Madurai District Tiny and Small Scale Industries Association (MADITSSIA) has urged the 14th Finance Commission to increase allotment for the State since industries were facing hardships owing to severe power crisis, shortage of manpower, high rate of interest on loans, spiralling raw material prices and lack of new orders.
According to a press communiqué, MADITSSIA president V.S. Manimaran participated in a Finance Commission meeting headed by Y.V. Reddy at the Secretariat in Chennai on Monday and made suggestions for uplifting the micro, small and medium enterprises.
He insisted upon the need for the Centre and State to support the export industry in view of the fluctuations in dollar rate.
He pointed out that various schemes implemented by the Centre and the State to encourage industrial growth had not been availed by budding entrepreneurs owing to large- scale corruption and voluminous paper work. “Unless the government simplifies the procedures, it will be very difficult for the MSME sector to access government funding.
Only units that are capable of ‘cooking up documents’ can avail the benefits,” he said.
The suggestions, submitted to the Finance Commission in writing, included speeding up of railway projects, providing interest subvention and subsidies to automobile industry, giving importance to common infrastructure projects such as effluent treatment plants, construction of a hospital on the lines of All India Institute of Medical Sciences in Madurai and development of minor ports in Thondi and Colachel.