Principal Secretary Industries and Commerce Arvind Kumar met the Union Minister for Micro Small and Medium Enterprises Kalraj Mishra at the National Institute of Micro Small and Medium Enterprises office today. He briefed the minister about the Telangana government’s initiative to set up a Industrial Health Clinic to support the sick enterprises in the state.
He also handed over a letter written by the Minister for Industries & Commerce K T Rama Rao towards establishment of Telangana Industrial Health Clinic. The Union Minister responded positively to the state government’s request and assured of all possible help from the central government in this regard.
K T Rama Rao requested the union minister to support in sanctioning Rs 50 Crore as grant to meet corpus fund for establishing Telangana Industrial Health Clinic so as to enable to resolve the sickness and incipient sickness of MSMEs in the state of Telangana.
The Minister in his letter mentioned that having launched a progressive industrial policy, the state would also like to build industrial ecosystem akin to developed countries. He said that the state had to contend with certain legacy issues after the formation of the state, one of them being, large scale sickness in the MSME sector coupled with lack of interest in revival and rehabilitation of MSEs in particular from the commercial banks.
The Minister stated that Telangana government believes in the philosophy of prevention is better than cure and as such would like to set up Industrial Health Clinic for MSEs under the Telangana Industrial Development Corporation to diagnose, aid, facilitate and support the incipient sick and sick enterprises and to supplement the efforts of the Banks/Financial Institutions through a dedicated corpus fund with active stakeholder participation.
Explaining the sailent features of the proposed Industrial Health Clinic, the minister said that it is proposed to set up with a corpus fund of Rs 100 Crores with the states participation to an extent of Rs 10 crore and Rs 40 crore from Industrial Associations and stake Holders and the rest of Rs 50 Crores is requested from the Government of India as its contribution as one time grant support.
