Webinar on "Procedure for availing Benefits of Government Schemes and Alternate Source of Financing for MSME`s”by PHDCCI

Srinagar August 13:(KNS) The Kashmir Chapter of PHD Chamber of Commerce and Industry (PHDCCI) organized a Virtual Conference on "Procedure for availing Benefits of Government Schemes and Alternate Source of Financing for MSME`s” on 12th August 2020.

The objective of this Webinar was to provide awareness on Government schemes and alternate sources of funding and how to avail benefits from the same. The interactive webinar also aimed to inform the participants about the role of MSME Mentoring and Guidance Center of PHDCCI in providing guidance and hand holding MSMEs through the procedure for availing financing facilities available for MSMEs and to facilitate networking of MSME with banks, other financial agencies and institutions.

The Chief dignitaries of the session included Mr. Mehmood Ahmad Shah, Director, Industries, Kashmir, Mr. Anil Khaitan, Former President & Mentor MSME Mentoring & Guidance Centre, PHDCCI; Dr. H.P Kumar, Former CMD, NSIC & Advisor, PHDCCI; Mr. Saurabh Sanyal, Secretary General, PHDCCI; Mr. Gowher Arif, General Manager-J&K Development Finance Corporation; Mr. Baldev Singh Raina, Chairman PHDCCI-Kashmir; Mr. Mushtaq Ahmad Chaya, Mentor PHDCCI-Kashmir; Mr. Bilal Ahmad Kawoosa, Expert Chair PHDCCI MSME ; Mr Rakesh Wazir, Chairman, PHDCCI Jammu, Mr. Rahul Sahai, Co-Chair PHDCCI-Jammu andMr Vikrant Kuthiala, Former Chairman PHDCCI Jammu;

In his welcome address Mr Baldev Singh Raina , Chairman, Kashmir Chapter & MD, Peaks Group of Companies greeted and welcomed all the dignitaries and participants in the interactive webinar Session he said that this webinar is a great platform where we can discuss the relief measures and policies introduced by government which can not only help MSME sector immensely but also to entrepreneurs of J&K. He appreciated the team of PHDCCI MSME mentoring and Guidance center headed by Mr Anil Khaitan and Dr HP Kumar for providing complete handholding to the aspiring and existing entrepreneurs. He emphasized that we should vouch for a special economic package for MSME of J&K as we are in a state of Lockdown from 2019. He also suggested that during this pandemic situation promoting and handholding MSME sector is of great help for Kashmir's socio-economic development.

Mr Mushtaq Ahmad Chaya, Mentor PHDCCI-Kashmir threw light on the sectoral issues faced by the Tourism Industry, specifically in the Hospitality sector for availing various Government incentives and registration of Hotels under MSME`s . Mr Chaya said that the schemes announced under Atma Nirbhar bharat or the 3Lakh Crore for MSME will not serve any purpose for the tourism Sector and he impressed upon that there is need of Special economic bailout package for the Kashmir region as our problems are not linked with Covid-19, Chaya added we are in economic slur from past so many years and there is need of handholding to revive the economy of J&K.

Mr. Anil Khaitan, Former President, PHDCCI & Mentor MSME Mentoring & Guidance Centre, PHDCCI gave the industry perspective. He told that nowadays MSME`s and Entrepreneurs look for Other source of finances for the projects and lack of access to finance is most widely cited constrain for MSME for their growth therefore we should consider, the subsidized interest rates, Credit Insurance, Collateral free Loans, Separate Stock Exchange for MSME`s to raise money to have access to equity capital, the emerging channel in financial intermediation is alternative finance which is considered outside the conventional banking system and mostly this finance is technology driven and it comes from the fintech companies, Crowd funding, Peer-to-Peer (P2P) lending which enables individuals to obtain loans directly from other individuals, cutting out the financial institution as the middleman, Matchmaker Model Of Financing in which entrepreneurs grow their companies with virtually no external funding because there is no need to tie-up cash in large amounts of inventory or assets He also mentioned few important points about the Bank Credit under Emergency Credit Line of Rs 3 Lakh Crores for MSMEs, for which hoteliers and other businesses are also eligible and it was apprised to the members that if banks will create any hurdle for disbursing this Emergency Credit that could be brought in the notice of Finance Ministry Immediately through PHDCCI. Mr Khaitan while admitting the fact that the Kashmir is in state of Lockdown from past one year and for that there is an immediate need for Special Economic Revival Package for J&K from Government of India. Mr Khaitan mentioned that although there are clear directions to the financial institutions by Prime Minister office to remain liberal viz-a-viz. the J&K is concerned.

In his address Mr. Saurabh Sanyal, Secretary General, PHDCCI welcomed all the eminent speakers and said that MSME Sector is the most ideal sector for entrepreneurship driven by individual creativity and innovation. He mentioned due to pandemic, MSME sector has got a great push back, therefore in this challenging situation MSME sector should focus on demonstrating data competitiveness and position itself strategically in the global markets. He also highlighted the role of PHDCCI in promoting MSMEs and described about the PHDCCI’s MSME Mentoring & Guidance Centre which provides complete hand holding and mentoring support to MSMEs and also knowledge and guidance about Entrepreneurship and how to start a new business venture or how to scale-up their existing business enterprises and empower them to become equally competitive.

He also told the services offered by the Chamber which were policy advocacy, highlighting the problems of MSMEs. He also discussed the new definition of MSME. He suggested few measures on how MSMEs can be benefitted which were - improvement and changes in the Government Assistance Schemes for MSMEs, render advice and mentoring support to MSMEs through the MSME guidelines, conduct capacity building programs for the MSMEs, guide and mentor first generation of entrepreneurs, virtual incubation centre to the students who wants to become entrepreneurs.

In his address Dr. H.P Kumar, Former CMD, NSIC & Advisor, PHDCCI discussed about the importance of PHD Chamber’s MSME Mentoring & Guidance Centre in helping MSMEs avails all the necessary services needed for their progressive growth and, he Highlighted that the 100% Collateral free Rs 3 lakh crores emergency credit line for MSME loans is the most desirable package the government has given to the MSME and all businesses. Talking about the situation of MSME, he emphasized that this will help this sector to bloom and gave a new definition to MSME and he also explained the various aspects of Stressed assets, Restructuring of accounts, Credit Guarantee scheme for Subordinate debt, one time Settlement (OTS), equity exchanges. Dr. Kumar emphasized on lack of awareness amongst MSMEs and said that more than half of the existing MSMEs are not even well aware of the Credit Facilities Banks and other financial institutions are offering and about the Government Schemes available for MSMEs. Dr. Kumar later highlighted about the TREDS, Champion Portal, MUDRA Scheme & PMEGP in particular for J&K and also discussed in detail about FINTEC funding. He said that proper mentoring and guidance is required to be given to the MSMEs for them to prosper in full strength. He concluded by suggesting a MoU to be signed between PHDCCI & Bank of Baroda in order to facilitate credit facilities for MSMEs.


Mr. Mehmood Ahmad Shah, Director Industries Kashmir in his Special address said that though this pandemic has jeopardized the Economic system of the Nation where the demand and supply both have been affected but there are still areas which can be worked upon in increasing the income part of the enterprises in order to re-stabilize the Ecosystem. Mr Shah added that after Historical developments in Aug-2019 the RBI guidelines for stressed accounts didn`t qualify the Most of the accounts and since the entrepreneurs of J&K are in problem from last one year therefore deep restructuring, reclassification of NPA, interest subvention is an essential requirement. He added the UT even under these circumstances has attracted new investment in Kashmir region at the tune of almost 1000Crore and substantial area of around 5000 Kanals has been added in the land bank of Industries department and hopefully lot of investments is expected and is on the anvil from the entrepreneurs within and outside J&K. Mr Shah also explained how the hospitality sector get their Units registered and avail the industrial benefits and incentives and it was informed that the tourism sector has suffered a lot form past one year and there is need for special package for the It was impressed upon to all entrepreneurs to get their establishments registered under Udyam portal as this is the prerequisite for availing any industrial benefits. Mr shah added that the expeditious payment for pending default payments of various MSME`s in different departments will be released soon along with interest. He concluded by thanking PHDCCI for organizing such an informative session where almost all the vital points and concerns were addressed and spoken about.

Mr. Gowher Arif, General Manager-J&K Development Finance Corporation describes the role of his department in disbursing incentives and financing the cases as NBFC and he also ensured that all circulars and guidelines for MSME issued by RBI will be implemented in DFC and stress upon the for the awareness of IDES scheme and he make it certain that the cases of entrepreneurs forwarded by PHDCCI will be processed on priority and all issues will be resolved within scheduled timeframe.

The Interactive webinar was having healthy discussion and interaction among stakeholders and entrepreunrs, the various issues faced by the industry were brought in notice by Mr Bilal Ahmad Kawoosa, State Expert Chair MSME Kashmir Chapter, Mr Himayun Wani, Executive member Kashmir Chapter and Mr Vikrant Kuthiala, Former Chairman Jammu, Mr Rakesh Wazir Chairman Jammu Chapter and Mr Rahul Sahai Co-Chairman Jammu Chapter who also provided there inputs and suggestions.


Ms. Mallika Verma, Director PHDCCI –J&K while delivering the formal Vote of Thanks thanked all the dignitaries and members for the immense contributions made by them in the interaction webinar and she also informed the Director Industries about sanction of IPFC center for J&K PHDCCI by Ministry of MSME GOI.


The interactive session was moderated by Ms Kanchan Zutshi, Secretary PHD Chamber MSME Mentoring & Guidance Center.(KNS) 

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