New Delhi: Union Minister for MSMEs and Road Transport & Highways Nitin Gadkari has welcomed the relief package for MSME sector announced by the Finance Minister. In a video message from Nagpur, he said, this package will energize the local indigenous industry with new life.
Gadkari said that the turnover of the village industry has been around Rs 88 thousand crore, which we aspire to take forward to Rs 5 lakh crore in next two years. He said that the stimulus package would help achieve this target in a big way. The Khadi sector will play a big role in this as it is entering into exports also.
The Minister was very upbeat over the change of definition of the MSME sector. Raising of investment limit in this sector to Rs 100 crore will give great boost to the industry, which will now get easy finance from banks. The sector was demanding this revision for long, he said. The Fund of Funds, which has a corpus of Rs 10 thousand crore, will benefit over 25 lakh MSMEs under stress. Similarly, easing of global tendering norm is a remarkable step, he said. Gadkari expressed hope that now new orders will be received from Defence and Police for uniforms, etc.
He said that economic support to this sector which gives employment to over 11 crore people and contributes by nearly 29 per cent of GDP, can never be forgotten by the stake holders of this sector. He expressed confidence that the MSME, village and cottage industry sector will grow to new heights with the support of this package.