Gujarat plans MSME push; considers setting up separate department

Ahmedabad: In order to address various issues plaguing the micro, small and medium enterprises (MSMEs), the Gujarat government is considering opening up of separate department for this segment of the industry.

“Small and medium industries are the backbone of industrial development in the state and to make it more strong, the government is considering creating of a separate department for them. It will also help government to address various issues related to MSMEs,” Anandiben Patel, Chief Minister of Gujarat said at the industrial expo Gujtech-2016 organised by the Federation of Industries Associations (FIA). The state has announced building multi-storied building at 36 industrial estates. 

The government also believes that there should be dedicated industrial estates for MSME’s and that idea was under consideration, the chief minister added. 

Given the decreasing affordability among MSMEs for land acquisition, the state will build multi-storied sheds at the Gujarat Industrial Development Corporation (GIDC) premises to support small scale industries in the state on plug-and-play basis.

According to GIDC officials, it will reduce overall cost of the project when any small unit sets up industry at such premises. The state government will provide space both on rental and ownership basis. Moreover, it is also going to ease exit policy for MSMEs.

“Gujarat government is favoring ease of doing business environment in the state and we constantly trying to provide business friendly atmosphere in the state,” Patel said. 

Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.