New MSME policy looks to raise competitiveness

The new MSME policy cleared by the industries department and awaiting approval from finance has laid out a strategy to achieve global competitiveness by establishing product specific centres of excellence, providing assistance in setting up R&D centres, testing labs, and promoting cluster level competitiveness development programmes.

It has also offered additional incentives of 15% and 1% interest subsidies for MSMEs having ZED (Zero defect, zero effect) certification. Development of smart and MSME specific industrial areas and clusters, Skill development centres park development through PPP or private players have been included in the policy.

The three biggest reasons for this are financial crunch, increase in production cost and lack of skilled labor. Incentives in the new MSME policy will be crucial for the revival of the sector which has 90% footprint inRajasthans industrial landscape.