Telangana Considers Leasing Land to MSMEs in Policy Shift

ENA MSME 2024-06-25 16:33:34 Telangana, Jun 25 (KNN) In a potentially transformative move for Telangana's business landscape, the state government is exploring a shift from outright land sales to a leasing model for micro, small, and medium-sized enterprises (MSMEs). This initiative aims to address one of the most significant barriers to entry for aspiring entrepreneurs: the high cost of land acquisition. D. Sridhar Babu, Minister for Industries and IT, unveiled this proposal during a FICCI Ladies Organisation (FLO) conclave on MSMEs and Inclusive Growth. Purchasing land for setting up units may not be affordable to all, Babu acknowledged, highlighting how this financial hurdle often stifles talented individuals with promising business ideas. The leasing option is part of a broader strategy to fuel MSME growth in the state. Babu also announced that Telangana's first-ever MSME policy is in the works, with plans to present it in the next Assembly session. It would reflect our focus on inclusive growth, the Minister emphasized, calling for tangible, meaningful suggestions from entrepreneurs to shape the policy. Further bolstering support for MSMEs, the government is considering establishing a dedicated fund to assist these enterprises. This multi-pronged approach underscores the administration's commitment to fostering a robust MSME ecosystem. The initiatives for MSMEs are part of a larger industrial strategy under Chief Minister A. Revanth Reddy's leadership. The government envisions a three-layered geographical approach to industrial growth, spanning from Hyderabad's city centre to beyond the Regional Ring Road (RRR). Plans also include harnessing emerging technologies to build on the IT sector's success, with the establishment of an AI City and a Skills University. In a move to enhance connectivity and boost exports, Telangana will collaborate with the Central government to set up two dry ports, linking the landlocked state to seaports in Mumbai and Andhra Pradesh. The proposed AI City, to be developed on 200 acres in central Hyderabad, will house research facilities and institutions focused on emerging technologies. Notably, the plan includes allocating space for MSMEs within this high-tech enclave, further integrating smaller enterprises into the state's technological future. Minister Babu stressed the continuity of positive policies from previous administrations while emphasising the crucial role of MSMEs in driving economic growth. He noted that while large industries are likely to thrive due to their inherent strengths, it's the MSME sector that requires focused support and nurturing. The ambitious Skills University project, modelled after the prestigious Indian School of Business (ISB), aims to create an industry-ready workforce of international caliber. This initiative aligns with the government's goal of bridging the skills gap and enhancing employability. (KNN Bureau) 38342 https://knnindia.co.in/news/newsdetails/msme/telangana-considers-leasing-land-to-msmes-in-policy-shift 2024-06-25 16:33:34 knnindia.co.in Telangana Considers Leasing Land to MSMEs in Policy Shift