Bengaluru, Nov 5 (KNN) Karnataka Small Scale Industries Association (KASSIA) has hailed and congratulated Prime Minister Narendra Modi for his 12-point outreach initiative for the MSMEs across the country.

KASSIA said, “We note with particular satisfaction that many of the issues that were raised by KASSIA consistently with the Ministry of MSME and also on other forums have been addressed.”

“Hopefully, the ecosystem will be better in the coming days, particularly for the Micro & Small Enterprises (MSE) segment,” it said.

 “In spite of many institutional mechanisms that are already in place, the MSMEs find it extremely difficult to access them and get due benefits,” release said.

KASSIA mentioned, “We hope that, in-principle loan window will be effective in addressing the issue of lack of access to finance.  It would be in the best interest of the micro and small enterprises which are the bedrock of the economy.”

“MSEs need a special dispensation, even within the MSMEs umbrella,” it said.

KASSIA said, “We would like to point out that the compulsory registration under TReDS must be made mandatory for all companies, removing the Rs.500 crore turnover thresholds. As micro and small enterprises even supply to much smaller enterprises and have to suffer delayed payments.”

“Also 25% purchase preference and the trade bill discounting platforms, which if made to work will help MSEs get a great deal,” KASSIA said.

“The problem so far has been in execution as these only remain on paper always,” It added.

Release highlighted that KASSIA have persistently raised issue of the need for exempting job works from GST. 

KASSIA is thankful to the Prime Minister and the Government, particularly the Ministry of MSMEs, for these commendable initiatives.

They hope that these will be promptly implemented and reach the target to which they are aimed at, especially the MSEs.