Dimapur, Sept 20 (KNN) Small scale industries have the potential to drive the regional growth of North East region, said Nagaland Industries and Commerce Adviser Hekani Jakhalu on Tuesday.

MSME units will help the region thrive, since establishing large industries and factories was not always feasible due to geographical constraints, she noted.

In her address on the second day of the First North Eastern States Chamber of Commerce & Industry Business Conclave, Hekani noted that despite constituting a mere 1.5 per cent of India’s MSME landscape, the sector contributed nearly 62 per cent to the region’s economy, encompassing employment, output, and exports, highlighting MSMEs role in the region’s development.

Acknowledging the industrial “backwardness” of NER, she attributed it to poor connectivity, limited access to raw materials, inadequate markets, and a lack of marketing support and infrastructure.

Further, Hekani underscored NE’s significance as India’s gateway to South East Asia, emphasizing that an expansion of the MSME sector could serve as a catalyst for economic prosperity.

Referring to the “Seven Sisters” as a mosaic of cultures and shared aspirations, Hekani referred to the conclave as a convergence of organisations working toward collective progress and a common goal, describing it as “Of the North East, by the North East, and for the North East”.

Pointing out the unexplored economic prospects, she questioned why the region was yet to harness its full potential, resources, and opportunities for the desired economic growth and development.

She appealed to the conclave to delve into the existing challenges and collectively strategize on how to effectively address them.

She also highlighted the drop in investments due to the discontinuation of the North East Industrial and Investment Promotion Policy (NEIIPP) in 2017 and North East Industrial Development (NEID) Scheme expiring in 2022.

She lamented that the NEID scheme is yet to be renewed, adding that the region was eager to incentivise domestic and global investors.  (KNN Bureau)