The MSME sector which was allowed to revive operations from May 4 as part of lockdown 3.0 is suffering from a lack of orders from large industries.
Among the 3,000-odd small and micro units in Visakhapatnam, which has a large number of downstream industries, only a few have started operations. "With a blank order book staring at us we have only started cleaning the machinery after the shutdown for a long time," Visakha Autonagar SSI Welfare Association president A.K. Balaji tells The Hindu .
The MSME sector, the major employer with a large contribution to the foreign exchange earnings, has its units spread over the industrial estates and Special Economic Zones at Gantyada, Gambheeram, Kancharapalem, Autonagar, Agnampudi, Atchutapuram, Gurrampalem and Parawada.
Andhra Pradesh has nearly 26 lakh MSMEs providing direct and indirect jobs to an estimated 70 lakh people.
The small and micro units alone provide jobs to 30,000 people in the district. "With no orders from major industries like the Visakhapatnam Steel Plant, BHEL, Hindustan Shipyard Ltd and HPCL Visakh Refinery, we are in dire straits facing severe cash crunch," Mr. Balaji laments.
While hailing the decision of the State government to release pending incentives worth ₹900 crore and waive minimum on-demand power tariff for three months, he seeks interest-free bank loans for six months and support to disburse salaries to workers for the month of April.
MSMEs as part of relaxation of lockdown norms are allowed to restart operations on the basis of self-declaration on observing social distancing and sanitation at workplace.
