Union minister for road transport and highways Nitin Gadkari has said he expects a relief package for micro, small and medium enterprises (MSME) sector to be declared by the government soon.
The relief package is likely to provide “good support”, for the MSME sector he added.
Gadkari said he has interacted with over four crore people in the last twenty days and a majority of them are in micro, small and medium enterprises (MSMEs).
The MSME sector contributes 29 per cent to the country’s total growth and contributes 48 per to exports. Moreover, it is a major employment generator also.
However, due to the coronavirus pandemic followed by stringent lockdowns, this sector is facing a huge crisis. Millions of small and medium units are facing huge losses and there is a huge chance of job cuts, making them struggle for their survival.
After Gadkari anticipated a good package, the MSME minister said “There is serious thinking in the government and we are trying our level best. We are consulting all stakeholders and…different departments are consulting each other… We are trying our level best to get a good package to MSMEs where the problem is serious and we are supporting them.”
Gadkari, who also holds the charge of MSME ministry, said that they have taken the possible recommendations and have sent it to the finance ministry and the prime minister’s office.
Gadkari also said that the government is also looking up for the development of rural areas. They have been looking to offer incentives to businesses setting up industries in rural areas. The government will provide facilities for such industries.
Gadkari also plans to decentralize the industry as a lot of them are settled in urban areas.
Industries should now be set up in backward and rural areas, he added.