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President Message
As part of pre-budget consultations, Union Finance Minister Mrs. Nirmala Sitharaman met captains of the MSME fraternity on 21st June. As FISME President I presented a 10 point agenda to alleviate immediate pains that MSME sector faces and a few suggestions for their resolution. The preamble of our submission has been the need for remedial measures for MSMEs, affected by the geo-political turmoil - wars and conflicts. Top on our agenda has been the issue of auto SMA classification by banks which gets triggered in case of delay in repayment of interest or principle. The account gets red-flagged after 30 days and banking support withdrawn and reported to the credit bureau after 60 days. And recovery proceedings start after 90 days. We urged for the immediate review of SMA framework and increase in thresholds to180 days for NPA classification. We highlighted the need for a MSME focused national Bank having branches in each district. We pressed for sector agnostic, employment-based PLI scheme for MSMEs. Other important issues flagged were: Need for consultations for QCOs, Disaster Support Mechanism for MSMEs engaged in International Trade; Need to reorient trade promotion efforts to Asia, Need for ‘Payments Act’ to instill discipline in commercial practices; Operationalizing use of Insurance Surety in lieu of Bank Guarantees; Streamlined Packing Credit for Export-Oriented MSMEs; and a Multi-Tiered Grievance Redressal and Feedback Mechanism. I do hope that the rapt attention accorded by the top brass of Finance Ministry to our presentation, the same sincerity would be reflected in taking up MSME issues in the forthcoming Budget.
Like every entrepreneur, you likely aspire to drive profits in your service-based company. But how do you achieve this goal? The answer lies in scaling. It's imperative to grasp the difference between growing and scaling your operations. While growing entails taking on more projects to increase revenue, scaling focuses on improving profits without a significant surge in resources. Essentially, scaling means working smarter, not just harder. You've got to grab every chance to make more profit without burning yourself out. So, here are five practical strategies that many service providers miss out on when they're trying to make their businesses bigger and better.
In the series of pre-budget consultations, Finance Minister Nirmala Sitharaman and her entire team met the representatives of MSMEs on Friday.
Federation of Indian Micro, Small & Medium Enterprises (FISME) presented a 10-point agenda before the Finance Minister asking for a review of regulatory and promotional policies in view of ‘geo-political turmoil’. President FISME Sandeep Kishore Jain highlighted the need for Performance Linked Incentive (PLI) Scheme for MSMEs.“A key metric like job creation, which is demonstrably stronger in MSMEs, seems absent from PLI considerations. FISME proposes MSME specific sector-agnostic PLI focusing employment”,...
India's rice exports have seen a significant downturn in the first quarter of the current financial year, falling by nearly 34 per cent to 3.2 million tonnes.This decline comes in the wake of several government measures aimed at safeguarding domestic food security and managing inflation.
The Indian government has implemented a series of export restrictions, including a ban on non-basmati white rice and broken rice exports, as well as imposing a 20 per cent tariff on parboiled rice.
India's textile exports have shown significant growth in the first two months of fiscal year 2025, according to recent data from the commerce ministry.
The sector recorded exports worth USD 5.86 billion in April-May 2024, marking a 5.4 per cent increase from the USD 5.56 billion reported in the same period last year.
Cotton yarn, fabrics, and handloom products exports rose by 8.24 per cent to USD 1.95 billion, while readymade garment exports increased by 4.47 per cent to USD 2.55 billion.
The World Bank has granted India a USD 1.5 billion loan to accelerate its low-carbon energy development, marking the second round of significant funding for the country's green energy initiatives.
This latest financial support aims to promote green hydrogen production, electrolyser manufacturing, and increased renewable energy adoption.
The loan will support reforms to boost green hydrogen and electrolyser production, crucial for India's energy transition goals. It aligns with India's targets of achieving 500 GW of installed renewable energy capacity by 2030 and reaching net-zero emissions by 2070.
India is set to begin domestic production of Glucagon-like peptide receptor agonist (GLP-1RA) drugs, widely used for treating diabetes and obesity, starting in 2026 when relevant patents expire.
This development falls under the country's Production Linked Incentive (PLI) scheme, as announced by a senior government official on Thursday.
GLP-1RA medications function by stimulating GLP-1 receptors in the pancreas, enhancing insulin release while reducing glucagon secretion.
In a move aimed at supporting the country's export sector, the Commerce Ministry has announced a two-month extension of the Interest Equalisation Scheme (IES) for Micro, Small & Medium Enterprises (MSME) exporters.
The scheme, which was set to expire on Sunday, will now continue until August, providing pre and post-shipment rupee export credit to eligible businesses.
The Directorate General of Foreign Trade (DGFT) issued a notification stating that the extension will apply exclusively to MSME exporters, with a total outlay capped at Rs 750 crore for the extended period. The terms and conditions of the scheme will remain unchanged during this time.
Starting July, laboratory glassware manufacturers in India will be required to adhere to new standards established by the Bureau of Indian Standards (BIS), according to sources familiar with the matter. This move comes as global demand for high-quality scientific equipment continues to rise, as reported by Mint. The initiative aims to enhance product quality and bolster India's competitiveness in the international market. Currently, Indian laboratory glassware is exported to various regions, including the United States, Europe, West Asia, Africa, and Latin America.
In a significant move to accelerate its National Green Hydrogen Mission, the Indian government has revised its guidelines, increasing the green ammonia allocation for the fertiliser sector from 550,000 lakh tonnes to 750,000 lakh tonnes per annum.
This decision comes in response to the growing demand for green hydrogen, as the nation intensifies its efforts to implement the mission launched in January 2023.
The Ministry of New & Renewable Energy (MNRE) hailed this revision as "a significant step towards demand creation of green hydrogen and its derivatives in the country."
In a bid to boost its electronics manufacturing sector, the Karnataka government has approached the Centre for support in establishing four electronic manufacturing clusters (EMCs) across the state.
A high-level delegation from Karnataka, led by Minister for IT and Biotechnology Priyank Kharge, met with Union Minister for Electronics and Information Technology Ashwini Vaishnav in New Delhi. During the meeting, Minister Kharge presented a memorandum urging the central government to expedite the clearance of files related to the proposed EMCs.
In a landmark move, Surat's textile micro, small and medium enterprises (MSMEs) are set to take their first steps towards sustainable development on Thursday.
This initiative comes as a result of a collaborative effort between government agencies and industry bodies, marking a significant shift in the sector's approach to energy efficiency and environmental responsibility.
The Gujarat Energy Development Agency (GEDA), Gujarat Pollution Control Board (GPCB), South Gujarat Textile Processors Association (SGTPA), and the US-based think tank WRI-India have joined forces to host an 'Energy Efficiency and Finance Workshop' on International MSME Day.
The Government of India has completed plans for two significant industrial development projects in Andhra Pradesh, with a combined investment of Rs 5,367 crores, according to a statement released by the Ministry of Commerce and Industry on Thursday.
The projects, overseen by the National Industrial Corridor Development Corporation (NICDC), are set to establish advanced infrastructure in the Orvakal Industrial Area of Kurnool district and the Kopparthy Industrial Area in YSR district.
The Tamil Nadu government has launched a significant initiative to preserve and promote its rich handloom heritage while simultaneously advancing its textile industry.
In a recent announcement, Handlooms and Textiles Minister R. Gandhi revealed a multifaceted approach to strengthen the state's textile sector, with a spotlight on securing Geographical Indication (GI) tags for five iconic handloom products.
In a significant development for bilateral relations, Australia is currently engaged in discussions with India to establish a comprehensive free trade agreement, according to Australian Deputy High Commissioner Nicholas McCaffrey.
The diplomat made this announcement during an interactive session hosted by the Confederation of Indian Industry on Tuesday.
McCaffrey revealed that these talks aim to upgrade the existing Economic Cooperation and Trade Agreement (ECTA), which was signed in 2022.
India and South Korea are making progress in negotiations to upgrade their existing Comprehensive Economic Partnership Agreement (CEPA), a free trade agreement that has been in effect since January 2010.
The Indian Department of Commerce is currently engaging with various ministries, including heavy industries, steel, and chemicals, to prepare an offer list as part of the ongoing talks.
Both nations have exchanged request lists and are now working on their respective offer lists. India is seeking greater market access for products such as steel, rice, and shrimp in the South Korean market to boost exports.
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According to the FISME factor, 40% of MSMEs think that the new coalition government will be effective in driving economic policies while 60% can’t say.
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Surat Cluster Suffers From Feeble Demand; Awaits Textile Policy For Rescue
Surat, Gujarat's economic powerhouse and renowned "Silk City," is grappling with a severe economic crisis that threatens its once-thriving textile industry.
The sector, dominated by small and medium enterprises (SMEs) and micro, small, and medium enterprises (MSMEs), is facing unprecedented challenges due to overproduction and plummeting demand for polyester fabric both domestically and internationally.
How Fresh From Farm is harvesting hope by reducing waste in fruit supply chain
Food waste is a major problem in our country. India ranked 111 out of 125 countries in the Global Hunger Index in 2023. What is even more worrying is that our country wastes a significant portion of its farm produce, with 30-40% of fruits and vegetables being wasted every year.
Zyod, a business-to-business fashion marketplace, has successfully raised USD 18 million in a combination of equity and debt funding.
The equity round was spearheaded by venture firm RTP Global, while debt capital was provided by Stride Ventures, Trifecta Capital, and Alteria Capital. Existing investor Lightspeed Venture also participated in this funding round.
The National Statistical Office (NSO), Ministry of Statistics and Programme Implementation (MoSPI) has released the ‘Statistical Report on Value of Output from Agriculture and Allied Sectors 2024’.
FISME regularly receives monthly reports on the economies of various countries from their missions in India. These reports provide information on key economic parameters, trade related information and all news relevant for importers and exporters. In this edition you can take a look at reports on:
Write your comments on the FISME Factor. Share your views and suggestions on MSME issues. Win prize! The best mail will get a special book every fortnight.
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As part of pre-budget consultations, Union Finance Minister Mrs. Nirmala Sitharaman met captains of the MSME fraternity on 21st June. As FISME President I presented a 10 point agenda to alleviate immediate pains that MSME sector faces and a few suggestions for their resolution. The preamble of our submission has been the need for remedial measures for MSMEs, affected by the geo-political turmoil - wars and conflicts. Top on our agenda has been the issue of auto SMA classification by banks which gets triggered in case of delay in repayment of interest or principle. The account gets red-flagged after 30 days and banking support withdrawn and reported to the credit bureau after 60 days. And recovery proceedings start after 90 days. We urged for the immediate review of SMA framework and increase in thresholds to180 days for NPA classification. We highlighted the need for a MSME focused national Bank having branches in each district. We pressed for sector agnostic, employment-based PLI scheme for MSMEs. Other important issues flagged were: Need for consultations for QCOs, Disaster Support Mechanism for MSMEs engaged in International Trade; Need to reorient trade promotion efforts to Asia, Need for ‘Payments Act’ to instill discipline in commercial practices; Operationalizing use of Insurance Surety in lieu of Bank Guarantees; Streamlined Packing Credit for Export-Oriented MSMEs; and a Multi-Tiered Grievance Redressal and Feedback Mechanism. I do hope that the rapt attention accorded by the top brass of Finance Ministry to our presentation, the same sincerity would be reflected in taking up MSME issues in the forthcoming Budget.
Like every entrepreneur, you likely aspire to drive profits in your service-based company. But how do you achieve this goal? The answer lies in scaling. It's imperative to grasp the difference between growing and scaling your operations. While growing entails taking on more projects to increase revenue, scaling focuses on improving profits without a significant surge in resources. Essentially, scaling means working smarter, not just harder. You've got to grab every chance to make more profit without burning yourself out. So, here are five practical strategies that many service providers miss out on when they're trying to make their businesses bigger and better.
India's rice exports have seen a significant downturn in the first quarter of the current financial year, falling by nearly 34 per cent to 3.2 million tonnes.This decline comes in the wake of several government measures aimed at safeguarding domestic food security and managing inflation.
The Indian government has implemented a series of export restrictions, including a ban on non-basmati white rice and broken rice exports, as well as imposing a 20 per cent tariff on parboiled rice.
India's textile exports have shown significant growth in the first two months of fiscal year 2025, according to recent data from the commerce ministry.
The sector recorded exports worth USD 5.86 billion in April-May 2024, marking a 5.4 per cent increase from the USD 5.56 billion reported in the same period last year.
Cotton yarn, fabrics, and handloom products exports rose by 8.24 per cent to USD 1.95 billion, while readymade garment exports increased by 4.47 per cent to USD 2.55 billion.
The World Bank has granted India a USD 1.5 billion loan to accelerate its low-carbon energy development, marking the second round of significant funding for the country's green energy initiatives.
This latest financial support aims to promote green hydrogen production, electrolyser manufacturing, and increased renewable energy adoption.
The loan will support reforms to boost green hydrogen and electrolyser production, crucial for India's energy transition goals. It aligns with India's targets of achieving 500 GW of installed renewable energy capacity by 2030 and reaching net-zero emissions by 2070.
India is set to begin domestic production of Glucagon-like peptide receptor agonist (GLP-1RA) drugs, widely used for treating diabetes and obesity, starting in 2026 when relevant patents expire.
This development falls under the country's Production Linked Incentive (PLI) scheme, as announced by a senior government official on Thursday.
GLP-1RA medications function by stimulating GLP-1 receptors in the pancreas, enhancing insulin release while reducing glucagon secretion.
In a move aimed at supporting the country's export sector, the Commerce Ministry has announced a two-month extension of the Interest Equalisation Scheme (IES) for Micro, Small & Medium Enterprises (MSME) exporters.
The scheme, which was set to expire on Sunday, will now continue until August, providing pre and post-shipment rupee export credit to eligible businesses.
The Directorate General of Foreign Trade (DGFT) issued a notification stating that the extension will apply exclusively to MSME exporters, with a total outlay capped at Rs 750 crore for the extended period. The terms and conditions of the scheme will remain unchanged during this time.
Starting July, laboratory glassware manufacturers in India will be required to adhere to new standards established by the Bureau of Indian Standards (BIS), according to sources familiar with the matter. This move comes as global demand for high-quality scientific equipment continues to rise, as reported by Mint. The initiative aims to enhance product quality and bolster India's competitiveness in the international market. Currently, Indian laboratory glassware is exported to various regions, including the United States, Europe, West Asia, Africa, and Latin America.
In a significant move to accelerate its National Green Hydrogen Mission, the Indian government has revised its guidelines, increasing the green ammonia allocation for the fertiliser sector from 550,000 lakh tonnes to 750,000 lakh tonnes per annum.
This decision comes in response to the growing demand for green hydrogen, as the nation intensifies its efforts to implement the mission launched in January 2023.
The Ministry of New & Renewable Energy (MNRE) hailed this revision as "a significant step towards demand creation of green hydrogen and its derivatives in the country."
In a bid to boost its electronics manufacturing sector, the Karnataka government has approached the Centre for support in establishing four electronic manufacturing clusters (EMCs) across the state.
A high-level delegation from Karnataka, led by Minister for IT and Biotechnology Priyank Kharge, met with Union Minister for Electronics and Information Technology Ashwini Vaishnav in New Delhi. During the meeting, Minister Kharge presented a memorandum urging the central government to expedite the clearance of files related to the proposed EMCs.
In a landmark move, Surat's textile micro, small and medium enterprises (MSMEs) are set to take their first steps towards sustainable development on Thursday.
This initiative comes as a result of a collaborative effort between government agencies and industry bodies, marking a significant shift in the sector's approach to energy efficiency and environmental responsibility.
The Gujarat Energy Development Agency (GEDA), Gujarat Pollution Control Board (GPCB), South Gujarat Textile Processors Association (SGTPA), and the US-based think tank WRI-India have joined forces to host an 'Energy Efficiency and Finance Workshop' on International MSME Day.
The Government of India has completed plans for two significant industrial development projects in Andhra Pradesh, with a combined investment of Rs 5,367 crores, according to a statement released by the Ministry of Commerce and Industry on Thursday.
The projects, overseen by the National Industrial Corridor Development Corporation (NICDC), are set to establish advanced infrastructure in the Orvakal Industrial Area of Kurnool district and the Kopparthy Industrial Area in YSR district.
The Tamil Nadu government has launched a significant initiative to preserve and promote its rich handloom heritage while simultaneously advancing its textile industry.
In a recent announcement, Handlooms and Textiles Minister R. Gandhi revealed a multifaceted approach to strengthen the state's textile sector, with a spotlight on securing Geographical Indication (GI) tags for five iconic handloom products.
In a significant development for bilateral relations, Australia is currently engaged in discussions with India to establish a comprehensive free trade agreement, according to Australian Deputy High Commissioner Nicholas McCaffrey.
The diplomat made this announcement during an interactive session hosted by the Confederation of Indian Industry on Tuesday.
McCaffrey revealed that these talks aim to upgrade the existing Economic Cooperation and Trade Agreement (ECTA), which was signed in 2022.
India and South Korea are making progress in negotiations to upgrade their existing Comprehensive Economic Partnership Agreement (CEPA), a free trade agreement that has been in effect since January 2010.
The Indian Department of Commerce is currently engaging with various ministries, including heavy industries, steel, and chemicals, to prepare an offer list as part of the ongoing talks.
Both nations have exchanged request lists and are now working on their respective offer lists. India is seeking greater market access for products such as steel, rice, and shrimp in the South Korean market to boost exports.
According to the FISME factor, 40% of MSMEs think that the new coalition government will be effective in driving economic policies while 60% can’t say.
Whether an employee-engagement framework should be rational or emotional is a topic of significant debate in contemporary workplaces. Some argue that a rational approach, focused on logical reasoning and objective measures, is essential for effective management and productivity.
An annual financial plan can help you regulate cash flow, cut costs, manage taxes and generate growth. But no matter how thorough that plan is, it is important to set up regular checkpoints to review it throughout the year.
Surat, Gujarat's economic powerhouse and renowned "Silk City," is grappling with a severe economic crisis that threatens its once-thriving textile industry.
The sector, dominated by small and medium enterprises (SMEs) and micro, small, and medium enterprises (MSMEs), is facing unprecedented challenges due to overproduction and plummeting demand for polyester fabric both domestically and internationally.
Food waste is a major problem in our country. India ranked 111 out of 125 countries in the Global Hunger Index in 2023. What is even more worrying is that our country wastes a significant portion of its farm produce, with 30-40% of fruits and vegetables being wasted every year.
Zyod, a business-to-business fashion marketplace, has successfully raised USD 18 million in a combination of equity and debt funding.
The equity round was spearheaded by venture firm RTP Global, while debt capital was provided by Stride Ventures, Trifecta Capital, and Alteria Capital. Existing investor Lightspeed Venture also participated in this funding round.
“ Before anything else, preparation is the key to success. ”
