www.Industrykart.com
Make in INDIA should SUPPORT SME/MSME
Make in India can succeed better by
taking SME sector along. It is a fact that SME/SME employ majority of work
force and total value creation of SME is more than 3 times that of big
corporates.
It is also a well-known fact that Big Corporates enjoy 80% of industrial resources available and create 20% value whereas SME get only 20% of industrial resources and generate 80% value.
India has been home to SME/MSME and Government of India should provide emphasis to SME sector by following measures:
1- Direct BENEFIT Transfer to SME- Please close the state level industry promotion offices, SME/MSME will do better if they can get DIRECT BENEFIT transfer and middlemen could be removed.
2- Credit at Big Corporate Rates- Big corporates get credit at 10% whereas SME/MSME do not even get at 15%. The SME/MSME end up buying items on credit from Stockists who ultimately charge interest rates of up to 150% far more than the infamous rural moneylenders.
I have already provided a glimpse of 150% interest in my BLOG
http://industrykart.blogspot.in/2015/01/save-yourself-from-20-interest-for-one.html
www.industrykart.com is working on a vision to get all industrial items at door step of the buyer. It has HUGE value for SME because www.industrykart.com makes available the products at same rates for SMEs as these are available for Big CORPORATES, this is Industrial democratization.
It is so unfair, big corporates get CREDIT at lower rates, ITEMS at lower prices and that too on credit.
Take some examples:
It is also a well-known fact that Big Corporates enjoy 80% of industrial resources available and create 20% value whereas SME get only 20% of industrial resources and generate 80% value.
India has been home to SME/MSME and Government of India should provide emphasis to SME sector by following measures:
1- Direct BENEFIT Transfer to SME- Please close the state level industry promotion offices, SME/MSME will do better if they can get DIRECT BENEFIT transfer and middlemen could be removed.
2- Credit at Big Corporate Rates- Big corporates get credit at 10% whereas SME/MSME do not even get at 15%. The SME/MSME end up buying items on credit from Stockists who ultimately charge interest rates of up to 150% far more than the infamous rural moneylenders.
I have already provided a glimpse of 150% interest in my BLOG
http://industrykart.blogspot.in/2015/01/save-yourself-from-20-interest-for-one.html
www.industrykart.com is working on a vision to get all industrial items at door step of the buyer. It has HUGE value for SME because www.industrykart.com makes available the products at same rates for SMEs as these are available for Big CORPORATES, this is Industrial democratization.
It is so unfair, big corporates get CREDIT at lower rates, ITEMS at lower prices and that too on credit.
Take some examples:
1- When we buy TATA TRUCKS, we pay through DD for booking of the TRUCK. Only after the DD gets cashed in TATA account the TRUCK invoicing in our name starts....take the other side of the coin.....We also supply machines to TATA Motors. We do not get any advance for making the machine. Payment is after 30 DAYS of acceptance. This should STOP.
2- Take any BIG CORPORATE, let say Maruti Udyog Limited. When we buy a CAR, we have to pay 100% upfront. .take the other side of the coin.....We also supply machines to Maruti. We do not get any advance for making the machine. Payment is after 30 DAYS of acceptance. This should STOP.
MakeinIndia campaign will be successful only if it supports SME in BIG way and brings benefits to SME at the same level as that of BIG CORPORATES.
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