Tag: MSMEs

SRINAGAR: The Federation of Chambers of Industries Kashmir (FCIK) has called on the government to recognize the dire situation faced by the Micro, Small and Medium Enterprises (MSMEs) in the Kashmir region and to take immediate action to fulfill its commitments to this vital sector. The FCIK, which represents the organized industrial estates of the Kashmir valley, held a meeting with the Advisory Council to address the ongoing crisis in the MSME sector.

During the meeting, the Presidents of various industrial estates criticized the government’s response to the challenges facing the industrial sector, particularly the MSMEs, in the wake of long spells of forced business interruptions over the past three decades, particularly after 2008, 2009, 2010, 2014, 2016, and 2019-21. They accused the government of being blind and unconcerned about the crises, and warned that it was worrying to believe that the government had no clear and accurate idea of the state of MSMEs in Jammu and Kashmir, particularly in the Kashmir valley, where the failure of the government to intervene has resulted in the closure of a substantial number of units.

The participants in the meeting also blamed the industries department for exacerbating the crises faced by MSMEs by adopting a dictatorial approach and issuing unilateral orders. They observed that the lack of cohesion between the various wings of the department had affected the working of MSMEs, and criticized the appointment of inexperienced officials. The members regretted that most of the District Industries Centers (DICs) in the valley were manned by temporary arrangements without full-fledged General Managers.

The FCIK members refuted the claims of industrial growth made by the government, arguing that the government’s data did not reflect the ground realities faced by MSMEs, which have been left to fend for themselves with continued onslaughts by different departments and institutions. They also criticized the government’s unilateral changes to industrial policies without consulting stakeholders, citing the example of the land allotment policy.

The members also lambasted J&K Bank for harassing MSME defaulters and tarnishing the image and credibility of entrepreneurs, particularly in light of the challenges faced by MSMEs during the 2500 days of business interruptions. The bank did not waive interest against the MSMEs even for a day, despite the fact that during these shutdowns, the bank did not provide any services to its customers. The FCIK members regretted that the government was watching the humiliation of entrepreneurs as a mute spectator.

The FCIK authorities assured the Presidents of organized sector to take up their grievances with relevant quarters for redressal. They also agreed to make all relevant issues public in a series of press releases. The meeting of the Presidents of organized sector would be held periodically but more frequently to take stock of the situation.

The FCIK’s call to recognize the plight of MSMEs in the Kashmir region highlights the need for the government to take immediate action to fulfil its commitments to this vital sector. The MSMEs are a significant source of employment and economic growth, and it is imperative that the government provides them with the necessary support and assistance to help them weather the ongoing crises. The FCIK’s efforts to address the issues facing the MSMEs are commendable, and it is hoped that the government will take the necessary steps to address the concerns raised by the FCIK and other stakeholders.