Delayed payments continue to affect growth of J&K MSMEs: FCIK

Srinagar, Oct 13 (KNN) In a meeting organised with Pankaj Chaudhary, Union Minister of State for Finance to discuss the issues being faced by the Industrial Sector in Jammu and Kashmir, the Federation Chamber of Industries, Kashmir (FCIK) urged the government to resolve the issue of delayed payments as it is resulting in monetary losses for MSMEs.

FCIK secretary general, Ovees Qadir Jamie said due payments to the enterprises are not being made in time resulting in their monetary losses besides affecting their credibility. He asked for an establishment of a foolproof mechanism for release of payments to supplying MSME units with a provision of mobilisation advance and on account payments.

The federation further pressed for marketing support to local enterprises in all Government procurements and earmark a portion of recently announced PM Package of incentive scheme of 28400 Crores for marketing, expansion, revival and sustainability of existing business enterprises.

Jamie said that the Micro, Small and Medium enterprises (MSMEs) which happen to be one of the most employments generating segment of J&K’s economy, was given an Industrial Policy in 2016 for a period of 10 years ending 2026. However, before its expiry in 2021, another policy was launched with subsequent Government orders/SROs, many of the provisions of which contradicted with the policy of 2016.

FCIK further asked that banks should be directed that the collateral mortgage should not be valued below the Govt circle value as it is the benchmark index for valuation of property issued by the Revenue Department. Further, the land lock property should be accepted as mortgage and accept Agriculture land as mortgage.

The Industrial body appealed for immediate interventions to constitute a time-bound Task Force or a high level committee for recommending slew of measures necessary for survival, revival and sustainability of business enterprises in Kashmir.  (KNN Bureau)