Union MSME Minister Nitin Gadkari on Sunday said that the central government will set up a panel to provide necessary clearances needed by businesses within three months in a bid to attract foreign investment in micro, small and medium enterprises (MSMEs). He said that a Joint Secretary-level officer has already been appointed to look after foreign investments in the MSME sector.
"We are going to formulate a committee where we will give all types of clearances within 3 months and at the same time, there will be no red tape, full transparency, time bound decision making process, qualitative approach and no corruption," Gadkari said while addressing Chartered Accountants Association of India.
The committee will be established in coordination with states and the central government as stakeholders, Gadkari said, adding that a policy will be framed in this regard.
Earlier today, the minister interacted with the representatives of Dalit Indian Chamber of Commerce and Industry (DICCI) on impact of COVID-19 on MSMEs owned by entrepreneurs from Scheduled Castes and Scheduled Tribes. During this interaction, Gadkari called upon the industries to ensure that necessary preventive measures are taken to prevent the spread of COVID-19. He emphasised on usage of PPE (masks, sanitiser, etc.) and advised to maintain social distancing norms during business operations.
Gadkari mentioned that there is need to focus on export enhancement as well as import substitution to replace foreign imports with domestic production. He added that industry should focus more on innovation, entrepreneurship, science and technology, research skill and experiences to convert the knowledge into wealth. He further said that in order to gain competitiveness in the international markets, the industry must focus on reducing logistics cost, capital cost, power and production cost without compromising with the quality.
The Union Minister recalled that government of Japan has offered special package to its industries for taking out Japanese investments from China and move elsewhere. He opined that it is an opportunity for India to capitalise on.
On Saturday, Gadkari had said the central government may soon announce a relief package for MSMEs that had been affected due to the coronavirus lockdown. "We have sent recommendations for a relief package to the Finance Minister and Prime Minister, and I hope it will be announced soon," Gadkari had said while addressing a webinar in New Delhi.