Over 6 lakh MSME units to shut down production today

Janata Curfew: Over 6 lakh MSME units to shut down production today

The micro, small and medium enterprises have extended their support and cooperation to the government in the battle against Covid-19 pandemic.

As many as six lakh MSME units and an estimated 60 lakh workers have responded to the call given by Prime Minister Narendra Modi to observe Janata Curfew on Sunday to fight the pandemic.

The MSME units across the state are shutting down their manufacturing units on Sunday. More than 10,000 small and medium industries are closing their units in Peenya and other industrial estates in Bengaluru.

The voluntary shutdown of manufacturing operations by the MSME sector alone is expected to result in a production loss of an estimated Rs 500 crore, R Raju, president, Karnataka Small Scale Industries Association (Kassia), told DH.

"We wholeheartedly welcome the prime minister's call for observing Janata Curfew. The Kassia has informed all the members and affiliate associations and their members across the state to shut down their manufacturing units and support the cause," Raju said.

Normally, about 30-35% of MSME units work on Sunday. This time, all of them have agreed voluntarily to shut down their production and support the novel cause, he added.

He said MSMEs in the state have been hit hard by the general economic slowdown in the country and their problems have multiplied owing to Covid-19 pandemic now. To support the small-scale units, the Kassia has urged the prime minister to take steps to reduce the burden on the SMEs by permitting them to pay GST once in three months.

The association has requested the prime minister to extend the time for fulfilling statutory conditions like payment of PF and ESI contributions. It has also demanded relaxation of NPA norms for SMEs and issue directions to the public sector undertakings to speed up payment of dues to SMEs. Among other demands, Kassia said that the financial flows to SMEs to meet working capital requirements and other needs to be maintained in the prevailing circumstances.

Jewellers extend support

Meanwhile, the All India Gem & Jewellery Domestic Council (GJC), which represents over six lakh jewellers from across the country, has also extended its support to the government.

All GJC members will be shutting down their shops in support of the Janata Curfew, GJC said in a statement.


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