Special MSME focus in new industrial policy: BS Yediyurappa

Karnataka’s new industrial policy will have a special focus on the MSME sector, Chief Minister BS Yediyurappa said Saturday, while assuring small businesses that the government will give them a friendly investment climate.

Yediyurappa spoke at the virtual launch of a report titled ‘Improving Economic Dynamism and Accelerating MSME Growth’ by Global Alliance for Mass Entrepreneurship (GAME), which works as an industry body for micro, small and medium enterprises.

“Karnataka will soon launch its new industrial policy. The policy has special focus on encouraging the MSMEs to become more competitive at the global stage,” Yediyurappa said. The new industrial policy will replace one that covered the 2014-2019 period.

“My team has been tirelessly working to provide support to MSMEs. We've helped industries with their labour requirements, facilitated the movement of goods, ensured adequate safety and fast tracked government approvals for resuming operations,” Yediyurappa said, addressing Union MSME Minister Nitin Gadkari. Former Bank of Baroda and Microsoft India chairperson Ravi Venkatesan, the founder of GAME, was also present.

Yediyurappa also hailed the proposed amendments to the Karnataka Land Reforms Act and the Karnataka Industries (Facilitation) Act. “We’re also working on the policy front to provide a supportive business environment. We’ve recently announced land and labour reforms that will help industry set up faster and operate more efficiently,” he said.

“We’re also amending the Industries Facilitation Act to create an MSME-friendly investment climate,” he said. “Through these amendments, industries can start operations without obtaining approvals from different departments like trade licences, building plan approvals etc.”

Karnataka will introduce “self-certification” provisions in the approval process for new investments, the CM said. “The requirements to start a new business in the state will be simplified," he added.

The Centre and the state governments have been working to improve the business environment for MSMEs through “targeted schemes and policies,” Yediyurappa said. “During these unprecedented times, the PM has given the ‘vocal for local’ call. Strengthening the MSME sector is the primary step to achieve this,” he said.