Bangalore: Government planned to make it obligatory for the multi-brand retail to source 30 percent of their annual purchases from micro and small enterprises (MSEs), Union Micro, Small and Medium Enterprises (MSME) Minister Virbhadra Singh today said. (Agencies)
"The centre is planning to make mandatory for multi-brand retail to source 30 percent of their purchases from MSEs," he told reporters on the sidelines of a business event here.
On the Public Procurement Policy, approved by the Union Cabinet on November 1 last year, he said the document would be notified after March 6. "The government will notify the Public Procurement Policy after state assembly poll results."
The policy would be voluntary in nature for three years and made mandatory after that, Singh said.
The policy mandates 20 percent reservation for MSEs in all procurement by government departments and PSUs. "This will give much needed support to MSEs in marketing their products," he said noting a four percent earmarking for SCs and STs.
"PSUs are expected to buy goods worth Rs 35,000 crore from the MSEs, of which a business of Rs 7,000 crore would go to the SCs/STs," he said.
Later inaugurating the Karnataka Small Scale Industries Association (KASSIA) School of Business Management, Singh lamented the lack of professional management in terms of core understanding of problem analysis, risk management, integrated sourcing in most of the small industries in MSME sector.
"This lacuna is shackling the MSMEs from competing in global market. KASSIA is now addressing this critical need with the opening of the KASSIA School of Business Management (KSBM)", he said.
Singh assured KASSIA will be made a partner institute in the Skill Development Scheme and financial assistance provided to it, adding he had already written to the Finance Minister for providing an enabling framework for equity formation.
KASSIA’s initiative would go a long way in meeting the ever increasing demand for skilled labour in the country, he said.
The business school can help create a vibrant entrepreneurial eco-system for start-ups and early stage enterprises which can lead to significant incremental employment, Singh said.
Bangalore: Government planned to make it obligatory for the multi-brand retail to source 30 percent of their annual purchases from micro and small enterprises (MSEs), Union Micro, Small and Medium Enterprises (MSME) Minister Virbhadra Singh today said.