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Small Businesses in Maharashtra Gets Attention

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Mr. Subhash Desai, minister for Industries, Government of Maharashtra, informed the state legislative assembly that the state would establish a development corporation to promote small scale industries (SSIs). He said the state industries department was also monitoring whether the decision to give locals 80 per cent jobs in industries was implemented.

The government will allocate land in Maharashtra Industrial Development Corporation (MIDC) areas to these units and channelise various schemes for their benefit.

“The government is trying to reduce the high number of permissions for different industries,” he said, adding that they had brought down the number of these licences to 46 from 76 and had a policy to bring it down further to 25.

The permissions needed from municipal bodies to start industries have been reduced to 11 from 27, and the time taken to secure construction permits has come down to just 50 days from the earlier 162.

After the Centre’s 2013 land acquisition law (Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act 2013), no land acquisition notices were issued, said Desai.

The state had begun issuing notices with the consent of the Centre and the law department. The state had begun the process to take back plots of land in MIDC areas which had been taken by industries but kept vacant and, in three months, around 1,500 such plots have been taken back and will be distributed to those who are committed to erecting units fast, he added.

Desai also informed that the state government is also planning to make power tariffs cheaper for them like in other states to ensure that industries come to Maharashtra and their operations are competitive.

Responding to a question by Shiv Sena’s Arjun Khotkar on power tariff, Desai admitted that power tariffs for industries were higher in Maharashtra than in other states and added that they would hold discussions with the power minister and the chief minister for a way out.

SMEStreet Desk

SMEStreet is fast growing platform dedicated to entrepreneurs from small and medium sized businesses (SMEs). Committed to facilitate Knowledge & Networking for Business Growth, SMEStreet offers value added content which shows the actual voice of Indian MSMEs.

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  1. I am a woman entrepreneur processing spices in the Dapoli, Dist Ratnagiri. I have applied for an MIDC plot at Valne 2 years ago and have not received any official response from MIDC as yet. When I phone the MIDC office at Ratnagiri they tell me that there are no plots available.

    The fact is that recently the industrial area has been expanded and many old and new plots are lying vacant with no activity. In fact a medical doctor has constructed a residential house with no sign of any industrial/commercial activity.

    And what is appalling is that some of the vacant plots are out for ‘sale’ at general market rates. Here is a real example:

    Plot size = 1000 sq mt
    MIDC rate at time of lease = Rs 15/ sq mt
    Leased 18 years ago
    The ‘seller’ wants Rs 25 lacs for transferring this plot.
    MIDC rate currently = Rs 100/ sq mt.

    There are a number of such plots available for ‘sale’ but legitimate applicants are being denied the land we so desperately need.

    Is it possible to address this issue to the State Government through your channel so that I may get some lade in Valne and expand my business.

    Thank You

    1. There are associations and public forums which are advocating the interests of SMEs.I request you to follow up with the Government agencies as well utilize these channels as well. We will also try to put this issue forward in a best constructive manner.

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