New Delhi, Jan 6 (KNN)  In order to sensitise and encourage more industry associations to promote responsible business practices among MSMEs, particularly focusing on environmental and social aspects, awards have been constituted at cluster, state and national level.

The last date for receipt of application form for the ‘Award for Responsible Indian BMOs (Business Membership Organisation also called industry association) for MSMEs in clusters’ is January-12, 2015, according to an official release.

Awards will be presented at the India International Centre on March-17.

The objectives of the award event are to inspire MSMEs to adopt National Voluntary Guidelines (NVGs); encourage more BMOs to promote responsible business practice among MSMEs; and dissemination nationally and internationally the good work done by BMOs towards promoting responsible practices among BMOs.

Award categories at cluster, state and national level are for Energy and Environment; Social; and Special Awards.  There is no application fee towards participation in the award.
BMOs at cluster/industrial/state/district level; state level and national level, registered as society, trust, cooperative society, special purpose vehicle, chambers of commerce, federation are eligible to apply for the award.

The event has been organised Foundation for MSME Clusters (FMC), and partnered by GIZ, Indian Institute of Corporate Affairs, Global Reporting Initiative, UNIDO and SIDBI.
Criteria for selection includes nature of benefit provided by BMO; outreach of the activity to the target beneficiary: innovative and applicable to other industries; sustainability: one time/regular activity; and impact.

For industry associations there are several benefits from participating in the awards programme.  It could share its lessons learnt while promoting responsible business among MSMEs; encourage its members to move towards responsible business; learn from successful cases of other responsible BMOs and replicate those initiatives; understand its strengths and opportunities towards promoting responsible business among its members, million based on comprehensive and rigorous evaluation; interact and network with other responsible BMOs and take services of each other.

According to official data, there are an estimated 46.7 million MSMEs and around 14.31 million manufacturing enterprises in India.  These MSMEs employ 106.1 million people and contribute towards 45 per cent of manufacturing value added and 40 per cent of exports.  A significant proportion among these MSMEs is represented by their local industry associations also called business membership organisations.

It is estimated that there are 3,500 BMOs in India out of which only a handful, provide real developmental services to their members on economic aspects, with an even lesser number focusing on environmental and social aspects.  This is because of lack of knowledge on the importance of environment and social aspects and availability of service providers.

BMOs being the most trusted ally of MSMEs are best suited to promote the concept of “Responsible Business” in a balanced manner among millions of MSMEs in India.

As far as the process is concerned, evaluation of application form will take place on February-6.  This would be followed by receipt of case study from selected applications on February-23; final selection of case study on March-6; and case study presentation and award distribution on March-17 at the national capital.  (KNN/ES)