Land availability remains an issue for small units
Updated: May 28, 2014 05:24:27pm
New Delhi, May 28 (KNN) Seeking a better deal for the SMEs from the government, Exim Bank CMD, Yaduvendra Mathur has said that land availability remains a big issue for the small units.
In an interview with Business Line yesterday, “It is unfortunate that we shifted more to services and neglected manufacturing. Typically, the input costs for manufacturing are big. For example, electricity for manufacturing is a big handicap, and land availability for SMEs is a challenge. So State Governments have to be enthused by the Centre,” Mathur said.
While admitting that the policy system for manufacturing, especially SMEs was not very good, he said, “Exim Bank is obviously one of the players that support the SME ecosystem. But other players such as the State and Central Governments should also see that SMEs get off the ground and get enough access to cheap credit.”
Exim Bank CMD also recommended the study of the global value chain to see where Indian products fit in.
“For example, we should work on cotton and textile where India lost out in the last six-seven years and our neighbours took over. Exports should be an engine to create jobs in India,” he noted.
Manufacturing that creates jobs, Mathur said, is the need of the hour. “And if the same can be exported, then it will be excellent. Textile fits the bill perfectly.” (KNN/ES)
In an interview with Business Line yesterday, “It is unfortunate that we shifted more to services and neglected manufacturing. Typically, the input costs for manufacturing are big. For example, electricity for manufacturing is a big handicap, and land availability for SMEs is a challenge. So State Governments have to be enthused by the Centre,” Mathur said.
While admitting that the policy system for manufacturing, especially SMEs was not very good, he said, “Exim Bank is obviously one of the players that support the SME ecosystem. But other players such as the State and Central Governments should also see that SMEs get off the ground and get enough access to cheap credit.”
Exim Bank CMD also recommended the study of the global value chain to see where Indian products fit in.
“For example, we should work on cotton and textile where India lost out in the last six-seven years and our neighbours took over. Exports should be an engine to create jobs in India,” he noted.
Manufacturing that creates jobs, Mathur said, is the need of the hour. “And if the same can be exported, then it will be excellent. Textile fits the bill perfectly.” (KNN/ES)
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