Telangana MSMEs Await Overdue Incentives; Key Demand Ahead of State Budget

ENA MSME 2024-02-07 16:30:23 Hyderabad, Feb 7 (KNN) With the impending presentation of its first budget, the new Telangana government faces mounting pressure to address long-overdue incentives and subsidies for Micro, Small, and Medium Enterprises (MSMEs). These incentives, totalling over Rs 3,200 crore, have been pending for nearly eight years, presenting a critical concern for Telangana's industrial sector, reported TOI. Srinivas Garimella, Chairman, Industrial Development Committee, Federation of Telangana Chambers of Commerce & Industry (FTCCI), emphasised the urgent need for the government to fulfil its promise and clear the backlog of incentives until 2020. He highlighted the adverse impact of delayed incentives on MSMEs, particularly in the post-COVID era. Incentives of over Rs 3,200 crore have been pending since almost eight years. Had it been given in 2016, it would have been worth it, but today its value has halved, said Garimella. But still the government should keep its promise and clear the incentive waiting list till 2020 at least providing MSMEs some respite as most of them are suffering post-Covid, he added. C Sekhar Reddy, Chairman, Confederation of Indian Industry (CII) Telangana Council, advocated for the regular release of subsidies and incentives to enhance the competitiveness of MSMEs in the market. Reddy stressed the importance of establishing clear criteria for subsidy clearance and promoting incentives to boost exports within the manufacturing sector, with a focus on supporting MSMEs. Another pressing demand from Telangana government is the revision of the 1MW cap on captive solar power generation by industries. Industry leaders urge the state government to either remove or enhance this cap to encourage sustainable energy practices and promote solar power adoption. FTCCI further recommends increasing the cap to at least 5-10MW to reduce reliance on state DISCOMs for power requirements, ultimately lowering the overall cost of doing business in the state. (KNN Bureau) 36600 https://knnindia.co.in/news/newsdetails/msme/telangana-msmes-await-overdue-incentives-key-demand-ahead-of-state-budget 2024-02-07 16:30:23 knnindia.co.in Telangana MSMEs Await Overdue Incentives; Key Demand Ahead of State Budget