India is at a pivotal point in its economic journey. Despite various challenges, there is a strong sense of stability and continuity essential for growth. The mission is ambitious: to make India the world’s third-largest economy. Indian MSMEs are crucial in achieving this growth target.

The 53rd GST Council Meeting on June 22, 2024, chaired by Union Finance Minister Smt. Nirmala Sitharaman, focused on key tax issues and simplifications. Key decisions included tax rate rationalization, measures to curb tax evasion and extending exemptions to boost sectors like MSMEs. New compliance mechanisms were introduced to streamline taxation and reduce the tax burden, promoting transparency and ease of doing business. Enhancing digital infrastructure for GST processes was also discussed.

The Union Budget 2024-25 presents a comprehensive package for economic growth, with a special focus on MSMEs. Measures like, the Credit Guarantee Schem, Collateral free loans and enhanced Mudra Loans will boost MSME credit access. Regulatory simplification, technology upgradation and skill development initiatives will enhance the competitiveness. Additionally, the turnover thresholds for registering with TReDS has been reduced, enabling more MSMEs to benefit from this platform. Appreciably, major road connectivity projects and upcoming industrial corridors will boost industrial and trade development across the nation. Direct Tax relief, infrastructure development and green energy initiative will further drive growth. This budget sets the stage for inclusive and sustainable development, empowering MSMEs to achieve competitive edge in the global market. MSMEs had high hopes for the re-introduction of Credit Linked Capital Subsidy Scheme (CLCSS) which could have provided significant support for their growth and development. Another expectation was for Amended Technology Up-gradation Fund Scheme (ATUFS) which was also not been fulfilled in this Budget.

With a focus on Ease of Doing Business, the Government of West Bengal through the Department of MSME & T took an initiative to showcase the State’s heritage of handwoven sarees, branded under Tantuja “Banglar Saree”. This project aims to bring together the finest handwoven sarees from various districts. This initiative is expected to enhance the handloom sector, offering support to weavers in terms of production, marketing and financial benefits, ensuring the sustained development of Bengal’s weavers

FOSMI participated in the 1^st meeting of the Technical Committee of NITI Aayog virtually on May 24, 2024, featured on decarbonizing the MSME sector. The focus was on implementing energy efficiency technologies, adopting alternative fuels like PNG, CBG and biomass, increasing access to renewable energy and enhancing recycling and circularity. Challenges were identified that include technical complexities of energy-efficient technologies, inadequate infrastructure for alternative fuels, regulatory and financial barriers to renewable energy. Insights from past schemes were discussed to develop effective strategies.

FOSMI is set to organize an international conference in November 2024 on Supply Chain Social Sustainability in MSMEs under the Ministry of MSME’s approval. A good number of foreign delegates are expected to participate. This international conference will help FOSMI to gain commendable recognition not only among the MSME fraternity but also from the Ministry of MSME, Govt. of India. I wish every success to FOSMI for its productive activities.