FCIK decries ‘procurement policy excluding local MSMEs’

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Ziraat Times
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Srinagar: The Federation of Chambers of Industries Kashmir (FCIK) has decried the official  procurement policy that, it says, ‘not only discouraged and sidelined the local industrial manufacturers but also resulted in substantial deficit in UT’s balance of trade with increased imports.’

After a meeting with a delegation of Kashmir Electrical Manufacturers Association (KEMA), the Advisory Committee FCIK expressed regrets that despite repeated requests, the authorities were yet to take steps in the direction of restoring marketing support to MSMEs to get these relieved from growing joblessness.

While bringing the plight of the electric equipment manufacturers to the attention of FCIK, President KEMA, Raja Nayeem Ahmad Khan said that 150 such units faced marketing problems after adoption of General Financial Rules (GFR) by UT government in 2019 which put  local units with slew of disadvantages in direct competition with manufacturers of entire country on Government e-marketplace (GeM) portal.

He informed that Power Development Department had also switched over to turn-key system of executions after disbanding store procurement which had resulted in ouster of local manufacturers from schemes and programmes currently being executed by them.

According to Nayeem, the central government last year sanctioned Rs 5200 Crores under Revamped Distribution Sector Scheme (RDSS) for J&K to improve power infrastructure including 33KV and 11KV stations/HT/LTs and other equipment after subsuming many other central schemes with an objective to reduce power losses and ensure uninterrupted power supply to consumers.

He said that disconcerting qualification criteria put by PDD in tenders excluded local units from the competition process.

Acknowledging the genuine difficulties of local electrical equipment manufacturers, President FCIK said that both MSMEs and departments had been subjected to countless problems in supply and procurement of goods through GeM portal.

Shahid Kamili informed the delegation from KEMA that after the recent meeting with incumbent Chief Secretary, FCIK was hopeful that marketing support to local MSMEs was restored in one or the other form at the earliest.

He said that the chief secretary was acquainted of importance of developing indigenous manufacturing capabilities and phasing out imports with local productions.

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