– Joint Council of MSME Associations, Coimbatore
The Joint Council of MSME Associations of Coimbatore held a press meet on Friday to discuss about the various issues the MSMEs are facing and also talk about the joint representation regarding relief measures from central and State government for smooth operation of MSME Industries in Coimbatore.
The council stated that MSMEs in Coimbatore District are running on support from Government approved loans and thanked the Central and State Government for sanctioning them.
At the same time, it was mentioned that the MSMEs are not making profits; they are only surviving now but if loan moratorium period (which is ending on August 31,2020) is not extended and if banks collect interest charges from next month, the MSME would be in deeper crisis. “Till March, 2021 the moratorium period should be extended” is the common and repeated request from the Council.
It was said in the meet that the recently announced debt restructuring program would only help bigger companies while Micro, Small and Medium Industries wont get any huge support through it.
CODISSIA President Ramamurthy said that only when the industry attains a pre-COVID status, collecting interest would sound practical. He said there is no huge business order now. Also there is no easy transport option to bring migrant labours to meet the Manpower for current orders. Meanwhile foundry Industries are getting job orders from clients, even from abroad but due to Manpower shortage those orders are going to other competitors, it was conveyed.
Ramamurthy said MSMEs have given 50% employment to people and is ready to hire the migrant labours who themselves are ready to return. But the Government should enable special trains and just like how the labours left in a phased manner, they should be brought to the District with support from Governments, kept in a separate quarantine facility and then be put into work. The council assured to give them lodging and other supports when they return.
Placing another to the Government, the council asked for revising GST rates till public consumption increases to normal usual levels. Following the press meet, Ramamurthy said that the joint-representations prepared by the council will be sent to the office of PM, Finance Minister and MSME Minister.