Micro, Small and Medium Enterprises (MSMEs) in Ludhiana have sought government aid to tide over the COVID-19 related crisis, according to media reports, including abolition of anti-dumping duties on steel, among other raw materials.
The Chamber of Industrial and Commercial Undertakings (CICU) in a letter to the Indian government, said the sector is plagued by several challenges hindering it from performing to its optimum. Amid fears of slowdown, lay-offs in various industries and rising unemployment, MSME is likely to play a big role, if aided by the government.
It said that duties make the raw material expensive and finished product costlier which is likely to make Indian products noncompetitive in the domestic and overseas market.
CICU suggested slash in electricity rate for industrial units by Rs3/kw; timely access to finance at low interest rate and improved transport infrastructure with cut in GST rate.
CICU also pointed out that transportation cost is high for domestic trading, and for imports and exports as well.