Composite procurement leaves out SMEs from govt biz in Odisha
Updated: Mar 20, 2014 04:11:12pm
Bhubaneswar, Mar 20 (KNN) The Odisha small industries have decided to put up before the government their opposition to the new procurement policy of the state under which the government purchases are done on composite basis denying business opportunity in the process to the small and medium enterprises to become suppliers to state contracts.
“The Government departments have adopted the new procurement procedure of procurement through composite contractors which is hurting the small industries,” President of the Utkal Chamber of Commerce in Odisha, Ramesh Mahapatra told KNN.
“Earlier government used to buy PVC pipes, transmission cable lines, fittings, electrical goods like cables, stabilizers from the manufacturers here directly. Now they go for composite contractors,” Mahapatra added.
“However, as the government feels that composite contract is a better option, contractors might not necessarily buy the goods from the small manufacturers. They can buy it from outside states or elsewhere,” he added.
The chamber has decided to put up this issue in line with many other issues faced by the industry in front of the government after the elections.
According to the public procurement policy, PSUs have to procure 20 per cent of their goods from the SMEs.
Meanwhile, with the elections approaching, the issue of revival of Odisha Textile Mills (OTM) has also started gaining momentum.
OTM, one of major industries in Choudwar region was closed in 1999 leaving thousands of workers unemployed. The revival of OTM has ever since been a crucial issue in the state.
“We will be very happy if the OTM is revived,” said Atul Moda, Managing Director of Subadhra OTM showroom.
“We have expectations from the new government that the OTM will be revived and more and more labourers will get jobs here,” he added.
“We are buying the materials from outside or from other states, which we used to get cheaper through OTM. After its revival, we will get the materials cheaper,” Moda said.
Many outfits have been demanding revival of OTM and other closed industries in the region. (KNN/SD)
“The Government departments have adopted the new procurement procedure of procurement through composite contractors which is hurting the small industries,” President of the Utkal Chamber of Commerce in Odisha, Ramesh Mahapatra told KNN.
“Earlier government used to buy PVC pipes, transmission cable lines, fittings, electrical goods like cables, stabilizers from the manufacturers here directly. Now they go for composite contractors,” Mahapatra added.
“However, as the government feels that composite contract is a better option, contractors might not necessarily buy the goods from the small manufacturers. They can buy it from outside states or elsewhere,” he added.
The chamber has decided to put up this issue in line with many other issues faced by the industry in front of the government after the elections.
According to the public procurement policy, PSUs have to procure 20 per cent of their goods from the SMEs.
Meanwhile, with the elections approaching, the issue of revival of Odisha Textile Mills (OTM) has also started gaining momentum.
OTM, one of major industries in Choudwar region was closed in 1999 leaving thousands of workers unemployed. The revival of OTM has ever since been a crucial issue in the state.
“We will be very happy if the OTM is revived,” said Atul Moda, Managing Director of Subadhra OTM showroom.
“We have expectations from the new government that the OTM will be revived and more and more labourers will get jobs here,” he added.
“We are buying the materials from outside or from other states, which we used to get cheaper through OTM. After its revival, we will get the materials cheaper,” Moda said.
Many outfits have been demanding revival of OTM and other closed industries in the region. (KNN/SD)
Loading...
