Odisha govt extends financial incentive to 278 MSME units

    Bhubaneswar, Nov 29 (PTI) In its bid to strengthen the
Micro, Small and Medium Enterprises (MSMEs) sector, Odisha
government has extended financial incentives to 278 units
during the current fiscal, official sources said.
    With this, the total number of units getting
incentives increased to 639 since April this year. The total
amount of incentive has touched Rs 69.99 crore, they said on
Saturday.
    The State Level Empowered Committee meeting chaired by
Chief Secretary A K Tripathy discussed the matter. Considering
the new proposals, the chief secretary accorded in principle
approval for Rs 2.94 crore of Capital Investment (CI) subsidy
in favour of two small scale enterprises.
    Tripathy directed officials to "follow a transparent
and proactive practice in assessment and disbursal of
different financial incentives to MSME units for attracting
more and more young entrepreneurs into the sector".
    "MSMEs are prime movers of rural economy and they add
to inclusive growth in the rural community," Tripathy said. He
directed officials to "facilitate the process by providing
proactive planning, technical and handholding support to the
sector."
    The field level officers were asked to be in constant
touch with local entrepreneurs and instil confidence in them,
Tripathy said.
    Secretary MS&ME Satyabrata Sahu said, "Mainly three
types of direct financial incentives like capital investment
subsidy (at two slabs of 25% and 33%), interest subvention @
of 5% per year for five years and VAT reimbursement for five
years are provided to the MSMEs under different policies".
    Besides, the government departments and PSUs have been
directed to procure at least 20 per cent of their requirement
from local MSMEs, Sahu said, adding that in the year 2019-20 a
total amount of around Rs 34.52 crore was provided as one or
other incentive to 361 units.
    By November end of the current fiscal year Rs 25.47
crore was provided as incentives to 278 units. With this, a
total number of 639 were incentivized with a total amount of
Rs 69.99 crore from April, 2019 till end of November, 2020, he
said.
    These units are spread over the sectors like fly ash
brick making, paper egg trays, corrugated papers, plastic
moulded products, milk and milk products, bakery, paper cup
and plates, cotton ginning plant, shrimp processing, rice
mills, cement products cashew kernels, rice bran oil, spices,
pickles, noodles, PVC pipes and other miscellaneous
industries. PTI AAM
RG RG

(This story has not been edited by THE WEEK and is auto-generated from PTI)