UPA is anti-SSI
Representatives of small and medium industrial units have rejected the Small and Medium Enterprises Development Bill, 2005, placed before Parliament by the UPA government. Talking to mediapersons in New Delhi they said that the Bill in no way fulfilled the commitments made by the government for the betterment of the SSI sector. ?Subsequent to the opening up of the economy and globalisation, various countries like China have evolved policies to meet the challenges by designing the procedures to suit their industry whereas in India no such policy measurers have been taken to simplify the procedures for the domestic industry,? said Shri Sudarshan Sarin, president of the newly constituted All India Confederation of Small and Micro Industries Associations (AICOSMIA). Laghu Udyog Bharati, Indian Council of Small Industries, Kolkata Confederation of Indian Foundries, Federation of Associations of Small Industries of India, Ludhiana, are some of the major SSI organisations that are part of the AICOSMIA.
Small, medium sector units reject SMED Bill, 2005
Shri Sarin said the Bill had failed to incorporate all the important aspects essential for the growth of the SSI sector. He pointed out that all the issues which have been a matter of discussion for over five years for incorporation in the Bill, and which have been appreciated by the Government of India, have been omitted. The incorporation of medium industry shall in no way improve the status of the SSI.
?Subsequent to the opening up of the economy and globalisation, various countries like China have evolved policies to meet the challenges by designing the procedures to suit their industry whereas in India no such policy measurers have been taken to simplify the procedures for the domestic industry.?
Shri Sarin demanded immediate removal of Inspector raj and simplification of the procedures. Referring to the chapter II of the Bill, he said the chapter stated that only ten persons would represent the associations of small and medium enterprises and another 19 persons would be bureaucrats whereas in the present SSI board there were about 70 representatives from the industry. He also expressed concern over the declining share of public and private sector banks in the outstanding priority sector advances. ?The share of SSI advances in the NBC declined from 17 percent in 1999 to 10.5 percent in 2004 in respect of public sector banks. For private sector banks the share declined from about 19 per cent to about 8 percent in the same period,? he said remarking that the Bill had completely bypassed the requirements of the SSI sector and this causal approach to credit of the sector shall lead to a further deterioration in the situation. He said the SSI and micro industries were subjected to fierce competition and it needed immediate support in all aspects from the Government, banks, technology, etc. (FOC)