Business Standard

Union Budget 2024-25: Here are the key challenges in the MSME sector

Unavailability of collateral to raise funding

MSME

BS Reporter

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Key challenges
 
 Lack of market intelligence
 Limited visibility and reach due to lack of branding
 Complex trade compliance requirements
 High cost of technology adoption
 Unavailability of collateral to raise funding

Industry ask

  Include of labour-intensive sectors in PLI
  National-level export promotion institution for a single point of contact
  Reconsider 45 days payment rule to 60 days
  Enhance NPA period from 90 days to 180 
  Revise turnover criteria for trade receivables discounting system from Rs 500 cr to Rs 250 cr


To realise the growth target of $35 trillion by 2047, it is key to address the bottlenecks that will require concerted efforts by both public and private-sector stakeholders. This should expand the domestic and export market for MSMEs”
 
Mohammad Athar, Partner & Leader, Industrial Infrastructure, PwC India


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First Published: Jul 09 2024 | 11:00 PM IST

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