Industry association reiterates the need of ‘Exit Policy’ in Uttar Pradesh

New Delhi, May 19 (KNN) The need for an exit policy has time and again been emphasized by the MSMEs in the state of Uttar Pradesh. 

While the Yogi Adityanath led Uttar Pradesh Government, recently signalled that it is taking into consideration the long delayed demand of the sector, the Industry Association sees it an important step that should be taken soon.

Talking to KNN, Sushil Sadana, Vice President of the Indian Industries Association said that an essential element that is missing in the industry policy in the state is the clause of an ‘exit’ for the industry.

Explaining the implications of not having an exit policy for the industry till date he said that the MSMEs in the state even before they set up their units, have to think of what will they do in case they  have to close their industry.

“Anyone who opens up an industry invests both capital and a resource, shutting of the unit is not at all something which an entrepreneur would do willingly. But if the entrepreneur want to do so due to any unavoidable circumstances, he isn’t able to do so because our state doesn’t have an exit policy,” he added.

Once the unit goes un-operational, the burden of loss is already on the entrepreneur. In addition to that burden, he has to face notices for various departments as on record the unit is still functional which haunts the MSME operators.

He further spoke of the cases in which an MSME entrepreneur expired, the trails of letters and notices kept harassing the family members.

Sadana said that the industry units are willing to clear all dues and then exit, therefore an exit policy is must to be brought in place.

While the officials from, the Government including the UP MSME Principal Secretary Rajnish Dubey has assured bringing in an exit policy soon, Sadana said that an official notification in the regard will help the sick and dysfunctional units see light of the day. (KNN/ DA)