The Tamil Nadu Association of Cottage and Micro Enterprises has appealed to the Government to constitute a committee with representatives of micro units, banks and the Government to facilitate smooth disbursement of credit to micro units.

Association president J. James has said in a release that a large number of banks were reluctant to disburse assistance to micro units.

Another major problem faced by the micro units here was lack of space to start new units. The Government should establish multi-storied industrial estates here and provide assistance for creation of common facilities in one to 10 acre plots. As many as 12 to 120 units would be able to start factories on these.

Coimbatore did not have any major public sector unit. The Union Government should establish one for manufacture of equipment for the armed forces. This would provide opportunities to micro and small units here.

The State Government should start skill development for school dropouts in rural areas. The candidates should be given certificates after one-year training at the micro units. This would help the units meet the labour shortage and also provide employable skills to the candidates.