Acute Financial Crisis Faced by J&K MSMEs: Industry Association
Raising concerns over financial health of the industrial sector comprising of a fair share of Micro, Small and Medium Enterprises (MSMEs), Bari Brahamana Industries association have urged government help in this regard.
Lalit Mahajan, President of MSME body Bari Brahmana Industries Association (BBIA) mentioned about an acute financial crisis in Jammu and Kashmir for the MSMEs due to the blockage of huge amount in respect of pending amount of fiscal Incentives of State/Central Govt.
He further informed that the member MSME units of the association are facing serious concern due to blockage of huge amount of working capital in respect of deposit of IGST/CGST and SGST since 8th July 2017 in the GST Regime against the Fiscal Incentives of the Central/State Govt as granted for the Industrial Sector of J & K.
Mahajan said that the cumbersome procedure adopted by the industries department is a prime factor behind the woes.
Department Of Industrial Policy & Promotion (DIPP) working under the Ministry of Industries & Commerce Govt. Of India, also failed to the release funds in respect of sanctioned cases of CIS/Interest/ Insurance Subsidy cases till date resulting of blockage of around Rs.150 Crores due to which the working of the Industrial Units are suffering very badly as they are not in a position to repay the Installments of Term Loans, he added,
Urging government support, the association have written to the various levels of the government including CM Mehbooba Mufti and also to the Finance Minister at the centre.
