OSIC likely to execute infra projects for MSMEs

Responding to the demand of micro, small and medium enterprises (MSMEs) sector, the state government is contemplating creation of separate cell at the Odisha Small Industries Corporation Ltd (OSIC).

OSIC is the nodal agency for supply of raw-material to MSMEs in the state for taking up infrastructure development of the MSME sector.

The development of a separate cell is likely to strip off the rights vested now with the state-run Odisha Industrial Infrastructure Development Corporation (Idco). It may be noted that Idco, which is also the nodal agency of government for providing land to large projects, was established in 1981 with the specific objective of creating infrastructure facilities in identified industrial estate and areas.

The prime function of Idco is establishment of industrial areas, industrial estates, functional industrial estates, growth centres at different strategic locations and to provide infrastructure.

Prior to formation of Idco in 1981 for creation of industrial infrastructural facility, the portfolio of development of industrial estates was with the OSIC.

After demands from various industry associations, OSIC has moved a proposal to the state government for allowing it to look after the MSME sector which has been accepted by the latter.

"You are requested to prepare a draft law/by-law in line with Idco by-law to execute the infrastructure projects for approval of the state Cabinet. You are also requested to furnish a cabinet memorandum form to the department at an early date", P S Mishra, additional secretary , MSME department wrote to the managing director, OSIC.

Welcoming the proposal of the state government to allow OSIC to look after the MSMEs requirements, Smarajit Mohanty, president, District Small Scale Industries Association (DSSIA), said, "Idco has moved away from its primary objectives of promoting the MSME sector and is focusing on the large scale industrial units. We have been demanding for a separate agency for the MSME sector."

"We are hopeful that if the plan fructifies, the infrastructure development works will be expedited as Idco has neglected the MSME sector," he added.