MSMEs in Punjab eye at single-window clearance system-capital subsidy in upcoming industrial policy

New Delhi, Jan 8 (KNN) With the new financial year round the corner, the Micro, Small and Medium Enterprises are hopeful that the government will ease things for the sector in the upcoming industrial policy in the state, Federation of Punjab Small Industries Association (FOPSIA) informed.

Talking to KNN, Badish Jindal, President of FOPSIA said that the sector faced an array of complications in the year 2017, however the upcoming industrial policy is likely to ease things for the MSMEs.

Explaining concerns, Jindal said that the newly introduced taxation- GST had its impact in the state the way it had all over the country.

“Goods and Services Tax compliance deferred the growth of industry, but now the industry is getting used to the new taxation and is able to understand it better”, Jindal informed.

While the industry in Punjab suffered with GST, the power tariff posed another big challenge, Jindal said.

Earlier the government assured that it would reduce power tariffs, but the delay in implementation of the notification caused stress for the sector, he said.

With regard to the upcoming industrial policy, Jindal said that the new framework is likely to have special capital subsidies. Also a lot of paper work is expected to go digital and based on self-attestation, in order to bring down the inspector raj that exists, he further informed.

Dismissing reports of the industry moving out of Punjab to other states like Bihar, Jindal said that despite challenges, the MSMEs are engaged in dialogue with the government to put forth the problems and things are to get better.

Earlier Harish Kairpal, Finance Secretary of the Knitwear Club in a press interview hinted towards the industry moving to Patna since it has got fair incentives along with cheap labour. (KNN/ DA)