Srinagar, May 3: In a significant step aimed at strengthening Jammu & Kashmir’s trade and export ecosystem, the Kashmir Traders and Manufacturers Federation (KTMF) on Sunday signed a Memorandum of Understanding (MoU) with the MSME Development Forum (MSME DF) to support traders, manufacturers, and small businesses in the region.
The agreement was formalised following high-level discussions between KTMF chairman Abrar Ahmed Khan, president Hilal Mandoo, and MSME DF chairman Rajnish Goenka. Officials said the partnership is expected to provide a structured framework for enhancing Kashmir’s competitiveness in domestic and international markets.
According to a statement, the deliberations focused on reviving and expanding Kashmir’s export economy, particularly in sectors such as handicrafts, which have historically generated over ₹1,000 crore in exports. Experts at the meeting noted that with targeted interventions and improved market linkages, the sector has the potential to grow by 20–25 percent annually.
A key focus area identified during the discussions was the need to streamline logistics and transportation. Participants highlighted that high logistical costs currently account for a significant portion of production expenses, impacting global competitiveness. Reducing these overheads could improve price competitiveness of Kashmiri MSMEs by nearly 15 percent, the statement said.
The MoU aims to address these challenges by facilitating easier access to credit and working capital for small and medium enterprises, which often face financial constraints that hinder expansion. It also seeks to promote industrial scaling, supply chain resilience, and integration with broader national and international markets.
The KTMF delegation included experts from multiple sectors, including Council of Scientific and Industrial Research (CSIR), the Centre for Innovation and Entrepreneurship Development (CIED) at the Islamic University of Science and Technology, as well as representatives from academia, law, and industry. Officials said the collaboration aims to build a “triple helix” model combining industry, academia, and policy support to drive sustainable growth.
MSME DF chairman Rajnish Goenka described the agreement as a major step toward inclusive industrial development, stating that the forum would work closely with KTMF to transform Kashmir into a high-output export hub. He emphasized the importance of supporting traditional crafts with modern infrastructure and regulatory frameworks.
KTMF leadership said the partnership would help bridge existing gaps in finance, technology, and market access, enabling local enterprises to scale operations and compete globally. The initiative is also expected to generate employment and strengthen the region’s overall economic resilience.
The agreement is being seen as a strategic move to align scientific expertise, entrepreneurial initiatives, and policy support to unlock Kashmir’s untapped industrial potential.
