Sunday, July 1, 2007

Small-scale hurdles
Bibek Debroy
Posted online: Tuesday, June 12, 2007 at 0000 hrs Print Email
Where wealth accumulates and men decay: study the quotas in a government order on small enterprises
Bibek Debroy
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Here is a quote from an office memorandum issued on May 21 by the International Cooperation Section of ministry of micro, small and medium enterprises (MSME). “Ministry of MSME and its organisations, viz SIDO, NSIC, KVIC and Coir Board have been facilitating participation of micro, small, KVI and coir units/entrepreneurs in international exhibitions under their respective schemes. Often, the ministry, SIDO, NSIC, KVIC and Coir Board participate in the same exhibition from different pavilions and there is no coordination amongst them.” So everything is going to be under an MSME umbrella, to increase synergy and spread costs. I am not convinced. By the same token, one can argue that MSME should be scrapped and all industry policies unified under a single ministry of industry. However, let’s read on. Financial assistance consists of DA (hotel charges), space rent and travel expenses. For space rent, “Up to 50 per cent of the space rent actually paid. In case of women entrepreneurs/SC & ST entrepreneurs and entrepreneurs from the North Eastern Region, up to 100 per cent.” For travel expenses, “Up to 75 per cent of the airfare by economy class or train fare, as the case may be. In case of women entrepreneurs/SC & ST entrepreneurs and entrepreneurs from the North Eastern Region, up to 100 per cent of the airfare by economy class or train fare actually paid”.