Kolkata: The measures announced for Micro, Small, and Medium Enterprises (MSMEs) in the Union Budget are poised to benefit the substantial 90-lakh strong MSME segment in West Bengal. However, industry experts emphasize that while these steps are promising, much more comprehensive action is required to fully harness their potential and address lingering challenges.
Key Budget Proposals for MSME Sector
Finance Minister Nirmala Sitharaman unveiled several initiatives aimed at bolstering the MSME ecosystem. A dedicated Rs 10,000 crore SME Growth Fund has been proposed to provide crucial financial backing. Additionally, the budget includes incentives for enterprises meeting specific criteria and a top-up to the existing Self-Reliant India Fund, which was initially established with Rs 2,000 crore, along with provisions for liquidity support.
Developing Skilled "Corporate Mitras"
In a move to enhance professional support, the Union government plans to collaborate with institutions like the Institute of Chartered Accountants of India (ICAI), the Institute of Company Secretaries of India (ICSI), and the Institute of Cost Accountants of India (ICMAI). These bodies will design short-term, modular courses and practical tools to create a cadre of "Corporate Mitras." This initiative is particularly targeted at tier-II and tier-III cities, aiming to bridge the skill gap and provide localized assistance to MSMEs.
Expert Insights from Kolkata
Rishabh C Kothari, CEO of CKC Fragrances and former president of the Merchants' Chamber of Commerce and Industry (MCCI), acknowledged the budget's supportive stance towards India's MSMEs. He noted, "The Budget offers significant support, yet its success hinges on effective implementation. This is especially critical for job-starved states like Bengal, which urgently require infrastructure development and capital infusion."
Kothari, who previously served as a member of the National MSME Board, highlighted specific infrastructure projects that could benefit Bengal's MSMEs. "Bengal stands to gain significantly from the new Dankuni-Surat freight line, Durgapur's East Coast Corridor hub, and the Varanasi-Siliguri express rail. These projects are expected to reduce transport expenses by 20% to 30% for small business shippers and suppliers, enhancing competitiveness and logistics efficiency," he added.
Addressing Core MSME Challenges
HK Guha, President of the Federation of Associations of Cottage and Small Industries (FACSI), welcomed the budget's focus on the MSME sector. He stated, "The Budget has given due importance to MSMEs, recognizing their vital role in the supply chain. Key measures include equity support, geographical expansion initiatives, and addressing the receivables problem by mandating Central Public Sector Undertakings (CPSUs) to transact through the Trade Receivables Discounting System (TREDS) platform."
Guha emphasized that these steps could streamline operations and improve cash flow for small businesses, but stressed the need for consistent follow-through to ensure tangible benefits reach the grassroots level.
Conclusion: A Step Forward with Room for Improvement
While the Union Budget's MSME measures are seen as a positive step forward, experts in Kolkata advocate for a more robust and targeted approach. The combination of financial support, skill development, and infrastructure projects holds promise, but effective rollout and additional interventions are essential to fully empower Bengal's 90-lakh MSMEs and drive sustainable economic growth in the region.
