The Madurai District Tiny and Small Scale Industries Association (MADITSSIA) has welcomed the new procurement policy, which has set a quota for small units in government purchases.
The Union Cabinet on Tuesday approved a procurement policy asking all Central Ministries, government departments and public sector undertakings to give preference to micro and small entrepreneurs by ensuring that a minimum 20 per cent of all their total annual purchases of products or services are from MSEs. Within this limit, 4 per cent of the orders should be placed to the SC/ST entrepreneurs.
In a statement issued here, MADITSSIA president V.S. Manimaran said that this was a long-standing demand of small industries. He also welcomed the constitution of a Committee under the chairmanship of a Secretary (Micro, Small and Medium Enterprises) to review the list of 358 items reserved for exclusive purchase from MSEs on a continuous basis and monitor the implementation of this procurement policy. The policy was intended to generate a business of Rs. 35,000 crore for small industries sector.
It also thanked the MSME Minister Veerabadra Singh for having got the policy approved by the Cabinet.
