Mangaluru: Huge Competition From China For SME in India – Vinaya Hegde

Mangaluru: Chancellor of Nitte University, N Vinaya Hegde inaugurated the ‘National Vendor Development Programme Industrial Exhibition’ by lighting the traditional lamp at the Karnataka Government Polytechnic here, on January 22.

Joint Director of District Industries Centre, Gokuldas welcomed the gathering. Dy. Director, Br. MSME-DI, K Socrates said that the programme was held to give marketing opportunities to MSME’s and also that educated and unemployed youth could start their own ventures in the small scale industries sector.

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Vinaya Hegde in his inaugural address said, “The Small and Medium Enterprises (SME) are run usually by techno-graduates and the main hurdle they face is funding. Also there is huge competition offered from China. The spares and other items from China are about 20-25% cheaper than Indian products. I hope the government looks into it.” He said that youth should have a clear understanding of expectation from the consumers and the changing scenarios where there was increased emphasis on quality aspects.

Hegde further said that industries suffered due to rigid labour laws. “Starting an industry is not enough. If you see there are many who have started an industry and later burnt their fingers,” he said. He said that such programmes which bring vendors and suppliers together should be held often. Government should work towards meeting the needs of the small scale industries. “In the future, if India has to give a tough competition to China, it depends on young people starting SME which gives importance to quality and pricing,” he added.

Chief Guest, MLA JR Lobo said that the central government had set a reservation for procurement of goods from MSME’s by industries like railways to 20%. He said, “China has given competition to the market not only in India, but to all the markets in the world. This is because, in China if someone wants to start a SME, the government will fully support them. But here since we are a democracy there are lot of hurdles and we have to listen to everyone.”

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He further said that the government was in a process of establishing an Industrial Development Authority to fix regulations and see through the functioning of industries. “If a small scale industry has to thrive, then there is a need of a large scale industry to procure goods from it. Peenya, the largest industrial area in Asia has many large scale industries which procure the required goods from the small scale industries set up there. Here in Baikampady, half of the area is filled with godowns,” he said.

President of KASSIA, VK Dikshit said, “Government should not interfere with the functioning of small scale industries.” He said that the power and water tariffs were high and the government has increased the minimum salary, which had resulted in steep rise in the input costs. Most of the recommendations were approved by the Chief Minister, but many officers did not approve them. “I don’t know what experience these officers have with industry,” he added.

President of KCCI, Rammohan Pai Maroor, KSIA president, Henry CF Britto also spoke on the occasion. President of DSIA, N Arun Padiyar delivered the vote of thanks.

The exhibition was later inaugurated by MLA JR Lobo by cutting the ribbon.

The exhibition houses 90 stalls with exhibits from Micro, Small & Medium Enterprises, HAL, Ordnance Clothing Factory Chennai, South Western Railways, ONGC- MRPL, KIOCL, NMPT, NPCIL-Kaiga, MSEZ, MESCOM, KSPCB, CAMPCO, KMF and Banks on 22 and 23 January. A seminar was being organised to cover the topics such as requirements for the large scale enterprises, Public Procurement Policy, registration and vendor rating, role of supporting agencies, availing credit facilities etc.

The programme was participated by Micro, Small & Medium Enterprises, Large Enterprises, Machinery and Raw Material Suppliers, Bankers who are participating in the exhibition. The seminar was attended by Entrepreneurs, Bankers and the General Public.

Entry to exhibition for general public is free on January 22 and 23 between 10.00 a.m. to 6.00 p.m.

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