MSMEs Prioritized in Public Sector Purchases: Shobha Karandlaje

Union Minister Shobha Karandlaje emphasized the need for public sector units to prioritize MSMEs for spare parts and raw materials. Highlighting the sector's role in job creation and GDP growth, she called for increased subsidies and skill development. A two-day conclave in Bengaluru aimed at supporting young entrepreneurs.

Union Minister of State for MSMEs, Shobha Karandlaje, emphasized on Friday that public sector industries should prioritize MSMEs when purchasing spare parts and raw materials.

"A memorandum to that effect will be submitted to Prime Minister Narendra Modi," Karandlaje announced during the inauguration of a two-day MSME conclave organized by the Federation of Karnataka Chambers of Commerce & Industry (FKCCI) at Palace Grounds in Bengaluru.

Karandlaje highlighted the crucial role of small, micro, and medium sector industries in the country's industrial development, noting that they significantly contribute to job creation. She pointed out that the Union budget has increased allocations for MSMEs to support Prime Minister Narendra Modi's vision of a 'Vikasit Bharat'.

"MSMEs contribute significantly to GDP growth, and we receive around five lakh applications annually to start new ones. However, we are currently able to provide subsidies to only 90,000 applicants. A proposal has been submitted to the finance minister to enhance this subsidy component," the MSME Minister explained.

Further addressing the import of raw materials by large PSUs, Karandlaje mentioned an appeal to the Prime Minister to direct PSUs to source these materials from MSMEs.

FKCCI President Ramesh Chandra Lahoti stated that the conclave aims to provide young entrepreneurs with all necessary information to kickstart their MSMEs, aided by various schemes from the Centre and states designed to support them.

"The MSME Conclave-2024 is a vital platform for ensuring the sector's growth and sustainability in the state," said Lahoti, adding that industry leaders, policymakers, and financial institutions are collaborating to offer crucial support.

(With inputs from agencies.)