Dalit Indian Chamber of Commerce and Industry (DICCI) A.P. Chapter President M. Madhusudana Rao said that the difficulty in securing land and providing collateral security for bank loans were major problems faced by entrepreneurs belonging to the Scheduled Castes and Scheduled Tribes.
However, 100 per cent VAT reimbursement for a period of five years from the date of commencement of commercial production to micro and small industries, making service sector (which has a large number of SC/ST entrepreneurs) eligible for interest reimbursement, giving land on lease for 33 years and several other policy measures helped them overcome the problems that have been stifling their growth.
The financial assistance rendered by Credit Guarantee Fund Trust for Micro and Small Enterprises solved the problems that ST and ST entrepreneurs faced in availing of institutional credit. Besides, the State Government has taken the decision to give power cost reimbursement of Rs. 1.50 per unit to businesses set up by SCs and STs compared to Re. 1 per unit in the general category.
Mr. Madhusudana Rao said that the DICCI was organizing 21-day training sessions for prospective entrepreneurs among the SCs and STs in association with the National Institute for Micro, Small and Medium Enterprises and facilitating the establishment of startups.
While some issues in raising funds and grounding projects remained, the overall business ecosystem for SC and ST entrepreneurs has improved with both the Central and the State governments giving a lot of incentives. Interested persons from SC and ST communities were being motivated to become job-givers, Mr. Rao added.
DICCI Meet:
The DICCI State chapter plans to hold a full-fledged meeting in Vijayawada later this month and invite Chief Minister N. Chandrababu Naidu to give him its development perspective.
