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President Message
Finally, the RBI seems to be acknowledging the issue of foreclosure or prepayment charges levied on MSMEs. This is a significant victory after a prolonged campaign against these charges. I personally advocated for the removal of these charges during pre-budget consultations with the Finance Minister. Additionally, the Chairman of FISME's Banking Committee reiterated our stance before two Deputy Governors of the RBI in Mumbai. The Friends of MSMEs in Parliament, a group of MPs, also raised this issue with policymakers. Other associations joined the cause subsequently. Now, the RBI Governor has announced that loans to micro and small enterprises will be treated similarly to personal loans, which are exempt from prepayment charges for certain groups. Once the relevant circular is issued, there will be greater clarity on this matter. Why has FISME been so vocal about this issue? The prepayment charges, typically ranging from 2 to 4% of the loan amount, are burdensome for MSMEs. Banks often use the threat of these charges as a tool to discourage MSME borrowers from switching financing banks, even if they are dissatisfied with existing services. This is an anti-competitive and exploitative practice. The discontinuance of prepayment charges would provide much-needed relief to MSMEs.
FISME in association with SIDBI organised 2-day event for the members of Thar Dhat Handicrafts Society (TDHS) on October 4th and 5th, 2024 in Jodhpur. The event was organised under SIDBI Cluster Intervention Programme. It was a significant milestone in fostering collaboration and enhancing knowledge among its members. The event witnessed participation from over 130 members, marking a robust gathering of artisans dedicated to the handicrafts sector. This comprehensive workshop not only aimed at disseminating vital information but also sought to empower members with the tools they need for business growth. The primary objective of the workshop was to provide in-depth knowledge regarding various government schemes and financial assistance available to artisans. In addition, the event placed a strong emphasis on skill development, which is crucial for entrepreneurs in the handicraft sector.
In today's competitive business landscape, there seems to be a ready-made solution for everything. While off-the-shelf technology can offer practicality and convenience, relying solely on these tools often leads to a product or service that lacks distinction.
Staying ahead of the competition is about more than simply adopting the latest tech tools — it's about the ability to adapt quickly and create offerings that truly meet the evolving needs of your clients. Relying solely on off-the-shelf technology can limit a company's ability to stand out. Developing unique, in-house solutions allows businesses to adapt quickly to market demands and offer tailored products or services that set them apart from competitors.
Announcing the Monetary policy in Mumbai today RBI Governor Shaktikanta Das has hinted at dropping the policy of foreclosure charges against MSEs being used by Banks.
Speaking about Responsible Lending Conduct – Levy of Foreclosure Charges/ Pre-payment Penalties on Loans, RBI Governor proposed to club loans to Micro and Small enterprises with individuals which do not attract foreclosure charges. “The Reserve Bank has taken several measures over the years to safeguard consumer’s interest. As part of these measures, Banks and NBFCs are not permitted to levy foreclosure charges/ pre-payment penalties on any floating rate term loan sanctioned to individual...
In a significant move, the Indian government has imposed immediate restrictions on the import of pocket lighter components, according to a notification issued by the Directorate General of Foreign Trade (DGFT) on Sunday.
This decision marks a shift from the previous policy, which allowed free importation of these parts. The new regulation applies to components of both non-refillable and refillable gas-fuelled pocket lighters, commonly known as cigarette lighters.
India's bioeconomy has experienced significant growth, reaching over USD 150 billion in 2023, with projections indicating it could double to USD 300 billion by 2030, according to recent government statements.
This development was highlighted during the inauguration of India's first demonstration facility for biopolymers in Pune, a milestone event in the country's sustainable technology sector. Union Minister Jitendra Singh, who presided over the inauguration, emphasised the facility's role in developing indigenous technology for Polylactic Acid (PLA) bioplastic production.
India's wholesale price inflation rose to 1.84 percent in September, driven primarily by a surge in food prices, according to government data released on Monday.
This marks a significant increase from the 1.31 percent recorded in August and contrasts sharply with the negative inflation rate of -0.07 percent observed in September of the previous year. The data reveals a substantial spike in food inflation, which jumped to 11.53 percent last month from 3.11 percent in August.
In a significant boost for Micro, Small, and Medium Enterprises (MSMEs), the Federation of Indian Micro and Small and Medium Enterprises (FISME) has announced that its Intellectual Property Facilitation Centre (IPFC) will assist these businesses in securing reimbursement for their Intellectual Property Rights (IPR) filings. FISME IPFC, while aiming to strengthen in general the competitiveness of MSMEs so that they can become a part of the global business community, will specifically endeavour to build greater awareness among MSMEs
The Uttar Pradesh government has extended its generator subsidy program for polluting industries in National Capital Region (NCR) districts by an additional five years, effective from October.
This decision aims to support industries in complying with the Commission for Air Quality Management's (CAQM) winter action plan, The subsidy scheme, initially introduced in 2019 for a five-year period, was designed to assist industry owners in transitioning to cleaner fuels, addressing concerns over high conversion costs impacting production.
The Bombay High Court has postponed a decision on an application seeking enhanced interest payments in a complex liquidation case involving Shri Ram Urban Infrastructure Limited.
Justice Abhay Ahuja heard an interim application filed by A. Navinchandra Steels Pvt. Ltd., which sought directions for Indiabulls Housing Finance Limited to pay interest at three times the bank rate under the Micro, Small and Medium Enterprises Development Act, 2006 (MSMED Act).
In a significant ruling, the Delhi High Court has clarified key legal principles concerning the interplay between the Micro, Small and Medium Enterprises Development Act, 2006 (MSMED Act), and the Arbitration and Conciliation Act, 1996.
Justice Sanjeev Narula delivered the judgment while hearing a petition seeking to quash notices issued in arbitration proceedings, bringing much-needed clarity on the limitation period under Section 18(5) of the MSMED Act and the impact of MSME registration after contract issuance.
The National Bank for Agriculture and Rural Development (NABARD) has sanctioned Rs 770 crore for two major irrigation projects in Jharkhand under the Rural Infrastructure Development Fund (RIDF) for the fiscal year 2024-25.
The initiative is expected to provide a significant boost to the state’s agricultural sector by expanding irrigation infrastructure and enhancing water access for farmers in the Palamu and Giridih districts.
In a significant push for policy amendments, the Coimbatore Jewellery Manufacturers Association has urged the Union government to allow cash payments of up to Rs 2 lakh for customers selling old gold jewellery.
At the Association’s annual meeting on Sunday, members also called for a higher cash limit for jewellery purchases, seeking an increase from the current Rs 2 lakh to Rs 5 lakh. The manufacturers emphasised that these changes would provide more flexibility to both customers and businesses, easing liquidity in the gold trade.
Chandigarh's Micro, Small, and Medium Enterprises (MSME) sector is poised for significant growth as the Union Territory's industrial department begins implementing an ambitious 12-point development programme.
This initiative, which has received approval from the central government under the Raising and Accelerating MSME Performance (RAMP) scheme, marks Chandigarh as the only Union Territory with an approved Systematic Investment Plan (SIP) for MSME development.
The Uttar Pradesh government has officially granted ‘Industry’ status to the Information Technology (IT) and IT-Enabled Services (ITES) sectors, marking a significant milestone in the state’s ambition to emerge as a major tech hub in North India.
This policy shift, announced on October 4 by Anil Kumar Sagar, the principal secretary (industry), enables IT companies to purchase land at industrial rates and benefit from reduced power tariffs, a move designed to attract global tech giants to cities like Noida.
French business leaders on a recent visit to India have reinforced their dedication to expanding local investments, employment, and production under the 'Make in India' initiative.
This commitment was highlighted by French Ambassador Thierry Mathou, who emphasised the deep integration of Indian firms into global supply chains by French companies, alongside strengthening industrial cooperation across key sectors. In an exclusive interview, Ambassador Mathou underscored the longstanding strategic partnership between France and India, particularly in the aerospace and defence sectors.
In a significant shift, India has shortened the time frame for foreign investors to seek international arbitration from five years to three under its newly signed Bilateral Investment Treaty (BIT) with the United Arab Emirates (UAE).
This is a notable departure from India’s standard model BIT, which typically offers a five-year period for resolving disputes through domestic courts before international arbitration becomes an option. The agreement, signed on February 13 in Abu Dhabi and effective from August 31, marks a new phase in India-UAE investment relations, replacing the previous pact. One of the most impactful changes is the inclusion of shares and bonds as protected investments.
Which government initiative under 'Make in India' is most relevant to your business?
According to the FISME factor, 60% of MSMEs believe that the ‘National Logistics Policy’ initiative under 'Make in India' is most relevant to their business, while 40% believe the PLI scheme is more relevant.
The brainstorming trap: How groupthink and social loafing undermine creativity
In the world of corporate strategy, brainstorming sessions are often heralded as the ultimate creative tool—a space where diverse minds come together to spark innovation and shape the future. But beneath the surface, these sessions can sometimes undermine the very creativity they’re designed to foster. Instead of the free flow of fresh ideas, participants may find themselves trapped by groupthink and social loafing, resulting in uninspired, predictable solutions.
Embrace innovation, think long: Top wealth-building lessons from Ratan Tata
'Tata Sons’ Chairman Emeritus Ratan Tata was not just known for his business acumen and philanthropy, but also for his start-up investments. Tata invested in 40 new-age Indian startups across sectors, which include eyewear brand Lenskart, baby products brand Firstcry, services platform Urban Company, and business-to-business marketplace Moglix. His journey in building the Tata Group into a global conglomerate offers valuable financial and wealth generation tips.
Small Business Marketing in 2024: The Ultimate Guide
Small business marketing today typically focuses on establishing a strong online presence, but your options aren’t limited to just the web. Figuring out how to best reach new customers, connect with former ones and maintain long-term relationships with buyers will look different for every small business, depending on their goals, budget, target audience and product. Optimizing your marketing strategy, even if you are starting out, is one of the keys to success.
Tiruppur Exporters Push For PLI Phase 2, Seek Govt Backing On Key Initiatives
Textiles Secretary Rachna Shah, along with Joint Secretary Rajeev Saxena, met with officials of the Tiruppur Exporters Association (TEA) on Saturday to discuss critical issues faced by the industry.
The Tiruppur Exporters’ Association (TEA) recently submitted a memorandum requesting government support for several key initiatives.
Cancer Care Start-Up Oncare Secures USD 1 Mn In Seed Funding
In a significant development for India's healthcare sector, cancer care start-up Oncare has secured USD 1 million in seed funding. The investment round, announced on Thursday, was spearheaded by Huddle Ventures, with additional participation from TRTL Ventures, Cloud Capital, and DeVC.
Oncare, established in 2023 by co-founders Deepak Kumar and Amar Sneh, is on a mission to transform cancer care in India.
Khyati Global Ventures Debuts On BSE SME At 6.1% Premium
Khyati Global Ventures made its debut on the BSE SME platform on October 11, with shares opening at Rs 105, marking a modest 6.1 percent premium over the issue price of Rs 99 per share.
The company's initial public offering (IPO) raised Rs 18 crore through a combination of fresh issue and offer for sale.
The National Statistical Office (NSO), Ministry of Statistics and Programme Implementation (MoSPI) has released the Consumer Price Index Numbers on base 2012=100 for Rural, Urban and combined for the month of September 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:
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Finally, the RBI seems to be acknowledging the issue of foreclosure or prepayment charges levied on MSMEs. This is a significant victory after a prolonged campaign against these charges. I personally advocated for the removal of these charges during pre-budget consultations with the Finance Minister. Additionally, the Chairman of FISME's Banking Committee reiterated our stance before two Deputy Governors of the RBI in Mumbai. The Friends of MSMEs in Parliament, a group of MPs, also raised this issue with policymakers. Other associations joined the cause subsequently. Now, the RBI Governor has announced that loans to micro and small enterprises will be treated similarly to personal loans, which are exempt from prepayment charges for certain groups. Once the relevant circular is issued, there will be greater clarity on this matter. Why has FISME been so vocal about this issue? The prepayment charges, typically ranging from 2 to 4% of the loan amount, are burdensome for MSMEs. Banks often use the threat of these charges as a tool to discourage MSME borrowers from switching financing banks, even if they are dissatisfied with existing services. This is an anti-competitive and exploitative practice. The discontinuance of prepayment charges would provide much-needed relief to MSMEs.
FISME in association with SIDBI organised 2-day event for the members of Thar Dhat Handicrafts Society (TDHS) on October 4th and 5th, 2024 in Jodhpur. The event was organised under SIDBI Cluster Intervention Programme. It was a significant milestone in fostering collaboration and enhancing knowledge among its members. The event witnessed participation from over 130 members, marking a robust gathering of artisans dedicated to the handicrafts sector. This comprehensive workshop not only aimed at disseminating vital information but also sought to empower members with the tools they need for business growth. The primary objective of the workshop was to provide in-depth knowledge regarding various government schemes and financial assistance available to artisans. In addition, the event placed a strong emphasis on skill development, which is crucial for entrepreneurs in the handicraft sector.
In today's competitive business landscape, there seems to be a ready-made solution for everything. While off-the-shelf technology can offer practicality and convenience, relying solely on these tools often leads to a product or service that lacks distinction.
Staying ahead of the competition is about more than simply adopting the latest tech tools — it's about the ability to adapt quickly and create offerings that truly meet the evolving needs of your clients. Relying solely on off-the-shelf technology can limit a company's ability to stand out. Developing unique, in-house solutions allows businesses to adapt quickly to market demands and offer tailored products or services that set them apart from competitors.
In a significant move, the Indian government has imposed immediate restrictions on the import of pocket lighter components, according to a notification issued by the Directorate General of Foreign Trade (DGFT) on Sunday.
This decision marks a shift from the previous policy, which allowed free importation of these parts. The new regulation applies to components of both non-refillable and refillable gas-fuelled pocket lighters, commonly known as cigarette lighters.
India's bioeconomy has experienced significant growth, reaching over USD 150 billion in 2023, with projections indicating it could double to USD 300 billion by 2030, according to recent government statements.
This development was highlighted during the inauguration of India's first demonstration facility for biopolymers in Pune, a milestone event in the country's sustainable technology sector. Union Minister Jitendra Singh, who presided over the inauguration, emphasised the facility's role in developing indigenous technology for Polylactic Acid (PLA) bioplastic production.
India's wholesale price inflation rose to 1.84 percent in September, driven primarily by a surge in food prices, according to government data released on Monday.
This marks a significant increase from the 1.31 percent recorded in August and contrasts sharply with the negative inflation rate of -0.07 percent observed in September of the previous year. The data reveals a substantial spike in food inflation, which jumped to 11.53 percent last month from 3.11 percent in August.
In a significant boost for Micro, Small, and Medium Enterprises (MSMEs), the Federation of Indian Micro and Small and Medium Enterprises (FISME) has announced that its Intellectual Property Facilitation Centre (IPFC) will assist these businesses in securing reimbursement for their Intellectual Property Rights (IPR) filings. FISME IPFC, while aiming to strengthen in general the competitiveness of MSMEs so that they can become a part of the global business community, will specifically endeavour to build greater awareness among MSMEs
The Uttar Pradesh government has extended its generator subsidy program for polluting industries in National Capital Region (NCR) districts by an additional five years, effective from October.
This decision aims to support industries in complying with the Commission for Air Quality Management's (CAQM) winter action plan, The subsidy scheme, initially introduced in 2019 for a five-year period, was designed to assist industry owners in transitioning to cleaner fuels, addressing concerns over high conversion costs impacting production.
The Bombay High Court has postponed a decision on an application seeking enhanced interest payments in a complex liquidation case involving Shri Ram Urban Infrastructure Limited.
Justice Abhay Ahuja heard an interim application filed by A. Navinchandra Steels Pvt. Ltd., which sought directions for Indiabulls Housing Finance Limited to pay interest at three times the bank rate under the Micro, Small and Medium Enterprises Development Act, 2006 (MSMED Act).
In a significant ruling, the Delhi High Court has clarified key legal principles concerning the interplay between the Micro, Small and Medium Enterprises Development Act, 2006 (MSMED Act), and the Arbitration and Conciliation Act, 1996.
Justice Sanjeev Narula delivered the judgment while hearing a petition seeking to quash notices issued in arbitration proceedings, bringing much-needed clarity on the limitation period under Section 18(5) of the MSMED Act and the impact of MSME registration after contract issuance.
The National Bank for Agriculture and Rural Development (NABARD) has sanctioned Rs 770 crore for two major irrigation projects in Jharkhand under the Rural Infrastructure Development Fund (RIDF) for the fiscal year 2024-25.
The initiative is expected to provide a significant boost to the state’s agricultural sector by expanding irrigation infrastructure and enhancing water access for farmers in the Palamu and Giridih districts.
In a significant push for policy amendments, the Coimbatore Jewellery Manufacturers Association has urged the Union government to allow cash payments of up to Rs 2 lakh for customers selling old gold jewellery.
At the Association’s annual meeting on Sunday, members also called for a higher cash limit for jewellery purchases, seeking an increase from the current Rs 2 lakh to Rs 5 lakh. The manufacturers emphasised that these changes would provide more flexibility to both customers and businesses, easing liquidity in the gold trade.
Chandigarh's Micro, Small, and Medium Enterprises (MSME) sector is poised for significant growth as the Union Territory's industrial department begins implementing an ambitious 12-point development programme.
This initiative, which has received approval from the central government under the Raising and Accelerating MSME Performance (RAMP) scheme, marks Chandigarh as the only Union Territory with an approved Systematic Investment Plan (SIP) for MSME development.
The Uttar Pradesh government has officially granted ‘Industry’ status to the Information Technology (IT) and IT-Enabled Services (ITES) sectors, marking a significant milestone in the state’s ambition to emerge as a major tech hub in North India.
This policy shift, announced on October 4 by Anil Kumar Sagar, the principal secretary (industry), enables IT companies to purchase land at industrial rates and benefit from reduced power tariffs, a move designed to attract global tech giants to cities like Noida.
French business leaders on a recent visit to India have reinforced their dedication to expanding local investments, employment, and production under the 'Make in India' initiative.
This commitment was highlighted by French Ambassador Thierry Mathou, who emphasised the deep integration of Indian firms into global supply chains by French companies, alongside strengthening industrial cooperation across key sectors. In an exclusive interview, Ambassador Mathou underscored the longstanding strategic partnership between France and India, particularly in the aerospace and defence sectors.
In a significant shift, India has shortened the time frame for foreign investors to seek international arbitration from five years to three under its newly signed Bilateral Investment Treaty (BIT) with the United Arab Emirates (UAE).
This is a notable departure from India’s standard model BIT, which typically offers a five-year period for resolving disputes through domestic courts before international arbitration becomes an option. The agreement, signed on February 13 in Abu Dhabi and effective from August 31, marks a new phase in India-UAE investment relations, replacing the previous pact. One of the most impactful changes is the inclusion of shares and bonds as protected investments.
According to the FISME factor, 60% of MSMEs believe that the ‘National Logistics Policy’ initiative under 'Make in India' is most relevant to their business, while 40% believe the PLI scheme is more relevant.
In the world of corporate strategy, brainstorming sessions are often heralded as the ultimate creative tool—a space where diverse minds come together to spark innovation and shape the future. But beneath the surface, these sessions can sometimes undermine the very creativity they’re designed to foster. Instead of the free flow of fresh ideas, participants may find themselves trapped by groupthink and social loafing, resulting in uninspired, predictable solutions.
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'Tata Sons’ Chairman Emeritus Ratan Tata was not just known for his business acumen and philanthropy, but also for his start-up investments. Tata invested in 40 new-age Indian startups across sectors, which include eyewear brand Lenskart, baby products brand Firstcry, services platform Urban Company, and business-to-business marketplace Moglix. His journey in building the Tata Group into a global conglomerate offers valuable financial and wealth generation tips.
Small business marketing today typically focuses on establishing a strong online presence, but your options aren’t limited to just the web. Figuring out how to best reach new customers, connect with former ones and maintain long-term relationships with buyers will look different for every small business, depending on their goals, budget, target audience and product. Optimizing your marketing strategy, even if you are starting out, is one of the keys to success.
Textiles Secretary Rachna Shah, along with Joint Secretary Rajeev Saxena, met with officials of the Tiruppur Exporters Association (TEA) on Saturday to discuss critical issues faced by the industry.
The Tiruppur Exporters’ Association (TEA) recently submitted a memorandum requesting government support for several key initiatives.
In a significant development for India's healthcare sector, cancer care start-up Oncare has secured USD 1 million in seed funding. The investment round, announced on Thursday, was spearheaded by Huddle Ventures, with additional participation from TRTL Ventures, Cloud Capital, and DeVC.
Oncare, established in 2023 by co-founders Deepak Kumar and Amar Sneh, is on a mission to transform cancer care in India.
Khyati Global Ventures made its debut on the BSE SME platform on October 11, with shares opening at Rs 105, marking a modest 6.1 percent premium over the issue price of Rs 99 per share.
The company's initial public offering (IPO) raised Rs 18 crore through a combination of fresh issue and offer for sale.
“ Ups and downs in life are very important to keep us going, because a straight line even in an ECG means we are not alive. ”
