Forward looking MSME Policy 2015 unveiled

Resurgent Rajasthan Summit 2015

  • Policy to create an enabling environment for MSMEs to attain globally competitive competence level
  • CM says Small is Big, announces MSME Day to mark the importance for the sector
  • Kalraj Mishra assures central support for State MSMEs

On Day Two of Resurgent Rajasthan Partnership Summit, the Union Minister for Micro Small and Medium Enterprise (MSME), Mr Kalraj Mishra, and Chief Minister, Smt Vasundhara Raje, launched the much-awaited MSME Policy 2015, giving a huge fillip to the MSME sector.Underscoring the importance of the sector, the summit hosted a dedicated conclave on MSMEs.

The Conclave was also attended Mr Gajendra Singh Khimsar, Minister for Industries, Government of Rajasthan; and state government officials including Mr Rajeeva Swarup, Principal Secretary MSME; and Mr Abhay Kumar, Commission of Industries & Secretary CSR. The keynote address was delivered by Mr Anup K. Pujari, Secretary, MSME, Government of India.

Representing the industry at the Conclave were Mr Shreekant Somany, Chairman, Somany Ceramics & Chairman CII Northern Region; Mr Jyoti Ghosh, Managing Director, State Bank of Bikaner & Jaipur; Mr Adil Zaidi, Partner, Economic Development Advisory, Ernst & Young; Mr Om Prakash Mittal, National President, Laghu Udyog Bharti; Mr Dinesh Agarwal, Founder & CEO, IndiaMART InterMESH Ltd and Mr Dileep Baid, Managing Director, Dileep Baid.

Elaborating on the MSME 2015 Policy, Mr Rajeeva Swarup, Principal Secretary MSME and Session Coordinator said,

“The aim of the policy is to create an enabling and conducive environment to help MSMEs in the State to attain globally competitive competence level.”

The approach and strategy for MSME development focuses on a combination of both fiscal and non-fiscal interventions. The policy is expected to provide a conducive environment to encourage increased investments in the MSME sector in the State.

The key measures of the MSME Policy includes streamlining of procedures, strengthening the Single Window System, enabling of faster delivery of fiscal incentives/ concessions, developing new industrial areas including private industrial areas, lead to time bound allotment/ conversion of land and facilitate MSMEs in obtaining credit.

Stating that the MSME sector is the only future for the industry in the state and the country, Smt Vasundhara Raje, Chief Minister, said,

“We have to hand hold the micro enterprises to become small, the small to become medium and the medium to become big.”

Acknowledging that small is the new big, Smt Raje said her Government will organise an MSME Diwas every year to mark the importance of the sector.

Highlighting the role of technology in this sector, Smt Raje explained,

“MSMEs, by virtue of their small size are better equipped to innovate. Today, in a digitally connected world, we are witnessing a new generation of Start-ups who need encouragement and support. We will support incubation and organise one major Startup Festival and two mini Startup Fests every year. We are looking at 500 innovative Start-ups and for that shall create 100,000 sq ft of built up space. Our Science and Technology Department along with RIICO and the Startup Oasis shall be working to setup a Rajasthan Startup Village and an e-platform that shall host Massive Open Online Courses (MOOC) to encourage and support startups.”

Praising the State Government’s efforts in organising the Resurgent Rajasthan Summit Mr Kalraj Mishra said,

“The essence of this summit is based on Prime Minister Narendra Modi’s Make in India dream.”

He extended his ministry’s support to promote the MSME sector in the State. He said,

“We will give subsidies to help develop the MSME sector in Rajasthan. We plan to push the cluster development in Rajasthan even further through clusters.”

In the offing are plans to set up a Digital Employment Exchange for the industry to help people work wherever they wish to and to take incubation centres to each of the 33 districts in the State, he added.

Mr Gajendra Singh Khimsar in address said,

“MSMEs are the backbone as well as the future of Rajasthan.”

At present more than 90% of industries in Rajasthan fall within the MSME category, and the sector employs 18.7 lakh people, he said.

Dr Anup K. Pujari, Secretary – Ministry of MSME, Government of India, said,

“Like drip irrigation, our endeavour is to reach the entrepreneur directly.”

According to Mr Sreekant Somany,the MSME sector has the biggest potential to create jobs for the unemployed youth, and every government should focus on creating entrepreneurs. He said,

“Rajasthan is one of the very few states which has a dedicated MSME department and now, a policy. I urge the government to look at ease of continuity for ongoing businesses.”

With this new policy, the State will be able to revitalise Agriculture and Food processing, Gems and Jewelry and Textiles (including technical textiles), Apparel, Handicraft and auto-component clusters.

Some of the major interventions introduced in the Policy are:

  • Investor facilitation through setting up of Facilitation Centers that provide guidance and hand holding support to new investors in setting up of new units.
  • Infrastructure development and land for industry through (Rajasthan State Industrial Development and Investment Corporation RIICO); development of MSME clusters with the objective of creating production centers catering to large companies. High value components used in ceramics, ESDM and defense sub-systems, are manufactured by SMEs. The Government will pursue investment in these companies.
  • While Micro and Small enterprises are eligible for priority sector advances from banks, lending to Medium enterprises is not eligible under the priority sector. Going forward, the Government of Rajasthan will design an incentive scheme for medium enterprises.
  • The State’s Department of Science and Technology along with Rajasthan State Industrial and Development Corporation (RIICO) and the Startup Oasis will collaborate to set up a Rajasthan Startup Village and an e-platform that shall host Massive Open Online Courses (MOOC) to encourage and support startups.
  • Special focus on development of Khadi, Handlooms and Crafts sector; credit access and support to MSMEs through facilitation, supporting raising of collateral-free loan under the Credit Guarantee Trust Fund Scheme, Loan schemes of Rajasthan Financial Corporation (RFC) and other entities, on easier terms; Support for start-up business and budding entrepreneurs through setting up of plug-and-play facilities, flatted factories and rapid incubation centers.
  • Support for environment conservation in terms of fiscal incentives for establishment of Common Effluent Treatment Plant (CETP) / ETPs for environment protection and water conservation.
  • ‘The Rajasthan Sick Micro & Small Enterprises (Revival and Rehabilitation) Scheme 2015’ will formulate a comprehensive package for revival of viable and potentially viable sick micro and small enterprise.

Throughout the day, MSME delegates visited facilitation camps. These camps answered queries related to credit, where all the Banks and other financial institutions gave detailed information about their credit schemes and procedures. Overall more than 1000 queries were answered at counters of these banks.

About Resurgent Rajasthan Partnership Summit

RR The Resurgent Rajasthan Partnership Summit, was held in Jaipur on November 19-20, 2015, brought together leading investors from all over the world for interacting with policy makers, including the political leadership, government officials and, local business leaders on the investment environment and opportunities in Rajasthan. The summit was organised by the Government of Rajasthan in association with the Confederation of Indian Industry (CII). The summit had thematic seminars, panel discussions, B2B & B2G meetings and other networking programmes. For further information, please visit

November 20, Jaipur 2015