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Press Release

CPSEs felicitated for their exemplary performance in procurement of goods & services from SC-ST Entrepreneurs

Feb 05, 2019



MSMEs in forefront of manufacturing, export and job creation: Giriraj Singh


NEW DELHI, 5 February 2019: Minister of State (I/C) for MSME, Mr. Giriraj Singh, today felicitated select Central Public Sector Enterprises (CPSEs) for their exemplary work under the Public Procurement Policy for promotion of SC/ST entrepreneurs. As many as 14 CPSEs for the Maharatna, Navratna, Miniratna and general categories were awarded based on the parameters available on the Public Procurement Portal, MSME Sambandh.

 

The "Stakeholders Consultation Meeting under National SC/ST Hub ��� Creating Ecosystem for SC/ST Entrepreneur"���, organized by the Ministry of Micro, Small and Medium Enterprises in association with the Department of Public Enterprises, Ministry of Heavy Industries & Public Enterprises and FICCI witnessed participation from over 70 CPSEs from across the country.

 

Addressing the Stakeholders Consultation Meeting, Mr. Giriraj Singh reiterated that the Public Procurement Policy wherein all Central ministries, departments and PSEs have to procure a minimum 25% of the total annual purchase or services from MSEs. Of the annual requirement of 25%, 4% is earmarked for units owned by SC-ST entrepreneurs. In addition, 358 items are reserved for exclusive purchase from the MSEs.

 

He said that the endeavor of the MSME Ministry was to constantly upgrade the technologies adopted by MSMEs to churn out quality products in order to make them marketable and competitive. He said MSMEs were today in the forefront of manufacturing, export and employment creation. This, he said, was made possible through measures such as increasing the limit for provision of collaterals free loans to Rs 2 crore, technology upgradation, cluster development vendor development and schemes aimed at extended financial benefits to SC-ST entrepreneurs.

 

The Minister also said that as a result of the various initiatives under the National Scheduled Caste-Scheduled Tribe Hub (NSSH) launched in October 2016, the procurement of CPSEs from SC-ST MSEs had increased significantly to 0.52% from 0.04% four years ago. He also mentioned that while the achievement target is 4%, the Ministry of MSME and all CPSEs are on the right path towards achieving it. Mr. Singh urged CPSEs to raise their procurement from MSMEs and break the ���barrier��� of 25% and strengthen their ���sambandh��� with MSMEs order to bring about inclusivity and growth.


Dr. Arun Kumar Panda, Secretary, Ministry of MSME, urged CPSEs to share information of procurement requirements on the MSME Sambandh portal in the prescribed format. Dr. Panda quoted numbers from the MSME Sambandh portal and highlighted that the procurement from SC ST MSEs for the current FY stood at over Rs. 520 crore. He highlighted that procurement percentage from SC-ST MSEs doubled to almost 0.48% in 2017-18 when compared to 2016-17. In addition, orders worth almost Rs. 27,000 crores have been procured from over 63,000 MSEs in 2018-19. He suggested the formation of a committee to examine the conditions of tender documents of CPSEs that were preventing SCT-ST entrepreneurs from participation in public procurement.


Ms. Seema Bahuguna, Secretary, Department of Public Enterprises, shared the concerns of the MSME Ministry and emphasized that quality issues in procurement were real and should be addressed. In this context, she said that the private sector too would have to contribute its mite to source products and services from SC-ST entrepreneurs.


Ms. Alka Arora, Joint Secretary ��� SME, Ministry of MSME, made a detailed presentation on the initiatives of NSSH and talked about the key schemes and offerings under it. She talked about collaboration with various state governments to have a wider outreach. She highlighted that under the Hub, 25 training institutes are offering 111 different courses through 475 batches in 57 training centers across 53 locations in 20 States. The Hub also has 12 operational offices in 12 locations including Agra, Varanasi, Patna, Guwahati, Kolkata, Pune, Bengaluru, Chennai, Ranchi, Bhubaneshwar, Mumbai and Ludhiana. She also talked about the various new interventions under the Hub including reimbursement of Membership fee of various Export Promotion Councils, Bank loan processing charges, testing charges, Bank charges for Performance Bank Guarantee for participation in Government tenders, etc. 100% subsidy is also available on membership fee of www.msmemart.com which is a B2B portal by NSIC.

 

Ms. Archana Garodia Gupta, Chairperson, FICCI MSME Committee, said that FICCI was looking forward to working closely with associations engaged in development of SC/ST communities, including promotion of entrepreneurship amongst them.

 

Mr. Dilip Chenoy, Secretary General, FICCI, said that FICCI remained committed to support the government to meet its objective to strengthen the marginalized community. The private sector procurement from SC-ST entrepreneurs has begun and FICCI had started an outreach programme.

 

This was followed by felicitations of all award winners by the Minister. Winners in the Maharatna Category included Indian Oil Corporation Limited, Bharat Heavy Electricals Limited, Bharat Petroleum Corporation Limited. Navratna Category winners included NMDC Limited, NBCC (India) Limited, Bharat Electronics Limited. In the Miniratna (I and II) category, National Small Industries Corporation Limited, MSTC Limited, MMTC Limited, National Film Development Corporation of India, PEC Limited. In the General Category, ECGC Limited, Food Corporation of India, Jute Corporation of India Limited were awarded.

 

The inaugural session was followed by the stakeholders consultation and included presentations from Government e Marketplace and CPSEs such as IOCL, Goa Shipyard Ltd, BPCL, HPCL, Bharat Electronics Ltd, NTPC, and NSIC. The CPSEs talked about the various initiatives being undertaken by them which have resulted in an increase in procurement from MSEs as well as SC/ST MSEs.

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