Page 29 - Plastics News October 2020

The MSME Confidence
The Union Minister for MSMEs Kalraj Mishra said that sector that is always known for agility and flexibility.
the government is committed to increase the Meanwhile, according to latest figures, banks have
contribution of the sector to GDP from about 30 sanctioned loans worth over Rs 1.63 lakh crore to
percent to 50 percent and to exports from 49 percent MSMEs and other eligible businesses so far under the
to 60 percent. He added that the Centre is also trying Emergency Credit Line Guarantee Scheme (ECLGS).
to make the best of the sector's employment It added that an amount of Rs. 1,18,138.64 crore has
generation prowess, with an objective of creating 5 been disbursed to 25,01,999 borrowers as on
crore additional jobs in the sector which presently 10.09.2020. Additionally, as on August 28, 2020, Rs
employs about 11 crore people. Though this might 25,000 crore has been disbursed under the Rs 30,000
sounds great, the current situation seems
crore Additional Emergency Working Capital Funding
challenging. for farmers.
The MSME sector itself seems to be no less However, the confidence does not seem high in the
enthusiastic about the future. According to a recent trading community, which comprises nearly 7 crore
survey report, while two-thirds of respondents units, employing more than 40 crore people.
believe that the present situation is a good According to a report, presently only 7 percent of
opportunity to reformulate their business strategy, traders are able to obtain institutional finance. More
half of the total respondents believe that the importantly, 25 percent small shops and businesses in
pandemic will ultimately bring opportunity in the the country, totalling 1.75 crore, are on the verge of
longer term. Over 73 percent of Indian SMEs are closure. This situation is alarming. It seems a
confident that they will survive and bounce back post comprehensive economic package can give our
Covid-19. Of course, it sounds quite convincing for a traders a much-needed relief in this difficult time.

AIPMA created a Helpline for the Members

and Industry during lockdown

The template was circulated widely in the

Industry to provide services and bridge
between members and GOI with regard to

manufacturers facing problems for
transporting essential goods etc. we
received 350+ requests from units which

were communicated to concerned
department.

Coordinated with DPIIT, DCPC and
respective State Governments.

Solution to most of the requests made on our Helpline. This initiative

was widely appreciated by the Industry

October 2020 29 Plastics News