Mysuru, Aug 29 (KNN) Drawing attention of the authorities that industrial sites reserved for the micro, small and medium enterprises (MSMEs) in the region has decreased from 20% to 10%, the MSME Council of Mysuru has sought 50 per cent reservation of industrial sites developed by the Karnataka Industrial Area Development Authority (KIADB).

The council members submitted a memorandum to MSME Director Ziyaullah seeking his attention towards the revised policy of the State government as per which the industrial site reserved for MSMEs have been decreased from 20% to 10%.

Council president Ravi Koti and secretary Suresh Kumar Jain said MSMEs tend to act as ancillary units to major industries and provide jobs for the local people and hence should be encouraged.

The council pointed out that of the thousands of MSME units in the State, more than 20% have closed down. Hardly 40% were functional.

The MSME Director was urged to formulate a revised and a comprehensive policy to revive the sick and the closed units.

Jain said lack of proper implementation was a big problem for reviving the sick units in Karnataka.

However, the council welcomed the government's measure to extend loan at a subsidised interest of 4% for advances from the Karnataka State Financial Corporation (KSFC).

But it was pointed out that small and medium enterprises find it difficult to procure loan from KSFC without collateral and hence wanted the same scheme to be implemented through SIDBI (Small Industries Development Bank of India) or other national banks so as to benefit the entrepreneurs.

Raising issues specific to Mysuru, the council sought the Directorate’s intervention with the Mysuru City Corporation for a downward revision in the water tariff. “The MSMEs should be supplied water at a subsidised rate and should not be levied commercial slab and the government should constitute a body on the lines of KERC (Karnataka Electricity Regulatory Commission) to fix the rates,” said the council members.