New Delhi, Oct 15 (KNN) In a backdrop of economic slowdown faced by different sectors of the economy, Karnataka Minister for Large and Medium Scale Industries Jagadish Shettar seems to be optimistic that the slowdown will not stay for longer time and the industry will reach a new high soon.

While speaking to KNN India at the curtain raiser event of World Coffee Expo organized by International Coffee Organisation (ICO), the Minister said, ''This slowdown is a temporary phenomenon and it is affecting some sectors particularly like automobile and real estate. These sector have been affected but within a short period of time they will recover.''

Sharing his view on Centres ambition to take contribution of Micro, Small and Medium Enterprises (MSMEs) towards the GDP from 29 per cent to 50 per cent and to add 5 crore job to the present 11 crore, Shettar said, ''Definitely, what the government of India is thinking to enhance the growth in MSME sector will surely be achieved in the coming days."

On being asked that being a Small Scale Industries Minister what measure will you suggest to cope with such situation, he replied, "Relaxation in Goods and Services Tax (GST) and relaxation in corporate taxes and besides these there are so many measures that the government is coming with, though they will need some time to implement it and get results. But within a short period of time it will surely help and industries will start to grow again.''

While answering a question on Corporate Tax, the Minister said, ''Definitely, the reduction in corporate tax will help a lot and it is a good measures taken by the Government of India.''

Notably, Union Minister for MSME Nitin Gadkari on several occasions has said that the government wants to increase MSMEs contribution from 29 per cent to 50 per cent in country's GDP and also we want to add another 5 crore jobs. However, he also highlighted several barriers which needs to be reduced in order to achieve this feat.

''As we want to take MSMEs contribution from 29 per cent to 50 per cent in country's GDP and also we want to add another 5 crore jobs, but there are some barriers like Logistics cost, Capital cost and Power cost which are stopping it from becoming a reality,'' he had said.     

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