Small units to get cloud computing, says govt

The government would collaborate with service providers to provide latest technology and software to micro-enterprises at cheaper rates.

"Small entrepreneurs are unable to afford expensive software packages... Keeping in mind, our ministry proposes to launch in collaboration with service providers, cloud computing for the sector," Micro, Small and Medium Enterprises (MSME) Minister Virbhadra Singh said.

He said the ministry would combine with software providers, the move would help small units access world class computing packages at lower rates.

On major challenges like poor access to credit and new technology faced by the sector, he said "steps" would be taken while addressing the ninth meeting of National Board for MSME.

The minister assured the Board members that government would bring a new scheme for technology acquisition by upgrading the Credit Linked Capital Subsidy Scheme (CLCSS).

Under the CLCSS, the government facilitates technology upgradation of SMEs and provides 15% subsidy for buying new machines.

He stressed on making the sector more efficient and globally competitive by using the National Manufacturing Competitiveness Programme (NMCP). The NMCP package is to increase global competitiveness of Indian SMEs by minimising waste and market assistance.

Volatility in raw material prices, costly power supply to MSME units, e-filing system for entrepreneurs and more focus on unorganised sector were among the issues discussed in the meeting, sources said.

Beside the minister, MSME Secretary Uday Kumar Varma also attended the meeting.

There are 26 million enterprises which employ almost 60 million people in the labour-intensive sector.