hold meeting with the Ministry so that concerned CPSUs can be sensitized towards meeting the requirement of Public Procurement from MSMEs.

The policy was made mandatory from 1st April 2015 under the MSME Development Act 2015. (KNN Bureau)

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