Reduce logistic, power, capital, production costs without compromising on quality: Gadkari to MSMEs

New Delhi, May 4 (KNN) Union Minister of Micro Small and Medium Enterprises (MSMEs) Nitin Gadkari has asked industry to reduce logistic cost, capital cost, power and production cost without compromising with the quality.

During an interaction with Dalit Indian Chamber of Commerce and Industry (DICCI) via video conferencing, on Sunday, Gadkari said, ''In order to gain competitiveness in the international markets, the industry must focus on reducing logistic cost, capital cost, power and production cost without compromising with the quality.''

During this interaction, the representatives of DICCI expressed concerns regarding various challenges being faced by SC-ST MSMEs amid COVID-19 pandemic along with few suggestions and requested support from the government to keep the sector afloat.

Gadkari also called upon the industry that it is needed to be ensured by industries that necessary preventive measures are taken to prevent the spread of COVID-19. He emphasized on usage of PPE (Masks, sanitizer etc.) and advised to maintain social distancing norms during business operations.

The Minister mentioned that there is need to focus on export enhancement as well as import substitution to replace foreign imports with domestic production.

''Industry should focus more on innovation, entrepreneurship, science and technology, research skill and experiences to convert the knowledge into wealth,'' he added.

Gadkari recalled that Japan government has offered special package to its industries for taking out Japanese investments from China and move elsewhere. He opined that it is an opportunity for India which should be grabbed.

Some of the major issues highlighted by the DICCI and the suggestions given support SC-ST entrepreneurs included: further extension of moratorium, additional GST exemption, enhance working capital loan limit, easy access to credit, inclusion of service sector in Special Credit Linked Capital Subsidy Scheme, decentralization of industries etc.