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Nagpur City No 1 eNewspaper : Nagpur Today

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Published On : Mon, Jul 22nd, 2019

MSMEs are backbone of country’s economy: CAMIT President Agrawal

CAMIT felicitates Union Minister for Road Transport, Highways and MSME Nitin Gadkari

Nagpur: A delegation of Chamber of Associations of Maharashtra Industry and Trade Nagpur (CAMIT Nagpur) led by its President Dipen Agrawal met Nitin Gadkari, Union Minister for Road Transport, Highways and MSME recently. At the outset, Agrawal welcomed and felicitated Gadkari with a shawl, shriphal, bouquet and a memento and congratulated him for the thumping win in Lok Sabha elections. He also congratulated him on taking charge of Ministry of Road Transport, Highways and MSME.

Dipen Agrawal, while briefly raising the issue of aawmills, Agarbatti manufactures, said that MSMEs are small investment enterprises, but substantially contribute to the Indian economy, they are the backbone of our country’s economy and occupy a strategic importance in terms of output (about 45% of manufacturing output), exports (about 40% of the total exports) and employment. “MSME sector not only generates large scale employment they also go a long way in checking rural-urban migration by providing people living in isolated areas with a sustainable source of employment. MSMEs, being the instruments of inclusive growth, touches upon the lives of the most vulnerable and marginalised section of society. Instead of welfare schemes there is need for empowering MSMEs by framing policies to make them competitive and export oriented,” the CAMIT President added.

Agrawal further informed Gadkari ‘the sentiments at grassroots level have changed since you have assumed the charge of Ministry of MSME. Having experienced your vision and working style, the micro and small units are now confident and foresee that their woes will end soon.’

Prabhudas Patel briefed the Minister in regards to the issue haunting sawmills established in the State of Maharashtra. He said that the sawmills are small enterprises, established in covered shed. The sawmills are non-polluting in nature as no fuel of any nature is used in the operations and the bye-product saw dust, is collected in underground pit as the same is commercially marketable. Thus there is no pollution of whatsoever nature. For these reasons in the States of Chhattisgarh, Madhya Pradesh, Telangana, Andhra Pradesh and Bihar the sawmills are exempted from the provisions of Pollution Control Board. However in Maharashtra, the sawmill owners are required to obtain consents from State Pollution Control Board on the premise that saw dust is pollutant. Patel pleaded Gadkari to declare sawmills as non-polluting industry at national level to bring uniformity of compliances and giving level playing field to sawmills throughout the country.

Gadkari assured the CAMIT delegation that he will get the issue addressed by concerned authority/department at the earliest as he was convinced that saw mills should be exempted from the purview of State Pollution Control Boards.

Dilip Thakral briefed Gadkari about the existential crisis faced by Agarbatti manufacturers in India. He said there are about 400 units in Nagpur, about 1300 units in Vidarbha and about 27,000 units in India. They all are on verge of closure due to import of Agarbatti at concessional rate of duty from Vietnam by importers by exploiting the Indaa-Vietnam treaty. Agarbatti manufactures are Micro Enterprise/ Cottage Industry and closure of same will affect the livelihood of about 27000 entrepreneurs and about 270000 direct employees and their family members.

Gadkari spontaneously responded and said that he is in knowledge of the hardship encountered by Agarbatti manufacturers and assured to personally discuss the issue with Piyush Goyal, Minister for Commerce & Industries and shall leave no stone unturned to protect the interest of domestic manufacturers.

Ashok Sanghvi briefing the issue of exorbitant increase in rent by Municipal Corporations across the State said that the increase in rent is 15 to 20 times the present rent which the tenants of Corporation has protested. The State government in the draft rules governing the renewal of lease has proposed to charge annual rent at the rate of 8% of the ready reckoner value of the tenanted premises. Dipen Agrawal informed that recently State government has issued advisory stating that the annual rent proposed in the draft rules is the maximum rent chargeable and the Corporations are at liberty to charge lower rent.

The Union Mister, after hearing patiently, said that after studying the issue he will get the issue of rent resolved in the meeting with Municipal Commissioner in near future.

Dipen Agrawal on behalf of the delegation expressed his gratitude for patiently hearing the issues haunting MSME units and small and marginal traders and assuring the delegation for resolution of issues in foreseeable future.

Dilip Thakral briefed Shri Gadkari ji about the existential crisis faced by Agarbatti manufacturers in India. He said there are about 400 units in Nagpur, about 1300 units in Vidarbha and about 27000 units in India, they all are on verge of closure due to import of Agarbatti at concessional rate of duty from Vietnam by importers by exploiting the Inida-Vietnam treaty. Agarbatti manufactures are Micro Enterprise/ Cottage Industry and closure of same will affect the livelihood of about 27000 entrepreneurs and about 270000 direct employees and their family members.

Shri Gadkari ji spontaneously responded and said that he is in knowledge of the hardship encountered by Agarbatti manufacturers and assured to personally discuss the issue with Piyush Goyal Minister for Commerce & Industries and he shall leave no stone unturned to protect the interest of domestic manufacturers.

Ashok Sanghvi briefing the issue of exorbitant increase in rent by Municipal Corporations across the State said that the increase in rent is 15 to 20 times the present rent which the tenants of Corporation has protested. The State government in the draft rules governing the renewal of lease has proposed to charge annual rent at the rate of 8% of the ready reckoner value of the tenanted premises. Dipen Agrawal informed that recently State government has issued advisory stating that the annual rent proposed in the draft rules is the maximum rent chargeable and the Corporations are at liberty to charge lower rent.

Shri Gadkari ji after hearing patiently said that after studying the issue he will get the issue of rent resolved in the meeting with Municipal Commissioner in near future.

Dipen Agrawal on behalf of the delegation expressed his gratitude for patiently hearing the issues haunting MSME units and small and marginal traders and assuring the delegation for resolution of issues in foreseeable future.

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