To discuss on the plight of MSMEs in the region, President of Tirupur Exporters Association (TEA) Raja M Shanmugham, took part in a meeting chaired by Nitin Gadkari, Union Minister of MSME and Nirmala Sitharaman, Union Minister of Finance organized today at New Delhi.
Tirupur: To discuss on the plight of MSMEs in the region, President of Tirupur Exporters Association (TEA) Raja M Shanmugham, took part in a meeting chaired by Nitin Gadkari, Union Minister of MSME and Nirmala Sitharaman, Union Minister of Finance organized today at New Delhi.
The TEA President appealed to insulate MSMEs from BASEL III norms and stressed on the requirement of credit rating insisted under BASEL III norms for getting loans from banks are unnecessary, as the rating is not reflecting the true nature of the real performance of the respective unit.
Considering the sessional business nature of knitwear garment units, he proposed restructuring of the unit two times rather than one time. And, for deliberating on the NPA classification, he requested to take in to account 180 days period against 90 days existing now, a release said.
Raja M Shanmugham also pointed out the repercussions on the employment side including repayment of loans to banks, if issues are not immediately resolved.
He also pleaded for the announcement of an alternative scheme in place of MEIS, to enhance the competitiveness of beleaguered Knitwear garment exporting MSMEs in Tirupur and sustain in the global market.
A release from the association stated that the Ministers have assured to address the issues for the growth of MSMEs.
The release noted that a requisition letter has been submitted for immediate action to bail out the Tirupur MSMEs from the crisis and to restore business.